EXHIBIT 10.20
EMPLOYMENT SEPARATION AGREEMENT AND RELEASE
This Separation Agreement and Release is made and entered into between
Central Freight Lines, Inc. ("the Company") and Xxxxxx Xxxxxx ("Employee").
Whereas, the parties have negotiated in good faith and have reached a mutually
satisfactory separation and settlement agreement;
IT IS THEREFORE AGREED AS FOLLOWS:
1. Central will pay regular wages through and including March 9,
2002, (date of separation), at which time Employee will no
longer be employed by the Company. Any remaining vacation time
will be paid to the Employee on this final check. The vacation
balance as of March 9, 2002 will be 114.82 hours.
2. All employee benefits will be ended effective on the
separation date above. The Employee will be eligible for
continuation of health insurance coverage through C.O.B.R.A.
or under the Retiree Insurance option if applicable.
3. The Employee will return all Central property immediately
including but not limited to keys, name badge, laptop
computer, credit cards and any other Central property.
4. The Company shall allow Employee to keep his Company vehicle
and all accessories. The Company will take the necessary steps
to transfer title to Employee. Employee will be responsible
for any tax, title and license fees due upon transfer of the
vehicle. Employee will also be responsible for maintaining
insurance on the vehicle.
5. The Employee will be eligible to be reimbursed for any and all
company business related expenses that have occurred prior to
the separation date above.
6. The Employee agrees to serve as a consultant for Central
Freight Lines. In return, the Employee will receive contract
payments for a period of six months. These payments will be
made on a biweekly basis and will be equivalent to the
Employees current gross biweekly wages. The Employee will be
responsible for all applicable taxes. During this period of
time, Central will absorb the premiums for the Retiree
insurance plan if elected.
7. The Employee will be issued a separate consulting agreement.
This agreement will include new stock options. The Employee
agrees by executing these agreements to waive all rights to
previously issued vested and non-vested stock options. Both
agreements must be executed for completion. Neither agreement
is mutually exclusive.
8. In consideration of the promises, payments and benefits
provided herein, which are in addition to any form of
compensation to which Employee is already entitled, and in
full compromise and settlement of any and all claims and
causes of action arising before and up to the date of this
Agreement, the Employee knowingly and voluntarily agrees to:
A. Waive all rights, claims and causes of action or
lawsuits arising under common law, local, state, or
federal law against Central, its predecessor,
successor, subsidiaries, affiliates and any officers,
agents, employees or
representatives of same as to any matter relating to
or arising out of Employee's employment with the
Company and accruing on or before the date this
Agreement is executed; and
B. Waive all rights, claims, causes of action or
lawsuits arising under the Age Discrimination in
Employment Act of 1967, Title VII or the Civil Rights
Act of 1967, Title VII of the Civil Rights Act of
1967, as amended, the Texas Commission on Human
Rights Act or any and all other claims, rights or
causes of action against Central which relate to
Employee's employment with Central and accruing on or
before the date this Agreement is executed.
9. Employee acknowledges that he/she has been advised and is
hereby advised to consult with an attorney prior to signing
this Agreement and that he/she has been given a period of at
least 21 days in which to consider this Agreement.
10. All parties agree that for a period of 7 days following the
signing of this Agreement, the Employee may revoke the
Agreement. The Agreement shall not become effective or
enforceable until the revocation period has expired.
11. The parties hereto acknowledge that this Agreement is entered
into in order to ensure that the separation of Employee from
Central is amicable, that neither party will take any actions
inconsistent with the spirit and intent of this Agreement, and
the parties further agree to keep the terms and provisions of
this Separation Agreement confidential.
12. It is understood and agreed between the parties hereto that
this Release is a general release and is understood to be
complete and full, without limitation, including but not
limited to any claims or damages of any kind or character,
court costs, attorneys' fees, injunctive relief, or anything
else whatsoever, and is binding upon the parties hereto, their
successors, assigns, heirs, executors, administrators and
legal representations.
13. This Employment Separation Agreement and Release is made and
entered into within the State of Texas and in all respects
shall be interpreted, construed, enforced and governed in
accordance with the laws of the State of Texas. This
Employment Separation Agreement sets forth the entire
agreement between the parties and fully supersedes any and all
prior agreements or understandings between the parties. No
oral understandings, statements, promises or inducements
contrary to the terms of this Employment Separation Agreement
exist. This Agreement cannot be modified, changed or
terminated orally.
14. The Employee acknowledges that this Agreement is entered into
knowingly, freely and voluntarily, and for the consideration
expressed herein.
BY MY SIGNATURE BELOW, I ACKNOWLEDGE THAT I HAVE READ, UNDERSTOOD AND AGREE TO
ALL THE TERMS OF THIS AGREEMENT.
This Agreement is entered into this 21st day of Feb., 2002.
/s/ Xxxxxx Xxxxxx
Xxxxxx Xxxxxx
Return to Waco Human Resources, X.X. Xxx 0000, Xxxx, Xxxxx 00000-0000
If you have questions regarding this agreement, contact Xxxxx Xxxxx at (254)
741-5241.
This Agreement is entered into this 21st day of Feb., 2002.
CENTRAL FREIGHT LINES, INC.
By: /s/ Xxx Xxxxx
Xxx Xxxxx
Title: Executive Vice President
