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                                                                   EXHIBIT 10.17

                                OPTION AGREEMENT

     THIS AGREEMENT is made effective as of August 8, 1996 by and between
Stephen Verchick (hereinafter referred to as "Optionee"), and Decora Industries,
Inc., a Delaware corporation (hereinafter referred to as "Optionor").

                                    RECITALS:

     WHEREAS, Optionee has performed numerous valuable services to the Optionor,
including serving as a director.

     WHEREAS, to compensate Optionee for his services to Optionor, Optionor
desires to grant to Optionee and Optionee is desirous of acquiring an option to
purchase shares of the common stock of Optionor, subject to the terms and
conditions hereinafter set forth;

     NOW, THEREFORE, the parties hereby agree as follows:

     1. Incorporation of Recitals. The parties hereby incorporate by this
reference the recitals set forth above.

     2. Grant of Option. Subject to the terms and conditions hereinafter set
forth, Optionor hereby gives and grants to Optionee the right and option to
purchase theretofore authorized but unissued common shares of Optionor at such
time and for the purchase price specified below.

          A. From August 8, 1996, and up until and including August 7, 2001,
Optionee shall have the right and option to purchase, at $1.15 per share, and
Optionor shall have the obligation to issue to Optionee, 100,000 shares of the
authorized but unissued common shares of Optionor. Options shall vest if at any
time during the option period the average closing stock price is $2.00 per
share.

     3. Exercise of Option. Optionee may exercise any option granted hereunder
by notifying Optionor in writing of its intention to exercise such option. A
closing date shall then be agreed to in good faith no later than 30 days after
the notice, at which time Optionee shall pay the purchase price of the Shares
being purchased, and Optionor shall deliver to Optionee the certificates for
shares duly endorsed. Optionee may purchase all or any part of the Shares
subject to options granted hereby.

     4. Representations. Optionor represents and warrants to Optionee that
Optionee, upon proper exercise, shall receive good and marketable title to the
shares of Optionor underlying the options being granted hereby, free of all
pledges, liens and encumbrances, except as stated in paragraph 5.

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     5. Representations and Warranties of Optionee. Optionee hereby represents
and warrants that:

          A.   The options granted hereby and the Shares which will be purchased
               by and delivered to Optionee upon exercise of such options are
               being acquired by Optionee for his own account and not with a
               view to resale or other disposition thereof.

          B.   Optionee will not sell, transfer, or make any other disposition
               of any option or the shares to be purchased and delivered to
               Optionee hereunder upon the exercise of such option unless and
               until (a) such option or shares, as applicable, are included in a
               registration statement or a post-effective amendment under the
               Securities Act which has been filed by the Optionor and declared
               effective by the Securities and Exchange Commission (the "SEC"),
               or (b) in the opinion of counsel for the Optionor, no such
               registration statement or post-effective amendment is required,
               or (c) the SEC has first issued a "no action" letter regarding
               any such proposed disposition of any option or the shares.

     6. Federal and State Securities Law Requirements. The obligation of the
Optionor to deliver and transfer the shares to the Optionee upon any exercise of
any option shall be subject to the following:

          A.   Optionor may require Optionee, as an additional condition of its
               obligation to deliver the shares upon exercise of any option
               hereunder, to make any representations and warranties (including
               without limit those set forth in Paragraph 5 hereof) with respect
               to the shares as may, in the opinion of counsel to Optionor, be
               required to ensure compliance with the Securities Act, the
               securities laws of any state, or any other applicable law,
               regulation, or rule of any governmental agency.

          B.   Each certificate representing the shares issued pursuant to this
               Agreement shall bear whatever legends are required by federal or
               state law or by any governmental agency. In particular, unless an
               appropriate registration statement is filed pursuant to the
               Securities Act with respect to the shares, each certificate
               representing such shares shall be endorsed on its face with the
               following legend or its equivalent:

               THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
               REGISTERED UNDER THE SECURITIES ACT OF 1933. THE SECURITIES MAY
               BE SOLD OR TRANSFERRED ONLY IF THEY HAVE BEEN REGISTERED UNDER
               SAID ACT OR THERE EXISTS AN EXEMPTION FROM REGISTRATION UNDER
               SAID ACT OR THE RULES AND REGULATIONS THEREUNDER EVIDENCED BY A
               NO-ACTION LETTER OR AN OPINION OF COUNSEL TO THE ISSUER OR TO THE
               HOLDER HEREOF REASONABLY SATISFACTORY TO THE ISSUER.

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     7. Restrictions. Optionee:

          A.   Shall not be entitled to any type of dividend declared by
               Optionor, unless and until an option is exercised; and

          B.   Shall not be entitled to any voting rights by virtue of an
               option; and

          C.   Acknowledges that the options granted hereby are personal to
               Optionee and that Optionee may not sell, assign, transfer or
               otherwise dispose of such options to any other person.

     8. Anti-Dilution. If prior to the exercise of any option granted hereunder
Optionor shall have effected one or more stock split-ups, stock dividends, or
other increases or reductions of the number of Shares of its common stock
outstanding without receiving compensation therefor in money, services or
property, the number of Shares of common stock subject to the options hereby
granted shall (a) if a net increase shall have been effected in the number of
outstanding shares of Optionor's common stock, be proportionately increased and
the cash consideration payable per Share shall be proportionately reduced; and
(b) if a net reduction shall have been effected in the number of outstanding
Shares of Optionor's common stock, be proportionately reduced and the cash
consideration payable per Share be proportionately increased.

     9. Piggyback Registration Rights.

          A.   The Optionor will permit any option shares subject to this
               agreement to be included, at the request of the Optionee in any
               registration of securities of the Optionor (other than shares of
               Common Stock pursuant to the Optionor's stock option plan or
               stock purchase plan) under a registration statement filed by the
               Optionor under the Securities Act. The Optionor shall provide
               written notice to the Optionee at least 30 days prior to the
               filing of any such registration statement sent by registered mail
               to the address of record of the Optionee. If Optionee shall
               deliver a written request to the Optionor within ten (10)
               business days after the mailing of such notice, setting forth the
               number of securities which he intends to sell in the public
               offering (the "Registered Securities"), and requesting inclusion
               of such Registered Securities therein, the Optionor agrees to
               include the Registered Securities in such registration statement
               and related underwriting agreements (if any) or if the Optionor
               eligible to use Form S-3 permit Optionee to utilize a selling
               shareholders Registration Statement on Form S-3. Notwithstanding
               the above, the Optionee may only have option shares subject to
               this agreement so registered one time.

          B.   The parties hereto agree that if the offering is underwritten,
               the Registered Securities shall be for purposes of the preceding
               sentence underwritten by the same underwriter or underwriters on

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               terms no less favorable than those applicable to the shares
               offered by the Optionor or other stockholders pursuant to such
               registration statement, and agree, at the request of the Optionor
               or such other stockholders, to join with the Optionor or such
               other stockholders in executing appropriate underwriting
               agreements with such underwriter or underwriters and to execute
               appropriate powers of attorney and custodian agreements in forms
               acceptable to the underwriter or underwriters, which agreements
               shall not place any restrictions upon the sale or transfer of the
               Registered Securities not otherwise placed on all other
               shareholders whose shares are registered in such registration
               statement. Optionee agrees that if, in spite of the best efforts
               of the Optionor (which the Optionor agrees to use), the inclusion
               of all of the Registered Securities which he may desire to
               include in any such registration statement shall not be
               acceptable to the managing underwriter or underwriters of the
               offering (acting reasonably and in good faith), some or all of
               his Registered Securities may be excluded or withdrawn from such
               registration statement in accordance with the following
               provision: Optionee shall have the right to include in such
               registration statement such number (but only such number) of
               shares, as applicable, as shall bear the same relationship to the
               total number of Units, Warrants, or shares, as applicable, which
               the managing underwriter or underwriters will permit to be
               included in such registration statement by all holders of
               securities who wish to register securities in such registration
               statement.

          C.   Optionor shall pay all expenses associated with filing and
               causing to become effective any registration statement and with
               maintaining its effectiveness excepting only (i) the underwriting
               discounts and commissions incurred directly on the sale of any of
               Optionee's Registered Securities included therein, and (ii) legal
               expense individually incurred by Optionee, said discounts,
               commissions and legal expenses with respect to the sale of
               Optionee's shares to be borne by Optionee.

     10. Notice and Opportunity to Cure Default. In the event of a perceived
default of the provisions of this agreement, Optionor agrees to provide Optionee
and his counsel written notice of any default and Optionor shall have 10 days
from receipt of said notice to cure the stated default.

     11. Agreement to Perform Necessary Acts. The parties hereto agree to
cooperate fully with one another in executing all documents, certificates,
notices, filings and the like and performing all acts reasonably necessary to
carry out the intent of this agreement.

     12. Assignment and Transfer. No option granted hereby may be assigned by
Optionee without the prior written consent of Optionor.

     13. Amendments. This agreement may not be modified, amended or changed
except by an instrument in writing signed by the parties hereto.

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     14. Litigation and Attorneys' Fees. In the event of any litigation between
the parties to in connection with this Agreement or to enforce any provision or
right hereunder, the unsuccessful party to such litigation shall pay to the
successful party therein by such successful party, which costs, expenses and
attorneys' fees shall be included as a part of any judgment rendered in such
action in addition to any other relief to which the successful party may be
entitled.

     IN WITNESS WHEREOF, the parties have executed this Option Agreement as of
the day and year first above written.

OPTIONOR                                             OPTIONEE
Decora Industries, Inc.

By: /s/ Timothy Burditt
   ----------------------------

Its: Secretary and EVP                               /s/ Stephen Verchick
    ---------------------------                      ------------------------
                                                     STEPHEN VERCHICK

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                                                                   EXHIBIT 10.18

                       AMENDMENT NO. 1 TO OPTION AGREEMENT

        This Amendment No. 1 to Option Agreement, dated as of August 8, 1996, is
entered into by and between Decora Industries, Inc., a Delaware corporation
("Optionor"), and Nathan Hevrony ("Optionee").

                                 R E C I T A L S

        A. Optionor has entered into an option agreements dated August 15, 1994
(the "Option Agreement"), a copy of which is attached hereto as Exhibit A and
incorporated by reference.

        B. Optionor now desires to amend the Option Agreement in consideration
of the Optionee's accomplishments on behalf of Optionor during the fiscal year
ended March 31, 1996.

        NOW, THEREFORE, the parties hereto agree as follows:

        Section 2.A of the Option Agreement is hereby amended to read as
follows:

        A. From the date hereof to August 14, 1998, Optionee shall have the
        right and option to purchase, at $1.50 per share, and Optionor shall
        have the obligation to issue to Optionee, 400,000 shares of the
        Optionor's common stock and shall vest as follows: 150,000 such options
        shall vest if at any time during the option period the average closing
        Stock price is $2.00 per share or greater for 30 consecutive days,
        250,000 shall vest if at anytime during the option period the average
        closing Stock price is $3.00 per share or greater for 30 consecutive
        days until May 31, 1998;

        IN WITNESS WHEREOF, the parties have executed this Amendment No. 1 to
Option Agreement as of the date first written above.

OPTIONOR                                     OPTIONEE

DECORA INDUSTRIES, INC.                      NATHAN HEVRONY
a Delaware corporation

By: /s/ [Signature Illegible]                /s/ NATHAN HEVRONY
   --------------------------------          -----------------------------------
Its: Secretary & EVP
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