Document:

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                                                                   EXHIBIT 10.32

                        CONVERTIBLE PROMISSORY NOTE AND
                          WARRANT PURCHASE AGREEMENT

     This Convertible Promissory Note and Warrant Purchase Agreement (the
"Agreement") is made as of July 20, 1999 by and among Applied Voice Recognition,
Inc., a Delaware corporation doing business as e-DOCS.net (the "Company"), and
the G-51 Capital LLC, a Texas limited liability company, (the "Investor").

                                   RECITALS

     WHEREAS, the Investor desires to purchase from the Company, and the Company
desires to issue to the Investor, a Convertible Promissory Note in the form of
Exhibit A attached hereto (the "Note") in the aggregate principal amount of Two
Hundred Fifty Thousand and No/100 Dollars ($250,000.00); and

     WHEREAS, the Investor desires to purchase from the Company, and the Company
desires to issue to the Investor, a Warrant in the form of Exhibit B attached
hereto on the terms and conditions set forth herein (the "Warrant"), such
Warrant to purchase that number of shares of "Next Stock" (defined below) of the
Company as determined pursuant to the terms and conditions of this Agreement and
the Warrant.

                                   AGREEMENT

     NOW, THEREFORE, in consideration of the mutual covenants and agreements set
forth herein and for good and valuable consideration, the receipt and adequacy
of which are hereby acknowledged, the parties hereby agree as follows:

     1.   Purchase and Sale of Note and Warrant.
          -------------------------------------

          1.1  Sale and Issuance of Note and Warrant.  Subject to the terms and
               -------------------------------------
conditions of this Agreement, the Investor agrees to purchase at the Closing (as
defined below) and the Company agrees to sell and issue to the Investor at the
Closing (a) a Note in the form attached hereto as Exhibit A, in the principal
amount of Two Hundred Fifty Thousand and No/100 Dollars ($250,000.00), at a
price equal to 100% of the principal amount thereof, and (b) a Warrant to
purchase such variable number of shares of the Company's Next Stock in the form
attached hereto as Exhibit B.

          1.2  Closing.  The purchase and sale of the Note and the Warrant
               -------
shall take place at the offices of Boyar, Simon & Miller, P.C., 4265 San Felipe,
Suite 1200, Houston, Texas 77027 at 10:00 a.m. on July 20, 1999, or at such
other time and place as the Company and the Investor shall mutually agree in
writing (which time and place are designated as the "Closing").

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          1.3  Deliveries.  At the Closing, the Company shall deliver to the
               ----------
Investor the Note and the Warrant that the Investor is purchasing against
payment of Two Hundred Fifty Thousand and No/100 Dollars ($250,000.00) by wire
transfer of same day funds.

          1.4  Conversion of the Note.  Upon the Next Qualified Equity
               ----------------------
Financing (as defined below), the principal amount of the Note plus any accrued
but unpaid interest will be automatically converted into that number of shares
of the Company's Next Stock issued in the Next Qualified Equity Financing as is
equal to the then principal balance of the Note plus any accrued but unpaid
interest divided by the price per share of the Company's Next Stock.

          1.5  Next Qualified Equity Financing.  The term Next Qualified Equity
               -------------------------------
Financing shall mean the next equity financing involving the receipt by the
Company of at least Four Million Seven Hundred Fifty Thousand Dollars
($4,750,000) (excluding amounts received on conversion of the Note, but
including amounts received on conversion of notes from other investors) which is
completed on or before November 24, 1999. If no such Next Qualified Equity
Financing shall have occurred by November 24, 1999, then the Note shall become
due and payable upon the election of the Holder.

          1.6  Next Stock.  The term "Next Stock" shall mean the stock into
               ----------
which the attached Note is convertible, and for which the attached Warrant is
exercisable. Next Stock shall be the same class and series and have the same
rights and limitations including, but not limited to, anti-dilution protection
and registration rights as the Company's stock, which is the subject of the Next
Qualified Equity Financing. The Investor shall not have any right to modify or
negotiate the terms upon which such stock is issued.

          1.7  Allocation of Purchase Price to the Warrant.  The Company hereby
               -------------------------------------------
allocates to the Warrant a purchase price of $0.01 for each share of Next Stock
that the Warrant is exercisable into and such purchase price shall be retained
by the Company from the principal of the Investor's Note by the Company and this
amount will not accrue interest or convert into any other security. Receipt of
such consideration is hereby acknowledged by the Company.

     2.   Representations and Warranties of the Company.  The Company hereby
          ---------------------------------------------
represents and warrants to and for the benefit of the Investor, with knowledge
that the Investor is relying thereon in entering into this Agreement and
purchasing the Note and the Warrant from the Company, that the following are
true and correct:

          2.1  Organization, Good Standing and Qualification.  The Company is a
               ---------------------------------------------
corporation duly organized, validly existing and in good standing under the laws
of the State of Delaware, and has all requisite corporate power and authority to
carry on its business as now conducted and as proposed to be conducted.  The
Company is duly qualified to transact business and is in good standing in each
jurisdiction in which the failure to so qualify would have a material adverse
effect on the operation of its business or properties.

          2.2  Authorization.  All corporate action on the part of the Company,
               -------------
its officers, directors and stockholders necessary for the authorization,
execution and delivery of

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this Agreement, the Note and the Warrant, and the performance of all obligations
of the Company thereunder has been taken or will be taken prior to the Closing,
and this Agreement, the Note and the Warrant constitute valid and legally
binding obligations of the Company, enforceable against the Company in
accordance with their respective terms, except (a) as limited by applicable
bankruptcy, insolvency, reorganization, moratorium and other laws of general
application affecting enforcement of creditors' rights generally, (b) as limited
by laws relating to the availability of specific performance, injunctive relief
or other equitable remedies, and (c) to the extent the indemnification
provisions, if any, contained in any of such documents may be limited by
applicable federal or state securities laws.

          2.3  Valid Issuance of Next Stock.  The shares of Next Stock of the
               ----------------------------
Company issuable upon the exercise of the Warrant which may be purchased by the
Investor pursuant to this Agreement have been or will be duly and validly
reserved for issuance and, upon issuance in accordance with the terms of the
Warrant shall be duly and validly issued, fully paid and nonassessable, and
issued in compliance with all applicable securities laws, as presently in
effect, of the United States and each of the states whose securities laws govern
the issuance of any of the Warrant pursuant to this Agreement.

          2.4  Governmental Consents.   No consent, approval, order or
               ---------------------
authorization of, or registration, qualification, designation, declaration or
filing with, any federal, state, local or provincial governmental authority on
the part of the Company is required in connection with the consummation of the
transactions contemplated by this Agreement and such other filings as may be
required by applicable state securities laws.

          2.5  Compliance with Other Instruments.  The Company is not in
               ---------------------------------
material violation or default of any provisions of its Certificate of
Incorporation or Bylaws or of any instrument, judgment, order, writ, decree or
contract to which it is a party or by which it is bound or, to its knowledge, of
any provision of federal or state statute, rule or regulation applicable to the
Company or otherwise in breach of any of the terms or conditions of any contract
or agreement which breach, either individually or in the aggregate, could
reasonably be expected to have a materially adverse effect on the business,
properties, financial condition or results of operations of the Company. To the
Company's knowledge, no other party to any of its material contracts or
agreements is in material default under any such contract or agreement. The
execution, delivery and performance of this Agreement, the Note and the Warrant,
and the consummation of the transactions contemplated hereby and thereby shall
not result in any such material violation or be in conflict with or constitute,
with or without the passage of time and giving of notice, either a default under
any such provision, instrument, judgment, order, writ, decree or contract or an
event that results in the creation of any lien, charge or encumbrance upon any
assets of the Company or the suspension, revocation, impairment, forfeiture or
nonrenewal of any material permit, license, authorization or approval applicable
to the Company, its business or operations or any of its assets or properties.

          2.6  Disclosure.  The Company has fully provided the Investor with
               ----------
all the material information which the Investor has requested for deciding
whether to purchase the Note and the Warrant and all material information which
the Company believes is reasonably

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necessary to enable the Investor to make such decision. Neither this Agreement
nor any other written statements or certificates made or delivered in connection
herewith or therewith contains any untrue statement of material fact or omits to
state a material fact necessary to make the statements in this Agreement or
therein not misleading.

     3.   Representations and Warranties of the Investor.  The Investor hereby
          ----------------------------------------------
represents and warrants to and for the benefit of the Company, with knowledge
that the Company is relying thereon in entering into this Agreement and issuing
the Note and the Warrant to the Investor, as follows:

          3.1  Purchase Entirely for Own Account.  By the Investor's execution
               ---------------------------------
of this Agreement, the Investor hereby confirms that the Note and Warrant to be
received by the Investor, the Next Stock issuable upon conversion of the Note,
and the Next Stock issuable upon exercise of the Warrant (collectively, the
"Securities") shall be acquired for investment for the Investor's own account,
not as a nominee or agent, and not with a view to the resale or distribution of
any part thereof, and that the Investor has no present intention of selling,
granting any participation in, or otherwise distributing the same. By executing
this Agreement, the Investor further represents that the Investor does not have
any contract, undertaking, agreement or arrangement with any person to sell,
transfer or grant participation to such person or to any third person, with
respect to any of the Securities. The Investor represents that it has full power
and authority to enter into this Agreement.

          3.2  Investment Experience.  The Investor is an investor in
               ---------------------
securities of companies in the development stage and acknowledges that it is
able to fend for itself, can bear the economic risk of its investment and has
such knowledge and experience in financial or business matters that it is
capable of evaluating the merits and risks of the investment in the Securities.

          3.3  Accredited Investor.  The Investor is an "accredited investor"
               -------------------
within the meaning of Securities and Exchange Commission Rule 501 of Regulation
D, as now in effect.

          3.4  Restricted Securities.  The Investor understands that the
               ---------------------
Securities it is and shall be purchasing are characterized as "restricted
securities" under the federal securities laws inasmuch as they are being
acquired from the Company in a transaction not involving a public offering and
that under such laws and applicable regulations such securities may be resold
without registration under the Securities Act of 1933, as amended (the "Act"),
only in certain limited circumstances. In this connection, the Investor
represents that it is familiar with Rule 144 promulgated under the Act, as now
in effect, and understands the resale limitations imposed thereby and by the
Act.

          3.5  Legends.  The Investor understands that the certificates
               -------
evidencing the Securities may bear one or all of the following legends:

               (a)  The securities evidenced by this certificate have not been
registered under the Securities Act of 1933, as amended (the "Act") or the
securities laws of any state of the United States. The securities evidenced by
this certificate may not be offered,

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sold or transferred for value directly or indirectly, in the absence of such
registration under the Act and qualification under applicable state laws, or
pursuant to an exemption from registration under the Act and qualification under
applicable state laws, the availability of which is to be established to the
reasonable satisfaction of the Company.

               (b)  Any legend required by the laws of the states of Delaware.

               (c)  Any legend required to be placed on the Securities purchased
by Investor in any future sale or offering of any Securities.

               (d)  A legend memorializing Section 5 below.

     4.   Restrictions on Disposition.  Without in any way limiting the
          ---------------------------
representations set forth in Section 3 above, the Investor further agrees not to
make any disposition of all or any portion of the Securities unless and until
the transferee has agreed in writing for the benefit of the Company to be bound
by this Section 4, and in addition thereto, one of the following conditions is
satisfied:

          4.1  Securities Registered.  There is then in effect a registration
               ---------------------
statement under the Act covering such proposed disposition and such disposition
is made in accordance with such registration statement.

          4.2  Registration Not Required.  The Investor shall have (i) notified
               -------------------------
the Company of the proposed disposition and shall have furnished the Company
with a detailed statement of the circumstances surrounding the proposed
disposition and (ii) if reasonably requested by the Company, furnished the
Company with an opinion of counsel, reasonably satisfactory to the Company, that
such disposition will not require registration of such securities under the Act;
provided, however, that the Company will not require opinions of counsel for
transactions made pursuant to Rule 144, except in unusual circumstances.

     5.   Market Stand-Off Agreement.  During the period of duration (not to
          --------------------------
exceed 180 days) specified by the Company and an underwriter of Common Stock or
other securities of the Company, following the effective date of a registration
statement of the Company filed under the Act, the Investor shall not, to the
extent requested by the Company and such underwriter, directly or indirectly
sell, offer to sell, contract to sell (including, without limitation, any short
sale), grant any option to purchase or otherwise transfer or dispose of (other
than to transferees or donees who agree to be similarly bound) any securities of
the Company constituting Next Stock; provided, however, that this Section 5
shall be applicable (a) only to the first two such registration statements of
the Company pursuant to which Common Stock (or other securities) of the Company
are to be sold on its behalf to the public in an underwritten offering, and (b)
only if all officers and directors of the Company and all persons with
registration rights enter into similar agreements. In order to enforce the
foregoing covenant, the Company may impose stop-transfer instructions with
respect to the Common Stock of the Investor (and the shares or securities of
every other person subject to the foregoing restriction) until the end of such
period.

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     6.   General Provisions.
          ------------------

          6.1  Construction.  This Agreement shall be governed, construed and
               ------------
enforced in accordance with the internal laws of the State of Texas, without
giving effect to its conflicts of laws or principles.

          6.2  Entire Agreement.  This Agreement, together with the agreements
               ----------------
and documents referred to herein, constitute the entire agreement among the
parties hereto with respect to the subject matter hereof and supersede all prior
and contemporaneous negotiations, agreements and understandings.

          6.3  Notices.  All payments, notices, requests, demands and other
               -------
communications hereunder shall be in writing and shall be deemed to have been
duly given at the earlier of (i) the time of actual delivery or (ii) on the
third business day following the date deposited with the United States Postal
Service, postage prepaid, certified with return receipt requested, to the
parties at the following addresses or at such other address as shall be given in
writing by a party to the other parties as set forth on the signature page.

          6.4  Successors and Assigns.  This Agreement, and the rights and
               ----------------------
obligations of each of the parties hereunder, may not be assigned by the
Investor without the prior written consent of the Company. Subject to the
foregoing sentence, this Agreement shall inure to the benefit of, and shall be
binding upon, the parties and their successors and assigns.

          6.5  Severability.  If any term, covenant or condition of this
               ------------
Agreement is held to be invalid, void or otherwise unenforceable by any court of
competent jurisdiction, the remainder of this Agreement shall not be affected
thereby and the term, covenant and condition of this Agreement shall be valid
and enforceable to the fullest extent permitted by law.

          6.6  Modification.  Any term of this Agreement may be amended and the
               ------------
observance of any term of this Agreement may be waived (either generally or in a
particular instance and either retroactively or prospectively), with the written
consent of the Company and the Investor. Any amendment or waiver effected in
accordance with this Section shall be binding upon all parties to this
Agreement, including, without limitation, any holder who may not have executed
such amendment or waiver, and each future holder of any equity security into
which the Note is convertible and/or any holder of Next Stock that is received
upon the exercise of the Warrant.

          6.7  Attorney's Fees.  If any action of law or in equity is necessary
               ---------------
to enforce or interpret the terms of this Agreement, the prevailing party shall
be entitled to an award of its reasonable attorneys' fees, costs and
disbursements in addition to any other relief to which such party may be
entitled.

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

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     IN WITNESS WHEREOF, the undersigned have executed this Agreement to be
effective as of the date first written above.

COMPANY:

APPLIED VOICE RECOGNITION, INC.,
a Delaware corporation, d/b/a e-DOCS.net

By:/s/ Richard A. Cabrera
   ---------------------------
   Richard A. Cabrera,
   Chief Financial Officer

Address:
4615 Post Oak Place
Suite 111
Houston, TX 77027

INVESTOR:

G-51 Capital LLC,
a Texas limited liability company

By:/s/ N. Ruby Garza
   ---------------------------
   N. Rudy Garza, President

Address:
401 W. 29th Street
Austin, Texas  78705

                               [SIGNATURE PAGE TO
                          CONVERTIBLE PROMISSORY NOTE
                        AND WARRANT PURCHASE AGREEMENT]

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                                   EXHIBIT A

                            FORM OF PROMISSORY NOTE

<PAGE>

                                   EXHIBIT B

                                FORM OF WARRANT<PAGE>

                                                                   EXHIBIT 10.53

NEITHER THIS WARRANT NOR THE SECURITIES ISSUABLE UPON EXERCISE HEREOF HAVE BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "1933 ACT") OR THE
SECURITIES LAWS OF ANY STATE; THEREFORE, THIS WARRANT AND THE SECURITIES
ISSUABLE UPON EXERCISE HEREOF MAY NOT BE SOLD OR TRANSFERRED EXCEPT UPON SUCH
REGISTRATION OR UPON DELIVERY TO THE CORPORATION OF AN OPINION OF COUNSEL
SATISFACTORY TO THE CORPORATION THAT REGISTRATION IS NOT REQUIRED FOR SUCH SALE
OR TRANSFER.

                       WARRANT TO PURCHASE COMMON STOCK

                                      OF

               APPLIED VOICE RECOGNITION, INC., d/b/a e-DOCS.net

                         VOID AFTER DECEMBER 31, 2000

          This certifies that HILLEL BRONSTEIN ("Bronstein"), is entitled to
purchase one hundred eighteen thousand seven hundred fifty (118,750) shares (the
"Shares") of fully paid and nonassessable shares of Common Stock, $0.001 par
value (the "Common Stock"), of Applied Voice Recognition, Inc., a Delaware
corporation doing business as e-DOCS.net (the "Company"), at a purchase price
per share equal to the lower of (i) $1.75, or (ii) the average closing price of
the common stock for the thirty (30) day period immediately preceding the
Effective Date of this Warrant.  The Shares may be purchased at any time, in
whole or in part, until the expiration of this Warrant.

          The purchase price per share of Common Stock from time to time in
effect under this Warrant, and the number and character of shares covered
hereby, shall be subject to adjustments from time to time in certain instances
as follows, and the term "Exercise Price" shall mean the price per share
originally set forth in this Warrant or any price resulting from adjustments
pursuant to the terms hereof. The shares of Common Stock deliverable upon such
exercise, and as adjusted from time to time, are hereinafter sometimes referred
to as "Warrant Stock".  The term "Holder" shall refer to Bronstein or any person
or entity holding this Warrant in accordance with the terms hereof.

     (a)  Exercise of Warrant.  Subject to and in accordance with the provisions
          -------------------
hereof, this Warrant may be exercised in whole or in part after the date
appearing above the signature of the Company below (the "Effective Date"), but
not later than 5:00 p.m., Houston time, on December 31, 2000; or if such day is
a day on which United States postal offices are closed, then on the next
succeeding day which shall not be such a day, by presentation and surrender
hereof to the Company or at the office of its stock transfer agent, if any, with
the Purchase Form annexed hereto duly executed and accompanied by payment of the
Exercise Price for the number of shares specified in such form, together with
all applicable federal and state taxes.  If this Warrant should be exercised in
part only, the Company shall, upon surrender of this Warrant for cancellation,
execute and deliver a new Warrant evidencing the right of the Holder

                                      -1-
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to purchase the balance of the shares purchasable hereunder. Upon receipt by the
Company of this Warrant at the office or agency of the Company, in proper form
for exercise and pursuant to compliance herewith, together with payment of the
Exercise Price, the Holder shall be deemed to be the holder of record, for all
purposes, of the shares of Common Stock issuable upon such exercise,
notwithstanding that the stock transfer books of the Company shall then be
closed or that certificates representing such shares of Common Stock shall not
then be actually delivered to the Holder. Upon receipt of the required
deliveries, the Company shall, as promptly as practicable, and in any event
within ten (10) days thereafter, cause to be issued and delivered to the Holder
hereof or the transferee designated in the Purchase Form a certificate or
certificates representing the aggregate number of full shares of Common Stock
issuable upon such exercise registered in the name of the Holder hereof, or the
name of the transferee so designated, as the case may be.

     (b)  No Impairment.  The Company hereby agrees that (i) at all times there
          -------------
shall be reserved for issuance and delivery upon exercise of this Warrant such
number of shares of its Common Stock as shall be required for issuance and
delivery upon exercise of this Warrant, and (ii) it will take all action as may
be necessary in order that all shares of stock as may be issued pursuant to this
Warrant shall, upon issuance, be duly and validly issued, fully paid, non-
assessable and free from all taxes, liens and charges with respect to the
issuance thereof.

     (c)  Fractional Shares.  No fractional shares or scrip representing
          -----------------
fractional shares shall be issued upon the exercise of this Warrant.  With
respect to any fraction of a share called for upon any exercise hereof, after
payment of the Exercise Price for such fractional share by the Holder, the
Company shall round the number of shares issued upon the exercise of this
Warrant to the next highest full share.

     (d)  Assignment of Warrant or Warrant Stock or Loss of Warrant.
          ---------------------------------------------------------

          (1)  This Warrant may not be sold, transferred, assigned or
     hypothecated at any time after its execution and delivery, except upon
     compliance with the requirements of this Warrant and any applicable state
     or federal securities laws.

          (2)  Any sale, assignment, transfer or hypothecation of this Warrant
     shall be made by surrender of this Warrant to the Company or at the office
     of its stock transfer agent, if any, with the Assignment Form annexed
     hereto duly executed and accompanied with funds sufficient to pay any
     transfer tax; whereupon, the Company shall, after first receiving such
     evidence as the Company may reasonably require as to compliance with this
     Warrant, without charge, execute and deliver a new Warrant in the name of
     the assignee named in such instrument of assignment and this Warrant shall
     promptly be canceled.

          (3)  The term "Warrant" as used herein includes any Warrant issued in
     substitution for or replacement of this Warrant.  Upon receipt by the
     Company of evidence of the loss, theft, destruction or mutilation of this
     Warrant, and upon surrender

                                      -2-
<PAGE>

     and cancellation of this Warrant, if mutilated, the Company will at its
     expense execute and deliver a new Warrant of like tenor and date. When
     authorizing the execution and delivery of a new Warrant to replace a
     Warrant lost, stolen or destroyed, the Board of Directors of the Company
     may, in its sole discretion and as a condition precedent thereto, require
     the Holder to deliver an affidavit in a form satisfactory to the Board of
     Directors of the Company and to indemnify the Company against any claim
     that may be made against the Company with respect to such lost, stolen or
     destroyed Warrant.

     (e)  Anti-Dilution and Adjustment Provisions.  The purchase price per share
          ---------------------------------------
of Common Stock from time to time in effect under this Warrant, and the number
and character of shares covered hereby, shall be subject to adjustments from
time to time in certain instances as follows, and the term "Exercise Price"
shall mean the price per share originally set forth in this Warrant or any price
resulting from adjustments pursuant to the terms hereof.

          (1)  In case the Company shall subdivide its outstanding shares of
     Common Stock into a greater number of shares or shall issue in exchange for
     its outstanding shares of Common Stock a greater number of shares of Common
     Stock, then in each such case from and after the record date for such
     subdivision or exchange, the number of shares of Common Stock covered by
     this Warrant shall be increased in proportion to such increase in the
     number of outstanding shares of Common Stock and the Exercise Price then in
     effect shall be correspondingly decreased; and in the case the Company
     shall reduce the number of shares of its Common Stock by a combination of
     shares or shall issue in exchange for its outstanding shares of Common
     Stock a lesser number of shares of Common Stock, then in each such case
     from and after the record date for such combination or exchange, the number
     of shares of Common Stock covered by this Warrant shall be decreased in
     proportion to such reduction in the number of outstanding shares of Common
     Stock, and the then prevailing Exercise Price shall be correspondingly
     increased.

          (2)  In case the Company shall declare and pay a dividend upon its
     Common Stock payable in Common Stock, then in each such case from and after
     the record date for determining the stockholders entitled to receive such
     dividend, the number of shares of Common Stock covered by this Warrant
     shall be increased in proportion to the increase in the number of
     outstanding shares of Common Stock through such stock dividend, and the
     then prevailing Exercise Price shall be correspondingly decreased.

          (3)  In case of any reclassification or change of outstanding shares
     of Common Stock (other than as a result of a subdivision, combination or
     stock dividend) or in case of the consolidation or merger of the Company
     with or into any other corporation (other than a merger in which the
     Company is the continuing corporation and which does not result in any
     reclassification or change in its outstanding shares of Common Stock), or
     in case of any sale by the Company of all or substantially all of its
     assets to another corporation, the Holder shall have the right thereafter
     to receive upon exercise of this Warrant the amount and kind of shares of
     capital stock and other securities and property

                                      -3-
<PAGE>

     entitled to be received upon such reclassification, change, consolidation,
     merger or sale by a holder of the number of shares of Common Stock of the
     Company covered by this Warrant at the then prevailing Exercise Price,
     subject to subsequent adjustments as provided herein.

     (f)  Notices to Holder.  So long as this Warrant shall be outstanding and
          -----------------
unexercised (i) if the Company shall pay any dividend or make any distribution
upon the Common Stock, or (ii) if any capital reorganization of the Company,
reclassification of the capital stock of the Company, consolidation or merger of
the Company with or into another corporation, sale, lease or transfer of all or
substantially all of the property and assets of the Company to another
corporation, or voluntary or involuntary dissolution, liquidation or winding up
of the Company shall be effected, then, in any such case, the Company shall
cause to be delivered to the Holder, at least ten (10) days prior to the date
specified in (x) and at least thirty (30) days prior to the date specified in
(y) below, as the case may be, a notice containing a brief description of the
proposed action and stating the date on which (x) a record is to be taken for
the purpose of such dividend, distribution or rights, or (y) such
reclassification reorganization, consolidation, merger, conveyance, lease,
dissolution, liquidation or winding up is to take place and at least twenty (20)
days prior notice as to the date, if any is to be fixed, as of which the holders
of Common Stock of record shall be entitled to exchange their shares of Common
Stock for securities or other property deliverable upon such reclassification,
reorganization, consolidation, merger, conveyance, dissolution, liquidation, or
winding up.

     (g)  Transfer to Comply with the Securities Act.
          ------------------------------------------

          (1)  This Warrant or the Warrant Stock or any other security issued or
     issuable upon exercise of this Warrant may not be offered or sold except in
     conformity with the Securities Act, and then only against receipt of an
     agreement of such person to whom such offer of sale is made to comply with
     the provisions of this Section (g) with respect to any resale or other
     disposition of such securities.

          (2)  The Company may cause the legends set forth at the top of the
     first page hereof to be set forth on each Warrant and the following legends
     to be set forth on each certificate representing Warrant Stock, unless
     counsel for the Company is of the opinion as to any such certificate that
     such legend is unnecessary:

          THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
          REGISTERED UNDER THE SECURITIES ACT OF 1933 OR THE OR THE
          SECURITIES LAWS OF ANY STATE. SUCH SECURITIES MAY NOT BE SOLD
          OR TRANSFERRED EXCEPT UPON SUCH REGISTRATION OR UPON DELIVERY
          TO THE CORPORATION OF AN OPINION OF COUNSEL SATISFACTORY TO THE
          CORPORATION THAT

                                      -4-
<PAGE>

          REGISTRATION IS NOT REQUIRED FOR SUCH SALE OR TRANSFER.

     (h)  Applicable Law.  This Warrant shall be governed by, and construed in
          --------------
accordance with, the laws of the State of Delaware.

     (i)  Notice.  Any notices or certificates by the Company to the Holder and
          ------
by the Holder to the Company shall be deemed delivered if in writing and
delivered personally or five (5) days after being sent by certified mail or
registered mail, return receipt requested, to the Holder. For purposes hereof,
the address of the Holder shall be c/o Beno Enterprises, Inc., 333 41st Street,
Suite 900, Miami Beach, Florida 33140, Attention: Mr. Hillel Bronstein, and the
address of the Company shall be 1717 St. James Place, Suite 242, Houston, Texas
77056 Attention: Chief Financial Officer; provided, however, either address may
be changed by notice given in accordance herewith.

     (j)  Nonwaiver.  No course of dealing or any delay or failure to exercise
          ---------
any right, power or remedy hereunder on the part of the Holder hereof shall
operate as a waiver of or otherwise prejudice such Holder's rights, powers or
remedies.

     (k)  Holder Not a Stockholder.  Prior to the exercise of this Warrant as
          ------------------------
hereinbefore provided, the Holder hereof shall not, by virtue of its ownership
of this Warrant, except as specifically provided herein, be entitled to any of
the rights of a holder of Common Stock of the Company including, without
limitation, the right as a stockholder to (a) vote on or consent to any proposed
action of the Company or (b) receive notice of or attend any meetings of
stockholders of the Company or notice of any other proceedings of the Company.

     (l)  Successors and Assigns.  This Warrant and the rights evidenced hereby
          ----------------------
shall inure to the benefit of and be binding upon the successors and assigns of
the Company, the Holder hereof and the Holder of the shares of Common Stock
issued upon the exercise hereof, and shall be enforceable by any such Holder.

                    [REST OF PAGE INTENTIONALLY LEFT BLANK]

                                      -5-
<PAGE>

          IN WITNESS WHEREOF, the Company has caused this Warrant to be executed
effective as of May 4, 2000.

                                 APPLIED VOICE RECOGNITION, INC., d/b/a e-
                                 DOCS.net

                                 By: /s/ Timothy J. Connolly
                                     --------------------------------
                                     Timothy J. Connolly, President

                                Signature Page
                                      To
                       Warrant to Purchase Common Stock
                              (Hillel Bronstein)

                                      -6-
<PAGE>

                                 PURCHASE FORM

     The undersigned, the Holder of the within Warrant, hereby irrevocably
elects to exercise the purchase rights represented by said Warrant for, and to
purchase thereunder, ________ shares of Common Stock, $0.001 par value per
share, of Applied Voice Recognition, Inc., d/b/a e-DOCS.net and herewith makes
payment of $___________ in cash therefor and requests that the certificates for
such shares be issued in the name of __________________________________ and
delivered to _________________________________________________________________,
whose address is _____________________________________________________ and, if
such shares shall not be all of the shares purchasable hereunder, that a new
Warrant of like tenor for the balance of the shares purchasable hereunder be
delivered to the undersigned.

Dated:                           ___________________________________
                                 Name:______________________________
                                 Title:_____________________________

                                 Address:___________________________
                                         ___________________________
                                         ___________________________

                                 Social Security
                                 or Tax I.D. No.____________________
<PAGE>

                                 ASSIGNMENT IN FULL

     FOR VALUE RECEIVED, ___________________________________ hereby sells,
assigns and transfers unto _______________________________ the within Warrant
and all rights evidenced thereby and does irrevocably constitute and appoint
_________________________, attorney, to transfer the said Warrant on the books
of the within named Company.

Dated:_____________________             ___________________________________
                                        ___________________________________

                                        Address:___________________________
                                                ___________________________
                                                ___________________________

                                        Social Security
                                        or Tax I.D. No.____________________
<PAGE>

                              PARTIAL ASSIGNMENT

     FOR VALUE RECEIVED, ___________________________________ hereby sells,
assigns and transfers unto ________________________________ a portion of the
within Warrant and the rights evidenced thereby, to wit: the right to purchase
                                                 -- ---
______ shares of Common Stock of _____________________________________________
and does irrevocably constitute and appoint
____________________________________, attorney, to transfer to such extent the
said Warrant on the books of the within named Corporation.

Dated:_________________________              ________________________________
                                             ________________________________

                                             Address:________________________
                                                     ________________________
                                                     ________________________

                                             Social Security
                                             or Tax I.D. No._________________

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