PATENT SECURITY AgREEMENT

     THIS PATENT SECURITY AGREEMENT (this "Security  Agreement") made as of this
26th day of June 2002, by MTS  PACKAGING  SYSTEMS,  INC., a Florida  corporation
("Grantor")  in favor of EUREKA I, L.P., as collateral  agent (in such capacity,
the "Collateral Agent"):

                               W I T N E S S E T H

     WHEREAS, Grantor is a party to that certain Guaranty Agreement of even date
herewith (as  amended,  restated or otherwise  modified  from time to time,  the
"Guaranty")  by the  subsidiaries  of  Medical  Technology  Systems,  Inc.  (the
"Company") in favor of Eureka I, L.P.; and

     WHEREAS,  the Company has entered into the Securities Purchase Agreement of
even date  herewith  with Eureka I, L.P.,  as purchaser  (the  "Purchaser")  and
Collateral Agent (as amended,  restated or otherwise modified from time to time,
the  "Purchase  Agreement"),  providing,  subject  to the terms  and  conditions
thereof,  for the  purchase  from the Company by the  Purchaser  of, among other
things,  $4,000,000  aggregate  principal  amount  of Notes (as  defined  in the
Purchase Agreement); and

     WHEREAS,  Grantor  is  interested  in the  welfare  of the  Company  and is
directly  benefited  by the  purchase  of the  Notes  from  the  Company  by the
Purchaser; and

     WHEREAS,  to induce the Purchaser to enter into the Purchase Agreement with
the  Company and to  purchase  the Notes,  the Grantor has agreed to execute and
deliver this Security Agreement and to assign and grant to Collateral Agent, for
its  benefit  and for the  benefit of the  Noteholders,  a security  interest in
certain of the Grantor's assets, including,  without limitation, its patents and
patent applications;

     NOW,  THEREFORE,  in consideration of the premises set forth herein and for
other good and  valuable  consideration,  receipt and  sufficiency  of which are
hereby acknowledged, Grantor agrees as follows:

     1. Certain Definitions.  All terms capitalized terms used but not otherwise
defined  herein shall have the meanings  herein as in the Purchase  Agreement or
the Guaranty (as defined in the Purchase Agreement).

     2. Grant of Security  Interests.  To secure the complete and timely payment
and  satisfaction  of the  Liabilities by the Company,  Grantor hereby grants to
Collateral Agent, as agent for itself and the Noteholders, a continuing security
interest in Grantor's entire right,  title and interest in and to all of its now
owned or existing and hereafter acquired or arising patents, patent applications
and rights under  patent  license  agreements,  whether as licensee or licensor,
including,  without  limitation,  the inventions and improvements  described and
claimed  therein,  all  patentable  inventions  and  those  patents  and  patent
applications listed on Schedule A attached hereto and made a part hereof and all
patents and the reissues,  divisions,  continuations,  renewals,  extensions and
continuations-in-part  of any of  the  foregoing,  and  all  income,  royalties,
damages and payments now or hereafter  due and/or  payable under or with respect
to any of the foregoing, including, without limitation, damages and payments for
past, present and future  infringements of any of the foregoing and the right to
sue for past,  present and future  infringements of any of the foregoing (all of
the  foregoing  are  sometimes  hereinafter   individually  and/or  collectively
referred to as the "Patents").

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     The term  "Liability"  or  "Liabilities"  shall mean the  indebtedness  and
liabilities of the Company to the Collateral Agent and/or the Noteholders  under
this  Security  Agreement,  the Notes,  the Purchase  Agreement and the Security
Documents (as defined in the Purchase  Agreement),  including but not limited to
all  obligations  to  perform  acts or  refrain  from  taking any action and any
obligations of the Company owing to the Collateral Agent and/or the Noteholders.

     3. Intercreditor  Agreement. The priority of the security interests granted
hereby,  the exercise by the  Collateral  Agent of any of its rights or remedies
hereunder,  and the  covenants  of the  Grantor  contained  herein (in each case
whether or not so  expressed)  are subject in all respects to the  Intercreditor
Agreement (as such term is defined in the Purchase Agreement).  Any reference to
property in the possession  of, or to property  secured or to be secured to, the
Collateral  Agent will be deemed to refer to, or to be satisfied by, property in
the  possession  of or secured to the "Senior  Lender"  under the  Intercreditor
Agreement.  The  security  interests  created in favor of the  Collateral  Agent
hereunder are subordinate and junior to the security  interests created in favor
of the Senior Lender (as such term is defined in the Intercreditor Agreement).

     4.  Warranties  and  Representations.  Grantor  warrants and  represents to
Collateral Agent that:

          (a) no Patent has been adjudged invalid or unenforceable by a court of
     competent jurisdiction nor has any such Patent been cancelled,  in whole or
     in part and each such Patent is presently subsisting;

          (b)  Grantor  is the  sole  and  exclusive  owner  of the  entire  and
     unencumbered  right,  title  and  interest  in and to  each  Patent,  or is
     licensee of such Patents,  as set forth on Schedule A attached hereto, free
     and  clear  of any  liens,  charges  and  encumbrances,  including  without
     limitation,  shop rights and covenants by Grantor not to sue third persons,
     other than Permitted Liens;

          (c)  Grantor  has no  notice  of any  suits or  actions  commenced  or
     threatened with reference to any Patent; and

          (d) Grantor  has the  unqualified  right to execute  and deliver  this
     Security Agreement and perform its terms.

     5.  Restrictions  on  Future  Agreements.  Grantor  agrees  that  until the
Liabilities  shall  have been paid and  satisfied  in full,  Grantor  shall not,
without  the prior  written  consent  of  Collateral  Agent,  sell or assign its
interest  in any Patent or enter into any other  agreement  with  respect to any
Patent which would affect the validity or enforcement of the rights  transferred
to Collateral Agent under this Security Agreement.

     6. New Patents.  Grantor  represents and warrants that, based on a diligent
investigation by Grantor, the Patents listed on Schedule A constitute all of the
federally  registered Patents and Patent applications now owned by Grantor.  If,
before the  Liabilities  shall have been  satisfied in full,  Grantor  shall (i)
become  aware of any  existing  Patents  of  which  Grantor  has not  previously
informed  Collateral Agent, (ii) obtain rights to any new patentable  inventions

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or  Patents,  or (iii)  become  entitled to the  benefit of any  Patents,  which
benefit is not in existence on the date hereof,  the provisions of this Security
Agreement  above shall  automatically  apply  thereto and Grantor  shall give to
Collateral  Agent prompt  written  notice  thereof.  Grantor  hereby  authorizes
Collateral  Agent to modify this  Security  Agreement by amending  Schedule A to
include any such Patents.

     7. Royalties; Terms. The term of this Security Agreement shall extend until
the earlier of (i) the  expiration of each of the Patents,  and (ii) the payment
and satisfaction in full of the Liabilities and the termination of the Financing
Agreements.  Grantor agrees that, during the continuance of an Event of Default,
the use by Agent of all Patents  shall be without any liability for royalties or
other related charges from Collateral Agent to Grantor.

     8.  Release of  Security  Interest.  This  Security  Agreement  is made for
Collateral  purposes  only.  Upon  payment  and  satisfaction  in  full  of  the
Liabilities,  Collateral  Agent shall take such  actions as may be  necessary or
proper to terminate the security interests created hereby.

     9. Expenses.  All expenses  incurred in connection  with the performance of
any of the  agreements  set forth  herein  shall be borne by Grantor.  All fees,
costs and expenses, of whatever kind or nature,  including reasonable attorneys'
fees and legal  expenses,  actually  incurred by Collateral  Agent in connection
with the filing or recording of any documents (including all taxes in connection
therewith) in public offices, the payment or discharge of any taxes,  reasonable
counsel fees actually incurred,  maintenance fees,  encumbrances or otherwise in
protecting, maintaining or preserving the Patents or in defending or prosecuting
any actions or  proceedings  arising  out of or related to the Patents  shall be
borne by and paid by Grantor and until paid shall constitute Liabilities.

     10.  Duties  of  Grantor.  Grantor  shall  have  the  duty  (i) to file and
prosecute  diligently any patent  applications  pending as of the date hereof or
hereafter until the Liabilities shall have been paid and satisfied in full, (ii)
to make  application on unpatented but patentable  inventions,  as  commercially
reasonable,  (iii) to  preserve  and  maintain  all  rights in the  Patents,  as
commercially  reasonable  and (iv) to ensure  that the  Patents  are and  remain
enforceable,  as commercially  reasonable.  Any expenses  incurred in connection
with Grantor's obligations under this Section 10 shall be borne by Grantor.

     11. Collateral  Agent's Right to Sue. During the continuance of an Event of
Default and at the  direction  of the  Required  Noteholders  and subject to the
Intercreditor Agreement,  Collateral Agent shall have the right, but shall in no
way be  obligated,  to bring suit in its own name to enforce the Patents and, if
Collateral Agent shall commence any such suit,  Grantor shall, at the request of
Collateral  Agent,  do any and all lawful  acts and  execute  any and all proper
documents  required by Collateral  Agent in aid of such  enforcement and Grantor
shall promptly,  upon demand,  reimburse and indemnify  Collateral Agent for all
costs and expenses  actually incurred by Collateral Agent in the exercise of its
rights under this Section 11.

     12. Waivers. No course of dealing between Grantor and Collateral Agent, nor
any failure to exercise, nor any delay in exercising,  on the part of Collateral
Agent,  any  right,  power or  privilege  hereunder  shall  operate  as a waiver
thereof;  nor shall any  single  or  partial  exercise  of any  right,  power or
privilege hereunder or thereunder preclude any other or further exercise thereof
or the exercise of any other right, power or privilege.

     13. Severability.  The provisions of this Security Agreement are severable,
and if any clause or provision shall be held invalid and  unenforceable in whole
or in part in any jurisdiction,  then such invalidity or unenforceability  shall
affect only such clause or provision, or part thereof, in such jurisdiction, and
shall  not  in  any  manner  affect  such  clause  or  provision  in  any  other
jurisdiction, or any other clause or provision of this Security Agreement in any
jurisdiction.

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     14.  Modification.  This Security  Agreement cannot be altered,  amended or
modified in any way, except as specifically provided in Section 6 hereof or by a
writing signed by the parties hereto.

     15. Cumulative Remedies; Power of Attorney; Effect on Financing Agreements.
All of  Collateral  Agent's  rights and  remedies  with  respect to the Patents,
whether  established  hereby  or by the  Financing  Agreements,  or by any other
agreements  or by law shall be  cumulative  and may be exercised  singularly  or
concurrently. Grantor hereby authorizes Collateral Agent, during the continuance
of an Event of Default and at the  direction  of the  Required  Noteholders  and
subject to the  Intercreditor  Agreement,  to make,  constitute  and appoint any
officer or agent of Collateral Agent as Collateral Agent may select, in its sole
discretion,  as Grantor's  true and lawful  attorney-in-fact,  with power to (i)
endorse  Grantor's name on all applications,  documents,  papers and instruments
necessary or desirable  for  Collateral  Agent in the use of the Patents or (ii)
take any other actions with respect to the Patents as Collateral  Agent deems to
be in the  best  interest  of  Collateral  Agent,  or (iii)  grant or issue  any
exclusive or non-exclusive  license under the Patents to anyone, or (iv) assign,
pledge,  convey or  otherwise  transfer  title in or dispose  of the  Patents to
anyone.  Grantor  hereby  ratifies all that such attorney  shall  lawfully do or
cause to be done by virtue  hereof.  This power of attorney shall be irrevocable
until  the  Liabilities  shall  have been paid and  satisfied  in full.  Grantor
acknowledges and agrees that this Security Agreement is not intended to limit or
restrict  in any way the rights and  remedies  of  Collateral  Agent  and/or the
Noteholders  under the Purchase  Agreement  but rather is intended to facilitate
the exercise of such rights and remedies.  Collateral  Agent and the Noteholders
shall have,  in addition to all other rights and remedies  given it by the terms
of this Security Agreement and the Purchase  Agreement,  all rights and remedies
allowed by law and the rights and remedies of a secured  party under the Uniform
Commercial Code as enacted in the Commonwealth of Pennsylvania.

     16. Binding Effect; Benefits. This Security Agreement shall be binding upon
Grantor  and its  respective  successors  and  assigns,  and shall  inure to the
benefit  of  the  Collateral   Agent,   the  Noteholders  and  their  respective
successors, nominees and assigns.

     17.  Governing  Law.  This  Security  Agreement  shall be  governed  by and
construed in accordance with the laws of the  Commonwealth  of Pennsylvania  and
applicable federal law.

     18. Headings.  Paragraph  headings used herein are for convenience only and
shall not modify the provisions which they precede.

     19. Further Assurances.  Grantor agrees to execute and deliver such further
agreements,  instruments  and  documents,  and to perform such further  acts, as
Collateral Agent (at the direction of the Required Noteholders) shall reasonably
request  from time to time in order to carry out the  purpose  of this  Security
Agreement and agreements set forth herein.

     20.  Survival of  Representations.  All  representations  and warranties of
Grantor  contained in this  Security  Agreement  shall survive the execution and
delivery of this Security Agreement.

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                                       S-1

     IN WITNESS WHEREOF, Grantor has duly executed this Security Agreement as of
the date first written above.

                                    MTS PACKAGING SYSTEMS, INC.


                                    By________________________________________

                                    Its_______________________________________


Agreed and Accepted
As of the Date First Written Above

EUREKA I, L.P., as Collateral Agent

By:  EUREKA MANAGEMENT, L.P.,
           its sole general partner

         By: BERWIND CAPITAL PARTNERS, LLC,
                    its sole general partner


                 By:______________________________
                          Christine C. Jones,
                              President

<PAGE>

                                   SCHEDULE A

                                     PATENTS

Patent Description               U.S. Patent No.                     Issue Date
------------------               ---------------                     ----------


                               PATENT APPLICATIONS

Patent Application Description     U.S. Patent Application No.     Date Applied
------------------------------     ---------------------------     ------------


                                 PATENT LICENSES

Description of License            U.S. Patent No.                    Issue Date
----------------------            ---------------                    ----------


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                                       2

STATE OF NEW YORK                           :
                                            :   SS.
COUNTY OF          NEW YORK                 :


     On this, the ____ day of June, 2002, before me, a Notary Public, personally
appeared  Christine C. Jones,  who  acknowledged  herself to be the President of
Berwind  Capital  Partners,  LLC,  and  that  she as such  officer,  being  duly
authorized to do so, executed the foregoing  instrument for the purposes therein
contained by signing the name of the corporation by herself as such officer.

     IN WITNESS WHEREOF, I have hereunto set my hand and official seal.



                                                   ____________________________
                                                   Notary Public
                                                   My commission expires



STATE OF NEW YORK                           :
                                            :   SS.
COUNTY OF          NEW YORK                 :


     On this, the __ day of June, 2002,  before me, a Notary Public,  personally
appeared ______________, who acknowledged himself to be _______ of MTS Packaging
Systems,  Inc., a Florida corporation,  and that he as such officer,  being duly
authorized to do so, executed the foregoing  instrument for the purposes therein
contained by signing the name of the corporation by himself as such officer.

     IN WITNESS WHEREOF, I have hereunto set my hand and official seal.


                                                   ____________________________
                                                   Notary Public
                                                   My commission expires