- 9 - Under a cover letter dated April 7, 1988, Mr. Carpenter sent Mr. Hyde a draft addendum to the purchase agreement; the draft addendum was titled "Noncompetition and Consulting Agreement" (draft noncompetition and consulting Agreement). The draft noncompetition and consulting agreement enclosed in Mr. Carpenter's April 7, 1988, letter to Mr. Hyde provided, in pertinent part, that: (1) The buyers would pay Mr. Wright $675,000 on the closing date as consideration for his covenant not to compete; (2) the buyers would employ Mr. Wright as a consultant for a period of 3 years, paying Mr. Wright $675,000 in cash, payable in three equal annual installments of $225,000; and (3) the buyers would also pay Mr. Wright a per diem fee of $1,000 per day for each and every day, or part thereof, that Mr. Wright expended any time consulting in any fashion with the buyers, whether such consultation was by telephone or in person. Mr. Hyde went over Mr. Carpenter's letter and the accompanying draft noncompetition and consulting agreement, and he discussed the proposed agreement with the buyers. After his discussions with the buyers, Mr. Hyde prepared and faxed a letter to Mr. Carpenter; the letter was received by Mr. Carpenter on April 11, 1988. In regard to the consulting portion of the draft noncompetition and consulting agreement, Mr. Hyde's letter suggested adding the following sentence: "Buyer may prepay these payments at any time, without penalty or terminating thePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011