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                                                                Exhibit 10.16


                            INDEMNIFICATION AGREEMENT

      This Indemnification Agreement made and entered into this 14th day of
September, 1999 ("Agreement"), by and between Cyber Diaglogue Inc., a Delaware
corporation (the "Company") and Christopher P. Forester ("Indemnitee"):

      WHEREAS, it is essential to the Company that it be able to retain and
attract as directors and/or officers the most capable persons available;

      WHEREAS, increased corporate litigation has subjected directors and/or
officers to litigation risks and expenses, and the limitations on the
availability of directors and officers liability insurance have made it
increasingly difficult for the Company to attract and retain such persons;

      WHEREAS, the Company's by-laws require it to indemnify its directors
and/or officers to the fullest extent permitted by law and permit it to make
other indemnification arrangements and agreements; and

      WHEREAS, the Company desires to provide Indemnitee with specific
contractual assurance of Indemnitee's rights to full indemnification against
litigation risks and expenses (regardless, among other things, of any amendment
to or revocation of any such by-laws or any change in the ownership of the
Company or the composition of its Board of Directors);

      NOW, THEREFORE, in consideration of the promises and the covenants
contained herein, the Company and Indemnitee do hereby covenant and agree as
follows:

      1. Definitions.

            (a) "Corporate Status" describes the status of a person who is
            serving or has served (i) as a director or officer of the Company,
            (ii) in any capacity with respect to any employee benefit plan of
            the Company, or (iii) as a director, partner, trustee, officer,
            employee, or agent of any other Entity at the request of the
            Company. For purposes of subsection (iii) of this Section 1(a), an
            officer or director of the Company who is serving or has served as a
            director, partner, trustee, officer, employee or agent of a
            Subsidiary shall be deemed to be serving at the request of the
            Company.

            (b) "Entity" shall mean any corporation, partnership, limited
            liability company, joint venture, trust, foundation, association,
            organization or other legal entity.
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            (c) "Expenses" shall mean all reasonable fees, costs and expenses
            incurred in connection with any Proceeding (as defined below),
            including, without limitation, attorneys' fees, disbursements and
            retainers (including, without limitation, any such fees,
            disbursements and retainers incurred by Indemnitee pursuant to
            Sections 10 and 11(c) of this Agreement), fees and disbursements of
            expert witnesses, private investigators and professional advisors
            (including, without limitation, accountants), court costs,
            transcript costs, fees of experts, travel expenses, duplicating,
            printing and binding costs, telephone and fax transmission charges,
            postage, delivery services, secretarial services, and other
            disbursements and expenses.

            (d) "Indemnifiable Expenses," "Indemnifiable Liabilities" and
            "Indemnifiable Amounts" shall have the meanings ascribed to those
            terms in Section 3(a) below.

            (e) "Liabilities" shall mean judgments, damages, liabilities,
            losses, penalties, excise taxes, fines and amounts paid in
            settlement.

            (f) "Proceeding" shall mean any threatened, pending or completed
            claim, action, suit, arbitration, alternate dispute resolution
            process, investigation, administrative bearing, appeal, or any other
            proceeding, whether civil, criminal, administrative, arbitrative or
            investigative, whether formal or informal, including a proceeding
            initiated by Indemnitee pursuant to Section 10 of this Agreement to
            enforce Indemnitee's rights hereunder.

            (g) "Subsidiary" shall mean any corporation, partnership, limited
            liability company, joint venture, trust or other Entity of which the
            Company owns (either directly or through or together with another
            Subsidiary of the Company) either (i) a general partner, managing
            member or other similar interest or (ii) (A) 50% or more of the
            voting power of the voting capital equity interests of such
            corporation, partnership, limited liability company, joint venture
            or other Entity, or (B) 50% or more of the outstanding voting
            capital stock or other voting equity interests of such corporation,
            partnership, limited liability company, joint venture or other
            Entity.

      2. Services of Indemnitee. In consideration of the Company's covenants and
commitments hereunder, Indemnitee agrees to serve or continue to serve as a
Director of the Company. However, this Agreement shall not impose any obligation
on Indemnitee or the Company to continue Indemnitee's service to the Company
beyond any period otherwise required by law or by other agreements or
commitments of the parties, if any.


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      3. Agreement to Indemnify. The Company agrees to indemnify Indemnitee as
follows:

            (a) Subject to the exceptions contained in Section 4(a) below, if
            Indemnitee was or is a party or is threatened to be made a party to
            any Proceeding (other than an action by or in the right of the
            Company) by reason of Indemnitee's Corporate Status, Indemnitee
            shall be indemnified by the Company to the fullest extent permitted
            by law against all Expenses and Liabilities incurred or paid by
            Indemnitee in connection with such Proceeding (referred to herein as
            "Indemnifiable Expenses" and "Indemnifiable Liabilities,"
            respectively, and collectively as "Indemnifiable Amounts").

            (b) Subject to the exceptions contained in Section 4(b) below, if
            Indemnitee was or is a party or is threatened to be made a party to
            any Proceeding by or in the right of the Company to procure a
            judgment in its favor by reason of Indemnitee's Corporate Status,
            Indemnitee shall be indemnified by the Company to the fullest extent
            permitted by law against all Indemnifiable Expenses.

      4. Exceptions to Indemnification. Indemnitee shall be entitled to
indemnification under Sections 3(a) and 3(b) above in all circumstances other
than the following:

            (a) If indemnification is requested under Section 3(a) and it has
            been adjudicated finally by a court of competent jurisdiction that,
            in connection with the subject of the Proceeding out of which the
            claim for indemnification has arisen, Indemnitee failed to act (i)
            in good faith and (ii) in a manner Indemnitee reasonably believed to
            be in or not opposed to the best interests of the Company, or, with
            respect to any criminal action or proceeding, Indemnitee had
            reasonable cause to believe that Indemnitee's conduct was unlawful,
            Indemnitee shall not be entitled to payment of Indemnifiable Amounts
            hereunder.

            (b) If indemnification is requested under Section 3(b) and

                  (i) it has been adjudicated finally by a court of competent
                  jurisdiction that, in connection with the subject of the
                  Proceeding out of which the claim for indemnification has
                  arisen, Indemnitee failed to act (A) in good faith and (B) in
                  a manner Indemnitee reasonably believed to be in or not
                  opposed to the best interests of the Company, Indemnitee shall
                  not be entitled to payment of Indemnifiable Expenses
                  hereunder; or

                  (ii)it has been adjudicated finally by a court of competent
                  jurisdiction that Indemnitee is liable to the Company with
                  respect to any claim, issue or matter involved in the
                  Proceeding out of which the claim for indemnification has
                  arisen, including, without


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                  limitation, a claim that Indemnitee received an improper
                  personal benefit, no Indemnifiable Expenses shall be paid with
                  respect to such claim, issue or matter unless the Court of
                  Chancery or another court in which such Proceeding was brought
                  shall determine upon application that, despite the
                  adjudication of liability, but in view of all the
                  circumstances of the case, Indemnitee is fairly and reasonably
                  entitled to indemnity for such Indemnifiable Expenses which
                  such court shall deem proper.

      5. Procedure for Payment of Indemnifiable Amounts. Indemnitee shall submit
to the Company a written request specifying the Indemnifiable Amounts for which
Indemnitee seeks payment under Section 3 of this Agreement and a short
description of the basis for the claim. The Company shall pay such Indemnifiable
Amounts to Indemnitee within twenty (20) calendar days of receipt of the
request. At the request of the Company, Indemnitee shall furnish such
documentation and information as are reasonably available to Indemnitee and
necessary to establish that Indemnitee is entitled to indemnification hereunder.

      6. Indemnification for Expense of a Party Who is Wholly or Partly
Successful. Notwithstanding any other provision of this Agreement, and without
limiting any such provision, to the extent that Indemnitee is, by reason of
Indemnitee's Corporate Status, a party to and is successful, on the merits or
otherwise, in any Proceeding. Indemnitee shall be indemnified against all
Expenses reasonably incurred Indemnitee or on Indemnitee's behalf in connection
therewith. If Indemnitee is not wholly successful in such Proceeding but is
successful, on the merits or otherwise, as to one or more but less than all
claims, issues or matters in such Proceeding, the Company shall indemnify
Indemnitee against all Expenses reasonably incurred by Indemnitee or on
Indemnitee's behalf in connection with each successfully resolved claim, issue
or matter. For purposes of this Agreement, the termination of any claim, issue
or matter in such a Proceeding by dismissal, with or without prejudice, shall be
deemed to be a successful result as to such claim, issue or matter.

      7. Effect of Certain Resolution. Neither the settlement or termination of
any Proceeding nor the failure of the Company to award indemnification or to
determine that indemnification is payable shall create an adverse presumption
that Indemnitee is not entitled to indemnification hereunder. In addition, the
termination of any proceeding by judgment, order, settlement, conviction, or
upon a plea of nolo contendere or its equivalent shall not create a presumption
that Indemnitee did not act in good faith and in a manner which Indemnitee
reasonably believed to be in or not opposed to the best interests of the Company
or, with respect to any criminal action or proceeding, had reasonable cause to
believe that Indemnitee's action was unlawful.

      8. Agreement to Advance Expenses; Conditions. The Company shall pay to
Indemnitee ail Indemnifiable Expenses incurred by Indemnitee in connection with
any Proceeding, including a Proceeding by or in the right of the Company, in
advance of the final disposition of such Proceeding. To the extent required by
Delaware law, Indemnitee hereby undertakes to repay


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the amount of Indemnifiable Expenses paid to Indemnitee if it is finally
determined by a court of competent jurisdiction that Indemnitee is not entitled
under this Agreement to indemnification with respect to such Expenses. This
undertaking is an unlimited general obligation of Indemnitee.

      9. Procedure for Advance Payment of Expenses. Indemnitee shall submit to
the Company a written request specifying the Indemnifiable Expenses for which
Indemnitee seeks an advancement under Section 8 of this Agreement, together with
documentation evidencing that Indemnitee has incurred such Indemnifiable
Expenses. Payment of Indemnifiable Expenses under Section 8 shall be made no
later than twenty (20) calendar days after the Company's receipt of such
request.

      10. Remedies of Indemnitee.

            (a) Right to Petition Court. In the event that Indemnitee makes a
            request for payment of Indemnifiable Amounts under Sections 3 and 5
            above or a request for an advancement of Indemnifiable Expenses
            under Sections 8 and 9 above and the Company fails to make such
            payment or advancement in a timely manner pursuant to the terms of
            this Agreement, Indemnitee may petition the Court of Chancery to
            enforce the Company's obligations under this Agreement.

            (b) Burden of Proof. In any judicial proceeding brought under
            Section 10(a) above, the Company shall have the burden of proving
            that Indemnitee is not entitled to payment of Indemnifiable Amounts
            hereunder.

            (c) Expenses. The Company agrees to reimburse Indemnitee in full for
            any Expenses incurred by Indemnitee in connection with
            investigating, preparing for, litigating, defending or settling any
            action brought by Indemnitee under Section 10(a) above, or in
            connection with any claim or counterclaim brought by the Company in
            connection therewith.

            (d) Validity of Agreement. The Company shall be precluded from
            asserting in any Proceeding, including, without limitation, an
            action under Section 10(a) above, that the provisions of this
            Agreement are not valid, binding and enforceable or that there is
            insufficient consideration for this Agreement and shall stipulate in
            court that the Company is bound by all the provisions of this
            Agreement.

            (e) Failure to Act Not a Defense. The failure of the Company
            (including its Board of Directors or any committee thereof,
            independent legal counsel, or stockholders) to make a determination
            concerning the permissibility of the payment of Indemnifiable
            Amounts or the advancement of Indemnifiable Expenses under this
            Agreement shall not be a defense in any action brought under Section
            10(a) above, and shall not create a presumption that such payment or
            advancement is not permissible.


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      11. Defense of the Underlying Proceeding.

            (a) Notice by Indemnitee. Indemnitee agrees to notify the Company
            promptly upon being served with any summons, citation, subpoena,
            complaint, indictment, information, or other document relating to
            any Proceeding which may result in the payment of Indemnifiable
            Amounts or the advancement of Indemnifiable Expenses hereunder;
            provided, however, that the failure to give any such notice shall
            not disqualify Indemnitee from the right to receive payments of
            Indemnifiable Amounts or advancements of Indemnifiable Expenses
            unless the Company's ability to defend in such Proceeding is
            materially and adversely prejudiced thereby.

            (b) Defense by Company. Subject to the provisions of the last
            sentence of this Section 11(b) and of Section 11(c) below, the
            Company shall have the right to defend Indemnitee in any Proceeding
            which may give rise to the payment of Indemnifiable Amounts
            hereunder; provided, however that the Company shall notify
            Indemnnitee of any such decision to defend within ten (10) days of
            receipt of notice of any such Proceeding under Section 11(a) above.
            The Company shall not, without the prior written consent of
            Indemnitee, consent to the entry of any judgment against Indemnitee
            or enter into any settlement or compromise which (i) includes an
            admission of fault of Indemnitee or (ii) does not include, as an
            unconditional term thereof, the full release of Indemnitee from all
            liability in respect of such Proceeding, which release shall be in
            form and substance reasonably satisfactory to Indemnitee. This
            Section 11(b) shall not apply to a Proceeding brought by Indemnitee
            under Section 10(a) above or pursuant to Section 19 below.

            (c) Indemnitee's Right to Counsel. Notwithstanding the provisions of
            Section 11(b) above, if in a Proceeding to which Indemnitee is a
            party by reason of Indemnitee's Corporate Status, Indemnitee
            reasonably concludes that it may have separate defenses or
            counterclaims to assert with respect to any issue which may not be
            consistent with the position of other defendants in such Proceeding,
            or if the Company fails to assume the defense of such proceeding in
            a timely manner, Indemnitee shall be entitled to be represented by
            separate legal counsel of Indemnitee's choice at the expense of the
            Company. In addition, if the Company fails to comply with any of its
            obligations under this Agreement or in the event that the Company or
            any other person takes any action to declare this Agreement void or
            unenforceable, or institutes any action, suit or proceeding to deny
            or to recover from Indemnitee the benefits intended to be provided
            to Indemnitee hereunder, Indemnitee shall have the right to retain
            counsel of Indemnitee's choice, at the expense of the Company, to
            represent Indemnitee in connection with any such matter.


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      12. Representations and Warranties of the Company. The Company hereby
represents and warrants to Indemnitee as follows:

            (a) Authority. The Company has all necessary power and authority to
            enter into, and be bound by the terms of, this Agreement, and the
            execution, delivery and performance of the undertakings contemplated
            by this Agreement have been duly authorized by the Company.

            (b) Enforceability. This Agreement, when executed and delivered by
            the Company in accordance with the provisions hereof, shall be a
            legal, valid and binding obligation of the Company, enforceable
            against the Company in accordance with its terms, except as such
            enforceability may be limited by applicable bankruptcy, insolvency,
            moratorium, reorganization or similar laws affecting the enforcement
            of creditors' rights generally.

      13. Insurance. The Company shall, from time to time, make the good faith
determination whether or not it is practicable for the Company to obtain and
maintain a policy or policies of insurance with a reputable insurance company
providing the Indemnitee with coverage for losses from wrongful acts, and to
ensure the Company's performance of its indemnification obligations under this
Agreement. Among other considerations, the Company will weigh the costs of
obtaining such insurance coverage against the protection afforded by such
coverage. In all policies of director and officer liability insurance,
Indemnitee shall be provided Indemnitee the same rights and benefits as are
accorded to the most favorably insured of the Company's officers and directors.
Notwithstanding the foregoing, the Company shall have no obligation to obtain or
maintain such insurance if the Company determines in good faith that such
insurance is nor reasonably available, if the premium costs for such insurance
are disproportionate to the amount of coverage provided, or if the coverage
provided by such insurance is limited by exclusions so as to provide an
insufficient benefit. The Company shall promptly notify Indemnitee of any good
faith determination not to provide such coverage.

      14. Contract Rights Not Exclusive. The rights to payment of Indemnifiable
Amounts and advancement of Indemnifiable Expenses provided by this Agreement
shall be in addition to, but not exclusive of, any other rights which Indemnitee
may have at any time under applicable law, the Company's by-laws or certificate
of incorporation, or any other agreement, vote of stockholders or directors (or
a committee of directors), or otherwise, both as to action in Indemnitee's
official capacity and as to action in any other capacity as a result of
Indemnitee's serving as a director of the Company.

      15. Successors. This Agreement shall be (a) binding upon all successors
and assigns of the Company (including any transferee of all or substantially all
of the business, stock and/or assets of the Company and any direct or indirect
successor by merger or consolidation or otherwise by operation of law) and (b)
binding on and shall inure to the benefit of the heirs, personal
representatives, executors and administrators of Indemnitee. This Agreement
shall


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continue for the benefit of Indemnitee and such heirs, personal representatives,
executors and administrators after Indemnitee has ceased to have Corporate
Status.

      16. Subrogation. In the event of any payment of Indemnifiable Amounts
under this Agreement, the Company shall be subrogated to the extent of such
payment to all of the rights of contribution or recovery of indemnitee against
other persons, and Indemnitee shall take, at the request of the Company, all
reasonable action necessary to secure such rights, including the execution of
such documents as are necessary to enable the Company to bring suit to enforce
such rights.

      17. Change in Law. To the extent that a change in Delaware law (whether by
statute or judicial decision) shall permit broader indemnification or
advancement of expenses than is provided under the terms of the by-laws of the
Company and this Agreement, Indemnitee shall be entitled to such broader
indemnification and advancements, and this Agreement shall be deemed to be
amended to such extent.

      18. Severability. Whenever possible, each provision of this Agreement
shall be interpreted in such a manner as to be effective and valid under
applicable law, but if any provision of this Agreement, or any clause thereof,
shall be determined by a court of competent jurisdiction to be illegal, invalid
or unenforceable, in whole or in part, such provision or clause shall be limited
or modified in its application to the minimum extent necessary to make such
provision or clause valid, legal and enforceable, and the remaining previsions
and clauses of this Agreement shall remain fully enforceable and binding on the
parties.

      19. Indemnitee as Plaintiff. Except as provided in Section 10(c) of this
Agreement and in the next sentence, Indemnitee shall not be entitled to payment
of Indemnifiable Amounts or advancement of Indemnifiable Expenses with respect
to any Proceeding brought by Indemnitee against the Company, any Entity which it
controls, any director or officer thereof, or any third party, unless the
Company has consented to the initiation of such Proceeding. This Section shall
not apply to counterclaims or affirmative defenses asserted by Indernnitee in an
action brought against Indemnitee.

      20. Modifications and Waiver. Except as provided in Section 17 above with
respect to changes in Delaware law which broaden the right of Indemnitee to be
indemnified by the Company, no supplement, modification or amendment of this
Agreement shall be binding unless executed in writing by each of the parties
hereto. No waiver of any of the provisions of this Agreement shall be deemed or
shall constitute a waiver of any other provisions of this Agreement (whether or
not similar), nor shall such waiver constitute a continuing waiver.

      21. General Notices. All notices, requests, demands and other
communications hereunder shall be in writing and shall be deemed to have been
duly given (a) when delivered by hand, (b) when transmitted by facsimile and
receipt is acknowledged, or (c) if mailed by certified or registered mail with
postage prepaid, on the third business day after the date on which it is so
mailed:


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                  (i) If to Indemnitee, to:

                  Christopher P. Forester
                  eCom Partners Fund I LLC
                  55 Walls Drive
                  Suite 401
                  Fairfield, CT 06430;

                  (ii) If to the Company, to:

                  Cyber Dialogue Inc.
                  304 Hudson Street
                  New York, New York 10013
                  Attention: Andrew Watt

or to such other address as may have been furnished in the same manner by any
party to the others.

     22. Governing Law. This Agreement shall be governed by and construed and
enforced under the laws of Delaware without giving effect to the provisions
thereof relating to conflicts of law.

     23. Consent to Jurisdiction. The Company hereby irrevocably and
unconditionally consents to the jurisdiction of the courts of the State of
Connecticut and the United States District Court for the District of
Connecticut. The Company hereby irrevocably and unconditionally waives any
objection to the laying of venue of any Proceeding arising out of or relating to
this Agreement in the courts of the State of Delaware or the United States
District Court for the District of Delaware, and hereby irrevocably and
unconditionally waives and agrees not to plead or claim that any such Proceeding
brought in any such court has been brought in an inconvenient forum.

                                 [END OF TEXT]




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     IN WITNESS WHEROF, the parties hereto have executed this Agreement as of
the day and year first above written.

                                        CYBER DIALOGUE INC.



                                        By: /s/ C. Andrew Watt
                                            ----------------------------------
                                            Its: CFO


                                        INDEMNITEE



                                        --------------------------------------
                                        Print Name: Christopher P. Forester
                                        Address:    eCom Partners Fund I LLC
                                                    55 Walls Drive
                                                    Suite 401
                                                    Fairfield, CT 06430




<PAGE>



     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
the day and year first above written.

                                        CYBER DIALOGUE INC.



                                        By:
                                            ----------------------------------
                                            Its:


                                        INDEMNITEE


                                        /s/ Christopher P. Forester
                                        --------------------------------------
                                        Print Name: Christopher P. Forester
                                        Address:    eCom Partners Fund I LLC
                                                    55 Walls Drive
                                                    Suite 401
                                                    Fairfield, CT 06430