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Exhibit 4.3

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                       INFORMATION ANALYSIS INCORPORATED

                  COMMON STOCK  AND WARRANT PURCHASE AGREEMENT
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THIS COMMON STOCK AND WARRANT PURCHASE AGREEMENT is made as of the ______ day of
______________, 1999, by and between Information Analysis Incorporated, a
Virginia corporation (the "Company"), and the Investors who execute a signature
page to this Agreement which the Company accepts, all of whom shall be set forth
on Schedule A hereto and each of whom is herein referred to as an "Investor,"
and all of whom are herein referred to collectively as the "Investors."

THE PARTIES HEREBY AGREE AS FOLLOWS:

1. Purchase and Sale of Units.
   ---------------------------

   1.1    Sale and Issuance of Units.  Subject to the terms and conditions of
          ---------------------------
this Agreement, each Investor agrees, severally, to purchase, and the Company
agrees to sell and issue to such Investor, at the Closing (as defined below),
that number of Units set forth in the signature page submitted by each Investor
which is accepted by the Company.  Each "Unit" shall be equal to one share of
the Company's Common Stock (the "Common Stock") and one-half Warrant.  The Units
shall be sold at a price per unit of $0.50 (the "Price Per Unit").

   1.2    The Warrants.  Subject to the terms and conditions of this Agreement,
          ------------
the Warrants herein referred to individually as a "Warrant" and collectively as
the "Warrants," which terms shall also include any warrants delivered in
exchange or replacement thereof, shall be substantially in the form set forth as
Exhibit B hereto.
---------

   1.3    Initial Closing.  The initial purchase and sale of the Units to the
          ----------------
Investors pursuant to Section 1.1 hereof shall take place at such time the
Company secures minimum subscriptions at least equal to $400,000 ("Initial
Closing").  At the Initial Closing, the Company shall deliver to each of the
Investors a certificate representing the number of Units that such Investor is
purchasing as set forth in the signature page submitted by each Investor and
opposite such Investor's name in Schedule A hereto against delivery to the
                                 ----------
Company by such Investor a certified or cashier's check acceptable to the
Company in the amount of the purchase price therefor payable to the Company's
order, or by the wire transfer of immediately available funds to a bank
designated by the Company, for the Company's account, in the amount of the
purchase price therefor.

   1.4    Subsequent Sale of Units. Following the Initial Closing, the Company
          -------------------------
may for a period of three (3) months sell and issue additional Units to such
purchasers as it shall select (each of whom is herein also referred to as an
"Additional Investor," and all of whom are herein also referred to collectively
as the "Additional Investors"), at a price as provided in Section 1.1.  Each
such Additional Investor shall become a party to this Agreement and shall have
the rights and obligations of an Investor hereunder.  The Company shall have the
right to accept from Additional Investors such subscriptions for the purchase of
the number of Units identified on the signature page submitted by each
Additional Investor.  Each Additional Investor hereby agrees to purchase the
number of Units identified on the signature page submitted by each Investor and
opposite such Investor's name in Schedule A.
                                 ----------

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2. Representations and Warranties of the Company.  The Company hereby
   ----------------------------------------------
represents and warrants to each Investor that, except as to the matters set
forth in the Schedule of Exceptions attached hereto as Schedule B (the "Schedule
                                                       ----------
of Exceptions"), which shall be deemed to be (a) exceptions to the
representations and warranties made herein and (b) additional representations
and warranties as if made hereunder.

   2.1    Organization, Good Standing and Qualification.  The Company is a
          ----------------------------------------------
corporation duly organized, validly existing and in good standing under the laws
of the Commonwealth of Virginia, has all requisite corporate power and authority
to carry on its business as now conducted and is duly qualified to transact
business and is in good standing in each jurisdiction in which the failure so to
qualify would have a material adverse effect on its business or properties.

   2.2    Capitalization.  The authorized capital of the Company consists of:
          ---------------

      (A) Common Stock.  15,000,000 shares authorized of Common Stock, of which
          -------------
          6,918,673 shares are outstanding.  Up to 3,000,000 shares will be sold
          to the Investors pursuant to Sections 1.1 of this Agreement.

          The rights, privileges and preferences of the Common Stock are as
          stated in the  Company's Articles of Incorporation (the "Articles of
          Incorporation").

      (B) Except for Warrants to purchase up to 1,500,000 shares of Common
          Stock issued or issuable to the Investors, and, up to 1,608,589 shares
          of Common Stock issuable to employees and directors of the Company as
          compensation or as an incentive for the retention of services, as
          approved by the Board of Directors, there are not outstanding any
          options, warrants, rights (including conversion or preemptive rights)
          or agreements for the purchase or acquisition from the Company of any
          of its securities.

   2.3    Authorization.  All corporate action on the part of the Company, its
          --------------
officers, directors and shareholders necessary for the authorization, execution
and delivery of this Agreement and the Warrants, the performance of all
obligations of the Company hereunder and thereunder and the authorization,
issuance (or reservation for issuance) and delivery of (a) the Common Stock
being sold hereunder, and (b) the Warrants and the Common Stock issuable upon
the exercise of the Warrants, has been taken or will be taken prior to the
Closing, and this Agreement and the Warrants, constitute valid and legally
binding obligations of the Company, enforceable in accordance with their
respective terms, except (i) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium, and other laws of general application affecting
enforcement of creditors' rights generally, (ii) as limited by laws relating to
the availability of specific performance, injunctive relief, or other equitable
remedies.

   2.4    Valid Issuance of Common Stock.
          -------------------------------

      (A) Based in material part upon the representations of the Investors in
          this Agreement,

          (i)  the Common Stock which is being purchased by the Investors
               hereunder, when issued, sold and delivered in accordance with the
               terms hereof for the consideration expressed herein, will be duly
               and validly issued, fully paid and nonassessable and will be
               issued in compliance with all applicable federal and state
               securities laws; and

          (ii) the Warrants and the Common Stock issuable upon the exercise of
               the Warrants purchased under this Agreement has been duly and
               validly reserved

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               for issuance and, upon issuance will be duly and validly issued,
               fully paid and nonassessable, and will be issued in compliance
               with all applicable federal and state securities laws, as
               presently in effect.

      (B) The outstanding shares of Common Stock are all duly and validly
          authorized and issued.  All of said shares are fully paid and
          nonassessable.  All of the outstanding shares of Common Stock were
          issued in compliance with all applicable federal and state securities
          laws.

   2.5    Disclosure.  The Company will, if requested, provide to each Investor,
          -----------
all of the information which such Investor has requested or requests for
deciding whether to purchase the Common Stock and all information which the
Company believes is reasonably necessary to enable such Investor to make such
decision.  Neither this Agreement, the Warrants, nor other statements or
certificates made or delivered in connection herewith or therewith and all
reports filed by the Company with the SEC, including Forms 10K and Forms 10Q,
contains any untrue statement of a material fact or omits to state a material
fact necessary to make the statements herein or therein not misleading.

3. Representations and Warranties of the Investors.  Each Investor hereby
   ------------------------------------------------
   represents and warrants that:

   3.1    Authorization.  This Agreement constitutes its valid and legally
          --------------
binding obligation, enforceable in accordance with its terms.

   3.2    Purchase Entirely for Own Account.  This Agreement is made with each
          ----------------------------------
Investor in reliance upon such Investor's representation to the Company, which
by such Investor's execution of this Agreement such Investor hereby confirms,
that the Units to be received by such Investor will be acquired for investment
for such Investor's own account, not as a nominee or agent, and not with a view
to the resale or distribution of any part thereof, and that such Investor has no
present intention of selling, granting any participation in, or otherwise
distributing the same.  By executing this Agreement, each Investor further
represents that such Investor does not have any contract, undertaking, agreement
or arrangement with any person to sell, transfer or grant participation to such
person or to any third person, with respect to any of the Securities.  Each
Investor represents, that such investor has full power and authority to enter
into this Agreement.

   3.3    Disclosure of Information.  Each Investor has received all of the
          --------------------------
information that such investor has requested and believes such investor has
received all of the information such investor considers necessary or appropriate
for deciding whether to purchase the Units.  Each Investor further represents
that such investor has read carefully and understands the information provided
by the Company and has had ample opportunity to ask questions and receive
answers from the Company regarding the terms and conditions of the offering of
the Units.  The foregoing, however, does not limit or modify the representations
and warranties of the Company in Section 2 of this Agreement or the right of the
Investors to rely thereon.

   3.4    Investment Experience.  Each Investor is an investor in securities of
          ----------------------
early stage companies and acknowledges that such investor is able to fend for
himself or herself, can bear the economic risk of the investment in the Units
and has such knowledge and experience in financial or business matters that such
investor is capable of evaluating the merits and risks of the investment in the
Units.

   3.5    Adequate Means.  Each Investor has adequate means of providing for the
          --------------
each Investor's current needs and possible personal contingencies and has no
need for liquidity in this

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investment and each Investor can bear the economic risk and/or entire loss of
any investment in the Units. Each Investor's commitment to illiquid investments
is reasonable in relation to such investor's needs. All financial information
provided to the Company by each Investor is true and correct.

   3.6    Accredited Investor.  Each Investor, if a United States resident, is
          -------------------
an "accredited investor" within the meaning of Regulation D promulgated under
the Securities Act of 1933, as amended, inasmuch as each Investor is:

      (A) a natural person whose individual net worth, or joint net worth with
          that person's spouse, at the time of purchase exceeds $1,000,000;

      (B) a natural person who had an individual income in excess of $200,000 in
          each of the two most recent years or joint income with that person's
          spouse of $300,000 in each of those years and who has a reasonable
          expectation of reaching the same income level in the current year;

      (C) an organization described in section 501(c)(3) of the Internal Revenue
          Code, corporation, Massachusetts or similar business trust or
          partnership, not formed for the specific purpose of acquiring the
          securities offered, with total assets in excess of $5,000,000; or

      (D) otherwise meets the requirements under Regulation D.

     If the Investor is purchasing the Units hereby in a fiduciary capacity, the
above representations and warranties shall be deemed to have been made on behalf
of the person or persons for whom the Investor is so purchasing.

   3.7    No Public Solicitation.  Neither the offer nor the sale of the Units
          ----------------------
to each Investor has been accomplished by the publication of any form of
advertisement or general solicitation, including, but not limited to, the
following:

      (A) Any advertisement, article, notice or other communication published
          in any newspaper, magazine, or similar media or broadcast over
          television or radio; and

      (B) Any seminar or meeting whose attendees have been invited by any
          general solicitation or general advertising.

   3.8    Restricted Securities.  Each Investor understands that the Units are
          ----------------------
characterized as "restricted securities" under the federal securities laws in as
much as they are being acquired from the Company in a transaction not involving
a public offering and that under such laws and applicable regulations such
securities may be resold without registration under the Securities Act of 1933,
as amended (the "Act"), only in certain limited circumstances.  In this
connection, each Investor represents that such investor is familiar with SEC
Rule 144, as presently in effect, and understands the resale limitations imposed
thereby and by the Act.

   3.9    Further Limitations on Disposition.  Without in any way limiting the
          -----------------------------------
representations set forth above, each Investor further agrees not to make any
disposition of all or any portion of the Units unless and until the transferee
has agreed in writing for the direct benefit of the Company to be bound by this
Section 3, and:

      (A) There is then in effect a Registration Statement under the Act
          covering such proposed disposition and such disposition is made in
          accordance with such Registration Statement; or

      (B) (i)  Such Investor shall have notified the Company of the proposed
               disposition and shall have furnished the Company with a detailed
               statement of the circumstances surrounding the proposed
               disposition, and

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          (ii) If reasonably requested by the Company, such Investor shall have
               furnished the Company with an opinion of counsel, reasonably
               satisfactory to the Company, that such disposition will not
               require registration of such Units under the Act.  It is agreed
               that the Company will not require opinions of counsel for
               transactions made pursuant to Rule 144, except in unusual
               circumstances.

      (C) Notwithstanding the provisions of paragraphs (A) and (B) above, no
          such registration statement or opinion of counsel shall be necessary
          for a transfer by an Investor which is a partnership to a partner of
          such partnership, or a retired partner of such partnership who retires
          after the date hereof, or to the estate of any such partner or retired
          partner or the transfer by gift, will or intestate succession of any
          partner to his spouse or to the siblings, lineal descendants or
          ancestors of such partner or his spouse, if the transferee agrees in
          writing to be subject to the terms hereof to the same extent as if he
          were an original Investor hereunder.

   3.10   Legends.  It is understood that the certificates evidencing the Units
          --------
may bear one or all of the following legends:

      (A) "THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT
          OF 1933.  THE SHARES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE
          SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF A
          REGISTRATION STATEMENT IN EFFECT WITH RESPECT TO THE SECURITIES UNDER
          SUCH ACT OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY THAT
          SUCH REGISTRATION IS NOT REQUIRED OR UNLESS SOLD PURSUANT TO RULE 144
          OF SUCH ACT."

      (B) "THIS WARRANT HAS BEEN ACQUIRED FOR INVESTMENT AND HAS NOT BEEN
          REGISTREED UNDER THE SECURITIES ACT OF 1933 OR ANY APPLICABLE STATE
          SECURITIES LAWS.  THIS WARRANT MAY NOT BE OFFERED, PLEDGED, SOLD OR
          TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION
          THEREFROM."

      (C) Any legends required by law.

   3.11   Risks.  Each Investor recognizes that an investment in the Units
          -----
involves significant risks and has taken full cognizance of and understands all
of the risk factors related to the purchase of the Units. The risks associated
with investment in the Company include, but are not limited to those risks
described on Exhibit A hereto. Each Investor understands that Exhibit A attached
                                                              ---------
hereto does not contain a complete list of the risks involved in the investment
in the Units.

4. Conditions of Investor's Obligations at Closing.  The obligations of each
   ------------------------------------------------
Investor under Section 1.1 of this Agreement are subject to the fulfillment on
or before the Closing of each of the following conditions, the waiver of which
shall not be effective against any Investor who does not consent in writing
thereto:

   4.1    Representations and Warranties.  The representations and warranties of
          -------------------------------
the Company contained in Section 2 hereof shall be true on and as of the Closing
with the same effect as though such representations and warranties had been made
on and as of the date of the Closing.

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   4.2    Performance.  The Company shall have performed and complied with all
          ------------
agreements, obligations and conditions contained in this Agreement that are
required to be performed or complied with by it on or before the Closing.

5. Conditions of the Company's Obligations at Closing.  The obligations of the
   ---------------------------------------------------
   Company to each Investor under this Agreement are subject to the fulfillment
   on or before the Closing of each of the following conditions by that
   Investor:

   5.1    Representations and Warranties.  The representations and warranties of
          -------------------------------
the Investors contained in Section 3 shall be true on and as of the Closing with
the same effect as though such representations and warranties had been made on
and as of the Closing.

   5.2    Payment of Purchase Price.  The Investors shall have paid in full in
          --------------------------
the manner provided above, and the Company shall have received, the purchase
price for the number of Units subscribed for by them.

6. Registration Rights.  The Company covenants and agrees as follows:
   --------------------

   6.1    Definitions.  For purposes of this Section 6:
          ------------

      (A) The term "Act" refers to the Securities Act of 1933, as amended.  The
          term "1934 Act" refers to the Securities and Exchange Act of 1934, as
          amended.

      (B) The terms "register," "registered" and "registration" refer to a
          registration effected by preparing and filing a registration statement
          or similar document in compliance with the Act, and the declaration or
          ordering of effectiveness of such registration statement or document,

      (C) The term "Registerable Securities" means (1) the Common Stock
          underlying this Agreement; and  (2) any Common Stock issued as a
          dividend or other distribution with respect to, or in exchange for or
          in replacement of, such Common Stock;

      (D) The number of shares of "Registerable Securities then outstanding"
          shall be determined by the number of shares of Common Stock
          outstanding which are, and the number of shares of Common Stock
          issuable pursuant to then exercisable securities which are,
          Registerable Securities.

      (E) The term "Holder" means any person owning or having the right to
          acquire Registerable Securities, or any assignee thereof; and

      (F) The term "Form S-3" means such form under the Act as in effect on the
          date hereof or any registration form under the Act subsequently
          adopted by the Securities and Exchange Commission ("SEC") which
          permits inclusion or incorporation of substantial information by
          reference to other documents filed by the Company with the SEC.

   6.2    Reports Under Securities Exchange Act of 1934.  With a view to making
          ----------------------------------------------
available to the Holders the benefits of Rule 144 promulgated under the Act and
any other rule or regulation of the SEC that may at any time permit a Holder to
sell securities of the Company to the public without registration or pursuant to
a registration on Form S-3, the Company agrees to:

      (A) Make and keep public information available, as those terms are
          understood and defined in SEC Rule 144;

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      (B) Take such action as is necessary to enable the Holders to utilize Form
          S-3 for the sale of their Registerable Securities;

      (C) File with the SEC in a timely manner all reports and other documents
          required of the Company under the Act and the 1934 Act; and

      (D) Furnish to any Holder, so long as the Holder owns any Registerable
          Securities, forthwith upon request (i) a written statement by the
          Company that it has complied with all reporting requirements so as to
          enable Investor to utilize SEC Rule 144, or that it qualifies as a
          registrant whose securities may be resold pursuant to Form S-3 (at any
          time after it so qualifies), (ii) a copy of the most recent annual or
          quarterly report of the Company and such other reports and documents
          so filed by the Company, and (iii) such other information as may be
          reasonably requested in availing any Holder of any rule or regulation
          of the SEC which permits the selling of any such securities without
          registration or pursuant to such form.

   6.3    Form S-3 Registration.
          ----------------------

      (A) No later than fifteen (15) days after the Initial Closing, the Company
          shall file a registration statement on Form S-3 covering the Common
          Stock issuable or issued upon exercise of the Warrants and will
          promptly give written notice of the proposed registration, and any
          related qualification or compliance, to all Holders. No later than six
          (6) months from the date of this Agreement, the Company shall file a
          registration statement on Form S-3 covering the Registerable
          Securities and will promptly give written notice of the proposed
          registration, and any related qualification or compliance, to all
          Holders;

      (B) The Company shall not be obligated to effect any such registration,
          qualification or compliance, pursuant to this Section 6.3: (1) if Form
          S-3 or another short form registration statement under the Act is not
          available for such registration, except if such short form is not
          available because of a breach by the Company of Section 6.2; (2) if
          the Holders, together with the holders of any other security of the
          Company entitled to inclusion in such registration, propose to sell
          Registerable Securities and such other securities (if any) at an
          aggregate gross offering price of less than $300,000; (3) if the
          Company shall furnish to such Holders a certificate signed by the
          President of the Company stating that in the good faith judgment of
          the Board of Directors of the Company, it would be seriously
          detrimental to the Company and its shareholders for such Form S-3
          Registration to be effected at such time, in which event the Company
          shall have the right to defer the filing of the Form S-3 registration
          statement for a period of not more than 90 days under this Section
          6.3; provided, however, that the Company shall not utilize this right
          more than once in any twelve-month period; (4) within six months of
          the effective date of any other registration statement relating to an
          underwritten public offering filed by the Company with the SEC so long
          as the Holders have piggyback registration rights under said other
          registration statement; or (5) in any particular jurisdiction in which
          the Company would be required to qualify to do business or to execute
          a general consent to service of process in effecting such
          registration, qualification or compliance.

      (C) All expenses the Company incurs in connection with a registration
          pursuant to this Section 6.3, including (without limitation) all
          registration, filing, qualification, printer's and accounting fees and
          the reasonable fees and disbursements of counsel for the Company shall
          be paid by the Company. All discounts and commissions associated with
          the Registerable Securities shall be borne pro rata by the Holders.

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   6.4    Indemnification.
          ---------------

          (a) In the event of a registration of any of the Registerable
Securities under the Securities Act pursuant to this Section 6, the Company will
indemnify and hold harmless each holder of Registerable Securities, its officers
and directors, each underwriter of such Registerable Securities thereunder and
each other person, if any, who controls such seller or underwriter within the
meaning of the Securities Act, against any losses, claims, damages or
liabilities, joint or several, to which such holder, officer, director,
underwriter or controlling person may become subject under the Securities Act or
otherwise, insofar as such losses, claims, damages or liabilities (or actions in
respect thereof) arise out of or are based upon (i) any untrue statement or
alleged untrue statement of any material fact contained in any registration
statement under which such Registerable Securities was registered under the
Securities Act pursuant to this Section 6, any preliminary prospectus or final
prospectus contained therein, or any amendment or supplement thereof, (ii) any
blue sky application or other document executed by the Company specifically for
that purpose or based upon written information furnished by the Company filed in
any state or other jurisdiction in order to qualify any or all of the
Registerable Securities under the securities laws thereof (any such application,
document or information herein called a "Blue Sky Application"), (iii) the
omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading, (iv)
any violation by the Company or its agents of any rule or regulation promulgated
under the Securities Act applicable to the Company or its agents and relating to
action or inaction required of the Company in connection with such registration,
or (v) any failure to register or qualify the Registerable Securities in any
state where the Company or its agents has affirmatively undertaken or agreed in
writing that the Company (the undertaking of any underwriter chosen by the
Company being attributed to the Company) will undertake such registration or
qualification on the seller's behalf (provided that in such instance the Company
shall not be so liable if it has undertaken its best efforts to so register or
qualify the Registerable Securities) and will reimburse each such holder, and
such officer and director, each such underwriter and each such controlling
person for any legal or other expenses reasonably incurred by them in connection
with investigating or defending any such loss, claim, damage, liability or
action; provided, however, that the Company will not be liable in any such case
        --------  -------
if and to the extent that any such loss, claim, damage or liability arises out
of or is based upon an untrue statement or alleged untrue statement or omission
or alleged omission so made in conformity with information furnished by any such
seller, any such underwriter or any such controlling person in writing
specifically for use in such registration statement or prospectus.

          (b) In the event of a registration of any of the Registerable
Securities under the Securities Act pursuant to this Section 6, each seller of
such Registerable Securities thereunder, severally and not jointly, will
indemnify and hold harmless the Company, each person, if any, who controls the
Company within the meaning of the Securities Act, each officer of the Company
who signs the registration statement, each director of the Company, each other
holder of Registerable Securities, each underwriter and each person who controls
any underwriter within the meaning of the Securities Act, against all losses,
claims, damages or liabilities, joint or several, to which the Company or such
officer, director, other seller, underwriter or controlling person may become
subject under the Securities Act or otherwise, insofar as such losses, claims,
damages or liabilities (or actions in respect thereof) arise out of or are based
upon any untrue statement or alleged untrue statement of any material fact
contained in the registration statement under which such Registerable Securities
was registered under the Securities Act pursuant to this Section 6, any
preliminary prospectus or final prospectus contained therein, or any amendment
or supplement thereof, or any Blue Sky Application or arise out of or are based
upon the omission or alleged omission to state therein a material fact required
to be stated therein or necessary to make the statements therein not misleading,
and will reimburse the Company and each such officer, director, other seller,
underwriter and controlling person for any legal or other expenses reasonably
incurred by them in

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connection with investigating or defending any such loss, claim, damage,
liability or action; provided, however, that such seller will be liable
                     --------  -------
hereunder in any such case if and only to the extent that any such loss, claim,
damage or liability arises out of or is based upon an untrue statement or
alleged untrue statement or omission or alleged omission made in reliance upon
and in conformity with information pertaining to such seller, as such, furnished
in writing to the Company by such seller specifically for use in such
registration statement or prospectus; and provided, further, however, that the
                                          --------------------------
liability of each seller hereunder shall be limited to the proportion of any
such loss, claim, damage, liability or expense which is equal to the proportion
that the public offering price of the shares sold by such seller under such
registration statement bears to the total public offering price of all
securities sold thereunder, but not in any event to exceed the proceeds received
by such seller from the sale of Registerable Securities covered by such
registration statement.

          (c) Promptly after receipt by an indemnified party hereunder of notice
of the commencement of any action, such indemnified party shall, if a claim in
respect thereof is to be made against the indemnifying party hereunder, notify
the indemnifying party in writing thereof, but the omission so to notify the
indemnifying party shall not relieve it from any liability which it may have to
such indemnified party other than under this Section 6.4 and shall only relieve
it from any liability which it may have to such indemnified party under this
Section 6.4 if and to the extent the indemnifying party is prejudiced by such
omission. In case any such action shall be brought against any indemnified party
and it shall notify the indemnifying party of the commencement thereof, the
indemnifying party shall be entitled to participate in and, to the extent it
shall wish, to assume and undertake the defense thereof with counsel
satisfactory to such indemnified party, and, after notice from the indemnifying
party to such indemnified party of its election so to assume and undertake the
defense thereof, the indemnifying party shall not be liable to such indemnified
party under this Section 6.4 for any legal expenses subsequently incurred by
such indemnified party in connection with the defense thereof other than
reasonable costs of investigation and of liaison with counsel so selected;
provided, however, that, if the defendants in any such action include both the
--------  -------
indemnified party and the indemnifying party and the indemnified party shall
have reasonably concluded that the interests of the indemnified party reasonably
may be deemed to conflict with the interests of the indemnifying party, the
indemnified party shall have the right to select a separate counsel and to
assume such legal defenses and otherwise to participate in the defense of such
action, with the expenses and fees of such separate counsel and other expenses
related to such participation to be reimbursed by the indemnifying party as
incurred.

          (d) The indemnities provided in this Section 6.4 shall survive the
transfer of any Registerable Securities by such holder.

7. Miscellaneous.
   -------------

   7.1    Survival of Warranties.  The warranties, representations and covenants
          ----------------------
of the Company and Investors contained in or made pursuant to this Agreement
shall survive the execution and delivery of this Agreement and the Closing and
shall in no way be affected by any investigation of the subject matter thereof
made by or on behalf of the Investors or the Company.

   7.2    Successors and Assigns.  Except as otherwise provided herein, the
          -----------------------
terms and conditions of this Agreement shall inure to the benefit of and be
binding upon the respective successors and assigns of the parties (including
transferees of any shares of Common Stock sold hereunder or any Common Stock
issued upon conversion thereof).  Nothing in this Agreement, express or implied,
is intended to confer upon any party other than the parties hereto or their
respective successors and assigns any rights, remedies, obligations, or
liabilities under or by reason of this Agreement, except as expressly provided
in this Agreement.

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<PAGE>

   7.3    Governing Law.  This Agreement shall be governed by and construed
          --------------
under the laws of the Commonwealth of Virginia.

   7.4    Counterparts.  This Agreement may be executed in two or more
          -------------
counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

   7.5    Titles and Subtitles.  The titles and subtitles used in this Agreement
          ---------------------
are used for convenience only and are not to be considered in construing or
interpreting this Agreement.

   7.6    Notices.  Unless otherwise provided, any notice required or permitted
          --------
under this Agreement shall be given in writing and shall be deemed effectively
given upon personal delivery to the party to be notified or upon deposit with
the United States Post Office, by registered or certified mail, postage prepaid
and addressed to the party to be notified at the address indicated for such
party on the signature page hereof, or at such other address as such party may
designate by ten (10) days' advance written notice to the other parties.

   7.7    Aggregation of Stock.  All shares of Common Stock held or acquired by
          --------------------
affiliated entities or persons shall be aggregated together for the purpose of
determining the availability of any rights under this Agreement.

   7.8    Amendments and Waivers.  Any term of this Agreement may be amended and
          -----------------------
the observance of any term of this Agreement may be waived (either generally or
in a particular instance and either retroactively or prospectively), only with
written consent of the Company and the holders of a majority of the Common Stock
issued or issuable upon conversion of the Common Stock.  Any amendment or waiver
effected in accordance with this Section 7.8 shall be binding upon each holder
of any securities purchased under this Agreement at the time outstanding
(including securities into which such securities are convertible), each future
holder of all such securities, and the Company; provided, however, that no
condition set forth in Section 5 hereof may be waived with respect to any
Investor who does not consent thereto.

   7.9    Severability.  If one or more provisions of this Agreement are held to
          -------------
be unenforceable under applicable law, such provision shall be excluded from
this Agreement and the balance of the Agreement shall be interpreted as if such
provision were so excluded and shall be enforceable in accordance with its
terms.

   7.10   Entire Agreement.  This Agreement and the documents referred to herein
          -----------------
constitute the entire agreement among the parties and no party shall be liable
or bound to any other party in any manner by any warranties, representations, or
covenants except as specifically set forth herein or therein.

IN WITNESS WHEREOF, the parties have executed the undersigned has executed this
signature page on the date set forth below.

                 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

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Information Analysis Incorporated                                        Page 10
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<PAGE>

                               Signature Page
                               --------------

   The undersigned hereby purchases _______________ Units comprised of _________
Shares of Common Stock and _________________ Warrants at a price of $0.50 per
Unit, and tenders herewith, in full payment thereof, good funds in the amount of
$__________________ (the "Purchase Price") by check payable to "Information
Analysis Incorporated" on this _____ day of ______________, 1999.

NON INDIVIDUAL INVESTOR            INDIVIDUAL INVESTOR(S)

_____________________________      (If Units are to be held in joint ownership,
Print Name of Entity               all owners must sign.)

By: _________________________      __________________________________
    Signature                      Signature

_____________________________      __________________________________
Print Name and Title               Print Name

_____________________________      __________________________________
Tax Identification No.             Social Security No.

_____________________________      __________________________________
Street No.                         Street No.

_____________________________      __________________________________
City       State       Zip         City            State       Zip

                                   __________________________________
ACCEPTED:                          Signature
COMPANY

                                   __________________________________
                                   Print Name
INFORMATION ANALYSIS INC.
a Virginia corporation
                                   __________________________________
                                   Social Security No.

By: _________________________      __________________________________
Title: Executive Vice President    Street No.

Address: 11240 Waples Mill Road    __________________________________
         Fairfax, Virginia 22030   City            State       Zip

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Information Analysis Incorporated                                        Page 11
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<PAGE>

--------------------------------------------------------------------------------
                                  SCHEDULE A
                             Schedule of Investors
--------------------------------------------------------------------------------

                                            Number of         Number of Warrants
                                              Share               Purchased
Name & Address of Investor                  Purchased
--------------------------------------------------------------------------------

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Information Analysis Incorporated                                        Page 12
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<PAGE>

--------------------------------------------------------------------------------
                                   SCHEDULE B
                             Schedule of Exceptions
--------------------------------------------------------------------------------

   None.

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Information Analysis Incorporated                                        Page 13
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<PAGE>

--------------------------------------------------------------------------------
                                   EXHIBIT A
                                  Risk Factors
--------------------------------------------------------------------------------

     Each Investor has carefully considered the risks described below.  If any
of the following risks actually occurs, the Company's business, financial
condition or operating results could be materially adversely affected.  In such
case, the Investors may lose all or part of their investment.

     The risks and uncertainties described below are not the only ones the
Company face.  Additional risks and uncertainties, including those not presently
known to the Company or that the Company currently deem immaterial, may also
impair the Company's business.

RISKS RELATED TO THE COMPANY'S BUSINESS.

The Company's Business Is Difficult to Evaluate Because The Company Has a
Limited Operating History Under The Company's Current Business Model.

     The Company has a limited operating history under the Company's current
business model upon which the Investor can evaluate the Company's business.
Accordingly, an investor in the Company's Securities must consider the
challenges, risks and uncertainties frequently encountered by companies using
new business models in new and rapidly evolving markets.  These challenges
include the Company's:

     *    Need to increase the Company's brand name awareness;
     *    Need to manage changing and expanding operations;
     *    Need to compete effectively;
     *    Dependence on experienced personnel.

     The Company cannot be certain that the Company's business strategy will be
successful or that the Company will successfully address these and other
challenges, risks and uncertainties.  Any failure to do so would seriously harm
the Company's business and operating results.

The Company Has a Negative Current Net Worth; May Incur Future Losses.

     The Company has a negative current net worth and has been incurring losses
on its business operations for the past several years.  The Company is not
currently able to satisfy its obligations and requires additional working
capital.  The Company may continue to incur operating losses.  Operating results
may be affected by factors beyond the Company's control, such as the state of
the economy, business conditions in general and the other factors discussed
herein.

The Company Need to Manage Changing and Expanding Operations.

     The Company expects the Company's business to grow.  This growth may place
a significant strain on the Company's business resources, which have been
reduced as a result of the Company's recent losses.  To manage this growth
effectively, the Company may need to implement additional management information
systems capabilities, further develop the Company's operating, administrative,
financial and accounting systems and controls, improve coordination among
accounting, finance, marketing and operations and hire and train additional
personnel. The Company may not successfully implement the Company's expansion
program in whole or in part.  The Company cannot be certain that the Company's
management will be able to successfully identify, manage and exploit existing
and potential market opportunities.

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Information Analysis Incorporated                                        Page 14
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<PAGE>

The Company's Market is Highly Competitive.

     The Company does business in a market that is highly competitive, and the
Company expects competition to intensify in the future.  Increased competition
is likely to result in price reductions, reduced gross margins and loss of
market share, any of which could harm the Company's net revenue and results of
operations.

     The Company may not be able to compete with current and potential
competitors, many of whom have longer operating histories, greater name
recognition, larger, more established customer bases and significantly greater
financial, technical, and marketing resources. Further, some of the Company's
competitors provide or have the ability to provide the same range of services
the Company offers. Also, competitors may compete directly with the Company by
adopting a similar business model or through the acquisition of companies which
can provide complementary products or services. The Company's failure to compete
effectively in the Company's markets would have a material adverse affect on the
Company's business.

The Company Must Attract and Retain Experienced Personnel and The Company Rely
on Senior Management.

     The success of the Company's business depends to a large extent upon the
efforts of the Company's officers and management personnel.  If the Company
fails to attract, assimilate or retain highly qualified managerial and technical
personnel the Company's business could be materially adversely affected.  The
Company's performance is substantially dependent on the performance of the
Company's executive officers and key employees who must be knowledgeable and
experienced.  The Company is also dependent on its ability to retain and
motivate high quality personnel, especially management and highly skilled
technical teams.  The loss of the services of any executive officers or key
employees could have a material adverse effect on the Company's business.  The
Company's future success also depends on the continuing ability to identify,
hire, train and retain other highly qualified managerial and technical
personnel.  Competition for such personnel is intense.

Discretion as to Use of Proceeds.

     The Company expects that the proceeds from the sale of the Securities will
be used for working capital. The Company expects to also use the proceeds to
meet current operating cost obligations and to make payments on outstanding
obligations which are estimated to be about $1,000,000. However, the projected
uses of proceeds are approximate, and management will have discretion with
respect to the allocation of proceeds.

Proceeds Insufficient to Satisfy Current Obligations.

     The proceeds from the sale of Securities will not be sufficient to satisfy
the full value of the Company's current outstanding obligations. The Company's
creditors are working closely with the Company to allow it to continue
operations while making reduced payments. While the Company does not consider
the risk likely, such creditors can and may sue to collect upon the full amount
of their outstanding obligations at any time.

Revenue May Be Insufficient to Reverse Losses.

     The Company expects its losses to continue; however, cash flow from
operations is likely to be positive. The Company has several large contracts
that are moving toward fruition in the next

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<PAGE>

several months, but if any of these contracts do not become finalized, it could
have a material adverse effect on the Company's operations.

Investment Risk; Additional Financing.

     There can be no assurance that the investors in the Securities will recoup
their investment.  The Company may seek to raise additional capital for future
expansion.  There is no assurance that the Company will be able to raise this
capital.  Should the Company obtain such additional funds, prospective investors
in this Offering may experience dilution of their equity interest in the
Company.

     The Company may not achieve cash flow break-even and may require additional
infusions of capital to sustain operations.  This capital may not be available.
The Company may need to raise additional funds sooner than the Company expects
if the Company incurs unforeseen required capital expenditures or substantial
operating losses.  If adequate funds are not available or are not available on
acceptable terms, the Company may not be able to develop or enhance the
Company's services, take advantage of future opportunities or respond to
competitive pressures, which could have a material adverse effect on the
Company's business.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

     The Company's materials may contain statements about future events and
expectations, which are "forward-looking statements."  Any statement in the
Company's materials that is not a statement of historical fact may be deemed to
be a forward-looking statement.  Such forward-looking statements involve known
and unknown risks, uncertainties and other factors which may cause the Company's
actual results, performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by such
forward-looking statements. In evaluating these statements, the Investor should
specifically consider various factors, including the risks outlined in the Risk
Factors section above.  These factors may cause the Company's actual results to
differ materially from any forward-looking statement.  Specific factors that
might cause such a difference include, but are not limited to:

 .  the potential fluctuation in the Company's operating results;
 .  the Company's potential need for additional capital;
 .  the Company's potential inability to expand the Company's services;
 .  the Company's competition; and,
 .  the Company's ability to attract and retain skilled personnel.

     Although the Company believes that the expectations reflected in the
forward-looking statements are reasonable, the Company cannot guarantee future
results, levels of activity, performance or achievements.  Moreover, neither the
Company nor any other person assumes responsibility for the accuracy and
completeness of the forward-looking statements.  The Company is under no duty to
update any of the forward-looking statements to conform such statements to
actual results or to changes in the Company's expectations.

     Use of Financial Forecasts.  Any financial forecasts the Company may have
provided in connection with this Offering are based on assumptions made by the
Company's management in formulating the Company's current business plan.  The
Company can provide no assurance that the assumptions will prove to be valid and
therefore, can give no assurance that the projected yields will be realized.
The validity and accuracy of all such assumptions will depend in large part on
future events over which the Company has limited control.  To the extent that
any of the assumptions upon which the financial forecasts are based are
incorrect or inaccurate, the actual operating results of the Company will not
correspond to the financial forecast.  Such differences

--------------------------------------------------------------------------------
Information Analysis Incorporated                                        Page 16
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<PAGE>

may be material and actual results may differ substantially from those
projected. Accordingly, the Investor should not make an investment in the
Company in reliance on any projected financial performance.

--------------------------------------------------------------------------------
Information Analysis Incorporated                                        Page 17
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<PAGE>

--------------------------------------------------------------------------------
                                   EXHIBIT B
                                Form of Warrant
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
Information Analysis Incorporated                                        Page 18
--------------------------------------------------------------------------------EXHIBIT 4.7

THESE SECURITIES HAVE BEEN ISSUED PURSUANT TO EXEMPTIONS FOR NONPUBLIC OFFERINGS
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OF 1933, AS AMENDED,
AND APPLICABLE STATE SECURITIES LAWS, AND, ACCORDINGLY, THESE SECURITIES MAY NOT
BE RESOLD OR OTHERWISE DISPOSED OF UNLESS, IN THE OPINION OF COUNSEL FOR OR
SATISFACTORY TO THE ISSUER, REGISTRATION UNDER THE APPLICABLE FEDERAL OR STATE
SECURITIES LAWS IS NOT REQUIRED OR COMPLIANCE IS MADE WITH SUCH REGISTRATION
REQUIREMENTS. THIS LEGEND SHALL BE ENDORSED UPON ANY WARRANT ISSUED IN EXCHANGE
FOR THIS WARRANT.

           Void after 5:00 p.m. New York Time, on September 23, 2004.
               Warrant to Purchase 75,000 Shares of Common Stock.

                WARRANT TO PURCHASE 75,000 SHARES OF COMMON STOCK

                        WARRANT TO PURCHASE COMMON STOCK

                                       OF

                           COLUMBIA LABORATORIES, INC.

                  This is to certify that, FOR VALUE RECEIVED, James Apostolakis
or registered assigns ("Holder"), is entitled to purchase, subject to the
provisions of this Warrant, from COLUMBIA LABORATORIES, INC., a Delaware
corporation ("Company"), 75,000 fully paid, validly issued and nonassessable
shares of Common Stock, par value $.01 per share, of the Company ("Common
Stock") exercisable at $7.50 per share. The number of shares of Common Stock to
be received upon the exercise of this Warrant and the price to be paid for each
share of Common Stock may be adjusted from time to time as hereinafter set
forth. The shares of Common Stock deliverable upon such exercise, and as
adjusted from time to time, are hereinafter sometimes referred to as "Warrant
Shares," and the exercise price of a share of Common Stock as adjusted from time
to time is hereinafter sometimes referred to as the "Exercise Price."
<PAGE>

                  (a) EXERCISE OF WARRANT. This Warrant may be exercised as to a
minimum of 5,000 Warrant Shares at any time or from time to time until 5:00 P.M.
New York time on September 23, 2004, provided, however, that if such day is a
day on which banking institutions in the State of New York are authorized by law
to close, then on the next succeeding day which shall not be such a day. This
Warrant may be exercised by presentation and surrender hereof to the Company at
its principal office, or at the office of its stock transfer agent, if any, with
the Purchase Form annexed hereto duly executed and accompanied by payment of the
Exercise Price for the number of Warrant Shares specified in such form. As soon
as practicable after each such exercise of the Warrants, but not later than
seven (7) business days from the date of such exercise, the Company shall issue
and deliver to the Holder a certificate or certificates for the Warrant Shares
issuable upon such exercise, registered in the name of the Holder or the
Holder's designee. If this Warrant should be exercised in part only, the Company
shall, upon surrender of this Warrant for cancellation, execute and deliver a
new Warrant evidencing the rights of the Holder thereof to purchase the balance
of the Warrant Shares purchasable thereunder. Upon receipt by the Company of
this Warrant at its office, or by the stock transfer agent of the Company at its
office, in proper form for exercise, together with the exercise price thereof in
cash or certified or bank check and the investment letter described below, the
Holder shall be deemed to be the holder of record of the shares of Common Stock
issuable upon such exercise, notwithstanding that the stock transfer books of
the Company shall then be closed or that certificates representing such shares
of Common Stock shall not then be physically delivered to the Holder. It shall
be a condition of the exercise of this Warrant that the Holder shall deliver to
the Company an investment letter in the form as customarily used by the Company
from time to time in connection with the exercise of non-registered options and
warrants which are issued by the Company. It is further understood that
certificates for the Warrant Shares to be issued upon exercise of this Warrant
shall contain a restrictive legend to the effect that such Warrant Shares are
restricted securities as such term is defined in Rule 144 promulgated under the
Securities Act of 1933, as amended (the "Act") and cannot be sold except in
compliance with the Act and the rules and regulations promulgated thereunder.

                  (b) RESERVATION OF SHARES. The Company shall at all times
reserve for issuance and/or delivery upon exercise of this Warrant such number
of shares of its Common Stock as shall be required for issuance and delivery
upon exercise of the Warrants. If the Common Stock is listed on any national
securities exchange, the Company shall also list such shares on such exchange
subject to notice of issuance.

                  (c) FRACTIONAL SHARES. No fractional shares or script
representing fractional shares shall be issued upon the exercise of this
Warrant. With respect to any fraction of a share called for upon any exercise
hereof, the Company shall pay to the Holder an amount in cash equal to such
fraction multiplied by the current market value of a share, determined as
follows:
<PAGE>

                           (1) If the Common Stock is listed on a national
                           securities exchange or admitted to unlisted trading
                           privileges on such exchange or listed for trading on
                           the NASDAQ system, the current market value shall be
                           the last reported sale price of the Common Stock on
                           such exchange or system on the last business day
                           prior to the date of exercise of this Warrant or if
                           no such sale is made on such day, the average closing
                           bid and asked prices for such day on such exchange or
                           system; or

                           (2) If the Common Stock is not so listed or admitted
                           to unlisted trading privileges, the current market
                           value shall be the mean of the last reported bid and
                           asked prices reported by the National Quotation
                           Bureau, Inc., on the last business day prior to the
                           date of the exercise of this Warrant; or

                           (3) If the Common Stock is not so listed or admitted
                           to unlisted trading privileges and bid and asked
                           prices are not so reported, the current market value
                           shall be an amount, not less than the book value
                           thereof as at the end of the most recent fiscal year
                           of the Company ending prior to the date of the
                           exercise of the Warrant, determined in such
                           reasonable manner as may be prescribed by the Board
                           of Directors of the Company.

                  (d) EXCHANGE, TRANSFER, ASSIGNMENT OR LOSS OF WARRANT. 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, if any, for other Warrants of different denominations entitling
the holder thereof to purchase in the aggregate the same number of shares of
Common Stock purchasable hereunder. Upon surrender of this Warrant to the
Company at its principal office or at the office of its stock transfer agent, if
any, with the Assignment Form annexed hereto duly executed and funds sufficient
to pay any transfer tax, the Company shall, without charge, execute and deliver
a new Warrant in the name of the assignee named in such instrument of assignment
and this Warrant shall promptly be canceled. This Warrant may be divided or
combined with other Warrants which carry the same rights upon presentation
hereof at the principal office of the Company or at the office of its stock
transfer 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 exchanged. 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 reasonable
satisfactory indemnification, and upon surrender and cancellation of this
Warrant, if mutilated, the Company will execute and deliver a new Warrant of
like tenor and date. Any such new Warrant executed and delivered shall
constitute an additional contractual obligation on the

<PAGE>

part of the Company, whether or not this Warrant so lost, stolen, destroyed, or
mutilated shall be at any time enforceable by anyone.

                  (e) RIGHTS OF THE HOLDER. The Holder shall not, by virtue
hereof, be entitled to any rights of a shareholder in the Company, either at law
or equity, and the rights of the Holder are limited to those expressed in the
Warrant and are not enforceable against the Company except to the extent set
forth herein.

                  (f) ANTI-DILUTION PROVISIONS. The Exercise Price in effect at
any time and the number and kind of securities purchasable upon the exercise of
the Warrants shall be subject to adjustment from time to time upon the happening
of certain events as follows:

                           (1) In case the Company shall (i) declare a dividend
                           or make a distribution on its outstanding shares of
                           Common Stock in shares of Common Stock, (ii)
                           subdivide or reclassify its outstanding shares of
                           Common Stock into a greater number of shares, or
                           (iii) combine or reclassify its outstanding shares of
                           Common Stock into a smaller number of shares, the
                           Exercise Price in effect at the time of the record
                           date for such dividend or distribution or of the
                           effective date of such subdivision, combination or
                           reclassification shall be proportionately adjusted as
                           of the effective date of such event by multiplying
                           such Exercise Price by a fraction, the denominator of
                           which shall be the number of shares of Common Stock
                           outstanding immediately following such event and the
                           numerator of which shall be the number of shares of
                           Common Stock outstanding immediately prior thereto.
                           For example, if the Company declares a 2 for 1 stock
                           distribution and the Exercise Price immediately prior
                           to such event was $1.00 per share, the adjusted
                           Exercise Price immediately after such event would be
                           $.50 per share. Such adjustment shall be made
                           successively whenever any event listed above shall
                           occur.

                           (2) Whenever the Exercise Price payable upon exercise
                           of each Warrant is adjusted pursuant to Subsection
                           (1) above, the number of Shares purchasable upon
                           exercise of this Warrant shall simultaneously be
                           adjusted by multiplying the number of Shares
                           initially issuable upon exercise of this Warrant by
                           the Exercise Price in effect on the date hereof and
                           dividing the product so obtained by the Exercise
                           Price, as adjusted.

                           (3) No adjustment in the Exercise Price shall be
                           required unless such adjustment would require an
                           increase or decrease of at least twenty-five cents
                           ($.25) in such price; provided, however,

<PAGE>

                           that any adjustments which by reason of this
                           Subsection (3) are not required to be made shall be
                           carried forward and taken into account in any
                           subsequent adjustment required to be made hereunder.
                           All calculations under this Section (f) shall be made
                           to the nearest cent or to the nearest one-hundredth
                           of a Share, as the case may be.

                           (4) Whenever the Exercise Price is adjusted, as
                           herein provided, the Company shall promptly cause a
                           notice setting forth the adjusted Exercise Price and
                           adjusted number of Shares issuable upon exercise of
                           each Warrant to be mailed to the Holders, at their
                           last addresses appearing in the Warrant Register, and
                           shall cause a certified copy thereof to be mailed to
                           its transfer agent, if any. The Company may retain a
                           firm of independent certified public accountants
                           selected by its Board of Directors (who may be the
                           regular accountants employed by the Company) to make
                           any computation required by this Section (f), and a
                           certificate signed by such firm shall be conclusive
                           evidence of the correctness of such adjustment.

                           (5) In the event that at any time, as a result of an
                           adjustment made pursuant to Subsection (1) above, the
                           Holder of this Warrant thereafter shall become
                           entitled to receive any shares of the Company, other
                           than Common Stock, thereafter the number of such
                           other shares so receivable upon exercise of this
                           Warrant shall be subject to adjustment from time to
                           time in a manner and on terms as nearly equivalent as
                           practicable to the provisions with respect to the
                           Common Stock contained in Subsections (1) to (3),
                           inclusive above.

                           (6) Irrespective of any adjustments in the Exercise
                           Price or the number or kind of shares purchasable
                           upon exercise of this Warrant, Warrants theretofore
                           or thereafter issued may continue to express the same
                           price and number and kind of shares as are stated in
                           the similar Warrants initially issuable pursuant to
                           this Agreement.

                           (g) OFFICER'S CERTIFICATE. Whenever the Exercise
Price shall be adjusted as required by the provisions of the foregoing Section,
the Company shall forthwith file in the custody of its Secretary or an Assistant
Secretary at its principal office and with its stock transfer agent, if any, an
officer's certificate showing the adjusted Exercise Price determined as herein
provided, setting forth in reasonable detail the facts requiring such
adjustment, including a statement of the number of additional shares of Common
Stock, if any, and such other facts as shall be necessary to show the reason for

<PAGE>

and the manner of computing such adjustment. Each such officer's certificate
shall be made available at all reasonable times for inspection by the Holder or
any holder of a Warrant executed and delivered pursuant to Section (a), and the
Company shall, forthwith after each such adjustment, mail a copy by certified
mail of such certificate to the Holder or any such holder.

                           (h) NOTICES TO WARRANT HOLDERS. So long as this
Warrant shall be outstanding, (i) if the Company shall pay any dividend or make
any distribution upon the Common Stock, or (ii) if the Company shall offer to
the holders of Common Stock for subscription or purchase by them any share of
any class or any other rights, or (iii) if any capital reorganization of the
Company, reclassification of the capital stock of the Company, consolidation or
merger of the Company with or into another corporation, sale, lease or transfer
of all or substantially all of the property and assets of the Company to another
corporation, or voluntary or involuntary dissolution, liquidation or winding up
of the Company shall be effected, then in any such case, the Company shall cause
to be mailed by certified mail to the Holder, at least 15 days prior the date
specified in (x) or (y) below, as the case may be, a notice containing a brief
description of the proposed action and stating the date on which (x) a record is
to be taken for the purpose of such dividend, distribution or rights, or (y)
such reclassification, reorganization, consolidation, merger, conveyance, lease,
dissolution, liquidation or winding up is to take place and the date, if any is
to be fixed, as of which the holders of Common Stock or other securities shall
receive cash or other property deliverable upon such reclassification,
reorganization, consolidation, merger, conveyance, dissolution, liquidation or
winding up.

                           (i) RECLASSIFICATION, REORGANIZATION OR MERGER. In
case of any reclassification, capital reorganization or other change of
outstanding shares of Common Stock of the Company, or in case of any
consolidation or merger of the Company with or into another corporation (other
than a merger with a subsidiary in which merger the Company is the continuing
corporation and which 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 case of any sale, lease or
conveyance to another corporation of the property of the Company as an entirety,
the Company shall, as a condition precedent to such transaction, cause effective
provisions to be made so that the Holder shall have the right thereafter by
exercising this Warrant at any time prior to the expiration of the Warrant, to
purchase the kind and amount of shares of stock and other securities and
property receivable upon such reclassification, capital reorganization and other
change, consolidation, merger, sale or conveyance. Any such provision shall
include provision for adjustments which shall be as nearly equivalent as may be
practicable to the adjustments provided for in this Warrant. The foregoing
provisions of this Section (i) shall similarly apply to successive
reclassifications, capital reorganizations and changes of shares of Common Stock
and to successive consolidations, mergers, sales or conveyances. In the event
that in connection with any such capital reorganization or reclassification,
consolidation, merger, sale or conveyance, additional shares of Common Stock
shall be issued in exchange, conversion, substitution or payment,

<PAGE>

in whole or in part, for 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 Subsection (1) of Section (f) hereof.

                           (j) REGISTRATION UNDER THE SECURITIES ACT OF 1933

                           (1) No later than two (2) years from the date hereof,
                           the Company shall, if permitted by applicable
                           regulation or any contractual provisions include in
                           the filing of any new registration statement (other
                           than a registration statement on Forms S-8, S-14,
                           S-15 or any other Form not generally available for
                           sale of securities to the public) ("Registration
                           Statement") under the Act covering securities of the
                           Company such information as may be required to permit
                           a public offering of the Warrant Shares. The Company
                           shall supply prospectuses and other documents in
                           order to facilitate the public sale or other
                           disposition of the Warrant Shares. The Company shall
                           file any necessary post-effective amendments to such
                           Registration Statement and use its best efforts to
                           maintain the effectiveness thereof for a period of 36
                           months from the date of issuance of the Warrant
                           Shares. The Company shall bear the entire cost and
                           expense of a registration of securities initiated by
                           it, under this Paragraph (1). The Holder shall,
                           however, bear the fees of his own counsel and any
                           transfer taxes or underwriting discounts or
                           commissions applicable to the Warrant Shares sold by
                           him. The Company may include other securities in any
                           such registration statement. The Company shall do any
                           and all other acts and things which may be necessary
                           or desirable to enable the Holder to consummate the
                           public sale or other disposition of the Warrant
                           Shares, and furnish indemnification in the manner as
                           set forth in Paragraph (2) (a) of this Section (j).
                           The Holder shall furnish information and
                           indemnification as set forth in Paragraph (2) (b) of
                           this Section (j).

                                            Notwithstanding the foregoing, in
                           the event that there is an underwritten offering of
                           the Company's securities offered pursuant to said
                           registration statement pursuant to the immediately
                           preceding paragraph j(1), the underwriter shall have
                           the right to refuse to permit any Warrant Shares, or
                           to limit the amount of Warrant Shares, to be sold by
                           the Holder to such underwriter(s) as such
                           underwriter(s) may determine in its discretion, and
                           the Holder shall refrain from selling such remainder
                           of its Warrant Shares covered by such registration

<PAGE>

                           statement for the period of forty five (45) days
                           following the effective date.

                           (2) (a) Whenever pursuant to this Section (j) a
                           registration statement relating to the Warrant Shares
                           is filed under the Act, amended or supplemented, the
                           Company will indemnify and hold harmless each holder
                           of the securities covered by such registration
                           statement, amendment or supplement (such holder being
                           hereinafter called the "Distributing Holder"), and
                           each person, if any who controls (within the meaning
                           of the Act) the Distributing Holder, against any
                           losses, claims, damages or liabilities, joint or
                           several, to which the Distributing Holder or any such
                           controlling person may become subject, under the Act
                           or otherwise, insofar as such losses, claims, damages
                           or liabilities (or actions in respect thereof) arise
                           out of or are based upon any untrue statement or
                           alleged untrue statement of any material fact
                           contained in any such registration statement or any
                           preliminary prospectus or final prospectus
                           constituting a part thereof or any amendment or
                           supplement thereto, or arise out of or are based upon
                           the omission to state therein a material fact
                           required to be stated therein or necessary to make
                           the statements therein not misleading; and will
                           reimburse the Distributing Holder and each such
                           controlling person for any legal or other expenses
                           reasonable incurred by the Distributing Holder and
                           each controlling person for any legal or other
                           expenses reasonable incurred by the Distributing
                           Holder or such controlling person or underwriter in
                           connection with investigating or defending any such
                           loss, claim damage, liability or action; provided,
                           however, that the Company will not be liable in any
                           such case to the extent that any such loss, claim,
                           damage or liability arises out of or is based upon an
                           untrue statement or alleged untrue statement or
                           omission or alleged omission made in said
                           registration statement, said preliminary prospectus,
                           said final prospectus or said amendment or supplement
                           in reliance upon and in conformity with written
                           information furnished by such Distributing Holder for
                           use in the preparation thereof.

                                    (b) The Distributing Holder will indemnify
                           and hold harmless the Company, each of its directors,
                           each of its officers who have signed said
                           registration statement and such amendments and
                           supplements thereto, each person, if any, who
                           controls the Company (within the meaning of the Act)
                           against any losses, claims, damages or liabilities to
                           which the Company or any such director, officer or
                           controlling person may become subject, under

<PAGE>

                           the Act or otherwise, insofar as such losses, claims,
                           damages or liabilities arise out of or are based upon
                           any untrue or alleged untrue statement of any
                           material fact contained in said registration
                           statement, said preliminary prospectus, said final
                           prospectus, or said amendment or supplement, or arise
                           out of or are based upon the omission or the alleged
                           omission to state therein a material fact required to
                           be stated therein or necessary to make the statements
                           therein no misleading, in each case to the extent,
                           but only to the extent that such untrue statement or
                           alleged untrue statement or omission or alleged
                           omission was made in said registration statement,
                           said preliminary prospectus, said final prospectus or
                           said amendment or supplement in reliance upon and in
                           conformity with written information furnished by such
                           distributing Holder for use in the preparation
                           thereof; and will reimburse the Company or any such
                           director, officer or controlling person for any legal
                           or other expenses reasonably incurred by them in
                           connection with investigating or defending any such
                           loss, claim, damage, liability or action.

                                    (c) Promptly after receipt by an indemnified
                           party under this Paragraph 2 of notice of the
                           commencement of any action, such indemnified party
                           will, if a claim in respect thereof is to be made
                           against any indemnifying party, give the indemnifying
                           party notice of the commencement thereof; but the
                           omission so to notify the indemnifying party will not
                           relieve it from any liability which it may have to
                           any indemnified party otherwise than under this
                           Paragraph 2.

                                    (d) In case any such action is brought
                           against any indemnified party, and it notifies an
                           indemnifying party of the commencement thereof, the
                           indemnifying party will be entitled to participate
                           in, and, the extent that it may wish, jointly with
                           any other indemnifying party similarly notified to
                           assume the defense thereof, with counsel reasonably
                           satisfactory to such indemnified party, and after
                           notice from the indemnifying party to such
                           indemnified party of its election so to assume the
                           defense thereof, the indemnifying party will not be
                           liable to such indemnified party under this Paragraph
                           2 for any legal or other expenses subsequently
                           incurred by such indemnified party in connection with
                           the defense thereof other than reasonable costs of
                           investigation.
<PAGE>

                                    (e) The Company's agreements with respect to
                           Warrant Shares in this Section (j) shall continue in
                           effect regardless of the exercise or surrender of
                           this Warrant.

Issued as of September 23, 1999

                                            COLUMBIA LABORATORIES, INC.

                                            By: /s/ David L. Weinberg
                                                ----------------------------
                                                David L. Weinberg
                                                Vice President - Finance and
                                                Administration

<PAGE>

                                  PURCHASE FORM

                                                    Dated             , 19
                                                          ------------

                  The undersigned hereby irrevocably elects to exercise the
within Warrant to the extent of purchasing ____________ shares of Common Stock
of Columbia Laboratories, Inc., and hereby makes payment of ___________ in
payment of the actual exercise price thereof.

                     INSTRUCTIONS FOR REGISTRATION OF STOCK

Name _________________________________________ (Please typewrite or print in
block letters)

Address

        Signature

<PAGE>

                                 ASSIGNMENT FORM

                  FOR VALUE RECEIVED, ______________hereby sells, assigns and
transfers unto

Name ______________________________ (Please typewrite or print in block letters)

Address
the right to purchase Common Stock of Columbia Laboratories, Inc., represented
by this Warrant to the extent of    shares as to which such right is exercisable
and does hereby irrevocably constitute and appoint     Attorney, to transfer the
same on the books of the Company with full power of substitution in the
premises.

Date               , 19
     --------------

Signature

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