Command Center, Inc. (OTCMKTS:CCNI) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
Item 5.02
On June 30, 2019, Command Center, Inc. (the “Company”) entered into an Executive Employment Agreement by and between the Company and Brendan Simaytis, the Company’s Executive Vice President, General Counsel and Secretary (the “Employment Agreement”).
The Employment Agreement provides for Mr. Simaytis to continue serving as the Company’s Executive Vice President and General Counsel during an initial term through November 15, 2019 and to receive an annual base salary of $200,000, payable at periodic intervals in accordance with the Company’s normal payroll practices. Mr. Simaytis will also be eligible for (i) a performance bonus during the initial term of the Employment Agreement tied to the Company’s fiscal year 2019 earnings, whereby for any quarter in which the Company’s Adjusted EBITDA exceeds the quarterly target established by the Compensation Committee of the Company’s Board of Directors, Mr. Simaytis shall receive 3.75% of the amount in excess of such quarterly target, and (ii) a lump sum payment of $50,000 in the event of a Change of Control (as defined in the Employment Agreement) of the Company during the term or within six months following the term of the Employment Agreement. Mr. Simaytis is also entitled to vacation and other employee benefits in accordance with the Company’s policies.
Mr. Simaytis’ employment can be terminated at will. If Mr. Simaytis’ employment is terminated by the Company without cause or by Mr. Simaytis for good reason, he will be entitled to receive (i) his base salary through the end of the term of the Employment Agreement, (ii) the immediate vesting of all options and other awards held by Mr. Simaytis under the Company’s equity incentive plans, subject to certain exclusions, and (iii) a pro-rated payment of the earnings bonus. If Mr. Simaytis’ employment is terminated by the Company without cause within four months following a Change of Control or there is a failure or refusal of a surviving or successor entity to assume all of the obligations of the Employment Agreement or to offer a bona fide offer of continued employment with a surviving or successor entity and to employ Mr. Simaytis for the entirety of the four months following the Change of Control, with compensation, benefits, and terms at least equal to those set forth in the Employment Agreement, Mr. Simaytis will be entitled to receive his base salary for the greater of four months or the time remaining in the current term of the Employment Agreement and any issued but then unvested stock options will automatically become vested.
On June 30, 2019, the Company entered into a Consulting and Nondisclosure Agreement with Mr. Simaytis (the “Consulting Agreement”). to the Consulting Agreement, Mr. Simaytis has agreed to serve as a consultant to the Company to assist with certain financial and operational matters from November 15, 2019 through February 14, 2020. In consideration for his services as a consultant, the Company will pay Mr. Simaytis $17,000 per month during the term of the Consulting Agreement.
The foregoing descriptions of the Employment Agreement and the Consulting Agreement do not purport to be complete and are qualified in their entirety by reference to the Employment Agreement and the Consulting Agreement, which are attached as Exhibits 10.1 and 10.2, respectively, to this Current Report on Form 8-K and incorporated herein by reference.
| 10.1 | Executive Employment Agreement, dated as of June 30, 2019, by and between the Company and Brendan Simaytis. |
| 10.2 | Consulting and Nondisclosure Agreement, dated as of June 30, 2019, by and between the Company and Brendan Simaytis. |
Command Center, Inc. Exhibit
EX-10.1 2 ex101to8k11810003_07012019.htm Exhibit 10.1 EXECUTIVE EMPLOYMENT AGREEMENT DATED AS OF JUNE 30,…
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About Command Center, Inc. (OTCMKTS:CCNI)
Command Center, Inc. is a staffing company. The Company operates primarily in the manual labor segment of the staffing industry. The Company provides on-demand employees for manual labor, light industrial and skilled trades applications. Its customers are primarily small to mid-sized businesses in the wholesale trades, manufacturing, hospitality, construction, retail and auto auction industries. The Company owns and operates approximately 60 on-demand labor stores in over 20 states. In addition to short and longer term temporary work assignments, the Company recruits and places workers in temp-to-hire situations.