Document:

<PAGE>

                                                                     EXHIBIT 4.2

                                THIRD AMENDMENT
                                      TO
                               RIGHTS AGREEMENT

     This THIRD AMENDMENT TO THE RIGHTS AGREEMENT dated July 8, 1996, between
Dataware Technologies, Inc., a Delaware corporation (the "Company"), and
American Stock Transfer & Trust Company, a New York corporation, as Rights
Agent, as amended to date (the "Agreement"), is dated as of August 31, 2000.
Capitalized terms used and not defined herein have the same respective meanings
as in the Agreement. Except as set forth herein, the Agreement shall remain in
force without change.

     WHEREAS, on August 25, 2000, the Board of Directors of the Company
authorized the issuance and sale of shares of the Company's Series C Convertible
Preferred Stock (the "Series C Shares") and approved this Third Amendment to the
Agreement as an inducement to such issuance and sale;

     NOW, THEREFORE, in consideration of the premises and the mutual agreements
herein set forth, the parties hereby agree as follows:

     Section 1.  Amendment.  Pursuant to Section 27 of the Agreement, the
Agreement is hereby amended by deleting subsection 1(a) thereof in its entirety
and substituting therefor the following new subsection 1(a):

"(a) 'Acquiring Person' at any time shall mean any Person who or which, together
     with all Affiliates and Associates of such Person, shall be the Beneficial
     Owner of 15% or more of the shares of Common Stock then outstanding.
     Notwithstanding the foregoing, the term "Acquiring Person" shall not
     include the Company, any Company Affiliate or any "Purchaser," as such term
     is defined in the Convertible Preferred Stock Purchase Agreement of even
     date herewith by and among the Company and the Purchasers party thereto
     (the "Purchase Agreement"), as long as such Purchaser continues to be in
     compliance with Section 3.14 ("Shareholder Rights Plan") of the Purchase
     Agreement."

     Section 2.  Effect of Amendment.  Except as expressly amended hereby, the
Rights Plan shall continue in full force and effect.  All references in the
Agreement, any Rights Certificate or any related agreement, instrument or
document shall hereafter refer to the Agreement as amended hereby.

     Section 3.  Counterparts.  This Third Amendment may be executed in any
number of counterparts and each of such counterparts shall for all purposes be
deemed to be an original, and all such counterparts shall together constitute
one and the same instrument.
<PAGE>

     IN WITNESS WHEREOF, the parties hereto have caused this Third Amendment to
be duly executed and their respective corporate seals to be hereunto affixed and
attested, all as of the day and year first above written.

[CORPORATE SEAL]                   DATAWARE TECHNOLOGIES, INC.

                                   By: /s/ Michael Gonnerman

                                   Michael S. Gonnerman, Vice President
                                   and Chief Financial Officer

[CORPORATE SEAL]                   AMERICAN STOCK TRANSFER AND TRUST
                                   COMPANY

                                   By: /s/ Herbert J. Lemmer

                                   Name: Herbert J. Lemmer
                                   Title: Vice President

                                       2<PAGE>

                                                                     EXHIBIT 4.3

THE TRANSFER OF THIS WARRANT IS SUBJECT TO RESTRICTIONS SET FORTH IN SECTION
3.1(A) OF THE PURCHASE AGREEMENT BETWEEN  DATAWARE TECHNOLOGIES, INC. AND THE
ORIGINAL HOLDERS OF THIS WARRANT.

                          DATAWARE TECHNOLOGIES, INC.

                                    WARRANT
                                    -------

Warrant No.1                                              Dated: August 31, 2000

     Dataware Technologies, Inc., a Delaware corporation (the "Corporation"),
hereby certifies that, for value received, Deephaven Private Placement Trading
Ltd. or its registered assigns ("Holder"), is entitled, subject to the terms set
forth below, to purchase from the Corporation up to a total of 262,500 shares of
common stock, $.01 par value per share (the "Common Stock"), of the Corporation
(each such share, a "Warrant Share" and all such shares, the "Warrant Shares")
at an exercise price equal to $4.69518 per share (as adjusted from time to time
as provided in Section 8, the "Exercise Price"), payable in accordance with
Section 9 hereof, at any time and from time to time from and after the date
hereof and through and including August 31, 2005 (the "Expiration Date"), and
subject to the following terms and conditions:

          1.   Registration of Warrant.  The Corporation shall register this
               -----------------------
Warrant, upon records to be maintained by the Corporation for that purpose (the
"Warrant Register"), in the name of the record Holder hereof from time to time.
The Corporation may deem and treat the registered Holder of this Warrant as the
absolute owner hereof for the purpose of any exercise hereof or any distribution
to the Holder, and for all other purposes, and the Corporation shall not be
affected by notice to the contrary.

          2.   Registration of Transfers and Exchanges.
               ---------------------------------------

               (a)  The Corporation shall register the transfer of any portion
of this Warrant in the Warrant Register, upon surrender of this Warrant, with
the Form of Assignment attached hereto duly completed and signed, to the
Transfer Agent or to the Corporation at its address for notice set forth in
Section 12. Upon any such registration or transfer, a new warrant to purchase
Common Stock, in substantially the form of this Warrant (any such new warrant, a
"New Warrant"), evidencing the portion of this Warrant so transferred shall be
issued to the transferee and a New Warrant evidencing the remaining portion of
this Warrant not so transferred, if any, shall be issued to the transferring
Holder. The acceptance of the New Warrant by the transferee thereof shall be
deemed the acceptance of such transferee of all of the rights and obligations of
a holder of a Warrant.

               (b)  This Warrant is exchangeable, upon the surrender hereof by
the Holder to the office of the Corporation at its address for notice set forth
in Section 12 for one or more New Warrants, evidencing in the aggregate the
right to purchase the number of Warrant

                                       1
<PAGE>

Shares which may then be purchased hereunder. Any such New Warrant will be dated
the date of such exchange.

          3.   Duration and Exercise of Warrants.
               ---------------------------------

               (a)  This Warrant shall be exercisable by the registered Holder
on any business day before 6:30 P.M., New York City time, at any time and from
time to time on or after the date hereof to and including the Expiration Date.
At 6:30 P.M., New York City time on the Expiration Date, the portion of this
Warrant not exercised prior thereto shall be and become void and of no value.
Prior to the Expiration Date, the Corporation may not call or otherwise redeem
this Warrant.

               (b)  Upon delivery of a duly completed and signed Form of
Election to Purchase attached hereto (and the grid attached hereto as Annex A)
                                                                      -------
duly completed and signed, to the Corporation at its address for notice set
forth in Section 12 and upon payment of the Exercise Price multiplied by the
number of Warrant Shares that the Holder intends to purchase hereunder, in the
manner provided hereunder, all as specified by the Holder in the Form of
Election to Purchase, the Corporation shall promptly (but in no event later than
3 business days after the Date of Exercise (as defined herein)) issue or cause
to be issued and cause to be delivered to or upon the written order of the
Holder and in such name or names as the Holder may designate, a certificate for
the Warrant Shares issuable upon such exercise, free of restrictive legends. Any
person so designated by the Holder to receive Warrant Shares shall be deemed to
have become holder of record of such Warrant Shares as of the Date of Exercise
of this Warrant. The Corporation shall, upon request of the Holder, if
available, use its best efforts to deliver Warrant Shares hereunder
electronically through the Depository Trust Corporation or another established
clearing corporation performing similar functions.

               A "Date of Exercise" means the date on which the Corporation
shall have received the Form of Election to Purchase completed and duly signed.

               (c)  This Warrant shall be exercisable, either in its entirety
or, from time to time, for a portion of the number of Warrant Shares.

          4.   [INTENTIONALLY DELETED]

          5.   Payment of Taxes.  The Corporation will pay all documentary stamp
               ----------------
taxes attributable to the issuance of Warrant Shares upon the exercise of this
Warrant; provided, however, that the Corporation shall not be required to pay
any tax which may be payable in respect of any transfer involved in the
registration of any certificates for Warrant Shares or Warrants in a name other
than that of the Holder.  The Holder shall be responsible for all other tax
liability that may arise as a result of holding or transferring this Warrant or
receiving Warrant Shares upon exercise hereof.

          6.   Replacement of Warrant.  If this Warrant is mutilated, lost,
               ----------------------
stolen or destroyed, the Corporation shall issue or cause to be issued in
exchange and substitution for and upon cancellation hereof, or in lieu of and
substitution for this Warrant, a New Warrant, but only upon receipt of evidence
reasonably satisfactory to the Corporation of such loss, theft or

                                       2
<PAGE>

destruction and indemnity, if requested, satisfactory to it. Applicants for a
New Warrant under such circumstances shall also comply with such other
reasonable regulations and procedures and pay such other reasonable charges as
the Corporation may prescribe.

          7.   Reservation of Warrant Shares.  The Corporation covenants that it
               -----------------------------
will at all times reserve and keep available out of the aggregate of its
authorized but unissued Common Stock, solely for the purpose of enabling it to
issue Warrant Shares upon exercise of this Warrant as herein provided, the
number of Warrant Shares which are then issuable and deliverable upon the
exercise of this entire Warrant, free from preemptive rights or any other actual
contingent purchase rights of persons other than the Holder (taking into account
the adjustments and restrictions of Section 8).  The Corporation covenants that
all Warrant Shares that shall be so issuable and deliverable shall, upon
issuance and the payment of the applicable Exercise Price in accordance with the
terms hereof, be duly and validly authorized, issued and fully paid and
nonassessable.

          8.   Certain Adjustments.  The Exercise Price and number of Warrant
               -------------------
Shares issuable upon exercise of this Warrant are subject to adjustment from
time to time as set forth in this Section 8.
               (a)  If the Corporation, at any time while this Warrant is
outstanding, (i) shall pay a stock dividend (except scheduled dividends paid on
outstanding preferred stock as of the date hereof which contain a stated
dividend rate) or otherwise make a distribution or distributions on shares of
its Common Stock or on any other class of capital stock payable in shares of
Common Stock, (ii) subdivide outstanding shares of Common Stock into a larger
number of shares, or (iii) combine outstanding shares of Common Stock into a
smaller number of shares, the Exercise Price shall be multiplied by a fraction
of which the numerator shall be the number of shares of Common Stock (excluding
treasury shares, if any) outstanding before such event and of which the
denominator shall be the number of shares of Common Stock (excluding treasury
shares, if any) outstanding after such event. Any adjustment made pursuant to
this Section shall become effective immediately after the record date for the
determination of stockholders entitled to receive such dividend or distribution
and shall become effective immediately after the effective date in the case of a
subdivision or combination, and shall apply to successive subdivisions and
combinations.

               (b)  In case of any reclassification of the Common Stock or any
compulsory share exchange pursuant to which the Common Stock is converted into
other securities, cash or property, then the Holder shall have the right
thereafter to exercise this Warrant only into the shares of stock and other
securities and property receivable upon or deemed to be held by holders of
Common Stock following such reclassification or share exchange, and the Holder
shall be entitled upon such event to receive such amount of securities or
property equal to the amount of Warrant Shares such Holder would have been
entitled to had such Holder exercised this Warrant immediately prior to such
reclassification or share exchange.  The terms of any such reclassification or
share exchange shall include such terms so as to continue to give to the Holder
the right to receive the securities or property set forth in this Section 8(b)
upon any exercise following any such reclassification or share exchange.

               (c)  If the Corporation, at any time while this Warrant is
outstanding, shall distribute to all holders of Common Stock (and not to holders
of this Warrant) evidences of

                                       3
<PAGE>

its indebtedness or assets or rights or warrants to subscribe for or purchase
any security (excluding those referred to in Sections 8(a), (b) and (d)), then
in each such case the Exercise Price shall be determined by multiplying the
Exercise Price in effect immediately prior to the record date fixed for
determination of stockholders entitled to receive such distribution by a
fraction of which the denominator shall be the Exercise Price determined as of
the record date mentioned above, and of which the numerator shall be such
Exercise Price on such record date less the then fair market value at such
record date of the portion of such assets or evidence of indebtedness so
distributed applicable to one outstanding share of Common Stock as reasonably
determined by the Corporation's independent certified public accountants that
regularly examines the financial statements of the Corporation (an "Appraiser").

               (d)  In case of any (1) merger or consolidation of the
Corporation with or into another Person, or (2) sale by the Corporation of more
than one-half of the assets of the Corporation (on a book value basis) in one or
a series of related transactions, the Holder shall have the right thereafter to
(A) exercise this Warrant for the shares of stock and other securities, cash and
property receivable upon or deemed to be held by holders of Common Stock
following such merger, consolidation or sale, and the Holder shall be entitled
upon such event or series of related events to receive such securities, cash and
property as the Common Stock for which this Warrant could have been exercised
immediately prior to such merger, consolidation or sales would have been
entitled or (B) in the case of a merger or consolidation, (x) require the
surviving entity to issue common stock purchase warrants equal to the number
Warrant Shares to which this Warrant then permits, which newly warrant shall be
identical to this Warrant, and (y) simultaneously with the issuance of such
warrant, the Holder of such warrant shall have the right to exercise such
warrant only into shares of stock and other securities, cash and property
receivable upon or deemed to be held by holders of Common Stock following such
merger or consolidation or (C) in the case of a merger or consolidation (other
than a merger or consolidation in which the shareholders of the Corporation
immediately preceding the closing of such merger or consolidation own
immediately following such closing in excess of 66 2/3% of the surviving
entity's voting securities, provided that the surviving entity is a publically
traded entity that files reports under the Exchange Act and that neither the
exercise rights of the Holder nor the Holder's right to resell Warrant Shares
are restricted or impaired in any way as a result of such merger or
consolidation) exercise this Warrant for the shares of stock and other
securities, cash and property receivable upon or deemed to be held by holders of
Common Stock following such merger, consolidation or sale, and the Holder shall
be entitled upon such event or series of related events to receive 150% of the
amount of securities, cash and property as the Common Stock for which this
Warrant could have been exercised immediately prior to such merger,
consolidation or sales would have been entitled. In the case of clause (B), the
exercise price for such new warrant shall be based upon the amount of
securities, cash and property that each share of Common Stock would receive in
such transaction and the Exercise Price of this Warrant immediately prior to the
effectiveness or closing date for such transaction. The terms of any such
merger, sale or consolidation shall include such terms so as continue to give
the Holder the right to receive the securities, cash and property set forth in
this Section upon any conversion or redemption following such event. This
provision shall similarly apply to successive such events.

               (e)  For the purposes of this Section 8, the following clauses
shall also be applicable:

                                       4
<PAGE>

                    (i)  Record Date.  In case the Corporation shall take a
                         -----------
record of the holders of its Common Stock for the purpose of entitling them (A)
to receive a dividend or other distribution payable in Common Stock or in
securities convertible or exchangeable into shares of Common Stock, or (B) to
subscribe for or purchase Common Stock or securities convertible or exchangeable
into shares of Common Stock, then such record date shall be deemed to be the
date of the issue or sale of the shares of Common Stock deemed to have been
issued or sold upon the declaration of such dividend or the making of such other
distribution or the date of the granting of such right of subscription or
purchase, as the case may be.

                    (ii) Treasury Shares.  The number of shares of Common Stock
                         ---------------
outstanding at any given time shall not include shares owned or held by or for
the account of the Corporation, and the disposition of any such shares shall be
considered an issue or sale of Common Stock.

               (f)  All calculations under this Section 8 shall be made to the
nearest cent or the nearest 1/100th of a share, as the case may be.

               (g)  If:

                         (i)    the Corporation shall declare a dividend (or any
                                other distribution) on its Common Stock; or

                         (ii)   the Corporation shall declare a special
                                nonrecurring cash dividend on or a redemption of
                                its Common Stock; or

                         (iii)  the Corporation shall authorize the granting to
                                all holders of the Common Stock rights or
                                warrants to subscribe for or purchase any shares
                                of capital stock of any class or of any rights;
                                or

                         (iv)   the approval of any stockholders of the
                                Corporation shall be required in connection with
                                any reclassification of the Common Stock, any
                                consolidation or merger to which the Corporation
                                is a party, any sale or transfer of all or
                                substantially all of the assets of the
                                Corporation, or any compulsory share exchange
                                whereby the Common Stock is converted into other
                                securities, cash or property; or

                         (v)    the Corporation shall authorize the voluntary
                                dissolution, liquidation or winding up of the
                                affairs of the Corporation,

then the Corporation shall cause to be mailed to each Holder at their last
addresses as they shall appear upon the Warrant Register, at least 20 calendar
days prior to the applicable record or effective date hereinafter specified, a
notice stating (x) the date on which a record is to be taken for the purpose of
such dividend, distribution, redemption, rights or warrants, or if a record is
not

                                       5
<PAGE>

to be taken, the date as of which the holders of Common Stock of record to be
entitled to such dividend, distributions, redemption, rights or warrants are to
be determined or (y) the date on which such reclassification, consolidation,
merger, sale, transfer or share exchange is expected to become effective or
close, and the date as of which it is expected that holders of Common Stock of
record shall be entitled to exchange their shares of Common Stock for
securities, cash or other property deliverable upon such reclassification,
consolidation, merger, sale, transfer, share exchange, dissolution, liquidation
or winding up; provided, however, that the failure to mail such notice or any
               --------  -------
defect therein or in the mailing thereof shall not affect the validity of the
corporate action required to be specified in such notice.

          9.   Payment of Exercise Price.  The Holder shall pay the Exercise
               -------------------------
Price through a "net" or "cashless" exercise method (and shall not pay cash),
whereupon the Corporation shall issue to the Holder the number of Warrant Shares
determined as follows:

                    X = Y [(A-B)/A]
     where:
                    X = the number of Warrant Shares to be issued
     to the Holder.

                    Y = the number of Warrant Shares with respect to which this
                    Warrant is being exercised.

                    A = the average of the closing sale prices of the Common
                    Stock for the five (5) trading days immediately prior to
                    (but not including) the Date of Exercise.

                    B = the Exercise Price.

For purposes of Rule 144 promulgated under the Securities Act, it is intended,
understood and acknowledged that the Warrant Shares issued in a cashless
exercise transaction shall be deemed to have been acquired by the Holder, and
the holding period for the Warrant Shares shall be deemed to have been
commenced, on the issue date.

          10.  Certain Exercise Restrictions.
               -----------------------------

               (a)  A Holder may not exercise this Warrant to the extent such
exercise would result in the Holder, together with any affiliate thereof,
beneficially owning (as determined in accordance with Section 13(d) of the
Securities Exchange Act of 1934, as amended (the "Exchange Act") and the rules
                                                  ------------
promulgated thereunder) in excess of 4.999% of the then issued and outstanding
shares of Common Stock, including shares issuable upon such exercise and held by
such Holder after application of this Section. Since the Holder will not be
obligated to report to the Corporation the number of shares of Common Stock it
may hold at the time of an exercise hereunder, unless the exercise at issue
would result in the issuance of shares of Common Stock in excess of 4.999% of
the then outstanding shares of Common Stock without regard to any other shares
which may be beneficially owned by the Holder or an affiliate thereof, the
Holder shall have the authority and obligation to determine whether the
restriction contained in this Section will limit any particular exercise
hereunder and to the extent that the Holder

                                       6
<PAGE>

determines that the limitation contained in this Section applies, the
determination of which portion of this Warrant is exercisable shall be the
responsibility and obligation of the Holder. If the Holder has delivered a Form
of Election to Purchase for a number of Warrant Shares that, without regard to
any other shares that the Holder or its affiliates may beneficially own, would
result in the issuance in excess of the permitted amount hereunder, the
Corporation shall notify the Holder of this fact and shall honor the exercise
for the maximum portion of this Warrant permitted to be exercised on such Date
of Exercise in accordance with the periods described herein and, at the option
of the Holder, either keep the portion of the Warrant tendered for exercise in
excess of the permitted amount hereunder for future exercises or return such
excess portion of the Warrant to the Holder. The provisions of this Section may
be waived by a Holder (but only as to itself and not to any other Holder) upon
not less than 61 days prior notice to the Corporation. Other Holders shall be
unaffected by any such waiver.

               (b)  A Holder may not exercise this Warrant to the extent such
exercise would result in the Holder, together with any affiliate thereof,
beneficially owning (as determined in accordance with Section 13(d) of the
Exchange Act and the rules promulgated thereunder) in excess of 9.999% of the
then issued and outstanding shares of Common Stock, including shares issuable
upon such exercise and held by such Holder after application of this Section.
Since the Holder will not be obligated to report to the Corporation the number
of shares of Common Stock it may hold at the time of an exercise hereunder,
unless the exercise at issue would result in the issuance of shares of Common
Stock in excess of 9.999% of the then outstanding shares of Common Stock without
regard to any other shares which may be beneficially owned by the Holder or an
affiliate thereof, the Holder shall have the authority and obligation to
determine whether the restriction contained in this Section will limit any
particular exercise hereunder and to the extent that the Holder determines that
the limitation contained in this Section applies, the determination of which
portion of this Warrant is exercisable shall be the responsibility and
obligation of the Holder. If the Holder has delivered a Form of Election to
Purchase for a number of Warrant Shares that, without regard to any other shares
that the Holder or its affiliates may beneficially own, would result in the
issuance in excess of the permitted amount hereunder, the Corporation shall
notify the Holder of this fact and shall honor the exercise for the maximum
portion of this Warrant permitted to be exercised on such Date of Exercise in
accordance with the periods described herein and, at the option of the Holder,
either keep the portion of the Warrant tendered for exercise in excess of the
permitted amount hereunder for future exercises or return such excess portion of
the Warrant to the Holder. The provisions of this Section may be waived by a
Holder (but only as to itself and not to any other Holder) upon not less than 61
days prior notice to the Corporation. Other Holders shall be unaffected by any
such waiver.

          11.  Fractional Shares.  The Corporation shall not be required to
               -----------------
issue or cause to be issued fractional Warrant Shares on the exercise of this
Warrant.  The number of full Warrant Shares which shall be issuable upon the
exercise of this Warrant shall be computed on the basis of the aggregate number
of Warrant Shares purchasable on exercise of this Warrant so presented.  If any
fraction of a Warrant Share would, except for the provisions of this Section, be
issuable on the exercise of this Warrant, the Corporation shall pay an amount in
cash equal to the Exercise Price multiplied by such fraction.

                                       7
<PAGE>

          12.  Notices.  Any and all notices or other communications or
               -------
deliveries hereunder shall be in writing and shall be deemed given and effective
on the earliest of (i) the date of transmission, if such notice or communication
is delivered via facsimile at the facsimile telephone number specified in this
Section prior to 6:30 p.m. (New York City time) on a business day, (ii) the
business day after the date of transmission, if such notice or communication is
delivered via facsimile at the facsimile telephone number specified in this
Section later than 6:30 p.m. (New York City time) on any date and earlier than
11:59 p.m. (New York City time) on such date, (iii) the business day following
the date of mailing, if sent by nationally recognized overnight courier service,
or (iv) upon actual receipt by the party to whom such notice is required to be
given.  The addresses for such communications shall be:  (i) if to the
Corporation, to One Canal Park Cambridge, MA 02141 Facsimile No.: (617) 577-
2893, attn:  Chief Financial Officer, or (ii) if to the Holder, to the Holder at
the address or facsimile number appearing on the Warrant Register or such other
address or facsimile number as the Holder may provide to the Corporation in
accordance with this Section.

          13.  Warrant Agent.  The Corporation shall serve as warrant agent
               -------------
under this Warrant.  Upon thirty  days' notice to the Holder, the Corporation
may appoint a new warrant agent.  Any corporation into which the Corporation or
any new warrant agent may be merged or any corporation resulting from any
consolidation to which the Corporation or any new warrant agent shall be a party
or any corporation to which the Corporation or any new warrant agent transfers
substantially all of its corporate trust or shareholders services business shall
be a successor warrant agent under this Warrant without any further act.  Any
such successor warrant agent shall promptly cause notice of its succession as
warrant agent to be mailed (by first class mail, postage prepaid) to the Holder
at the Holder's last address as shown on the Warrant Register.

          14.  Miscellaneous.
               -------------

               (a)  This Warrant shall be binding on and inure to the benefit of
the parties hereto and their respective successors and assigns. This Warrant may
be amended only in writing signed by the Corporation and the Holder and their
successors and assigns.

               (b)  Subject to Section 14(a), above, nothing in this Warrant
shall be construed to give to any person or corporation other than the
Corporation and the Holder any legal or equitable right, remedy or cause under
this Warrant. This Warrant shall inure to the sole and exclusive benefit of the
Corporation and the Holder.

               (c)  The corporate laws of the State of Delaware shall govern all
issues concerning the relative rights of the Corporation and its stockholders.
All other questions concerning the construction, validity, enforcement and
interpretation of this Warrant shall be governed by and construed and enforced
in accordance with the internal laws of the State of New York, without regard to
the principles of conflicts of law thereof.  The Corporation and the Holder
hereby irrevocably submit to the exclusive jurisdiction of the state and federal
courts sitting in the City of New York, borough of Manhattan, for the
adjudication of any dispute hereunder or in connection herewith or with any
transaction contemplated hereby or discussed herein, and hereby irrevocably
waives, and agrees not to assert in any suit, action or proceeding, any claim
that it is not personally subject to the jurisdiction of any such court, or that
such suit,

                                       8
<PAGE>

action or proceeding is improper. Each of the Corporation and the Holder hereby
irrevocably waives personal service of process and consents to process being
served in any such suit, action or proceeding by receiving a copy thereof sent
to the Corporation at the address in effect for notices to it under this
instrument and agrees that such service shall constitute good and sufficient
service of process and notice thereof. Nothing contained herein shall be deemed
to limit in any way any right to serve process in any manner permitted by law.

               (d)  The headings herein are for convenience only, do not
constitute a part of this Warrant and shall not be deemed to limit or affect any
of the provisions hereof.

               (e)  In case any one or more of the provisions of this Warrant
shall be invalid or unenforceable in any respect, the validity and
enforceability of the remaining terms and provisions of this Warrant shall not
in any way be affected or impaired thereby and the parties will attempt in good
faith to agree upon a valid and enforceable provision which shall be a
commercially reasonable substitute therefor, and upon so agreeing, shall
incorporate such substitute provision in this Warrant.

          IN WITNESS WHEREOF, the Corporation has caused this Warrant to be duly
executed by its authorized officer as of the date first indicated above.

                         DATAWARE TECHNOLOGIES, INC.

                         By: /s/ Michael Gonnerman
                           Name: Michael Gonnerman
                           Title: Vice President and Chief Financial Officer

                                       9
<PAGE>

                         FORM OF ELECTION TO PURCHASE

To Dataware Technologies, Inc.:

     The undersigned is the holder of a Warrant, dated August 31, 2000 (Warrant
No. __) to acquire shares of your common stock, $.01 par value per share
("Common Stock").  The undersigned hereby irrevocably elects to purchase
________ shares of Common Stock under such Warrant.

     The undersigned requests that certificates for the shares of Common Stock
issuable upon this exercise be issued in the name of

                              PLEASE INSERT SOCIAL SECURITY OR
                              TAX IDENTIFICATION NUMBER

                        (Please print name and address)

Dated:_________,                        Name of Holder:

                                        (Print)________________________________

                                        (By:)__________________________________
                                        (Name:)
                                        (Title:)
                                        (Signature must conform in all respects
                                        to name of holder as specified on the
                                        face of the Warrant)

                                       10
<PAGE>

                                    Annex A
                                    -------

<TABLE>
<CAPTION>
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       Date          Number of Warrant       Number of Warrant         Number of
                    Shares Available to       Shares Exercised      Warrant Shares
                        be Exercised                                 Remaining to
                                                                     be Exercised
<S>                 <C>                      <C>                     <C>
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</TABLE>

                                       11
<PAGE>

                              FORM OF ASSIGNMENT

          [To be completed and signed only upon transfer of Warrant]

     FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers
unto ________________________________ the right represented by the within
Warrant to purchase  ____________ shares of Common Stock of Dataware
Technologies, Inc. to which the within Warrant relates and appoints
________________ attorney to transfer said right on the books of Dataware
Technologies, Inc. with full power of substitution in the premises.

Dated:

_______________, ____

                         _______________________________________
                         (Signature must conform in all respects to name of
                         holder as specified on the face of the Warrant)

                         _______________________________________
                         Address of Transferee

                         _______________________________________

                         _______________________________________

In the presence of:

__________________________

                                       12

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