Document:

SECURITY AGREEMENT

         This  SECURITY   AGREEMENT,   PLEDGE  AND  ASSIGNMENT  (this  "Security
Agreement")  dated and effective as of June 27, 2000 (the "Effective  Date"), is
made by eAutoclaims.com  Corporation (the "Company"),  a Nevada corporation,  as
the debtor,  to Thomson  Kernaghan & Co.  Limited (the "Agent") as agent for the
Purchasers named in the Securities  Purchase Agreement (as hereinafter  defined,
as the secured parties, in connection with the Securities Purchase Agreement.

         PRELIMINARY STATEMENTS:

         (1) The  Company  and the  Purchasers  have  made  and  entered  into a
Securities Purchase Agreement (as it now exists or subsequently may be modified,
the  "Securities  Purchase  Agreement")  effective as of the Effective Date. The
Company  will  derive   substantial   direct  and  indirect   benefit  from  the
transactions contemplated by the Securities Purchase Agreement.

         (2) It is a condition precedent to the Purchasers  purchasing Preferred
Shares under the Securities  Purchase Agreement that the Company shall have made
the pledge and granted the assignment and security interest contemplated by this
Security Agreement.

         (3) All  capitalized  terms  used  but  not  defined  in this  Security
Agreement  shall have the meanings  ascribed to them in the Securities  Purchase
Agreement.

         NOW, THEREFORE, in consideration of the premises and in order to induce
the  Purchasers  to purchase  Preferred  Shares  under the  Securities  Purchase
Agreement, the Company hereby agrees with the Purchasers as follows:

         Section 1.01.  Pledge,  Assignment  and Grant of Security.  The Company
hereby assigns and pledges and delivers to the Agent, for the ratable benefit of
the Purchasers,  and hereby grants to the Purchasers a security  interest in all
of the Company's right, title and interest in and to the following,  whether now
owned or hereafter acquired (the "Collateral"):

         (1)  225,000 shares of the Company's common stock, $.001 par value per
share ("Common Stock"); and

         (2) such additional shares of Common Stock as the Company shall deliver
to the Agent as Collateral pursuant to the Securities Purchase Agreement.

The Company hereby  acknowledges  that as security for the Company's  prompt and
full performance of its obligations under the Securities  Purchase Agreement and
the other  Transaction  Documents,  the Company is obligated  to issue,  assign,
pledge  and  deliver  to the  Agent,  for  the  benefit  of the  Agent  and  the
Purchasers, Two Hundred Twenty Five Thousand shares of Common Stock for each 200
Preferred  Shares or portion thereof issued pursuant to the Securities  Purchase
Agreement.

         Section 2.01.  Delivery of Collateral.  All certificates or instruments
representing  or evidencing the Collateral  shall be delivered to and held by or
on behalf of the Agent and shall be in suitable  form for  transfer by delivery,
or shall be accompanied  by duly executed  instruments of transfer or assignment
in blank,  all in form and substance  satisfactory to the Agent. The Agent shall
have the right, at any time in its discretion and without notice to the Company,
to transfer to or to register  any or all of the  Collateral  in the name of the
Agent or any of its nominees. In addition, the Agent shall have the right at any
time  to  exchange  certificates  or  instruments   representing  or  evidencing
Collateral for certificates or instruments of smaller or larger denominations.

<PAGE>

         Section 3.01. Security for Obligations. This Security Agreement secures
the prompt and full payment and  performance  of all  obligations of the Company
now or hereafter existing under the Securities  Purchase Agreement and the other
Transaction  Documents,  including  the  payment  of fees,  dividends,  damages,
expenses,  or otherwise,  and including  all  obligations  of the Company now or
hereafter   existing   under  this   Security   Agreement   (collectively,   the
"Obligations").  Without limiting the generality of the foregoing, this Security
Agreement  secures  the  payment of all  amounts  which  constitute  part of the
Obligations and would be owed by the Company to the Purchasers  under any of the
Transaction  Documents  but for the  fact  that  they are  unenforceable  or not
allowable  owing to the  existence  of  bankruptcy,  reorganization,  or similar
proceedings involving the Company.

         Section 4.01. Representations and Warranties. The Company represents
and warrants as follows:

         (1) The  Company is the legal and  beneficial  owner of the  Collateral
free and clear of any Lien  except  for the  security  interest  created by this
Security Agreement

         (2) The shares of Common Stock  constituting  the Collateral  have been
duly authorized and validly issued, and are fully paid and nonassessable.

         (3)  This  Security  Agreement  creates  a valid  and  perfected  first
priority  security  interest  in the  Collateral,  securing  the  payment of the
Obligations, and all filings and other actions necessary or desirable to perfect
and protect such security interest have been duly taken.

         (4) The Company is a corporation duly  incorporated,  validly existing,
and in good standing under the laws of the  jurisdiction  of its  incorporation;
has the  corporate  power and  authority  to own its assets and to transact  its
business,  and is duly  qualified  and in good  standing  under the laws of each
jurisdiction in which qualification is required.

         (5) The  execution  and  performance  by the  Company of this  Security
Agreement have been duly authorized by all necessary corporate action and do not
and will not (a) require any consent or approval of the Company's  stockholders;
(b) contravene the Company's charter or bylaws; (c) violate any provision of any
law, rule, or  regulation;  or (d) result in a breach of or constitute a default
under  any  indenture  or loan or  Securities  Purchase  Agreement  or any other
agreement,  lease,  or instrument to which the Company is a party or by which it
or its properties may be bound or affected.

         (6) This Security Agreement is the legal, valid, and binding obligation
of the Company,  enforceable in accordance with its respective terms,  except to
the  extent  that such  enforcement  may be limited  by  applicable  bankruptcy,
insolvency, and other similar laws affecting creditors' rights generally.

         (7) No  consent  of any other  person or entity  and no  authorization,
approval,  or other action by, and no notice to or filing with, any governmental
authority  or  regulatory  body is required (a) for the pledge by the Company of
the Collateral pursuant to this Security Agreement, for the grant by the Company
of the  assignment  and security  interest  granted hereby or for the execution,
delivery,  or performance of this Security Agreement by the Company; (b) for the
perfection  or  maintenance  of the pledge,  assignment,  and security  interest
created hereby (including the first priority nature of such pledge,  assignment,
and security interest);  or (c) for the exercise by the Purchasers of the voting
or other  rights  provided  for in this  Security  Agreement  or the remedies in
respect of the Collateral  pursuant to this Security Agreement (except as may be
required in connection  with the disposition of any portion of the Collateral by
laws affecting the offering and sale of securities generally).

<PAGE>

         (8) There are no  conditions  precedent  to the  effectiveness  of this
Security Agreement that have not been satisfied or waived.

         (9) The Company has,  independently and without reliance upon the Agent
or the Purchasers  and based on such documents and  information as it has deemed
appropriate,  made its own  credit  analysis  and  decision  to enter  into this
Security Agreement.

         Section 5.01. Further Assurances.

         (1) The Company  agrees  that from time to time,  at the expense of the
Company,  the Company will promptly execute and deliver all further  instruments
and documents,  and take all further action, that may be necessary or desirable,
or that the Purchasers may reasonably  request,  in order to perfect and protect
any pledge,  assignment or security  interest granted or purported to be granted
hereby or to enable  the  Purchasers  to  exercise  and  enforce  its rights and
remedies  hereunder  with  respect  to  any  Collateral.  Without  limiting  the
generality of the foregoing, the Company will execute and file such financing or
continuation  statements,  or amendments thereto,  and such other instruments or
notices, as may be necessary or desirable,  or as the Purchasers may request, in
order to perfect and preserve  the pledge,  assignment,  and  security  interest
granted or purported to be granted hereby.

         (2) The Company  hereby  authorizes  the Purchasers to file one or more
financing or continuation statements, and amendments thereto, relating to all or
any part of the Collateral  without the signature of the Company where permitted
by law. A photocopy  or other  reproduction  of this  Security  Agreement or any
financing  statement  covering  the  Collateral  or any  part  thereof  shall be
sufficient as a financing statement where permitted by law.

         (3) The  Company  will  furnish  to the  Purchasers  from  time to time
statements and schedules  further  identifying and describing the Collateral and
such other  reports in connection  with the  Collateral  as the  Purchasers  may
reasonably request, all in reasonable detail.

         Section 6.01. Transfers and Other Liens; Additional Shares.

         (1) The  Company  shall not (a) sell,  assign (by  operation  of law or
otherwise), or otherwise dispose of, or grant any option with respect to, any of
the  Collateral,  or (b) create or permit to exist any Lien upon or with respect
to any of the Collateral,  except for the security  interest under this Security
Agreement.

         Section 7.01.  The Agent's  Duties.  The powers  conferred on the Agent
hereunder is solely to protect the  Purchasers'  its interest in the  Collateral
and shall not impose any duty upon it to exercise  any such  powers.  Except for
the safe custody of any  Collateral in its  possession  and the  accounting  for
moneys actually received by it hereunder, the Agent shall have no duty as to any
Collateral,  as  to  ascertaining  or  taking  action  with  respect  to  calls,
conversions,  exchanges,  maturities,  tenders, or other matters relative to any
Collateral,  whether  or not the Agent or the  Purchasers  have or are deemed to
have  knowledge of such matters,  or as to the taking of any necessary  steps to
preserve  rights  against  prior  parties or any other rights  pertaining to any
Collateral.  The Agent shall be deemed to have exercised  reasonable care in the
custody and  preservation of any Collateral in its possession if such Collateral
is  accorded  treatment  substantially  equal to that which it  accords  its own
property.

<PAGE>

         Section 8.01 Remedies.  If any Event of Default shall have occurred and
be  continuing,  the Purchasers  may exercise in respect of the  Collateral,  in
addition  to other  rights  and  remedies  provided  for  herein,  in any of the
Transaction  Documents,  or  otherwise  available  to it, (i) all the rights and
remedies  of a pledgee on default  under the laws of the  Province  of  Ontario,
Canada, and (ii) all the rights and remedies of a secured party on default under
the Uniform  Commercial Code in effect in the State of Florida at that time (the
"Code") (whether or not the Code applies to the affected  Collateral),  and also
may sell the  Collateral or any part thereof in one or more parcels at public or
private  sale, at the Agent's  offices or elsewhere,  for cash, on credit or for
future  delivery,  and  upon  such  other  terms  as  the  Purchasers  may  deem
commercially  reasonable.  The Company agrees that, to the extent notice of sale
shall be  required  by law,  at least ten days notice to the Company of the time
and place of any public sale or the time after  which any private  sale is to be
made shall  constitute  reasonable  notification.  The  Purchasers  shall not be
obligated  to make any sale of  Collateral  regardless  of notice of sale having
been given.  The  Purchasers may adjourn any public or private sale from time to
time by announcement  at the time and place fixed  therefor,  and such sale may,
without  further  notice,  be made at the  time  and  place  to  which it was so
adjourned.

          Section 9.01. Indemnity and Expenses.

         (1) The Company agrees to indemnify the Agent and the  Purchasers  from
and against any and all claims,  losses, and liabilities  (including  reasonable
attorney  fees)  growing  out  of or  resulting  from  this  Security  Agreement
(including, without limitation,  enforcement of this Security Agreement), except
claims,  losses,  or liabilities  resulting from the Agent's or any  Purchaser's
gross negligence or willful misconduct.

         (2) The Company will upon demand pay to the Agent the amount of any and
all  reasonable  expenses,  including  the  reasonable  fees and expenses of its
counsel  and of any  experts  that the  Agent  or the  Purchasers  may  incur in
connection  with (a) the  administration  of this  Security  Agreement;  (b) the
custody,  preservation, use or operation of, or the sale of, collection from, or
other realization  upon, any of the Collateral;  (c) the exercise or enforcement
of any of the  rights of the  Purchasers  hereunder;  or (d) the  failure by the
Company to perform or observe any of the provisions hereof.

         Section 10.01. Security Interest Absolute. All rights of the Purchasers
and the pledge, assignment, and security interest hereunder, and all Obligations
of the Company hereunder, shall be absolute and unconditional, irrespective of:

         (1)  Any  lack  of  validity,  regularity,  or  enforceability  of  the
Securities  Purchase  Agreement,  the Preferred Shares or any other agreement or
instrument relating thereto;

         (2) Any change in the time,  manner,  or place of payment of, or in any
other term of, all or any of the  Obligations,  or any other amendment or waiver
of or any consent to any departure from the Securities Purchase Agreement or any
other  Transaction  Document,  including,  without  limitation,  any increase in
Obligations  resulting from the extension of credit to the Company or any of its
Subsidiaries or otherwise.

         (3) Any  taking,  exchange,  release,  or  nonperfection  of any  other
collateral,  or any taking,  release,  or  amendment  or waiver of or consent to
departure from any guaranty, for all or any of the Obligations;

         (4) Any manner of application of Collateral,  or proceeds  thereof,  to
all or any of the Obligations, or any manner of sale or other disposition of any
Collateral for all or any of the  Obligations or any other assets of the Company
or any of its subsidiaries;

<PAGE>

         (5)  Any  change,  restructuring,   or  termination  of  the  corporate
structure or existence of the Company or any of its subsidiaries; or

         (6) Any other circumstance  which might otherwise  constitute a defense
available to, or a discharge of, the Company.

         Section   11.01.   Amendments;   Etc.   No   amendment,   modification,
termination,  or waiver of any  provision  of this  Security  Agreement,  and no
consent  to any  departure  by the  Company  herefrom,  shall  in any  event  be
effective unless the same shall be in writing and signed by the Purchasers,  and
then such waiver or consent shall be effective only in the specific instance and
for the specific purpose for which given.

         Section  12.01.  Addresses  for Notices.  All notices  given under this
Security  Agreement  shall be in writing,  addressed to the parties as set forth
below, and shall be effective on the earliest of (i) the date received,  or (ii)
if given by facsimile  transmittal on the date given if transmitted  before 5:00
p.m. the recipient's  time,  otherwise it is effective the next day, or (iii) on
the second business day after delivery to a major  international air delivery or
air courier service (such as Federal Express or Network Couriers):

       If to the Agent:

     Thomson Kernaghan & Co. Ltd.
     365 Bay Street
     Toronto, Ontario M5H 2V2
     Attention: Mr. Gregg Badger, Sr. V.P.
     Facsimile No. (416) 860-6352

      If to the Company:

     eAutoclaims.com, Inc.
     2708 Alternate 19 North
     Suite 507
     Palm Harbor, Florida 34683
     Attention: Eric W. J. Seidel, President
     Facsimile No. (727) 781-8425

      If to the Purchasers

     c/o Thomson Kernaghan & Co. Ltd.
         as Agent
     365 Bay Street
     Toronto, Ontario M5H 2V2
     Attention: Mr. Gregg Badger, Sr. V.P.
         Facsimile No. (416) 860-6352

     With a copy (that does not constitute
               notice) to:
     Johnson, Blakely, Pope, Bokor, Ruppel & Burns, P.A.
     911 Chestnut Street, P.O. Box 1368
     Clearwater, Florida 33757-1368
     Attention: Michael T. Cronin

     In either case, with a copy (that does not
         constitute notice) to:
     John M. Mann
     Attorney at Law
     1330 Post Oak Boulevard, Suite 2800
     Houston, Texas 77056-3060
     Facsimile No. (713) 622-7185

<PAGE>

          Section  13.01.   Continuing  Security  Interest;   Assignments  Under
Securities Purchase Agreement. This Security Agreement shall create a continuing
security  interest  in the  Collateral  and shall (1)  remain in full  force and
effect  until the payment and  performance  in full of the  Obligations,  (2) be
binding  upon the Company,  its  successors  and  assigns;  and (3) inure to the
benefit  of,  and  be  enforceable   by,  the  Purchasers  and  its  successors,
transferees,  and assigns.  Without  limiting the  generality  of the  foregoing
clause (3), the Purchasers  may assign or otherwise  transfer all or any portion
of  its  rights  and  obligations  under  the  Securities   Purchase   Agreement
(including,  without limitation, all or any portion of any Preferred Shares held
by it) to any other  person or  entity,  and such other  person or entity  shall
thereupon  become vested with all the benefits in respect thereof granted to the
Purchasers herein or otherwise. Upon the later of the payment and performance in
full of the  Obligations,  the security  interest granted hereby shall terminate
and all rights to the  Collateral  shall  revert to the  Company.  Upon any such
termination,  the Purchasers will, at the Company's expense, execute and deliver
to the  Company  such  documents  as the  Company  shall  reasonably  request to
evidence such termination.

         Section 14.01.  Governing Law; Terms. This Security  Agreement shall be
governed  by and  construed  in  accordance  with  the laws of the  Province  of
Ontario;  provided,  however (a) if any provision of this Security  Agreement is
unenforceable  under Ontario law but is  enforceable  under the laws of the U.S.
State of Florida, then Florida law shall govern the construction and enforcement
of that  provision;  and (b) if the  security  interest  hereunder  is valid and
perfected  under  Florida law, or any remedy  hereunder is valid or  enforceable
under Florida law, then such security  interest  shall be and shall be deemed to
be valid,  perfected  and  enforceable,  and such  remedy  shall be and shall be
deemed  to be valid  and  enforceable,  in any  jurisdiction.  Unless  otherwise
defined in this  Security  Agreement or in the  Securities  Purchase  Agreement,
terms used in Article 9 of the UCC are used herein as therein defined.

         Section 15.01. Dispute Resolution. The parties agree that the courts of
the  Province  of Ontario,  Canada,  shall have  jurisdiction  and venue for the
adjudication  of any civil  action  between or among any of them  arising out of
relating  to  this  Agreement  or any  other  Transaction.  The  parties  hereby
irrevocably consent to such jurisdiction and venue, and hereby irrevocably waive
any claim of forum non conveniens or right to change venue. The prevailing party
in any action  brought to enforce or construe this Security  Agreement  shall be
entitled to recover reasonable attorneys fees.

<PAGE>

          IN WITNESS WHEREOF, the parties have caused this Security Agreement to
be executed by their respective  officers  thereunto duly authorized,  as of the
date first above written.

The Agent:

Thomson Kernaghan & Co. Ltd.

By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________

The Company:

eAutoclaims.com, INC.

By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________

The Purchasers:

By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________

By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________PURCHASERS' WARRANT

Warrant No. _______

THIS  WARRANT,   AND  THE   SECURITIES   ISSUABLE   UPON  THE  EXERCISE   HEREOF
(COLLECTIVELY,  THE  "SECURITIES"),  HAVE NOT  BEEN  REGISTERED  UNDER  THE U.S.
SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), NOR HAVE THEY BEEN REGISTERED OR
QUALIFIED UNDER THE SECURITIES LAWS OF ANY U.S. STATE OR TERRITORY. THIS WARRANT
IS BEING OFFERED AND SOLD PURSUANT TO  REGULATION S OF THE U.S.  SECURITIES  AND
EXCHANGE COMMISSION UNDER THE ACT. THE SECURITIES,  ARE "RESTRICTED  SECURITIES"
AND MAY NOT BE  OFFERED  OR SOLD IN THE  UNITED  STATES OR TO A U.S.  PERSON (AS
DEFINED IN REGULATION S) UNLESS PURSUANT TO AN EFFECTIVE  REGISTRATION STATEMENT
UNDER THE ACT,  OR  PURSUANT TO  REGULATION  S, OR  PURSUANT TO OTHER  AVAILABLE
EXEMPTIONS FROM THE REGISTRATION REQUIREMENTS OF THE ACT. A HOLDER OF ANY OF THE
SECURITIES MAY NOT ENGAGE IN HEDGING  TRANSACTION WITH REGARD TO SUCH SECURITIES
UNLESS IN COMPLIANCE WITH THE ACT.

                           eAUTOCLAIMS.COM CORPORATION

                            Warrant for the Purchase
                            of Shares of Common Stock

August __, 2000                                               __________  Shares

         FOR VALUE RECEIVED,  eAutoclaims.com Corporation., a Nevada corporation
(the  "Company"),  hereby  certifies  that  ___________________  or other holder
hereof (collectively,  the "Holder"), is entitled,  subject to the provisions of
this  Warrant,  to purchase  from the Company,  at any time or from time to time
beginning on the date hereof,  and ending at 5:00 pm, Toronto time, on the fifth
anniversary of the date hereof (the "Exercise Period") __________ fully paid and
nonassessable  shares of common stock of the Company, par value $_____ per share
(the  "Common  Stock") at the exercise  price of $  ___________  (the  "Exercise
Price").  This Warrant is a Purchasers' Warrant described in and is being issued
pursuant  to the  Securities  Purchase  Agreement  (the  "Agreement")  effective
June27,  2000,  among the  Company,  the  Lenders  named  therein,  and  Thomson
Kernaghan & Co. Limited as Agent (the "Agent"). Capitalized terms not defined in
this Warrant shall have the meanings ascribed to them in the Agreement

         For  purposes of this  Warrant,  "Warrant  Shares"  means the shares of
Common Stock deliverable upon exercise of this Warrant, as adjusted from time to
time.  Unless the context requires  otherwise all references to Common Stock and
Warrant Shares in this Warrant shall, in the event of an adjustment  pursuant to
Section 7 hereof,  be deemed to refer also to any  securities  or property  then
issuable upon exercise of this Warrant as a result of such adjustment

         Section 1. Exercise of Warrant. (a) This Warrant may be exercised, as a
whole or in part,  at any time or from time to time during the  Exercise  Period
or, if such day is not a Trading Day (as defined in the Agreement),  then on the
next succeeding Trading Day. The Holder may exercise this Warrant by telecopying
an executed  and  completed  Notice of Exercise  in the form  annexed  hereto as
Exhibit A (a "Notice of  Exercise")  to the Company and sending the  original by
mail or overnight  delivery service;  provided however,  that the Holder will t.

<PAGE>

Each Trading Day on which a Notice of Exercise is  telecopied  to the Company in
accordance with the provisions hereof shall be deemed an "Exercise Date." Within
three  Trading  Days after an Exercise  Date,  the  Company  will  transmit,  or
instruct  its transfer  agent to transmit,  the  certificates  representing  the
Warrant  Shares  issuable upon such exercise to the Holder by express  overnight
courier or by  electronic  transfer.  Notices of Exercise and any other  notices
given under this Warrant shall be delivered as provided in Section 13.

         The Holder will pay the Company the  Exercise  Price  within  three (3)
Trading Days after receipt of the Warrant  Shares,  by check or wire transfer as
the Company shall specify.

         If the Company does not deliver the Warrant  Shares within five Trading
Days after the Holders send a Notice of Exercise,  the, in addition to all other
remedies the Holder may have, the Company shall pay to the Holder, on demand and
in immediately  available funds, as liquidated  damages for such failure and not
as a penalty,  the amounts stated in the following  schedule,  which  liquidated
damages  shall  begin to accrue on the sixth  Trading  Day after the  Conversion
Date.

                                             Late Payment For Each $10,000
          No. Business Days Late             of the Warrant Exercise Price

                    1                                    $100
                    2                                    $200
                    3                                    $300
                    4                                    $400
                    5                                    $500
                More than 5                  $500  +$200 for each  Business  Day
                                             Late   beyond   5  days   from  The
                                             Delivery Date

Nothing  in this  Warrant  shall  limit  the  holder's  right  to seek  specific
performance  of the  Company's  obligations  hereunder  and other  remedies  and
damages for the Company's actions or inactions resulting in the transfer agent's
failure to issue and deliver the Warrant Shares to the Holder.

         (b) Cashless Exercise. Notwithstanding the foregoing, in lieu of paying
the Exercise Price, the Holder may, by designating a "cashless"  exercise on the
Purchase Form and  surrendering a part of the Warrant having an aggregate Spread
equal to the  aggregate  Exercise  Price of the part  Warrant  being  exercised,
acquire a number of Warrant Shares equal to (i) the  difference  between (x) the
Current  Market Value of the Common Stock  (defined  below) and (y) the Exercise
Price, (ii) multiplied by the number of shares of Common Stock purchasable under
the portion of the Warrant  tendered to the  Company,  and (iii)  divided by the
Market Value of the Company's  Common Stock.  "Spread"  means the Current Market
Value of the Warrant  Shares  issuable upon exercise of such part of the Warrant
less the Exercise Price of such part of the Warrant, in each case as adjusted as
provided herein.

         (c) The  Company  shall pay any and all  documentary  stamp or  similar
issue or  transfer  taxes  payable in respect  of the issue or  delivery  of the
Warrant Shares.

         (d)  Limitation  on Right and Power to Exercise.  Any provision in this
Warrant, the Securities Purchase Agreement or any other document to the contrary
not withstanding,  the Holder shall not have the right or power to exercise this
warrant, either in whole or in part, if, and any attempt to do so shall be void,
after  having  given  effect to such  exercise,  the Holder shall be or shall be
deemed to be the beneficial owner of 10% or more of the then outstanding  Common
Stock  within the meaning or for the  purposes of Section  13(d) or 13(g) of the
U.S.  Securities  Exchange Act of 1934, as amended,  or as the term  "beneficial
owner" is defined in Rule 13d-3 of the U.S.  Securities and Exchange  Commission
or otherwise.

<PAGE>

         Section 2. Reservation of Shares. The Company hereby agrees that at all
times there shall be reserved for issuance  and delivery  upon  exercise of this
Warrant all shares of its Common Stock or other  shares of capital  stock of the
Company or other  property  from time to time  issuable  upon  exercise  of this
Warrant.  All such shares shall be duly  authorized  and,  when issued upon such
exercise in accordance with the terms of this Warrant,  shall be validly issued,
fully paid and nonassessable,  free and clear of all liens,  security interests,
charges  and  other  encumbrances  or  restrictions  on  sale  (other  than  any
restrictions on sale pursuant to applicable  federal and state  securities laws)
and free and clear of all preemptive rights.

         Section 3.  Fractional  Shares.  The  Company  shall not be required to
issue fractional shares of Common Stock on the exercise of this Warrant.  If any
fraction of a share of Common Stock  would,  except for the  provisions  of this
Section 4, be issuable on the  exercise of this  Warrant (or  specified  portion
thereof),  the Company shall pay an amount in cash  calculated by it to be equal
to the then Current  Market Value (as  hereinafter  defined) per share of Common
Stock  multiplied by such fraction  computed to the nearest whole cent.  For the
purposes of any  computation  under this Warrant,  the Current  Market Value per
share of  Common  Stock or of any other  equity  security  (herein  collectively
referred to as a "security") at the date herein specified shall be:

         (i) if the security is not registered under the Securities Exchange Act
of 1934, as amended (the "Exchange  Act"),  the "Current Market Value" per share
of the security  shall be  determined in good faith by the Board of Directors of
the Company, or

         (ii) if the security is registered under the Exchange Act, the "Current
Market Value" per share of the security shall be deemed to be the average of the
daily  market  prices  of the  security  for  the 10  consecutive  trading  days
immediately  preceding  the  day as of  which  Current  Market  Value  is  being
determined  or, if the security has been  registered  under the Exchange Act for
less than ten (10)  consecutive  Trading Days before such date, then the average
of the daily  market  prices for all of the  trading  days  before such date for
which daily market prices are available.  The market price for each such trading
day shall be: (A) in the case of a security listed or admitted to trading on any
securities exchange,  the Closing Bid Price on the primary exchange on which the
Common Stock is then listed, on such day, (B) in the case of a security not then
listed or admitted to trading on any securities exchange,  the Closing Bid Price
reported by  Bloomburg  LP on such day,  (C) in the case of a security  not then
listed or admitted to trading on any securities exchange and as to which no such
reported sale price or bid and asked prices are available, the reported high bid
on such day, as reported by a reputable  quotation  service,  or a newspaper  of
general  circulation  in the Borough of  Manhattan,  City and State of New York,
customarily  published on each  business day,  designated  by the Holder,  or if
there shall be no bid prices on such day, the high bid price, as so reported, on
the most  recent day (not more than 10 days prior to the date in  question)  for
which prices have been so reported,  and (D) if there are no bid prices reported
during the 10 days prior to the date in  question,  the Current  Market Value of
the security  shall be determined as if the security were not  registered  under
the Exchange Act.

         Section 4.  Exchange, Transfer, Assignment or Loss of Warrant.

         (a) This Warrant is exchangeable, without expense, at the option of the
Holder,  upon  presentation and surrender hereof to the Company or at the office
of its stock  transfer  agent or warrant  agent,  if any, for other  warrants of
different  denomination,  entitling  the  Holder  thereof  to  purchase  in  the
aggregate  the same number of Warrant  Shares and  otherwise  carrying  the same
rights as this Warrant.

<PAGE>

         (b) This  Warrant  may be divided or  combined by the Holder with other
warrants  that carry the same rights upon  presentation  hereof at the office of
the Company or at the office of its stock transfer  agent or warrant  agent,  if
any,  together with a written notice  specifying the names and  denominations in
which new  warrants are to be issued and signed by the Holder  hereof.  The term
"Warrant" as used herein  includes  any warrants  into which this Warrant may be
divided or for which it may be exchanged.

         (c) Upon receipt by the Company of evidence  satisfactory  to it of the
loss,  theft,  destruction  or mutilation  of this Warrant,  and (in the case of
loss, theft or destruction) of reasonably satisfactory indemnification, and upon
surrender  and  cancellation  of this Warrant,  if mutilated,  the Company shall
execute and deliver a new Warrant of like tenor and date.

         Section 5.  Restrictions  on  Issuance of  Securities.  So long as this
Warrant is outstanding,  the Company will not issue, or permit any Subsidiary to
issue, any common stock or other equity securities,  or any other stock, option,
warrant,  right or other  instrument that is convertible  into or exercisable or
exchangeable  for  common  stock  or other  equity  securities,  except  for (i)
securities issued pursuant to the Securities  Purchase Agreement (which includes
Warrant Shares), (ii) securities of a Subsidiary that are issued to the Company;
and (iii)  securities  sold and  options  granted  to  directors,  officers  and
employees of the Company pursuant to bona fide employee benefit plans; provided,
however,  that the  Company  may issue such  securities  with the prior  written
consent of the  Holder,  which  consent  the Holder  agrees not to  unreasonably
withhold.

         Section 6. Reclassification,  Reorganization,  Consolidation or Merger.
In the event of any reclassification,  capital reorganization or other change of
outstanding  shares  of  Common  Stock  of the  Company  or in the  event of any
consolidation or merger of the Company with or into another  corporation  (other
than a merger in which merger the Company is the continuing corporation and that
does not result in any reclassification,  capital reorganization or other change
of  outstanding  shares of Common Stock of the class  issuable  upon exercise of
this  Warrant) or in the event of any sale,  lease,  transfer or  conveyance  to
another  corporation of the property and assets of the Company as an entirety or
substantially  as an entirety,  the Company shall,  as a condition  precedent to
such  transaction,  cause  effective  provisions  to be made so that such  other
corporation shall assume all of the obligations of the Company hereunder and the
Holder shall have the right thereafter,  by exercising this Warrant, to purchase
the kind and  amount  of  shares of stock  and  other  securities  and  property
(including cash) receivable upon such  reclassification,  capital reorganization
and other change, consolidation,  merger, sale, lease, transfer or conveyance by
a holder of the number of shares of Common  Stock that might have been  received
upon  exercise  of this  Warrant  immediately  prior  to such  reclassification,
capital   reorganization,   change,   consolidation,   merger,  sale,  lease  or
conveyance.  Any such  provision  shall  include  provision for  adjustments  in
respect of such shares of stock and other  securities and property that shall be
as nearly  equivalent as may be practicable to the  adjustments  provided for in
this Warrant.  The foregoing  provisions of this Section 8 shall similarly apply
to successive reclassification, capital reorganizations and changes of shares of
Common Stock and to successive changes, consolidations,  mergers, sales, leases,
transfers or conveyances.  In the event that in connection with any such capital
reorganization,  or  reclassification,   consolidation,   merger,  sale,  lease,
transfer or  conveyance,  additional  shares of Common  Stock shall be issued in
exchange,  conversion,  substitution or payment,  as a whole or in part, for, or
of, a security of the Company other than Common  Stock,  any such issue shall be
treated as an issue of Common Stock covered by the provisions of Section 5.

         Section 7.  Transfer to Comply with the  Securities  Act.  Neither this
Warrant  nor any of the  Warrant  Shares  may be  offered  or sold in the United
States or to a U.S.  Person (as defined in Regulation  S) unless  pursuant to an
effective  registration statement under the Act, or pursuant to Regulation S, or
pursuant to other available exemptions from the registration requirements of the
Act. The Holder of this  Warrant or any of the Warrant  Shares may not engage in
hedging transaction with regard to such securities unless in compliance with the
Act.

         Section 8. Availability of Information.  So long as any of this Warrant
remains  unexercised and this Warrant has not expired,  the Company shall comply
with the reporting  requirements of Sections 13 and 15(d) of the Exchange Act to
the extent it is required to do so under the Exchange  Act,  and shall  likewise
comply with all other applicable public  information  reporting  requirements of
the  Securities  and  Exchange  Commission  (including  those  required  to make

<PAGE>

available  the  benefits of Rule 144 under the  Securities  Act) to which it may
from time to time be subject.  The Company shall also  cooperate with the Holder
of this  Warrant  and  the  Holder  of any  Warrant  Shares  in  supplying  such
information  as may be  necessary  for  such  holder  to  complete  and file any
information reporting forms currently or hereafter required by the Commission as
a condition  to the  availability  of Rule 144 or any  successor  rule under the
Securities  Act  for the  sale  of  this  Warrant  or the  Warrant  Shares.  The
provisions of this Section 8 shall survive termination of this Warrant,  whether
upon  exercise of this  Warrant in full or  otherwise.  The  Company  shall also
provide to holders of this  Warrant  the same  information  that it  provides to
holders of its Common Stock.

         Section 9.  Registration  Rights.  The Company is obligated to register
the  shares of Common  Stock  into  which the  principal  and  interest  of this
Debenture are  convertible  pursuant to a  Registration  Rights  Agreement  (the
"Registration  Rights  Agreement")  dated June __, 2000, among the Company,  the
Holder, other holders of Debentures and the Agent.

         Section 10. Successors and Assigns.  All the provisions of this Warrant
by or for the benefit of the  Company or the Holder  shall bind and inure to the
benefit  of  their   respective   successors,   assigns,   heirs  and   personal
representatives.

         Section 11.  Headings.  The  headings of sections of this  Warrant have
been inserted for convenience of reference only, are not to be considered a part
hereof and shall in no way  modify or  restrict  any of the terms or  provisions
hereof.

         Section  12.  Amendments.  This  Warrant may not be amended  except by
the written  consent of the Company and the Holder.

         Section 13.  Notices.  All notices given under this Agreement and under
the other Transaction Documents shall be in writing, addressed to the parties as
set forth below, or to such other address as a party may specify by notice given
in accordance  with this paragraph and shall be effective on the earliest of (i)
the date received,  or (ii) if given by facsimile  transmittal on the date given
if transmitted before 5:00 p.m. the recipient's time,  otherwise it is effective
the next day,  or (iii) on the  second  Trading  Day after  delivery  to a major
international  air delivery or air courier  service (such as Federal  Express or
Network Couriers):

       If to the Agent:

     Thomson Kernaghan & Co. Ltd.
     365 Bay Street
     Toronto, Ontario M5H 2V2
     Attention: Mr. Gregg Badger, Sr. V.P.
     Facsimile No. (416) 860-6352

      If to the Company:

     eAutoclaims.com, Inc.
     2708 Alternate 19 North
     Suite 507
     Palm Harbor, Florida 34683
     Attention: Eric W. J. Seidel, President
     Facsimile No. (727) 781-8425

      If to the Holder

     c/o Thomson Kernaghan & Co. Ltd.
         as Agent
     365 Bay Street
     Toronto, Ontario M5H 2V2
     Attention: Mr. Gregg Badger, Sr. V.P.
     Facsimile No. (416) 860-6352

     With a copy (that does not constitute
               notice) to:
     Johnson, Blakely, Pope, Bokor, Ruppel & Burns, P.A.
     911 Chestnut Street, P.O. Box 1368
     Clearwater, Florida 33757-1368
     Attention: Michael T. Cronin

     In either case, with a copy (that does not
         constitute notice) to:
     John M. Mann
     Attorney at Law
     1330 Post Oak Boulevard, Suite 2800
     Houston, Texas 77056-3060
     Facsimile No. (713) 622-7185

         Section 14. Law Governing; Jurisdiction. This Warrant shall be governed
by and construed in accordance with the laws of the Province of Ontario, Canada,
provided however,  that if any provision of this Warrant is unenforceable  under
the laws of  Ontario  but is  enforceable  under  the laws of the U.S.  State of
Florida,  then that  provision  shall be governed by and construed in accordance
with the laws the State of  Florida.  The  courts of the  Province  of  Ontario,
Canada,  shall have  jurisdiction  and venue for the  adjudication  of any civil
action  between or among any of them arising out of relating to this  Debenture.
The Company and the Holder  irrevocably  consent to such jurisdiction and venue,
and  irrevocably  waive  any claim of forum  non  conveniens  or right to change
venue.  The prevailing  party in any action or proceeding to enforce or construe
this Warrant is entitled to recover reasonable attorney's fees.

                  IN WITNESS WHEREOF,  the Company has caused this Warrant to be
duly executed, as of the day and year first above written.

                                         eAUTOCLAIMS.COM CORPORATION

                                         By  _____________________________
                                                 President and CEO
                                         Date Signed  _______________________

ATTEST:

----------------------
         Secretary

<PAGE>

                               NOTICE OF EXERCISE

To: eAutoclaims.com Corporation:

                  The  undersigned  irrevocably  exercises  this Warrant for the
purchase of ____________________  shares (subject to adjustment) of Common Stock
of eAutoclaims.com  Corporation (the "Company"):  for this Warrant and agrees to
make  payment  of  $____________________  (the  "Exercise  Price")  through  the
following method:

          --   such payment of the Exercise  Price being in cash or by certified
               or official bank check payable to the order of the Company .

          or

          --   By a "cashless exercise," with payment of the Exercise Price made
               by surrendering of such additional part of this Warrant having an
               aggregate  Spread (as such term is defined in this Warrant) equal
               to the aggregate Exercise Price,

all at the  Exercise  Price and on the terms and  conditions  specified  in this
Warrant,  and  directs  that the  shares of Common  Stock  deliverable  upon the
exercise of this Warrant be  registered or placed in the name and at the address
specified below and delivered thereto.

Date:  ________________, _______

                                      -----------------------------------
                                             (Signature of Owner)1

                                      -----------------------------------
                                               (Street Address)

                                      -----------------------------------
                                      (City)   (State or Province) (Postal Code)

                                      -----------------------------------
                                                    (Country)

-----------------------------------
(1) The signature must  correspond with the name as written upon the face of the
within  Warrant in every  particular,  without  alteration or enlargement or any
change whatsoever.

<PAGE>

Securities and/or check to be issued to:

Please insert social security or identifying number if U.S. citizen or resident:

Name:

Street Address:

City, State and Zip Code:

Any unexercised part of the Warrant evidenced by the within Warrant to be issued
to:

Please insert social security or identifying number if U.S. citizen or resident:

Name:

Street Address:

City, State and Zip Code:

<PAGE>

                               FORM OF ASSIGNMENT

                  FOR VALUE RECEIVED the  undersigned  registered  holder of the
within Warrant hereby sells,  assigns,  and transfers unto the Assignee(s) named
below  (including  the  undersigned  with respect to any part of the Warrant not
being  assigned  hereby)  all of the right of the  undersigned  under the within
Warrant, with respect to the number of shares of Common Stock set forth below:

Name of Assignee    Address of Assignee      Social Security     Number of
                                             or Other            Shares of
                                             Identifying         Common Stock
                                             Number of           Assigned to
                                             Assignee            Assignee

and does hereby irrevocably constitute and appoint ______________________ as the
undersigned's    attorney   to   make   such    transfer   on   the   books   of
______________________  eAutoclaims.com Corporation maintained for that purpose,
with full power of substitution in the premises.

Date:  ______________, ____

                                            --------------------------------
                                                 (Signature of Owner)1

                                            --------------------------------
                                                   (Street Address)

                                            --------------------------------
                                             (City)     (State)   (Zip Code)

--------
(1)      The signature must correspond with the name as written upon the face of
         the  within  Warrant  in  every  particular,   without   alteration  or
         enlargement or any change whatever.

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