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                                                                   EXHIBIT 10.34

        SERVICE AGREEMENT

        (1)    Visible Genetics UK Limited

        (2)    Brendan Larder

        Dated                2001

        OSBORNE CLARKE

        BRISTOL OFFICE

        50 Queen Charlotte Street, Bristol BS1 4HE
        Telephone 0117 917 3000 Facsimile 0117 917 3005

        LONDON OFFICE

        Hillgate House, 26 Old Bailey, London EC4M 7HW
        Telephone 020 7809 1000 Facsimile 020 7809 1005

        THAMES VALLEY OFFICE

        Apex Plaza, Forbury Road, Reading RG1 1AX
        Telephone 0118 925 2000 Facsimile 0118 925 0038

        WEB SITE: www.osborneclarke.com

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                                    CONTENTS

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<S>                                                                                        <C>
1. Definitions and interpretation...........................................................1
2. Appointment..............................................................................6
3. Term.....................................................................................6
4. Duties of the Executive..................................................................7
5. Hours of work............................................................................8
6. Principal place of work..................................................................8
7. Salary...................................................................................8
8. Expenses.................................................................................9
9. Benefits.................................................................................9
10. Holidays...............................................................................10
11. Sickness or injury.....................................................................11
12. Termination of and suspension from Employment..........................................12
13. Obligations during Employment..........................................................14
14. Obligations after Employment...........................................................18
15. Disciplinary and Grievance procedure...................................................20
16. Collective Agreements..................................................................20
17. Deductions.............................................................................20
18. Entire Agreement.......................................................................20
19. Third Parties..........................................................................20
20. Data Protection........................................................................20
21. Releases and waivers...................................................................21
22. Notices................................................................................21
23. Governing law and jurisdiction.........................................................21
Schedule 1.................................................................................22
</Table>

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THIS AGREEMENT is made the                          day of                2001

BETWEEN:

(1)    VISIBLE GENETICS UK LIMITED (company number: 04076100) whose registered
       office is at 20/22 Bedford Row, London WC1R 4JS ("THE COMPANY"); and

(2)    BRENDAN LARDER of Monona, 6 Church Lane, Little Eversden CB3 7HQ ("THE
       EXECUTIVE").

IT IS AGREED as follows:

1.     DEFINITIONS AND INTERPRETATION

1.1    In this Agreement, unless the context otherwise requires, the following
       expressions have the following meanings:

<Table>
<Caption>
<S>                           <C>

       "AGREEMENT"            This Agreement (including any schedule or annexure
                              to it and any document referred to in it or in
                              agreed form);

       "BOARD"                The board of directors of the Company and/or any
                              Group Companies from time to time and includes any
                              committee of the Board duly appointed by it;

       "BUSINESSES"           The development, manufacture and marketing of
                              automated DNA sequencing systems and related
                              diagnostic tests/kits for the analysis of DNA and
                              any other trade or commercial activity which is
                              carried on by any Group Company, or which any
                              Group Company shall have determined to carry on
                              with a view to profit in the immediate or
                              foreseeable future;

       "CHIEF EXECUTIVE       Any person holding office as Chief Executive
       OFFICER"               Officer of Visible Genetics Inc (the parent
                              company of the Company) from time to time,
                              including any person exercising substantially the
                              functions of a chief executive officer of the
                              parent company;

                                        1
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       "COMPANY INVENTION"    Any improvement, invention or discovery made by
                              the Executive which in accordance with Section 39,
                              Patents Act 1977 is the property of the Company;

       "CONFIDENTIAL          Any trade secrets or other information which is
       INFORMATION"           confidential, commercially sensitive and is not in
                              the public domain relating or belonging to the
                              Company or any Group Company including but not
                              limited to information relating to the business
                              methods, corporate plans, management systems,
                              finances, new business opportunities, research
                              and development projects, marketing or sales of
                              any past, present or future product or service,
                              secret formulae, processes, inventions, designs,
                              know-how discoveries, technical specifications
                              and other technical information relating to the
                              creation, production or supply of any past,
                              present or future product or service of the
                              Company or any Group Company, lists or details of
                              clients, potential clients or suppliers or the
                              arrangements made with any client or supplier and
                              any information in respect of which any Group
                              Company owes an obligation of confidentiality to
                              any third party;

       "CUSTOMER"             any person with whom or which the Executive has
                              dealt or of whom or of which he has knowledge by
                              virtue of his Duties in the 6 months preceding the
                              Termination Date and to whom or which the Company
                              or any Group Company shall at any time during the
                              period of 6 months prior to the Termination Date
                              have supplied any Restricted Products or
                              Restricted Services.

       "DUTIES"               The duties of the Executive as set out in clause
                              4;

       "EMPLOYMENT"           The period of the Executive's employment under
                              this Agreement;

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       "GROUP COMPANIES"      The Company, its subsidiaries or subsidiary
                              undertakings, any holding company or parent
                              undertaking and any subsidiary or subsidiary
                              undertaking of any holding company or parent
                              undertaking and "GROUP COMPANY" means any of them;

       "MATERIAL INTEREST"    (a)  the holding of any position (whether employed
                                   or engaged) or provision of services as
                                   director, officer, employee, consultant,
                                   adviser, partner, principal, agent or
                                   volunteer;

                              (b)  the direct or indirect control or ownership
                                   (whether jointly or alone) of any shares (or
                                   any voting rights attached to them) or
                                   debentures save for the ownership for
                                   investment purposes only of not more than 5
                                   per cent of the issued ordinary shares of any
                                   company whose shares are listed on any
                                   Relevant Exchange; or

                              (c)  the direct or indirect provision of any
                                   financial assistance;

       "RELEVANT              means a Recognised Investment Exchange as defined
       EXCHANGE"              in Section 207, Financial Services Act 1986 or the
                              Alternative Investment Market of the London
                              Stock Exchange or any similar or comparable
                              exchange or market;

       "RESTRICTED            any territory in which the Company or any Group
       AREA"                  Company shall carry on the Businesses at the
                              Termination Date;

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       "RESTRICTED            Any products of a kind which have been dealt in,
       PRODUCTS"              produced, marketed or sold by the Company or any
                              Group Company in the ordinary course of the
                              Businesses at any time during the 12 months
                              preceding the Termination Date and in respect of
                              which or the marketing of which the Executive's
                              Duties were directly concerned or for which the
                              Executive was responsible during such period or in
                              relation to which the Executive possesses
                              Confidential Information at the Termination Date;

       "RESTRICTED PROPOSED   Any products which are, at the Termination Date,
       PRODUCTS"              proposed to be dealt in, produced, marketed or
                              sold by the Company or any Group Company at any
                              time during the 12 months following the
                              Termination Date and in respect of which or the
                              marketing of which the Executive's Duties were
                              directly concerned or for which the Executive was
                              responsible during such period or in relation to
                              which the Executive possesses Confidential
                              Information at the Termination Date.

       "RESTRICTED PROPOSED   Any services which are, at the Termination
       SERVICES"              Date, proposed to be provided by the Company or
                              any Group Company at any time during the 12 months
                              following the Termination Date and in respect of
                              which or the marketing of which the Executive's
                              Duties were directly concerned or for which the
                              Executive was responsible during such period or in
                              relation to which the Executive possesses
                              Confidential Information at the Termination Date;

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       "RESTRICTED SERVICES"  any services of a kind which have been provided by
                              the Company or any Group Company in the ordinary
                              course of the Businesses at any time during the 12
                              months preceding the Termination Date and in
                              respect of which or the marketing of which the
                              Executive's Duties were directly concerned or for
                              which the Executive was responsible during such
                              period or in relation to which the Executive
                              possesses Confidential Information at the
                              Termination Date;

       "RESTRICTED            the direct or indirect control or ownership
       SHAREHOLDING"          (whether jointly or alone) of shares in a company
                              which, together with shares held by any person
                              acting in concert with him carry 25% or more of
                              the voting rights of that company;

       "RESTRICTED SUPPLIES"  any goods or services supplied to the Company or
                              any Group Company on terms which as to the nature
                              of the supplies and/or the terms of supply are
                              unique to the relationship between the supplier
                              and the relevant Group Company and in respect of
                              which or the marketing of which the Executive's
                              Duties were directly concerned or for which the
                              Executive was responsible during such period or in
                              relation to which the Executive possesses
                              Confidential Information at the Termination Date;

       "SUPPLIER"             any person with whom the Executive has dealt or of
                              whom or of which the Executive has knowledge by
                              virtue of the Duties in the 12 months preceding
                              the Termination Date and who has during that
                              period provided Restricted Supplies to the Company
                              or any Group Company; and.

       "TERMINATION DATE"     the date on which the Employment terminates;

       "VISIBLE GENETICS INC" the parent company of the Company.
</Table>

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1.2    In this Agreement, unless the context otherwise requires:

       (a)  words in the singular include the plural and vice versa and words in
            one gender include any other gender;

       (b)  a reference to a statute or statutory provision includes:

            (i)     any subordinate legislation (as defined in Section 21(1),
                    Interpretation Act 1978) made under it; and

            (ii)    any statute or statutory provision which modifies,
                    consolidates, re-enacts or supersedes it;

       (c)  a reference to:

            (i)     a "PERSON" includes any individual, firm, body corporate,
                    association or partnership, government or state (whether or
                    not having a separate legal personality);

            (ii)    clauses and schedules are to clauses and schedules of this
                    Agreement and references to sub-clauses and paragraphs are
                    references to sub-clauses and paragraphs of the clause or
                    schedule in which they appear;

       (d)  the table of contents and headings are for convenience only and
            shall not affect the interpretation of this Agreement.

2.     APPOINTMENT

2.1    The Company appoints the Executive and the Executive agrees to serve as
       Chief Scientific Officer of the Company on the terms set out in this
       Agreement. In this capacity, and in accordance with clause 4.3 below, the
       Executive shall also undertake duties as Chief Scientific Officer on
       behalf of Visible Genetics Inc.

2.2    The Executive warrants that the Executive is free to enter into this
       Agreement and is not bound by, nor subject to any court order,
       arrangement, obligation, restriction or undertaking (contractual or
       otherwise) which prohibits or restricts the Executive from entering into
       this Agreement or performing the Duties.

3.     TERM

3.1    The Executive's employment under the terms of this Agreement commenced on
       13 September 2001 and, unless terminated in accordance with clause 12,
       shall continue until terminated by:

       (a)  the Company giving to the Executive not less than 12 months' prior
            written notice at any time up until 25 June 2003. Thereafter, the
            Company shall give to the Executive not less

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            than 12 months' prior written notice plus an additional one month's
            notice for each full year worked beyond 25 June 2003; or

       (b)  the Executive giving to the Company not less than 6 months' prior
            written notice.

3.2    The Executive's continuous period of employment with the Company
       commenced on 25 June 2001.

4.     DUTIES OF THE EXECUTIVE

4.1    The Executive shall carry out such duties as may attach to the
       Executive's office or be assigned to or vested in the Executive by the
       Chief Executive Officer and/or the Board from time to time (whether or
       not commensurate with his position) and exercise the powers consistent
       with such duties.

4.2    At all times during the Employment the Executive shall:

       (a)  unless prevented by ill health and except during holidays taken in
            accordance with this Agreement, devote the whole of the Executive's
            working time and attention to the Employment, save that the
            Executive shall from time to time engage in limited consulting work
            (for example, speaking at conferences) provided that such activities
            are disclosed to the Chief Executive Officer, do not interfere with
            the Executive's duties and responsibilities and the compensation for
            such activities does not exceed L15,000 per annum;

       (b)  perform the Duties faithfully and diligently;

       (c)  obey all lawful and reasonable directions of the Chief Executive
            Officer and the Board, observe such restrictions or limitations as
            may from time to time be imposed by the Chief Executive Officer and
            the Board upon the Executive's performance of the Duties and
            implement and abide by any relevant Company policy which may be
            promulgated or operated in practice from time to time;

       (d)  use best endeavours to promote the interests of the Company and
            shall not do or willingly permit to be done anything which is
            harmful to those interests; and

       (e)  keep the Chief Executive Officer and the Board fully informed (in
            writing if so requested) of the Executive's conduct of the business
            or affairs of the Company and provide such explanations as the Chief
            Executive Officer and the Board may require.

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4.3    The Executive shall (without further remuneration and in addition to the
       Executive's duties to the Company) if and for so long as the Company
       requires during the Employment:

       (a)  carry out any duties assigned to the Executive in relation to any
            Group Company; and

       (b)  act as an officer of any Group Company or hold any other appointment
            or office as nominee or representative of any Group Company;

       in each case as if they were to be performed or held by the Executive for
       or in relation to the Company.

5.     HOURS OF WORK

5.1    The Executive's hours of work shall be the Company's normal office hours
       of 9.00 a.m. to 5.30 p.m. Monday to Friday and such further hours as may
       be necessary for the proper discharge of the Duties. The Executive shall
       not be entitled to receive any additional remuneration for work outside
       the Company's normal office hours.

5.2    The Executive acknowledges that he may be required to work in excess of
       an average of 48 hours in any one period of 7 calendar days if so
       requested by the Company and consents to do so. The Executive may
       withdraw such consent by giving not less than 3 months' prior notice in
       writing to the Company of such withdrawal.

6.     PRINCIPAL PLACE OF WORK

6.1    The Executive's principal place of work shall be at 184 Cambridge Science
       Park, Milton Road, Cambridge CB4 0GA.

6.2    The Executive shall travel to and work on a temporary basis from such
       locations within the UK and abroad as the Board may reasonably require
       for the performance of his Duties.

6.3    There is no current requirement, as at the date of this agreement, for
       the Executive to work outside the United Kingdom for any consecutive
       period of one month or more.

7.     SALARY AND BONUS

7.1    During the Employment the Company shall pay to the Executive a basic
       salary at the rate of L137,500 per annum. This salary shall accrue from
       day to day, be payable by equal monthly instalments in arrears on or
       about the last day of each month and shall include any fees to which the
       Executive is entitled as a director of any Group Company.

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7.2    The Executive's basic salary shall be subject to annual review by the
       Chief Executive Officer. Any increase in the Executive's basic salary
       consequent upon such review will be effective from the effective date
       specified by the Board.

7.3    The Executive will be entitled to participate in any bonus scheme
       applicable to employees of the Executive's status as Visible Genetics Inc
       may operate from time to time, subject to the terms and conditions of any
       such scheme. The bonus scheme as at the date of this Agreement is set out
       at Schedule 1 to this Agreement. Visible Genetics Inc reserve the right
       to amend the terms of the current bonus scheme.

8.     EXPENSES

       The Company shall reimburse to the Executive all expenses reasonably and
       properly incurred by the Executive in the performance of the Duties
       subject to the production of such receipts or other evidence of
       expenditure as the Company may reasonably require.

9.     BENEFITS

9.1    MOTOR CAR

       (a)  Subject to the Executive holding a licence to drive a car in the
            United Kingdom, the Company shall provide the Executive with a car
            of a type appropriate (in the opinion of the Chief Executive
            Officer) to the Executive's position in the Company for the use of
            the Executive.

       (b)  The Company shall bear all tax, insurance, maintenance, repair and
            running costs of the car.

       (c)  The Executive shall at all times maintain the car in a good and
            roadworthy condition, ensure that the conditions of any policy of
            insurance relating to it are observed and comply with all
            regulations laid down by the Company with respect to Company cars.

       (d)  The Executive shall return the car in a clean and proper condition
            together with its keys, registration papers, car alarms, car alarm
            codes, accessories and any Company credit or cheque card provided to
            the Executive exclusively for the purchase of fuel to the Company at
            any time during the Employment on demand and in any event
            immediately upon the Termination Date.

                                        9
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9.2    PENSION

       (a)  Subject to Inland Revenue limits, the Company shall, in each year of
            the Employment, contribute a sum equivalent to 20% of the
            Executive's basic salary into a personal pension plan of the
            Executive's choice. Such payments to be calculated and paid on a
            monthly basis so that in the year of joining and leaving, the amount
            of such contribution shall be reduced pro rata for each complete
            calendar month not worked. In the event that Inland Revenue limits
            prevent the full payment (or any part-payment) of this benefit into
            the Executive's pension plan the Company shall pay the balance of
            the sum payable direct to the Executive (subject to deduction of
            income tax and national insurance as appropriate).

       (b)  No contracting-out certificate pursuant to the Pension Schemes Act
            1993 is in force in respect of the Employment.

9.3    INSURANCE BENEFITS

       Subject to sub-clause 12.4(a), the Executive shall be eligible to
       participate in such of the following insurance schemes as the Company may
       operate from time to time, subject always to the rules of the relevant
       scheme:

       (a)  permanent health insurance scheme providing long term disability
            cover for the Executive;

       (b)  private medical expenses insurance scheme providing cover for the
            Executive; and

       (c)  death in service insurance scheme providing life insurance cover
            equivalent to 4 times the Executive's basic salary.

       Details of the Company's current insurance schemes are available from the
       Company Secretary. The Company shall pay all premiums in respect of the
       schemes and may, in its absolute discretion, vary their terms and details
       from time to time.

9.4    OTHER BENEFITS

       Any other benefit provided to the Executive shall unless otherwise agreed
       in writing be at the discretion of the Company who may, at any time,
       withdraw or vary the terms of such benefit as it sees fit.

10.    HOLIDAYS

10.1   The Company's holiday year runs from 1 January to 31 December.

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10.2   In addition to public or bank holidays, the Executive is entitled to 25
       working days' paid holiday in each holiday year, to be taken at such time
       or times as are agreed with the Chief Executive Officer.

10.3   The Executive may not, without the consent of the Chief Executive Officer
       carry forward any unused part of the holiday entitlement to a subsequent
       holiday year. Except on termination of employment, no payment will be
       made in lieu of any unused holiday entitlement.

10.4   For the holiday year during which the Employment commences or terminates,
       the Executive's entitlement to holiday accrues on a pro rata basis for
       each complete month of the Employment during that holiday year.

10.5   On termination of the Employment the Executive shall be entitled to pay
       in lieu of any outstanding holiday entitlement and shall be required to
       repay to the Company any salary received for holiday taken in excess of
       his actual entitlement. The basis for calculating the payment and
       repayment shall be 1/365 of the Executive's annual basic salary for each
       day. For the purposes of the calculation of the payment and repayment the
       amount of the Executive's outstanding or overtaken holiday entitlement
       shall be grossed up as appropriate to the nearest half day to take
       account of any non working days falling within the Executive's normal
       working week.

10.6   The Company may require the Executive to take any outstanding accrued
       holiday during a period of notice of termination of the Employment.

11.    SICKNESS OR INJURY

11.1   If unable to perform the Duties due to sickness or injury the Executive
       shall report this fact as soon as possible on the first working day of
       incapacity to the Company Secretary, and provide, so far as practicable,
       an expected date of return to work.

11.2   To be eligible for sick pay under sub-clause 11.3, the Executive must
       supply the Company with such certification of sickness or injury as the
       Company may require.

11.3   If the Executive shall be absent due to sickness or injury duly certified
       in accordance with the Company's requirements the Executive shall be paid
       full basic salary for up to 8 weeks' absence in any period of 12
       consecutive months and after that, subject to sub-clause 11.4, such
       remuneration, if any, as the Chief Executive Officer shall determine from
       time to time.

11.4   Any remuneration paid under sub-clause 11.3 shall be inclusive of any
       Statutory Sick Pay to which the Executive is entitled or other benefits
       recoverable by the Executive (whether or not recovered) which may be

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       deducted from it.

11.5   Any outstanding or prospective entitlement to company sick pay in
       accordance with sub-clause 11.3, private medical insurance benefits or
       permanent health insurance benefits shall not prevent the Company from
       exercising its right to terminate the Employment in accordance with
       sub-clause 12.4 nor shall the Company be liable to compensate the
       Executive in respect of any such pay or benefit provided that the Company
       shall not exercise this right where this would deprive the Executive of
       any permanent health insurance benefit provided under this Agreement to
       which he would otherwise be entitled.

11.6   If the Executive's sickness, injury or other incapacity is caused by the
       negligence or breach of statutory duty of a third party and the Executive
       shall recover any damages or other compensation from such third party for
       the Executive's loss of earnings whilst incapacitated, the Executive
       shall repay to the Company the amount of any sick pay paid by the Company
       to the Executive under sub-clause 11.3 or, if less, the full amount of
       the damages or compensation received for loss of earnings by the
       Executive.

11.7   If at any time during the Employment, in the reasonable opinion of the
       Board, the Executive is unable to perform all or part of the Duties
       because of sickness or injury then the Executive shall, at the request
       and expense of the Company:

       (a)  consent to an examination by a doctor to be selected by the Company
            and approved by the Executive; and

       (b)  authorise this doctor to disclose to and discuss with the Company's
            medical adviser, or other nominated officer of the Company, the
            results of or any matter arising out of this examination.

11.8   The Company shall be entitled to rely on the reasonable opinion of any
       doctor engaged by the Company to examine the Executive under sub-clause
       11.7 as to the Executive's fitness for work. The Executive shall not be
       entitled to attend for work at any time when such doctor considers him to
       be unfit for work and shall not be entitled to receive any remuneration
       in excess of any sick pay to which he remains entitled under sub-clause
       11.3 during any such period.

12.    TERMINATION OF AND SUSPENSION FROM EMPLOYMENT

12.1   IMMEDIATE DISMISSAL

       The Company may by written notice terminate the Employment without notice
       or pay in lieu of notice if the Executive:

       (a)  commits a breach of the terms and conditions of this

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            Agreement amounting to gross misconduct;

       (b)  repeats or continues after a written warning any material breach of
            the terms and conditions of this agreement, including any failure to
            carry out the Duties efficiently, diligently or competently;

       (c)  commits any act of gross misconduct or is guilty of any conduct
            which may in the reasonable opinion of the Board, bring any Group
            Company into disrepute or is calculated or likely prejudicially to
            affect the interests of any Group Company, whether or not the
            conduct occurs during or in the context of the Employment;

       (d)  is convicted of any criminal offence punishable with 6 months' or
            more imprisonment (other than an offence under road traffic
            legislation in the United Kingdom or elsewhere for which he is not
            sentenced to any term of imprisonment whether immediate or
            suspended);

       (e)  commits any act of dishonesty relating to any Group Company, any of
            its employees or otherwise;

       (f)  becomes of unsound mind or a patient within the meaning of the
            Mental Health Act 1983 so that in the opinion of the Board he is
            unable to perform the Duties; or

       (g)

12.2   RETIREMENT

       The Employment shall automatically terminate when the Executive reaches
       the age of 65.

12.3   SUSPENSION

       In order to investigate a complaint against the Executive of misconduct
       the Company may suspend the Executive on full pay for so long as may be
       necessary to carry out a proper investigation and hold any appropriate
       disciplinary hearing.

12.4   DISMISSAL DUE TO SICKNESS OR INJURY

       (a)  Notwithstanding sub-clauses 9.3 and 11.3, if the Executive is
            incapable of performing the Duties due to sickness or injury for a
            period or periods aggregating at least 180 days in any period of 12
            months the Company may, by not less than 6 months' prior written
            notice given at any time whilst such incapacity continues, terminate
            the Employment.

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       (b)  Upon termination of the Employment under this sub-clause the
            Executive shall cease to be entitled to any payment under sub-clause
            11.3 or any other provision of this Agreement.

12.5   PAY IN LIEU

       On the service of notice to terminate the Employment by the Executive or
       the Company or at any time during the currency of such notice, the
       Company shall have the right to terminate the Employment with immediate
       effect by notifying the Executive in writing that the Employment is being
       terminated pursuant to this clause and paying to the Executive a sum
       equivalent to the Executive's basic salary (excluding bonus), pension
       contributions and an amount equal to the value of any benefits in kind
       for the unexpired portion of the Executive's contractual notice
       entitlement. The Company will pay the sum due and payable under this
       sub-clause subject to deduction of tax and national insurance
       contributions at source.

12.6   EFFECT OF TERMINATION

       (a)  On the Termination Date or (if earlier) at any time after notice is
            given by the Company or the Executive to terminate the Employment,
            the Executive shall, at the request of the Board:

            (i)     resign (without prejudice to any claims which he may have
                    against any Group Company arising out of the Employment or
                    its termination) from all and any offices which he may hold
                    as a director of any Group Company and from all other
                    appointments or offices which he holds as nominee or
                    representative of any Group Company; and

            (ii)    transfer without payment to the Company or as the Company
                    may direct any shares held by him for the purposes only of
                    fulfilling any requirement in the Company's articles of
                    association that a director holds shares in the Company and
                    any shares in any Group Company held by him on trust for the
                    Company or any Group Company.

       (b)  If the Executive should fail to comply with any obligation under
            sub-clause (a) within 7 days of the Company's request, the Company
            is irrevocably authorised to appoint some person in his name and on
            his behalf to sign any documents or do any things necessary or
            requisite to effect such resignation(s) and/or transfer(s).

13.    OBLIGATIONS DURING EMPLOYMENT

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13.1   INVENTIONS

       (a)  The Executive shall promptly disclose to the Company full details
            including, without limitation, any and all computer programs,
            photographs, plans, records, drawings and models, of any know-how,
            technique, process, improvement, invention or discovery (whether
            patentable or not) which the Executive (whether alone or with any
            other person) makes, conceives, creates, develops, writes, devises
            or acquires at any time during the Employment and which relates or
            which could relate, directly or indirectly, to the Businesses.

       (b)  If the know-how, technique, process, improvement, invention or
            discovery is a Company Invention, the Executive shall (to the extent
            that it does not automatically vest in the Company by operation of
            law) hold it in trust for the Company and, at the request and
            expense of the Company, do all things necessary or desirable
            (including entering into any agreement that the Company reasonably
            requires) to enable the Company or its nominee to obtain for itself
            the full benefit of and to secure patent or other appropriate forms
            of protection for the Company Invention throughout the world.

       (c)  If the know-how, technique, process, improvement, invention or
            discovery is not a Company Invention, the Company shall treat all
            information disclosed to it by the Executive as confidential
            property of the Executive.

       (d)  The patenting and exploitation of any Company Invention shall be at
            the sole discretion of the Company.

13.2   COPYRIGHT ETC

       (a)  The Executive shall promptly disclose to the Company all works
            including, without limitation, all copyright works or designs
            originated, conceived, developed, written or made by the Executive
            alone or with others during the Employment which relate, or could
            relate, to the Businesses and shall (to the extent that they do not
            automatically vest in the Company by operation of law) hold them in
            trust for the Company until such rights have been fully and
            absolutely vested in the Company.

       (b)  The Executive assigns to the Company by way of present and future
            assignment (to the extent not already vested in the Company by
            operation of law) all copyright, design rights and other proprietary
            rights (if any) for their full terms throughout the world in respect
            of all copyright works and designs originated, conceived, written,
            developed or made by the Executive alone or with others during the
            Employment which

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            relate, or could relate, to the Businesses.

       (c)  The Executive irrevocably and unconditionally waives in favour of
            the Company any and all moral rights conferred on the Executive by
            Chapter IV, Part I, Copyright Designs and Patents Act 1988 and any
            other moral rights provided for under the laws now or in future in
            force in any part of the world for any work the rights in which are
            vested in the Company whether by sub-clause (b) or otherwise.

       (d)  The Executive shall, at the request and expense of the Company, do
            all things necessary or desirable (including entering into any
            agreement that the Company reasonably requires to vest the rights
            referred to in this clause in the Company) to substantiate the
            rights of the Company under sub-clauses (b) and (c).

13.3   POWER OF ATTORNEY

       The Executive irrevocably appoints the Company as his attorney in his
       name and on his behalf to execute documents, to use his name and to do
       all things which may be necessary or desirable for the Company to obtain
       for itself or its nominee the full benefit of the provisions of
       sub-clause 13.1(b) and 13.2(b) and a certificate in writing signed by any
       director or the Company Secretary that any instrument or act falls within
       the authority conferred by this clause shall be conclusive evidence that
       such is the case so far as any third party is concerned.

13.4   CONFLICT OF INTEREST

       (a)  During the Employment, the Executive shall not:

            (i)     directly or indirectly disclose to any person or use other
                    than for any legitimate purposes of any Group Company any
                    Confidential Information;

            (ii)    without the Board's prior written permission hold any
                    Material Interest in any person which:

                    (A)  is or shall be wholly or partly in competition with any
                         of the Businesses;

                    (B)  impairs or might reasonably be thought by the Company
                         to impair the Executive's ability to act at all times
                         in the best interests of any Group Company; or

                    (C)  requires or might reasonably be thought by the Company
                         to require the Executive to disclose or make use of any
                         Confidential Information in

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                         order properly to discharge the Duties to or to further
                         the Executive's interest in that person;

            (iii)   at any time (whether during or outside normal working hours)
                    take any preparatory steps to become engaged or interested
                    in any capacity whatsoever in any business or venture which
                    is in or is intended to enter into competition with any of
                    the Businesses;

            (iv)    at any time make any untrue or misleading statement in
                    relation to any Group Company;

            (v)     carry out any public or private work other than the Duties
                    (whether for profit or otherwise and whether during or
                    outside normal working hours) except with the prior written
                    permission of the Board; or

            (vi)    directly or indirectly receive or obtain in respect of any
                    goods or services sold or purchased or other business
                    transacted (whether or not by the Executive) by or on behalf
                    of any Group Company any discount, rebate, commission or
                    other inducement (whether in cash or in kind) which is not
                    authorised by any Company rules or guidelines from time to
                    time and if the Executive or any person in which the
                    Executive holds any Material Interest shall obtain any such
                    discount, rebate, commission or inducement, the Executive
                    shall immediately account to the Company for the amount so
                    received.

       (b)  The Executive shall, at any time during the Employment or following
            its termination, at the request of the Company or any Group Company
            return to the relevant Group Company or, at the relevant Group
            Company's request, shall destroy:

            (i)     any documents, drawings, designs, computer files or
                    software, visual or audio tapes or other materials
                    containing information (including, without limitation,
                    Confidential Information) relating to the Company or any
                    Group Company's business created by, in the possession of or
                    under the control of the Executive; and

            (ii)    any other property of the Company or any Group Company in
                    his possession or under his control.

       (c)  The Executive shall not make or keep or permit any person to make or
            keep on his behalf any copies or extracts of the items referred to
            in sub-clause (b) (i) in any medium or form.

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14.    OBLIGATIONS AFTER EMPLOYMENT

14.1   The Executive shall not within the Restricted Area directly or indirectly
       for the period of 9 months after the Termination Date be engaged on his
       own account or in the capacity of employee, officer, consultant, adviser,
       partner, principal or agent in or hold any Restricted Shareholding in any
       company which carries on any business or venture which:

       (a)  is or is about to be in competition with any of the Businesses with
            which the Executive has been concerned or involved to any material
            extent during the 12 months preceding the Termination Date; or in
            relation to which the Executive at the Termination Date possesses
            Confidential Information; or

       (b)  requires or might reasonably be thought by the Company to require
            the Executive to disclose or make use of any Confidential
            Information in order properly to discharge the Executive's duties to
            or to further the Executive's interest in that business or venture.

14.2   The Executive shall not directly or indirectly, whether on the
       Executive's own behalf or on behalf of another person:

       (a)  for the period of 12 months after the Termination Date:

            (i)     accept orders for any Restricted Products or Restricted
                    Services from any Customer; or

            (ii)    accept orders for any Restricted Proposed Products or
                    Restricted Proposed Services from any Customer;

       (b)  for the period of 12 months after the Termination Date accept the
            supply by any Supplier of Restricted Supplies;

       (c)  for the period of 12 months after the Termination Date:

            (i)     seek, canvass or solicit any business, orders or custom for
                    any Restricted Products or Restricted Services from any
                    Customer;

            (ii)    seek, canvass or solicit any business, orders or custom for
                    any Restricted Proposed Products or Restricted Proposed
                    Services from any Customer;

            (iii)   solicit or entice away or seek to entice away from any Group
                    Company any person who is and was at the Termination Date or
                    during the period of 12 months preceding the Termination
                    Date, employed or engaged by any Group Company in any of the
                    Businesses in a

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                    senior managerial, scientific, technical, supervisory, sales
                    or marketing capacity and was a person with whom the
                    Executive dealt in the course of the Duties and who by
                    reason of such employment or engagement is likely to have
                    knowledge of any trade secrets or Confidential Information
                    of the Company or any Group Company;

       (d)  at any time after the Termination Date:

            (i)     induce or seek to induce by any means involving the
                    disclosure or use of Confidential Information any Customer
                    or Supplier to cease dealing with the Company or any Group
                    Company or to restrict or vary the terms upon which it deals
                    with the relevant Group Company;

            (ii)    be held out or represented by the Executive or any other
                    person, as being in any way connected with or interested in
                    any Group Company; or

            (iii)   disclose to any person, or make use of any Confidential
                    Information.

14.3   UNDERTAKINGS

       The Executive has given the undertakings contained in clause 14 to the
       Company as trustee for itself and for each Group Company in the business
       of which the Executive shall be involved or concerned to a material
       extent during the Employment. The Executive will at the request and cost
       of the Company enter into direct undertakings with any such Group Company
       which correspond to the undertakings in clause 14.

14.4   LEGAL ADVICE

       The undertakings contained in clause 14 are entered into by the Company
       and the Executive after having been separately legally advised.

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15.    DISCIPLINARY AND GRIEVANCE PROCEDURE

15.1   There are no specific disciplinary rules or procedures applicable to the
       Executive. Any matters concerning the Executive's unsatisfactory conduct
       or performance will be dealt with by the Chief Executive Officer. An
       appeal against any disciplinary decision should be made by the Executive
       in writing to the Board of Visible Genetics Inc, whose decision will be
       final.

15.2   If the Executive has any grievance relating to his Employment (other than
       one relating to a disciplinary decision) he should refer such grievance
       to the Chief Executive Officer and if the grievance is not resolved by
       discussion with him it will be referred for resolution to the Board of
       Visible Genetics Inc, whose decision shall be final.

16.    COLLECTIVE AGREEMENTS

       There are no collective agreements which affect the terms and conditions
       of the Executive's employment.

17.    DEDUCTIONS

       The Executive consents to the deduction at any time from any salary or
       other sum due from the Company to the Executive including any payment on
       termination of employment, of any sum owed by the Executive to the
       Company.

18.    ENTIRE AGREEMENT

       This Agreement (together with the letter of even date from the Company to
       the Executive) sets out the entire agreement and understanding between
       the parties and supersedes all prior agreements, understandings or
       arrangements (oral or written) in respect of the employment or engagement
       of the Executive by the Company. No purported variation of this Agreement
       shall be effective unless it is in writing and signed by or on behalf of
       each of the parties.

19.    THIRD PARTIES

       Unless expressly provided in this Agreement, no term of this Agreement is
       enforceable pursuant to the Contracts (Rights of Third Parties) Act 1999
       by any person who is not a party to it.

20.    DATA PROTECTION

       The Executive consents to the holding and processing by the Company or
       any other Group Company of personal data (including, where appropriate,
       sensitive personal data) relating to the Executive for the purposes of
       personnel or pensions administration, employee

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       management or compliance with any laws or regulations applicable to the
       Company or any Group Company or its or their business.

21.    RELEASES AND WAIVERS.

21.1   The Company may, in whole or in part, release, compound, compromise,
       waive or postpone, in its absolute discretion, any liability owed to it
       or right granted to it in this Agreement by the Executive without in any
       way prejudicing or affecting its rights in respect of any part of that
       liability or any other liability or right not so released, compounded,
       compromised, waived or postponed.

21.2   No single or partial exercise, or failure or delay in exercising any
       right, power or remedy by the Company shall constitute a waiver by it of,
       or impair or preclude any further exercise of, that or any right, power
       or remedy arising under this Agreement or otherwise.

22.    NOTICES

22.1   Any notice to a party under this Agreement shall be in writing signed by
       or on behalf of the party giving it and shall, unless delivered to a
       party personally, be hand delivered, or sent by prepaid first class post
       or facsimile, with a confirmatory copy sent by prepaid first class post
       to, in the case of the Executive, the Executive's last known residential
       address or, in the case of the Company, the Human Resources Department,
       Visible Genetics Corporation, 25 Crestridge Drive, Suite 200, Suwanee,
       Georgia, USA 30024.

22.2   A notice shall be deemed to have been served:

       (a)  at the time of delivery if delivered personally to a party or to the
            specified address;

       (b)  on the second working day after posting by first class prepaid post;
            or

       (c)  2 hours after transmission if served by facsimile on a business day
            prior to 3pm or in any other case at 10 am on the business day after
            the date of despatch.

23.    GOVERNING LAW AND JURISDICTION

23.1   This Agreement shall be governed by and construed in accordance with
       English law.

23.2   Each of the parties irrevocably submits for all purposes in connection
       with this Agreement to the exclusive jurisdiction of the English courts.

IN WITNESS this Deed has been executed on the date appearing at the head of
page 1.

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                                   SCHEDULE 1

                                     BONUSES

1.     For the period from 13 September 2001 until 12 September 2002, the
       Executive shall be eligible to receive a guaranteed bonus payment
       equivalent to 40% of his base salary of L137,500. The bonus shall become
       payable on 12 September 2002 and shall be paid subject to the deduction
       of Income Tax and National Insurance Contributions as appropriate.

2.     For the period 13 September 2002 until 31 December 2002, the Executive
       shall be eligible to receive a guaranteed bonus equivalent to 40% of his
       base monthly salary received during this period. The bonus shall become
       payable on 31 December 2002 and shall be paid subject to the deduction of
       Income Tax and National Insurance Contributions as appropriate.

3.     Thereafter, the Executive shall be eligible to participate in the
       Executive Bonus Plan operated by the Company and/or Visible Genetics Inc
       which will be introduced with effect from 1 January 2003. The level of
       bonus will be based on the successful achievement of both individual and
       corporate objectives, the details of which will be agreed in writing with
       the Executive on or before 1 January 2003

4.     In order to be eligible to receive any bonus payment under the terms of
       this Schedule, the Executive must have been in employment throughout the
       period in question and remain in employment on the date the bonus becomes
       payable.

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EXECUTED as a DEED                       )
by BRENDAN LARDER                        )
in the presence of:                      )


SIGNATURE OF WITNESS:

NAME:

ADDRESS:


OCCUPATION:


EXECUTED as a DEED                       )
(but not delivered until the date        )
appearing at the head of page 1)         )
by VISIBLE GENETICS UK LIMITED           )
acting by:                               )

                                         Director

                                         Director/Secretary

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