BIORELIANCE CORP
EMPLOYMENT AGREEMENT, ALLAN J. DARLING
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>5
<FILENAME>w60633ex10-3.htm
<DESCRIPTION>EMPLOYMENT AGREEMENT, ALLAN J. DARLING
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<P align="right"><B>EXHIBIT 10.3</B>
<P align="center"><FONT size="2"><B><U>EMPLOYMENT AGREEMENT</U></B>
</FONT>

<P><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS AGREEMENT is
effective the 31st day of December, 2001 by and between
BioReliance Corporation, a Delaware corporation with principal offices located
at 14920 Broschart Road, Rockville, Maryland 20850, and all of its subsidiary
companies and its successors or assigns (the &#147;Corporation&#148;) and Allan J.
Darling, Ph.D. (the &#147;Executive&#148;).
</FONT>
<P><FONT size="2">A.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>POSITION AND
EMPLOYMENT RELATIONSHIP:</U></B>
</FONT>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="4%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">1.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">The Executive is currently employed as the Vice President,
U.S. Biosafety Testing (&#147;Vice President&#148;). Commencing on the
effective date of this Agreement for a term of twelve (12)&nbsp;months,
the Corporation hereby agrees to continue to employ the Executive in
his current position or a comparable position consistent with his
qualifications and experience, and the business needs of the
Corporation, as determined by the Corporation&#146;s President and Chief
Executive Officer (&#147;CEO&#148;), in consultation with the Corporation&#146;s
Board of Directors (the &#147;Board&#148;).</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="4%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">2.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">Such employment relationship is not at-will and is instead
governed by the terms and conditions set forth in this Agreement.
The Employment relationship, however, may be terminated by the
Corporation or the Executive prior to the expiration of this twelve
(12)&nbsp;month term pursuant to sections E, H and I respectively of this
Agreement.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="4%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">3.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">As Vice President, the Executive shall perform such duties as
may be assigned to the Executive from time to time by the CEO or the
Board, including, but not limited to the following: developing and
executing plans toward attainment of current and long-range
objectives, including achieving revenue, revenue growth and income
objectives, maximum return on invested capital, and quality, client
satisfaction and employee development goals; developing financial
plans and budgets; overseeing all reporting functions; coordinating
activities with other vice presidents and supporting departmental
directors; supporting Corporate activities including market
analyses, strategic planning, R&#038;D planning and project selection,
engagement and assessments of potential partners, and the like;
supporting the evaluation and analysis of acquisition opportunities,
if any; developing and documenting novel or typical service
programs, procedures, methodologies and the like; meeting with
clients, understanding their product and production methods and
developing timely and cost-effective strategies acceptable to them
and to various national regulatory authorities; designing major
projects and, as appropriate, writing major project plans; closing
key proposals; directing</FONT></TD>
</TR>
</TABLE>
<P align="center"><FONT size="2">Page 1 of 6</FONT>
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<P>
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<TR valign="top">
        <TD width="5%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">&nbsp;</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">complex technical activities, in particular projects of significant scale
and scope; solving challenging technical, regulatory and service problems;
building client relationships; and anticipating follow-on client engagements.</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">B.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>LIMITATION ON OUTSIDE
ACTIVITIES</U></B>: The Executive shall devote his full
employment energies, interest, abilities and time to the performance of
the obligations hereunder and shall not, without written consent of the
Corporation, through its President and CEO, render to others any service
of any kind for compensation, and in addition, shall not engage in any
activity which conflicts or interferes with the performance of the
Executive&#146;s duties hereunder.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">C.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>COMPENSATION:</U> </B>For all services rendered by Executive pursuant to this
Agreement, Corporation will pay to Executive, and the Executive will
accept as full compensation hereunder, the following:</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="5%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">1.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Base Salary: </B>The Executive&#146;s annual base salary (&#147;salary&#148;)
during calendar year 2001, as determined by the Compensation
Committee of the Board, shall be One Hundred and Eighty-Nine
Thousand Dollars ($189,000). The salary will be subject to all
appropriate federal, state and local withholding requirements and
will be payable in equal bi-weekly installments. The Executive&#146;s
salary during a subsequent calendar year during the term of this
Agreement will be determined by the Compensation Committee of the
Board based upon the recommendation of the President and CEO.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="5%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">2.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Performance Bonus: </B>If the Executive remains in the employ of
the Corporation through December&nbsp;31 of each year during the term of
this Agreement, the Executive shall be eligible for a performance
bonus (&#147;bonus&#148;) based on individual and corporate performance
factors relating to mutually acceptable objectives. Executive&#146;s
bonus will be subject to all appropriate federal, state and local
withholding requirements. The exact amount of the bonus will be at
the discretion of the Compensation Committee of the Board. The
Corporation will be obligated to pay the Executive the bonus as
long as the Executive (a)&nbsp;does not resign from the Corporation
before December&nbsp;31 of each year, or (b)&nbsp;is not terminated for Cause
(as hereinafter defined), or (c)&nbsp;does not fail to meet his
individual performance objectives. This bonus may also be paid out
on a quarterly basis at the discretion of the Compensation
Committee of the Board.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="5%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">3.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Incentive Stock Options</B>: As an inducement to remain in the employ of the
Corporation and as an incentive to build the Corporation&#146;s value, the
Corporation may grant to the Executive additional Incentive Stock Options
or Nonqualified Stock Options. The number of option shares to be granted
and their timing and </FONT></TD>
</TR>
</TABLE>
<P align="center"><FONT size="2">Page 2 of 6</FONT>
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<P>
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<TR valign="top">
        <TD width="5%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">&nbsp;</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">other terms will be determined by the Compensation
Committee of the Board and governed by the applicable incentive plan.</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">D.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>BENEFITS AND
PERQUISITES:</U></B></FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="5%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">1.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Medical and Other Insurance Coverage: </B>The Corporation shall
provide such medical and other insurance coverage to the Executive
to the extent and on the terms that such benefits are made available
to other similarly situated employees. This provision does not
alter the Corporation&#146;s right to modify or eliminate any employee
benefit plan from time to time and does not guarantee the
continuation of any kind or level of benefit or perquisite.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="4%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">2.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Paid Personal Leave: </B>The Executive shall receive vacation, sick and
personal holiday leave pursuant to the Corporation&#146;s Paid Personal Leave Policy
(&#147;PPL&#148;) under the schedule for an Executive of the Company, which is attached
hereto as Exhibit&nbsp;1 and incorporated herein by reference.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="4%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">3.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Other Perquisites and Benefits: </B>The Corporation will provide
the Executive with appropriate office space, as it deems necessary,
and will provide telephone, computer, email and internet access as required to
perform the Executive&#146;s duties during the term of his employment.</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">E.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>TERMINATION AND RIGHTS
UPON TERMINATION:</U> </B>During the term of this
Agreement, Executive&#146;s employment is not at-will and may be terminated by
the Corporation only on two bases: (1)&nbsp;Cause; or (2)&nbsp;Without Cause. As
used in this Agreement,&#147;Cause&#148; shall mean that the Executive:</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="10%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(1)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">committed an act or acts of personal dishonesty
intended to result in the Executive&#146;s personal enrichment at
the expense of the Corporation, and which constitute(s) fraud,
embezzlement, grand larceny or any felonious act;</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(2)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">failed or refused to perform the Executive&#146;s
duties and obligations as an employee of the Corporation;</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(3)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">committed an act of willful misconduct;</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(4)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">was convicted of a criminal act;</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(5)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">has engaged in the unlawful use of narcotics;</FONT></TD>
</TR>
</TABLE>
<P align="center"><FONT size="2">Page 3 of 6</FONT>
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<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="10%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(6)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">engaged in abusive use of alcohol to a degree, or
in a manner, that would materially and adversely affect the
performance of the Executive&#146;s assigned work or degrade the
reputation of the Corporation;</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(7)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">violated the terms of the Confidentiality, Trade
Secrets and Noncompetition Agreement he signed on March&nbsp;1,
1999; or</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">(8)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">violated or breached the terms of this Agreement.</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR>
        <TD width="4%"></TD>
        <TD width="96%"></TD>
</TR>
<TR valign="top">
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD><FONT size="2">Any reason for termination other than those set forth above and in
section H below will be deemed to be Without Cause.</FONT></TD>
</TR>

</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">F.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>TERMINATION WITHOUT
CAUSE &#151; EFFECT ON FUTURE COMPENSATION: </U></B>In the event
Executive is terminated Without Cause, Executive will be entitled to
receive the following compensation and benefits:</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="4%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">1.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Base Compensation: </B>The Corporation shall pay the Executive
his then current salary for the remaining term of this agreement or
for a period of six (6)&nbsp;months, which ever period is greater. Such
compensation shall be paid in equal monthly payments and will be
subject to all appropriate federal, state and local withholding
requirements.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="1%" align="left" nowrap><FONT size="2">2.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2"><B>Other Benefits: </B>The Corporation shall continue to make available, for a
period equal to the remaining term of this agreement or for a period of
six (6)&nbsp;months, which ever period is greater, the same medical and other
insurance benefits made available to other similarly situated employees
and their dependents at a cost equal to the cost the Executive would have
paid if the Executive had continued to be employed by the Corporation,
provided the Executive elects to continue medical benefits coverage under COBRA.</FONT></TD>
</TR>
</TABLE>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">G.</FONT></TD>
        <TD width="2%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>TERMINATION WITH CAUSE
&#151; EFFECT ON FUTURE COMPENSATION:</U> </B>In the event
Executive is terminated for Cause, Executive will be entitled to no future
compensation from the Corporation. In addition, all rights of the
Executive to future vesting of stock options terminate on the date of the
occurrence forming the basis for a &#147;Cause&#148; termination of the Executive
and, moreover, the Executive will not earn any additional compensation
after the effective date of such termination.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">H.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>DISABILITY:</U> </B>If the Executive is unable to perform the essential
functions of his position due to illness, injury, or incapacity for a
period of more than twelve weeks, the compensation otherwise payable to
him under this Agreement shall cease and the Corporation may terminate his
employment unless the Executive is able to perform the essential functions
of his position with reasonable accommodation.</FONT></TD>
</TR>
</TABLE>
<P align="center"><FONT size="2">Page 4 of 6</FONT>
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<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">I.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>TERMINATION OF AGREEMENT
BY EXECUTIVE:</U> </B>Executive may terminate this
Agreement at any time, with or without Cause, upon thirty (30)&nbsp;days notice
to the President and CEO. In the event of termination by the Executive,
the Executive shall only be entitled to compensation through the last day
actually worked.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">J.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>CONFIDENTIALITY AND
NONCOMPETITION: </U></B>By signing below, the Executive
acknowledges his ongoing and continuing obligation to abide by the
Confidentiality, Trade Secrets and Noncompetition Agreement that he
executed on March&nbsp;1, 1999 (&#147;Trade Secrets Agreements&#148;), which is attached
hereto as Exhibit&nbsp;2 and incorporated herein by reference.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">K.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>NO PRIOR AGREEMENTS:</U> </B>The Executive represents and warrants that he is
not a party or otherwise subject to or bound by the terms of any contract,
agreement or understanding which in any manner would limit or otherwise
affect his ability to perform his obligations hereunder. The Executive
further represents and warrants that his employment with the Corporation
will not require the disclosure or use of any confidential information
belonging to prior employers or to other persons or entities. The
Executive understands that the Corporation does not expect or desire and
in fact disapproves of and forbids the Executive to use or disclose, in
the performance of his duties for the Corporation, any such confidential
information belonging to prior employers or other persons or entities.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">L.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>ASSIGNMENT:</U> </B>This Agreement is personal to Executive and may not be
assigned in any way by Executive without prior written consent by the
Board of Directors of the Corporation. Any attempted assignment by
Executive will be void. Notwithstanding anything in this section to the
contrary, however, this Agreement may be assigned by the
Corporation to any parent, subsidiary, successor, or affiliate entity.
The rights and obligations under this Agreement will inure to the benefit
of and will be binding upon the heirs, legatees, administrators, and
personal representatives of Executive and upon the successors,
representatives, and assigns of the Corporation.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">M.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>ILLEGAL OR INVALID
PROVISION:</U> </B>The parties intend for all provisions of
this Agreement to be enforced and enforceable to the fullest extent
permitted by law. If any provision of this Agreement is held to be
illegal, invalid, or unenforceable under present or future laws in effect
during the term hereof, however, that provision will be fully severable.
This Agreement will be construed and enforced as if such illegal, invalid,
or unenforceable provision had never comprised a part hereof, and the
remaining provisions will remain in full force and effect and will not be
affected by the illegal, invalid, or unenforceable provision or by its
severance from this Agreement. Furthermore, in lieu of each such illegal,
invalid, or unenforceable provision, there will be added automatically,</FONT></TD>
</TR>
</TABLE>
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<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">&nbsp;</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2">as a part of this Agreement, a provision as similar in terms to such illegal,
invalid, or unenforceable provision as may be possible and be legal,
valid, and enforceable.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">N.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>GOVERNING LAW:</U> </B>This Agreement shall be construed and governed by the
laws of the State of Maryland without regard to any conflict of laws rules
or provisions.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">O.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>ENTIRE AGREEMENT:</U> </B>This Agreement constitutes the entire Agreement
between the Corporation and the Executive. This Agreement may not be
changed orally, but only by an agreement in writing signed by the parties.
This Agreement supersedes all prior agreements, discussions or statements
regarding the Executive&#146;s employment, except for the Confidentiality,
Trade Secrets and Noncompetition Agreement attached hereto as Exhibit&nbsp;2,
which will survive.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">P.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>ARBITRATION:</U> </B>Notwithstanding any other provision in this Agreement, any
claim or controversy relating to or arising out of this Agreement shall be
resolved exclusively by arbitration in accordance with the commercial
rules then obtaining of the American Arbitration Association. This
Arbitration provision, including any challenges to its enforceability, is
governed by the Federal Arbitration Act. The arbitration shall take place
in Montgomery County, Maryland. The Corporation and Executive shall bear
separately their respective attorney&#146;s fees. The Corporation shall bear
the cost of the arbitration and any fees required by the commercial rules
then obtaining of the American Arbitration Association.</FONT></TD>
</TR>
<TR>
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">Q.</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2"><B><U>MUTUAL UNDERSTANDING:</U> </B>Each party has read this entire Agreement, fully
understands the contents hereof, has had the opportunity to obtain
independent advice as to its legal effect, and is under no duress or
obligation of any kind to execute it. This Agreement reflects the mutual
understanding of the parties with the respect to all subject matters
addressed herein and will be construed accordingly.</FONT></TD>
</TR>
</TABLE>

<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%">
<TR valign="bottom">
        <TD width="5%">&nbsp;</TD>
        <TD width="30%">&nbsp;</TD>
        <TD width="35%">&nbsp;</TD>
        <TD width="30%">&nbsp;</TD>
</TR>
<TR valign="bottom">

        <TD COLSPAN="2" valign="top"><FONT size="2">BioReliance Corporation</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR><TD><FONT size="2">&nbsp;</FONT></TD></TR>

<TR>

        <TD COLSPAN="2"><FONT size="2">By: /s/ William J. Gedale
</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="left"><FONT size="2">
By: /s/  Allan J. Darling, Ph.D.
</FONT></TD>
</TR>


<TR>

        <TD COLSPAN="2"><FONT size="2"><hr size="1" NOSHADE WIDTH=93% ALIGN="RIGHT"></FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD COLSPAN="2"><FONT size="2"><hr size="1" NOSHADE WIDTH=93% ALIGN="RIGHT"></FONT></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD><FONT size="2">
William J. Gedale<BR>
Chairman, Compensation Committee<BR>
Board of Directors</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="CENTER"><FONT size="2">
Allan J. Darling, Ph.D.</FONT></TD>
</TR>
</TABLE>
</CENTER>



<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%">
<TR valign="bottom">
        <TD width="30%">&nbsp;</TD>
        <TD width="35%">&nbsp;</TD>
        <TD width="28%">&nbsp;</TD>
</TR>
<TR valign="bottom">

        <TD valign="top"><FONT size="2">Address: 14920 Broschart Road<BR>
Rockville, MD 20850</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>

<TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
<TD><FONT size="2">&nbsp;</FONT></TD>
<TD><FONT size="2">&nbsp;</FONT></TD>
<TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR>
        <TD valign="top"><FONT size="2">Date:</FONT></TD>
<TD><FONT size="2">&nbsp;</FONT></TD>
        <TD><FONT size="2">Date:</FONT></TD>
</TR>


<TR>
        <TD valign="top"><FONT size="2"><HR SIZE="1" WIDTH=88% ALIGN="RIGHT"></FONT></TD>
<TD><FONT size="2">&nbsp;</FONT></TD>
        <TD><FONT size="2"><HR SIZE="1" WIDTH=88% ALIGN="RIGHT"></FONT></TD>
</TR>


</TABLE>
</CENTER>

<P align="center"><FONT size="2">Page 6 of 6</FONT>




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