SEPARATION AGREEMENT
This SEPARATION AGREEMENT, dated as of ____________________, is entered into by Wanis Saud, Ibrahim Al-Furatia, Muhammad Al-Kout collectively known as (“Partners”)
RECITALS
WHEREAS, the Partners have determined that it is in the best interests of the Companies and the Partners to create two companies Awwad Transportation LLC herein referred to as Company A and Freightline Company LLC herein referred to as Company B;
WHEREAS, at a meeting held on February 28, 2021, the Partners agreed to be responsible for any financial cost, any judgment from the beginning of the agreement of June 1st 2019 to January 1st 2021.
NOW THEREFORE, the Parties agree as follows:
- SEPARATION
To the extent not already complete, Awwad and Freightline agree to implement the Separation and to cause the separated Company A to Ibrahim Al-Furati who will own 66.3% of the Company and Wanis Saud who will own 33.3% of the Company and Company B to Muhammad Al-Koot who will own 66.3% of the Company and Nees Saud will own 33.3 % of the Company. The separation shall be completed in accordance with the agreed general principles.
- ASSETS
The Parties shall continue on and after the effective time to use reasonable efforts to cancel and suspend of all credit cards, financial accounts, and bank accounts for both Company A and Company B. the Parties will pay any cash advances or loans he owes to the business, deposit the deposit amount to the bank, and return all rented trucks and equipment.
- PROFITS AND LOSSES
The Parties agree that all profits and losses acquired from the business will be shared equally among the members.
- GENERAL COVENANTS
Each Party covenants to do and perform all such acts and things, execute and deliver all such agreements, assurances, notices, and other documents and instruments as may reasonably be required of it to facilitate the carrying out and intent and purpose of this Agreement.
Each Party agrees to cooperate with and assist the other Party, both before and after the Effective Time, in dealing with transitional matters relating to or arising from the Separation, the Reclassification, this Agreement or the Ancillary Agreements.
- CONFIDENTIALITY
Each Party acknowledges that customer lists, trade secrets, processes, methods and technical information of the Companies are valuable assets. Unless a Party obtains written consent of all Partners, each party agrees never to disclose to any individual or organization, except in authorized connection with the business of the Company.
- DISPUTE RESOLUTION
Any dispute relating to this Separation Agreement, or arising out of or relating to the operation of the Companies, or the rights or obligations of the Partners, shall be settled by mediation.
- BINDING
This Agreement will be binding on the parties to the Agreement and on each of their heirs, executors, administrators, successors and assigns.
- SEVERABILITY
If any provision is unenforceable or invalid for any reason, the remaining provisions shall be unaffected by such a holding.
- GOVERNING LAW
This Agreement shall be construed according and governed by the laws of _____________
- ENTIRE AGREEMENT
This document constitutes the entire agreement of the Partners and it voids any negotiations, oral agreements or written agreements made before. Any modifications must be in writing and approved by all partners.
IN WITNESS WHEREOF, this Agreement has been executed and delivered in the manner prescribed by law as of the Effective Date first written above.
Name: __________________
Signature: ________________
Date: ___________________
Name: __________________
Signature: _________________
Date: _________________
Name: _________________
Signature: __________________
Date: __________________
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