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                                                                    Exhibit 10.4

                                                                       Exhibit C
                                                                       ---------

NEITHER THESE SECURITIES NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE
EXERCISABLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR
THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM
REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES
ACT"), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN
AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE
SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO
SUCH EFFECT, THE SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE
COMPANY.  THESE SECURITIES AND THE SECURITIES ISSUABLE UPON EXERCISE OF THESE
SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER
LOAN SECURED BY SUCH SECURITIES.

                          ACT TELECONFERENCING, INC.

                               CALLABLE WARRANT

Warrant No. [_]                                   Date of Original Issuance:[_]

     ACT TELECONFERENCING, Inc., a Colorado corporation (the "Company"), hereby
                                                              -------
certifies that, for value received, [Name of Holder] or its registered assigns
(the "Holder"), is entitled to purchase from the Company up to a total of [_]/1/
shares of common stock, no par value (the "Common Stock"), of the Company (each
                                           ------------
such share, a "Warrant Share" and all such shares, the "Warrant Shares") at an
               -------------                            --------------
exercise price equal to $5.00 per share (as adjusted from time to time as
provided in Section 9, the "Exercise Price"), at any time and from time to time
            ---------       --------------
from and after the date hereof and through and including May 17, 2007 (the
"Expiration Date"), and subject to the following terms and conditions.
 ---------------

     1.   Definitions.  In addition to the terms defined elsewhere in this
          -----------
Warrant, capitalized terms that are not otherwise defined herein shall have the
meanings given to such terms in the Securities Purchase Agreement, dated as of
May 17, 2002 between the Company and the original Holder (the "Purchase
                                                               --------
Agreement").
---------

---------------------
/1/  Number of shares equal to 20% of the Investment Amount indicated below such
     Purchaser's name on the signature page to the Purchase Agreement, divided
     by the average VWAP during the five Trading Days immediately preceding the
     Closing Date.
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     2.   Registration of Warrant.  The Company shall register this Warrant,
          -----------------------
upon records to be maintained by the Company for that purpose (the "Warrant
                                                                    -------
Register"), in the name of the record Holder hereof from time to time.  The
--------
Company may deem and treat the registered Holder of this Warrant as the absolute
owner hereof for the purpose of any exercise hereof or any distribution to the
Holder, and for all other purposes, absent actual notice to the contrary.

     3.   Registration of Transfers.  The Company shall register the transfer of
          -------------------------
any portion of this Warrant in the Warrant Register, upon surrender of this
Warrant, with the Form of Assignment attached hereto duly completed and signed,
to the Company at its address specified herein.  Upon any such registration or
transfer, a Exchange Warrant to purchase Common Stock, in substantially the form
of this Warrant (any such Exchange Warrant, a "New Warrant"), evidencing the
                                               -----------
portion of this Warrant so transferred shall be issued to the transferee and a
New Warrant evidencing the remaining portion of this Warrant not so transferred,
if any, shall be issued to the transferring Holder.  The acceptance of the New
Warrant by the transferee thereof shall be deemed the acceptance by such
transferee of all of the rights and obligations of a holder of a Warrant.
Warrants and Warrant Shares may only be disposed of in compliance with state and
federal securities laws.  In connection with any transfer of Warrant Shares
other than pursuant to an effective registration statement, to the Company, to
an Affiliate of a Holder or in connection with a bona pledge as contemplated in
this Section 3, the Company may require the transferor thereof to provide to the
Company an opinion of counsel selected by the transferor, the form and substance
of which opinion shall be reasonably satisfactory to the Company, to the effect
that such transfer does not require registration under the Securities Act.  The
Company acknowledges and agrees that a Holder may from time to time pledge
pursuant to a bona fide margin agreement or grant a security interest in some or
all of the Warrant and Warrant Shares and, if required under the terms of such
arrangement, such the Holder may transfer pledged or secured Warrant and Warrant
Shares to the pledgees or secured parties.  Such a pledge or transfer is not
subject to approval of the Company and no legal opinion of the pledgee, secured
party or pledgor shall be required in connection therewith.  Further, no notice
shall be required of such pledge.

     4.   Exercise and Duration of Warrants.  This Warrant shall be exercisable
          ---------------------------------
by the registered Holder at any time and from time to time on or after the date
hereof to and including 6:30 p.m., New York City time, on the Expiration Date.
The Exercise Price is payable in immediately available funds.

     5.   Delivery of Warrant Shares.
          --------------------------

          (a)  Upon delivery of the Form of Election to Purchase to the Company
(with the attached Warrant Shares Exercise Log) at its address for notice set
forth in Section 14 and upon payment of the Exercise Price multiplied by the
number of Warrant Shares that the Holder intends to purchase hereunder, the
Company shall promptly (but in no event later than three Trading Days after the
Date of Exercise (as defined herein)) issue and deliver to the Holder, a
certificate for the Warrant Shares issuable upon such exercise with the
appropriate legend.  Any Person so designated by the Holder to receive Warrant
Shares shall be deemed to have become holder of record of such Warrant Shares as
of the Date of Exercise of this Warrant. The Company shall, upon request of the
Holder, if available, use its reasonable efforts to deliver Warrant Shares
hereunder electronically through the Depository Trust Corporation or another

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established clearing corporation performing similar functions, provided, that,
the Company will not be required to change its transfer agent if its current
transfer agent cannot deliver Warrant Shares electronically through the
Depository Trust Corporation.  As used in this Agreement, a "Date of Exercise"
                                                             ----------------
means the date on which the Holder shall have delivered to the Company (i) the
Form of Election to Purchase attached hereto (with the Warrant Exercise Log
attached to it), appropriately completed and duly signed and (ii) payment of the
Exercise Price for the number of Warrant Shares so indicated by the Holder to be
purchased.

          (b) If by the third Trading Day after a Date of Exercise the Company
fails to deliver the required number of Warrant Shares in the manner required
pursuant to Section 5(a), then the Holder will have the right to rescind such
exercise.

          (c) If by the third Trading Day after a Date of Exercise the Company
fails to deliver the required number of Warrant Shares in the manner required
pursuant to Section 5(a), and if after such third Trading Day the Holder
purchases (in an open market transaction or otherwise) shares of Common Stock to
deliver in satisfaction of a sale by the Holder of the Warrant Shares which the
Holder anticipated receiving upon such exercise (a "Buy-In"), then the Company
                                                    ------
shall (1) pay in cash to the Holder the amount by which (x) the Holder's total
purchase price (including brokerage commissions, if any) for the shares of
Common Stock so purchased exceeds (y) the amount obtained by multiplying (A) the
number of Warrant Shares that the Company was required to deliver to the Holder
in connection with the exercise at issue by (B) the closing bid price of the
Common Stock at the time of the obligation giving rise to such purchase
obligation and (2) at the option of the Holder, either reinstate the portion of
the Warrant and equivalent number of Warrant Shares for which such exercise was
not honored or deliver to the Holder the number of shares of Common Stock that
would have been issued had the Company timely complied with its exercise and
delivery obligations hereunder.  For example, if the Holder purchases Common
Stock having a total purchase price of $11,000 to cover a Buy-In with respect to
an attempted exercise of shares of Common Stock with a market price on the date
of exercise totaled $10,000, under clause (1) of the immediately preceding
sentence the Company shall be required to pay the Holder $1,000.  The Holder
shall provide the Company written notice indicating the amounts payable to the
Holder in respect of the Buy-In.

          (d) The Company's obligations to issue and deliver Warrant Shares in
accordance with the terms hereof are absolute and unconditional, irrespective of
any action or inaction by the Holder to enforce the same, any waiver or consent
with respect to any provision hereof, the recovery of any judgment against any
Person or any action to enforce the same, or any setoff, counterclaim,
recoupment, limitation or termination, or any breach or alleged breach by the
Holder or any other Person of any obligation to the Company or any violation or
alleged violation of law by the Holder or any other Person, and irrespective of
any other circumstance which might otherwise limit such obligation of the
Company to the Holder in connection with the issuance of Warrant Shares.
Nothing herein shall limit a Holder's right to pursue any other remedies
available to it hereunder, at law or in equity including, without limitation, a
decree of specific performance and/or injunctive relief with respect to the
Company's failure to timely deliver certificates representing shares of Common
Stock upon exercise of the Warrant as required pursuant to the terms hereof.

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     6.   Charges, Taxes and Expenses.  Issuance and delivery of certificates
          ---------------------------
for shares of Common Stock upon exercise of this Warrant shall be made without
charge to the Holder for any issue or transfer tax, withholding tax, transfer
agent fee or other incidental tax or expense in respect of the issuance of such
certificates, all of which taxes and expenses shall be paid by the Company;
provided, however, that the Company shall not be required to pay any tax which
may be payable in respect of any transfer involved in the registration of any
certificates for Warrant Shares or Warrants in a name other than that of the
Holder.  The Holder shall be responsible for all other tax liability that may
arise as a result of holding or transferring this Warrant or receiving Warrant
Shares upon exercise hereof.

     7.   Replacement of Warrant.  If this Warrant is mutilated, lost, stolen or
          ----------------------
destroyed, the Company shall issue or cause to be issued in exchange and
substitution for and upon cancellation hereof, or in lieu of and substitution
for this Warrant, a Exchange Warrant, but only upon receipt of evidence
reasonably satisfactory to the Company of such loss, theft or destruction and
customary and reasonable indemnity, if requested.  Applicants for a Exchange
Warrant under such circumstances shall also comply with such other reasonable
regulations and procedures and pay such other reasonable third-party costs as
the Company may prescribe.

     8.   Reservation of Warrant Shares.  The Company covenants that it will at
          -----------------------------
all times reserve and keep available out of the aggregate of its authorized but
unissued and otherwise unreserved Common Stock, solely for the purpose of
enabling it to issue Warrant Shares upon exercise of this Warrant as herein
provided, the number of Warrant Shares which are then issuable and deliverable
upon the exercise of this entire Warrant, free from preemptive rights or any
other contingent purchase rights of persons other than the Holder (taking into
account the adjustments and restrictions of Section 9). The Company covenants
                                            ---------
that all Warrant Shares so issuable and deliverable shall, upon issuance and the
payment of the applicable Exercise Price in accordance with the terms hereof, be
duly and validly authorized, issued and fully paid and nonassessable.

     9.   Certain Adjustments.  The Exercise Price and number of Warrant Shares
          -------------------
issuable upon exercise of this Warrant are subject to adjustment from time to
time as set forth in this Section 9.
                          ---------

          (a)  Stock Dividends and Splits.  If the Company, at any time while
               --------------------------
this Warrant is outstanding, (i) pays a stock dividend on its Common Stock or
otherwise makes a distribution on any class of capital stock that is payable in
shares of Common Stock, (ii) subdivides outstanding shares of Common Stock into
a larger number of shares, or (iii) combines outstanding shares of Common Stock
into a smaller number of shares, then in each such case the Exercise Price shall
be multiplied by a fraction of which the numerator shall be the number of shares
of Common Stock outstanding immediately before such event and of which the
denominator shall be the number of shares of Common Stock outstanding
immediately after such event.  Any adjustment made pursuant to clause (i) of
this paragraph shall become effective immediately after the record date for the
determination of stockholders entitled to receive such dividend or distribution,
and any adjustment pursuant to clause (ii) or (iii) of this paragraph shall
become effective immediately after the effective date of such subdivision or
combination. If any event requiring an adjustment under this paragraph occurs
during the period that an Exercise

                                      -4-
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Price is calculated hereunder, then the calculation of such Exercise Price shall
be adjusted appropriately to reflect such event.

          (b) Pro Rata Distributions.  If the Company, at any time while this
              ----------------------
Warrant is outstanding, distributes to all holders of Common Stock (i) evidences
of its indebtedness, (ii) any security (other than a distribution of Common
Stock covered by the preceding paragraph), (iii) rights or warrants to subscribe
for or purchase any security, or (iv) any other asset (in each case,
"Distributed Property"), then, at the request of any Holder delivered before the
 --------------------
90th day after the record date fixed for determination of stockholders entitled
to receive such distribution, the Company will deliver to such Holder, within
five Trading Days after such request (or, if later, on the effective date of
such distribution), the Distributed Property that such Holder would have been
entitled to receive in respect of the Warrant Shares for which such Holder's
Warrant could have been exercised immediately prior to such record date. If such
Distributed Property is not delivered to a Holder pursuant to the preceding
sentence, then upon any exercise of the Warrant that occurs after such record
date, such Holder shall be entitled to receive, in addition to the Warrant
Shares otherwise issuable upon such conversion, the Distributed Property that
such Holder would have been entitled to receive in respect of such number of
Warrant Shares had the Holder been the record holder of such Warrant Shares
immediately prior to such record date.

          (c) Fundamental Transactions.  If, at any time while this Warrant is
              ------------------------
outstanding, (1) the Company effects any merger or consolidation of the Company
with or into another Person, (2) the Company effects any sale of all or
substantially all of its assets in one or a series of related transactions, (3)
any tender offer or exchange offer (whether by the Company or another Person) is
completed pursuant to which holders of Common Stock are permitted to tender or
exchange their shares for other securities, cash or property, or (4) the Company
effects any reclassification of the Common Stock or any compulsory share
exchange pursuant to which the Common Stock is effectively converted into or
exchanged for other securities, cash or property (in any such case, a
"Fundamental Transaction"), then the Holder shall have the right thereafter to
------------------------
receive, upon exercise of this Warrant, the same amount and kind of securities,
cash or property as it would have been entitled to receive upon the occurrence
of such Fundamental Transaction if it had been, immediately prior to such
Fundamental Transaction, the holder of the number of Warrant Shares then
issuable upon exercise in full of this Warrant (the "Alternate Consideration").
                                                     -----------------------
For purposes of any such exercise, the determination of the Exercise Price shall
be appropriately adjusted to apply to such Alternate Consideration based on the
amount of Alternate Consideration issuable in respect of one share of Common
Stock in such Fundamental Transaction, and the Company shall apportion the
Exercise Price among the Alternate Consideration in a reasonable manner
reflecting the relative value of any different components of the Alternate
Consideration.  If holders of Common Stock are given any choice as to the
securities, cash or property to be received in a Fundamental Transaction, then
the Holder shall be given the same choice as to the Alternate Consideration it
receives upon any exercise of this Warrant following such Fundamental
Transaction.  At the Holder's option and request, any successor to the Company
or surviving entity in such Fundamental Transaction shall, either (1) issue to
the Holder a Exchange Warrant substantially in the form of this Warrant and
consistent with the foregoing provisions and evidencing the Holder's right to
purchase the Alternate Consideration for the aggregate Exercise Price upon
exercise thereof, or (2) purchase the Warrant from the Holder for a purchase
price, payable in cash within five Trading Days after such request (or, if
later, on the effective date of the Fundamental Transaction), equal to the

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Black Scholes value of the remaining unexercised portion of this Warrant on the
date of such request. The terms of any agreement pursuant to which a Fundamental
Transaction is effected shall include terms requiring any such successor or
surviving entity to comply with the provisions of this paragraph (c) and
insuring that the Warrant (or any such replacement security) will be similarly
adjusted upon any subsequent transaction analogous to a Fundamental Transaction.

          (d)  Subsequent Equity Sales.
               -----------------------

               (i)   If, at any time after the Original Issue Date, the Company
or any Subsidiary issues additional shares of Common Stock or rights, warrants,
options or other securities or debt convertible, exercisable or exchangeable for
shares of Common Stock or otherwise entitling any Person to acquire shares of
Common Stock, but not including the shares of Preferred Stock issued pursuant to
the Purchase Agreement (collectively, "Common Stock Equivalents") at an
                                       ------------------------
effective price per share of Common Stock (the "Effective Price") less than the
                                                ---------------
Exercise Price, then the Exercise Price shall be reduced to equal the Effective
Price. For purposes of the foregoing adjustment, in connection with any issuance
of any Common Stock Equivalents, (x) the maximum number of shares of Common
Stock potentially issuable at any time upon conversion, exercise or exchange of
such Common Stock Equivalents (the "Deemed Number") shall be deemed to be
                                    -------------
outstanding upon issuance of such Common Stock Equivalents, (y) the Effective
Price applicable to such Common Stock shall equal the minimum dollar value of
consideration payable to the Company to purchase such Common Stock Equivalents
and to convert, exercise or exchange them into Common Stock, divided by the
Deemed Number, and (z) no further adjustment shall be made to the Exercise Price
upon the actual issuance of Common Stock upon conversion, exercise or exchange
of such Common Stock Equivalents.

               (ii)  If, at any time while this Warrant is outstanding, the
Company or any Subsidiary issues Common Stock Equivalents with an Effective
Price that floats or resets or otherwise varies or is subject to adjustment
based on market prices of the Common Stock (a "Floating Price Security"), then
                                               -----------------------
for purposes of applying the preceding paragraph in connection with any
subsequent exercise, the Effective Price will be determined separately on each
Exercise Date and will be deemed to equal the lowest Effective Price at which
any holder of such Floating Price Security is entitled to acquire shares of
Common Stock on such Exercise Date (regardless of whether any such holder
actually acquires any shares on such date).

               (iii) Notwithstanding the foregoing, no adjustment will be made
under this Section (d) in respect of any grant of options to employees, officers
or directors of the Company pursuant to any stock option plan duly adopted by
the Company's board of directors or in respect of the issuance of Common Stock
upon exercise of any such options.

          (e)  Number of Warrant Shares.  Simultaneously with any adjustment to
               ------------------------
the Exercise Price pursuant this Section, the number of Warrant Shares that may
be purchased upon exercise of this Warrant shall be increased proportionately,
so that after such adjustment the aggregate Exercise Price payable hereunder for
the increased number of Warrant Shares shall be the same as the aggregate
Exercise Price in effect immediately prior to such adjustment.

                                      -6-
<PAGE>

          (f) Calculations.  All calculations under this Section 9 shall be made
              ------------                               ---------
to the nearest cent or the nearest 1/100/th/ of a share, as applicable.  The
number of shares of Common Stock outstanding at any given time shall not include
shares owned or held by or for the account of the Company, and the disposition
of any such shares shall be considered an issue or sale of Common Stock.

          (g) Notice of Adjustments.  Upon the occurrence of each adjustment
              ---------------------
pursuant to this Section 9, the Company at its expense will promptly compute
                 ---------
such adjustment in accordance with the terms of this Warrant and prepare a
certificate setting forth such adjustment, including a statement of the adjusted
Exercise Price and adjusted number or type of Warrant Shares or other securities
issuable upon exercise of this Warrant (as applicable), describing the
transactions giving rise to such adjustments and showing in detail the facts
upon which such adjustment is based.  Upon written request, the Company will
promptly deliver a copy of each such certificate to the Holder and to the
Company's Transfer Agent.

          (h) Notice of Corporate Events.  If the Company (i) declares a
              --------------------------
dividend or any other distribution of cash, securities or other property in
respect of its Common Stock, including without limitation any granting of rights
or warrants to subscribe for or purchase any capital stock of the Company or any
Subsidiary, (ii) authorizes or approves, enters into any agreement contemplating
or solicits stockholder approval for any Fundamental Transaction or (iii)
authorizes the voluntary dissolution, liquidation or winding up of the affairs
of the Company, then the Company shall deliver to the Holder a notice describing
the material terms and conditions of such transaction, at least 20 calendar days
prior to the applicable record or effective date on which a Person would need to
hold Common Stock in order to participate in or vote with respect to such
transaction, and the Company will take all steps reasonably necessary in order
to insure that the Holder is given the practical opportunity to exercise this
Warrant prior to such time so as to participate in or vote with respect to such
transaction; provided, however, that the failure to deliver such notice or any
defect therein shall not affect the validity of the corporate action required to
be described in such notice.

     10.  Call Right.
          ----------

          (a) Subject to the provisions of this Section 10, if after the
Effective Date the closing sales price of the Common Stock as reported by
Bloomberg Financial L.P. for twenty consecutive Trading Days (the "Measurement
                                                                   -----------
Price") exceeds 200% of the Exercise Price measured on the date of the issuance
-----
of this Warrant (but subject to equitable adjustment in the event of stock
splits, stock combinations and similar events affecting the Common Stock after
the date of original issuance of this Warrant) (the "Threshold Price"), then the
                                                     ---------------
Company may call for cancellation any portion of this Warrant for which a Form
of Election to Purchase has not yet been delivered.  To exercise this right, the
Company must deliver to the Holder an irrevocable written notice (a "Call
                                                                     ----
Notice"), indicating therein the portion of unexercised portion of this Warrant
------
to which such notice applies.  If the conditions for such Call are satisfied
from the period from the date of the Call Notice through and including the Call
Date (as defined below), then any portion of this Warrant subject to such Call
Notice for which a Form of Election to Purchase shall not have been received
from and after the date of the Call Notice will be cancelled at 6:30 p.m. (New
York City time) on the tenth Trading Day after the date the Call Notice is
received by the Holder (such date, the "Call Date").  Any unexercised portion of
                                        ---------
this Warrant to

                                      -7-
<PAGE>

which the Call Notice does not pertain will be unaffected by such Call Notice.
In furtherance thereof, the Company covenants and agrees that it will honor all
Forms of Election to Purchase with respect to Warrant Shares subject to a Call
Notice that are tendered from the time of delivery of the Call Notice through
6:30 p.m. (New York City time) on the Call Date. The parties agree that any Form
of Election to Purchase delivered following a Call Notice shall first reduce to
zero the number of Warrant Shares subject to such Call Notice prior to reducing
the remaining Warrant Shares available for purchase under this Warrant. For
example, if (x) this Warrant then permits the Holder to acquire 100 Warrant
Shares, (y) a Call Notice pertains to 75 Warrant Shares, and (z) prior to 6:30
p.m. (New York City time) on the Call Date the Holder tenders a Form of Election
to Purchase in respect of 50 Warrant Shares, then (1) on the Call Date the right
under this Warrant to acquire 25 Warrant Shares will be automatically cancelled,
(2) the Company, in the time and manner required under this Warrant, will have
issued and delivered to the Holder 50 Warrant Shares in respect of the exercises
following receipt of the Call Notice, and (3) the Holder may, through the
Expiration Date, exercise this Warrant for 25 Warrant Shares (subject to
adjustment as herein provided and subject to subsequent Call Notices). Subject
again to the provisions of this Section 10, the Company may deliver subsequent
Call Notices for any portion of this Warrant for which the Holder shall not have
delivered Forms of Election to Purchase.

          (b) Notwithstanding anything to the contrary set forth in this
Warrant, the Company may not deliver a Call Notice or require the cancellation
of this Warrant (and any Call Notice will be void), unless, from the beginning
of the 20 consecutive Trading Days used to determine whether the Common Stock
has achieved the Threshold Price through the Call Date, (i) the Measurement
Price equals or exceeds the Threshold Price, (ii) the Company shall have honored
in accordance with the terms of this Warrant all Forms of Election to Purchase
delivered by  6:30 p.m. (New York City time) on the Call Date, (iii) the
Registration Statement shall be effective as to all Warrant Shares and the
prospectus thereunder available for use by the Holder for the resale all such
Warrant Shares and (iv) the Common Stock shall be listed or quoted for trading
on the Nasdaq Stock Market.

     11.  Limitation on Exercise.
          ----------------------

          (a) Notwithstanding anything to the contrary contained herein, the
number of shares of Common Stock that may be acquired by the Holder upon any
exercise of this Warrant (or otherwise in respect hereof) shall be limited to
the extent necessary to insure that, following such exercise (or other
issuance), the total number of shares of Common Stock then beneficially owned by
such Holder and its Affiliates and any other Persons whose beneficial ownership
of Common Stock would be aggregated with the Holder's for purposes of Section
13(d) of the Exchange Act, does not exceed 4.999% of the total number of issued
and outstanding shares of Common Stock (including for such purpose the shares of
Common Stock issuable upon such exercise).  For such purposes, beneficial
ownership shall be determined in accordance with Section 13(d) of the Exchange
Act and the rules and regulations promulgated thereunder.  Each delivery of an
Exercise Notice hereunder will constitute a representation by the Holder that it
has evaluated the limitation set forth in this paragraph and determined that
issuance of the full number of Warrant Shares requested in such Exercise Notice
is permitted under this paragraph.  By written notice to the Company, the Holder
may waive the provisions of this Section but (i) any such waiver will not be
effective until the 61st day after such notice is delivered to the

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<PAGE>

Company, and (ii) any such waiver will apply only to the Holder and not to any
other holder of Warrants.

          (b) Notwithstanding anything to the contrary contained herein, the
number of shares of Common Stock that may be acquired by the Holder upon any
exercise of this Warrant (or otherwise in respect hereof) shall be limited to
the extent necessary to insure that, following such exercise (or other
issuance), the total number of shares of Common Stock then beneficially owned by
such Holder and its Affiliates and any other Persons whose beneficial ownership
of Common Stock would be aggregated with the Holder's for purposes of Section
13(d) of the Exchange Act, does not exceed 9.999% of the total number of issued
and outstanding shares of Common Stock (including for such purpose the shares of
Common Stock issuable upon such exercise).  For such purposes, beneficial
ownership shall be determined in accordance with Section 13(d) of the Exchange
Act and the rules and regulations promulgated thereunder.  Each delivery of an
Exercise Notice hereunder will constitute a representation by the Holder that it
has evaluated the limitation set forth in this paragraph and determined that
issuance of the full number of Warrant Shares requested in such Exercise Notice
is permitted under this paragraph.  By written notice to the Company, the Holder
may waive the provisions of this Section but (i) any such waiver will not be
effective until the 61st day after such notice is delivered to the Company, and
(ii) any such waiver will apply only to the Holder and not to any other holder
of Warrants.

          (c) If the Company has not previously obtained the Shareholder
Approval (as defined below), then the Company may not issue in excess of the
Issuable Maximum (as defined below) upon exercise of this Warrant at a price per
share that is less than the closing sales price prior to date of the first
issuance of the Warrant (the "Threshold Price") (other than to the extent the
                              ---------------
Threshold Price is reached due to adjustments due solely to stock splits of the
Common Stock).  The "Issuable Maximum" means a number of shares equal to
                     ----------------
1,828,873 (which equals 19.99% of the number of shares of Common Stock
outstanding on the Trading Day immediately preceding the Closing Date), less a
number of shares equal to all shares of Common Stock previously issued upon
conversion or redemption the Preferred Stock pursuant to the terms of the
Certificate of Designations at a conversion or redemption price per share that
is less than the Threshold Price (other than to the extent such Threshold Price
is reached solely due to adjustments due to stock splits of the Common Stock).
If any Holder shall no longer holds Warrant, then such Holder's remaining
portion of the Issuable Maximum shall be allocated pro-rata among the remaining
Holders.  If on any Date of Exercise, (A) the Exercise Price then in effect is
less than the Threshold Price (other than solely due to adjustments resulting
from stock splits of the Common Stock) and (B) the aggregate number of Warrant
Shares that would then be issuable upon exercise in full of this Warrant,
together with any Warrant Shares previously issued upon such exercise at less
than the Threshold Price per share, would exceed the Issuable Maximum, and (C)
the Company shall not have previously obtained the vote of shareholders, as may
be required by the applicable rules and regulations of the Nasdaq (or any
successor entity) applicable to approve the issuance of Warrant Shares in excess
of the Issuable Maximum at less than the Threshold Price (the "Shareholder
                                                               -----------
Approval"), then the Company shall issue to the Holder upon such exercise a
--------
number of Warrant Shares equal to such Holder's pro-rata portion (which shall be
calculated pursuant to the terms hereof) of the Issuable Maximum and, with
respect to the remaining Warrant Shares whose issuance is in excess of the
Issuable Maximum (the "Excess Warrant Shares"), the Holder shall have the right
                       ---------------------
to require the Company to either:

                                      -9-
<PAGE>

(1) obtain the Shareholder Approval applicable to such issuance as soon as is
possible, but in any event not later than the 90th day after such request, or
(2) pay to the Holder an amount in cash equal to the number of Excess Warrant
Shares for which such share issuance could not be honored in accordance with the
terms hereof due to this provision multiplied by the Closing Price of the Common
Stock on the date that the Issuable Maximum was or would have been exceeded
under this Section. If a Holder shall have elected the first option pursuant to
the immediately preceding sentence and the Company shall have failed to obtain
the Shareholder Approval on or prior to the 90th day after such request, then
within three days of such failure, the Company shall pay cash to such Holder an
amount equal to Excess Warrant Shares multiplied by the Closing Price of the
Common Stock on the date that the Issuable Maximum was or would have been
exceeded under this Section. The shares of Common Stock issued to and then held
by the Holders as a result of exercise of this Warrant shall not be entitled to
cast votes on any resolution to obtain Shareholder Approval pursuant hereto.

     12.  No Fractional Shares.  No fractional shares of Warrant Shares will be
          --------------------
issued in connection with any exercise of this Warrant.  In lieu of any
fractional shares which would, otherwise be issuable, the Company shall pay cash
equal to the product of such fraction multiplied by the closing price of one
Warrant Share as reported on the Nasdaq National Market on the date of exercise.

     13.  Notices.  Any and all notices or other communications or deliveries
          -------
hereunder (including without limitation any Exercise Notice) shall be in writing
and shall be deemed given and effective on the earliest of (i) the date of
transmission, if such notice or communication is delivered via facsimile at the
facsimile number specified in this Section prior to 6:30 p.m. (New York City
time) on a Trading Day, (ii) the next Trading Day after the date of
transmission, if such notice or communication is delivered via facsimile at the
facsimile number specified in this Section on a day that is not a Trading Day or
later than 6:30 p.m. (New York City time) on any Trading Day, (iii) the Trading
Day following the date of mailing, if sent by nationally recognized overnight
courier service, or (iv) upon actual receipt by the party to whom such notice is
required to be given.  The addresses for such communications shall be:  (i) if
to the Company, ACT Teleconferencing, Inc., 1685 Cole Boulevard, Golden,
Colorado 80401, Facsimile No.: (303) 233-0895, Attn: Chief Financial Officer, or
(ii) if to the Holder, to the address or facsimile number appearing on the
Warrant Register or such other address or facsimile number as the Holder may
provide to the Company in accordance with this Section.

     14.  Warrant Agent.  The Company shall serve as warrant agent under this
          -------------
Warrant.  Upon 30 days' notice to the Holder, the Company may appoint a Exchange
Warrant agent.  Any corporation into which the Company or any Exchange Warrant
agent may be merged or any corporation resulting from any consolidation to which
the Company or any Exchange Warrant agent shall be a party or any corporation to
which the Company or any Exchange Warrant agent transfers substantially all of
its corporate trust or shareholders services business shall be a successor
warrant agent under this Warrant without any further act.  Any such successor
warrant agent shall promptly cause notice of its succession as warrant agent to
be mailed (by first class mail, postage prepaid) to the Holder at the Holder's
last address as shown on the Warrant Register.

     15.  Miscellaneous.
          -------------

                                      -10-
<PAGE>

          (a) This Warrant shall be binding on and inure to the benefit of the
parties hereto and their respective successors and assigns.  Subject to the
preceding sentence, nothing in this Warrant shall be construed to give to any
Person other than the Company and the Holder any legal or equitable right,
remedy or cause of action under this Warrant.  This Warrant may be amended only
in writing signed by the Company and the Holder and their successors and
assigns.
          (b) All questions concerning the construction, validity, enforcement
and interpretation of this Agreement shall be governed by and construed and
enforced in accordance with the internal laws of the State of New York, without
regard to the principles of conflicts of law thereof.  Each party agrees that
all legal proceedings concerning the interpretation, enforcement and defense of
the transactions contemplated by this Warrant (whether brought against a party
hereto or its respective affiliates, directors, officers, shareholders,
employees or agents) (each, a "Proceeding") shall be exclusively commenced in
                               ----------
the state and federal courts sitting in the City of New York, Borough of
Manhattan (the "New York Courts").  Each party hereto hereby irrevocably submits
                ---------------
to the exclusive jurisdiction of the New York Courts for any Proceeding, and
hereby irrevocably waives, and agrees not to assert in any Proceeding, any claim
that it is not personally subject to the jurisdiction of any such court, or such
New York Courts are improper or inconvenient venue for such proceeding.  Each
party hereby irrevocably waives personal service of process and consents to
process being served in any Proceeding by mailing a copy thereof via registered
or certified mail or overnight delivery (with evidence of delivery) to such
party at the address in effect for notices to it under this Warrant and agrees
that such service shall constitute good and sufficient service of process and
notice thereof.  Nothing contained herein shall be deemed to limit in any way
any right to serve process in any manner permitted by law.  Each of the Company
and the Holder hereby irrevocably waives, to the fullest extent permitted by
applicable law, any and all right to trial by jury in any Proceeding. If any
party shall commence an action or proceeding to enforce any provisions of this
Warrant, then the prevailing party in such Proceeding shall be reimbursed by the
other party for its attorneys fees and other costs and expenses incurred with
such Proceeding.

          (c) The headings herein are for convenience only, do not constitute a
part of this Warrant and shall not be deemed to limit or affect any of the
provisions hereof.

          (d) In case any one or more of the provisions of this Warrant shall be
invalid or unenforceable in any respect, the validity and enforceability of the
remaining terms and provisions of this Warrant shall not in any way be affected
or impaired thereby and the parties will attempt in good faith to agree upon a
valid and enforceable provision which shall be a commercially reasonable
substitute therefor, and upon so agreeing, shall incorporate such substitute
provision in this Warrant.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK,
                            SIGNATURE PAGE FOLLOWS]

                                      -11-
<PAGE>

     IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed
by its authorized officer as of the date first indicated above.

                              ACT TELECONFERENCING, INC.

                              By:______________________________
                              Name:____________________________
                              Title:___________________________

                                      -12-
<PAGE>

                         FORM OF ELECTION TO PURCHASE

To ACT TELECONFERENCING, INC.:

     In accordance with the Warrant enclosed with this Form of Election to
Purchase, the undersigned hereby irrevocably elects to purchase  _____________
shares of common stock ("Common Stock"), no par value, of ACT TELECONFERENCING,
                         ------------
INC. and encloses herewith $________ in cash, certified or official bank check
or checks or other immediately available funds, which sum represents the
aggregate Exercise Price (as defined in the Warrant) for the number of shares of
Common Stock to which this Form of Election to Purchase relates, together with
any applicable taxes payable by the undersigned pursuant to the Warrant.

     By its delivery of this Form of Election To Purchase, the Holder represents
and warrants to the Company that in giving effect to the exercise evidenced
hereby the Holder will not beneficially own in excess of the number of shares of
Common Stock (determined in accordance with Section 13(d) of the Securities
Exchange Act of 1934) permitted to be owned under Section 11 of this Warrant to
which this notice relates.

     The undersigned requests that certificates for the shares of Common Stock
issuable upon this exercise be issued in the name of

                              PLEASE INSERT SOCIAL SECURITY OR
                              TAX IDENTIFICATION NUMBER

                        (Please print name and address)

                                      -13-
<PAGE>

                          Warrant Shares Exercise Log
                          ---------------------------

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------
Date                      Number of Warrant        Number of Warrant Shares    Number of
                          Shares Available to be   Exercised                   Warrant Shares
                          Exercised                                            Remaining to
                                                                               be Exercised
----------------------------------------------------------------------------------------------------
<S>                       <C>                      <C>                         <C>

-------------------------------------------------------------------------------------------------
</TABLE>

                                      -14-
<PAGE>

                              FORM OF ASSIGNMENT

     [To be completed and signed only upon transfer of Warrant]

     FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers
unto ________________________________ the right represented by the within
Warrant to purchase  ____________ shares of Common Stock of ACT
TELECONFERENCING, INC. to which the within Warrant relates and appoints
________________ attorney to transfer said right on the books of ACT
TELECONFERENCING, INC. with full power of substitution in the premises.

Dated:  _______________, ____

                                   _____________________________________________
                                   (Signature must conform in all respects to
                                   name of holder as specified on the face of
                                   the Warrant)

                                   _____________________________________________
                                   Address of Transferee

                                   _____________________________________________

                                   _____________________________________________

In the presence of:

__________________________

                                      -15-<PAGE>

                                                                    Exhibit 10.1

                           CLOSURE MEDICAL CORPORATION
                        AMENDMENT TO EXECUTIVE AGREEMENTS
                        ---------------------------------

         THIS AGREEMENT (the "Agreement"), dated as of May 17, 2002 (the
"Amendment Date") is entered into by CLOSURE MEDICAL CORPORATION (the "Company")
and ROBERT V. TONI, an employee of the Company (the "Employee").

                                    RECITALS
                                    --------

         A. The Company and the Employee are party to an employment agreement
dated May 31, 1996 (the "Employment Agreement") pursuant to which the Employee
has served as President and Chief Executive Officer of the Company. Pursuant to
an agreement dated March 27, 2002, the notification date under Section 1.1 of
the Employment Agreement that would have occurred on March 30, 2002 was extended
to April 30, 2002.

         B. Option grants have been made to the Employee under the CLOSURE
Medical Corporation 1996 Equity Compensation Plan (the "Plan") and are
memorialized in a distinct option grant agreement with respect to each grant of
options made to the Employee (each, an "Option Agreement").

         C. The Board of Directors of the Company (the "Board") has determined
that it is in the best interests of the Company to modify the terms and
conditions of the Employment Agreement and to recognize the Employee's service
to the Company and anticipated ongoing assistance to the Company following the
Employee's separation from service of the Company, by amending each referenced
Option Agreement, on the terms and conditions set forth below.

         NOW, THEREFORE, the parties hereto, intending to be legally bound
hereby, agree as follows:

         1.       Section 1.1 of the Employment Agreement is hereby amended to
read in its entirety as follows:

                  1.1   Employment Term. This Agreement shall continue in full
                        ---------------
         force and effect until validly terminated by either party. The
         employment term ("Employment Term") shall consist of the period ending
         on the date as of which this Agreement is validly terminated. The
         Company may terminate this Agreement without cause at any time pursuant
         to Section 7.4 of this Agreement, provided that Employee receives at
         least fifteen (15) days prior written notice.

         2.       Section 7 of the Employment Agreement is hereby amended to add
the following new Section 7.4 and all succeeding sections of Section 7 are
hereby renumbered accordingly:

                        7.4  NOT FOR CAUSE. The Company may terminate Employee's
                             -------------

                                        1

<PAGE>

         employment with the Company at any time provided that Employee receives
         at least fifteen (15) days written notice of such termination. As of
         such 15th day (the "Executive Termination Date"), Employee shall resign
         all positions assigned to him pursuant to Section 1.2.1 of this
         Agreement (or otherwise) and, if Employee serves as a member of the
         Board, shall resign such position if so requested by the Board. In the
         event that Employee's employment is terminated pursuant to this Section
         7.4, Employee shall be entitled to the following payments and benefits
         in lieu of any other payments or benefits under this Agreement: (a)
         provided that Employee completes each component of the Transition
         Services Requirement (as defined below) in full, Employee shall be
         entitled to thirty-six monthly payments of $16,666.67 commencing with
         the month in which the Final Termination Date (as defined below) falls,
         provided that Employee does not materially breach any of his
         obligations under this Agreement, the Employment Agreement, the
         Non-Competition Agreement (as defined below) or as otherwise imposed,
         in which case the Employee shall forfeit all right to receive any
         further payments under this subsection (a); (b) Employee shall be
         provided continued coverage under the Company's medical benefit plan(s)
         until the later of (i) the Final Termination Date if the Employee does
         not become entitled to the payments described in (a) above or (ii) the
         last day of the month in which the last payment referred to in (a)
         above is made, as such plan(s) may be amended from time to time, with
         medical coverage at the same level in effect on the Executive
         Termination Date, at no cost to Employee; (c) payment of his Base
         Salary through the Final Termination Date and pro rata incentive
         compensation under Section 1.6 determined on the basis of his actual
         period of service during the relevant performance year, which period
         shall be deemed to end on the Final Termination Date; and (d) to the
         extent that the Company requests Employee to provide consulting or
         other services after the Executive Termination Date, the Company shall
         reimburse Employee's reasonable expenses incurred in connection with
         such services. The "Transition Services Requirement" shall consist of
         (w) consulting with the Board and a successor Chief Executive Officer,
         (x) making appropriate introductions of such successor Chief Executive
         Officer to clients and other interested parties as requested by the
         Board, (y) entering into a non-competition agreement (the
         "Non-Competition Agreement") pursuant to which Employee will agree not
         to engage, for a period of three years, in any activities, directly or
         indirectly, that compete in any way with the Company in any activities
         that the Company has engaged in during the Employee's time with the
         Company, and (z) performing such other transition services as the Board
         or a successor Chief Executive Officer may reasonably request. The
         Employee's performance of the Transition Services Requirement shall
         commence on the Executive Termination Date and shall terminate on the
         date on which Employee has performed each component of the Transition
         Services Requirement in full (the "Fulfillment Date"). The "Final
         Termination Date" shall mean the first to occur of (i) the Fulfillment
         Date and (ii) the date on which the Employee informs the Company that
         he will not be completing the Transition Services Requirement.

         3. The Option Agreements between the Company and the Employee dated
January 1, 1999 (two agreements), September 11, 2000, January 2, 2002 (as
described in the Attachment to this Agreement) are hereby amended as follows.
Notwithstanding any contrary provision in the Plan or in the relevant Option
Agreement, as of the date hereof, (a) the term of the option subject to the
relevant Option Agreement (the "Affected Option") shall be the full ten years
originally provided in each such Option Agreement (calculated from each Option's
Date of Grant (as

                                        2

<PAGE>

defined in the Option Agreement) and not from the Amendment Date); and (b) each
Affected Option shall become fully vested and exercisable.

         4. All terms not defined in this Agreement shall have the meaning set
forth in the Employment Agreement, the Plan or the relevant Option Agreement.
Except to the extent set forth in this Agreement, the terms and conditions of
the Employment Agreement, the Plan and the relevant Option Agreement shall
continue in full force and effect.

         5. This Agreement may be executed in counterpart and will be deemed
binding when both parties have so executed, and may be amended by a subsequent
written agreement of the parties.

         IN WITNESS WHEREOF, the Company has caused its duly authorized officers
to execute and attest this instrument, and the Employee has placed his signature
hereon, effective as of the Amendment Date.

                                       CLOSURE MEDICAL CORPORATION

Attest:

_______________________                By: /s/ Ronald A. Ahrens
                                           --------------------------------

                                       Accepted: /s/ Robert V. Toni
                                                 --------------------------
                                                 Robert V. Toni

                                        3

<PAGE>

                                   ATTACHMENT

                         ROBERT V. TONI OPTION HOLDINGS
                         ------------------------------
                            SUBJECT TO THIS AGREEMENT
                            -------------------------

<TABLE>
<CAPTION>
        Number            Option Date         Number of Options Granted        Exercise Price
        ------            -----------         -------------------------        --------------
        <S>               <C>                 <C>                              <C>
        00000286           01/01/99                     45,000                    $29.81000
        00000343           01/01/99                    250,000                    $29.81250
        00000408           09/11/00                    100,000                    $19.87500
        00000584           01/02/02                    100,000                    $23.49000
</TABLE>

                                        4

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