Item 1.01 Entry into a Material Definitive Agreement.
On October 13, 2008 the Compensation Committee of the Board of Directors of Lawson Products, Inc. (the "Company") authorized the Company to enter into indemnification agreements, in form previously approved by the Board of Directors, with certain officers of the Company, including each of the Company's named executive officers, as defined by Item 402(a)(3) of Regulation S-K. The indemnification agreements provide, among other things, that the Company will indemnify the indemnitees and advance expenses to the indemnitees to the fullest extent permitted by law in connection with proceedings related to the indemnitees' service on behalf of the Company. Under the indemnification agreement, an indemnitee will be indemnified against expenses, losses, liabilities, judgments, fines, penalties and amounts paid in settlement incurred by the indemnitee, if he or she acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, the best interests of the Company.
The foregoing description of the indemnification agreements does not purport to be complete and is qualified in its entirety by reference to the form of indemnification agreement.
Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

10.1 Form of Indemnification Agreement (incorporated by reference to Exhibit 10.1 of the Company's Form 8-K, as filed with the Securities and Exchange Commission on September 19, 2008).

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