SYNBIOTICS CORP
EMPLOYMENT SEPERATION & GENERAL AGREEMENT
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<TYPE>EX-10.7.2
<SEQUENCE>7
<FILENAME>dex1072.htm
<DESCRIPTION>EMPLOYMENT SEPERATION & GENERAL AGREEMENT
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<TITLE>Employment Seperation &amp; General Agreement</TITLE>
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 <p align=right><font size=2 face="Times New Roman"><b>Exhibit 10.7.2</b></font></p> <p align=center><font size=2 face="Times New Roman"><b><u>EMPLOYMENT SEPARATION AND<br> GENERAL RELEASE AGREEMENT</u></b></font></p>
<p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS EMPLOYMENT SEPARATION AND GENERAL RELEASE AGREEMENT (hereinafter &#147;AGREEMENT&#148;) is made and entered into by and between Paul A. Rosinack
(hereinafter &#147;ROSINACK&#148;) and Synbiotics Corporation (hereinafter &#147;SYNBIOTICS&#148;), effective as of September 24, 2002, and inures to the benefit of each of SYNBIOTICS&#146; current, former and future parents, subsidiaries, related
entities, employee benefit plans and their fiduciaries, predecessors, successors, officers, directors, shareholders, agents, employees, members and assigns.</font></p> <p align=center><font size=2
face="Times New Roman"><b><u>RECITALS</u></b></font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ROSINACK has been through September 24, 2002 SYNBIOTICS&#146;
President and Chief Executive Officer and a member of SYNBIOTICS&#146; Board of Directors.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding
and in addition to any other written resignations, by executing this AGREEMENT, ROSINACK resigns from his employment with and from any and all of his positions as a director, officer and employee of SYNBIOTICS and its subsidiary Synbiotics Europe
SAS effective September 24, 2002.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ROSINACK and SYNBIOTICS wish to resolve permanently and amicably any and
all disputes arising or which may ever arise out of ROSINACK&#146;s employment with SYNBIOTICS.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SYNBIOTICS
wishes to retain ROSINACK as a consultant to SYNBIOTICS beginning September 25, 2002, and ROSINACK wishes to provide personal services to SYNBIOTICS in return for certain compensation, as more specifically identified herein.</font></p> <p><font
size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THEREFORE, in consideration of the mutual promises and covenants contained herein, it is hereby agreed by and between ROSINACK, on the one hand, and
SYNBIOTICS, on the other, as follows:</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Incorporation of Recitals</u>.</b>&#160; The Recitals and
identification of the parties to, and beneficiaries of, this AGREEMENT are incorporated by reference as though fully set forth herein.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>2.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Basic Entitlements</u>.</b>&#160; SYNBIOTICS agrees to pay to ROSINACK all of his wages (including his accrued and unused
vacation time) accrued through September 24, 2002 on or before September 24, 2002.&#160; The parties agree that this amount is $20,034.29, before applicable tax withholding.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SYNBIOTICS agrees to pay ROSINACK severance of $116,574.12, before any applicable tax withholding, on or before
September 24, 2002.</font></p> <font size=2 face="Times New Roman"><BR> </font>
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 <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as expressly provided in this Section 2, ROSINACK hereby waives
and renounces any and all other amounts which are or may become due to him under his Employment Agreement dated October 25, 1996, as amended February 14, 2001 (including the severance provisions thereof), and under any other written or oral
compensation arrangement.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ROSINACK acknowledges that effective upon his employment
termination he will be unable to continue his participation in SYNBIOTICS&#146; stock option plan, 401(k) plan, Section 125 cafeteria plan, or, except as allowed by COBRA, any other SYNBIOTICS perquisite, employee benefit plan or fringe benefit
plan.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>3.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Additional Benefits</u>.</b>&#160; SYNBIOTICS agrees to provide the following to ROSINACK,
which the parties acknowledge ROSINACK would not have been entitled to receive but for this AGREEMENT, in consideration for this AGREEMENT.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SYNBIOTICS agrees to pay ROSINACK additional severance of $19,429.02, before any
applicable tax withholding, on April 24, 2003, and additional severance of $19,429.02, before any applicable tax withholding, on May 24, 2003.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ROSINACK may retain the SYNBIOTICS laptop computer system which he used (subject to
Sections 7 and 8.1 below).</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The payments described in
Section 4(a) below.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>4.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>COBRA Benefits</u>.</b>&#160; ROSINACK acknowledges that he has been provided
with forms by which he may maintain his and his eligible dependents&#146; participation in SYNBIOTICS&#146; group medical and dental insurance plans pursuant to the terms of the Consolidated Omnibus Budget Reconciliation Act
(&#147;COBRA&#148;).&#160; SYNBIOTICS agrees that if ROSINACK timely elects to continue his and his eligible dependents&#146; participation in SYNBIOTICS&#146; group medical and dental insurance plans pursuant to COBRA, (a)&nbsp;SYNBIOTICS will pay
the employer portion of the COBRA premiums therefor on behalf of ROSINACK and his eligible dependents, until May 24, 2003, (b)&nbsp;ROSINACK will pay the employer portion thereafter if he chooses to continue COBRA coverage, and (c)&nbsp;ROSINACK
will at all times pay (to SYNBIOTICS) the employee portion.&#160; Nothing herein shall limit the right of SYNBIOTICS to change the provider and/or the terms of its group medical and/or dental insurance plan at any time hereafter.</font></p> <p><font
size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>5.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>No Employment Agreement</u>.</b>&#160; The parties acknowledge and agree that this AGREEMENT is not an employment
agreement, that the employment relationship between the parties has terminated, and that all prior agreements concerning employment and/or consultancy, whether oral or written, are superseded by this AGREEMENT.&#160; </font></p> <p><font size=2
face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Consulting Agreement</u>.&#160; </b></font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Term</u>.&#160; SYNBIOTICS agrees that commencing upon September 25, 2002, and
continuing through March 24, 2003, it shall retain ROSINACK as an independent contractor consultant (the &#147;Consulting Period&#148;).&#160; ROSINACK agrees to assist SYNBIOTICS as an independent contractor consultant during the Consulting Period.
Upon SYNBIOTICS&#146; request, ROSINACK shall provide seven full business days of consulting services before October 24, </font></p> <p align=center><font size=2 face="Times New Roman">-2-</font></p>

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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">2002, plus up to two hours of consulting services each month within each month from October 25, 2002 to March 24, 2003 (together,
the &#147;Core Time&#148;).</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Compensation</u>.&#160;
During the Consulting Period, SYNBIOTICS shall pay to ROSINACK for his consulting services the gross sum of $1,000 for each day of consulting which is provided in addition to the Core Time.&#160; No sum shall be payable to ROSINACK hereunder in
respect of the Core Time.&#160; The consulting fee shall be due and payable to ROSINACK in arrears semimonthly.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Duties</u>.&#160; During the Consulting Period, ROSINACK agrees to make himself
available to provide oral or written advice and input on SYNBIOTICS business matters, as may be requested of him from time to time by Christopher Hendy and/or Thomas Donelan.&#160; ROSINACK shall report only to Christopher Hendy and/or Thomas
Donelan, and shall communicate only with such persons, unless specifically directed otherwise by Christopher Hendy and/or Thomas Donelan.&#160; ROSINACK shall comply with all applicable laws in the course of his work.&#160; All works of authorship
made by ROSINACK in the course of his duties shall be &#147;works made for hire.&#148; ROSINACK agrees that SYNBIOTICS shall own the copyright on such works of authorship with no license back to ROSINACK, and that SYNBIOTICS shall own the patent
rights on all inventions made by ROSINACK in the course of his duties (again with no license back to ROSINACK).&#160; ROSINACK shall provide all reasonable assistance to SYNBIOTICS in evidencing and prosecuting SYNBIOTICS&#146; copyright and patent
rights in such works of authorship and inventions.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Time
Commitment</u>.&#160; This Section 6.4 is subject to Section 6.1.&#160; During the Consulting Period, ROSINACK shall make himself available to SYNBIOTICS to perform consulting duties on a reasonable, part-time, as-needed basis as requested by
SYNBIOTICS.&#160; SYNBIOTICS agrees to provide ROSINACK with reasonable advance notice of its need for his services.&#160; SYNBIOTICS and ROSINACK shall use reasonable efforts to coordinate any scheduling conflicts between ROSINACK&#146;s other
activities and engagements and the services to be performed by ROSINACK for SYNBIOTICS.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Independent Contractor</u>.&#160; ROSINACK acknowledges that he is an independent
contractor, is not an agent or employee of SYNBIOTICS, is not entitled to any Company employment rights or benefits and is not authorized to act on behalf of SYNBIOTICS.&#160; ROSINACK shall be solely responsible for any and all tax obligations of
ROSINACK, including but not limited to, all city, state and federal income taxes, social security withholding tax, workers&#146; compensation insurance and other self employment tax incurred by ROSINACK. SYNBIOTICS shall not dictate the work hours
of ROSINACK during the term of this AGREEMENT.&#160; The parties hereby acknowledge and agree that SYNBIOTICS shall have no right to control the manner, means, or method by which ROSINACK performs the services called for by this AGREEMENT.&#160;
Rather, SYNBIOTICS shall be entitled only to direct ROSINACK with respect to the elements of services to be performed by ROSINACK and the results to be derived by SYNBIOTICS, to inform ROSINACK as to where and when such services shall be performed,
to limit and identify the persons at SYNBIOTICS with whom ROSINACK may communicate, and to review and assess the performance of such services by ROSINACK for the purposes of assuring that such services have been performed and confirming that such
results were satisfactory.&#160; SYNBIOTICS shall be entitled to exercise broad general </font></p> <p align=center><font size=2 face="Times New Roman">-3-</font></p>

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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">power of supervision and control over the results of work performed by ROSINACK to ensure satisfactory performance, including the
right to inspect, the right to stop work, the right to make suggestions or recommendations as to the details of the work, and the right to propose modifications to the work.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>No Agency Relationship</u>.&#160; Nothing herein shall be deemed to create an
agency relationship between the parties hereto.&#160; ROSINACK understands and agrees that, except as specifically and in writing directed to do so by Christopher Hendy and/or Thomas Donelan, he is not authorized to bind or to act on behalf of
SYNBIOTICS, and he agrees not to purport otherwise.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Business Expenses</u>.&#160; It is expressly understood and agreed that during the
Consulting Period, ROSINACK shall not incur any business expenses without the prior approval of Christopher Hendy and/or Thomas Donelan.&#160; To the extent such business expenses have been approved in advance, SYNBIOTICS shall reimburse ROSINACK
for reasonable business expenses incurred by him as a necessary consequence of his performance of his consulting duties on SYNBIOTICS&#146; behalf.&#160; ROSINACK shall submit written requests for reimbursement of said business expenses, together
with supporting receipts, on or before the last day of each month of the Consulting Period.&#160; Reimbursement of ROSINACK&#146;s business expenses shall be paid in the time and manner which are consistent with SYNBIOTICS&#146; current policy
concerning employee/consultant business expenses.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Outside Activities</u>.&#160; It is expressly understood and agreed that during
the Consulting Period, ROSINACK may accept other employment.&#160; ROSINACK may also engage in civic and not-for-profit activities.</font></p> <p><font size=2
face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Proprietary Information Obligations</u>.</b></font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Agreement</u>.&#160; ROSINACK acknowledges that he is a party to and bound by the
terms and conditions of that certain confidentiality/inventions Agreement by and between SYNBIOTICS and him dated October 25, 1996 (the &#147;Proprietary Information Agreement&#148;).</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Remedies</u>.&#160; ROSINACK understands that his duties under the Proprietary
Information Agreement survive the termination of his employment with SYNBIOTICS and continue to remain in effect during his consultancy to SYNBIOTICS, and will survive the expiration or termination of this AGREEMENT.&#160; ROSINACK acknowledges that
a remedy at law for any breach or threatened breach by him of the provisions of the Proprietary Information Agreement would be inadequate, and he therefore agrees that SYNBIOTICS shall be entitled to injunctive relief in case of any such breach or
threatened breach.</font></p> <p><font size=2 face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Trade Secrets and Confidential Information</u>.</b></font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Valuable Confidential Information</u>.&#160; ROSINACK acknowledges that SYNBIOTICS
has invested substantial time, money and resources in the development and retention of its inventions, confidential information (including trade secrets), customers, accounts and business partners, and further acknowledges that during the course of
his employment with SYNBIOTICS ROSINACK had access to SYNBIOTICS&#146; inventions and confidential information (including trade secrets), and was introduced to existing and prospective customers,</font></p> <p align=center><font size=2
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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">&#160;accounts and business partners of SYNBIOTICS.&#160; The parties acknowledge that in connection with ROSINACK&#146;s
provision of consulting services to SYNBIOTICS, he may continue to have access to SYNBIOTICS&#146; inventions and confidential information (including trade secrets).&#160; ROSINACK acknowledges and agrees that any and all &#147;goodwill&#148;
associated with any existing or prospective customer, account or business partner belongs exclusively to SYNBIOTICS, including, but not limited to, any goodwill created as a result of direct or indirect contacts or relationships between ROSINACK and
any existing or prospective customers, accounts or business partners.&#160; </font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Non-Solicitation</u>.&#160; During the Consulting Period, ROSINACK agrees not to
interfere with the business of SYNBIOTICS by soliciting or inducing any employee or consultant of SYNBIOTICS to terminate his or her employment or engagement with SYNBIOTICS, or to reduce his or her time commitment or scope of services provided to
SYNBIOTICS.&#160; The foregoing restrictions shall apply to ROSINACK regardless of whether he is acting directly or indirectly, alone or in concert with others.&#160; ROSINACK understands and agrees that he cannot and will not do indirectly that
which he cannot do directly.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Savings Clause</u>.&#160;
If any restriction set forth above within this section is held to be unreasonable, then ROSINACK agrees, and hereby submits, to the reduction and limitation of such prohibition to such scope as shall be deemed reasonable.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Injunctive Relief</u>.&#160; ROSINACK expressly agrees that the covenants set
forth in this Section 8 are reasonable and necessary to protect SYNBIOTICS and its legitimate business interests, and to prevent the unauthorized dissemination of confidential information to competitors of SYNBIOTICS.&#160; ROSINACK also agrees that
SYNBIOTICS will be irreparably harmed and that damages alone cannot adequately compensate SYNBIOTICS if there is a violation of the provisions of this Section 8 by ROSINACK, and that injunctive relief against ROSINACK is essential for the protection
of SYNBIOTICS. &#160;Therefore, in the event of any such breach, it is agreed that, in addition to any other remedies available, SYNBIOTICS shall be entitled as a matter of right to injunctive relief in any court of competent jurisdiction, plus
attorneys&#146; fees actually incurred for the securing of such relief.</font></p> <p><font size=2 face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>General Release</u>.&#160;
</b></font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>General Release</u>.&#160; ROSINACK, for himself,
and his wife, relatives, heirs, executors, administrators, assigns and affiliates, past, present and future, fully and forever releases and discharges SYNBIOTICS and each of its current, former and future parents, subsidiaries, related entities,
affiliates, employee benefit plans and its and their fiduciaries, predecessors, successors, officers, directors, shareholders, agents, employees, members and assigns (collectively, &#147;Releasees&#148;), with respect to any and all claims,
liabilities, causes of action, suits, debts, contracts, agreements, promises, demands, losses, settlements, diminutions in value, judgments, damages, penalties, costs and expenses (including, without limitation, attorneys&#146; fees) of every
nature, kind and description, in law, equity or otherwise (collectively, &#147;Claims&#148;), which have arisen, occurred or existed at any time before the signing of this AGREEMENT (even if they do not become matured or known until after the
signing), including, without limitation, any and all Claims arising out of or relating to ROSINACK&#146;s employment with SYNBIOTICS or the cessation of that employment or his Employment Agreement; </font></p> <p align=center><font size=2
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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">provided, however, that claims under his Indemnification Agreement and the Proprietary Information Agreement, state unemployment
insurance benefits, workers compensation insurance benefits, benefit entitlements vested as of September 24, 2002 pursuant to the written terms of any SYNBIOTICS employee benefit plan, and enforcement of this AGREEMENT are excluded from the
definition of &#147;Claims&#148; and are not released.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Knowing Waiver of Employment Related Claims</u>.&#160; ROSINACK understands and
agrees that, without limitation, he is waiving and releasing any and all rights he may have had, now has, or in the future may have, to pursue against SYNBIOTICS or any of the other Releasees any and all remedies available to him under any
employment-related Claims and causes of action, including without limitation, claims of wrongful discharge, breach of contract, breach of the covenant of good faith and fair dealing, fraud, violation of public policy, defamation, discrimination,
personal injury, physical injury, emotional distress, claims under Title VII of the Civil Rights Act of 1964, as amended, the Age Discrimination in Employment Act, the Americans With Disabilities Act, the Federal Rehabilitation Act, the Family and
Medical Leave Act, the California Fair Employment and Housing Act, the California Family Rights Act, the Equal Pay Act of 1963, the provisions of the California Labor Code and any other federal, state or local laws and regulations relating to
employment, conditions of employment (including wage and hour laws) and/or employment discrimination (all subject to Section 9.1 above).</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Waiver of Civil Code &#167; 1542</u>.&#160; ROSINACK expressly waives any and all
rights and benefits conferred upon him by Section 1542 of the Civil Code of the State of California, which states as follows, and under all federal, state and/or common-law statutes or principles of similar effect:</font></p>
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<td width="98%" valign=top> <p><font size=2 face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of
executing the release, which if known by him must have materially affected his settlement with the debtor.&#148;</b></font></p> </td> </tr> </table> <p><font size=2 face="Times New Roman">ROSINACK expressly agrees and understands that the release
given by him pursuant to this AGREEMENT applies to all unknown, unsuspected and unanticipated Claims which ROSINACK may have against SYNBIOTICS or any of the other Releasees.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>No Prior Assignments</u>.&#160; ROSINACK represents and warrants that there has
been no assignment or other transfer of any interest in any Claim which ROSINACK may have against SYNBIOTICS or any of the other Releasees, or any of them, and ROSINACK agrees to defend, indemnify and hold SYNBIOTICS and the other Releasees, and
each of them, harmless from any liability, claims, demands, damages, settlements, judgments, penalties, costs, expenses and attorneys&#146; fees incurred by SYNBIOTICS or any of the other Releasees, or any of them, as a result of any person
asserting any such assignment or transfer.&#160; It is the intention of the parties that this indemnity does not require payment as a condition precedent to recovery by SYNBIOTICS and the other Releasees under the indemnity, and that this indemnity
shall be payable as incurred and on demand. </font></p> <p align=center><font size=2 face="Times New Roman">-6-</font></p>

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face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.5&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Denial of Liability and Obligation</u>.&#160; This AGREEMENT is not intended to
and shall not constitute any admission or concession of any kind by SYNBIOTICS or any other person as to the existence of any liability or obligation to ROSINACK under any Claim.&#160; SYNBIOTICS and the other Releasees specifically deny the
existence of any such liability or obligation to ROSINACK.</font></p> <p><font size=2 face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;&nbsp;&nbsp;<u>Promise to Refrain from Suit or Administrative
Action</u></b>.&#160; ROSINACK promises and agrees that he will never sue SYNBIOTICS or any of the other Releasees, or otherwise institute or participate in any legal or administrative proceedings against SYNBIOTICS or any of the other Releasees (or
aid anyone else to do so), with respect to any Claim covered by the release provisions of this AGREEMENT.&#160; ROSINACK agrees that if ROSINACK violates this Section 10 in any manner or in any manner asserts against SYNBIOTICS or any of the other
Releasees, or any of them, any of the Claims released hereunder, then ROSINACK will pay to SYNBIOTICS and the other Releasees, and each of them, in addition to any other damages caused to SYNBIOTICS and the other Releasees thereby, all
attorneys&#146; fees incurred by SYNBIOTICS and the other Releasees in defending or otherwise responding to said lawsuit, proceeding or Claim.&#160; Notwithstanding the foregoing, ROSINACK does not waive any rights to unemployment compensation and
does not waive any rights to workers compensation claims under the California Labor Code.</font></p> <p><font size=2 face="Times New Roman"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.&nbsp;&nbsp;&nbsp;<u>Full
Defense</u>.</b>&#160; It is specifically understood and agreed that this AGREEMENT may be pleaded as a full and complete defense to and may be used as the basis for an injunction against any action, arbitration, suit, or other proceeding which may
be instituted, prosecuted or attempted in breach of this AGREEMENT. </font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>12.&nbsp;&nbsp;&nbsp;<u>Assumption of Risk as to
Facts</u>.</b>&#160; The parties both understand that if the facts with respect to which they are executing this AGREEMENT are later found to be other than or different from the facts both or either of them now believe to be true, they expressly
accept and assume the risk of such possible difference in fact and agree that this AGREEMENT shall remain effective despite any difference of fact. </font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>13.&nbsp;&nbsp;&nbsp;<u>No Outside Representations</u>.</b>&#160; No representation, warranty, condition, promise, understanding or agreement of any kind with
respect to the subject matter hereof has been made by either party or by anyone else, nor shall any such be relied upon by either party, except those contained herein.&#160; There were no inducements to enter into this AGREEMENT, except for what is
expressly set forth in this AGREEMENT.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>14.&nbsp;&nbsp;&nbsp;<u>Severability</u>.</b>&#160; All provisions contained herein are severable
and in the event that any of them shall be held to be to any extent invalid or otherwise unenforceable by any court of competent jurisdiction, such provision shall be construed as if it were written so as to effectuate to the greatest possible
extent the parties&#146; expressed intent; and in every case the remainder of this AGREEMENT shall not be affected thereby and shall remain valid and enforceable, as if such affected provision were not contained herein.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>15.&nbsp;&nbsp;&nbsp;<u>Entire Agreement</u>.</b>&#160; This AGREEMENT represents and contains the entire agreement and understanding between the Parties with
respect to the subject matter of this Agreement (which is deemed to include, without limitation, ROSINACK&#146;s employment with</font></p> <p align=center><font size=2 face="Times New Roman">-7-</font></p>

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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">SYNBIOTICS, all rights and benefits in connection therewith, all written or oral contracts&#160; relating thereto,
ROSINACK&#146;s retention bonus, stock and stock options, and all matters relating to the cessation or termination of such employment), and completely supersedes any and all prior or contemporaneous agreements, understandings, arrangements,
commitments, negotiations and discussions of the Parties, whether oral or written (all of which shall have no substantive significance or evidentiary effect); provided, that the Parties hereby confirm that except as expressly provided herein this
AGREEMENT does not in any way supersede the Proprietary Information Agreement, or the shares owned by ROSINACK.&#160; Each Party acknowledges, represents and warrants that he or it has not relied on any representation, agreement, understanding,
arrangement or commitment which has not been expressly set forth in this AGREEMENT.&#160; Each Party acknowledges, represents and warrants that this AGREEMENT is fully integrated and not in need of parol evidence in order to reflect the intentions
of the Parties.&#160; The Parties specifically intend that the literal words of this AGREEMENT shall, alone, conclusively determine all questions concerning the Parties&#146; intent.&#160; This AGREEMENT may not be amended or modified or waived
except by an agreement signed by all Parties.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>16.&nbsp;&nbsp;&nbsp;<u>Tax Consequences</u>. </b>&#160;Except as expressly set forth
herein, SYNBIOTICS shall have no obligation to ROSINACK with respect to any tax obligations incurred as the result of or attributable to this AGREEMENT or arising from any payments made or to be made hereunder.&#160; Any payments made pursuant to
this AGREEMENT shall be subject to such withholding and reports as may be required by any then-applicable laws or regulations of any state or federal taxing authority.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>17.&nbsp;&nbsp;&nbsp;<u>Waiver, Amendment and Modification of AGREEMENT</u></b>.&#160; The parties agree that no waiver, amendment or modification of any of the
terms of this AGREEMENT shall be effective unless in writing and signed by all parties affected by the waiver, amendment or modification.&#160; No waiver of any term, condition or default of any&#160; term of this AGREEMENT shall operate or be
construed as a waiver of any preceding or succeeding breach of the same or any other term or provision, or a waiver of any contemporaneous breach of any other term or provision, or a continuing waiver of the same or any other term or
provision.&#160; No failure or delay by a party in exercising any right, power, or privilege hereunder or other conduct by a party shall operate as a waiver thereof, in the particular case or in any past or future case, and no single or partial
exercise thereof shall preclude the full exercise or further exercise of any right, power, or privilege.&#160; No action taken pursuant to this AGREEMENT shall be deemed to constitute a waiver by the party taking such action of compliance with any
representations, warranties, covenants or agreements contained herein.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>18.&nbsp;&nbsp;&nbsp;<u>Representation by Counsel</u>.&#160;
</b>The parties acknowledge that they have the right to have been represented in by counsel of their own choosing, and that they have entered into this AGREEMENT voluntarily, without coercion, and based upon their own judgment and not in reliance
upon any representations or promises made by the other party or parties or any undersigned attorneys, other than those contained within this AGREEMENT.&#160; The parties further agree that if any of the facts or matters upon which they now rely in
making this AGREEMENT hereafter prove to be otherwise, this AGREEMENT will nonetheless remain in full force and effect.&#160; ROSINACK acknowledges that Brobeck, Phleger &amp; Harrison LLP, SYNBIOTICS&#146; lawyers, has represented SYNBIOTICS only
and has not represented or advised him in connection with this AGREEMENT.</font></p> <p align=center><font size=2 face="Times New Roman">-8-</font></p>

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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>19.&nbsp;&nbsp;&nbsp;<u>California Law</u>.</b>&#160; The parties
agree that this AGREEMENT and its terms shall be construed under California law.&#160; </font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>20.&nbsp;&nbsp;&nbsp;<u>Agreement to Arbitrate
Claims Arising from AGREEMENT</u>.&#160; </b>The parties agree that with the exception of disputes and claims identified below, if any dispute arises concerning interpretation and/or enforcement of the terms of this AGREEMENT, said dispute shall be
resolved by binding arbitration conducted before a single arbitrator in San Diego, California in accordance with the American Arbitration Association&#146;s National Rules for the Resolution of Employment Disputes, and in accordance with the
guidelines delineated by the California Supreme Court in <u>Armendariz v. Foundation Health Psychcare Services, Inc.</u> (2000).&#160; Notwithstanding this agreement to arbitrate, neither party shall be precluded from seeking injunctive relief in a
judicial forum.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>21.&nbsp;&nbsp;&nbsp;<u>Drafting</u></b>.&#160; The parties agree that this AGREEMENT shall be construed without regard
to the drafter of the same and shall be construed as though each party to this AGREEMENT participated equally in the preparation and drafting of this AGREEMENT.</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>22.&nbsp;&nbsp;&nbsp;<u>Counterparts</u>.&#160; </b>This AGREEMENT may be signed in counterparts and said counterparts shall be treated as though signed as one
document.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>23.&nbsp;&nbsp;&nbsp;<u>Reasonable Cooperation</u>.</b>&#160; ROSINACK agrees:</font></p> <p><font size=2
face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To immediately relinquish SYNBIOTICS credit cards and keys and any other SYNBIOTICS
property (except as set forth in Section 2(b)) and otherwise comply with SYNBIOTICS&#146; practices and procedures for terminated employees.&#160; Without limitation, he shall not retain copies of any SYNBIOTICS documents or files.</font></p>
<p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to Sections 6.1 and 6.2, to respond to reasonable requests
from SYNBIOTICS for information, and, upon SYNBIOTICS&#146; reasonable request, to provide testimony and other assistance in any litigation or other proceeding in which he is not a party adverse to SYNBIOTICS; provided, that no consulting fee shall
be charged for the first full day of trial attendance.</font></p> <p><font size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>24.&nbsp;&nbsp;&nbsp;<u>Period to Consider Terms of AGREEMENT</u>.&#160;
</b>ROSINACK acknowledges that ROSINACK originally received a form of this AGREEMENT on September 19, 2002, and was given 27 days thereafter in which to consider this AGREEMENT (including ROSINACK&#146;s waivers made in this AGREEMENT).&#160;
ROSINACK acknowledges that SYNBIOTICS committed to him that if SYNBIOTICS would apply no coercion to sign early so that, if ROSINACK decided to sign it in less than 27 days, ROSINACK would do so voluntarily and of his own free will.&#160; ROSINACK
also acknowledges that SYNBIOTICS made clear that its September 19, 2002 offer to enter into this AGREEMENT would not be withdrawn or altered even if ROSINACK took the full 27 days, and that he would receive no different terms if he signed before
the full 27 days or if he took the full 27 days.&#160; ROSINACK acknowledges that ROSINACK has read and understands this AGREEMENT, and that ROSINACK has been encouraged to consult and has consulted an attorney and obtained independent legal advice
regarding this AGREEMENT.&#160; The form of this AGREEMENT has been revised in accordance with certain requests made by ROSINACK and his attorney.&#160;&#160; ROSINACK has not been coerced </font></p> <p align=center><font size=2
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 <font size=2 face="Times New Roman"><BR> </font> <p><font size=2 face="Times New Roman">into signing this AGREEMENT and is entering into this AGREEMENT voluntarily and of ROSINACK&#146;s own free will.&#160; ROSINACK
further acknowledges that the waivers ROSINACK is making in this AGREEMENT are knowing, conscious and voluntary and are made with full appreciation that ROSINACK is forever foreclosed from pursuing any of the rights so waived.</font></p> <p><font
size=2 face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>25.&nbsp;&nbsp;&nbsp;<u>Revocation of AGREEMENT</u>.</b>&#160; ROSINACK understands that after executing this AGREEMENT, he has the right to revoke it
within seven (7) days after his execution of it.&#160; ROSINACK understands that this AGREEMENT will not become effective and enforceable unless the seven day revocation period passes and ROSINACK does not revoke the AGREEMENT in writing.&#160;
ROSINACK understands that this AGREEMENT may not be revoked after the seven day revocation period has passed.&#160; ROSINACK understands that any revocation of this AGREEMENT must be made in writing and delivered to SYNBIOTICS within the seven day
period, and that if he does so revoke the AGREEMENT, he shall not be entitled to receive any of the benefits described herein (except for those described in Section 2).</font></p>
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<td width="61%" valign=bottom> <p><font size=2 face="Times New Roman">Dated:&#160; September 24, 2002</font></p> </td>
<td width="2%" valign=bottom> <p><Font size="2" face="Times New Roman">&nbsp;</font></p> </td>
<td width="36%" valign=bottom> <p align=center><font size=2 face="Times New Roman">/s/ PAUL A. ROSINACK</font></p> </td> </tr>
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<td width="36%" valign=bottom> <p align=center><font size=1 face="Times New Roman"><b>PAUL A. ROSINACK</b></font></p> </td> </tr>
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<td width="38%" colspan="2" valign=bottom> <p><font size=2 face="Times New Roman">SYNBIOTICS CORPORATION</font></p> </td> </tr>
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<td width="61%" valign=bottom> <p><font size=2 face="Times New Roman">Dated: September 24, 2002</font></p> </td>
<td width="2%" valign=bottom> <p><font size=2 face="Times New Roman">By</font></p> </td>
<td width="36%" valign=bottom> <p align=center><font size=2 face="Times New Roman">/s/ CHRISTOPHER P. HENDY</font></p> </td> </tr>
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<td width="36%" valign=bottom> <p align=center><font size=1 face="Times New Roman"><b>Christopher P. Hendy<br> Vice President</b></font></p> </td> </tr> </table> <p align=center><font size=2 face="Times New Roman">-10-</font></p> <p><font size=2
face="Times New Roman">&nbsp;</font></p>
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