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                                                                    EXHIBIT 10.7

CONFIDENTIAL MATERIALS OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND
EXCHANGE COMMISSION - ASTERISKS DENOTE OMISSIONS.

                                                              CONSULTING AND
[LILLY LOGO]                                               PROFESSIONAL SERVICES
                                                                 AGREEMENT

ELI LILLY AND COMPANY ("Lilly") and the consultant signing below (the
"Consultant") hereby agree as follows:

1.   SCOPE OF SERVICE. The scope of services to be performed by Consultant shall
     be mutually agreed to on an individual work order basis. Lilly may, from
     time to time, request Consultant to submit at no cost to Lilly a written
     proposal for the provision of consulting and professional services.
     Consultant may thereupon submit to Lilly a written proposal regarding such
     services, specifying in detail the services to be rendered, including: (a)
     a description of the work product to be delivered, including, if
     applicable, acceptance criteria and detailed design and functional
     specifications for the deliverables thereunder; (b) the proposed
     performance schedule; and (c) an estimate of Lilly's cost for such services
     based on time and materials required (collectively, the "Proposal").
     Consultant's stated fee may not be increased prior to acceptance by Lilly
     for a period of three (3) months from the date of receipt of the Proposal
     by Lilly. The parties may create a binding agreement subject to the terms
     and conditions of this Agreement by adapting the contents of the Proposal,
     as amended by the parties, into a written Work Order signed by both parties
     which refers to this Agreement and which is substantially in the form of
     the Attached Exhibit A ("Work Order"). A signed Work Order may be modified
     only by a written Change Order signed by both parties which refers both to
     this Agreement and to the associated Work Order, and which is substantially
     in the form of the Attached Exhibit B ("Change Order"). NOTWITHSTANDING
     ANYTHING HEREIN TO THE CONTRARY, NO WORK ORDER OR CHANGE ORDER SHALL BE
     EFFECTIVE UNLESS SIGNED BY THE LICENSOR'S CHIEF FINANCIAL OFFICER OR
     GENERAL COUNSEL.

2.   INVOICES AND COMPENSATION. Lilly shall pay to Consultant all invoiced
     amounts for accepted services rendered by Consultant in accordance with
     this Agreement, and for reimbursement of reasonable out-of-pocket expenses
     necessarily and actually incurred by Consultant in connection with
     providing such services, provided that: (i) all expenses related to travel
     and lodging shall comply with Lilly's corporate travel policies; and (ii)
     for all non-travel related expenses, the expenses are itemized on the Work
     Order or pre-approved in writing by Lilly. Consultant shall not invoice
     Lilly with respect to any particular Work Order for services or expenses in
     excess of the maximum ("not-to-exceed") compensation amount set forth in
     the applicable Work Order or Change Order. Unless otherwise specified in
     the Work Order, Consultant shall invoice Lilly for services and expenses
     chargeable hereunder monthly in arrears for all Work Orders which specify
     that the work is to be performed on a time and materials basis. For Work
     Orders specifying a fixed fee, Consultant shall invoice Lilly in accordance
     with the payment schedule listed on the applicable Work Order. All invoices
     shall be itemized and shall substantiate all charges therein set forth.
     Consultant shall maintain complete and accurate accounting records, in a
     form in accordance with generally accepted accounting practices, to
     substantiate Consultant's charges and expenses hereunder. Consultant shall
     retain such records for a period of one (1) year from the date of final
     payment under any Work Order. Lilly shall pay all valid invoices, except
     for any amounts disputed by Lilly, within thirty (30) days after the date
     of the invoice.

3.   PERSONNEL. Consultant shall make available for each Work Order qualified
     personnel necessary to fulfill its obligations hereunder. Consultant is not
     permitted to utilize subcontractors for performance of any Work Order
     unless prior written consent is first obtained from Lilly, and unless such
     subcontractors have executed a written agreement with Consultant which
     obligates any such subcontractor to protect Confidential Information and to
     * to the same extent as is required of Consultant by this Agreement.
     Further, Consultant agrees to be fully responsible for all acts and
     omissions of any subcontractor used by consultant and permitted under this
     Agreement. Lilly may, in its discretion, request that * under this
     Agreement * to Lilly  * which * effective upon written notice from Lilly *.
     During the course of each Work Order, Consultant shall permit Lilly to be
     present, when reasonable, as observers while various tasks are being
     conducted and to consult with Consultant personnel regarding the Work
     Order. Consultant shall, at Lilly's sole discretion, perform the services
     at Consultant's offices, Lilly's offices, or elsewhere, and the times
     during which services are rendered shall be at Lilly's discretion when
     required to be performed at Lilly's offices. Consultant shall be fully and
     solely responsible for the compensation and performance of all of its
     employees hereunder and the filing of any and all returns and reports and
     the withholding and/or payment of all applicable federal, state and local
     wage tax, or employment related taxes, including, but not limited to,
     income taxes, gross receipt taxes, taxes measured by gross income,

       THE SECTIONS ON THE FOLLOWING PAGES ALSO ARE PART OF THIS AGREEMENT

IN WITNESS WHEREOF, Lilly and Consultant have caused duly authorized
representatives of the respective parties to execute this Agreement on the
date(s) set forth below.

Phase Forward Incorporated                 ELI LILLY AND COMPANY
---------------------------------          "LILLY"
"CONSULTANT"

By: /s/ John J. Schlicking                 By: /s/ Julian Martinez
    ------------------------------             ---------------------------------
    Signature                                  Signature

John J. Schlicking                          Julian Martinez
---------------------------------           ------------------------------------
Printed Name                                Printed Name

Senior Vice President & CFO 3/7/01          Global Sourcing Manager 3-29-01
----------------------------------          ------------------------------------
Title                         Date          Title                           Date

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 Social Security taxes, and unemployment taxes for Consultant and Consultant's
employees. The status of Consultant and its employees shall be that of
independent contractor and no such personnel shall, at any time or for any
purpose, be deemed employees or agents of Lilly. Neither Consultant nor any
employee of Consultant shall be entitled to participate in any Lilly employee
benefit plan. Consultant warrants that it has enforceable written agreements
with all of its employees and all subcontractors permitted hereunder to be
involved in any project under this Agreement (i) assigning to Consultant
ownership of all patents, copyrights and other proprietary rights created in the
course of their employment or engagement; and (ii) obligating such employees
upon terms and conditions no less restrictive than contained herein, not to use
or disclose any proprietary rights or information learned or acquired during the
course of such employment or engagement, including, without limitation, any Work
Product (defined in Section 8 below) hereunder, and any other information
pursuant to Section 7 hereof.

4. * OF SERVICES. If specified in a Work Order, each deliverable for such Work
Order shall be subject to * by Lilly to * of the Work Order and * by Lilly to
Consultant. If Lilly * within * following * and Lilly *, Consultant shall * in a
* or, * by Lilly for the services *.

5. EXCHANGE OF INFORMATION AND TECHNICAL ASSISTANCE.

   5.1 Upon completion of Services that include * identified as * as defined in
       Section 8, Consultant shall deliver to Lilly the Work Product, including
       related documentation and Consultant Property (defined in this Section
       5), to the extent necessary for Lilly to * the subject matter of the
       individual Work Order. Consultant warrants that the technical assistance
       to be rendered under the Work Order shall be adequate to familiarize
       Lilly with the Work Product and documentation under such Work Order, and
       to enable Lilly to use the same.

   5.2 Upon completion of Services that include * identified as * as defined in
       Section 8, Consultant shall disclose and deliver to Lilly the Work
       Product and related documentation and all Consultant Property, to the
       extent necessary or useful to *.

   5.3 As used herein, "Consultant Property" means * under a particular Work
       Order, which Consultant uses to satisfy its obligations under that Work
       Order.

   5.4 Notwithstanding anything herein, nothing in this Agreement shall require
       Consultant to provide Lilly with any source code for any * or *, and
       Lilly shall not alter, reverse engineer, disassemble, decompile or copy
       any * or *.

6. LILLY'S COVENANTS AND OBLIGATIONS

6.1 PROHIBITION OF DIAGNOSTIC OR THERAPEUTIC USE. Lilly acknowledges that it
understands, and undertakes to ensure that all users of the services will
understand, that (i) the services any deliverables associated therewith are
designed to expedite and improve the collection, management and analysis of
specific and limited data in clinical trials; (ii) such data do not comprise
complete patient medical record; (iii) such data may be incorrect because of
transcription or other errors; (iv) the services and any deliverables are not a
diagnostic or therapeutic aid and must be used only for research purposes, and
(v) data collected using, or analyses performed using, the services or any
deliverable must not be used for patient diagnosis or therapy decisions.

6.2 COMPLIANCE WITH CLINICAL TRIAL AND PRIVACY LAWS. Lilly represents and
covenants, with respect to all clinical which it conducts using the services or
any deliverable, that (i) each such trial will be conducted in compliance with
all applicable local, Federal and international laws, treaties, rules,
regulations, guidelines and codes of practice relating to such trial, including
in particular those pertaining to clinical investigations, the use of
Investigational Products in humans, the rights of subjects participating in
clinical trials, compensation for research-related injury and privacy of
medical records (including the European Data Privacy Act, to the extent
applicable, and any other applicable regulations governing the transfer of
medical records to other countries or the inspection of such records by
government authorities or persons responsible for monitoring clinical trials),
and (ii), without limiting the generality of the foregoing, that each such trial
will use consent forms which include all language necessary, and such consent
forms will be implemented and obtained from subjects under all procedures
necessary, to ensure compliance with the foregoing.

6.3 NO TRANSFER. No obligations pursuant to 21 CFR 312.52 shall be transferred
by Lilly to Consultant under any this Agreement or any Work Order.

7. CONFIDENTIAL INFORMATION. Each party acknowledges that the other is the owner
of valuable trade secrets and other confidential information, as well as other
like information which is licensed from third parties. Each party shall treat as
strictly confidential and shall not use for its own purposes or for third
parties, or divulge or permit to be divulged to or examined or copied by others,
all information and data obtained by it, or to which it is otherwise exposed, in
connection with this Agreement or otherwise (i) which are confidential or
proprietary to the other party or his customers, including, without limitation,
the Work Product (defined in Section 8 below) pursuant to this Agreement; (ii)
which relate to the research, products, operations, policies, procedures,
techniques, accounts or personnel of the other party; or (iii) which are
confidential or proprietary to a third party and which are in the possession,
custody or control of the other party. In the event of a breach or threatened
breach of the provisions of this Section, each party shall be entitled to an
injunction restraining such breach or threatened breach without having to prove
actual damages or threatened irreparable harm. Such injunctive relief as a party
may obtain shall be in addition to all of the rights and remedies available at
law and in equity.

This section shall not apply to any information that: (i) is in or comes into
the public domain through no breach by the recipient of the information of its
obligations under this Agreement; (ii) the recipient acquires from a third party
who owes no obligations of confidence to the other party to this Agreement in
respect thereof; (iii) was already known to the recipient at the time it
received such information from the other party to this Agreement as shown by the
recipient's prior written records; or (iv) is independently developed by the
receiving party without use of the other party's confidential information.

If either party is requested or required by any legal or investigative process
to disclose any information that it is not permitted to disclose, that party
shall provide the other with prompt notice of each such request and the

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information requested so that the other party may seek to prevent disclosure or
the entry of protective order. If disclosure is required and a protective order
is not obtained, the party from whom disclosure is required shall disclose only
such information that it is advised by its counsel is legally required to be
disclosed.

8.   PROPERTY AND PROPRIETARY RIGHTS. Consultant agrees that all material
     delivered pursuant to a Work Order or Change Order must be specified in the
     Statement of Work as *. As used herein, "Work Product" means * (the "Work
     Product"). Lilly and Consultant will mutually identify the Work Product as
     being "*" "*" "*". * Materials will be considered *.

Each of us agrees to reproduce the copyright notice and any other legend of
ownership on any copies made under the licenses grant in this Section.

     8.1 * are those Work Product created or delivered pursuant to a Work Order
     or Change Order in which Consultant * and that Consultant will, during the
     term of this Agreement *. Upon termination of this Agreement or a Work
     Order, Consultant will provide to Lilly all copies of * and Lilly will *,
     excluding *. Consultant agrees that if any * it shall be deemed to be a *,
     as such term is defined in the *. If, * of * Consultant hereby *.
     Consultant shall cooperate with Lilly or its designees and *, and take
     other necessary actions as reasonably directed by Lilly, to *. Such
     cooperation * shall be performed *; provided, however, Lilly shall *.
     Consultant shall cause each of Consultant's employees charged with
     performance of a Work Order *. Consultant hereby grants Lilly *.

          8.2 * are those * created or delivered pursuant to a Work Order or
          Change Order, in which *.

          8.3 * are Work Product created or delivered pursuant to a Work Order,
          in which *. Consultant will deliver one copy of the specified * to
          Lilly and *.

9. INFRINGEMENT WARRANTY. Consultant warrants that any Work Product produced
under this Agreement and all Consultant Property (except for any Products as
that term is defined in the Software License Agreement between the parties of
even date herewith) shall be of original development or licensable by
Consultant, as the case may be, and all Work Product and property licensed or
owned by Consultant and used in the performance of any Work Order shall not
infringe or violate any patent, copyright, trade secret, trademark, or other
third party intellectual property right. Further, Consultant represents and
warrants that the Work Product is not the subject of a lien, a security
interest, claim, cause of action, or otherwise hypothecated to a third party.

Consultant warrants that it has the right to grant to Lilly the license to use
Work Product as set forth in this Agreement without violating the rights of any
third party and that there is no actual or threatened suit by any third party
based on an alleged violation of such right by Consultant. To the extent
Consultant incorporates third party rights into the Work Product, Consultant
warrants that it shall have obtained the rights from those third parties to *
under this Agreement.

* FOR * OF *. Consultant shall * provided for in * against any claim of a breach
of the warranty set forth in Section 9 above. * AND THE ENTIRE OBLIGATION * WITH
RESPECT TO ANY CLAIM OF INFRINGEMENT.

10. WORK PRODUCT WARRANTIES.

     10.1 PERFORMANCE. For a period of *, Consultant represents and warrants
     that the Work Product shall substantially conform to and will operate
     substantially in accordance with all Documentation supplied by Consultant
     to Lilly. Consultant shall not be responsible to the extent failures are
     caused by (a) Lilly's failures to use the Work Product in accordance with
     instructions included in the documentation provided to Lilly by Consultant,
     or (b) the modification of the Work Product by any person other than
     Consultant, its employees, agents, affiliates or subcontractors (unless
     such modification was authorized or approved by Consultant.)

     10.2 MEDIA DEFECTS. Consultant warrants that all tapes, diskettes or other
     electronic media provided to Lilly hereunder will be free from defects.
     Consultant shall, within five days of notification by Lilly of such defect,
     replace any defective electronic media at no additional cost to Lilly.

     10.3 COMPATIBILITY. Consultant warrants that the Work Product will be
     compatible with the Consultant's technical environment recommendations,
     including hardware, operating system(s), software application(s), CPU's and
     networks specified by Consultant in the applicable Proposal or Work Order.

     10.4 EXCLUSIVE REMEDY FOR BREACH OF PERFORMANCE, MEDIA AND COMPATIBILITY
     WARRANTIES. If the Work Product fail to meet Specifications as provided in
     the Proposal or Work Order, Consultant will repair or replace at its
     option, without charge to Lilly, the non-conforming Work Product with a
     replacement which meets the Specifications. As Consultant's sole
     obligation, and Lilly's sole remedy, for any breach of the limited
     warranties of conformity set

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     forth in Sections 10.1, 10.2 or 10.3, Consultant shall use its best efforts
     to replace defective media or material and/or to provide maintenance
     releases, error fixes or workarounds to correct any material error in any
     Work Product reported to Consultant. If, after its best efforts, Consultant
     cannot make the Work Product operate as warranted, then Consultant shall
     refund to Lilly all fees paid for such Work Product upon Lilly's return of
     such nonconforming Work Product, and this *.

     10.5 ILLICIT CODE. Consultant warrants unless (i) authorized in writing by
     Lilly or (ii) necessary to perform valid duties under this Agreement, any
     Work Product provided to Lilly by Consultant for use by Consultant or Lilly
     shall: (a) contain no hidden files, (b)as set up in the default
     installation, not replicate, transmit or activate itself without control of
     a person operating computing equipment on which it resides; (c) not alter,
     damage, or erase any data or computer programs without control of a person
     operating the computing equipment on which it resides; (d) contain no key,
     node lock, time-out or other function, whether implemented by electronic,
     mechanical or other means, which restricts or may restrict use or access to
     any programs or data developed under this Agreement, based on residency on
     a specific hardware configuration, frequency of duration of use, or other
     limiting criteria ("Illicit Code"). Provided and to the extent any program
     has any of the foregoing attributes, and notwithstanding anything elsewhere
     in this Agreement to the contrary, Consultant shall be in default of this
     Agreement, and a *. In addition to any other remedies available to it under
     this Agreement, Lilly reserves the right to pursue any civil and/or
     criminal penalties available to it against the Consultant.

     10.6 YEAR 2000. Consultant warrants and represents that the occurrence in
     or use by the Work Product of any dates, including without limitation any
     date with a year specified as "99" or "00", regardless of other meanings
     attached to these values, and any date before, on or after January 1, 2000
     ("Millennial Dates") will not adversely affect its performance with respect
     to date-dependent data, computations, output, or other functions
     (including, without limitation, calculating, comparing, and sequencing) and
     that the Work Product will create, store, process and output information
     related to or including Millennial Dates without errors or omissions and at
     no additional cost to Lilly. At Lilly's request, Consultant will provide
     sufficient evidence to demonstrate the adequate testing of the Work Product
     to meet the foregoing requirements.

     10.7 DOCUMENTATION OF THE WORK PRODUCT. Consultant warrants and represents
     that it shall at all times document the operation of the Work Product in a
     manner consistent with the best practices of the software development
     industry, and such Documentation shall accurately reflect the operation of
     the Work Product and enable a person reasonably skilled in computer
     programming and in possession of the Work Product source code to use, and
     maintain the Work Product fully and completely. Consultant further
     represents and warrants that it shall control and identify all adaptations,
     upgrades, and enhancements of the Work Product by means of a version
     number, and all lesser modifications by means of a release number.

     10.8 EQUIPMENT. Consultant warrants and represents that any Equipment
     delivered hereunder shall be delivered to Lilly with any applicable
     warranty granted by the original manufacturer of the Equipment that is
     still effective.

11. GENERAL REPRESENTATIONS AND WARRANTIES.

     11.1 DUE AUTHORITY. Each party's execution, delivery and performance of
     this Agreement and each agreement or instrument contemplated by this
     Agreement has been duly authorized by all necessary corporate action. This
     Agreement and each agreement or instrument contemplated by this Agreement,
     when executed and delivered by each party in accordance with the terms of
     this Agreement, will be the legal, valid, and binding obligation of such
     party, in each case enforceable in accordance with its terms, except as
     such enforceability may be limited by applicable bankruptcy, insolvency,
     moratorium, reorganization, or similar laws then in effect that govern the
     enforcement of creditors' rights generally. All persons who have executed
     this Agreement on behalf of a party, or who will execute any agreement or
     instrument contemplated by this Agreement on behalf of a party, have been
     duly authorized to do so by all necessary corporate action.

     11.2 * REQUIREMENTS. Consultant agrees that any products or services
     provided under this Agreement will *. Consultant represents and warrants
     that to its knowledge any Work Product or services provided under this
     Agreement, as delivered to Lilly, *. Upon * Licensor shall certify to Lilly
     that the products or services *. Upon written notice from Lilly that any
     service or Work Product provided under this Agreement, as delivered to
     Lilly, does not *, Consultant shall use its best efforts to remedy such *
     breach * at no cost to Lilly. Furthermore, Consultant shall in good faith
     execute any and all agreements that Lilly reasonably requests Consultant to
     execute in order that Lilly may comply with HIPAA.

     11.3 INSURANCE. Without limiting Consultant's liability to Lilly or third
     parties hereunder, Consultant shall maintain Commercial General Liability
     Insurance to include contractual and products completed operations
     coverages to the extent covered by insurance to meet its indemnification
     obligations under this Agreement or loss as required by applicable federal,
     state, or local laws, regulations or orders. All such insurance shall be
     primary and not contributory with regard to any other available insurance *
     in an amount of not less than *. *. Consultant represents and warrants that
     it shall tile all claims made under this Agreement with its insurance
     carriers.

     11.4 COMPLIANCE WITH LILLY POLICIES. Consultant agrees to reasonably assure
     that its employees will follow Lilly policies while at any Lilly site;
     provided that Lilly provides Consultant with copies of such policies.

     11.5 GIFTS AND GRATUITIES. Consultant, its employees and agents shall not
     give or offer to give any material gifts or gratuities of any kind
     whatsoever to any Lilly employee or members of their families. In the event
     that Consultant IS approached by anyone suggesting fraudulent or unethical
     behavior with regard to Consultant's business activities with Lilly, or if
     any request is made to Consultant, its employees or agents by any Lilly
     employees or members of their families for gifts or gratuities of any kind,
     Consultant agrees to immediately notify Lilly Procurement Management.
     Consultant certifies by execution of this Agreement that it knows of no
     material gifts or gratuities, or any kind whatsoever, paid to Lilly
     employees or members of their families by Consultant, Consultant's
     employees, or agents during the past two (2) years, except as otherwise set
     forth in writing to Lilly Procurement Management as an exhibit to this
     Agreement. Consultant agrees to immediately notify Lilly Procurement
     Management in writing of any violations of this subsection.

     11.6 PENDING LITIGATION, Consultant represents and warrants to Lilly that
     there is no action, suit, claim, investigation, or proceeding pending, or
     to the best of Consultant's knowledge, threatened against, by or affecting
     Consultant or the Product which, if adversely decided, might adversely
     affect Consultant's ability to enter into this

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     Agreement, Consultant's performance of its obligations herein, or Lilly's
     use of the Work Product. Consultant further represents and warrants that it
     does not know of any basis for any such action.

     11.7 CHANGE OF CONTROL WARRANTY. Consultant represents and warrants to
     Lilly that no change of control with respect to Consultant is being
     considered, planned or pending by the Board of Directors, or management, or
     to its knowledge shareholders, of Consultant or by any affiliate of
     Consultant.

     11.8 DEBARMENT. Consultant represents and warrants that Consultant and, to
     the best of its knowledge, its officers, directors, employees and agents,
     have not been debarred under any federal, state or local law, regulation,
     rule or order, including, but not limited to, the Generic Drug Enforcement
     Act of 1992. In the event any pending proceeding or threatened debarment of
     Consultant or its officers, directors, employees or agents, Consultant
     shall immediately notify Lilly of such proceeding or threatened debarment.

     11.9 * AND *. In the event of * caused by the Work
     Product or Work Product failure, including, but not limited to, a Work
     Product failure resulting from an error, malfunction or overloading,
     Consultant shall *.

     11.10 PROFESSIONAL SERVICES. Consultant shall perform all services under
     this Agreement * in a *. Consultant shall * complete its services in
     accordance with the timetables agreed to by the parties. Notwithstanding
     the foregoing, Lilly acknowledges that milestones depend on receipt of
     deliverables from Lilly in a timely fashion and failure to meet dependency
     dates may result in slippage across the timetable.

     11.11 RECRUITMENT OF PERSONNEL AND EXCLUSIVITY. During the term of this
     Agreement and for a period of *, neither party shall solicit the employment
     of any employee of the other party with whom such party has had contact in
     connection with the relationship arising under this Agreement.

     11.12 USE OF NAME AND PUBLICITY. Consultant agrees that it
     shall not, without prior written consent of Lilly in each instance, use in
     advertising, publicity or otherwise the name of Lilly, or any partner or
     employee of Lilly, nor any trade name, trademark, trade device or
     simulation thereof owned by Lilly, or represent, directly or indirectly,
     that any product or any service provided by Consultant has been approved,
     recommended, certified, or endorsed by Lilly. Upon Lilly's written consent,
     * Licensor may *.

12. INDEMNIFICATION.

     12.1 INFRINGEMENT INDEMNIFICATION. In the event of an infringement claim by
     a third party against Lilly, Consultant shall indemnify, defend and hold
     Lilly harmless from any loss, cost, liability or expense, including
     reasonable attorneys' fees arising from such claim. If, as a result of any
     such claim of infringement, Consultant or Lilly is enjoined from using any
     Work Product and/or Documentation, or if Consultant believes that the Work
     Product is likely to become the subject of a claim of infringement,
     Consultant will, at its option and its expense: (i) procure for Lilly the
     right to continue using the Product and/or Documentation; or (ii) replace
     or modify the Product and/or Documentation so that it becomes
     non-infringing (which modification or replacement shall not adversely
     affect the applicable specifications for, or the use or operation by Lilly
     of, the Product and/or Documentation); or (iii) if the Product and/or
     Documentation is purchased, and the other options stated are not
     practicable, repurchase the Product and/or Documentation from Lilly; or
     (iv) if the Product and/or Documentation is licensed, and the other options
     stated are not practicable, remove such Product and/or Documentation from
     Lilly's site(s) and refund to Lilly any and all charges paid by Lilly, and
     release Lilly from any further liability under this Agreement. This
     provision will survive termination of this Agreement. *.

     12.2 GENERAL INDEMNIFICATION. Each party (the "Indemnifying Party") shall
     defend, indemnify, and hold the other party and its Affiliates, and the
     officers, directors, agents, employees and assigns or successors of each
     (the "Indemnified Party"), harmless from and against any and all claims,
     demands, suits, judgments, losses, or expenses of any nature whatsoever
     (including attorney's fees) arising directly or indirectly from or out of:
     (i) any negligent act, error, or omission of the Indemnifying Party, its
     subcontractors or their respective officers, directors, agents,
     subcontractors, invitees or employees; (ii) any breach of the Indemnifying
     Party's obligations or representations as set forth herein; (iii) * (iv)
     injuries to persons (including death) or loss of, or damage to, property,
     occasioned by negligence, unlawful act, or willful misconduct of the
     Indemnifying Party, or of the Indemnifying Party's personnel,
     subcontractors, or agents (hereinafter "Person"); (v) any Person filing any
     lien against any property of Lilly, or any claim or lawsuit against Lilly
     in which the Person claims payment from Lilly for services to Lilly; (vi)
     any claims or liability for wages, workers' compensation or unemployment
     compensation owed to Consultant employees, or payroll or related taxes or
     other governmental charges related to the performance of the services to be
     provided hereunder; (vii) any claims or liabilities for employee benefits
     related to the performance of the services to be provided hereunder. In
     addition, Lilly shall indemnify and hold Consultant and its affiliates,
     directors, officers, employees and agents (including successors and
     assigns) harmless against any claim arising out of or relating to any
     accident, adverse event, illness, disability, death or other
     medical-related problem in any way arising out or relating to, or alleged
     to arise out of or relate to, (i) any clinical trial of any product for
     which any service or deliverable provided hereunder was used and (ii) any
     product derived from or based on such clinical trial or product.

13.  LIMITATION OF DAMAGES. Except for the parties liabilities as set forth in
Sections 7 and 12.1, any damages that either party is required to pay for any
reason whatsoever and regardless of the form of action, in the aggregate, shall
be limited to *.

Except for the obligations in Sections 7, neither Consultant nor Lilly shall be
liable to the other party for any special, punitive or consequential damages, or
loss of profits arising out of or in connection with their respective
obligations under this Agreement.

Notwithstanding the foregoing, if any claim against Consultant for breach of
this Agreement is a claim covered by any insurance policy maintained by
Consultant, any recovery of proceeds under such policy shall be paid to Lilly to
the extent Lilly's damages exceed the foregoing limitation of liability.
Consultant shall vigorously pursue any applicable policy claim as requested by
Lilly.

14. DISCLAIMER OF OTHER WARRANTIES. EXCEPT AS EXPRESSLY STATED IN THIS
AGREEMENT, THERE ARE NO WARRANTIES, EXPRESS OR IMPLIED, BY OPERATION OF LAW OR
OTHERWISE, REGARDING OR RELATING TO * HEREUNDER OR IN CONNECTION HEREWITH.
CONSULTANT SPECIFICALLY DISCLAIMS ALL IMPLIED WARRANTIES, INCLUDING WITHOUT
LIMITATION THOSE OF MERCHANTABILITY AND FITNESS FOR A

Eli Lilly and Company
Consulting and Professional Services Agreement -- December, 2000, Edition 1.0

                                   Page 5 of 7
<PAGE>

PARTICULAR PURPOSE. * REPRESENTATION OR OTHER AFFIRMATION OF FACT, INCLUDING
BUT NOT LIMITED TO STATEMENTS REGARDING * CONTAINED IN THIS AGREEMENT, SHALL BE
DEEMED TO BE A WARRANTY BY CONSULTANT FOR *.

15. TERMINATION. Lilly shall have the right upon * terminate any Work Order or
this Agreement whether or not Consultant is in default or in breach. Consultant
shall be entitled to payment under Section 2 hereof with respect to provable
charges earned for accepted services and reimbursable expenses incurred up to
the effective date of the termination. In addition, If Consultant has not
breached the Agreement, Lilly shall pay all reasonable costs incurred by
Consultant that are reasonably required in connection with the orderly cessation
of the Services, including any fees for which Consultant has become committed to
the extent it is unable to terminate its commitment without cost or penalty.
Consultant agrees to stop all work to the extent specified in the notice, incur
no further expenses beyond those authorized in such notice, complete performance
of such work that has not been terminated, and invoice Lilly for amounts owed
within two (2) months of termination. Upon termination of any Work Order or this
Agreement for any cause or for no cause, or at any earlier time upon the demand
of Lilly, Consultant shall without cost to Lilly (a) deliver to Lilly in an
orderly and expeditious manner all data, records, documentation, and other
property belonging to Lilly then in the possession of Consultant, including, but
not limited to, * on whatever media rendered; and (b) upon request of Lilly,
certify in writing that it has complied with these requirements. Sections 6
through 26 shall survive the expiration or termination of this Agreement.

Notwithstanding anything to the contrary contained in this Agreement, if
Consultant breaches any material term or condition of this Agreement, Lilly may
at its option exercise any one or more of the following remedies: (i) terminate
the applicable Work Order or this Agreement, * unless Consultant cures such
breach * or (ii) exercise any other rights and remedies available at law
or in equity.

If Lilly breaches any material term or condition under this Agreement,
Consultant may terminate this Agreement and any licenses hereunder by written
notice to Lilly * unless Lilly cures such breach *.

16. ASSIGNMENT. The duties under this Agreement may not be delegated, and the
rights under this Agreement may not be assigned, to any third party in either
case without the prior written consent of the non-assigning party, which consent
shall not be unreasonably withheld; provided, however, that the either party may
assign its rights and delegate its duties hereunder, with notice to but without
consent of the other party, to any corporate successor to such party by merger,
purchase of assets and assumption of liabilities, acquisition, reorganization,
or otherwise, or to any Affiliate. Notwithstanding the foregoing, in no event
shall * under this Agreement in whole or in part (including to a party that
becomes an Affiliate after the date of this Agreement) in connection with * if
the other party to such transaction has an existing agreement with Consultant.

17. SUBCONTRACTORS. Consultant may, with Lilly's prior written consent, use
subcontractors to perform certain of the services required to be provided by
Consultant in a Statement of Work. Notwithstanding the foregoing, Lilly agrees
that Consultant may engage individual consultants to supplement its own staff as
it reasonably deems necessary, provided that such consultants are bound by an
appropriate confidentiality agreement.

18. AUDIT PROVISION. During the term of this Agreement Lilly will have the
right, at its expense and upon no less than five (5) working days prior written
notice, to audit Consultant's systems and services, with specific emphasis on
Consultant's security and change control procedures. Such audit, which may be
conducted by Lilly personnel under obligations of confidentiality or by an
independent auditing firm, will not interfere unreasonably with Consultant's
business activities, and will be conducted no more than once per calendar year,
unless Lilly has received a request from the U.S. Food and Drug Administration
(or agency with similar regulatory authority and jurisdiction over Lilly's
business), or unless a previous audit has disclosed a material non-conformance
to the standards required by the appropriate agencies. If the audit shows
material non-conformance to the obligations set forth in this Agreement, then
Consultant will * to remedy the non-conformance as soon as practicable. If the
non-conformance continues *, then Lilly shall have the option to declare
Consultant in breach of this Agreement. Lilly will use information received
during an audit solely for the purposes of the Agreement and will otherwise
maintain the confidentiality of such information. In addition, upon request,
Consultant shall make available to the FDA all records required by governmental
regulations related to the Work Product and any data or results produced by the
Work Product. In any governmental or regulatory agency gives notice of its
intention to conduct an audit or take any other regulatory actions with respect
to the Work Product or any data or results produced by the Work Product,
Consultant shall promptly give Lilly notice thereof, and Lilly shall have the
right to be present at any such audit or regulatory action.

19. UCITA. Consultant and Lilly hereby acknowledge and agree that any provisions
of any state law adopting exactly or in modified form the Uniform Computer
Information Transactions Act ("UCITA")shall not be applicable to this Agreement.
Furthermore, both Consultant and Lilly waive any and all rights arising from any
such law.

20. CHOICE OF LAW AND VENUE. This Agreement and all matters arising out of or
relating to this Agreement shall be governed by and construed in accordance with
the laws of the State of Indiana, excluding all choice of law provisions. All
proceedings relating to or arising out of the subject matter hereof shall be
maintained exclusively in the courts situated in Marion County, Indiana, and
Consultant hereby consents to personal jurisdiction and venue therein and hereby
waives any right to object to personal jurisdiction or venue therein.

21. ENTIRE AGREEMENT. This Agreement, which includes all attached exhibits
referenced herein and any Work Order created pursuant hereto, constitutes the
entire agreement between Lilly and Consultant with respect to the subject matter
hereof; and supersedes all proposals, oral or written, and all other
communications between the parties with respect to such subject matter.

22. WAIVER. None of the conditions of the Agreement shall be considered waived
unless such waiver is in writing and signed by the waiving party. No such waiver
shall be a waiver of any past or future default, breach or modification of any
of the conditions of the Agreement unless expressly stipulated in such waiver.

23. SEVERABILITY. If any provision in this Agreement is held to be invalid,
void, or unenforceable, the remaining provisions shall nevertheless continue in
full force.

24. NOTICES. Any written notices to be given hereunder by either party shall be
deemed effective upon personal delivery or upon mailing the notice to the party
to be served at the address appearing in Appendix B.

25. FORCE MAJEURE. Neither party shall be liable to the other for failure to
perform under this Agreement if said failure results, directly or

Eli Lilly and Company
Consulting and Professional Services Agreement -- December, 2000, Edition 1.0

                                   Page 6 of 7
<PAGE>

indirectly, from government action or inaction, labor disputes, mechanical or
electrical breakdown, or natural disaster.

26. HEADINGS. The headings in this Agreement are solely for convenience of
reference and shall not affect its interpretation.

27. AMBIGUOUS TERMS. Any ambiguities in this Agreement will not be strictly
construed against the drafter of the language concerned but will be resolved by
applying the most reasonable interpretation under the circumstances, giving full
consideration to the intentions of the parties at the time of contracting. This
Agreement will not be construed against any party by reason of its preparation.

Eli Lilly and Company
Consulting and Professional Services Agreement -- December, 2000, Edition 1.0

                                   Page 7 of 7
<PAGE>
[LILLY LOGO]                                                 CONSULTING AND
                                                         PROFESSIONAL SERVICES
                                                               AGREEMENT

                                    EXHIBIT A

                             WORK ORDER NO. _______

This Work Order is entered into by and between Eli Lilly and Company ("LILLY")
and the Consultant signing below pursuant to the Consulting and Professional
Services Agreement between the parties (the "Agreement"), and is subject to the
terms and conditions of the Agreement. NOTWITHSTANDING ANYTHING TO THE CONTRARY,
NO WORK ORDER OR CHANGE ORDER SHALL BE EFFECTIVE UNLESS SIGNED BY THE LICENSOR'S
CHIEF FINANCIAL OFFICER OR GENERAL COUNSEL.

I.   OWNERSHIP OF PROPERTY AND PROPRIETARY RIGHTS

     CONSULTANT AND LILLY MUST DESIGNATE EACH DELIVERABLE IN THIS WORK ORDER AS
     *, * PURSUANT TO SECTION 8 OF THE AGREEMENT. PLEASE REFER TO THE
     DEFINITIONS OF * AND THE * OF * AND * IN SECTION 8 OF THE AGREEMENT.

II.  DESCRIPTION OF SERVICES AND MILESTONES

     [INCLUDE A DETAILED DESCRIPTION OF THE SERVICES TO BE RENDERED AND A
     PROJECT SCHEDULE, IDENTIFYING ALL CRITICAL MILESTONES]

     DELIVERABLES

   [LIST AND DESCRIBE ALL DELIVERABLES TO BE GENERATED AND PROVIDED TO LILLY]

     START DATE: _______________________ PROJECTED END DATE: ___________________

III. FEES (INDICATE ALL THAT APPLY)

____ FIXED PRICE OF $ _______________

         ____The above Fixed Price includes Materials and Expenses.
         ____The above Fixed Price does not include Materials and Expenses

____ TIME, MATERIALS AND EXPENSES (SUBJECT TO THE "NOT-TO-EXCEED AMOUNT")

       Estimated Senior Consultant Labor Hours Required to Complete the Scope
       of Work: ____________
       Labor Rate: $ _________ per __________
       Maximum Pre-authorized Fees: $ ____ (Estimated Labor Hours x Hourly Rate)

       Estimated Junior Consultant Labor Hours Required to Complete the Scope
       of Work: ____________
       Labor Rate: $ _________ per __________
       Maximum Pre-authorized Fees: $ ____ (Estimated Labor Hours x Hourly Rate)

       Estimated Other Labor Hours Required to Complete the Scope of Work: _____
       Labor Rate: $ _________ per __________
       Maximum Pre-authorized Fees: $ ____ (Estimated Labor Hours x Hourly Rate)

       Total Pre-authorized Fees: ______________ (sum of each category)

 IV. MATERIALS/EXPENSES

 List of Materials and Expenses Required to Complete the Scope of Work:

<PAGE>

Maximum Pre-authorized Materials and Expenses: $

V. NOT-TO-EXCEED AMOUNT

Under no circumstances shall the amounts payable under this Work Order without a
Change Order (including fees, materials and expenses) exceed $____________ (the
"not-to-exceed amount").

V. ADDITIONAL TERMS AND CONDITIONS

Consultant shall not submit an invoice to LILLY for services rendered hereunder
unless accepted as provided in the Agreement, a Work Order and/or a Change
Order.

Consultant may not increase the hourly labor rates quoted above in Section II
during the duration of this Work Order.

     [LIST ANY ADDITIONAL TERMS AND CONDITIONS TO APPLY ONLY TO THIS WORK ORDER.
     FOR EXAMPLE, PERHAPS THERE IS TO BE A TOTAL REFUND IF THE COMPLETED PROJECT
     IS NOT TO THE SATISFACTION OF LILLY. CONSULT WITH LILLY'S LEGAL COUNSEL TO
     COMPLETE THIS SECTION]

     IN WITNESS WHEREOF, LILLY and Consultant have caused duly authorized
representatives of the respective parties to execute this Work Order on the
date(s) set forth below.

CONSULTANT                                    ELI LILLY AND COMPANY

By: _____________________________             By: ______________________________
    Signature                                     Signature

__________________________________            __________________________________
Name                                          Name

__________________________________            __________________________________
Title                 Date                    Title                Date

<PAGE>

[LILLY LOGO]                                                 CONSULTING AND
                                                         PROFESSIONAL SERVICES
                                                               AGREEMENT

                                    EXHIBIT B

                            CHANGE ORDER NO. _______

     This Change Order is entered into by and between Eli Lilly and Company
("LILLY") and the Consultant signing below pursuant to the Consulting and
Professional Services Agreement between the parties (the "Agreement"), Work
Order No._______________(the "Work Order"), and previously issued Change Order
Nos._______(the "Change Orders"), and is subject to the terms and conditions of
the Agreement, the Work Order, and the Change Orders unless otherwise noted
herein. NOTWITHSTANDING ANYTHING TO THE CONTRARY, NO WORK ORDER OR CHANGE ORDER
SHALL BE EFFECTIVE UNLESS SIGNED BY THE LICENSOR'S CHIEF FINANCIAL OFFICER OR
GENERAL COUNSEL.

I.   OWNERSHIP OF PROPERTY AND PROPRIETARY RIGHTS

     CONSULTANT AND LILLY MUST DESIGNATE EACH DELIVERABLE IN THIS WORK ORDER AS
     *, * OR * PURSUANT TO SECTION 8 OF THE AGREEMENT. PLEASE REFER TO THE
     DEFINITIONS OF *, * AND * AND THE * OF * AND * IN SECTION 8 OF THE
     AGREEMENT.

II.  DESCRIPTION OF CHANGES TO SERVICES AND MILESTONES

     [INCLUDE THE IDENTITY OF THE PARTY REQUESTING THE CHANGES, THE REASON FOR
     THE CHANGES, THE BENEFIT OF THE CHANGES, AND A DETAILED DESCRIPTION OF THE
     CHANGES TO THE SERVICES TO BE RENDERED. INCLUDE A NEW PROJECT SCHEDULE
     IDENTIFYING ALL CRITICAL MILESTONES.]

     DESCRIPTION OF CHANGES TO DELIVERABLES

     [LIST AND DESCRIBE THE CHANGES TO ALL DELIVERABLES FROM THE WORK ORDER (AS
     AMENDED BY ANY CHANGE ORDERS) TO BE GENERATED AND PROVIDED TO LILLY]

     NEW PROJECTED END DATE:_______________

III. CHANGES TO FEES (INDICATE ALL THAT APPLY)

    __NEW FIXED PRICE OF $ _______________

      __The above Fixed Price includes Materials and Expenses.
      __The above Fixed Price does not include Materials and Expenses

    __NEW TIME, MATERIALS AND EXPENSES (SUBJECT TO THE "NOT-TO-EXCEED AMOUNT")

       Estimated Senior Consultant Labor Hours Required to Complete the Scope
       of Work: ____________
       Labor Rate: $ ____________ per __________
       Maximum Pre-authorized Fees: $ ____ (Estimated Labor Hours x Hourly Rate)

       Estimated Junior Consultant Labor Hours Required to Complete the Scope
       of Work: ____________
       Labor Rate: $ _____________ per __________
       Maximum Pre-authorized Fees: $ ____ (Estimated Labor Hours x Hourly Rate)

       Estimated Other Labor Hours Required to Complete the Scope of Work: _____
       Labor Rate: $ _________ Per __________
       Maximum Pre-authorized Fees: $ ____ (Estimated Labor Hours x Hourly Rate)

       Total Pre-authorized Fees: ______________ (sum of each category)

<PAGE>

IV.  ADDITIONAL MATERIALS/EXPENSES

List of Additional Materials and Expenses Required to Complete the Scope of
Work:

Revised Maximum Pre-authorized Materials and Expenses: $

V.   REVISED NOT-TO-EXCEED AMOUNT

Under no circumstances shall the amounts payable under the Work Order and Change
Order (including fees, materials and expenses) exceed $         (the
"not-to-exceed amount").

VI.  ADDITIONAL TERMS AND CONDITIONS

  [LIST ANY ADDITIONAL TERMS AND CONDITIONS TO APPLY ONLY TO THIS CHANGE ORDER]

     IN WITNESS WHEREOF, LILLY and Consultant have caused duly authorized
representatives of the respective parties to execute this Change Order on the
date(s) set forth below.

CONSULTANT                                     ELI LILLY AND COMPANY

By: ____________________________               By: _____________________________
    Signature                                      Signature

________________________________               _________________________________
Name                                           Name

________________________________               _________________________________
Title                Date                      Title                 Date<PAGE>

                                                                    EXHIBIT 10.8

[PHASE - FORWARD (TM) LOGO]

880 Winter Street
Waltham, MA 02451, U.S.A.
Tel. (781) 890-7878
Fax. (781) 890-4848

This Executive Agreement (the "Agreement"), by and among Phase Forward
Incorporated, a Delaware corporation (the "Company"), and the executive name
below ("Executive"), sets forth the terms and conditions by which the Company
will provide certain benefits for Executive under certain circumstances in the
event of a termination of Executive's employment with the Company. The effective
date of this Agreement shall be the date of last execution as set forth below
(the "Execution Date").

PHASE FORWARD INCORPORATED                EXECUTIVE

                                          By:___________________________________
By:_____________________________
                                          Name:_________________________________
Name:___________________________
                                          Address:______________________________
Title:__________________________
                                          ______________________________________
Date:___________________________
                                          Date:_________________________________

         WHEREAS, Executive currently is an employee of the Company and an
Officer (as hereinafter defined), and has made and is expected to continue to
make significant contributions to the business, growth and financial strength of
the Company;

         WHEREAS, the Company recognizes that the uncertainty regarding the
consequences of a termination in Executive's employment as an Officer of the
Company adversely affects the Company's ability to retain Executive;

         WHEREAS, the Company further recognizes that, as is the case for most
publicly held companies, the possibility of a Change in Control (as hereinafter
defined) exists, which may alter the nature and structure of the Company, and
recognizes that the uncertainty regarding the consequences of such an event
adversely affects the Company's ability to retain Executive as an Officer;

         WHEREAS, the Company desires to more closely align Executive's
interests with those of the shareholders of the Company with respect to any
Change in Control that may benefit the shareholders;

         WHEREAS, the Company desires to assure itself of both present and
future continuity of management in the event of a Change in Control, and desires
to induce Executive to remain employed with the Company by establishing certain
benefits for Executive applicable under certain circumstances in the event of a
Change in Control, and Executive desires to be so induced; and

         WHEREAS, the parties desire to set forth in writing the terms and
conditions of their agreement with respect to the provision of benefits for
Executive applicable under certain circumstances in the event of a Change in
Control;

         NOW, THEREFORE, in consideration of the premises and the mutual
covenants and obligations herein contained, it is agreed among the parties
hereto as follows:

         1.       Term. This Agreement shall continue for a term commencing on
the Execution Date and ending on the date two years thereafter ("Initial Term"),
and shall be automatically renewed from year to year thereafter for successive
one-year terms (each a "Renewal Term") unless ninety (90) days prior to the
expiration of the initial term or any renewal term, a party gives written notice
of non-renewal to the

                                     1 of 8

<PAGE>

other party; provided that any such notice provided by the Company any time
during the period beginning on the date that is forty-five (45) days prior to
the date upon which a definitive agreement for a Change in Control is publicly
announced as having been executed by the Company (the "Announcement Date") and
ending on the first anniversary of the effective date of a Change in Control,
shall have no effect whatsoever, and the Agreement shall continue in force until
such time as otherwise terminated in accordance with the terms hereof. If an
effective notice of non-renewal is given as permitted hereunder, this Agreement
will expire at the conclusion of either the initial term or the renewal term,
whichever is applicable, unless terminated earlier in accordance with Section 2
hereof. The "Term" of this Agreement shall include the Initial Term, as well as
any Renewal Term, if applicable, subject to termination at any time prior to the
expiration of the Term as provided in Section 2 hereof; provided, however, that
in the event of the first Change in Control to occur during the Term (including
after any notice of non-renewal is given), the Term shall automatically continue
through the first anniversary of the effective date of such Change in Control.

         2.       At-Will Status. Notwithstanding any provision of this
Agreement, Executive will remain employed at-will, so that Executive or the
Company may terminate Executive's employment at any time, with or without
notice, for any or no reason, and this Agreement shall not create or imply any
right or duty of Executive or the Company to have Executive remain in the employ
thereof for any period of time. This Agreement shall automatically terminate on
the earliest date of (a) Executive's Termination Date (as hereinafter defined)
if Executive's employment ceases for any reason other than due to an Involuntary
Termination Upon a Change in Control or a Resignation for Good Reason Upon a
Change in Control (as such terms are hereinafter defined); or (b) the date
immediately following the one-year anniversary of the effective date of the
first Change in Control to occur during the Term; provided, that,
notwithstanding any provision in this Agreement to the contrary, if Executive's
employment is terminated by the Company prior to a Change in Control for any
reason other than for Cause, or ceases due to an Involuntary Termination Upon a
Change in Control or a Resignation for Good Reason Upon a Change in Control,
this Agreement shall remain in effect until all obligations of the parties
hereunder have been fully satisfied.

         3.       Definitions. As used in this Agreement, the following terms
shall have the meanings set forth herein:

                  a.       "Cause" shall mean any one or more of the following:
(i) Executive's willful failure or refusal (except due to Disability (as
hereinafter defined) or a condition reasonably likely to be deemed a Disability
with the passage of time) to perform substantially his/her duties on behalf of
the Company for a period of thirty (30) days after receiving written notice
identifying in reasonable detail the nature of such failure or refusal; (ii)
Executive's conviction of, entry of a plea of guilty or nolo contendere to, or
admission of guilt in connection with a felony; (iii) disloyalty, willful
misconduct or breach of fiduciary duty by Executive which causes material harm
to the Company; or (iv) Executive's willful violation of any confidentiality,
developments or non-competition agreement which causes material harm to the
Company. Notwithstanding the foregoing, Executive shall not be deemed to have
been terminated for Cause unless and until there shall have been delivered to
him a copy of a resolution duly adopted by the Company's Board of Directors (the
"Board") (excluding Executive if he is a Director) at a meeting of the Board
called and held for (but not necessarily exclusively for) that purpose (after
reasonable notice to Executive and an opportunity for Executive, together with
counsel of his choice, to be heard by the Board) finding that Executive has, in
the good faith opinion of the Board, engaged in conduct constituting Cause and
specifying the particulars thereof in reasonable detail.

                  b.       "Change in Control" shall mean the occurrence of any
of the following events:

                           (i)      The Company is merged or consolidated or
reorganized into or with another corporation or other legal person, and as a
result of such merger, consolidation or reorganization less than fifty percent
(50%) of the combined voting power of the then-outstanding securities of such
surviving, resulting or reorganized corporation or person immediately after such
transaction is held in the

                                     2 of 8

<PAGE>

aggregate by the holders of the then-outstanding securities entitled to vote
generally in the election of directors of the Company ("Voting Stock")
immediately prior to such transaction;

                           (ii)     The Company sells or otherwise transfers all
or substantially all of its assets to any other corporation or other legal
person, and as a result of such sale or transfer less than fifty percent (50%)
of the combined voting power of the then-outstanding securities of such
corporation or person immediately after such sale or transfer is held in the
aggregate by the holders of Voting Stock of the Company immediately prior to
such sale or transfer;

                           (iii)    Any corporation or other legal person,
pursuant to a tender offer, exchange offer, purchase of stock (whether in a
market transaction or otherwise) or other transaction or event acquires
securities representing 30% or more of the Voting Stock of the Company, or there
is a report filed on Schedule 13D or Schedule 14D-1 (or any successor schedule,
form or report), each as promulgated pursuant to the U.S. Securities Exchange
Act of 1934, as amended (the "Exchange Act"), disclosing that any "person" (as
such term is used in Section 13(d)(3) or Section 14(d)(2) of the Exchange Act)
has become the "beneficial owner" (as such term is used in Rule 13d-3 under the
Exchange Act) of securities representing 30% or more of the Voting Stock of the
Company;

                           (iv)     The Company files a report or proxy
statement with the Securities and Exchange Commission pursuant to the Exchange
Act disclosing under or in response to Form 8-K or Schedule 14A (or any
successor schedule, form or report or item therein) that a change in control of
the Company has occurred; or

                           (v)      If during any period of two consecutive
years, individuals who at the beginning of any such period constitute the Board
cease for any reason to constitute at least a majority thereof, unless the
election, or the nomination for election by the Company's stockholders, of each
director of the Company first elected during such period was approved by a vote
of at least a majority of the directors then still in office who were directors
of the Company at the beginning of any such period;

provided, however, that a "Change in Control" shall not be deemed to have
occurred for purposes of this Agreement solely because (i) the Company, (ii) an
entity in which the Company directly or indirectly beneficially owns 50% or more
of the Voting Stock, or (iii) any Company-sponsored employee stock ownership
plan or any other employee benefit plan of the Company, either files or becomes
obligated to file a report or a proxy statement under or in response to Schedule
13D, Schedule 14D-1, Form 8-K or Schedule 14A (or any successor schedule, form
or report) under the Exchange Act, disclosing beneficial ownership by it of
shares of Voting Stock or because the Company reports that a change in control
of the Company has occurred by reason of such beneficial ownership.

                  c.       "Company" shall mean Phase Forward Incorporated, its
assigns, and its Successors.

                  d.       "Disability" shall mean any physical or mental
disability that renders Executive unable to perform his/her essential job
responsibilities for a cumulative period of 180 days in any twelve-month period,
where such disability cannot be reasonably accommodated absent undue hardship.

                  e.       "Executive Office" shall mean those offices of the
Company domiciled in the United States that the Board in its reasonable
discretion may designate from time to time as constituting an officer position
pursuant to Section 16 of the Exchange Act; provided, that for purposes of this
Agreement, Executive Office shall also be deemed to include, without limitation,
the Chief Executive Officer, Chief Financial Officer, Vice President of Finance,
Vice President of Development, Vice President of North American Sales, Vice
President of Marketing, Vice President - Human Resources, Vice President -
General Counsel and/or such other officers of the Company as the Board shall
designate from time to time. Any person holding an Executive Office shall be an
"Officer."

                                     3 of 8

<PAGE>

                  f.       "Incentive Pay Eligibility" shall mean the aggregate
amount of any cash compensation derived from any bonus, incentive, performance,
profit-sharing or similar agreement, policy, plan or arrangement of the Company
that Executive is eligible to receive based upon the attainment of 100% target
or quota with respect to any one calendar year; provided, however that Incentive
Pay Eligibility shall exclude any commission or bonus that Executive is eligible
to received under the Company's 2004 Global Sales Incentive Compensation Plan or
any successor plan thereto.

                  g.       "Involuntary Termination Upon a Change in Control"
shall mean the termination of the employment of Executive by the Company without
Cause at any time within the period beginning on the date that is forty-five
(45) days prior to the Announcement Date and ending on the first anniversary of
the effective date of a Change in Control. "Involuntary Termination Upon Change
in Control" shall not include any termination of Executive's employment (a) for
Cause; (b) as a result of Executive's Disability; (c) as a result of Executive's
death; or (d) by Executive for any reason.

                  h.       "Resignation for Good Reason Upon a Change in
Control" shall occur upon the receipt by the Company of Executive's notice
specified below, if any of the following "Events" occur without Executive's
prior written consent during the two-year period beginning on the effective date
of a Change in Control:

                           (i)      The substantial reduction of (1) Executive's
aggregate base salary, or (2) Executive's Incentive Pay Eligibility, or (3) the
benefits for which Executive was eligible, in each case, in effect immediately
prior to a Change in Control, unless, however, in the case of Subclause (3)
only, such reduction is due to an across-the-board reduction applicable to all
senior executives of the Company and any Successor, and the benefits available
to Executive after such across-the-board reductions are so less favorable than
those available to similarly-situated executives of the Company and such
Successor;

                           (ii)     The permanent relocation of Executive's
primary workplace to a location more than thirty (30) miles away from
Executive's workplace in effect immediately prior to a Change in Control; or

                           (iii)    Failure of any Successor to, or assignee of,
the Company to assume the duties and obligations of the Company under this
Agreement pursuant to Section 14 hereof; and

Within sixty (60) days after any such Event, Executive provides written notice
to the Company describing with reasonable specificity the Event and stating
his/her intention to resign from employment due to such Event.

                  j.       "Severance Benefits" shall mean:

                           (i)      payment of an amount equal to 50% (i.e., 6
months) of the Executive's base salary, at the highest annualized rate in effect
during the one year period immediately prior to the Termination Date payable, at
Executive's election, either (x) in a lump sum payment on the Vesting Date or on
any other date designated by Executive; or (y) in equal monthly installments
over the twelve (12) month period following the Vesting Date; and

                                     4 of 8

<PAGE>

                           (ii)     In the event Executive elects after the
Termination Date to continue health, vision and/or dental coverage pursuant to
the Consolidated Omnibus Budget Reconciliation Act of 1985 ("COBRA"), the
Company will pay, on a monthly basis, Executive's monthly premium payments for
each such coverage elected by Executive for Executive and his or her eligible
dependents, if applicable, until the earliest of the following dates to occur
with respect to each such elected coverage: (A) the six month anniversary of the
Termination Date; (B) the date upon which Executive becomes covered under a
comparable group plan for such applicable coverage; or (C) the date upon which
Executive ceases to be eligible for COBRA continuation for such applicable
coverage.

                  k.       "Stock Plans" shall mean the Phase Forward
Incorporated Amended and Restated 1997 Stock Option Plan, the Phase Forward
Incorporated 2004 Stock Option and Incentive Plan and any other stock plans or
stock option plans established and maintained by the Company at any time during
the Term and pursuant to which Executive holds any options, stock, awards and/or
purchase rights, each as may be or may have been amended, excluding the 2004
Employee Stock Purchase Plan and any other plan adopted by the Company pursuant
to Section 423 of the U.S. Internal Revenue Code of 1986, as amended (the
"Code").

                  l.       "Successor" shall mean any successor to the Company
(whether direct or indirect, by Change in Control, operation of law or
otherwise), including but not limited to any successor (whether direct or
indirect, by Change in Control, operation of law or otherwise) to, or ultimate
parent entity of any successor to, the Company.

                  m.       "Termination Date" shall mean Executive's last date
of employment with the Company.

         4.       Effect of a Termination without Cause. If Executive's
employment is terminated at any time prior to a Change in Control for any reason
that does not constitute Cause, Executive shall be entitled to receive the
following, subject to Section 8 hereof; provided, however that if such
termination constitutes an Involuntary Termination Upon a Change in Control or a
Resignation for Good Reason Upon a Change in Control, Executive shall instead be
entitled to the Change in Control Benefits described in Section 5.a of this
Agreement.

                  (a)      the Severance Benefits; provided, however that if
such termination constitutes an Involuntary Termination Upon a Change in
Control or a Resignation for Good Reason Upon a Change in Control, in lieu of
the Severance Benefits, Executive shall be entitled to the Change in Control
Benefits described in Section 5.a of this Agreement.

                  (b)      Executive shall also be entitled to any unpaid
compensation and benefits, and unused vacation accrued, through the Termination
Date. Executive shall also be entitled to receive reimbursement for final
expenses that Executive reasonably and necessarily incurred on behalf of the
Company prior to the Termination Date, provided that Executive submits expense
reports and supporting documentation of such expenses as required by the
practice or policy in effect at that time. Executive shall not be eligible for
or entitled to any severance payments or benefits pursuant to a severance plan,
program, arrangement, practice or policy of the Company, if any, that may be in
effect as of the Termination Date, including without limitation any other
agreement that Executive may have with the Company regarding the subject matter
hereof.

         5.       Effect of Involuntary Termination Upon a Change in Control or
Resignation for Good Reason Upon a Change in Control. In the event of an
Involuntary Termination Upon a Change in Control or a Resignation for Good
Reason Upon a Change in Control during the Term, Executive shall be entitled to
the following:

                  a.       "Change in Control Benefits" as follows, subject to
Section 8 hereof:

                           (i)      Payment of an amount equal to 100% (i.e., 12
months) of the Executive's base salary, at the highest annualized rate in effect
during the period between the date immediately prior to the effective date of a
Change in Control and the Termination Date, payable in accordance with Section
5.a(v) below;

                           (ii)     Payment of an amount equal to 50% of the
highest amount of Executive's Incentive Pay Eligibility with respect to any one
calendar year in the period beginning in the calendar year prior to that in
which the Change in Control occurs and ending in the calendar year in which
Executive's employment is terminated, payable in accordance with Section 5.a(v)
below; and

                           (iii)    In the event Executive elects after the
Termination Date to continue health, vision and/or dental coverage pursuant to
the Consolidated Omnibus Budget Reconciliation Act of 1985 ("COBRA"), the
Company will pay Executive's monthly premium payments for each such coverage
elected by Executive for Executive and his or her eligible dependents, if
applicable, until the earliest of

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the following dates to occur with respect to each such elected coverage: (A) the
first anniversary of the Termination Date; (B) the date upon which Executive
becomes covered under a comparable group plan for such applicable coverage; or
(C) the date upon which Executive ceases to be eligible for COBRA continuation
for such applicable coverage.

                           (iv)     Any and all unvested stock, stock options,
awards and rights that were granted to Executive under any of the Stock Plans
prior to the Termination Date shall immediately become fully vested and
exercisable as of the Termination Date or, if Executive's employment was
terminated within the three-month period prior to the Announcement Date, as of
the Announcement Date (whichever may apply, the "Vesting Date"). Notwithstanding
any contrary provision of any agreement relating to then outstanding stock,
stock options, awards and rights granted to Executive under any of the Stock
Plans after the Execution Date, all such stock, stock options, awards and rights
granted after the Execution Date may be exercised by Executive (or Executive's
heirs, estate, legatees, executors, administrators, and legal representatives)
at any time during the period ending on the earlier of (A) the later of (i)
three (3) months after the Vesting Date and (ii) if Executive dies within the
three-month period after the Vesting Date, the first anniversary of the date of
Executive's death, and (B) the scheduled expiration of such stock, stock option,
award or right, as the case may be. Executive hereby acknowledges and agrees
that, as a result of the operation of Section 4 and this subsection 5.a(ii),
some or all of the "incentive stock options" (as defined in the Code) granted to
Executive under the Stock Plans may no longer qualify as "incentive stock
options" for U.S. federal income tax purposes, and Executive hereby consents to
any such disqualification.

                           (v)      Each of the payments set forth in
subsections 5.a(i)-(iii) above (the "Cash Severance Benefits") shall be payable,
at Executive's election, either (x) in a lump sum payment on the Vesting Date or
on any other date designated by Executive; or (y) in equal monthly installments
over the twelve (12) month period following the Vesting Date; provided that the
payments described in Section 5.a(iii) hereof shall be paid on a monthly basis.

                  b.       Executive shall also be entitled to any unpaid
compensation and benefits, and unused vacation accrued, through the Termination
Date. Executive shall also be entitled to receive reimbursement for final
expenses that Executive reasonably and necessarily incurred on behalf of the
Company prior to the Termination Date, provided that Executive submits expense
reports and supporting documentation of such expenses as required by the
practice or policy in effect at that time. Executive shall not be eligible for
or entitled to any severance payments or benefits pursuant to a severance plan,
program, arrangement, practice or policy of any member of the Company, if any,
that may be in effect as of the Termination Date, including without limitation
any other agreement, entered into prior to the date hereof, that Executive may
have with the Company regarding the subject matter hereof.

         6.       Effect of a Change in Control. If a Change in Control occurs
during the Term, then 25% of all stock, options, awards and purchase rights
granted to Executive under the Phase Forward Incorporated 2004 Stock Option and
Incentive Plan prior to such Change in Control shall immediately become fully
vested and exercisable as of the effective date of a Change in Control. The 25%
specified in the previous sentence is in addition to any stock, options, awards
and purchase rights granted to Executive under any plan that were already
vested and exercisable as of the effective date of the Change in Control.

         7.       Liquidated Damages. The parties hereto expressly agree that
provision of the Severance Benefits or Change in Control Benefits to Executive
in accordance with the terms of this Agreement will be liquidated damages, and
that Executive shall not be required to mitigate the amount of any payments
provided for in this Agreement by seeking other employment or otherwise, nor
shall any profits, income, earnings or other benefits from any source whatsoever
create any mitigation, offset, reduction or any other obligation on the part of
Executive hereunder or otherwise.

         8.       Conditions of Severance Benefits and Change in Control
Benefits. Executive shall receive Severance Benefits and/or Change in Control
Benefits only if Executive: (a) executes a separation agreement, which includes
a general mutual release, in a form and of a scope reasonably acceptable to the
parties hereto; (b) returns all property, equipment, confidential information
and documentation of the Company; (c) has complied and continues to comply in
all material respects with any noncompetition, inventions and/or nondisclosure
obligations that Executive may owe to the Company, whether pursuant to an
agreement or applicable law; and (d) provides a signed, written resignation of
Executive's status as an officer, including, without limitation, an Executive
Officer, and

                                     6 of 8

<PAGE>

director (if applicable) of the Company and, if applicable, its subsidiaries. In
the event that Executive has breached any obligations described in Section 8(c),
then (x) the Cash Severance Benefits shall terminate and Executive shall no
longer be entitled to them; (y) Executive shall promptly repay to the Company
any Cash Severance Benefits previously received by Executive; and (z) all
options, awards and purchase rights held by Executive shall no longer be
exercisable as of the date of Executive's breach. Such termination and repayment
of Cash Severance Benefits and cessation of the right to exercise shall be in
addition to, and not in lieu of, any and all available legal and equitable
remedies, including injunctive relief.

         9.       Taxes. All payments and benefits described in this Agreement
shall be subject to any and all applicable federal, state, local and foreign
withholding, payroll, income and other taxes.

         10.      Certain Reduction of Payments. If (a)(i) the Severance
Benefits, (ii) the Change in Control Benefits, (iii) the benefits received under
Section 6 hereof and/or (iv) any payment or benefit received or to be received
by Executive pursuant to any other plan, arrangement or agreement (collectively,
the "Total Payments") would constitute (in whole or in part) an "excess
parachute payment" within the meaning of Section 280G(b) of the Code, and (b)
Executive would retain more of the Total Payments (after the payment of
applicable tax liabilities imposed on the Total Payments) in the event that the
Cap (defined below) is imposed, then the amount of the Total Payments shall be
reduced until the aggregate "present value" (as that term is defined in Section
280G(d)(4) of the Code using the applicable federal rate in effect on the date
of this Agreement) of the Total Payments is such that no part of the Total
Payments constitutes an "excess parachute payment" within the meaning of Section
280G(b) of the Code (the "Cap").

         11.       Exclusive Remedy. Except as expressly set forth herein or
otherwise required by law, Executive shall not be entitled to any compensation,
benefits, or other payments as a result of or in connection with the termination
or resignation of Executive's employment at any time, for any reason. The
payments and benefits set forth in Section 4, 5 and 6 hereof shall constitute
liquidated damages and shall be Executive's sole and exclusive remedy for any
claims, causes of action or demands arising under or in connection with this
Agreement or its alleged breach, the termination or resignation of Executive's
employment relationship, or the cessation of holding an Executive Office.

         12.      Governing Law/Forum. The parties agree that any claims arising
out of or in connection with this Agreement shall be governed by and construed
in accordance with the laws of The Commonwealth of Massachusetts, and this
Agreement shall in all respects be interpreted, enforced and governed under the
internal and domestic laws of such State, without giving effect to the
principles of conflicts of laws thereof. In addition, each of the parties, by
its or his execution hereof, hereby irrevocably submits to the exclusive
jurisdiction of the state or federal courts of Massachusetts with respect to any
claims arising out of or in connection with this Agreement and agrees not to
commence any such claims or actions other than in such courts. The prevailing
party in any action arising out of or in connection with this Agreement shall be
entitled to payment, by the other party, of the prevailing party's reasonable
expenses and attorneys' fees incurred in connection with such action.

         13.      Entire Agreement. This Agreement shall constitute the sole and
entire agreement among the parties with respect to the subject matter hereof,
and supersedes and cancels all prior, concurrent and/or contemporaneous
arrangements, understandings, promises, programs, policies, plans, practices,
offers, agreements and/or discussions, whether written or oral, by or among the
parties regarding the subject matter hereof, including, but not limited to,
those constituting or concerning employment agreements, change in control
benefits and/or severance benefits; provided, however, that this Agreement is
not intended to, and shall not, supersede, affect, limit, modify or terminate
any of the following, all of which shall remain in full force and effect in
accordance with their respective terms: (i) any written agreements, programs,
policies, plans, arrangements or practices of the Company that do not relate to
the subject matter hereof; (ii) any written stock or stock option agreements
between Executive and the

                                     7 of 8

<PAGE>

Company (except as expressly modified hereby); and (iii) any written agreements
between Executive and the Company concerning noncompetition, nonsolicitation,
inventions and/or nondisclosure obligations.

         14.      Successors and Assignment. Executive may not assign any rights
or delegate any duties or obligations under this Agreement. The Company will
require its respective assigns and Successors to expressly assume this Agreement
and to agree to perform hereunder in the same manner and to the same extent that
the Company would be required to perform if no such succession or assignment had
taken place. Regardless of whether such an agreement is executed, this Agreement
shall inure to the benefit of, and be binding upon, the Company's Successors and
assigns and Executive's heirs, estate, legatees, executors, administrators, and
legal representatives.

         15.      Notices. All notices required hereunder shall be in writing
and shall be delivered in person, by facsimile or by certified or registered
mail (or similar means for non-U.S. addresses), return receipt requested, and
shall be effective upon receipt if by personal delivery or facsimile or three
(3) business days after mailing if sent by certified or registered mail (or
similar means for non-U.S. addresses). All notices shall be addressed as
specified on the first page of this Agreement or to such other address as the
parties may later provide in writing.

         16.      Severability/Reformation. If any provision of this Agreement
or the application of any provision hereof to any person or circumstances is
held invalid, unenforceable or otherwise illegal, the remainder of this
Agreement and the application of such provision to any other person or
circumstances shall not be affected, and the provision so held to be invalid,
unenforceable or otherwise illegal shall be reformed to the extent (and only to
the extent) necessary to make it enforceable, valid and legal. The language of
all parts of this Agreement shall in all cases be construed as a whole according
to its fair meaning and not strictly for or against any of the parties.

         17.      Modification. This Agreement may be modified or waived only in
accordance with this Section 17. No waiver by any party of any breach by the
other or any provision hereof shall be deemed to be a waiver of any later or
other breach thereof or as a waiver of any other provision of this Agreement.
This Agreement and its terms may not be waived, changed, discharged or
terminated orally or by any course of dealing between or among the parties, but
only by a written instrument signed by the party against whom any waiver,
change, discharge or termination is sought. No modification or waiver by the
Company is effective without written consent of the Chairman of the Board of the
Company.

         18.      Survival of Obligations and Rights. Notwithstanding anything
to the contrary in this Agreement, provisions herein shall survive the
termination of Executive's employment by the Company prior to a Change in
Control, or due to an Involuntary Termination Upon a Change in Control or a
Resignation for Good Reason Upon a Change in Control or, other expiration or
termination of this Agreement, if so provided herein or if necessary or
desirable to fully accomplish the purposes of such provisions, including the
obligations and rights contained in Sections 4 through 20 hereof.

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

         20.      Section Headings. The descriptive section headings herein have
been inserted for convenience only and shall not be deemed to define, limit, or
otherwise affect the construction of any provision hereof.

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