Document:

<PAGE>   1
                                                                    EXHIBIT 10.3

                                ORGANIC INC. 1999
                         LONG-TERM STOCK INCENTIVE PLAN

<PAGE>   2

                                ORGANIC INC. 1999
                         LONG-TERM STOCK INCENTIVE PLAN

                                    SECTION 1
                                     GENERAL

        1.1. Purpose. The Organic Inc. 1999 Long-Term Stock Incentive Plan (the
"Plan") has been established by Organic Inc. (the "Company") to (i) attract and
retain persons eligible to participate in the Plan; (ii) motivate Participants,
by means of appropriate incentives, to achieve long-range goals; (iii) provide
incentive compensation opportunities that are competitive with those of other
similar companies; and (iv) further identify Participants' interests with those
of the Company's other shareholders through compensation that is based on the
Company's common stock; and thereby promote the long-term financial interest of
the Company and the Subsidiaries, including the growth in value of the Company's
equity and enhancement of long-term shareholder return.

        1.2. Participation. Subject to the terms and conditions of the Plan, the
Committee shall determine and designate, from time to time, from among the
Eligible Individuals (including transferees of Eligible Individuals to the
extent the transfer is permitted by the Plan and the applicable Award
Agreement), those persons who will be granted one or more Awards under the Plan,
and thereby become "Participants" in the Plan.

        1.3. Operation, Administration, and Definitions. The operation and
administration of the Plan, including the Awards made under the Plan, shall be
subject to the provisions of Section 4 (relating to operation and
administration). Capitalized terms in the Plan shall be defined as set forth in
the Plan (including the definition provisions of Section 8 of the Plan).

                                    SECTION 2
                                OPTIONS AND SARS

        2.1.  Definitions.

(a)     The grant of an "Option" entitles the Participant to purchase shares of
        Stock at an Exercise Price established by the Committee. Any Option
        granted under this Section 2 may be either an incentive stock option (an
        "ISO") or a non-qualified option (an "NQO"), as determined in the
        discretion of the Committee. An "ISO" is an Option that is intended to
        satisfy the requirements applicable to an "incentive stock option"
        described in section 422(b) of the Code. An "NQO" is an Option that is
        not intended to be an "incentive stock option" as that term is described
        in section 422(b) of the Code.

(b)     A stock appreciation right (an "SAR") entitles the Participant to
        receive, in cash or Stock (as determined in accordance with subsection
        2.5), value equal to (or otherwise based on)

<PAGE>   3

        the excess of: (a) the Fair Market Value of a specified number of shares
        of Stock at the time of exercise; over (b) an Exercise Price established
        by the Committee.

        2.2. Exercise Price. The "Exercise Price" of each Option and SAR granted
under this Section 2 shall be established by the Committee or shall be
determined by a method established by the Committee at the time the Option or
SAR is granted; provided that, for NQOs and SARs, the Exercise Price shall not
be less than 85% of the Fair Market Value of a share of Stock on the date of
grant, and for ISOs, the Exercise Price shall not be less than 100% of the Fair
Market Value of a share of Stock on the date of grant; and further provided that
the Exercise Price of for an Option or SAR with respect to a share of Stock
shall not be less than the par value of a share of Stock.

        2.3. Exercise. An Option and an SAR shall be exercisable in accordance
with such terms and conditions and during such periods as may be established by
the Committee.

        2.4. Payment of Option Exercise Price. The payment of the Exercise Price
of an Option granted under this Section 2 shall be subject to the following:

(a)     Subject to the following provisions of this subsection 2.4, the full
        Exercise Price for shares of Stock purchased upon the exercise of any
        Option shall be paid at the time of such exercise (except that, in the
        case of an exercise arrangement approved by the Committee and described
        in paragraph 2.4(c), payment may be made as soon as practicable after
        the exercise).

(b)     The Exercise Price shall be payable in cash or by tendering, by either
        actual delivery of shares or by attestation, shares of Stock acceptable
        to the Committee, and valued at Fair Market Value as of the day of
        exercise, or in any combination thereof, as determined by the Committee.

(c)     The Committee may permit a Participant to elect to pay the Exercise
        Price upon the exercise of an Option by irrevocably authorizing a third
        party to sell shares of Stock (or a sufficient portion of the shares)
        acquired upon exercise of the Option and remit to the Company a
        sufficient portion of the sale proceeds to pay the entire Exercise Price
        and any tax withholding resulting from such exercise.

        2.5. Settlement of Award. Settlement of Options and SARs is subject to
subsection 4.7.

                                    SECTION 3
                               OTHER STOCK AWARDS

        3.1.  Definitions.

                                      -2-
<PAGE>   4

(a)     A "Stock Unit" Award is the grant of a right to receive shares of Stock
        in the future.

(b)     A "Performance Share" Award is a grant of a right to receive shares of
        Stock or Stock Units which is contingent on the achievement of
        performance or other objectives during a specified period.

(c)     A "Performance Unit" Award is a grant of a right to receive a designated
        dollar value amount of Stock which is contingent on the achievement of
        performance or other objectives during a specified period.

(d)     A "Restricted Stock" Award is a grant of shares of Stock, and a
        "Restricted Stock Unit" Award is the grant of a right to receive shares
        of Stock in the future, with such shares of Stock or right to future
        delivery of such shares of Stock subject to a risk of forfeiture or
        other restrictions that will lapse upon the achievement of one or more
        goals relating to completion of service by the Participant, or
        achievement of performance or other objectives, as determined by the
        Committee.

        3.2. Restrictions on Awards. Each Stock Unit Award, Restricted Stock
Award, Restricted Stock Unit Award, Performance Share Award , and Performance
Unit Award shall be subject to such conditions, restrictions and contingencies
as the Committee shall determine.

                                    SECTION 4
                          OPERATION AND ADMINISTRATION

        4.1. Effective Date. Subject to the approval of the shareholders of the
Company, the Plan shall be effective as of December 15 (the "Effective Date");
provided, however, that to the extent that Awards are granted under the Plan
prior to its approval by shareholders, the Awards shall be contingent on
approval of the Plan by the shareholders of the Company. The Plan shall only
remain in effect until the 10-year anniversary of the date the Plan is adopted
by the Board or the date the Plan is approved by shareholders, whichever is
earlier.

        4.2. Shares Subject to Plan. The shares of Stock for which Awards may be
granted under the Plan shall be subject to the following:

(a)     The shares of Stock with respect to which Awards may be made under the
        Plan shall be shares currently authorized but unissued or currently held
        or subsequently acquired by the Company as treasury shares, including
        shares purchased in the open market or in private transactions.

(b)     Subject to the following provisions of this subsection 4.2, the maximum
        number of shares of Stock that may be delivered to Participants and
        their beneficiaries under the Plan shall be 3,500,000 shares of Stock,
        plus an annual increase on the first day of each of the Company's fiscal
        years beginning in 2000 and ending in 2009, equal to the lesser of (i)

                                      -3-
<PAGE>   5

        1,000,000 Shares, (ii) four percent (4%) of the Shares outstanding on
        the last day of the immediately preceding fiscal year, or (iii) such
        lesser number of shares as is determined by the Board.

(c)     To the extent provided by the Committee, any Award may be settled in
        cash rather than Stock. To the extent any shares of Stock covered by an
        Award are not delivered to a Participant or beneficiary because the
        Award is forfeited or canceled, or the shares of Stock are not delivered
        because the Award is settled in cash or used to satisfy the applicable
        tax withholding obligation, such shares shall not be deemed to have been
        delivered for purposes of determining the maximum number of shares of
        Stock available for delivery under the Plan.

(d)     If the exercise price of any stock option granted under the Plan is
        satisfied by tendering shares of Stock to the Company (by either actual
        delivery or by attestation), only the number of shares of Stock issued
        net of the shares of Stock tendered shall be deemed delivered for
        purposes of determining the maximum number of shares of Stock available
        for delivery under the Plan.

(e)     Subject to paragraph 4.2(f), the maximum number of shares of Stock that
        may be issued by Options intended to be ISOs shall be 3,500,000 shares.

(f)     In the event of a corporate transaction involving the Company
        (including, without limitation, any stock dividend, stock split,
        extraordinary cash dividend, recapitalization, reorganization, merger,
        consolidation, split-up, spin-off, combination or exchange of shares),
        the Committee may adjust Awards to preserve the benefits or potential
        benefits of the Awards. Action by the Committee may include: (i)
        adjustment of the number and kind of shares which may be delivered under
        the Plan; (ii) adjustment of the number and kind of shares subject to
        outstanding Awards; (iii) adjustment of the Exercise Price of
        outstanding Options and SARs; and (iv) any other adjustments that the
        Committee determines to be equitable.

        4.3. General Restrictions. Delivery of shares of Stock or other amounts
under the Plan shall be subject to the following:

(a)     Notwithstanding any other provision of the Plan, the Company shall have
        no liability to deliver any shares of Stock under the Plan or make any
        other distribution of benefits under the Plan unless such delivery or
        distribution would comply with all applicable laws (including, without
        limitation, the requirements of the Securities Act of 1933), and the
        applicable requirements of any securities exchange or similar entity.

                                      -4-
<PAGE>   6

(b)     To the extent that the Plan provides for issuance of stock certificates
        to reflect the issuance of shares of Stock, the issuance may be effected
        on a non-certificated basis, to the extent not prohibited by applicable
        law or the applicable rules of any stock exchange.

        4.4. Tax Withholding. All distributions under the Plan are subject to
withholding of all applicable taxes, and the Committee may condition the
delivery of any shares or other benefits under the Plan on satisfaction of the
applicable withholding obligations. The Committee, in its discretion, and
subject to such requirements as the Committee may impose prior to the occurrence
of such withholding, may permit such withholding obligations to be satisfied
through cash payment by the Participant, through the surrender of shares of
Stock which the Participant already owns, or through the surrender of shares of
Stock to which the Participant is otherwise entitled under the Plan.

        4.5. Grant and Use of Awards. In the discretion of the Committee, a
Participant may be granted any Award permitted under the provisions of the Plan,
and more than one Award may be granted to a Participant. Awards may be granted
as alternatives to or replacement of awards granted or outstanding under the
Plan, or any other plan or arrangement of the Company or a Subsidiary (including
a plan or arrangement of a business or entity, all or a portion of which is
acquired by the Company or a Subsidiary). Subject to the overall limitation on
the number of shares of Stock that may be delivered under the Plan, the
Committee may use available shares of Stock as the form of payment for
compensation, grants or rights earned or due under any other compensation plans
or arrangements of the Company or a Subsidiary, including the plans and
arrangements of the Company or a Subsidiary assumed in business combinations.

        4.6. Dividends and Dividend Equivalents. An Award (including without
limitation an Option or SAR Award) may provide the Participant with the right to
receive dividend payments or dividend equivalent payments with respect to Stock
subject to the Award (both before and after the Stock subject to the Award is
earned, vested, or acquired), which payments may be either made currently or
credited to an account for the Participant, and may be settled in cash or Stock,
as determined by the Committee. Any such settlements, and any such crediting of
dividends or dividend equivalents or reinvestment in shares of Stock, may be
subject to such conditions, restrictions and contingencies as the Committee
shall establish, including the reinvestment of such credited amounts in Stock
equivalents.

        4.7. Settlement of Awards. The obligation to make payments and
distributions with respect to Awards may be satisfied through cash payments, the
delivery of shares of Stock, the granting of replacement Awards, or combination
thereof as the Committee shall determine. Satisfaction of any such obligations
under an Award, which is sometimes referred to as "settlement" of the Award, may
be subject to such conditions, restrictions and contingencies as the Committee
shall determine. The Committee may permit or require the deferral of any Award
payment, subject to such rules and procedures as it may establish, which may
include provisions for the payment or crediting of interest or dividend
equivalents, and may include converting such

                                      -5-
<PAGE>   7

credits into deferred Stock equivalents. Each Subsidiary shall be liable for
payment of cash due under the Plan with respect to any Participant to the extent
that such benefits are attributable to the services rendered for that Subsidiary
by the Participant. Any disputes relating to liability of a Subsidiary for cash
payments shall be resolved by the Committee.

        4.8. Transferability. Awards under the Plan are not transferable except
as designated by the Participant by will or by the laws of descent and
distribution.

        4.9. Form and Time of Elections. Unless otherwise specified herein, each
election required or permitted to be made by any Participant or other person
entitled to benefits under the Plan, and any permitted modification, or
revocation thereof, shall be in writing filed with the Committee at such times,
in such form, and subject to such restrictions and limitations, not inconsistent
with the terms of the Plan, as the Committee shall require.

        4.10. Agreement With Company. An Award under the Plan shall be subject
to such terms and conditions, not inconsistent with the Plan, as the Committee
shall, in its sole discretion, prescribe. The terms and conditions of any Award
to any Participant shall be reflected in such form of written document as is
determined by the Committee. A copy of such document shall be provided to the
Participant, and the Committee may, but need not require that the Participant
sign a copy of such document. Such document is referred to in the Plan as an
"Award Agreement" regardless of whether any Participant signature is required.

        4.11. Action by Company or Subsidiary. Any action required or permitted
to be taken by the Company or any Subsidiary shall be by resolution of its board
of directors, or by action of one or more members of the board (including a
committee of the board) who are duly authorized to act for the board, or (except
to the extent prohibited by applicable law or applicable rules of any stock
exchange) by a duly authorized officer of such company.

        4.12. Gender and Number. Where the context admits, words in any gender
shall include any other gender, words in the singular shall include the plural
and the plural shall include the singular.

        4.13.  Limitation of Implied Rights.

(a)     Neither a Participant nor any other person shall, by reason of
        participation in the Plan, acquire any right in or title to any assets,
        funds or property of the Company or any Subsidiary whatsoever,
        including, without limitation, any specific funds, assets, or other
        property which the Company or any Subsidiary, in its sole discretion,
        may set aside in anticipation of a liability under the Plan. A
        Participant shall have only a contractual right to the Stock or amounts,
        if any, payable under the Plan, unsecured by any assets of the Company
        or any Subsidiary, and nothing contained in the Plan shall constitute a

                                      -6-
<PAGE>   8

        guarantee that the assets of the Company or any Subsidiary shall be
        sufficient to pay any benefits to any person.

(b)     The Plan does not constitute a contract of employment, and selection as
        a Participant will not give any participating employee or other
        individual the right to be retained in the employ of the Company or any
        Subsidiary or the right to continue to provide services to the Company
        or any Subsidiary, nor any right or claim to any benefit under the Plan,
        unless such right or claim has specifically accrued under the terms of
        the Plan. Except as otherwise provided in the Plan, no Award under the
        Plan shall confer upon the holder thereof any rights as a shareholder of
        the Company prior to the date on which the individual fulfills all
        conditions for receipt of such rights.

        4.14. Evidence. Evidence required of anyone under the Plan may be by
certificate, affidavit, document or other information which the person acting on
it considers pertinent and reliable, and signed, made or presented by the proper
party or parties.

                                    SECTION 5
                                CHANGE IN CONTROL

        5.1. Change in Control. Subject to the provisions of paragraph 4.2(f)
(relating to the adjustment of shares), and except as otherwise provided in the
Plan or the Award Agreement reflecting the applicable Award, upon the occurrence
of a Change in Control:

(a)     If a Participant who is employed by the Company or an Affiliate at the
        time of a Change in Control holds one or more outstanding Options, such
        Participant shall be credited with two years of additional vesting
        service for purposes of the vesting of Options (regardless of whether in
        tandem with SARs), and the vesting of any Stock purchased by the
        Participant under an Option.

(b)     If a Participant who is employed by the Company or an Affiliate at the
        time of a Change in Control holds one or more outstanding SARs, such
        Participant shall be credited with two years of additional vesting
        service for purposes of the vesting of SARs (regardless of whether in
        tandem with Options), and the vesting of any cash or stock acquired by
        the Participant under such SAR.

(c)     If a Participant who is employed by the Company or an Affiliate at the
        time of a Change in Control holds one or more of the following Awards:
        Stock Units, Restricted Stock, Restricted Stock Units, or Performance
        Shares, such Participant shall be credited with two years of additional
        vesting service for purposes of the vesting of all such awards.

(d)     If a Participant who is employed by the Company or an Affiliate at the
        time of a Change in Control holds any Option or SAR granted under the
        Plan and prior to the one-year

                                      -7-
<PAGE>   9

        anniversary of the Change in Control such Participant is either (i)
        terminated by the Company for reasons other than Cause or (ii)
        terminates employment for Good Reason, such Participant shall become
        fully vested in any Awards granted under the Plan and shall have the
        greater of (i) 90 days from the date of such termination or (ii) the
        period otherwise specified for exercise after termination had the
        Participant been fully vested in the Awards on the date of termination
        to exercise such Awards; provided, however, that in no event shall the
        Option or SAR be exercisable at a date that is later than the date it
        would have been exercisable if the Participant had remained employed by
        the Company or a Subsidiary.

        5.2. Potential Change in Control. If the Participant's employment is
terminated by the Company without Cause during a Potential Change in Control,
and such date of termination occurs not more than 60 days prior to the
occurrence of a Change in Control, then the Participant shall be entitled to
receive the benefits that he would have received under paragraph 5.1(d),
determined as though his employment was terminated by the Company without Cause
immediately after the Change in Control. A "Potential Change in Control" shall
exist during any period in which the circumstances described in paragraphs (a),
(b), or (c) below exist (provided, however, that a Potential Change in Control
shall cease to exist not later than the occurrence of a Change in Control):

(a)     The Company enters into an agreement, the consummation of which would
        result in the occurrence of a Change in Control, provided that a
        Potential Change in Control described in this paragraph 5.2(a) shall
        cease to exist upon the expiration or other termination of all such
        agreements.

(b)     Any person (including the Company) publicly announces an intention to
        take or to consider taking actions the consummation of which would
        constitute a Change in Control; provided that a Potential Change in
        Control described in this paragraph 5.2(b) shall cease to exist upon the
        withdrawal of such intention, or upon a reasonable determination by the
        Board that there is no reasonable chance that such actions would be
        consummated.

(c)     The Board adopts a resolution to the effect that, for purposes of the
        Plan, a Potential Change in Control exists; provided that a Potential
        Change in Control described in this paragraph 5.2(c) shall cease to
        exist upon a reasonable determination by the Board that the reasons that
        gave rise to the resolution providing for the existence of a Potential
        Change in Control have expired or no longer exist.

                                      -8-
<PAGE>   10

                                    SECTION 6
                                    COMMITTEE

        6.1. Administration. The authority to control and manage the operation
and administration of the Plan shall be vested in a committee (the "Committee")
in accordance with this Section 6. The Committee shall be selected by the Board.
If the Committee does not exist, or for any other reason determined by the
Board, the Board may take any action under the Plan that would otherwise be the
responsibility of the Committee.

        6.2. Powers of Committee. The Committee's administration of the Plan
shall be subject to the following:

(a)     Subject to the provisions of the Plan, the Committee will have the
        authority and discretion to select from among the Eligible Individuals
        those persons who shall receive Awards, to determine the time or times
        of receipt, to determine the types of Awards and the number of shares
        covered by the Awards, to establish the terms, conditions, performance
        criteria, restrictions, and other provisions of such Awards, and
        (subject to the restrictions imposed by Section 7) to cancel or suspend
        Awards.

(b)     To the extent that the Committee determines that the restrictions
        imposed by the Plan preclude the achievement of the material purposes of
        the Awards in jurisdictions outside the United States, the Committee
        will have the authority and discretion to modify those restrictions as
        the Committee determines to be necessary or appropriate to conform to
        applicable requirements or practices of jurisdictions outside of the
        United States.

(c)     The Committee will have the authority and discretion to interpret the
        Plan, to establish, amend, and rescind any rules and regulations
        relating to the Plan, to determine the terms and provisions of any Award
        Agreement made pursuant to the Plan, and to make all other
        determinations that may be necessary or advisable for the administration
        of the Plan.

(d)     Any interpretation of the Plan by the Committee and any decision made by
        it under the Plan is final and binding on all persons.

(e)     In controlling and managing the operation and administration of the
        Plan, the Committee shall take action in a manner that conforms to the
        articles and by-laws of the Company, and applicable state corporate law.

        6.3. Delegation by Committee. Except to the extent prohibited by
applicable law or the applicable rules of a stock exchange, the Committee may
allocate all or any portion of its responsibilities and powers to any one or
more of its members and may delegate all or any part of its responsibilities and
powers to any person or persons selected by it. Any such allocation or
delegation may be revoked by the Committee at any time.

                                      -9-
<PAGE>   11

        6.4. Information to be Furnished to Committee. The Company and
Subsidiaries shall furnish the Committee with such data and information as it
determines may be required for it to discharge its duties. The records of the
Company and Subsidiaries as to an employee's or Participant's employment (or
other provision of services), termination of employment (or cessation of the
provision of services), leave of absence, reemployment and compensation shall be
conclusive on all persons unless determined to be incorrect. Participants and
other persons entitled to benefits under the Plan must furnish the Committee
such evidence, data or information as the Committee considers desirable to carry
out the terms of the Plan.

                                    SECTION 7
                            AMENDMENT AND TERMINATION

        The Board may, at any time, amend or terminate the Plan, provided that
no amendment or termination may, in the absence of written consent to the change
by the affected Participant (or, if the Participant is not then living, the
affected beneficiary), adversely affect the rights of any Participant or
beneficiary under any Award granted under the Plan prior to the date such
amendment is adopted by the Board; and further provided that adjustments
pursuant to paragraph 4.2(f) shall not be subject to the foregoing limitations
of this Section 7.

                                    SECTION 8
                                  DEFINED TERMS

        In addition to the other definitions contained herein, the following
definitions shall apply:

(a)     Award. The term "Award" shall mean any award or benefit granted under
        the Plan, including, without limitation, the grant of Options, SARs,
        Stock Unit Awards, Restricted Stock Awards, Restricted Stock Unit
        Awards, Performance Unit Awards] and Performance Share Awards.

(b)     Board. The term "Board" shall mean the Board of Directors of the
        Company.

(c)     Cause. The term "Cause" shall mean any of the following: (1) the willful
        and continued failure by the Participant to substantially perform his
        duties, other than by reason of his being Disabled (as defined below),
        (2) the willful engaging by the Participant in conduct which is
        demonstrably and materially injurious to the Company or its affiliates,
        (3) conduct by the Participant that involves theft or fraud or,
        dishonesty in connection with his duties, (4) Participant's violation of
        a non-compete or confidentiality agreement, or (5) conviction of felony
        involving moral turpitude.

                                      -10-
<PAGE>   12

(d)     Change in Control. For purposes of the Plan, the term "Change in
        Control" means the occurrence, after an initial public offering of the
        stock of the Company of the events described in any of paragraphs (i),
        (ii), (iii), (iv) or (v) below:

        (i) The acquisition by any individual, entity or group (within the
        meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act
        of 1934, as amended (the "Exchange Act") (a "Person") of beneficial
        ownership (within the meaning of Rule 13d-3 promulgated under the
        Exchange Act) of twenty-five percent (25%) or more of either (i) the
        then outstanding shares of common stock of the Company (the "Outstanding
        Company Common Stock"), or (ii) the combined voting power of the then
        outstanding voting securities of the Company entitled to vote generally
        in the election of directors (the "Outstanding Company Voting
        Securities"); provided, however, that for purposes of this subsection
        (i), the following acquisitions shall not constitute a Change in
        Control: (A) any acquisition directly from the Company (excluding any
        acquisition resulting from the exercise of an exercise, conversion or
        exchange privilege unless the security being so exercised, converted or
        exchanged was acquired directly from the Company), (B) any acquisition
        by the Company, (C) any acquisition by an employee benefit plan (or
        related trust) sponsored or maintained by the Company or any corporation
        controlled by the Company (a "Company Plan"), (D) any acquisition by an
        underwriter temporarily holding securities pursuant to an offering of
        such securities; or (E) any acquisition by any corporation pursuant to a
        transaction which complies with subsections (b)(iii)(A), (b)(iii)(B),
        and (b)(iii)(C) of this definition; provided further, that for purposes
        of clause (B), if any Person (other than the Company or any Company
        Plan) shall become the beneficial owner of twenty-five percent (25%) or
        more of the Outstanding Company Common Stock or twenty-five percent
        (25%) or more of the Outstanding Company Voting Securities by reason of
        an acquisition by the Company, and such Person shall, after such
        acquisition by the Company, become the beneficial owner of any
        additional shares of the Outstanding Company Common Stock or any
        additional Outstanding Company Voting Securities (other than pursuant to
        any dividend reinvestment plan or arrangement maintained by the Company)
        and such beneficial ownership is publicly announced, such additional
        beneficial ownership shall constitute a Change in Control.

        (ii) Individuals who, as of the date hereof, constitute the Board of
        Directors of the Company (for purposes of this subsection (b), the
        "Incumbent Board") cease for any reason to constitute at least a
        majority of the Incumbent Board; provided, however, that any individual
        becoming a director subsequent to the date hereof whose election, or
        nomination for election by the Company shareholders, was approved by a
        vote of a least a majority of the directors then comprising the
        Incumbent Board shall be considered as though such individual were a
        member of the Incumbent Board, but excluding, for this purpose, any such
        individual whose initial assumption of office occurs as a result of an
        actual or threatened election contest (as such terms are used in Rule
        14a-11 promulgated

                                      -11-
<PAGE>   13

        under the Exchange Act) or other actual or threatened solicitation of
        proxies or consents by or on behalf of a Person other than the Board of
        Directors of the Company.

        (iii) Consummation, including receipt of any necessary regulatory
        approval, of (i) a reorganization, merger or consolidation involving the
        Company or (ii) the sale or other disposition of more than 50% of the
        operating assets of the Company (determined on a consolidated basis),
        other than in connection with a sale-leaseback or other arrangement
        resulting in the continued utilization of such assets (or the operating
        products of such assets) by the Company (any transaction described in
        part (i) or (ii) being referred to as a "Corporate Transaction");
        excluding, however, a Corporate Transaction pursuant to which all of
        paragraphs (A), (B), and (C) below are applicable:

        (A)     All or substantially of the individuals and entities who are the
                beneficial owners, respectively, of the Outstanding Company
                Common Stock and Outstanding Company Voting Securities
                immediately prior to such Corporate Transaction beneficially
                own, directly or indirectly, more than 60% of, respectively, the
                then outstanding shares of common stock and the combined voting
                power of the then outstanding voting securities entitled to vote
                generally in the election of directors, as the case may be, of
                the corporation resulting from such Corporate Transaction
                (including, without limitation, a corporation which, as a result
                of such transaction, owns the Company or all or substantially
                all of the assets of the Company either directly or through one
                or more subsidiaries) in substantially the same proportions as
                their ownership, immediately prior to such Corporate
                Transaction, of the Outstanding Company Common Stock and
                Outstanding Company Voting Securities, as the case may be.

        (B)     No Person (other than the Company, any Company Plan or related
                trust, the corporation resulting from such Corporate
                Transaction, and any Person which beneficially owned,
                immediately prior to such Corporate Transaction, directly or
                indirectly, twenty-five percent (25%) or more than the
                Outstanding Company Common Stock or the Outstanding Company
                Voting Securities, as the case may be) will beneficially own,
                directly or indirectly, twenty-five percent (25%) or more of,
                respectively, the then outstanding common stock of the
                corporation resulting from such Corporate Transaction or the
                combined voting power of the then outstanding voting securities
                of such corporation.

        (C)     Individuals who were members of the Incumbent Board will
                constitute at least a majority of the members of the board of
                directors of the corporation resulting from such Corporate
                Transaction.

        (iv) A tender offer (for which a filing has been made with the
        Securities and Exchange Commission (the "SEC") which purports to comply
        with the requirements of Section

                                      -12-
<PAGE>   14

        14(d) of the Exchange Act and the corresponding SEC rules) is made for
        the stock of the Company, which has not been negotiated and approved by
        the Board, provided that in case of a tender offer described in this
        subsection (iv), the Change in Control will be deemed to have occurred
        upon the first to occur of (A) any time during the offer period when the
        Person (as defined in subsection (b)(i), above) making the offer
        beneficially owns or has accepted for payment stock of the Company with
        25% or more of the combined voting power of the then Outstanding Company
        Voting Securities or (B) 3 business days before the offer is to
        terminate, unless the offer is withdrawn first, if the Person making the
        offer could own, by the terms of the offer plus any shares beneficially
        owned by that Person, stock with 50% or more of the combined voting
        power of the then Outstanding Company Voting Securities when the offer
        terminates.

        (v) Approval by the shareholders of the Company of a plan of complete
        liquidation or dissolution of the Company.

(e)     Code. The term "Code" means the Internal Revenue Code of 1986, as
        amended. A reference to any provision of the Code shall include
        reference to any successor provision of the Code.

(f)     Disability. The term "Disability" shall mean the inability of the
        Participant, after reasonable accommodation, to continue to perform his
        duties on a full-time basis as a result of mental or physical illness,
        sickness or injury and the Company determines that such disability is of
        a long-term nature.

(g)     Eligible Individual. The term "Eligible Individual" shall mean any
        employee of the Company or a Subsidiary, and any consultant, director,
        or other person providing services to the Company or a Subsidiary. An
        Award may be granted to an individual, in connection with hiring,
        retention or otherwise, prior to the date the employee first performs
        services for the Company or the Subsidiaries, provided that such Awards
        shall not become vested prior to the date the employee first performs
        such services.

(h)     Fair Market Value. For purposes of determining the "Fair Market Value"
        of a share of Stock as of any date, the following rules shall apply,
        consistent with Section 260.140.50 of Title 10 of the California Code of
        Regulations, subject to the following:

        (i) If the Common Stock is listed on any established stock exchange or a
        national market system, including without limitation the Nasdaq National
        Market or the Nasdaq SmallCap, the "Fair Market Value" of a share of
        Stock shall be the closing sales price for such stock (or the closing
        bid, if no sales were reported) as quoted on such system or exchange (or
        the exchange with the greatest volume of trading in Stock) on the last
        market trading day prior to the day of determination, as reported in the
        Wall Street Journal or such other source as the Board deems reliable.

                                      -13-
<PAGE>   15

        (ii) In the absence of an established market for the Stock, the "Fair
        Market Value" shall be determined in good faith by the Board.

(i)     Good Reason. The term "Good Reason" shall mean any of the following
        which occur without the Participant's consent and which are not
        corrected by the Company within 10 days of written notice to the Company
        by the Participant: (1) a diminution of the Participant's duties or the
        assignment to him of duties that are inconsistent in any substantial
        respect with the position, authority or responsibilities associated with
        his position, (2) a reduction in the Participant's salary rate or bonus
        potential; or (3) a relocation of the Participant, that occurs after a
        Change of Control and without the Participant's consent, of over 100
        miles from the Participant's primary employment location as of the date
        of the Change of Control, except for required travel on Company business
        to an extent substantially consistent with the Participant's business
        travel obligations prior to the date of the Change of Control.

(j)     Subsidiaries. The term "Subsidiary" means any company during any period
        in which it is a "subsidiary corporation" (as that term is defined in
        Code section 424(f)) with respect to the Company.

(k)     Stock. The term "Stock" shall mean shares of common stock of the
        Company.

                                      -14-
<PAGE>   16

                                ORGANIC INC. 1999
                         LONG-TERM STOCK INCENTIVE PLAN

                                   Appendix A

        Notwithstanding any other provision of the Plan to the contrary, the
following provisions shall be applicable to the Plan:

        1. Exercise Price. With respect to any Option or SAR granted to any
person who possesses more than 10% of the total combined voting power of all
classes of stock of the Company or any Subsidiary or Parent (as defined in Code
section 424(e)) of the Company such Option or SAR shall have an exercise price
not less than 110% of the Fair Market Value of a share of Stock on the date of
grant.

        2. Expiration. All Options granted under the Plan shall expire not later
than the 10-year anniversary of the date of grant.

        3. Transferability. Awards granted pursuant to the Plan are not
transferable except by the laws of descent and distribution.

        4. Adjustment. In the event of a corporate transaction involving the
Company (including, without limitation, any stock dividend, stock split,
extraordinary cash dividend, recapitalization, reclassification, reorganization,
merger, consolidation, split-up, spin-off, combination or exchange of shares),
the Committee shall adjust Awards to preserve the benefits or potential benefits
of the Awards. Action by the Committee may include: (i) adjustment of the number
and kind of shares which may be delivered under the Plan; (ii) adjustment of the
number and kind of shares subject to outstanding Awards; (iii) adjustment of the
Exercise Price of outstanding Options and SARs; and (iv) any other adjustments
that the Committee determines to be equitable.

        5. Exercisability. Any Option granted under the Plan shall become
exercisable at a rate of at least 20% per year over 5 years from the date the
Option is granted, provided the Participant is employed by the Company at such
time. In addition, if the Participant resigns from employment, or is terminated
by the Company for any reason other than cause (as defined by applicable law),
any Options which have become exercisable prior to the time of such termination,
shall remain exercisable for:

(a)     6 months from the date of such termination if such termination was
        caused by death or Disability; or

(b)     30 days from the date of such termination if such termination was caused
        by reasons other than death or Disability.

                                      -15-
<PAGE>   17
                                  ISO AGREEMENT

        THIS AGREEMENT, entered into as of the Grant Date (as defined in
paragraph 1), by and between the Participant and Organic Inc. (the "Company");

                                WITNESSETH THAT:

        WHEREAS, the Company maintains the Organic Inc. 1999 Long-Term Stock
Incentive Plan (the "Plan"), which is incorporated into and forms a part of this
Agreement, and the Participant has been selected by the committee administering
the Plan (the "Committee") to receive an Incentive Stock Option Award under the
Plan;

        NOW, THEREFORE, IT IS AGREED, by and between the Company and the
Participant, as follows:

        1. Terms of Award. The following terms used in this Agreement shall have
the meanings set forth in this paragraph 1:

               (a) The "Participant" is _________________.

               (b) The "Grant Date" is _________________.

               (c) The number of "Covered Shares" shall be _____________ shares
of Stock.

               (d) The "Exercise Price" is $_____________ per share.

Other terms used in this Agreement are defined pursuant to paragraph 13 or
elsewhere in this Agreement.

        2. Award and Exercise Price. This Agreement specifies the terms of the
option (the "Option") granted to the Participant to purchase the number of
Covered Shares of Stock at the Exercise Price per share as set forth in
paragraph 1. The Option is intended to constitute an "incentive stock option" as
that term is used in Code section 422. To the extent that the aggregate fair
market value (determined at the time of grant) of Shares with respect to which
incentive stock options are exercisable for the first time by the Participant
during any calendar year under all plans of the Company and its Subsidiaries
exceeds $100,000, the options or portions thereof which exceed such limit
(according to the order in which they were granted) shall be treated as
nonstatutory stock options. It should be understood that there is no assurance
that the Option will, in fact, be treated as an incentive stock option.

        3. Date of Exercise. Subject to the limitations of this Agreement, and
unless the Participant chooses to exercise the Option prior to vesting pursuant
to paragraph 4, the Option shall become exercisable with respect to 1/4 of the
Covered Shares on the one-year anniversary of the Grant Date (but only if the
Date of Termination has not occurred before the one-year

<PAGE>   18

anniversary). After such one-year anniversary, the Option shall become
exercisable with respect to an additional 1/48 of the Covered Shares on each
subsequent one-month anniversary of the Grant Date (but only if the Date of
Termination has not occurred before the respective one-month anniversary), until
such time as this Option is fully exercisable. Covered Shares as to which the
Option is exercisable in accordance with this paragraph 3 (regardless of whether
the Option has been exercised with respect to those shares) are sometimes
referred to as "vested shares," and Covered Shares as to which the Option is not
exercisable in accordance with this paragraph 3, until such time as the Option
would have become exercisable with respect to those shares (regardless of
whether the Option has been exercised with respect to those shares in accordance
with paragraph 4) are sometimes referred to as "unnvested shares." If the
Participant is employed by the Company or an Affiliate at the time of a Change
in Control holds one or more outstanding Options, such Participant shall be
credited with two years of additional vesting service for purposes of the
vesting of Options, and the vesting of any Stock purchased by the Participant
under an Option.

Notwithstanding the foregoing provisions of this paragraph 3, the Option shall
become fully vested and exercisable upon the Date of Termination, if the Date of
Termination occurs by reason of the Participant's death or Disability. The
Option may be exercised on or after the Date of Termination only as to that
portion of the Covered Shares for which it was exercisable (or became
exercisable) immediately prior to the Date of Termination.

[THE FOLLOWING PARAGRAPH PROVIDES FOR FULL VESTING UPON TERMINATION OF
EMPLOYMENT IN THE 13TH MONTH AFTER A CHANGE IN CONTROL.]

[Notwithstanding any other provision, if a Change in Control occurs, and the
Participant terminates employment with the Company for any reason during the 30
day period which begins on the one-year anniversary of the Change in Control,
any Awards granted to the Participant shall become fully vested and exercisable
on such date of termination, and the Participant shall have the greater of (i)
90 days from the date of such termination or (ii) the period otherwise specified
for exercise after termination had the Participant been fully vested in the
Awards on the date of termination to exercise such Awards.]

        4. Exercise Prior to Vesting. Subject to the provisions of the Option,
the Participant may elect, at any time prior to his Termination Date, to
exercise the Option as to any part or all of the Covered Shares subject to this
Option at any time prior to the Expiration Date, including, without limitation,
a time prior to the date on which the Option would otherwise be exercisable in
accordance with paragraph 3; provided, however, that:

               (a) A partial exercise of the Option shall be deemed to cover
first vested shares and then the earliest vesting installment of unvested
shares.

               (b) Any shares so purchased from installments which have not
vested as of the date of exercise shall be subject to the purchase option in
favor of the Company as described in the Early Exercise Stock Purchase
Agreement.

<PAGE>   19

               (c) The Participant shall be required to enter into an Early
Exercise Stock Purchase Agreement in the form provided by the Company with a
vesting schedule that will result in the same vesting as if no early exercise
had occurred.

               (d) The Option shall not be exercisable under this paragraph 4 to
the extent such exercise would cause the aggregate Fair Market Value of any
shares subject to incentive stock options granted by the Company or any
Subsidiary (valued as of their grant date) which would become exercisable for
the first time during any calendar year to exceed $100,000.

The election provided in this paragraph 4 to purchase shares upon the exercise
of the Option prior to the Vesting Date shall cease upon the Participant's
Termination Date.

        5. Expiration. The Option shall not be exercisable after the Company's
close of business on the last business day that occurs prior to the Expiration
Date. The "Expiration Date" shall be earliest to occur of:

               (a) the ten-year anniversary of the Grant Date;

               (b) if the Date of Termination occurs by reason of death,
Disability or Retirement, the one- year anniversary of such Date of Termination;
or

               (c) if the Date of Termination occurs for reasons other than
death, Disability, or Retirement, the 90-day anniversary of such Date of
Termination.

        6. Method of Option Exercise. Subject to the terms of this Agreement and
the Plan, the Option may be exercised in whole or in part by filing a written
notice with the Secretary of the Company at its corporate headquarters prior to
the Company's close of business on the last business day that occurs prior to
the Expiration Date. Such notice shall specify the number of shares of Stock
which the Participant elects to purchase, and shall be accompanied by payment of
the Exercise Price, or a portion of the Exercise Price as specified below if the
Participant elects to use the deferred payment alternative described below in
paragraph 8, for such shares of Stock indicated by the Participant's election.
The Option shall not be exercisable if and to the extent the Company determines
that such exercise would violate applicable state or Federal securities laws or
the rules and regulations of any securities exchange on which the Stock is
traded. If the Company makes such a determination, it shall use all reasonable
efforts to obtain compliance with such laws, rules and regulations. In making
any determination hereunder, the Company may rely on the opinion of counsel for
the Company.

        7. Payment of Exercise Price. Payment of the Exercise Price may be made
by any of the following methods or any combination thereof,

               (a) By cash or by check payable to the Company;

               (b) Except as otherwise provided by the Committee before the
Option is exercised and provided that the Company's common stock is publicly
traded and quoted regularly in the Wall Street Journal, by delivery of shares of
Stock owned by the Participant and

<PAGE>   20

acceptable to the Committee having an aggregate Fair Market Value (valued as of
the date of exercise) that is equal to the amount of cash that would otherwise
be required; or

               (c) By authorizing a third party to sell shares of Stock (or a
sufficient portion of the shares) acquired upon exercise of the Option and remit
to the Company a sufficient portion of the sale proceeds to pay the entire
Exercise Price and any tax withholding resulting from such exercise.

        8. Deferral Payment Alternative. Provided that the Exercise Price for
the installment, or portion thereof, being purchased exceeds $500, the
Participant may pay the Exercise Price pursuant to the deferred payment
alternative as follows:

               (a) Not less than twenty-five percent (25%) of the aggregate
Exercise Price shall be due at the time of exercise, not less than twenty-five
percent (25%) of said Exercise Price, plus accrued interest, shall be due each
year after the date of exercise, and final payment of the remainder of the
Exercise Price, plus accrued interest, shall be due three (3) years from date of
exercise or, at the Company's election, upon the Participant's Termination Date;

               (b) Interest shall be payable at least annually and shall be
charged at the minimum rate of interest necessary to avoid the treatment as
interest, under any applicable provisions of the Code, of any portion of any
amounts other than amounts stated to be interest under the deferred payment
arrangement; and

               (c) In order to elect the deferred payment alternative, the
Participant must, as a part of his written notice of exercise, give notice of
the election of this payment alternative and, in order to secure the payment of
the deferred Exercise Price to the Company hereunder, if the Company so
requests, the Participant must tender to the Company a promissory note and a
security agreement covering the purchased shares, both in form and substance
satisfactory to the Company, or such other or additional documentation as the
Company may request.

        9. Limit on Stock Sales. Any shares that a Participant acquires as a
result of the exercise of the Option shall be subject to the following
restrictions regarding sale or transfer:

               (a) The Participant must notify the Company in writing within
fifteen (15) days after the date of any disposition of any of the shares of the
Stock issued upon exercise of this Option that occurs within two (2) years after
the date of the Grant Date or within one (1) year after such shares of Stock are
transferred upon exercise of the Option; and

               (b) The Company (or a representative of the underwriters) may, in
connection with the first underwritten registration of the offering of any
securities of the Company under the Securities Act, require that the Participant
not sell or otherwise transfer or dispose of any shares of Stock or other
securities of the Company during such period (not to exceed one hundred eighty
(180) days) following the effective date of the registration statement of the
Company filed under the Securities Act as may be requested by the Company or the
representative of the underwriters. The Participant further agrees that the
Company may impose stop-transfer

<PAGE>   21

instructions with respect to securities subject to the foregoing restrictions
until the end of such period.

        10. Right of First Refusal by the Company. The Participant shall not
sell, assign, pledge or in any manner transfer any of the shares of Stock or any
right or interest therein, whether voluntarily or by operation of law, or by
gift or otherwise, except by a transfer which meets the following requirements:

               (a) If the Participant desires to sell or otherwise transfer any
of its shares of stock acquired upon exercise of the Option in an "arms-length"
transaction, then the Participant shall first give written notice thereof to the
Company. The notice shall name the proposed transferee and state the number of
shares to be transferred, the proposed consideration, and all other terms and
conditions of the proposed transfer. (b) For thirty (30) days following receipt
of such notice, the Company shall have the option to purchase all (but not less
than all) of the shares specified in the notice at the price and upon the terms
set forth in such notice; provided, however, that, with the consent of the
Participant, the Company shall have the option to purchase a lesser portion of
the shares of Stock specified in said notice at the price and upon the terms set
forth therein. In the event of a gift, property settlement or other transfer
which would not be considered to have been made on an "arms length" basis and in
which the proposed transferee is not paying the full price for the shares, the
price shall be deemed to be the Fair Market Value of the stock at such time as
determined in good faith by the Board. In the event the Company elects to
purchase all of the shares or, with consent of the Participant, a lesser portion
of the shares, it shall give written notice to the transferring Participant of
its election and settlement for said shares shall be made as provided below in
paragraph (d).

               (c) The Company may assign its rights hereunder.

               (d) In the event the Company and/or its assignee(s) elect to
acquire any of the shares of the transferring Participant as specified in said
transferring Participant's notice, the Secretary of the Company shall so notify
the transferring Participant and settlement thereof shall be made in cash within
thirty (30) days after the Secretary of the Company receives said transferring
Participant's notice; provided that if the terms of payment set forth in said
transferring Participant's notice were other than cash against delivery, the
Company and/or its assignee(s) shall pay for said shares on the same terms and
conditions set forth in said transferring Participant's notice.

               (e) In the event the Company and/or its assignee(s) do not elect
to acquire all of the shares specified in the transferring Participant's notice,
said transferring Participant may, within the sixty (60)-day period following
the expiration of the option rights granted to the Company and/or its
assignee(s) herein, transfer the shares specified in said transferring
Participant's notice which were not acquired by the Company and/or its
assignee(s) as specified in said transferring Participant's notice.

<PAGE>   22

               (f) Notwithstanding anything to the contrary contained herein,
the following transaction shall be exempt from the provisions of this paragraph
10: an Participant's bona fide pledge or mortgage of any shares with a
commercial lending institution, provided that any subsequent transfer of said
shares by said institution shall be conducted in the manner set forth in this
paragraph 10. In any such case, the transferee, assignee, or other recipient
shall receive and hold such stock subject to the provisions of this paragraph
10, and there shall be no further transfer of such stock except in accord with
this paragraph 10.

               (g) The provisions of this paragraph 10 may be waived with
respect to any transfer either by the Company, upon duly authorized action of
its Board, or by the stockholders, upon the express written consent of the
owners of a majority of the voting power of the Company (excluding the votes
represented by those shares to be transferred by the transferring Participant).

               (h) Any sale or transfer, or purported sale or transfer, of
securities of the Company shall be null and void unless the terms, conditions
and provisions of this paragraph 10 are strictly observed and followed.

               (i) The foregoing right of first refusal shall terminate upon the
date securities of the Company are first offered to the public pursuant to a
registration statement filed with, and declared effective by, the Securities and
Exchange Commission under the Securities Act of 1933.

               (j) The certificates representing shares of stock of the Company
shall bear on their face the following legend so long as the foregoing right of
first refusal remains in effect:

               "The shares represented by this Certificate are subject to a
               right of first refusal option in favor of the Company and/or its
               Assignee(s)."

        11. Withholding. All deliveries and distributions under this Agreement
are subject to withholding of all applicable taxes. At the election of the
Participant, and subject to such rules and limitations as may be established by
the Committee from time to time, such withholding obligations may be satisfied
through the surrender of shares of Stock which the Participant already owns, or
to which the Participant is otherwise entitled under the Plan.

        12. Transferability. The Option is not transferable other than as
designated by the Participant by will or by the laws of descent and
distribution, and during the Participant's life, may be exercised only by the
Participant.

        13. Definitions. For purposes of this Agreement, the terms used in this
Agreement shall be subject to the following:

               (a) Change in Control. The term "Change in Control" shall be
defined as that term is defined in the Plan.

               (b) Date of Termination. The "Date of Termination" shall be the
first day occurring on or after the Grant Date on which the Participant is not
employed by the Company or any Subsidiary, regardless of the reason for the
termination of employment; provided that a

<PAGE>   23

termination of employment shall not be deemed to occur by reason of a transfer
of the Participant between the Company and a Subsidiary or between two
Subsidiaries; and further provided that the Participant's employment shall not
be considered terminated while the Participant is on a leave of absence from the
Company or a Subsidiary approved by the Participant's employer. If, as a result
of a sale or other transaction, the Participant's employer ceases to be a
Subsidiary (and the Participant's employer is or becomes an entity that is
separate from the Company), and the Participant is not, at the end of the 30-day
period following the transaction, employed by the Company or an entity that is
then a Subsidiary, then the occurrence of such transaction shall be treated as
the Participant's Date of Termination caused by the Participant being discharged
by the employer.

               (c) Disability. Except as otherwise provided by the Committee,
the Participant shall be considered to have a "Disability" during the period in
which the Participant is unable, by reason of a medically determinable physical
or mental impairment, to engage in any substantial gainful activity, which
condition, in the opinion of a physician selected by the Committee, is expected
to have a duration of not less than 120 days.

               (d) Retirement. "Retirement" of the Participant shall mean, with
the approval of the Committee, the occurrence of the Participant's Date of
Termination on or after the date the Participant attains age 55.

               (e) Plan Definitions. Except where the context clearly implies or
indicates the contrary, a word, term, or phrase used in the Plan is similarly
used in this Agreement.

        14. Whole Shares. This Option may only be exercised for whole shares. In
lieu of issuing a fraction of a share upon any exercise of the Option, resulting
from an adjustment of the Option pursuant to paragraph 4.2(f) of the Plan or
otherwise, the Company will be entitled to pay to the Participant an amount
equal to the Fair Market Value of such fractional share.

        15. Heirs and Successors. This Agreement shall be binding upon, and
inure to the benefit of, the Company and its successors and assigns, and upon
any person acquiring, whether by merger, consolidation, purchase of assets or
otherwise, all or substantially all of the Company's assets and business. If any
rights exercisable by the Participant or benefits deliverable to the Participant
under this Agreement have not been exercised or delivered, respectively, at the
time of the Participant's death, such rights shall be exercisable by the
Designated Beneficiary, and such benefits shall be delivered to the Designated
Beneficiary, in accordance with the provisions of this Agreement and the Plan.
The "Designated Beneficiary" shall be the beneficiary or beneficiaries
designated by the Participant in a writing filed with the Committee in such form
and at such time as the Committee shall require. If a deceased Participant fails
to designate a beneficiary, or if the Designated Beneficiary does not survive
the Participant, any rights that would have been exercisable by the Participant
and any benefits distributable to the Participant shall be exercised by or
distributed to the legal representative of the estate of the Participant. If a
deceased Participant designates a beneficiary and the Designated Beneficiary
survives the Participant but dies before the Designated Beneficiary's exercise
of all rights under this Agreement or before the complete distribution of
benefits to the

<PAGE>   24

Designated Beneficiary under this Agreement, then any rights that would have
been exercisable by the Designated Beneficiary shall be exercised by the legal
representative of the estate of the Designated Beneficiary, and any benefits
distributable to the Designated Beneficiary shall be distributed to the legal
representative of the estate of the Designated Beneficiary.

        16. Administration. The authority to manage and control the operation
and administration of this Agreement shall be vested in the Committee, and the
Committee shall have all powers with respect to this Agreement as it has with
respect to the Plan. Any interpretation of the Agreement by the Committee and
any decision made by it with respect to the Agreement is final and binding on
all persons.

        17. Plan Governs. Notwithstanding anything in this Agreement to the
contrary, the terms of this Agreement shall be subject to the terms of the Plan,
a copy of which may be obtained by the Participant from the office of the
Secretary of the Company; and this Agreement is subject to all interpretations,
amendments, rules and regulations promulgated by the Committee from time to time
pursuant to the Plan.

        18. Not An Employment Contract. The Option will not confer on the
Participant any right with respect to continuance of employment or other service
with the Company or any Subsidiary, nor will it interfere in any way with any
right the Company or any Subsidiary would otherwise have to terminate or modify
the terms of such Participant's employment or other service at any time.

        19. Notices. Any written notices provided for in this Agreement or the
Plan shall be in writing and shall be deemed sufficiently given if either hand
delivered or if sent by fax or overnight courier, or by postage paid first class
mail. Notices sent by mail shall be deemed received three business days after
mailing but in no event later than the date of actual receipt. Notices shall be
directed, if to the Participant, at the Participant's address indicated by the
Company's records, or if to the Company, at the Company's principal executive
office.

        20. No Rights As Shareholder. The Participant shall not have any rights
of a shareholder with respect to the shares subject to the Option, until a stock
certificate has been duly issued following exercise of the Option as provided
herein.

        21. Amendment. This Agreement may be amended by written agreement of the
Participant and the Company, without the consent of any other person.

<PAGE>   25

        IN WITNESS WHEREOF, the Participant has executed this Agreement, and the
Company has caused these presents to be executed in its name and on its behalf,
all as of the Grant Date.

                                            Participant

                                            ------------------------------------

                                            Organic Inc.

                                            By:
                                               ---------------------------------
                                            Its:
                                                --------------------------------

<PAGE>   26

                                  NQO AGREEMENT

        THIS AGREEMENT, entered into as of the Grant Date (as defined in
paragraph 1), by and between the Participant and Organic Inc. (the "Company");

                                WITNESSETH THAT:

        WHEREAS, the Company maintains the Organic Inc. 1999 Long-Term Stock
Incentive Plan (the "Plan"), which is incorporated into and forms a part of this
Agreement, and the Participant has been selected by the committee administering
the Plan (the "Committee") to receive a Non-Qualified Stock Option Award under
the Plan;

        NOW, THEREFORE, IT IS AGREED, by and between the Company and the
Participant, as follows:

        1. Terms of Award. The following terms used in this Agreement shall have
the meanings set forth in this paragraph 1:

               (a) The "Participant" is ________________.

               (b) The "Grant Date" is ________________.

               (c) The number of "Covered Shares" shall be _____________ shares
of Stock.

               (d) The "Exercise Price" is $_____________ per share.

Other terms used in this Agreement are defined pursuant to paragraph 13 or
elsewhere in this Agreement.

        2. Award and Exercise Price. This Agreement specifies the terms of the
option (the "Option") granted to the Participant to purchase the number of
Covered Shares of Stock at the Exercise Price per share as set forth in
paragraph 1. The Option is not intended to constitute an "incentive stock
option" as that term is used in Code section 422.

        3. Date of Exercise. Subject to the limitations of this Agreement, and
unless the Participant chooses to exercise the Option prior to vesting pursuant
to paragraph 4, the Option shall become exercisable with respect to 1/4 of the
Covered Shares on the one-year anniversary of the Grant Date (but only if the
Date of Termination has not occurred before the one-year anniversary). After
such one-year anniversary, the Option shall become exercisable with respect to
an additional 1/48 of the Covered Shares on each subsequent one-month
anniversary of the Grant Date (but only if the Date of Termination has not
occurred before the respective one-month anniversary), until such time as this
Option is fully exercisable. Covered Shares as to which the Option is
exercisable in accordance with this paragraph 3 (regardless of whether the
Option has been exercised with respect to those shares) are sometimes referred
to as "vested shares," and

<PAGE>   27

Covered Shares as to which the Option is not exercisable in accordance with this
paragraph 3, until such time as the Option would have become exercisable with
respect to those shares (regardless of whether the Option has been exercised
with respect to those shares in accordance with paragraph 4) are sometimes
referred to as "unnvested shares." If the Participant is employed by the Company
or an Affiliate at the time of a Change in Control holds one or more outstanding
Options, such Participant shall be credited with two years of additional vesting
service for purposes of the vesting of Options, and the vesting of any Stock
purchased by the Participant under an Option.

Notwithstanding the foregoing provisions of this paragraph 3, the Option shall
become fully vested and exercisable upon the Date of Termination, if the Date of
Termination occurs by reason of the Participant's death or Disability. The
Option may be exercised on or after the Date of Termination only as to that
portion of the Covered Shares for which it was exercisable (or became
exercisable) immediately prior to the Date of Termination.

[THE FOLLOWING PARAGRAPH PROVIDES FOR FULL VESTING UPON TERMINATION OF
EMPLOYMENT IN THE 13TH MONTH AFTER A CHANGE IN CONTROL.]

[Notwithstanding any other provision, if a Change in Control occurs, and the
Participant terminates employment with the Company for any reason during the 30
day period which begins on the one-year anniversary of the Change in Control,
any Awards granted to the Participant shall become fully vested and exercisable
on such date of termination, and the Participant shall have the greater of (i)
90 days from the date of such termination or (ii) the period otherwise specified
for exercise after termination had the Participant been fully vested in the
Awards on the date of termination to exercise such Awards.]

        4. Exercise Prior to Vesting. Subject to the provisions of the Option,
the Participant may elect, at any time prior to his Termination Date, to
exercise the Option as to any part or all of the Covered Shares subject to this
Option at any time prior to the Expiration Date, including, without limitation,
a time prior to the date on which the Option would otherwise be exercisable in
accordance with paragraph 3; provided, however, that:

               (a) A partial exercise of the Option shall be deemed to cover
first vested shares and then the earliest vesting installment of unvested
shares.

               (b) Any shares so purchased from installments which have not
vested as of the date of exercise shall be subject to the purchase option in
favor of the Company as described in the Early Exercise Stock Purchase
Agreement.

               (c) The Participant shall be required to enter into an Early
Exercise Stock Purchase Agreement in the form provided by the Company with a
vesting schedule that will result in the same vesting as if no early exercise
had occurred.

The election provided in this paragraph 4 to purchase shares upon the exercise
of the Option prior to the Vesting Date shall cease upon the Participant's
Termination Date.

<PAGE>   28

        5. Expiration. The Option shall not be exercisable after the Company's
close of business on the last business day that occurs prior to the Expiration
Date. The "Expiration Date" shall be earliest to occur of:

               (a) the ten-year anniversary of the Grant Date;

               (b) if the Date of Termination occurs by reason of death,
Disability or Retirement, the one- year anniversary of such Date of Termination;
or

               (c) if the Date of Termination occurs for reasons other than
death, Disability, or Retirement, the 90-day anniversary of such Date of
Termination.

        6. Method of Option Exercise. Subject to the terms of this Agreement and
the Plan, the Option may be exercised in whole or in part by filing a written
notice with the Secretary of the Company at its corporate headquarters prior to
the Company's close of business on the last business day that occurs prior to
the Expiration Date. Such notice shall specify the number of shares of Stock
which the Participant elects to purchase, and shall be accompanied by payment of
the Exercise Price, or a portion of the Exercise Price as specified below if the
Participant elects to use the deferred payment alternative described below in
paragraph 8, for such shares of Stock indicated by the Participant's election.
The Option shall not be exercisable if and to the extent the Company determines
that such exercise would violate applicable state or Federal securities laws or
the rules and regulations of any securities exchange on which the Stock is
traded. If the Company makes such a determination, it shall use all reasonable
efforts to obtain compliance with such laws, rules and regulations. In making
any determination hereunder, the Company may rely on the opinion of counsel for
the Company.

        7. Payment of Exercise Price. Payment of the Exercise Price may be made
by any of the following methods or any combination thereof,

               (a) By cash or by check payable to the Company;

               (b) Except as otherwise provided by the Committee before the
Option is exercised and provided that the Company's common stock is publicly
traded and quoted regularly in the Wall Street Journal, by delivery of shares of
Stock owned by the Participant and acceptable to the Committee having an
aggregate Fair Market Value (valued as of the date of exercise) that is equal to
the amount of cash that would otherwise be required; or

               (c) By authorizing a third party to sell shares of Stock (or a
sufficient portion of the shares) acquired upon exercise of the Option and remit
to the Company a sufficient portion of the sale proceeds to pay the entire
Exercise Price and any tax withholding resulting from such exercise.

        8. Deferral Payment Alternative. Provided that the Exercise Price for
the installment, or portion thereof, being purchased exceeds $500, the
Participant may pay the Exercise Price pursuant to the deferred payment
alternative as follows:

<PAGE>   29

               (a) Not less than twenty-five percent (25%) of the aggregate
Exercise Price shall be due at the time of exercise, not less than twenty-five
percent (25%) of said Exercise Price, plus accrued interest, shall be due each
year after the date of exercise, and final payment of the remainder of the
Exercise Price, plus accrued interest, shall be due three (3) years from date of
exercise or, at the Company's election, upon the Participant's Termination Date;

               (b) Interest shall be payable at least annually and shall be
charged at the minimum rate of interest necessary to avoid the treatment as
interest, under any applicable provisions of the Code, of any portion of any
amounts other than amounts stated to be interest under the deferred payment
arrangement; and

               (c) In order to elect the deferred payment alternative, the
Participant must, as a part of his written notice of exercise, give notice of
the election of this payment alternative and, in order to secure the payment of
the deferred Exercise Price to the Company hereunder, if the Company so
requests, the Participant must tender to the Company a promissory note and a
security agreement covering the purchased shares, both in form and substance
satisfactory to the Company, or such other or additional documentation as the
Company may request.

        9. Limit on Stock Sales. With respect to any shares that a Participant
acquires as a result of the exercise of the Option, the Company (or a
representative of the underwriters) may, in connection with the first
underwritten registration of the offering of any securities of the Company under
the Securities Act, require that the Participant not sell or otherwise transfer
or dispose of any shares of Stock or other securities of the Company during such
period (not to exceed one hundred eighty (180) days) following the effective
date of the registration statement of the Company filed under the Securities Act
as may be requested by the Company or the representative of the underwriters.
The Participant further agrees that the Company may impose stop-transfer
instructions with respect to securities subject to the foregoing restrictions
until the end of such period.

        10. Right of First Refusal by the Company. The Participant shall not
sell, assign, pledge or in any manner transfer any of the shares of Stock or any
right or interest therein, whether voluntarily or by operation of law, or by
gift or otherwise, except by a transfer which meets the following requirements:

               (a) If the Participant desires to sell or otherwise transfer any
of its shares of stock acquired upon exercise of the Option in an "arms-length"
transaction, then the Participant shall first give written notice thereof to the
Company. The notice shall name the proposed transferee and state the number of
shares to be transferred, the proposed consideration, and all other terms and
conditions of the proposed transfer.

               (b) For thirty (30) days following receipt of such notice, the
Company shall have the option to purchase all (but not less than all) of the
shares specified in the notice at the price and upon the terms set forth in such
notice; provided, however, that, with the consent of the Participant, the
Company shall have the option to purchase a lesser portion of the shares of
Stock specified in said notice at the price and upon the terms set forth
therein. In the event of a gift, property settlement or other transfer which
would not be considered to have been made on an

<PAGE>   30

"arms length" basis and in which the proposed transferee is not paying the full
price for the shares, the price shall be deemed to be the Fair Market Value of
the stock at such time as determined in good faith by the Board. In the event
the Company elects to purchase all of the shares or, with consent of the
Participant, a lesser portion of the shares, it shall give written notice to the
transferring Participant of its election and settlement for said shares shall be
made as provided below in paragraph (d).

               (c) The Company may assign its rights hereunder.

               (d) In the event the Company and/or its assignee(s) elect to
acquire any of the shares of the transferring Participant as specified in said
transferring Participant's notice, the Secretary of the Company shall so notify
the transferring Participant and settlement thereof shall be made in cash within
thirty (30) days after the Secretary of the Company receives said transferring
Participant's notice; provided that if the terms of payment set forth in said
transferring Participant's notice were other than cash against delivery, the
Company and/or its assignee(s) shall pay for said shares on the same terms and
conditions set forth in said transferring Participant's notice.

               (e) In the event the Company and/or its assignee(s) do not elect
to acquire all of the shares specified in the transferring Participant's notice,
said transferring Participant may, within the sixty (60)-day period following
the expiration of the option rights granted to the Company and/or its
assignee(s) herein, transfer the shares specified in said transferring
Participant's notice which were not acquired by the Company and/or its
assignee(s) as specified in said transferring Participant's notice.

               (f) Notwithstanding anything to the contrary contained herein,
the following transaction shall be exempt from the provisions of this paragraph
10: an Participant's bona fide pledge or mortgage of any shares with a
commercial lending institution, provided that any subsequent transfer of said
shares by said institution shall be conducted in the manner set forth in this
paragraph 10. In any such case, the transferee, assignee, or other recipient
shall receive and hold such stock subject to the provisions of this paragraph
10, and there shall be no further transfer of such stock except in accord with
this paragraph 10.

               (g) The provisions of this paragraph 10 may be waived with
respect to any transfer either by the Company, upon duly authorized action of
its Board, or by the stockholders, upon the express written consent of the
owners of a majority of the voting power of the Company (excluding the votes
represented by those shares to be transferred by the transferring Participant).

               (h) Any sale or transfer, or purported sale or transfer, of
securities of the Company shall be null and void unless the terms, conditions
and provisions of this paragraph 10 are strictly observed and followed.

               (i) The foregoing right of first refusal shall terminate upon the
date securities of the Company are first offered to the public pursuant to a
registration statement filed with, and declared effective by, the Securities and
Exchange Commission under the Securities Act of 1933.

<PAGE>   31

               (j) The certificates representing shares of stock of the Company
shall bear on their face the following legend so long as the foregoing right of
first refusal remains in effect:

               "The shares represented by this Certificate are subject to a
        right of first refusal option in favor of the Company and/or its
        Assignee(s)."

        11. Withholding. All deliveries and distributions under this Agreement
are subject to withholding of all applicable taxes. At the election of the
Participant, and subject to such rules and limitations as may be established by
the Committee from time to time, such withholding obligations may be satisfied
through the surrender of shares of Stock which the Participant already owns, or
to which the Participant is otherwise entitled under the Plan.

        12. Transferability. The Option is not transferable other than as
designated by the Participant by will or by the laws of descent and
distribution, and during the Participant's life, may be exercised only by the
Participant.

        13. Definitions. For purposes of this Agreement, the terms used in this
Agreement shall be subject to the following:

               (a) Change in Control. The term "Change in Control" shall be
defined as that term is defined in the Plan.

               (b) Date of Termination. The "Date of Termination" shall be the
first day occurring on or after the Grant Date on which the Participant is not
employed by the Company or any Subsidiary, regardless of the reason for the
termination of employment; provided that a termination of employment shall not
be deemed to occur by reason of a transfer of the Participant between the
Company and a Subsidiary or between two Subsidiaries; and further provided that
the Participant's employment shall not be considered terminated while the
Participant is on a leave of absence from the Company or a Subsidiary approved
by the Participant's employer. If, as a result of a sale or other transaction,
the Participant's employer ceases to be a Subsidiary (and the Participant's
employer is or becomes an entity that is separate from the Company), and the
Participant is not, at the end of the 30-day period following the transaction,
employed by the Company or an entity that is then a Subsidiary, then the
occurrence of such transaction shall be treated as the Participant's Date of
Termination caused by the Participant being discharged by the employer.

               (c) Disability. Except as otherwise provided by the Committee,
the Participant shall be considered to have a "Disability" during the period in
which the Participant is unable, by reason of a medically determinable physical
or mental impairment, to engage in any substantial gainful activity, which
condition, in the opinion of a physician selected by the Committee, is expected
to have a duration of not less than 120 days.

               (d) Retirement. "Retirement" of the Participant shall mean, with
the approval of the Committee, the occurrence of the Participant's Date of
Termination on or after the date the Participant attains age 55.

<PAGE>   32

               (e) Plan Definitions. Except where the context clearly implies or
indicates the contrary, a word, term, or phrase used in the Plan is similarly
used in this Agreement.

        14. Whole Shares. This Option may only be exercised for whole shares. In
lieu of issuing a fraction of a share upon any exercise of the Option, resulting
from an adjustment of the Option pursuant to paragraph 4.2(f) of the Plan or
otherwise, the Company will be entitled to pay to the Participant an amount
equal to the Fair Market Value of such fractional share.

        15. Heirs and Successors. This Agreement shall be binding upon, and
inure to the benefit of, the Company and its successors and assigns, and upon
any person acquiring, whether by merger, consolidation, purchase of assets or
otherwise, all or substantially all of the Company's assets and business. If any
rights exercisable by the Participant or benefits deliverable to the Participant
under this Agreement have not been exercised or delivered, respectively, at the
time of the Participant's death, such rights shall be exercisable by the
Designated Beneficiary, and such benefits shall be delivered to the Designated
Beneficiary, in accordance with the provisions of this Agreement and the Plan.
The "Designated Beneficiary" shall be the beneficiary or beneficiaries
designated by the Participant in a writing filed with the Committee in such form
and at such time as the Committee shall require. If a deceased Participant fails
to designate a beneficiary, or if the Designated Beneficiary does not survive
the Participant, any rights that would have been exercisable by the Participant
and any benefits distributable to the Participant shall be exercised by or
distributed to the legal representative of the estate of the Participant. If a
deceased Participant designates a beneficiary and the Designated Beneficiary
survives the Participant but dies before the Designated Beneficiary's exercise
of all rights under this Agreement or before the complete distribution of
benefits to the Designated Beneficiary under this Agreement, then any rights
that would have been exercisable by the Designated Beneficiary shall be
exercised by the legal representative of the estate of the Designated
Beneficiary, and any benefits distributable to the Designated Beneficiary shall
be distributed to the legal representative of the estate of the Designated
Beneficiary.

        16. Administration. The authority to manage and control the operation
and administration of this Agreement shall be vested in the Committee, and the
Committee shall have all powers with respect to this Agreement as it has with
respect to the Plan. Any interpretation of the Agreement by the Committee and
any decision made by it with respect to the Agreement is final and binding on
all persons.

        17. Plan Governs. Notwithstanding anything in this Agreement to the
contrary, the terms of this Agreement shall be subject to the terms of the Plan,
a copy of which may be obtained by the Participant from the office of the
Secretary of the Company; and this Agreement is subject to all interpretations,
amendments, rules and regulations promulgated by the Committee from time to time
pursuant to the Plan.

        18. Not An Employment Contract. The Option will not confer on the
Participant any right with respect to continuance of employment or other service
with the Company or any Subsidiary, nor will it interfere in any way with any
right the Company or any Subsidiary would

<PAGE>   33

otherwise have to terminate or modify the terms of such Participant's employment
or other service at any time.

        19. Notices. Any written notices provided for in this Agreement or the
Plan shall be in writing and shall be deemed sufficiently given if either hand
delivered or if sent by fax or overnight courier, or by postage paid first class
mail. Notices sent by mail shall be deemed received three business days after
mailing but in no event later than the date of actual receipt. Notices shall be
directed, if to the Participant, at the Participant's address indicated by the
Company's records, or if to the Company, at the Company's principal executive
office.

        20. No Rights As Shareholder. The Participant shall not have any rights
of a shareholder with respect to the shares subject to the Option, until a stock
certificate has been duly issued following exercise of the Option as provided
herein.

        21. Amendment. This Agreement may be amended by written agreement of the
Participant and the Company, without the consent of any other person.

        IN WITNESS WHEREOF, the Participant has executed this Agreement, and the
Company has caused these presents to be executed in its name and on its behalf,
all as of the Grant Date.

                                            Participant

                                            ------------------------------------

                                            Organic Inc.

                                            By:
                                               ---------------------------------
                                            Its:
                                                --------------------------------<PAGE>   1

                                                                   EXHIBIT 10.10

                                     LEASE

                                500 THIRD STREET

                          INTEREAL CORPORATION, AGENTS
                                 (415) 778-3900

        THIS LEASE, made on July 22, 1996, between 500 Third Street Associates,
herein called Lessor and Organic Online, Inc., herein called Lessee.

        THIS LEASE is subject to the terms, covenants and conditions herein set
forth and the Tenant covenants as a material part of the consideration for this
Lease to keep and perform each and all of said terms, covenants and conditions
by it to be kept and performed - and that this Lease is made upon the condition
of said performance.

                                   WITNESSETH:

                                    ARTICLE 1
                                    PREMISES

        Lessor hereby leases to Lessee and Lessee leases from Lessor for the
term, at the rental, and upon all of the conditions set forth herein a portion
of that certain real property situated in the City and County of San Francisco,
State of California, commonly known as the 500 Third Street Building, located at
the Northeast corner of Third and Bryant Streets. Said portion is more
particularly described as: 520 THIRD STREET, SUITE 515 a suite of approximately
1,914 SQUARE FEET, as diagrammed on Exhibit "B" attached to and made a part of
this lease. Said real property, including the land and the improvements therein
or so much as Lessee is entitled to occupy or use under terms of this lease, is
herein called "the Premises".

                                    ARTICLE 2
                                      TERM

        Except as otherwise provided in this Lease, the term of this Lease shall
be on a month to month basis commencing on April 1, 1996 unless sooner
terminated pursuant to any provisions hereof.

                                    ARTICLE 3
                                   POSSESSION

        Notwithstanding said commencement date, if for any reason Lessor cannot
deliver possession of the Premises to Lessee on said date, Lessor shall not be
subject to any liability therefor, nor shall such failure affect the validity of
this

                                       1
<PAGE>   2

Lease or the obligations of Lessee hereunder or extend the term hereof, but in
such case, Lessee shall not be obligated to pay rent until possession of the
Premises is tendered to Lessee; provided, however, that if Lessor shall not have
delivered possession of the Premises within sixty (60) days from said
commencement date, Lessee may, at Lessee's option, by notice in writing to
Lessor within ten (10) days thereafter, cancel this Lease, in which event the
parties shall be discharged from all obligations hereunder; provided further,
however, that if such written notice of Lessee is not received by Lessor within
said ten (10) day period, Lessee's right to cancel this Lease hereunder shall
terminate and be of no further force or effect. If Lessee occupies the Premises
prior to said commencement date, such occupancy shall be subject to all
provisions hereof, such occupancy shall not advance the termination date, and
Lessee shall pay rent for such period at the initial monthly rates set forth
below.

                                    ARTICLE 4
                                    BASE RENT

        Lessee shall pay to Lessor as base rent for the Premises the sum of One
Thousand Four Hundred Thirty Five Dollars 50/100 ($1,435.50), commencing April
1, 1996, in advance on or before the first day of each calendar month of the
term of this Lease without deduction, offset, prior notice or demand, in lawful
money of the United States. Base rent for any period during the term hereof
which is for less than one month shall be a pro rata portion of the monthly
installment calculated on a 30-day month basis and payable in advance.

                                    ARTICLE 5
                                SECURITY DEPOSIT

        Lessee has deposited with Lessor the sum of One Thousand Four Hundred
Thirty Five Dollars and 50/100 ($1,435.50). Said sum shall be held by Lessor as
security for the faithful performance by Lessee of all the terms, covenants, and
conditions of this Lease to be kept and performed by Lessee during the term
hereof. If Lessee defaults with respect to any provision of this lease,
including, but not limited to the provisions relating to the payment of rent,
Lessor may (but shall not be required to) use, apply or retain all or any part
of this security deposit for the payment of any rent or any other sum in
default, or for the payment of any amount which Lessor may spend or become
obligated to spend by reason of Lessee's default, or to compensate Lessor for
any other loss or damage which Lessor may suffer by reason of Lessee's default.
If any portion of said deposit is so used or applied, Lessee shall within five
(5) days after written demand therefor, deposit cash with Lessor in an amount
sufficient to restore the security deposit to its original amount and Lessee's
failure to do so shall be a material breach of this Lease. Lessor shall not be
required to keep this security deposit separate from its general funds, and
Lessee shall not be entitled to interest on such deposit. If Lessee shall fully
and faithfully perform every provision of this Lease to be performed by it, the
security deposit or any balance thereof shall be returned to Lessee (or, at
Lessor's option, to the last assignee of Lessee's interest here_____) at the
expiration of the

                                       2
<PAGE>   3

Lease term. In the event of termination of Lessor's interest in this Lease,
Lessor shall transfer said deposit to Lessor's successor in interest.

                                    ARTICLE 6
                                RENT ADJUSTMENTS

        Notwithstanding anything contained in this Article, the rental payable
by Lessee shall in no event be less than the base rent specified in Article four
(4) herein above. For the purposes of this Article, the following terms are
defined as follows:

        Base Year:        The calendar year in which this Lease term commences,
                          (1996).

        Comparison Year:  Each calendar year of the term after the Base Year.

        (A) Direct Expenses: All direct costs of operation and maintenance, as
determined by generally accepted accounting practices, shall include the
following costs by way of illustration, but not be limited to: real property
taxes and assessments; rent taxes, gross receipt taxes, (whether assessed
against the Lessor or assessed against the Lessee and collected by the Lessor,
or both), water and sewer charges, insurance premiums, utilities, janitorial
services, labor, costs incurred in the management of the Building, if any, air
conditioning & heating, elevator maintenance, supplies, material, equipment, and
tools, including maintenance, costs, and upkeep of all parking and common areas.
("Direct Expenses" shall not include depreciation on the Building of which the
Premises are a part or -equipment therein, loan payments, executive salaries or
real estate brokers' commissions, or costs paid directly by Lessee).

        If the Direct Expenses paid or incurred by the Lessor for the Comparison
Year on account of the operation or maintenance of the Building of which the
Premises are part are in excess of the Direct Expenses paid or incurred for the
Base Year, then the Lessee shall pay 1.27% of the increase. This percentage is
that portion of the total rentable area of the Building occupied by the Lessee
hereunder. Lessor shall endeavor to give to Lessee on or before the first day of
March of each year following the respective Comparison Year a statement of the
increase in rent payable by Lessee hereunder, but failure by Lessor to give such
statement by said date shall not constitute a waiver by Lessor of its right to
require an increase in rent. Upon receipt of the statement for the first
Comparison Year, Lessee shall pay in full the total amount of increase due for
the first Comparison Year, and in addition for the then current year, the amount
of any such increase shall be used as an estimate for said current year and this
amount shall be divided into twelve (12) equal monthly installments and Lessee
shall pay to Lessor, concurrently with the regular monthly rent payment next due
following the receipt of such statement, an amount equal to one (1) monthly
installment multiplied by the number of months from January in the calendar year
in which said statement is submitted to the month of such payment, both months
inclusive. Subsequent installments shall be payable concurrently with the
regular monthly rent payments for the balance of that calendar

                                       3
<PAGE>   4

year and shall continue until the next Comparison Year's statement is rendered.
If the next or any succeeding Comparison Year results in a greater increase in
Direct Expenses, then upon receipt of a statement from Lessor, Lessee shall pay
a lump sum equal to such total increase in Direct Expenses over the Base Year,
less the total of the monthly installments of estimated increases paid in the
previous calendar year for which comparison is then being made to the Base Year;
and the estimated monthly installments to be paid for the next year, following
said Comparison Year, shall be adjusted to reflect such increase. If in any
Comparison Year the Lessee's share of Direct Expenses be less than the preceding
year, then upon receipt of Lessor's statement, any overpayment made by Lessee on
the monthly installment basis provided above shall be credited towards the next
monthly rent, falling due and the estimated monthly installments of Direct
Expenses to be paid shall be adjusted to reflect such lower Direct Expenses for
the most recent Comparison Year. Even though the term has expired and Lessee has
vacated the Premises, when the final determination is made of Lessee's share of
Direct Expenses for the year in which this Lease terminates, Lessee shall
immediately pay any increase due over the estimated expenses paid and conversely
any overpayment made in the event said expenses decrease shall be immediately
rebated by Lessor to Lessee.

        (B) C.P.I. In addition, on January 1, 1997 and each anniversary date
thereafter the base rent as set forth in Article four (4) above shall be
annually increased by the percentage of increase, if any, in the Consumer Price
Index for revised urban wage earners and clerical workers - San Francisco
Oakland Area - as published by the United States Department of Labor's Bureau of
Labor Statistics. The base period, for purposes of such adjustment, shall be
January 1996, the base index for which is 458.4 The comparison period shall be
January 1997 and each January thereafter. Should the aforementioned Index be
discontinued the parties shall select another similar Index which reflects
consumer prices and if the parties cannot agree on another Index it shall be
selected by binding arbitration. (By way of illustration only, if the January
figure in which this Lease is executed is 140 and the January 1986 figure is
160, then the monthly rent payable for the ensuing calendar year shall be
increased by 14.29%).

        (C) Utilities. Lessee shall pay prior to delinquency for all water, gas,
hear, light, power, telephone, sewage, air conditioning and ventilating,
scavenger, janitorial, landscaping and all other materials and utilities
supplied to the Premises. If any such services are not separately metered to
Lessee, Lessee shall pay a pro rata share of all charges which are jointly
metered, the determination to be made by Lessor, and payment to be made by
Lessee together with rent as estimated by Lessor. Pro rata share for purposes
hereof shall be 1.27% and may be adjusted reasonably to reflect actual usage and
cost.

                                       4
<PAGE>   5

                                    ARTICLE 7
                                 PROPERTY TAXES

        Lessee shall pay prior to delinquency all taxes assessed against and
levied upon trade fixtures, furnishings, equipment and all other personal
property of Lessee contained in the Premises or elsewhere. When possible, Lessee
shall cause said trade fixtures, furnishings, equipment and all other personal
property to be assessed and billed separately from the real property of Lessor.
If any of Lessee's personal property shall be assessed with Lessor's real
property, Lessee shall pay Lessor the taxes attributable to Lessee within ten
(10) days after receipt of a written statement setting forth the taxes
applicable to Lessee's property.

                                    ARTICLE 8
                                       USE

        The Premises shall be used and occupied by Lessee for only the following
purposes and for no other purposes whatsoever without obtaining the prior
written consent of Lessor: Multi Media software design, production space and
computer server hosting.

        (A) Lessee shall not do or permit anything to be done in or about the
Premises which will increase the existing rate of insurance upon the Premises
(unless Lessee shall pay any increased premium as a result of such use or acts)
or cause the cancellation of any insurance policy covering said Premises or any
building of which the Premises may be a part, nor shall Lessee sell or permit to
be kept, used or sold in or about said Premises any articles which may be
prohibited by a standard form policy of fire insurance.

        (B) Lessee shall not do or permit anything to be done in or about the
Premises which will in any way obstruct or interfere with the rights of other
tenants or occupants of any building of which the Premises may be a part or
injure or annoy them or use or allow the Premises to be used for any unlawful or
objectionable purpose, nor shall Lessee cause, maintain or permit any nuisance
in, on or about the Premises. Lessee shall not commit or suffer to be committed
any waste in or upon the Premises.

        (C) Lessee shall not use the Premises or permit anything to be done in
or about the Premises which will in any way conflict with any law, statute,
zoning restriction, ordinance or governmental rule or regulation or requirements
or duly constituted public authorities now in force or which may hereafter be
enacted or promulgated. Lessee shall at its sole cost and expense promptly
comply with all laws, statutes, ordinances and governmental rules, regulations
or requirements now in force or which may hereafter be in force and with the
requirements of any board of fire underwriters or other similar body now or
hereafter constituted relating to or affecting the condition, use or occupancy
of the Premises. The judgment of any court of competent jurisdiction or the
admission of Lessee in any action against Lessee, whether Lessor be a party
thereto or not, that Lessee has violated any law,

                                       5
<PAGE>   6

statute, ordinance or governmental rule, regulation or covenant, shall be
conclusive of that fact as between Lessor and Lessee.

        (D) Lessee understands and acknowledges that using this premises as
permanent lodging or residence is prohibited by this lease and by local zoning
ordinances. Lessee further understands and acknowledges that Lessee may not
"build out" or construct any tenant improvements in this premises incident to
use of this premises as a residence, including, but not limited to, a kitchen or
a bedroom. Lessee certifies that the premises shall not be used as a residence.
Further, Lessee expressly agrees to indemnify the Lessor and to hold the Lessor
harmless in the event Lessor is subject to any liability, either civil or
criminal, including, but not limited to, any expense, fines, levies, liens or
other assessments, expenses or liabilities incurred as a result of any
proceeding by any person or governmental entity, as a result of Lessee's
violation of these terms.

                                    ARTICLE 9
                              CONDITION OF PREMISES

        If the Premises are completed as of the date of execution hereof, then
Lessee, by execution of this Lease, shall be deemed to have accepted the
Premises in the condition existing as of the date of execution and in any event
this Lease shall be subject to all applicable zoning ordinances and to any
municipal, county and state laws and regulations governing and regulating the
use of the Premises. Lessee acknowledges that neither Lessor nor Lessor's agent
has made any representation or warranty as to the suitability of the Premises
for the conduct of Lessee's business.

                                   ARTICLE 10
                       MAINTENANCE, REPAIR AND ALTERATIONS

        Lessee shall keep in good order, condition and repair the Premises and
every part thereof, structural and non structural, (whether or not such portion
of the Premises requiring repair, or the means of repairing the same are
reasonably or readily accessible to Lessee, and whether or not the need for such
repairs occurs as a result of Lessee's use, any prior use, the elements or the
age of such portion of the Premises) including, without limiting the generality
of the foregoing, all plumbing, air conditioning, (Lessee shall procure and
maintain, at Lessee's expense, an air conditioning system maintenance contract,
if applicable) ventilating, electrical, lighting facilities and equipment within
the Premises, fixtures, walls, (interior and exterior), ceilings, floors,
windows, doors, plate glass and skylights located within the Premises.

        (A) Lessor's Rights. If Lessee fails to perform Lessee's obligations
under this Article 10, or under any other paragraph of the Lease, Lessor shall
at its option provide reasonable time for Lessee to cure and (but shall not be
required to) enter upon the Premises after ten (10) days' prior written notice
to Lessee (except in the case of an emergency, in which case no notice shall be
required), perform such obligations on Lessee's behalf and put the same in good
order, condition and repair,

                                       6
<PAGE>   7

and the cost thereof together with interest thereon at the maximum rate then
allowable by law shall become due and payable as additional rental to Lessor
together with Lessee's next rental installment.

        (B) Lessor's Obligations. Except for the obligations of Lessor under
Article 9 (relating to Lessor's warranty), Article 14 (relating to destruction
of the Premises) and under Article 15 (relating to condemnation of the
Premises), it is intended by the parties hereto that Lessor have no obligation,
in any manner whatsoever, to repair and maintain the Premises [EXCEPT LESSOR
SHALL MAINTAIN STRUCTURAL ELEMENTS OF THE PREMISES LOCATED THEREON] nor the
equipment therein, all of which obligations are intended to be that of the
Lessee under Article 10 hereof. Lessee expressly waives the benefit of any
statute now or hereinafter in effect which would otherwise afford Lessee the
right to make repairs at Lessor's expense or to terminate this Lease because of
Lessor's failure to keep the Premises in good order, condition and repair.

        (C) Lessee shall not, without Lessor's prior written consent make any
alterations, improvements, additions, or Utility Installations in, on or about
the Premises, except for nonstructural alterations not exceeding $2,500 in
cumulative costs during the term of this Lease, [EXCEPT AS AGREED BETWEEN
PARTIES IN WRITING]. In any event, whether or not in excess of $2,500 in
cumulative cost, Lessee shall make no change or alteration to the exterior of
the Premises nor the exterior of the building(s) on the Premises without
Lessor's prior written consent.

                (1) As used in this Article 10 (C) the term "Utility
Installation" shall mean carpeting, window coverings, air lines, power panels,
electrical distribution systems, lighting fixtures, space heaters, air
conditioning, plumbing, and fencing. Lessor may require that Lessee remove any
or all of said alterations, improvements, additions or Utility Installations at
the expiration of the term, and restore the Premises to their prior condition.
Lessor may require Lessee to provide Lessor, at Lessee's sole cost and expense,
a lien and completion bond in an amount equal to one and one-half times the
estimated cost of such improvements, to insure Lessor against any liability for
mechanic's and materialmen's liens and to insure completion of the work. Should
Lessee make any alterations or improvements, additions or Utility Installations
without the prior approval of Lessor, Lessor may require that Lessee remove any
or all of the same.

                (2) Any alterations, improvements, additions or Utility
Installations in, or about the Premises that Lessee shall desire to make and
which requires the consent of the Lessor shall be presented to Lessor in written
form, with proposed detailed plans. If Lessor shall give its consent, the
consent shall be deemed conditioned upon Lessee acquiring a permit to do so from
appropriate governmental agencies, the furnishing of a copy thereof to Lessor
prior to the commencement of the work and the compliance by Lessee of all
conditions of said permit in a prompt and expeditious manner.

                                       7
<PAGE>   8

                (3) Lessee shall pay, when due, all claims for labor or
materials furnished or alleged to have been furnished to or for Lessee at or for
use in the Premises, which claims are or may be secured by any mechanics' lien
against the Premises or any interest therein. Lessee shall give Lessor not less
than ten (10) days' notice prior to the commencement of any work in the
Premises, and Lessor shall have the right to post notices of non-responsibility
in or on the Premises as provided by law. If Lessee shall, in good faith,
contest the validity of any such adverse judgment that may be rendered thereon
before the enforcement thereof against the Lessor or the Premises, upon the
condition that if Lessor shall require, Lessee shall furnish to Lessor a surety
bond satisfactory to Lessor in an amount equal to such contested lien claim or
demand indemnifying Lessor against liability for the same and holding the
Premises free from the effect of such lien or claim. In addition, Lessor may
require Lessee to pay Lessor's attorneys fees and costs in participating in such
action if Lessor shall decide it is to its best interest to do so.

                (4) Unless Lessor requires their removal, as set forth in
Article 10 (C), all alterations, improvement, additions and [_____] which may be
made on the Premises, shall become the property of the Lessor and remain upon
and be surrendered with the Premises at the expiration of the term.
Notwithstanding the provisions of this Article 10 (C), Lessee's machinery and
equipment, other than that which is affixed to the Premises so that it cannot be
removed without material damage to the Premises, shall remain the property of
Lessee and may be removed by Lessee subject to the provisions of Article 11.

                                   ARTICLE 11
                              SURRENDER OF PREMISES

        On the last day of the term hereof, or on any sooner termination, Lessee
shall surrender the Premises to Lessor in the same condition as when received,
ordinary wear and tear excepted, clean and free of debris. Lessee shall repair
any damage to the Premises occasioned by the installation or removal of Lessee's
trade fixtures, furnishings and equipment. Notwithstanding anything to the
contrary otherwise stated in this Lease, Lessee shall leave the air lines, power
panels, electrical distributions systems, lighting fixtures, plumbing and on the
Premises in the same condition as received.

                                   ARTICLE 12
                               LIABILITY INSURANCE

        Lessee shall, at Lessee's expense, obtain and keep in force during the
term of this Lease a policy of comprehensive public liability insurance insuring
Lessor and Lessee against any liability arising out of the ownership, use,
occupancy or maintenance of the Premises and all area appurtenant thereto. The
limit of said insurance shall not, however, limit the liability of the Lessee
hereunder. Lessee may carry said insurance under a blanket policy, providing,
however, said insurance by Lessee shall have a Lessor's protective liability
endorsement attached thereto. If Lessee shall fail to procure and maintain said
insurance, Lessor may, but shall not

                                       8
<PAGE>   9

be required to, procure and maintain same, but at the expense of the Lessee.
Insurance required hereunder, shall be in companies rated A+ or better in
"Best's Insurance Guide". Lessee shall deliver to Lessor prior to occupancy of
the Premises copies of policies of liability insurance required herein or
certificates evidencing the existence and amounts of such -insurance with loss
payable clauses satisfactory to Lessor. No policy shall be cancelable or subject
to reduction of coverage except after ten (10) days' prior written notice to
Lessor.

                                   ARTICLE 13
                                   SUBROGATION

        As long as their respective insurers so permit, Lessor and Lessee hereby
mutually waive their respective rights of recovery against each other for any
loss insured by fire, extended coverage and other property insurance policies
existing for the benefit of the respective parties. Each party shall obtain any
special endorsements, if required by their insurer to evidence compliance with
the aforementioned waiver.

                                   ARTICLE 14
                              DAMAGE OR DESTRUCTION

        (A) Partial Damage -- Insured. In the event improvements on the Premises
are damaged by any casualty which is covered under an insurance policy required
to be maintained pursuant to Article 13, then Lessor shall repair such damage as
soon as reasonably possible and this Lease shall continue in full force and
effect.

        (B) Partial Damage -- Uninsured. In the event the improvements on the
Premises are damaged, except by a negligent or willful act or omission of
Lessee, by any casualty not covered under an insurance policy required to be
maintained pursuant to Section 14.2, then Lessor may, at Lessor's option,
either:

                (1) repair such damage as soon as reasonably possible at
Lessor's expense, in which event this Lease shall continue in full force and
effect, or

                (2) give written notice to Lessee within thirty (30) days after
the date of occurrence of such damage of Lessor's intention to cancel and
terminate this Lease as of the date of the occurrence of the damage. In the
event Lessor elects to terminate this Lease pursuant to this Article 14 (B),
Lessee shall have the right within ten (10) days after receipt of the required
notice to notify Lessor in writing of Lessee's intention to repair such damage
at Lessee's expense, without reimbursement from Lessor, in which event this
Lease shall continue in full force and effect, and Lessee shall proceed to make
such repairs as soon as reasonably possible. If Lessee does not give such notice
within the ten (10) day period, this Lease shall be canceled and terminated as
of the date of the occurrence of such damage.

                                       9
<PAGE>   10

        (C) Total Destruction. If the Premises are totally destroyed during the
term of this Lease from any cause whether or not covered by the insurance
required under Article 13 (including any destruction required by any authorized
public authority), this Lease shall automatically terminate as of the date of
such total destruction.

        (D) Damage Near End of The Term. If the Premises are partially destroyed
or damaged during the last six (6) months of the term of this Lease, Lessor may
at Lessor's option cancel and terminate this Lease as of the date of occurrence
of such damage by giving written notice to Lessee of Lessor's election to do so
within thirty (30) days after the date of occurrence of such damage.

        (E) Lessor's Obligations. The Lessor shall not be required to repair any
injury or damage by fire or other cause, or to make any restoration or
replacement of any panelings, decorations, office fixtures, partitions,
railings, ceilings, floor covering, equipment, machinery or fixtures or any
other improvements or property installed in the Premises by Lessee or at the
direct or indirect expense of Lessee. Lessee shall be required to restore or
replace same in the event of damage.

        (F) Abatement of Rent; Lessee's Remedies.

                (1) If the premises are partially destroyed or damaged and
Lessor or Lessee repairs them pursuant to this Lease, the rent payable hereunder
for the period during which such damage and repair continues shall be abated in
proportion to the extent to which Lessee's use of the Premises is impaired.
Except for abatement of rent, if any, Lessee shall have no claim against Lessor
for any damage suffered by reason of any such damage, destruction, repair or
restoration, except for gross negligence on the part of Lessor.

                (2) If Lessor shall be obligated to repair or restore the
Premises under this Section 14 and shall not commence such repair or restoration
within ninety (90) days after such obligation shall accrue, Lessee at Lessee's
option may cancel and terminate this Lease by written notice to Lessor at any
time prior to the commencement of such repair or restoration. In such event this
Lease shall terminate as of the date of such notice.

        (G) Termination -- Advance Payments. Upon termination of this Lease
pursuant to Article 14, an equitable adjustment shall be made concerning advance
rent and any advance payments made by Lessee to Lessor. Lessor shall, in
addition, return to Lessee so much of Lessee's security deposit as has not
theretofore been applied by Lessor.

                                   ARTICLE 15
                                  CONDEMNATION

        (A) If the premises or any portion thereof are taken under the power of
eminent domain, or sold by Lessor under the threat of the exercise of said power
(all of which is herein referred to as "condemnation"), this Lease shall
terminate as to

                                       10
<PAGE>   11

the part so taken as of the date the condemning authority takes title or
possession, whichever occurs first. If more than ten percent (10%) of the floor
area of any buildings on the Premises, or more than twenty-five percent (25%) of
the land area of the Premises not covered with buildings, is taken by
condemnation, either Lessor or Lessee may terminate this Lease as of the date
the condemning authority takes possession, by notice in writing of `Such
election within twenty (20) days after Lessor shall have notified Lessee of the
taking, or in the absence of such notice then within twenty (20) days after the
condemning authority shall have taken possession.

        (B) If this Lease is not terminated by either Lessor or Lessee then it
shall remain in full force and effect as to the portion of the Premises
remaining, provided the rent shall be reduced in the proportion that the floor
area of the buildings taken within the Premises bears to the total floor area of
all buildings located on the Premises. In the event this Lease is not so
terminated then Lessor agrees, at Lessor's sole cost, to restore the Premises to
a complete unit of like quality and character as existed prior to the
condemnation as soon as reasonably possible. All awards for the taking of any
part of the Premises or any payment made under the threat of the exercise of
compensation for diminution of value of a leasehold or for the taking of the fee
or as severance damages; provided, however, that Lessee shall be entitled to any
award for loss of or damage to Lessee's trade fixtures and removable personal
property. In the event that this Lease is not terminated by reason of such in
connection with such condemnation Lessor shall, to the extent of severance
damages received by Lessor in connection with such condemnation, repair any
damage to the Premises caused by such condemnation except to the extent that
Lessee has been reimbursed therefor by the condemning authority. Lessee shall
pay any amount in excess of such severance damages required to complete such
repair.

                                   ARTICLE 16
                                      LIENS

        Lessee shall keep the Premises and the property in which the Premises
are situated free from any liens arising out of any work performed, materials
furnished or obligations incurred by Lessee. Lessor may require, at Lessor's
sole option, that Lessee shall provide to Lessor, at Lessee's sole cost and
expense, a Lien and completion bond in an amount equal to one and one-half times
any and all estimated cost of any improvements, additions, or alterations in the
Premises, to insure Lessor against any liability for mechanics' and
materialmen's liens and to insure completion of the work.

                                   ARTICLE 17
                            ASSIGNMENT AND SUBLETTING

        Lessee shall not mortgage, pledge, hypothecate or encumber this Lease or
any interest therein. Lessee shall not assign this Lease or sublet, or suffer
any other person (the agents and servants of Lessee excepted) to occupy or use,
the Premises, or any part thereof, or any right or privilege appurtenant thereto
without the prior

                                       11
<PAGE>   12

written consent of Lessor first had and obtained, which consent shall not be
unreasonably withheld. Lessor's consent to one assignment or subletting shall
not be deemed to be a consent to any subsequent assignment or subletting, nor
shall Lessor's consent release Lessee from any of its obligations under this
Lease unless such consent expressly so provides. Any assignment, subletting,
occupation or use without the consent of Lessor shall be void and, at the option
of Lessor, shall terminate this Lease.

        (A) In the event at any time or times during the term of this Lease
Lessee desires to sublet all or part of the Premises, Lessor reserves the prior
right and option to:

                (1) sublet from Lessee any portion of the premises proposed by
Lessee to be sublet for the term for which such portion is proposed to be sublet
but at the same rent (including escalation as provided for in Article 6 hereof)
as Lessee is required to pay to Lessor under this Lease for the same space,
computed on a pro rata of square footage basis or

                (2) terminate this Lease as it pertains to the portion of the
Premises so proposed by Lessee to be sublet. Lessee shall notify Lessor in
writing if Lessee proposes to sublet all or any part of the Premises,
designating the space proposed to be sublet and the terms of the proposed
subletting. Lessor shall be allowed fifteen (15) days after Lessor's foregoing
option. If Lessor fails to exercise its said option, all the provisions of
Article 17 subparagraph (1) above, respecting subletting, nevertheless shall be
in full force and effect and nothing contained in this subparagraph (2) shall be
construed as a waiver by Lessor of any of its rights under said subparagraph
(1).

        (B) Lessor's foregoing right and option shall continue throughout the
entire term of this Lease.

        (C) In no event shall Lessee assign this Lease or sublet the Premises or
any portion thereof to any then-existing lessee of the building.

                                   ARTICLE 18
                                  HOLD HARMLESS

        Lessee shall indemnify and hold harmless Lessor against and from any and
all claims arising from Lessee's use of the Premises for the conduct of its
business or from any activity, work, or other thing done, permitted or suffered
by the Lessee in or about the Premises, and shall further indemnify and hold
harmless Lessor against and from any and all claims arising from any breach or
default in the performance of any obligation on Lessee's part to be performed
under the terms of this Lease, or arising from any act or negligence of the
Lessee, or any officer, agent, employee, guest, or invitee of Lessee, and from
all and against all cost, attorney's fees, expenses and liabilities incurred in
or about any such claim or any action or proceeding brought thereon, and, in any
case, action or proceeding be brought

                                       12
<PAGE>   13

against Lessor by reason of any such claim, Lessee upon notice from Lessor shall
defend the same at Lessee's expense by counsel reasonably satisfactory to
Lessor. Lessee as a material part of the consideration to Lessor hereby assumes
all risk of damage to property or injury to persons, in, upon or about the
Premises, from any cause other than Lessor's negligence, and Lessee hereby
waives all claims in respect thereof against Lessor. Lessor or its agents shall
not be liable for any damage to property entrusted to employees of the Building,
nor for loss or damage to any property by theft or otherwise, nor for any injury
to or damage to persons or property resulting from fire, explosion, falling
plaster, steam, gas, electricity, water or rain which may leak from any part of
the Building or from the pipes, appliances or plumbing works therein or from the
roof, street or subsurface or from any other place resulting from dampness or
any other cause whatsoever, unless caused by or due to the negligence of Lessor,
its agents, servants or employees. Lessor or its agents shall not be liable for
interference with the light or other incorporeal hereditaments, loss of business
by Lessee, nor shall Lessor be liable for any latent defect in the Premises or
in the Building. Lessee shall give prompt notice to Lessor in case of fire or
accidents in the Premises or in the Building or of defects therein or in the
fixtures or equipment.

                                   ARTICLE 19
                              RULES AND REGULATIONS

        Lessee shall faithfully observe and comply with the rules and
regulations, indicated on Exhibit "A" attached hereto and hereby reference
thereto made a part hereof, that Lessor shall from time to time promulgate.
Lessor reserves the right from time to time to make all reasonable modifications
to said rules. The additions and modifications to those rules shall be binding
upon Lessee upon delivery of a copy of them to Lessee. Lessor shall not
unreasonably be responsible to Lessee for the nonperformance of any said rules
by any other tenants or occupants.

                                   ARTICLE 20
                                  HOLDING OVER

        If Lessee remains in possession of the Premises or any part thereof
after the expiration of the term hereof, with the express written consent of
Lessor, such occupancy shall be a tenancy from month to month and a rental in
the amount equal to 125% of the last monthly rental, plus all other charges
payable hereunder, and upon all the terms hereof applicable to a month to month
tenancy.

                                   ARTICLE 21
                                 ENTRY BY LESSOR

        Lessor reserves and shall at any and all times have the right to enter
the Premises, inspect the same, supply janitorial service and any other service
to be provided by Lessor to Lessee hereunder, to submit said Premises to
prospective purchasers or tenants, to post notices of non-responsibility, and to
alter, improve or repair the Premises and any portion of the Building of which
the Premises are a part

                                       13
<PAGE>   14

that Lessor may deem necessary or desirable, without abatement of rent and may
for that purpose erect scaffolding and other necessary structures where
reasonably required by the character of the work to be performed, always
providing that the entrance to the Premises shall not be blocked thereby, and
further providing that the business of the Lessee shall not be interfered with
unreasonably. Lessee hereby waives any claim for damages or for any injury or
inconvenience to or interference with Lessee's business, any loss of occupancy
or quiet enjoyment of the Premises, and any other loss occasioned thereby. For
each of the aforesaid purposes, Lessor shall at all times have and retain a key
with which to unlock all of the doors in, upon and about the Premises, excluding
Lessee's vaults, safes and files, and Lessor shall have the right to use any and
all means which Lessor may deem proper to open said doors in an emergency, in
order to obtain entry to the Premises without liability to Lessee except for any
failure to exercise due care for Lessee's property. Any entry to the Premises
obtained by Lessor by any of said means, or otherwise shall not under any
circumstances be construed or deemed to be a forcible or unlawful entry into, or
a detainer of, the Premises, or an eviction of Lessee from the Premises or any
portion thereof.

                                   ARTICLE 22
                                    ESTOPPEL

        Lessee shall at any time and from time to time upon not less than ten
(10) days' prior written notice from lessor execute, acknowledge and deliver to
Lessor a statement in writing,

        (A) certifying that this Lease is unmodified and in full force and
effect (or, if modified, stating the nature of such modification and certifying
that this Lease as so modified, is in full force and effect), and the date to
which the rental and other charges are paid in advance, if any, and

        (B) acknowledging that there are not, to Lessee's knowledge, any uncured
defaults on the part of the Lessor hereunder, or specifying such defaults if any
are claimed.

        Any such statement may be relied upon by any prospective purchaser or
encumbrancer of all or any portion of the real property of which the Premises
are a part.

                                   ARTICLE 23
                                 RECONSTRUCTION

        In the event the Premises or the Building of which the Premises are a
part are damaged by fire or other perils covered by extended coverage insurance,
Lessor agrees to forthwith repair the same; and this Lease shall remain in full
force and effect, except that Lessee shall be entitled to a proportionate
reduction of the rent while such repairs are being made, such proportionate
reduction to be based upon the extent to which the making of such repairs shall
materially interfere with the

                                       14
<PAGE>   15

business carried on by the Lessee in the Premises. If the damage is due to the
fault or neglect of Lessee or its employees, there shall be no abatement of
rent.

        (A) In the event the Premises or the Building of which the Premises are
a part are damaged as a result of any cause other than the perils covered by
fire and extended coverage insurance, then Lessor shall forthwith repair the
same, provided the extent of the destruction be less than ten (10%) per cent of
the full replacement cost, then Lessor shall have the option;

                (1) to repair or restore such damage, this Lease continuing in
full force and effect, but the rent to be proportionately reduced as herein
above in this Article provided; or

                (2) give notice to Lessee at any time within sixty (60) days
after such damage terminating this Lease as of the date specified in such
notice, which date shall be no less than thirty (30) days and no more than sixty
(60) days after the giving of such notice. In the event of giving such notice,
this Lease shall expire and all interest of the Lessee in the Premises shall
terminate on the date so specified in such notice and the rent, reduced by a
proportionate amount, based upon the extent, if any, to which such damage
materially interfered with the business carried on by the Lessee in the
Premises, shall be paid up to date of said such termination.

        (B) Notwithstanding anything to the contrary contained in this Article,
Lessor shall not have any obligation whatsoever to repair, reconstruct or
restore the Premises when the damage resulting from any casualty covered under
this Article occurs during the last twelve (12) months of the term of this Lease
or any extension thereof. Lessor shall not be required to repair any injury or
damage by fire or other cause, or to make any repairs or replacements of any
panels, decoration, office fixtures, railings, floor covering, partitions, or
any other property installed in the Premises by Lessee.

        (C) The Lessee shall not be entitled to any compensation or damages from
Lessor for loss of the use of the whole or any part of the Premises, Lessee's
personal property or any inconvenience or annoyance occasioned by such damage,
repair, reconstruction or restoration.

                                   ARTICLE 24
                              AUTHORITY OF PARTIES

        Corporate Authority. If Lessee is a corporation, each individual
executing this lease on behalf of said corporation represents and warrants that
he is duly authorized to execute and deliver this Lease on behalf of said
corporation, in accordance with a duly adopted resolution of the board of
directors of said corporation or in accordance with the by-laws of said
corporation, and that this Lease is binding upon said corporation in accordance
with its terms.

        Limited Partnerships. If the Lessor herein is a limited partnership, it
is understood and agreed that any claims by Lessee on Lessor shall be limited to
the

                                       15
<PAGE>   16

assets of the limited partnership, and furthermore, Lessee expressly waives any
and all rights to proceed against the individual partners or the officers,
directors or shareholders of any corporate partner, except to the extent of
their interest in said limited partnership.

                                   ARTICLE 25
                                     DEFAULT

        The occurrence of any one or more of the following events shall
constitute a default and breach of the Lease by Lessee.

        (A) The vacating or abandonment of the Premises by Lessee.

        (B) The failure by Lessee to make any payment of rent or any other
payment required to be made by Lessee hereunder, as and when due, where such
failure shall continue for a period of three (3) days after written notice,
thereof by Lessor to Lessee.

        (C) The failure by Lessee to observe or perform any of the covenants,
conditions or provisions of this Lease to be observed or performed by the
Lessee, other than described in Article 25 (B) above, where such failure shall
continue for a period of thirty (30) days after written notice thereof by Lessor
to Lessee; provided, however, that if the nature of Lessee's default is such
that more than thirty (30) days are reasonable required for its cure, then
Lessee shall not be deemed to be in default if Lessee commences such cure within
said thirty (30) day period and thereafter diligently prosecutes such cure to
completion.

        (D) The making by Lessee of any general assignment or general
arrangement for the benefit of creditors; or the filing by or against Lessee of
a petition to have Lessee adjudged a bankrupt, or a petition or reorganization
or arrangement under any law relating to bankruptcy (unless, in the case of a
petition filed against Lessee, the same is dismissed within sixty (60) days); or
the appointment of a trustee or a receiver to take possession of substantially
all of Lessee's assets located at the Premises or of Lessee's interest in this
Lease, where possession is not restored to Lessee within thirty (30) days; or
the attachment, execution or other judicial seizure of substantially all of
Lessee's assets located at the Premises or of Lessee's interest in this Lease,
where such seizure is not discharged in thirty (30) days.

                                   ARTICLE 26
                               REMEDIES IN DEFAULT

        In the event of any such material default or breach by Lessee, Lessor
may at any time thereafter, with notice but without limiting Lessor in the
exercise of a right or remedy which Lessor may have by reason of such default or
breach:

        (A) Terminate Lessee's right to possession of the Premises by any lawful
means, in which case this Lease shall terminate and Lessee shall immediately

                                       16
<PAGE>   17

surrender possession of the Premises to Lessor. In such event Lessor shall be
entitled to recover from Lessee all damages incurred by Lessor by reason of
Lessee's default including, but not limited to, the cost of recovering
possession of the Premises; expenses of reletting, including necessary
renovation and alteration of the Premises, reasonable attorney's fees, any real
estate commission actually paid; the worth at the time of award by the court
having jurisdiction thereof of the amount by which the unpaid rent for the
balance of the term after the time of such award exceeds the amount of such
rental loss for the same period that Lessee proves could be reasonable avoided;
that portion of the leasing commission paid by Lessor and applicable to the
unexpired term of this Lease. Unpaid installments of rent or other sums shall
bear interest from the date due at the rate of ten (10%) per cent per annum. In
the event Lessee shall have abandoned the Premises, Lessor shall have the option
of:

                (1) taking possession of the Premises and recovering from Lessee
the amount specified in this paragraph, or

                (2) proceeding under the provision of the following Article 26
(B).

        (B) Maintain Lessee's right to possession, in which case this Lease
shall continue in effect whether or not Lessee shall have abandoned the
Premises. In such event Lessor shall be entitled to enforce all of Lessor's
rights and remedies under this Lease, including the right to recover the rent as
it becomes due hereunder.

        (C) Pursue any other remedy now or hereafter available to Lessor under
the laws or judicial decision of the State in which the Premises are located.

                                   ARTICLE 27
                               GENERAL PROVISIONS

        (A) Plats and Riders. Clauses, plats and riders, if any, signed by the
Lessor and the Lessee and endorsed on or affixed to this Lease are a part
hereof.

        (B) Waiver. The waiver by Lessor of any term, covenant or condition
herein contained shall not be deemed to be a waiver of such term, covenant or
condition on any subsequent breach of the same or any other term, covenant or
condition herein contained. The subsequent acceptance of rent hereunder by
Lessor shall not be deemed to be a waiver of any preceding breach by Lessee of
any term, covenant or condition of this Lease, other than the failure of the
Lessee to pay the particular rental so accepted, regardless of Lessor's
knowledge of such preceding breach at the time of the acceptance of such rent.

        (C) Notices. All notices and demands which may or are to be required or
permitted to be given by either party to the other hereunder shall be in
writing. All notices and demands by the Lessee to the Lessor shall be sent by
United States Mail, postage prepaid, addressed to the Lessor at the Office of
the Building, or to such other person or place as the Lessor may from time to
time designate in a notice to the Lessee.

                                       17
<PAGE>   18

        (D) Joint Obligation. If there be more than one Lessee the obligations
hereunder imposed upon Lessees shall be joint and several.

        (E) Marginal Headings. The marginal headings and Article titles to the
Articles of this Lease are not a part of this Lease and shall have no effect
upon the construction or interpretation of any part hereof.

        (F) Time. Time is of the essence of this Lease and each and all of its
provisions in which performance is a factor.

        (G) Successors and Assigns. The covenants and conditions herein
contained, subject to the provisions as to assignment, apply to and bind the
heirs, successors, executors, administrators and assigns of the parties thereto.

        (H) Recordation. Neither Lessor nor Lessee shall record this Lease or a
short form memorandum hereof without the prior written consent of the other
party.

        (I) Quiet Possession. Upon Lessee paying the rent reserved hereunder and
observing and performing all of the covenants, conditions and provisions on
Lessee's part to be observed and performed hereunder, Lessee shall have quiet
possession of the Premises for the entire term hereof, subject to all the
provisions of this Lease.

        (J) Late Charges. Lessee hereby acknowledges that late payment by Lessee
to Lessor of rent or other sums due hereunder will cause Lessor to incur costs
not contemplated by this Lease, the exact amount of which will be extremely
difficult to ascertain. Such costs include, but are not limited to, processing
and accounting charges, and late charges which may be imposed upon Lessor by
terms of any mortgage or trust deed covering the Premises. Accordingly, if any
installment of rent or of a sum due from Lessee shall not be received by Lessor
or Lessor's designee within ten (10) days after said amount is due, then Lessee
shall pay to Lessor a late charge equal to ten (10%) per cent of such over due
amount. The parties hereby agree that such late charges represent a fair and
reasonable estimate of the cost that Lessor will incur by reason of the late
payment by Lessee. Acceptance of such late charges by the Lessor shall in no
event constitute a waiver of Lessee's default with respect to such overdue
amount, nor prevent Lessor from exercising any of the other rights and remedies
granted hereunder.

        (K) Prior Agreements. This Lease contains all of the agreements of the
parties hereto with respect to any matter covered or mentioned in this Lease,
and no prior agreements or understanding pertaining to any such matters shall be
effective for any purpose. No provision of this Lease may be amended or added to
except by an agreement in writing signed by the parties hereto or their
respective successors in interest. This Lease shall not be effective or binding
on any party until fully executed by both parties hereto.

        (L) Inability to Perform. This Lease and the obligations of the Lessee
hereunder shall not be affected or impaired because the Lessor is unable to
fulfill

                                       18
<PAGE>   19

any of its obligations hereunder or is delayed in doing so, if such inability or
delay is caused by reason of strike, labor troubles, acts of God, or any other
cause beyond the reasonable control of the Lessor.

        (M) Attorneys' Fees. In the event of any action or proceeding brought by
either party against the other under this Lease the prevailing party shall be
entitled to recover all costs and expenses including the fees of its attorneys
in such action or proceeding in such amount as the court may adjudge reasonable
as attorneys' fees.

        (N) Sale of Premises by Lessor. In the event of any sale of the
Building, Lessor shall be and is hereby entirely freed and relieved of all
liability under any and all of its covenants and obligations contained in or
after the consummation of such sale; and the purchaser, at such sale or any
subsequent sale of the Premises shall be deemed, without any further agreement
between the parties or their successors in interest or between the parties and
any such purchaser, to have assumed and agreed to carry out any and all of the
covenants and obligations of the Lessor under this Lease.

        (O) Subordination, Attornment. Upon request of the Lessor, Lessee will
in writing subordinate its rights hereunder to the lien of any first mortgage,
or first deed of trust to any bank, insurance company or other lending
institution, now or hereafter in force against the land and Building of which
the Premises are a part, and upon any buildings hereafter placed upon the land
of which the Premises are a part, and to all advances made or hereafter to be
made upon the security thereof. In the event any proceedings are brought for
foreclosure, or in the event of the exercise of the power of sale under any
mortgage or deed or trust made by the Lessor covering the Premises, the Lessee
shall attorn to the purchaser upon any such foreclosure or sale and recognize
such purchaser as the Lessor under this Lease. The provision of this Article to
the contrary notwithstanding, and so long as Lessee is not in default hereunder,
this Lease shall remain in full force and effect for the full term hereof.

        (P) Name. Lessee shall not use the name of the Building or of the
development in which the Building is situated for any purpose other than as an
address of the business to be conducted by the Lessee in the Premises.

        (Q) Separability. Any provision of this Lease which shall prove to be
invalid, void or illegal shall in no way affect, impair or invalidate any other
provision hereof and such other provision shall remain in full force and effect.

        (R) Cumulative Remedies. No remedy or election hereunder shall be deemed
exclusive but shall, wherever possible, be cumulative with all other remedies at
law or in equity.

        (S) Choice of Law. This Lease shall be governed by the laws of the State
in which the Premises are located.

                                       19
<PAGE>   20

        (T) Signs and Auctions. Lessee shall not place any sign upon the
Premises or Building or conduct any auction thereon without Lessor's prior
written consent.

                                   ARTICLE 28
                             REMODELING OF BUILDING

        Lessee acknowledges that Lessor intends to engage in extensive
remodeling of the building of which the leasehold premises form a part, and
agrees that Lessor may, for some period of time within the lease term, relocate
all or a portion of the leasehold premises to another part of the building for
the purpose of completing renovation or repairs. In such event Lessor shall use
its best efforts to provide comparable space and minimize inconvenience to
Lessee.

                                   ARTICLE 29
                                   RELOCATION

        Lessor reserves the right to relocate the premises to substantially
comparable space within the building. Lessor will give Lessee written notice of
its intention to relocate the premises, and Lessee will complete its relocation
within thirty (30) days after Lessor's notice. The base monthly rent of the new
space will not exceed the base monthly rent for the former premises. If Lessee
does not wish to relocate its premises, Lessee may terminate this lease
effective as of thirty (30) days after Lessor's initial notice. Upon Lessee's
vacation and abandonment of the premises, Lessor will pay to Lessee a sum equal
to one monthly installment of the base monthly rent payable under this lease,
and will return the unused portion of the security deposit, and Lessor's and
Lessee's obligations to each other will then end. If Lessee does relocate within
the building, then effective on the date of such relocation this lease will be
amended by deleting the description of the former premises and substituting for
it a description of the new space. Lessor agrees to pay the reasonable costs of
moving Lessee to the new space.

                                   ARTICLE 30
                               NON-DISCRIMINATION

        Lessee herein covenants by and for himself, his heirs, executors,
administrators and assigns, and all persons claiming under or through him, and
this Lease is made and accepted upon and subject to the following conditions:

        That there shall be no discrimination against or segregation of any
person or group of persons on account of race, color, creed, national origin or
ancestry, in the leasing, subleasing, transferring, use, occupancy, tenure or
enjoyment of the premises herein leased, nor shall Lessee himself, or any
persons claiming under or through him, establish or permit any such practice or
practices of discrimination or segregation with reference to the selection,
location, number, use or occupancy of Lessees, Lessors, sublessors, sublessees
or vendees in the premises herein leased.

                                       20
<PAGE>   21

                                   ARTICLE 31
                                 LESSOR'S AGENTS

        It is understood and agreed that this Lease is executed by Bressie and
Company solely in their capacity as Lessor's agents and said Bressie and Company
shall not be obligated to perform any of the terms, conditions or covenants to
be performed by Lessor herein, nor in any way be liable hereunder.

                                   ARTICLE 32
                                     BROKERS

        Lessee warrants that it has had no dealings with any real estate broker
or agents in connection with the negotiation of this Lease excepting only
[_____] and it knows of no other real estate broker or agent who is entitled to
a commission in connection with this Lease.

        If this Lease has been filled in, it has been prepared for submission to
your attorney for his approval. No representation or recommendation is made by
the real estate broker or its agents or employees as to the legal sufficiency,
legal effect, or tax consequences of this Lease or the transactions relating
thereto.

                                       21
<PAGE>   22

        THE PARTIES HERETO HAVE EXECUTED THIS LEASE AT THE PLACE AND ON THE DATE
SPECIFIED IMMEDIATELY ADJACENT TO THEIR RESPECTIVE SIGNATURES.

                             Lessor: 500 Third Street Associates
                                     c/o Interal Corporation
                                     520 Third Street, Suite 555
                                     San Francisco, CA 94107

                                     By: /s/ Elbert P. Bressie

                                     Title:  G.P.

                                     Dated:  8/15/96

                             Lessee: Organic Online, Inc.

                                     By: /s/ J.D. Davids

                                     Its: Director of Finance

                                     Title:
                                           -------------------------------------

                                     Dated:  8/13/96

                                       22
<PAGE>   23

                                   EXHIBIT "A"

                              RULES AND REGULATIONS

        1. No sign placard, picture, advertisement, name or notice shall be
inscribed, displayed or printed or affixed on or to any part of the outside or
inside of the Building without the written consent of Lessee first had and
obtained and Lessee shall have the right to remove any such sign, placard,
picture, advertisement, name or notice without notice to and at the expense of
Tenant.

        All approved sign or lettering on doors shall be printed, painted,
affixed or inscribed at the expense of Tenant by a person approved of by Lessee.

        Tenant shall not place anything or allow anything to be placed near the
glass of any window, door, partition or wall which may appear unsightly from
outside the Premises; provided, however, that Lessee may furnish and install a
Building standard window covering at all exterior windows. Tenant shall not
without prior written consent of Lessee cause or otherwise sunscreen any window.

        2. The sidewalks, halls, passages, exits, entrances, elevators and
stairways shall not be obstructed by any of the Lessors or used by them for any
purpose other than for ingress and egress from their respective Premises.

        3. Tenant shall not alter any lock or install any new or additional
locks or any bolts on any doors or windows of the Premises.

        4. The toilet rooms, urinals, wash bowls and other apparatus shall not
be used for any purpose other than that for which they were constructed and no
foreign substance of any kind whatsoever shall be thrown therein and the expense
of any breakage, stoppage or damage resulting from the violation of this rule
shall be borne by the Tenant who, or whose employees or invitees shall have
caused it.

        5. Tenant shall not overload the floor of the Premises or in any way
deface the Premises or any part thereof.

        6. No furniture, freight or equipment of any kind shall be brought into
the Building without the prior notice to Lessee and all moving of the same into
or out of the Building shall be done at such time and in such manner as Lessee
shall designate. Lessee shall have the right to prescribe the weight, size and
position of all safes and other heavy equipment brought into the building and
also the times and manner of moving the same in and out of the Building. Safes
or other heavy objects shall, if considered necessary by Lessee, stand on
supports of such thickness as is necessary to properly distribute the weight.
Lessee will not be responsible for loss of or damage to any such safe or
property from any cause and all damage done to the Building by moving or
maintaining any such safe or other property shall be repaired at the expense of
the Tenant.

                                       23
<PAGE>   24

        7. Tenant shall not use, keep or permit to be used or kept any foul or
noxious gas or substance in the Premises, or permit or suffer the Premises to be
occupied or used in a manner offensive or objectionable to the Lessee or other
occupants of the Building by reason of noise, odors and/or vibrations, or
interfere in any way with other Lessors or those having business therein, nor
shall any animals or birds be brought in or kept in or about the Premises or the
Building.

        8. No cooking shall be done or permitted by any Tenant on the Premises,
nor shall the Premises be used for the storage of merchandise, for washing
clothes, for lodging, or for any improper, objectionable or immoral purposes.

        9. Tenant shall not use or keep in the Premises or the Building any
kerosene, gasoline or inflammable or combustible fluid or material, or use any
method of heating or air conditioning other than that supplied by Lessee.

        10. Lessee will direct electricians as to where and how telephone and
telegraph wire are to be introduced. No boring or cutting for wires will be
allowed without the consent of the Lessee. The location of telephones, call
boxes and other office equipment affixed to the Premises shall be subject to the
approval of the Lessee.

        11. On Saturdays, Sundays and legal holidays, and on other days between
the hours of 6:00 P.M. and 8:00 A.M. the following day, access to the Building,
or to the halls, corridors, elevators or stairways in the Building, or to the
Premises may be refused unless the person seeking access is known to the person
or employee of the Building in charge and has a pass or is properly identified.
The Lessee shall in no case be liable for damages for any error with regard to
the admission to or exclusion from the Building of any person. In case of
invasion, mob, riot, public excitement, or other commotion, the Lessee reserves
the right to prevent access to the Building during the continuance of the same
by closing of the doors or otherwise, for the safety of the Lessors and
protection of property in the Building and the Building.

        12. Lessee reserves the right to exclude or expel from the Building any
person who, in the judgment of Lessee, is intoxicated or under the influence of
liquor or drugs, or who shall in any manner do any act in violation of any of
the rules and regulations of the Building.

        13. No vending machine or machines of any description shall be
installed, maintained or operated upon the Premises without the written consent
of the Lessee.

        14. Lessee shall have the right, exercisable without notice and without
liability to Tenant, to change the name and street address of the Building of
which the Premises are a part.

        15. Tenant shall not disturb, solicit, or canvass any occupant of the
Building and shall cooperate to prevent same.

                                       24
<PAGE>   25

        16. Without the written consent of Lessee, Tenant shall not use the name
of the Building in connection with or in promoting or advertising the business
of Tenant except as Tenant's address.

        17. Lessee shall have the right to control and operate the public
portions of the Building, and the public facilities, and heating and air
conditioning, as well as facilities furnished for the common use of the Lessors,
in such manner as it deems best for the benefit of the Lessors generally.

        18. All entrance doors in the Premises shall be left locked when the
Premises are not in use, and all doors opening to public corridors shall be kept
closed except for normal ingress and egress from the Premises.

                                       25
<PAGE>   26

                                    ADDENDUM

                               TENANT IMPROVEMENTS

        Space will be delivered in an AS-IS condition. Tenant to perform and pay
for any improvements. All permanent changes to be made with a building permit
and with Lessor's prior permission.

                                       26

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00000-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00000-of-00352.parquet"}]]