Document:

<PAGE>   1
                                                                   EXHIBIT 10.7

                        BINDVIEW DEVELOPMENT CORPORATION

                          2000 INDIAN STOCK OPTION PLAN

                        (AS AMENDED THROUGH JUNE 30, 2000

         1. PURPOSES OF THE PLAN. The purposes of this 2000 Indian Stock Option
Plan are to attract and retain the best available personnel for positions of
substantial responsibility, to provide additional incentive to Service Providers
and to promote the success of the Company's business.

         2. DEFINITIONS. As used herein, the following definitions shall apply:

                  (a) "ADMINISTRATOR"  means the Board or any of its Committees
as shall be administering the Plan, in accordance with Section 4 hereof.

                  (b) "AFFILIATE" means any parent corporation and any
subsidiary corporation. The term "parent corporation" means any corporation
(other than the Company) in an unbroken chain of corporations ending with the
Company if, at the time of the action or transaction, each of the corporations
other than the Company owns stock possessing 50% or more of the total combined
voting power of all classes of stock in one of the other corporations in the
chain. The term "subsidiary corporation" means any corporation (other than the
Company) in an unbroken chain of corporations beginning with the Company if, at
the time of the action or transaction, each of the corporations other than the
last corporation in the unbroken chain owns stock possessing 50% or more of the
total combined voting power of all classes of stock in one of the other
corporations in the chain.

                  (c) "APPLICABLE LAWS" means the requirements relating to the
administration of stock option plans under U.S. state corporate laws, U.S.
federal and state securities laws, the Code, any stock exchange or quotation
system on which the Common Stock is listed or quoted and the laws of any foreign
country or jurisdiction that are applicable to Options that are granted under
the Plan, including but not limited to, the laws, rules and regulations
governing corporations, securities, currency exchange and investments in such
country or jurisdiction.

                  (d) "BOARD" means the Board of Directors of the Company.

                  (e) "CODE" means the United States Internal Revenue Code of
1986, as amended.

                  (f) "COMMITTEE" means a committee of Directors appointed by
the Board in accordance with Section 4 hereof.

                  (g) "COMMON STOCK" means the Common Stock of the Company.

                  (h) "COMPANY" means BindView Development Corporation, a Texas
corporation.

                                                                          Page 1
<PAGE>   2

                  (i) "CONSULTANT" means any person who is engaged by the
Company or any Parent or Subsidiary to render consulting or advisory services to
such entity.

                  (j) "DIRECTOR" means a member of the Board of Directors of the
Company or any Parent or Subsidiary.

                  (k) "EMPLOYEE" means any person, including Officers and
Directors, employed by the Company or any Parent or Subsidiary. A Service
Provider shall not cease to be an Employee in the case of (i) any leave of
absence approved by the Company or (ii) transfers between locations of the
Company or between the Company, its Parent, any Subsidiary, or any successor.
Neither service as a Director nor payment of a director's fee by the Company or
any Parent or Subsidiary shall be sufficient to constitute "employment" by the
Company or any Parent or Subsidiary.

                  (l) "FAIR MARKET VALUE" of the Common Stock as of any date
means (a) the closing sale price of the Common Stock on that date on the
principal securities exchange on which the Common Stock is listed; or (b) if the
Common Stock is not listed on a securities exchange, the closing sale price of
the Common Stock on that date as reported on the NASDAQ National Market System;
or (c) if the Common Stock is not listed on the NASDAQ National Market System,
the closing bid quotation for the Common Stock on that date as reported by the
National Quotation Bureau Incorporated; or (d) if none of the foregoing is
applicable, an amount at the election of the Committee equal to (x), the average
between the closing bid and ask prices per share of Common Stock on the last
preceding date on which those prices were reported or (y) that amount as
determined by the Committee.

                  (m) "MATURE SHARES" means Shares of Common Stock that have
been legally and beneficially owned by the Optionee for at least six months.

                  (n) "OPTION" means a stock option covering Common Stock
granted pursuant to the Plan.

                  (o) "OPTION AGREEMENT" means a written agreement between the
Company and an Optionee evidencing the terms and conditions of an individual
Option grant. The Option Agreement is subject to the terms and conditions of the
Plan.

                  (p) "OPTION EXCHANGE PROGRAM" means a program whereby
outstanding Options are exchanged for Options with a lower exercise price.

                  (q) "OPTIONED STOCK" means the Common Stock subject to an
Option.

                  (r) "OPTIONEE" means the holder of an outstanding Option
granted under the Plan.

                  (s) "PARENT" means a parent corporation, whether now or
hereafter existing, of the Company.

                  (t) "PLAN" means this 2000 Indian Stock Option Plan.

                                                                          Page 2
<PAGE>   3

                  (u) "SERVICE PROVIDER" means an Employee, Director or
Consultant.

                  (v) "SHARE" means a share of Common Stock, as adjusted in
accordance with Section 11 below.

                  (w) "SUBSIDIARY" means a subsidiary corporation, whether now
or hereafter existing, of the Company.

         3. STOCK SUBJECT TO THE PLAN. Subject to adjustment under the
provisions of Section 11 of the Plan, the maximum aggregate number of Shares
which may be subject to option and sold under the Plan is 300,000. The Shares
may be authorized, but unissued, or reacquired Common Stock. The number of
shares stated in this Section 3 shall be subject to adjustment in accordance
with the provisions of Section 11.

                  If an Option expires or becomes unexercisable without having
been exercised in full, or is surrendered pursuant to an Option Exchange
Program, the unpurchased Shares which were subject thereto shall become
available for future grant or sale under the Plan (unless the Plan has
terminated); PROVIDED, however, that Shares that have actually been issued under
the Plan shall not be returned to the Plan and shall not become available for
future distribution under the Plan. If Common Stock is used by the Service
Provider pursuant to Section 8(b) to pay the exercise price of an Option, only
the net number of Shares of Common Stock issued by the Company shall be shall be
considered utilized under the Plan. If Shares of Common Stock are withheld by
the Company to pay tax withholding due from the Employee, the number of such
Shares withheld shall not be considered utilized under the Plan.

         4. ADMINISTRATION OF THE PLAN.

                  (a) PROCEDURE. The Plan shall be administered by the Board or
a Committee appointed by the Board, which Committee shall be constituted to
comply with Applicable Laws.

                  (b) POWERS OF THE ADMINISTRATOR. Subject to the provisions of
the Plan and, in the case of a Committee, the specific duties delegated by the
Board to such Committee, and subject to the approval of any relevant
authorities, the Administrator shall have the authority, in its discretion, to:

                           (i) determine the Fair Market Value;

                           (ii) select the Service Providers to whom Options may
from time to time be granted hereunder;

                           (iii) determine the number of Shares to be covered by
each such award granted hereunder;

                           (iv) approve forms of agreement for use under the
Plan;

                           (v) determine the terms and conditions of any Option
granted hereunder;

                                                                          Page 3
<PAGE>   4
                           (vi) determine whether and under what circumstances
an Option may be settled in cash under subsection 9(e) instead of Common Stock;

                           (vii) reduce the exercise price of any Option to the
then current Fair Market Value, if the Fair Market Value has declined since the
date the Option was granted;

                           (viii) institute an Option Exchange Program;

                           (ix) prescribe, amend and rescind rules and
regulations relating to the Plan, including rules and regulations relating to
sub-plans established for the purpose of qualifying for preferred tax treatment
under foreign tax laws; and

                           (x) construe and interpret the terms of the Plan and
awards granted pursuant to the Plan.

                  (c) EFFECT OF ADMINISTRATOR'S DECISION. The actions of the
Administrator in exercising all the rights, powers, and authorities set out in
this Section and all other Sections of the Plan, when performed in good faith
and in its sole judgment, shall be final, conclusive and binding on all parties.

         5. ELIGIBILITY.

                  (a) Options may be granted to Service Providers.

                  (b) The Plan shall not confer upon any Optionee any right with
respect to continuing the Optionee's relationship as a Service Provider with the
Company or any Parent or Subsidiary, nor shall it interfere in any way with his
or her right or the Company's right to terminate such relationship at any time,
with or without cause.

         6. TERM OF PLAN. The Plan shall become effective upon its adoption by
the Board. It shall continue in effect for a term of ten (10) years unless
sooner terminated under Section 13 of the Plan.

         7. TERM OF OPTION. The term of each Option shall be stated in the
Option Agreement.

         8. OPTION EXERCISE PRICE AND CONSIDERATION.

                  (a) The per share exercise price for the Shares to be issued
pursuant to exercise of an Option shall be such price as is determined by the
Administrator at the time the Option is granted.

                  (b) The consideration for the Shares to be issued upon
exercise of an Option shall be (i) cash, certified check, bank draft, or postal
or express money order payable to the order of the Company for an amount equal
to the Option price of the Shares, (ii) Mature Shares at their Fair Market Value
on the date of exercise, (iii) payment to the Company, through a broker-assisted
exercise that is approved by the Committee, for an amount equal to the option
price of the shares and the Company's minimum tax withholding obligation, if
any, (iv) any combination of (i), (ii), or (iii) and/or (v) any other

                                                                          Page 4
<PAGE>   5

form of payment which is acceptable to the Committee; provided, however, that
the consideration for the Shares to be issued upon exercise of any Option
granted hereunder shall be permitted under this Section 8(b) only to the extent
permitted under Applicable Laws, including without limitation foreign exchange
regulations.

                  If Mature Shares are used in payment, the aggregate Fair
Market Value of the Mature Shares tendered must be equal to or less than the
aggregate exercise price of the Shares being purchased upon exercise of the
Option, and any difference must be paid by cash, certified check, bank draft, or
postal or express money order payable to the order of the Company. Delivery of
the Shares shall be deemed effected for all purposes when a stock transfer agent
of the Company shall have deposited the certificates in the United States mail,
addressed to the Optionee, at the address specified by the Optionee.

                  Whenever an Option is exercised by exchanging Mature Shares
owned by the Optionee, the Optionee shall deliver to the Company certificates
registered in the name of the Optionee representing a number of Mature Shares
legally and beneficially owned by the Optionee, free of all liens, claims, and
encumbrances of every kind, accompanied by stock powers duly endorsed in blank
by the record holder of the Mature Shares represented by the certificates (with
signature guaranteed by a commercial bank or trust company or by a brokerage
firm having a membership on a registered national stock exchange). The delivery
of certificates upon the exercise of Options is subject to the condition that
the person exercising the Option provide the Company with the information the
Company might reasonably request pertaining to exercise, sale or other
disposition. The Board may provide that a legend or restriction be printed on
the certificate as the Board determines is necessary, in its discretion, to
comply with Applicable Laws.

                  Notwithstanding the foregoing, an Optionee may elect, subject
to the approval of the Committee, to satisfy any required income tax withholding
obligation, in whole or in part, by having the Company withhold whole Shares of
Common Stock, which otherwise would be issued on exercise, having a Fair Market
Value not in excess of the amount of the Company's minimum tax withholding
obligation.

                  Notwithstanding any other provision of the Plan, the Committee
shall have the authority to cause an Optionee to utilize a different method of
exercise if the method selected by the Optionee could result in adverse
accounting treatment for the Company.

         9. EXERCISE OF OPTION.

                  (a) PROCEDURE FOR EXERCISE; RIGHTS AS A SHAREHOLDER. Any
Option granted hereunder shall be exercisable according to the terms of the Plan
and at such times and under such conditions as determined by the Administrator
and set forth in the Option Agreement. An Option may not be exercised for a
fraction of a Share.

                      An Option shall be deemed exercised when the Company
receives written notice of exercise (in accordance with the Option Agreement)
from the person entitled to exercise the Option. Shares issued upon exercise of
an Option shall be issued in the name of the Optionee or, if requested by the
Optionee, in the name of the Optionee and his or her spouse. Until the Shares
are issued (as

                                                                          Page 5
<PAGE>   6

evidenced by the appropriate entry on the books of the Company or of a duly
authorized transfer agent of the Company), no right to vote or receive dividends
or any other rights as a shareholder shall exist with respect to the Shares,
notwithstanding the exercise of the Option. The Company shall issue (or cause to
be issued) such Shares promptly after the Option is exercised. No adjustment
will be made for a dividend or other right for which the record date is prior to
the date the Shares are issued, except as provided in Section 11 of the Plan.

                      Exercise of an Option in any manner shall result in a
decrease in the number of Shares thereafter available, both for purposes of the
Plan and for sale under the Option, by the number of Shares as to which the
Option is exercised.

                  (b) TERMINATION OF RELATIONSHIP AS A SERVICE PROVIDER. If an
Optionee ceases to be a Service Provider, other than upon the Optionee's death
or disability, the Optionee may exercise his or her Option within such period of
time (of at least thirty (30) days) as is specified in the Option Agreement to
the extent that the Option is vested on the date of termination (but in no event
later than the expiration of the term of such Option as set forth in the Option
Agreement). In the absence of a specified time in the Option Agreement, the
Option shall remain exercisable for three (3) months following the Optionee's
termination. If, on the date of termination, the Optionee is not vested as to
his or her entire Option, the Shares covered by the unvested portion of the
Option shall revert to the Plan. If, after termination, the Optionee does not
exercise his or her Option within the time specified by the Administrator, the
Option shall terminate, and the Shares covered by such Option shall revert to
the Plan.

                  (c) DISABILITY OF OPTIONEE. If an Optionee ceases to be a
Service Provider as a result of the Optionee's disability, the Optionee may
exercise his or her Option within such period of time as is specified in the
Option Agreement (of at least six (6) months) to the extent the Option is vested
on the date of disability, but in no event later than the expiration date of the
term of such Option as set forth in the Option Agreement. In the absence of a
specified time in the Option Agreement, the Option shall remain exercisable for
twelve (12) months following the Optionee's disability. If, on the date of
disability, the Optionee is not vested as to the entire Option, the Shares
covered by the unvested portion of the Option shall revert to the Plan. If,
after termination, the Option is not exercised within the time specified herein,
the Option shall terminate, and the Shares covered by such Option shall revert
to the Plan.

                  (d) DEATH OF OPTIONEE. If an Optionee dies while a Service
Provider, the Option may be exercised within such period of time as is specified
in the Option Agreement (of at least six (6) months) to the extent that the
Option is vested on the date of death (but in no event later than the expiration
of the term of such Option as set forth in the Option Agreement) by the
Optionee's estate or by a person who acquires the right to exercise the Option
by bequest or inheritance. In the absence of a specified time in the Option
Agreement, the Option shall remain exercisable for twelve (12) months following
the Optionee's death. If, at the time of death, the Optionee is not vested as to
the entire Option, the Shares covered by the unvested portion of the Option
shall revert to the Plan. If the Option is not so exercised within the time
specified herein, the Option shall terminate, and the Shares covered by such
Option shall revert to the Plan.

                                                                          Page 6
<PAGE>   7
                  (e) BUYOUT PROVISIONS. The Administrator may at any time offer
to buy out for a payment in cash or Shares, an Option previously granted, based
on such terms and conditions as the Administrator shall establish and
communicate to the Optionee at the time that such offer is made.

         10. NON-TRANSFERABILITY OF OPTIONS. Options may not be sold, pledged,
assigned, hypothecated, transferred, or disposed of in any manner other than by
will or by the laws of descent or distribution and may be exercised, during the
lifetime of the Optionee, only by the Optionee. Any attempt to transfer an
Option other than under the terms of the Plan and the Optionee's Option
Agreement shall terminate the Option and all rights of the Optionee to the
Optioned Stock.

         11. ADJUSTMENTS UPON CHANGES IN CAPITALIZATION OR MERGER. The existence
of outstanding Options shall not affect in any way the right or power of the
Company or its stockholders to make or authorize any or all adjustments,
recapitalizations, reorganizations or other changes in the Company's capital
structure or its business, or any merger or consolidation of the Company, or any
issue of bonds, debentures, preferred or prior preference stock ahead of or
affecting the Common Stock or its rights, or the dissolution or liquidation of
the Company, or any sale or transfer of all or any part of its assets or
business, or any other corporate act or proceeding, whether of a similar
character or otherwise.

                  If the Company shall effect a subdivision or consolidation of
Shares or other capital readjustment, the payment of a stock dividend, or other
increase or reduction of the number of Shares of the Common Stock outstanding,
without receiving compensation for it in money, services or property, then (a)
the number, class, and per share price of Shares of Common Stock subject to
outstanding Options under the Plan shall be appropriately adjusted in such a
manner as to entitle an Employee to receive upon exercise of an Option, for the
same aggregate cash consideration, the equivalent total number and class of
shares he would have received had he exercised his Option in full immediately
prior to the event requiring the adjustment; and (b) the number and class of
Shares of Common Stock then reserved to be issued under the Plan shall be
adjusted by substituting for the total number and class of Shares of Common
Stock then reserved, that number and class of Shares of Common Stock that would
have been received by the owner of an equal number of outstanding shares of each
class of Common Stock as the result of the event requiring the adjustment.

                  If while unexercised Options remain outstanding under the Plan
(i) the Company shall not be the surviving entity in any merger, consolidation
or other reorganization (or survives only as a subsidiary of an entity other
than an entity that was wholly-owned by the Company immediately prior to such
merger, consolidation or other reorganization), (ii) the Company sells, leases
or exchanges or agrees to sell, lease or exchange all or substantially all of
its assets to any other person or entity (other than an entity wholly-owned by
the Company), (iii) the Company is to be dissolved, or (iv) the Company is a
party to any other corporate transaction (as defined under section 424(a) of the
Code and applicable Treasury Regulations) that is not described in clauses (i),
(ii) or (iii) of this sentence (each such event is referred to herein as a
"Corporate Change"), then (x) except as otherwise provided in an Option
Agreement or as a result of the Board's effectuation of one or more of the
alternatives described below, there shall be no acceleration of the time at
which any Option then outstanding may be exercised, and (y) no later than ten
(10) days after the approval by the stockholders of the Company of such
Corporate Change, the Board, acting in its sole and absolute discretion without
the consent or approval of any

                                                                          Page 7
<PAGE>   8

Optionee, shall act to effect one or more of the following alternatives, which
may vary among individual Optionees and which may vary among Options held by any
individual Optionee:

                  (1) accelerate the time at which some or all of the Options
         then outstanding may be exercised so that such Options may be exercised
         in full for a limited period of time on or before a specified date
         (before or after such Corporate Change) fixed by the Board, after which
         specified date all such Options that remain unexercised and all rights
         of Optionees thereunder shall terminate,

                  (2) require the mandatory surrender to the Company by all or
         selected Optionees of some or all of the then outstanding Options held
         by such Optionees (irrespective of whether such Options are then
         exercisable under the provisions of the Plan or the Option Agreements
         evidencing such Options) as of a date, before or after such Corporate
         Change, specified by the Board, in which event the Board shall
         thereupon cancel such Options and the Company shall pay to each such
         Optionee an amount of cash per share equal to the excess, if any, of
         the per share price offered to stockholders of the Company in
         connection with such Corporate Change over the exercise price(s) under
         such Options for such Shares,

                  (3) with respect to all or selected Optionees, have some or
         all of their then outstanding Options (whether vested or unvested)
         assumed or have a new Option substituted for some or all of their then
         outstanding Options (whether vested or unvested) by an entity which is
         a party to the transaction resulting in such Corporate Change and which
         is then employing him, or a parent or subsidiary of such entity,
         provided that (A) such assumption or substitution is on a basis where
         the excess of the aggregate Fair Market Value of the Shares subject to
         the Option immediately after the assumption or substitution over the
         aggregate exercise price of such Shares is equal to the excess of the
         aggregate Fair Market Value of all Shares subject to the Option
         immediately before such assumption or substitution over the aggregate
         exercise price of such Shares, and (B) the assumed rights under such
         existing Option or the substituted rights under such new Option as the
         case may be will have the same terms and conditions as the rights under
         the existing Option assumed or substituted for, as the case may be,

                  (4) provide that the number and class of Shares of Common
         Stock covered by an Option (whether vested or unvested) theretofore
         granted shall be adjusted so that such Option when exercised shall
         thereafter cover the number and class of shares of stock or other
         securities or property (including, without limitation, cash) to which
         the Optionee would have been entitled pursuant to the terms of the
         agreement and/or plan relating to such Corporate Change if, immediately
         prior to such Corporate Change, the Optionee had been the holder of
         record of the number of Shares of Common Stock then covered by such
         Option, or

                  (5) make such adjustments to Options then outstanding as the
         Board deems appropriate to reflect such Corporate Change (provided,
         however, that the Board may determine in its sole and absolute
         discretion that no such adjustment is necessary).

                                                                          Page 8
<PAGE>   9
                  In effecting one or more of alternatives (3), (4) or (5)
         above, and except as otherwise may be provided in an Option Agreement,
         the Board, in its sole and absolute discretion and without the consent
         or approval of any Optionee, may accelerate the time at which some or
         all Options then outstanding may be exercised.

                  In the event of changes in the outstanding Common Stock by
reason of recapitalizations, reorganizations, mergers, consolidations,
combinations, exchanges or other relevant changes in capitalization occurring
after the date of the grant of any Option and not otherwise provided for by this
Section 11, any outstanding Options and any agreements evidencing such Options
shall be subject to adjustment by the Board in its sole and absolute discretion
as to the number and price of shares of stock or other consideration subject to
such Options. In the event of any such change in the outstanding Common Stock,
the aggregate number of Shares available under the Plan may be appropriately
adjusted by the Board, whose determination shall be conclusive.

                  The issue by the Company of shares of stock of any class, or
securities convertible into shares of stock of any class, for cash or property,
or for labor or services either upon direct sale or upon the exercise of rights
or warrants to subscribe for them, or upon conversion of shares or obligations
of the Company convertible into shares or other securities, shall not affect,
and no adjustment by reason of such issuance shall be made with respect to, the
number, class, or price of Shares of Common Stock then subject to outstanding
Options.

         12. SUBSTITUTION OPTIONS. Options may be granted under this Plan from
time to time in substitution for stock options held by employees of other
corporations who are about to become employees of or affiliated with the Company
or any Affiliate as the result of a merger or consolidation of the employing
corporation with the Company or any Affiliate, or the acquisition by the Company
or any Affiliate of the assets of the employing corporation, or the acquisition
by the Company or any Affiliate of stock of the employing corporation as the
result of which it becomes an Affiliate of the Company. The terms and conditions
of the substitute Options granted may vary from the terms and conditions set out
in this Plan to the extent the Board, at the time of grant, may deem appropriate
to conform, in whole or in part, to the provisions of the stock options in
substitution for which they are granted.

         13. DATE OF GRANT. The date of grant of an Option shall, for all
purposes, be the date on which the Administrator makes the determination
granting such Option, or such other date as is determined by the Board. Notice
of the determination shall be given to each Service Provider to whom an Option
is so granted within a reasonable time after the date of such grant.

         14. AMENDMENT AND TERMINATION OF THE PLAN.

                  (a) AMENDMENT AND TERMINATION. The Board may at any time
amend, alter, suspend or terminate the Plan.

                  (b) SHAREHOLDER APPROVAL. The Board shall obtain shareholder
approval of any Plan amendment to the extent necessary and desirable to comply
with Applicable Laws.

                                                                          Page 9
<PAGE>   10
                  (c) EFFECT OF AMENDMENT OR TERMINATION. No amendment,
alteration, suspension or termination of the Plan shall impair the rights of any
Optionee, unless mutually agreed otherwise between the Optionee and the
Administrator, which agreement must be in writing and signed by the Optionee and
the Company. Termination of the Plan shall not affect the Administrator's
ability to exercise the powers granted to it hereunder with respect to Options
granted under the Plan prior to the date of such termination.

         15. CONDITIONS UPON ISSUANCE OF SHARES.

                  (a) LEGAL COMPLIANCE. Shares shall not be issued pursuant to
the exercise of an Option unless the exercise of such Option and the issuance
and delivery of such Shares shall comply with Applicable Laws and shall be
further subject to the approval of counsel for the Company with respect to such
compliance. Specifically, in connection with Applicable Laws relating to the
registration of securities, upon exercise of any Option, the Company shall not
be required to issue any Common Stock unless the Committee has received evidence
satisfactory to it to the effect that the holder of that Option will not
transfer the Common Stock, except in accordance with Applicable laws, including
receipt of an opinion of counsel satisfactory to the Company to the effect that
any proposed transfer complies with Applicable Law. The determination by the
Administrator on this matter shall be final, binding and conclusive. The Company
may, but shall in no event be obligated to, register any Common Stock covered by
this Plan pursuant to applicable securities laws of any country or any political
subdivision. In the event the Common Stock issuable on exercise of an Option is
not registered, the Company may imprint on the certificate evidencing the Common
Stock any legend that counsel for the Company considers necessary or advisable
to comply with applicable law. The Company shall not be obligated to take any
other affirmative action in order to cause the exercise of an Option, or the
issuance of Shares under it to comply with Applicable Law.

                  (b) ELECTION UNDER SECTION 83(B) OF THE CODE. No Service
Provider shall exercise the election permitted under section 83(b) of the Code
with respect to any Option under the Plan without written approval of the
Committee. Any Service Provider doing so shall forfeit all Options issued to him
under the Plan.

         16. INABILITY TO OBTAIN AUTHORITY. The inability of the Company to
obtain authority from any regulatory body having jurisdiction, which authority
is deemed by the Company's counsel to be necessary to the lawful issuance and
sale of any Shares hereunder, shall relieve the Company of any liability in
respect of the failure to issue or sell such Shares as to which such requisite
authority shall not have been obtained.

         17. RESERVATION OF SHARES. The Company, during the term of the Plan,
shall at all times reserve and keep available such number of Shares as shall be
sufficient to satisfy the requirements of the Plan.

                                                                         Page 10
<PAGE>   11

         18. MISCELLANEOUS.

                  (a) NO ESTABLISHMENT OF A TRUST FUND. No property shall be set
aside nor shall a trust fund of any kind be established to secure the rights of
any Optionee under the Plan. All Optionees shall at all times rely solely upon
the general credit of the Company for the payment of any benefit which becomes
payable under the Plan.

                  (b) NO EMPLOYMENT OBLIGATION. The granting of any Option shall
not constitute an employment contract, express or implied, nor impose upon the
Company or any Affiliate any obligation to employ or continue to employ any
Optionee. The right of the Company or any Affiliate to terminate the employment
of any person shall not be diminished or affected by reason of the fact that an
Option has been granted to him.

                  (c) FORFEITURE. Notwithstanding any other provisions of the
Plan, if the Board finds by a majority vote after full consideration of the
facts that the Optionee, before or after termination of his employment with the
Company or an Affiliate for any reason (a) committed or engaged in fraud,
embezzlement, theft, commission of a felony, or proven dishonesty in the course
of his employment by the Company or an Affiliate, which conduct damaged the
Company or Affiliate, or disclosed trade secrets of the Company or an Affiliate,
or (b) participated, engaged in or had a material, financial or other interest,
whether as an Optionee, officer, director, consultant, contractor, stockholder,
owner, or otherwise, in any commercial endeavor which is competitive with the
business of the Company or an Affiliate without the written consent of the
Company or Affiliate, the Optionee shall forfeit all outstanding Options,
including all exercised Options and other situations pursuant to which the
Company has not yet delivered a stock certificate. Clause (b) shall not be
deemed to have been violated solely by reason of the Optionee's ownership of
stock or securities of any publicly owned corporation, if that ownership does
not result in effective control of the corporation.

                  The decision of the Board as to the cause of the Optionee's
discharge, the damage done to the Company or an Affiliate, and the extent of the
Optionee's competitive activity shall be final. No decision of the Board,
however, shall affect the finality of the discharge of the Optionee by the
Company or an Affiliate in any manner.

                  (d) WRITTEN AGREEMENT. Each Option shall be embodied in a
written Option Agreement which shall be subject to the terms and conditions of
the Plan and shall be signed by the Optionee and by a member of the Board on
behalf of the Board and the Company or an executive officer of the Company other
than the Optionee on behalf of the Company. The Option Agreement may contain any
other provisions that the Board in its discretion shall deem advisable which are
not inconsistent with the terms of the Plan. The Plan and all shares of stock or
stock equivalents granted pursuant hereto shall be subject to the terms of any
shareholders agreement entered into by the Company concurrent, or prior to, the
grant of any Option hereunder.

                  (e) INDEMNIFICATION OF THE COMMITTEE AND THE BOARD. With
respect to administration of the Plan, the Company shall indemnify each present
and future member of the Committee and the Board against, and each member of the
Committee and the Board shall be entitled without further act on his part to
indemnity from the Company for, all expenses (including attorney's fees, the
amount of judgments and the amount of approved settlements made with a view to
the curtailment of costs of litigation, other than amounts paid to the Company
itself) reasonably incurred by him in connection with

                                                                         Page 11
<PAGE>   12

or arising out of any action, suit, or proceeding in which he may be involved by
reason of his being or having been a member of the Committee and/or the Board,
whether or not he continues to be a member of the Committee and/or the Board at
the time of incurring the expenses -- including, without limitation, matters as
to which he shall be finally adjudged in any action, suit or proceeding to have
been found to have been negligent in the performance of his duty as a member of
the Committee and/or the Board. However, this indemnity shall not include any
expenses incurred by any member of the Committee or Board in respect of matters
as to which he shall be finally adjudged in any action, suit or proceeding to
have been guilty of gross negligence or willful misconduct in the performance of
his duty as a member of the Committee or the Board. In addition, no right of
indemnification under the Plan shall be available to or enforceable by any
member of the Committee or the Board unless, within 60 days after institution of
any action, suit or proceeding, he shall have offered the Company, in writing,
the opportunity to handle and defend same at its own expense. This right of
indemnification shall inure to the benefit of the heirs, executors or
administrators of each member of the Committee or the Board and shall be in
addition to all other rights to which a member of the Committee or the Board may
be entitled as a matter of law, contract, or otherwise.

                  (f) GENDER. If the context requires, words of one gender when
used in the Plan shall include the others and words used in the singular or
plural shall include the other.

                  (g) HEADINGS. Headings are included for convenience of
reference only and do not constitute part of the Plan and shall not be used in
construing the terms of the Plan.

                  (h) OTHER COMPENSATION PLANS. The adoption of the Plan shall
not affect any other stock option, incentive or other compensation or benefit
plans in effect for the Company or any Affiliate, nor shall the Plan preclude
the Company from establishing any other forms of incentive or other compensation
for Optionees of the Company or any Affiliate.

                  (i) OTHER OPTIONS. The grant of an Option shall not confer
upon the Optionee the right to receive any future or other Options under the
Plan, whether or not Options may be granted to similarly situated Optionees, or
the right to receive future Options upon the same terms or conditions as
previously granted.

                                                                         Page 12<PAGE>   1
                                                                   EXHIBIT 10.8

                        BINDVIEW DEVELOPMENT CORPORATION

                          2000 EMPLOYEE INCENTIVE PLAN

                       (AS AMENDED THROUGH JUNE 30, 2000)

<PAGE>   2
                        BINDVIEW DEVELOPMENT CORPORATION
                          2000 EMPLOYEE INCENTIVE PLAN

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                          Section
                                                                          -------
<S>         <C>                                                           <C>
ARTICLE I - PLAN

            Purpose ....................................................    1.1
            Effective Date of Plan .....................................    1.2

ARTICLE II - DEFINITIONS

            Affiliate ..................................................    2.1
            Board of Directors or Board ................................    2.2
            Change of Control 2.3
            Code .......................................................    2.4
            Commission .................................................    2.5
            Committee ..................................................    2.6
            Company ....................................................    2.7
            Employee 2.8
            Exchange Act ...............................................    2.9
            Fair Market Value 2.10
            Mature Shares ..............................................   2.11
            Option .....................................................   2.12
            Option Agreement ...........................................   2.13
            Plan .......................................................   2.14
            Plan Year ..................................................   2.15
            Restricted Stock ...........................................   2.16
            Restricted Stock Agreement2.17
            Restricted Stock Purchase Price ............................   2.18
            Stock ......................................................   2.19
            Stock Award ................................................   2.20
            Voting Stock ...............................................   2.21

ARTICLE III - ELIGIBILITY

ARTICLE IV - GENERAL PROVISIONS RELATING TO OPTIONS AND STOCK AWARDS

            Authority to Grant Options and Stock Awards 4.1
            Dedicated Shares ...........................................    4.2
            Non-Transferability ........................................    4.3
            Requirements of Law ........................................    4.4
            Changes in the Company's Capital Structure .................    4.5
            Election Under Section 83(b) of the Code ...................    4.6
</TABLE>

                                      -i-
<PAGE>   3

<TABLE>
<CAPTION>
                                                                          Section
                                                                          -------
<S>         <C>                                                           <C>
ARTICLE V - OPTIONS

            Option Price ...............................................    5.1
            Duration of Options ........................................    5.2
            Exercise of Options ........................................    5.3
            Exercise on Termination of Employment ......................    5.4
            Substitution Options .......................................    5.5
            No Rights as Stockholder ...................................    5.6

ARTICLE VI - STOCK AWARDS

            Stock Awards ...............................................    6.1
            Restrictions ...............................................    6.2
            Stock Certificate 6.3
            Rights as Stockholder ......................................    6.4
            Lapse of Restrictions ......................................    6.5
            Restriction Period .........................................    6.6

ARTICLE VII - ADMINISTRATION

ARTICLE VIII - AMENDMENT OR TERMINATION OF PLAN

ARTICLE IX - MISCELLANEOUS

            No Establishment of a Trust Fund ...........................    9.1
            No Employment Obligation ...................................    9.2
            Forfeiture .................................................    9.3
            Tax Withholding ............................................    9.4
            Written Agreement 9.5
            Indemnification of the Committee and the
            Board of Directors .........................................    9.6
            Gender .....................................................    9.7
            Headings 9.8
            Other Compensation Plans ...................................    9.9
            Other Options or Awards ....................................   9.10
            Governing Law ..............................................   9.11
            Nonqualified Options .......................................   9.12
</TABLE>

                                      -ii-
<PAGE>   4

                                    ARTICLE I

                                      PLAN

         1.1 Purpose. This Plan is a plan for certain employees of the Company
and its Affiliates and is intended to advance the best interests of the Company,
its Affiliates, and its stockholders by providing those persons with additional
incentives and an opportunity to obtain or increase their proprietary interest
in the Company.

         1.2 Effective Date of Plan. The Plan is effective May 8, 2000.

                                   ARTICLE II

                                   DEFINITIONS

         The words and phrases defined in this Article shall have the meaning
set out in these definitions throughout this Plan, unless the context in which
any such word or phrase appears reasonably requires a broader, narrower, or
different meaning.

         2.1 "Affiliate" means any parent corporation and any subsidiary
corporation. The term "parent corporation" means any corporation (other than the
Company) in an unbroken chain of corporations ending with the Company if, at the
time of the action or transaction, each of the corporations other than the
Company owns stock possessing 50% or more of the total combined voting power of
all classes of stock in one of the other corporations in the chain. The term
"subsidiary corporation" means any corporation (other than the Company) in an
unbroken chain of corporations beginning with the Company if, at the time of the
action or transaction, each of the corporations other than the last corporation
in the unbroken chain owns stock possessing 50% or more of the total combined
voting power of all classes of stock in one of the other corporations in the
chain.

         2.2 "Board of Directors" or "Board" means the board of directors of the
Company.

         2.3 "Change of Control." A "Change in Control" shall have occurred if,
after the Effective Date of the Plan:

                  (i) a report on Schedule 13D or Schedule 14D-1 (or any
         successor schedule, form or report) shall be filed with the Commission
         pursuant to the Exchange Act and that report discloses that any person
         (within the meaning of Section 13(d) or Section 14(d)(2) of the
         Exchange Act), other than the Company (or one of its subsidiaries) or
         any employee benefit plan sponsored by the Company (or one of its
         subsidiaries), is the beneficial owner (as that term is defined in Rule
         13d-3 or any successor rule or regulation promulgated under the
         Exchange Act), directly or indirectly, of 20 percent or more of the
         outstanding Voting Stock;

                                      -1-
<PAGE>   5

                  (ii) any person (within the meaning of Section 13(d) or
         Section 14(d)(2) of the Exchange Act), other than the Company (or one
         of its subsidiaries) or any employee benefit plan sponsored by the
         Company (or one of its subsidiaries), shall purchase securities
         pursuant to a tender offer or exchange offer to acquire any Voting
         Stock (or any securities convertible into Voting Stock) and,
         immediately after consummation of that purchase, that person is the
         beneficial owner (as that term is defined in Rule 13d-3 or any
         successor rule or regulation promulgated under the Exchange Act),
         directly or indirectly, of 20 percent or more of the outstanding Voting
         Stock (such person's beneficial ownership to be determined, in the case
         of rights to acquire Voting Stock, pursuant to paragraph (d) of Rule
         13d-3 or any successor rule or regulation promulgated under the
         Exchange Act);

                  (iii) the consummation of:

                                    (x) a merger, consolidation or
                           reorganization of the Company with or into any other
                           person if (a) the Company is not the surviving entity
                           or (b) as a result of such merger, consolidation or
                           reorganization, 50 percent or less of the combined
                           voting power of the then-outstanding securities of
                           such other person immediately after such merger,
                           consolidation or reorganization are held in the
                           aggregate by the holders of Voting Stock immediately
                           prior to such merger, consolidation or
                           reorganization;

                                    (y) any sale, lease, exchange or other
                           transfer of all or substantially all the assets of
                           the Company and its consolidated subsidiaries to any
                           other person if as a result of such sale, lease,
                           exchange or other transfer, 50 percent or less of the
                           combined voting power of the then-outstanding
                           securities of such other person immediately after
                           such sale, lease, exchange or other transfer are held
                           in the aggregate by the holders of Voting Stock
                           immediately prior to such sale, lease, exchange or
                           other transfer; or

                                    (z) a transaction immediately after the
                           consummation of which any person (within the meaning
                           of Section 13(d) or Section 14(d)(2) of the Exchange
                           Act) would be the beneficial owner (as that term is
                           defined in Rule 13d-3 or any successor rule or
                           regulation promulgated under the Exchange Act),
                           directly or indirectly, of more than 50 percent of
                           the outstanding Voting Stock;

                  (iv) the stockholders of the Company approve the
         dissolution of the Company; or

                  (v) during any period of 12 consecutive months, the
         individuals who at the beginning of that period constituted the Board
         of Directors shall cease to constitute a majority of the Board of
         Directors, unless the election, or the nomination for election by the
         Company's stockholders, of each director of the Company first elected
         during such period

                                      -2-
<PAGE>   6

         was approved by a vote of at least a two-thirds of the directors of
         the Company then still in office who were directors of the Company at
         the beginning of any such period.

         2.4 "Code" means the Internal Revenue Code of 1986, as amended.

         2.5 "Commission" means the United States Securities and Exchange
Commission or any successor agency.

         2.6 "Committee" means the Compensation Committee of the Board of
Directors or such other committee designated by the Board of Directors.

         2.7 "Company" means BindView Development Corporation.

         2.8 "Employee" means a person employed by the Company or any Affiliate
to whom an Option or a Stock Award is granted who is not covered under the terms
or limitations of Section 16b of the Exchange Act or any rules promulgated
thereunder. For purposes of the Plan, the term Employee shall also include any
independent contractors or consultants whose services are utilized by the
Company.

         2.9 "Exchange Act" means the Securities Exchange Act of 1934, as
amended from time.

         2.10 "Fair Market Value" of the Stock as of any date means (a) the
closing sale price of the Stock on that date on the principal securities
exchange on which the Stock is listed; or (b) if the Stock is not listed on a
securities exchange, the closing sale price of the Stock on that date as
reported on the NASDAQ National Market System; or (c) if the Stock is not listed
on the NASDAQ National Market System, the closing bid quotation for the Stock on
that date as reported by the National Quotation Bureau Incorporated; or (d) if
none of the foregoing is applicable, an amount at the election of the Committee
equal to (x), the average between the closing bid and ask prices per share of
stock on the last preceding date on which those prices were reported or (y) that
amount as determined by the Committee.

         2.11 "Mature Shares"means shares of Stock that have been legally and
beneficially owned by the Optionee for at least six months.

         2.12 "Option" means a nonqualified stock option granted under this Plan
to purchase shares of Stock.

         2.13 "Option Agreement" means the written agreement which sets out the
terms of an Option, as amended from time to time.

         2.14 "Plan" means the Bindview Development Corporation 2000 Employee
Incentive Plan, as set out in this document and as it may be amended from time
to time.

         2.15 "Plan Year" means the Company's fiscal year.

                                      -3-
<PAGE>   7
         2.16 "Restricted Stock" means Stock awarded or purchased under a
Restricted Stock Agreement entered into pursuant to this Plan, together with (i)
all rights, warranties or similar items attached or accruing thereto or
represented by the certificate representing the Stock and (ii) any stock or
securities into which or for which the Stock is thereafter converted or
exchanged. The terms and conditions of the Restricted Stock Agreement shall be
determined by the Committee consistent with the terms of the Plan.

         2.17 "Restricted Stock Agreement" means an agreement between the
Company or any Affiliate and the Employee pursuant to which the Employee
receives a Stock Award subject to Article VI.

         2.18 "Restricted Stock Purchase Price" means the purchase price, if
any, per share of Restricted Stock subject to an Award. The Restricted Stock
Purchase Price shall be determined by the Committee. It may be greater than or
less than the Fair Market Value of the Stock on the date of the Stock Award.

         2.19 "Stock" means the common stock of the Company, no par value or, in
the event that the outstanding shares of common stock are later changed into or
exchanged for a different class of stock or securities of the Company or another
corporation, that other stock or security.

         2.20 "Stock Award" means an award of Restricted Stock.

         2.21 "Voting Stock" means shares of the capital stock of the Company
the holders of which are entitled to vote for the election of directors, but
excluding shares entitled to so vote only upon the occurrence of a contingency
unless that contingency shall have occurred.

                                   ARTICLE III

                                   ELIGIBILITY

               The individuals who shall be eligible to receive Options and
Stock Awards shall be those certain employees of the Company or any of its
Affiliates, as the Committee shall determine from time to time, who are not
covered under the terms and limitations of Section 16b of the Exchange Act or
any rules promulgated thereunder. The Board of Directors may designate one or
more individuals who shall not be eligible to receive any Option or Stock Award
under this Plan or under other similar plans of the Company.

                                   ARTICLE IV

             GENERAL PROVISIONS RELATING TO OPTIONS AND STOCK AWARDS

         4.1 Authority to Grant Options and Stock Awards. The Committee may
grant to those key Employees of the Company or any of its Affiliates, as it
shall from time to time determine, Options or Stock Awards under the terms and
conditions of this Plan. Subject only to any applicable

                                      -4-
<PAGE>   8

limitations set out in this Plan, the number of shares of Stock to be covered by
any Option or Stock Award to be granted to an Employee shall be as determined by
the Committee.

         4.2 Dedicated Shares. The total number of shares of Stock with respect
to which Options and Stock Awards may be granted under the Plan shall be 750,000
shares. The shares may be treasury shares or authorized but unissued shares. The
number of shares stated in this Section 4.2 shall be subject to adjustment in
accordance with the provisions of Section 4.5.

                  In the event that any outstanding Option or Stock Award shall
expire or terminate for any reason or any Option or Stock Award is surrendered,
the shares of Stock allocable to the unexercised portion of that Option or Stock
Award may again be subject to an Option or Stock Award under the Plan. If Stock
is used by the Employee pursuant to Section 5.6 of this Plan to pay the exercise
price of an Option, only the net number of shares of Stock issued by the Company
shall be considered utilized under this Plan. If shares of Stock are withheld by
the Company to pay tax withholding due from the Employee, the number of such
shares withheld shall not be considered utilized under this Plan.

         4.3 Non-Transferability. Options shall not be transferable by the
Employee otherwise than by will or under the laws of descent and distribution,
and shall be exercisable, during the Employee's lifetime, only by him.
Restricted Stock shall be purchased by and/or become vested under a Restricted
Stock Agreement during the Employee's lifetime, only by him. Any attempt to
transfer a Stock Award other than under the terms of the Plan and the Restricted
Stock Agreement shall terminate the Stock Award and all rights of the Employee
to that Restricted Stock. Notwithstanding any provision in this Plan to the
contrary, an Employee may transfer any Option to an Immediate Family Member or
an entity controlled by the Employee or an Immediate Family Member, provided,
however, no further transfer shall be made except for a transfer back to such
Employee or such other transfer which may be approved by the President of the
Company. For this purpose "Immediate Family Member" means an Employee's
children, grandchildren or spouse, or a trust for the benefit of such Immediate
Family Members.

         4.4 Requirements of Law. The Company shall not be required to sell or
issue any Stock under any Option or Stock Award if issuing that Stock would
constitute or result in a violation by the Employee or the Company of any
provision of any law, statute, or regulation of any governmental authority.
Specifically, in connection with any applicable statute or regulation relating
to the registration of securities, upon exercise of any Option or pursuant to
any Stock Award, the Company shall not be required to issue any Stock unless the
Committee has received evidence satisfactory to it to the effect that the holder
of that Option or Stock Award will not transfer the Stock except in accordance
with applicable law, including receipt of an opinion of counsel satisfactory to
the Company to the effect that any proposed transfer complies with applicable
law. The determination by the Board on this matter shall be final, binding and
conclusive. The Company may, but shall in no event be obligated to, register any
Stock covered by this Plan pursuant to applicable securities laws of any country
or any political subdivision. In the event the Stock issuable on exercise of an
Option or pursuant to a Stock Award is not registered, the Company may imprint
on the certificate evidencing the Stock any legend that counsel for the Company
considers necessary or advisable to comply with applicable law. The Company
shall not be obligated to take any other

                                      -5-
<PAGE>   9

affirmative action in order to cause the exercise of an Option or vesting under
a Stock Award, or the issuance of shares under either of them, to comply with
any law or regulation of any governmental authority.

         4.5 Changes in the Company's Capital Structure. The existence of
outstanding Options or Stock Awards shall not affect in any way the right or
power of the Company or its stockholders to make or authorize any or all
adjustments, recapitalizations, reorganizations or other changes in the
Company's capital structure or its business, or any merger or consolidation of
the Company, or any issue of bonds, debentures, preferred or prior preference
stock ahead of or affecting the Stock or its rights, or the dissolution or
liquidation of the Company, or any sale or transfer of all or any part of its
assets or business, or any other corporate act or proceeding, whether of a
similar character or otherwise.

                  If the Company shall effect a subdivision or consolidation of
shares or other capital readjustment, the payment of a stock dividend, or other
increase or reduction of the number of shares of the Stock outstanding, without
receiving compensation for it in money, services or property, then (a) the
number, class, and per share price of shares of Stock subject to outstanding
Options under this Plan shall be appropriately adjusted in such a manner as to
entitle an Employee to receive upon exercise of an Option, for the same
aggregate cash consideration, the equivalent total number and class of shares he
would have received had he exercised his Option in full immediately prior to the
event requiring the adjustment; and (b) the number and class of shares of Stock
then reserved to be issued under the Plan shall be adjusted by substituting for
the total number and class of shares of Stock then reserved, that number and
class of shares of Stock that would have been received by the owner of an equal
number of outstanding shares of each class of Stock as the result of the event
requiring the adjustment.

                  If while unexercised Options remain outstanding under the Plan
(i) the Company shall not be the surviving entity in any merger, consolidation
or other reorganization (or survives only as a subsidiary of an entity other
than an entity that was wholly-owned by the Company immediately prior to such
merger, consolidation or other reorganization), (ii) the Company sells, leases
or exchanges or agrees to sell, lease or exchange all or substantially all of
its assets to any other person or entity (other than an entity wholly-owned by
the Company), (iii) the Company is to be dissolved, or (iv) the Company is a
party to any other corporate transaction (as defined under Section 424(a) of the
Code and applicable Treasury Regulations) that is not described in clauses (i),
(ii) or (iii) of this sentence (each such event is referred to herein as a
"Corporate Change"), then (x) except as otherwise provided in an Option
Agreement or as a result of the Board's effectuation of one or more of the
alternatives described below, there shall be no acceleration of the time at
which any Option then outstanding may be exercised, and (y) no later than ten
(10) days after the approval by the stockholders of the Company of such
Corporate Change, the Board, acting in its sole and absolute discretion without
the consent or approval of any Optionee, shall act to effect one or more of the
following alternatives, which may vary among individual Optionees and which may
vary among Options held by any individual Optionee:

                  (1) accelerate the time at which some or all of the Options
         then outstanding may be exercised so that such Options may be exercised
         in full for a

                                      -6-
<PAGE>   10

         limited period of time on or before a specified date (before or after
         such Corporate Change) fixed by the Board, after which specified date
         all such Options that remain unexercised and all rights of Optionees
         thereunder shall terminate,

                  (2) require the mandatory surrender to the Company by all or
         selected Optionees of some or all of the then outstanding Options held
         by such Optionees (irrespective of whether such Options are then
         exercisable under the provisions of this Plan or the Option Agreements
         evidencing such Options) as of a date, before or after such Corporate
         Change, specified by the Board, in which event the Board shall
         thereupon cancel such Options and the Company shall pay to each such
         Optionee an amount of cash per share equal to the excess, if any, of
         the per share price offered to stockholders of the Company in
         connection with such Corporate Change over the exercise price(s) under
         such Options for such shares,

                  (3) with respect to all or selected Optionees, have some or
         all of their then outstanding Options (whether vested or unvested)
         assumed or have a new Option substituted for some or all of their then
         outstanding Options (whether vested or unvested) by an entity which is
         a party to the transaction resulting in such Corporate Change and which
         is then employing him, or a parent or subsidiary of such entity,
         provided that (A) such assumption or substitution is on a basis where
         the excess of the aggregate fair market value of the shares subject to
         the Option immediately after the assumption or substitution over the
         aggregate exercise price of such shares is equal to the excess of the
         aggregate fair market value of all shares subject to the Option
         immediately before such assumption or substitution over the aggregate
         exercise price of such shares, and (B) the assumed rights under such
         existing Option or the substituted rights under such new Option as the
         case may be will have the same terms and conditions as the rights under
         the existing Option assumed or substituted for, as the case may be,

                  (4) provide that the number and class of shares of Stock
         covered by an Option (whether vested or unvested) theretofore granted
         shall be adjusted so that such Option when exercised shall thereafter
         cover the number and class of shares of stock or other securities or
         property (including, without limitation, cash) to which the Optionee
         would have been entitled pursuant to the terms of the agreement and/or
         plan relating to such Corporate Change if, immediately prior to such
         Corporate Change, the Optionee had been the holder of record of the
         number of shares of Stock then covered by such Option, or

                  (5) make such adjustments to Options then outstanding as the
         Board deems appropriate to reflect such Corporate Change (provided,
         however, that the Board may determine in its sole and absolute
         discretion that no such adjustment is necessary)."

                  In effecting one or more of alternatives (3), (4) or (5)
         above, and except as otherwise may be provided in an Option Agreement,
         the Board, in its sole and

                                      -7-
<PAGE>   11

         absolute discretion and without the consent or approval of any
         Optionee, may accelerate the time at which some or all Options then
         outstanding may be exercised.

                  In the event of changes in the outstanding Stock by reason of
recapitalizations, reorganizations, mergers, consolidations, combinations,
exchanges or other relevant changes in capitalization occurring after the date
of the grant of any Option and not otherwise provided for by this Section 4.5,
any outstanding Options and any agreements evidencing such Options shall be
subject to adjustment by the Board in its sole and absolute discretion as to the
number and price of shares of stock or other consideration subject to such
Options. In the event of any such change in the outstanding Stock, the aggregate
number of shares available under this Plan may be appropriately adjusted by the
Board, whose determination shall be conclusive.

                  After a merger of one or more corporations into the Company or
after a consolidation of the Company and one or more corporations in which the
Company shall be the surviving corporation, each Employee shall be entitled to
have his Restricted Stock appropriately adjusted based on the manner the Stock
was adjusted under the terms of the agreement of merger or consolidation.

                  The issue by the Company of shares of stock of any class, or
securities convertible into shares of stock of any class, for cash or property,
or for labor or services either upon direct sale or upon the exercise of rights
or warrants to subscribe for them, or upon conversion of shares or obligations
of the Company convertible into shares or other securities, shall not affect,
and no adjustment by reason of such issuance shall be made with respect to, the
number, class, or price of shares of Stock then subject to outstanding Options
or Stock Awards.

         4.6 Election Under Section 83(b) of the Code. No Employee shall
exercise the election permitted under Section 83(b) of the Code under this Plan
without written approval of the Committee.

                                    ARTICLE V

                                     OPTIONS

         5.1 Option Price. The price at which shares of Stock may be purchased
under an Option shall be the Fair Market Value of the shares of Stock on the
date the Option is granted, unless the Committee in its sole discretion provides
otherwise in the Option Agreement.

         5.2 Duration of Options. No Option shall be exercisable after the
expiration of 10 years from the date the Option is granted.

         5.3 Amount Exercisable. Each Option is exercisable, in whole or in
part, in the manner and subject to the conditions the Committee, in its sole
discretion, may provide in the Option Agreement, as long as the Option is valid
and outstanding.

                                      -8-
<PAGE>   12
         5.4 Exercise of Options. Each Option shall be exercised by the delivery
of written notice to the Committee setting forth the number of shares of Stock
with respect to which the Option is to be exercised, together with: (a) cash,
certified check, bank draft, or postal or express money order payable to the
order of the Company for an amount equal to the option price of the shares, (b)
Mature Shares at their Fair Market Value on the date of exercise, (c) payment to
the Company, through a broker-assisted exercise that is approved by the
Committee, for an amount equal to the option price of the shares and the
Company's tax withholding obligation, if any, (d) any combination of (a), (b),
or (c), and/or (e) any other form of payment which is acceptable to the
Committee, and specifying the address to which the certificates for the shares
are to be mailed.

                  As promptly as practicable after receipt of written
notification and payment, the Company shall deliver to the Employee certificates
for the number of shares with respect to which the Option has been exercised,
issued in the Employee's name. If Mature Shares are used in payment, the
aggregate Fair Market Value of the Mature Shares tendered must be equal to or
less than the aggregate exercise price of the shares being purchased upon
exercise of the Option, and any difference must be paid by cash, certified
check, bank draft, or postal or express money order payable to the order of the
Company. Delivery of the shares shall be deemed effected for all purposes when a
stock transfer agent of the Company shall have deposited the certificates in the
United States mail, addressed to the Employee, at the address specified by the
Employee.

                  Whenever an Option is exercised by exchanging Mature Shares
owned by the Employee, the Employee shall deliver to the Company certificates
registered in the name of the Employee representing a number of Mature Shares
legally and beneficially owned by the Employee, free of all liens, claims, and
encumbrances of every kind, accompanied by stock powers duly endorsed in blank
by the record holder of the shares represented by the certificates (with
signature guaranteed by a commercial bank or trust company or by a brokerage
firm having a membership on a registered national stock exchange). The delivery
of certificates upon the exercise of Options is subject to the condition that
the person exercising the Option provide the Company with the information the
Company might reasonably request pertaining to exercise, sale or other
disposition. The Committee may provide that a legend or restriction be printed
on the certificate as the Committee determines is necessary, in its discretion,
to comply with applicable laws.

                  If Mature Shares are used in payment, the aggregate Fair
Market Value of the Mature Shares tendered must be equal to or less than the
aggregate exercise price of the Shares being purchased upon exercise of the
Option, and any difference must be paid by cash, certified check, bank draft, or
postal or express money order payable to the order of the Company. Delivery of
the Common Stock issued on exercise shall be deemed effective for all purposes
when a stock transfer agent of the Company shall have deposited the certificates
in the United States mail, addressed to the Optionee, at the address specified
by the Optionee.

                  Notwithstanding the foregoing, an Optionee may elect, subject
to the approval of the Committee, to satisfy any required income tax withholding
obligation, in whole or in part, by having the Company withhold whole shares of
Common Stock, which otherwise would be issued on exercise, having a Fair Market
Value not in excess of the amount of the Company's minimum tax withholding
obligation.

                                      -9-
<PAGE>   13

                  Notwithstanding any other provision of the Plan, the Committee
shall have the authority to cause an Optionee to utilize a different method of
exercise if the method selected by the Optionee could result in adverse
accounting treatment for the Company.

         5.5 Exercise on Termination of Employment. Unless it is expressly
provided otherwise in the Option Agreement, Options shall terminate one day less
than three months after severance of employment of the Employee from the Company
and all Affiliates for any reason, with or without cause, other than death,
retirement under the then established rules of the Company, or severance for
disability. Whether authorized leave of absence or absence on military or
government service shall constitute severance of the employment of the Employee
shall be determined by the Committee at that time.

                  In determining the employment relationship between the Company
and the Employee, employment by any Affiliate shall be considered employment by
the Company, as shall employment by a corporation issuing or assuming a stock
option in a transaction to which Section 424(a) of the Code applies, or by a
parent corporation or subsidiary corporation of the corporation issuing or
assuming a stock option (and for this purpose, the phrase "corporation issuing
or assuming a stock option" shall be substituted for the word "Company" in the
definitions of parent corporation and subsidiary corporation in Section 2.1, and
the parent-subsidiary relationship shall be determined at the time of the
corporate action described in Section 424(a) of the Code).

                  DEATH. If, before the expiration of an Option, the Employee,
whether in the employ of the Company or after he has retired or was severed for
disability, dies, the Option shall become fully vested and shall continue until
the earlier of the Option's expiration date or one year following the date of
his death, unless it is expressly provided otherwise in the Option Agreement.
After the death of the Employee, his executors, administrators or any persons to
whom his Option may be transferred by will or by the laws of descent and
distribution shall have the right, at any time prior to the Option's expiration
or termination, whichever is earlier, to exercise the Option in full unless it
is expressly provided otherwise in the Option Agreement.

                  RETIREMENT. Unless it is expressly provided otherwise in the
Option Agreement, if before the expiration of an Option, the Employee shall be
retired in good standing from the employ of the Company under the then
established rules of the Company, the Option shall terminate on the earlier of
the Option's expiration date or one year after his retirement. In the event of
retirement, the Employee shall have the right prior to the termination of the
Option to exercise the Option, to the extent to which he was entitled to
exercise it immediately prior to his retirement, unless it is expressly provided
otherwise in the Option Agreement.

                  DISABILITY. If, before the expiration of an Option, the
Employee shall be severed from the employ of the Company for disability, the
Option shall terminate on the earlier of the Option's expiration date or one
year after the date he was severed because of disability, unless it is expressly
provided otherwise in the Option Agreement. In the event that the Employee shall
be severed from the employ of the Company for disability, the Employee shall
become fully vested in his Option and

                                      -10-
<PAGE>   14

have the right prior to the termination of the Option to exercise the Option in
full unless it is expressly provided otherwise in the Option Agreement.

             Notwithstanding the above, an Option may be amended by the
Committee to extend the termination date of the Option, provided such extension
shall not exceed a period of 10 years from the date of the initial grant of the
Option.

         5.6 Substitution Options. Options may be granted under this Plan from
time to time in substitution for stock options held by employees of other
corporations who are about to become employees of or affiliated with the Company
or any Affiliate as the result of a merger or consolidation of the employing
corporation with the Company or any Affiliate, or the acquisition by the Company
or any Affiliate of the assets of the employing corporation, or the acquisition
by the Company or any Affiliate of stock of the employing corporation as the
result of which it becomes an Affiliate of the Company. The terms and conditions
of the substitute Options granted may vary from the terms and conditions set out
in this Plan to the extent the Committee, at the time of grant, may deem
appropriate to conform, in whole or in part, to the provisions of the stock
options in substitution for which they are granted.

         5.7 No Rights as Stockholder. No Employee shall have any rights as a
stockholder with respect to Stock covered by his Option until the date a stock
certificate is issued for the Stock.

                                   ARTICLE VI

                                  STOCK AWARDS

         6.1 Stock Awards. The Committee may issue shares of Restricted Stock to
an eligible employee subject to the terms of a Restricted Stock Agreement. The
Restricted Stock may be issued for no payment by the Employee or for a payment
below the Fair Market Value on the date of grant. Restricted Stock shall be
subject to restrictions as to sale, transfer, alienation, pledge or other
encumbrance and generally will be subject to vesting over a period of time
specified in the Restricted Stock Agreement. The Committee shall determine the
period of vesting, the number of shares, the price, if any, of Stock included in
a Stock Award, and the other terms and provisions which are included in a
Restricted Stock Agreement. In the discretion of the Committee, a Restricted
Stock Award may be made as a grant of Restricted Stock or as a right to receive
stock (or their cash equivalent or a combination of both) in the future.

         6.2 Restrictions. Restricted Stock shall be subject to the terms and
conditions as determined by the Committee, including without limitation any or
all of the following:

             (a) a prohibition against the sale, transfer, alienation, pledge or
other encumbrance of the shares of Restricted Stock, such prohibition to lapse
at such time or times as the Committee shall determine (whether in annual or
more frequent installments, at the time of the death, disability or retirement
of the holder of such shares, or otherwise);

                                      -11-
<PAGE>   15

             (b) a requirement that the holder of shares of Restricted Stock
forfeit, or in the case of shares sold to an Employee, resell back to the
Company at his cost, all or a part of such shares in the event of termination of
the holder's employment during any period in which the shares remain subject to
restrictions;

             (c) a prohibition against employment of the holder of Restricted
Stock by any competitor of the Company or its Affiliates, or against such
holder's dissemination of any secret or confidential information belonging to
the Company or an Affiliate;

             (d) unless stated otherwise in the Restricted Stock Agreement, (i)
if restrictions remain at the time of severance of employment with the Company
and all Affiliates, other than for reason of disability or death, the Restricted
Stock shall be forfeited; and (ii) if severance of employment is by reason of
disability or death, the restrictions on the shares shall lapse and the Employee
or his heirs or estate shall be 100% vested in the shares subject to the
Restricted Stock Agreement.

         Notwithstanding (a) above, an Employee may transfer Restricted Stock to
an Immediate Family Member (as defined in Section 4.3) or an entity controlled
by the Employee or an Immediate Family Member provided, however, no further
transfer shall be made except for a transfer back to such Employee or such other
transfer which may be approved by the President of the Company. For this
purpose, "Immediate Family Member" means an Employee's children, grandchildren
or spouse, or a trust for the benefit of such Immediate Family Member.

         6.3 Stock Certificate. Shares of Restricted Stock shall be registered
in the name of the Employee receiving the Stock Award and deposited, together
with a stock power endorsed in blank, with the Company. Each such certificate
shall bear a legend in substantially the following form:

         The transferability of this certificate and the shares of Stock
         represented by it is restricted by and subject to the terms and
         conditions (including conditions of forfeiture) contained in the
         Bindview Development Corporation 2000 Employee Incentive Plan, and an
         agreement entered into between the registered owner and the Company,
         including any shareholders agreement. A copy of the Plan and agreement
         is on file in the office of the Secretary of the Company.

         6.4 Rights as Stockholder. Subject to the terms and conditions of the
Plan, each Employee receiving a certificate for Restricted Stock shall have all
the rights of a stockholder with respect to the shares of Stock included in the
Stock Award during any period in which such shares are subject to forfeiture and
restrictions on transfer, including without limitation, the right to vote such
shares. Dividends paid with respect to shares of Restricted Stock in cash or
property other than stock in the Company or rights to acquire stock in the
Company shall be paid to the Employee currently. Dividends paid in stock in the
Company or rights to acquire stock in the Company shall be added to and become a
part of the Restricted Stock.

         6.5 Lapse of Restrictions. At the end of the time period during which
any shares of Restricted Stock are subject to forfeiture and restrictions on
sale, transfer, alienation, pledge, or other

                                      -12-
<PAGE>   16

encumbrance, such shares shall vest and will be delivered in a certificate, free
of all restrictions, to the Employee or to the Employee's legal representative,
beneficiary or heir; provided the certificate shall bear such legend, if any, as
the Committee determines is reasonably required by applicable law. By accepting
a Stock Award and executing a Restricted Stock Agreement, the Employee agrees to
remit when due any federal and state income and employment taxes required to be
withheld.

         6.6 Restriction Period. No Stock Award may provide for restrictions
continuing beyond 10 years from the date of the Stock Award.

                                   ARTICLE VII

                                 ADMINISTRATION

             This Plan shall be administered by the Committee. All questions of
interpretation and application of the Plan, Options or Stock Awards shall be
subject to the determination of the Committee. A majority of the members of the
Committee shall constitute a quorum. All determinations of the Committee shall
be made by a majority of its members. Any decision or determination reduced to
writing and signed by a majority of the members shall be as effective as if it
had been made by a majority vote at a meeting properly called and held. This
Plan shall be administered in such a manner as to permit the Options granted
under it which are designated to be Incentive Options to qualify as Incentive
Options. In carrying out its authority under this Plan, the Committee shall have
full and final authority and discretion, including but not limited to the
following rights, powers and authorities, to:

             (a) determine the Employees to whom and the time or times at which
Options or Stock Awards will be made,

             (b) determine the number of shares and the purchase price of Stock
covered in each Option or Stock Award, subject to the terms of the Plan,

             (c) determine the terms, provisions and conditions of each Option
and Stock Award, which need not be identical,

             (d) accelerate the time at which any outstanding Option may be
exercised,

             (e) define the effect, if any, on an Option or Stock Award of the
death, disability, retirement, or termination of employment of the Employee,

             (f) prescribe, amend and rescind rules and regulations relating to
administration of the Plan, and

             (g) make all other determinations and take all other actions deemed
necessary, appropriate, or advisable for the proper administration of this Plan.

                                      -13-
<PAGE>   17

The actions of the Committee in exercising all of the rights, powers, and
authorities set out in this Article and all other Articles of this Plan, when
performed in good faith and in its sole judgment, shall be final, conclusive and
binding on all parties.

                                  ARTICLE VIII

                        AMENDMENT OR TERMINATION OF PLAN

                  The Board of Directors of the Company may amend, terminate or
suspend this Plan at any time, in its sole and absolute discretion. The Board
shall have the power to make any changes in the Plan and in the regulations and
administrative provisions under it as in the opinion of counsel for the Company
may be necessary or appropriate from time to time.

                                   ARTICLE IX

                                  MISCELLANEOUS

         9.1 No Establishment of a Trust Fund. No property shall be set aside
nor shall a trust fund of any kind be established to secure the rights of any
Employee under this Plan. All Employees shall at all times rely solely upon the
general credit of the Company for the payment of any benefit which becomes
payable under this Plan.

         9.2 No Employment Obligation. The granting of any Option or Stock Award
shall not constitute an employment contract, express or implied, nor impose upon
the Company or any Affiliate any obligation to employ or continue to employ any
Employee. The right of the Company or any Affiliate to terminate the employment
of any person shall not be diminished or affected by reason of the fact that an
Option or Stock Award has been granted to him.

         9.3 Forfeiture. Notwithstanding any other provisions of this Plan, if
the Committee finds by a majority vote after full consideration of the facts
that the Employee, before or after termination of his employment with the
Company or an Affiliate for any reason (a) committed or engaged in fraud,
embezzlement, theft, commission of a felony, or proven dishonesty in the course
of his employment by the Company or an Affiliate, which conduct damaged the
Company or Affiliate, or disclosed trade secrets of the Company or an Affiliate,
or (b) participated, engaged in or had a material, financial or other interest,
whether as an employee, officer, director, consultant, contractor, stockholder,
owner, or otherwise, in any commercial endeavor which is competitive with the
business of the Company or an Affiliate without the written consent of the
Company or Affiliate, the Employee shall forfeit all outstanding Options and all
outstanding Restricted Stock, and including all exercised Options and other
situations pursuant to which the Company has not yet delivered a stock
certificate. Clause (b) shall not be deemed to have been violated solely by
reason of the Employee's ownership of stock or securities of any publicly owned
corporation, if that ownership does not result in effective control of the
corporation.

                                      -14-
<PAGE>   18
             The decision of the Committee as to the cause of the Employee's
discharge, the damage done to the Company or an Affiliate, and the extent of the
Employee's competitive activity shall be final. No decision of the Committee,
however, shall affect the finality of the discharge of the Employee by the
Company or an Affiliate in any manner.

         9.4 Tax Withholding. The Company or any Affiliate shall be entitled to
deduct from other compensation payable to each Employee any sums required by
federal, state, or local tax law to be withheld with respect to the grant or
exercise of an Option or lapse of restrictions on Restricted Stock. In the
alternative, the Company may require the Employee (or other person exercising
the Option or receiving the Restricted Stock) to pay the sum directly to the
employer corporation. If the Employee (or other person exercising the Option or
receiving the Restricted Stock) is required to pay the sum directly, payment in
cash or by check of such sums for taxes shall be delivered within 10 days after
the date of exercise or lapse of restrictions. The Company shall have no
obligation upon exercise of any Option or lapse of restrictions on Restricted
Stock until payment has been received, unless withholding (or offset against a
cash payment) as of or prior to the date of exercise or lapse of restrictions is
sufficient to cover all sums due with respect to that exercise. The Company and
its Affiliates shall not be obligated to advise an Employee of the existence of
the tax or the amount which the employer corporation will be required to
withhold.

         9.5 Written Agreement. Each Option and Stock Award shall be embodied in
a written Option Agreement or Restricted Stock Agreement which shall be subject
to the terms and conditions of this Plan and shall be signed by the Employee and
by a member of the Committee on behalf of the Board and the Company or an
executive officer of the Company other than the Employee on behalf of the
Company. The Option Agreement or Restricted Stock Agreement may contain any
other provisions that the Committee in its discretion shall deem advisable which
are not inconsistent with the terms of this Plan. This Plan and all shares of
stock or stock equivalents granted pursuant hereto shall be subject to the terms
of any shareholders agreement entered into by the Company concurrent, or prior
to, the grant of any Option hereunder.

         9.6 Indemnification of the Committee and the Board of Directors. With
respect to administration of this Plan, the Company shall indemnify each present
and future member of the Committee and the Board of Directors against, and each
member of the Committee and the Board of Directors shall be entitled without
further act on his part to indemnity from the Company for, all expenses
(including attorney's fees, the amount of judgments and the amount of approved
settlements made with a view to the curtailment of costs of litigation, other
than amounts paid to the Company itself) reasonably incurred by him in
connection with or arising out of any action, suit, or proceeding in which he
may be involved by reason of his being or having been a member of the Committee
and/or the Board of Directors, whether or not he continues to be a member of the
Committee and/or the Board of Directors at the time of incurring the expenses --
including, without limitation, matters as to which he shall be finally adjudged
in any action, suit or proceeding to have been found to have been negligent in
the performance of his duty as a member of the Committee or the Board of
Directors. However, this indemnity shall not include any expenses incurred by
any member of the Committee and/or the Board of Directors in respect of matters
as to which he shall be finally adjudged in any action, suit or proceeding to
have been guilty of gross negligence or willful misconduct in the performance of
his duty as a member of the Committee and the Board of

                                      -15-
<PAGE>   19

Directors. In addition, no right of indemnification under this Plan shall be
available to or enforceable by any member of the Committee and the Board of
Directors unless, within 60 days after institution of any action, suit or
proceeding, he shall have offered the Company, in writing, the opportunity to
handle and defend same at its own expense. This right of indemnification shall
inure to the benefit of the heirs, executors or administrators of each member of
the Committee and the Board of Directors and shall be in addition to all other
rights to which a member of the Committee and the Board of Directors may be
entitled as a matter of law, contract, or otherwise.

         9.7 Gender. If the context requires, words of one gender when used in
this Plan shall include the others and words used in the singular or plural
shall include the other.

         9.8 Headings. Headings of Articles and Sections are included for
convenience of reference only and do not constitute part of the Plan and shall
not be used in construing the terms of the Plan.

         9.9 Other Compensation Plans. The adoption of this Plan shall not
affect any other stock option, incentive or other compensation or benefit plans
in effect for the Company or any Affiliate, nor shall the Plan preclude the
Company from establishing any other forms of incentive or other compensation for
employees of the Company or any Affiliate.

         9.10 Other Options or Awards. The grant of an Option or Stock Award
shall not confer upon the Employee the right to receive any future or other
Options or Stock Awards under this Plan, whether or not Options or Stock Awards
may be granted to similarly situated Employees, or the right to receive future
Options or Stock Awards upon the same terms or conditions as previously granted.

         9.11 Governing Law. The provisions of this Plan shall be construed,
administered, and governed under the laws of the State of Texas.

         9.12 Nonqualified Options. All Options granted under the terms of the
Plan shall be nonqualified stock options which are not intended to be governed
by Section 422 of the Code.

                                      -16-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}]]