Document:

<PAGE>   1
                                                                    Exhibit 10.2

                          REGISTRATION RIGHTS AGREEMENT

         REGISTRATION RIGHTS AGREEMENT, dated as of April 5, 2000, between FA,
Inc. d/b/a FA of Delaware (the "INVESTOR") and National Auto Credit, Inc., a
Delaware corporation (the "COMPANY").

                                    RECITALS
                                    --------

         WHEREAS, the Investor, an indirect wholly owned subsidiary of Reading
Entertainment, Inc., a Delaware corporation (the "PARENT"), has received or will
receive shares (the "SHARES") of Common Stock, par value $0.05 per share, of the
Company (the "COMMON STOCK"), in the amount and subject to the conditions set
forth in the Purchase Agreement, dated as of April 5, 2000, among, the Investor,
the Parent and the Company (the "PURCHASE AGREEMENT");

         WHEREAS, the Company has agreed to grant the Investor certain
registration rights with respect to the Shares; and

         WHEREAS, the Company and the Investor desire to define the registration
rights of the Investor on the terms and subject to the conditions herein set
forth.

         NOW, THEREFORE, in consideration of the foregoing premises and for
other good and valuable consideration, the parties hereby agree as follows:

1. DEFINITIONS

         As used in this Agreement, the following terms have the respective
meanings set forth below:

         "COMMISSION" shall mean the Securities and Exchange Commission or any
other federal agency at the time administering the Securities Act.

         "EXCHANGE ACT" shall mean the Securities Exchange Act of 1934, as
amended, and the rules and regulations promulgated thereunder.

         "HOLDER" shall mean any holder of Registrable Securities.

         "INITIATING HOLDER" shall mean any Holder or Holders of Registrable
Securities aggregating at least 25% of the aggregate number of shares of Common
Stock held by all Holders.

         "PERSON" shall mean an individual, partnership, joint-stock company,
corporation, limited liability company, trust or unincorporated organization,
and a government or agency or political subdivision thereof.

<PAGE>   2

         "REGISTER," "REGISTERED" and "REGISTRATION" shall mean a registration
effected by preparing and filing a registration statement in compliance with the
Securities Act (and any post-effective amendments filed or required to be filed)
and the declaration or ordering of effectiveness of such registration statement.

         "REGISTRABLE SECURITIES" shall mean the Shares and any additional
shares of Common Stock of the Company issued as a dividend or other distribution
with respect to, or in exchange for or in replacement of, the Shares, until, in
the case of any such securities, (i) a registration statement covering such
securities has been declared effective by the Commission and such securities
have been disposed of pursuant to such effective Registration Statement or (ii)
such securities have been disposed of in open market transactions pursuant to
Rule 144 under the Securities Act (or similar rule then in effect).

         "REGISTRATION EXPENSES" shall mean all expenses incurred by the Company
in compliance with Sections 2(a) and (b) hereof, excluding Selling and Legal
Expenses, but including, without limitation, all registration and filing fees,
printing expenses, blue sky fees and expenses and the expense of any special
audits incident to or required by any such registration (but excluding the
compensation of regular employees of the Company, which shall be paid in any
event by the Company).

         "SECURITY" and "SECURITIES" shall have the meaning set forth in Section
2(1) of the Securities Act.

         "SECURITIES ACT" shall mean the Securities Act of 1933, as amended, and
the rules and regulations promulgated thereunder.

         "SELLING AND LEGAL EXPENSES" shall mean (x) all underwriting and
selling discounts, fees and commissions applicable to the sale of Registrable
Securities and (y) all reasonable fees and disbursements of counsel retained by
the Holders of the Registrable Securities to be included in a particular
registration.

2. REGISTRATION RIGHTS

         (a) REQUESTED REGISTRATION.

                  (i) REQUEST FOR REGISTRATION. If the Company shall receive
         from an Initiating Holder, at any time after September 30, 2000, a
         written request that the Company effect any registration with respect
         to all or a part of the Registrable Securities, the Company will:

                           (A) promptly, but in any event within ten (10)
                  business days of the receipt of such request, give written
                  notice of the proposed registration, qualification or
                  compliance to all other Holders; and

                           (B) as soon as reasonably practicable, but in any
                  event within 60 days following the receipt of such request,
                  file a registration statement on an

                                       2
<PAGE>   3

                  appropriate form with the Commission and use its reasonable
                  best efforts to effect such registration (including, without
                  limitation, the execution of an undertaking to file
                  post-effective amendments, appropriate qualification under
                  applicable blue sky or other state securities laws and
                  appropriate compliance with applicable regulations issued
                  under the Securities Act) as may be so requested and as would
                  permit or facilitate the sale and distribution of all or such
                  portion of such Registrable Securities as are specified in
                  such request, together with all or such portion of the
                  Registrable Securities of any Holder or Holders joining in
                  such request as are specified in a written request received by
                  the Company within 10 business days after written notice from
                  the Company is given under Section 2(a)(i)(A) above; PROVIDED
                  that the Company shall not be obligated to effect, or take any
                  action to effect, any such registration pursuant to this
                  Section 2(a):

                           (v) in any particular jurisdiction in which the
                  Company would be required to execute a general consent to
                  service of process in effecting such registration,
                  qualification or compliance, unless the Company is already
                  subject to service in such jurisdiction and except as may be
                  required by the Securities Act or applicable rules or
                  regulations thereunder;

                           (w) with respect to a request for registration of
                  Shares, after the Company has effected one (1) such
                  registration pursuant to this Section 2(a) requested by an
                  Initiating Holder and such registration has been declared or
                  ordered effective and the sales of such Registrable Securities
                  shall have closed;

                           (x) if the Registrable Securities requested by all
                  Holders to be registered pursuant to such request do not have
                  an anticipated aggregate public offering price (before any
                  underwriting discounts and commissions) of at least
                  $1,000,000;

                           (y) if at the time of any request to register
                  Registrable Securities, the Company is engaged or intends to
                  engage in an acquisition, financing or other material
                  transaction which, in the good faith determination of the
                  Board of Directors of the Company, would be adversely affected
                  by the requested registration to the material detriment of the
                  Company, or the Board of Directors of the Company determines
                  in good faith that the registration would require the
                  disclosure of material information that the Company has a bona
                  fide business purpose for preserving as confidential, and that
                  the Company is not otherwise required by applicable securities
                  laws or regulations to disclose, in which event, the Company
                  may, at its option, direct that such request be delayed for a
                  period not in excess of sixty days from the date of the
                  determination by the Board of Directors, as the case may be,
                  such right to delay a request to be exercised by the Company
                  not more than once in any twelve-month period; or

                                       3
<PAGE>   4

                           (z) with respect to Holders who are officers,
                  directors or employees of the Company, if at the time of any
                  request to register Registrable Securities, directors,
                  officers, or employees of the Company are not permitted to
                  offer or sell securities in accordance with the Company's
                  policies.

                  The registration statement filed pursuant to the request of an
         Initiating Holder may, subject to the provisions of Section 2(a)(ii)
         below, include other securities, other than Registrable Securities, of
         the Company which are held by the other stockholders ("OTHER
         STOCKHOLDERS") of the Company.

                  The Holders holding a majority of the Registrable Securities
         requested to be registered may, at any time prior to the effective date
         of the registration statement relating to such registration, revoke
         such request, without liability to the Company, such Holders, any of
         the other Holders or the Other Stockholders, by providing a written
         notice to the Company revoking such request, PROVIDED that such revoked
         request shall count against the registrations available to the Holders
         pursuant to Section 2(a)(w) unless such Holders pay the costs and
         expenses associated with such revoked request.

                  (ii) UNDERWRITING. If the Initiating Holders intend to
         distribute the Registrable Securities covered by their request by means
         of an underwriting, they shall so advise the Company as a part of their
         request made pursuant to Section 2(a). If shares held by Other
         Stockholders are requested by such Other Stockholders to be included in
         any registration pursuant to this Section 2, the Company shall
         condition such inclusion on their acceptance of the further applicable
         provisions of this Section 2. The Initiating Holders whose Registrable
         Securities are to be included in such registration and the Company
         shall (together with all Other Stockholders proposing to distribute
         their securities through such underwriting) enter into an underwriting
         agreement in customary form with the representative of the underwriter
         or underwriters selected for such underwriting by such Initiating
         Holders and reasonably acceptable to the Company. Notwithstanding any
         other provision of this Section 2(a), if the representative advises the
         Holders in writing that marketing factors (including, without
         limitation, pricing considerations) require a limitation on the number
         of shares to be underwritten or a limitation on the inclusion of shares
         held by directors and officers of the Company, the securities of the
         Company held by Other Stockholders shall be excluded from such
         registration to the extent so required by such limitation. If, after
         the exclusion of such shares, further reductions are still required,
         the Registrable Securities of the Company held by each Holder other
         than the Initiating Holders shall be excluded from such registration to
         the extent so required by such limitation. Thereafter, if still further
         reductions are required, the number of Registrable Securities included
         in the registration by each Initiating Holder shall be reduced on a pro
         rata basis (based on the number of Registrable Securities held by such
         Initiating Holder), by such minimum number of Registrable Securities as
         is necessary to comply with such request. No Registrable Securities or
         any other securities excluded from the underwriting by reason of the
         underwriter's marketing limitation shall be included in

                                       4
<PAGE>   5

         such registration. If any Other Stockholder who has requested inclusion
         in such registration as provided above disapproves of the terms of the
         underwriting, such person may elect to withdraw therefrom by written
         notice to the Company, the underwriter and the Initiating Holders. The
         securities so withdrawn shall also be withdrawn from registration. If
         the underwriter has not limited the number of Registrable Securities or
         other securities to be underwritten, the Company and officers and
         directors of the Company may include its or their securities for its or
         their own account in such registration if the representative so agrees
         and if the number of Registrable Securities and other securities which
         would otherwise have been included in such registration and
         underwriting will not thereby be limited.

                  (iii) OTHER REGISTRATION RIGHTS. The Company shall not grant
         any registration rights inconsistent with the provisions of this
         Section 2(a) and in granting any demand registration rights hereafter
         shall provide that the Holders shall have the right to notice of the
         exercise of any such demand registration right and to participate in
         such registration on a pro rata basis.

         (b) COMPANY REGISTRATION.

                  (i) If the Company shall determine to register any of its
         equity securities either for its own account or for any Other
         Stockholders, other than a registration relating solely to employee
         benefit plans, or a registration relating solely to a Commission Rule
         145 transaction, or a registration on any registration form which does
         not permit secondary sales, the Company will:

                           (A) promptly give to each of the Holders a written
                  notice thereof; and

                           (B) include in such registration (and any related
                  qualification under blue sky laws or other compliance), and in
                  any underwriting involved therein, all the Registrable
                  Securities specified in a written request or requests, made by
                  the Holders within fifteen (15) days after receipt of the
                  written notice from the Company described in clause (A) above,
                  except as set forth in Section 2(b)(ii) below.

                  The Company may terminate, in its sole and absolute
         discretion, any registration described in this Section 2(b) at any time
         prior to the effectiveness of the applicable registration statement.
         Upon such termination, the Company's obligations under this Section
         2(b) with respect to such terminated registration shall terminate.

                  (ii) UNDERWRITING. If the registration of which the Company
         gives notice is for a registered public offering involving an
         underwriting, the Company shall so advise each of the Holders as a part
         of the written notice given pursuant to Section 2(b)(i)(A). In such
         event, the right of each of the Holders to registration pursuant to
         this Section 2(b) shall be conditioned upon such Holders' participation
         in such underwriting and the inclusion of such Holders' Registrable
         Securities in the underwriting to the extent

                                       5
<PAGE>   6

         provided herein. The Holders whose shares are to be included in such
         registration shall (together with the Company and the Other
         Stockholders distributing their securities through such underwriting)
         enter into an underwriting agreement in customary form with the
         representative of the underwriter or underwriters selected for
         underwriting by the Company. Notwithstanding any other provision of
         this Section 2(b), if the representative determines that marketing
         factors require a limitation on the number of shares to be underwritten
         or a limitation on the inclusion of shares held by directors and
         officers of the Company, the representative may (subject to the
         allocation priority set forth below) limit the number of Registrable
         Securities to be included in the registration and underwriting to not
         less than twenty five percent (25%) of the total number of shares to be
         included in such underwritten offering, subject to the Company's
         compliance with any registration obligations to any Demanding Holders
         (as hereinafter defined) participating in such registration. The
         Company shall so advise all holders of securities requesting
         registration, and the number of shares of securities that are entitled
         to be included in the registration and underwriting shall be allocated
         in the following manner: The securities of the Company held by
         officers, directors and Other Stockholders (other than Registrable
         Securities and other than securities held by holders who by contractual
         right demanded such registration ("DEMANDING HOLDERS")) shall be
         excluded from such registration and underwriting to the extent required
         by such limitation, and, if a limitation on the number of shares is
         still required, the number of shares that may be included in the
         registration and underwriting by each of the Holders other than the
         Demanding Holders shall be excluded from such registration to the
         extent so required by such limitation. Thereafter, if still further
         reductions are required, the number of shares included in the
         registration by each of the Demanding Holders shall be reduced, on a
         pro rata basis (based on the number of shares held by such Demanding
         Holders), by such minimum number of shares as is necessary to comply
         with such limitation. If any of the Holders or any officer, director or
         Other Stockholder disapproves of the terms of any such underwriting, he
         may elect to withdraw therefrom by written notice to the Company and
         the underwriter. Any Registrable Securities or other securities
         excluded or withdrawn from such underwriting shall be withdrawn from
         such registration.

                  (iii) NUMBER AND TRANSFERABILITY. Each of the Holders shall be
         entitled to have its shares included in two registrations pursuant to
         this Section 2(b); provided, however, that notwithstanding anything to
         the contrary contained herein, the Holders shall not be entitled to
         have their shares registered in the first registered public offering of
         the Company occurring within six months of the Closing Date.

         (c) EXPENSES OF REGISTRATION. All Registration Expenses incurred in
connection with any registration, qualification or compliance pursuant to this
Section 2 shall be borne by the Company, and all Selling and Legal Expenses
shall be borne by the Holders of the securities so registered pro rata on the
basis of the number of their shares so registered; provided, however, that if,
as a result of the withdrawal of a request for registration by any of the
Holders, as applicable, the registration statement does not become effective,
the Holders and Other Stockholders requesting registration may elect to bear the
Registration Expenses

                                       6
<PAGE>   7

(pro rata on the basis of the number of their shares so included in the
registration request, or on such other basis as such Holders and Other
Stockholders may agree), in which case such registration shall not be counted as
a registration pursuant to Section 2(a)(i)(B)(w).

         (d) REGISTRATION PROCEDURES. In the case of each registration effected
by the Company pursuant to this Section 2, the Company will keep the Holders
holding Registrable Securities requested to be included in such registration
("PARTICIPATING HOLDERS") advised in writing as to the initiation of each
registration and as to the completion thereof. At its expense, the Company will:

                  (i) furnish to each Participating Holder, and to any
         underwriter before filing with the Commission, copies of any
         registration statement (including all exhibits) and any prospectus
         forming a part thereof and any amendments and supplements thereto
         (including, upon request, all documents incorporated or deemed
         incorporated by reference therein) prior to the effectiveness of such
         registration statement and including each preliminary prospectus, any
         summary prospectus or any term sheet (as such term is used in Rule 434
         under the Securities Act)) and any other prospectus filed under Rule
         424 under the Securities Act, which documents, other than exhibits and
         documents incorporated or deemed incorporated by reference, will be
         subject the review of the Participating Holders and any such
         underwriter for a period of at least five business days, and the
         Company shall not file any such registration statement or such
         prospectus or any amendment or supplement to such registration
         statement or prospectus to which any Participating Holder or any such
         underwriter shall reasonably object within five business days after the
         receipt thereof; a Participating Holder or such underwriter(s), if any,
         shall be deemed to have reasonably objected to such filing only if the
         registration statement, amendment, prospectus or supplement, as
         applicable, as proposed to be filed, contains a material misstatement
         or omission;

                  (ii) furnish to each Participating Holder and to any
         underwriter, such number of conformed copies of the applicable
         registration statement and of each amendment and supplement thereto (in
         each case including all exhibits) and such number of copies of the
         prospectus forming a part of such registration statement (including
         each preliminary prospectus, any summary prospectus or any term sheet
         (as such term is used in Rule 434 under the Securities Act)) and any
         other prospectus filed under Rule 424 under the Securities Act, in
         conformity with the requirements of the Securities Act, and such other
         documents, including without limitation documents incorporated or
         deemed to be incorporated by reference prior to the effectiveness of
         such registration, as each of the Participating Holders or any such
         underwriter, from time to time may reasonably request;

                  (iii) to the extent practicable, promptly prior to the filing
         of any document that is to be incorporated by reference into any
         registration statement or prospectus forming a part thereof subsequent
         to the effectiveness thereof, and in any event no later than the date
         such document is filed with the Commission, provide copies of such
         document to the Participating Holders, if requested, and to any
         underwriter, make

                                       7
<PAGE>   8

         representatives of the Company available for discussion of such
         document and other customary due diligence matters;

                  (iv) make available at reasonable times for inspection by the
         Participating Holders, any underwriter participating in any disposition
         pursuant to such registration and any attorney or accountant retained
         by the Holders or any such underwriter, all financial and other
         records, pertinent corporate documents and properties of the Company
         and cause the officers, directors and employees of the Company to
         supply all information reasonably requested by the Participating
         Holders and any such underwriters, attorneys or accountants in
         connection with such registration subsequent to the filing of the
         applicable registration statement and prior to the effectiveness of the
         applicable registration statement, subject to the execution of a
         customary confidentiality agreement;

                  (v) use its reasonable best efforts (x) to register or qualify
         all Registrable Securities and other securities covered by such
         registration under such other securities or blue sky laws of such
         States of the United States of America where an exemption is not
         available and as the sellers of Registrable Securities covered by such
         registration shall reasonably request, (y) to keep such registration or
         qualification in effect for so long as the applicable registration
         statement remains in effect, and (z) to take any other action which may
         be reasonably necessary or advisable to enable such sellers to
         consummate the disposition in such jurisdictions of the securities to
         be sold by such sellers, except that the Company shall not for any such
         purpose be required to qualify generally to do business as a foreign
         corporation in any jurisdiction where it is not so qualified, or to
         subject itself to taxation in any such jurisdiction, or to execute a
         general consent to service of process in effecting such registration,
         qualification or compliance, unless the Company is already subject to
         service in such jurisdiction and except as may be required by the
         Securities Act or applicable rules or regulations thereunder;

                  (vi) use its reasonable best efforts to cause all Registrable
         Securities covered by such registration statement to be registered with
         or approved by such other federal or state governmental agencies or
         authorities as may be necessary in the opinion of counsel to the
         Company and counsel to the Participating Holders of Registrable
         Securities to enable the Holders thereof to consummate the disposition
         of such Registrable Securities in accordance with the plan of
         distribution described in the applicable registration statement;

                  (vii) promptly notify each Holder of Registrable Securities
         covered by a registration statement (A) upon discovery that, or upon
         the happening of any event as a result of which, the prospectus forming
         a part of such registration statement, as then in effect, includes an
         untrue statement of a material fact or omits to state any material fact
         required to be stated therein or necessary to make the statements
         therein, in the light of the circumstances under which they were made,
         not misleading, (B) of the issuance by the Commission of any stop order
         suspending the effectiveness of such registration statement or the
         initiation of proceedings for that purpose, (C) of any request by the

                                       8
<PAGE>   9

         Commission for (1) amendments to such registration statement or any
         document incorporated or deemed to be incorporated by reference in any
         such registration statement, (2) supplements to the prospectus forming
         a part of such registration statement or (3) additional information,
         (D) of the receipt by the Company of any notification with respect to
         the suspension of the qualification or exemption from qualification of
         any of the Registrable Securities for sale in any jurisdiction or the
         initiation of any proceeding for such purpose, and at the request of
         any such Holder promptly prepare and furnish to it a reasonable number
         of copies of a supplement to or an amendment of such prospectus as may
         be necessary so that, as thereafter delivered to the purchasers of such
         securities, such prospectus shall not include an untrue statement of a
         material fact or omit to state a material fact required to be stated
         therein or necessary to make the statements therein, in the light of
         the circumstances under which they were made, not misleading;

                  (viii) use its reasonable best efforts to obtain the
         withdrawal of any order suspending the effectiveness of any such
         registration, or the lifting of any suspension of the qualification (or
         exemption from qualification) of any of the Registrable Securities for
         sale in any jurisdiction;

                  (ix) if requested by a Participating Holder, or any
         underwriter, subject to receipt of any required information from such
         Holder or underwriter, promptly incorporate in such registration
         statement or prospectus, pursuant to a supplement or post-effective
         amendment if necessary, such information as the Participating Holder
         and any underwriter may reasonably request to have included therein,
         including, without limitation, information relating to the "plan of
         distribution" of the Registrable Securities, information with respect
         to the number of shares of Registrable Securities being sold to such
         underwriter, the purchase price being paid therefor and any other terms
         of the offering of the Registrable Securities to be sold in such
         offering and make all required filings of any such prospectus
         supplement or post-effective amendment as soon as practicable after the
         Company is notified of the matters to be incorporated in such
         prospectus supplement or post-effective amendment;

                  (x) furnish to the Participating Holders, addressed to them,
         an opinion of counsel for the Company, dated the date of the closing
         under the underwriting agreement, if any, or the date of effectiveness
         of the registration statement if such registration is not an
         underwritten offering, and use its reasonable best efforts to furnish
         to the Participating Holders, addressed to them, a "cold comfort"
         letter signed by the independent certified public accountants who have
         certified the Company's financial statements included in such
         registration, covering substantially the same matters with respect to
         such registration (and the prospectus included therein) and, in the
         case of such accountants' letter, with respect to events subsequent to
         the date of such financial statements, as are customarily covered in
         opinions of issuer's counsel and in accountants' letters delivered to
         underwriters in underwritten public offerings of securities and such
         other matters as the Participating Holders may reasonably request;

                                       9
<PAGE>   10

                  (xi) provide promptly to the Participating Holders upon
         request any document filed by the Company with the Commission pursuant
         to the requirements of Section 13 and Section 15 of the Exchange Act;
         and

                  (xii) use its reasonable best efforts to cause all Registrable
         Securities included in any registration pursuant hereto to be listed on
         each securities exchange on which securities of the same class are then
         listed or, if not then listed on any securities exchange, to be
         eligible for trading in any over-the-counter market or trading system
         in which securities of the same class are then traded.

         (e) INDEMNIFICATION.

                  (i) The Company will indemnify each of the Holders, as
         applicable, each of its officers, directors and partners, and each
         person controlling each of the Holders (within the meaning of the
         Securities Act), with respect to each registration which has been
         effected pursuant to this Section 2, and each underwriter, if any, and
         each person who controls any underwriter, against all claims, losses,
         damages and liabilities (or actions in respect thereof) arising out of
         or based on any untrue statement (or alleged untrue statement) of a
         material fact contained in any preliminary, final or summary
         prospectus, offering circular or other document (including any related
         registration statement, notification or the like, or any amendment or
         supplement to any of the foregoing) incident to any such registration,
         qualification or compliance, or based on any omission (or alleged
         omission) to state therein a material fact required to be stated
         therein or necessary to make the statements therein not misleading, or
         any violation (or alleged violation) by the Company of the Securities
         Act or the Exchange Act or any rule or regulation thereunder or of any
         applicable state or common law applicable to the Company and relating
         to action or inaction required of the Company in connection with any
         such registration, qualification or compliance, and (subject to Section
         2(e)(iii)) will reimburse each of the Holders, each of its officers,
         directors and partners, and each person controlling each of the
         Holders, each such underwriter and each person who controls any such
         underwriter, for any legal and any other expenses reasonably incurred
         in connection with investigating and defending any such claim, loss,
         damage, liability or action, provided that the Company will not be
         liable in any such case to the extent that any such claim, loss,
         damage, liability or expense arises out of or is based on any untrue
         statement or omission based upon and in conformity with written
         information furnished to the Company by the Holders or underwriter and
         stated to be specifically for use therein. The foregoing
         indemnification shall remain in effect regardless of any investigation
         by any indemnified party and shall survive any transfer or assignment
         by a Holder of its Registrable Securities or of its rights pursuant to
         this Agreement.

                  (ii) Each of the Holders will, if Registrable Securities held
         by it are included in the securities as to which such registration,
         qualification or compliance is being effected, indemnify the Company,
         each of its directors and officers and each underwriter, if any, of the
         Company's securities covered by such a registration

                                       10
<PAGE>   11

         statement, each person who controls the Company or such underwriter,
         each Other Stockholder and each of their officers, directors, and
         partners, and each person controlling such Other Stockholder against
         all claims, losses, damages and liabilities (or actions in respect
         thereof) arising out of or based on any untrue statement (or alleged
         untrue statement) made by such Holder of a material fact contained in
         any such registration statement, prospectus, offering circular or other
         document, or any omission (or alleged omission) made by such Holder to
         state therein a material fact required to be stated therein or
         necessary to make the statements therein not misleading, and will
         reimburse the Company and such directors, officers, partners, persons,
         underwriters or control persons for any legal or any other expenses
         reasonably incurred in connection with investigating or defending any
         such claim, loss, damage, liability or action, in each case to the
         extent, but only to the extent, that such untrue statement (or alleged
         untrue statement) or omission (or alleged omission) is made in such
         registration statement, prospectus, offering circular or other document
         in reliance upon and in conformity with written information furnished
         to the Company by such Holder and stated to be specifically for use
         therein; PROVIDED, HOWEVER, that the obligations of each of the Holders
         hereunder shall be limited to an amount equal to the net proceeds to
         such Holder of securities sold pursuant to such registration statement
         or prospectus.

                  (iii) Each party entitled to indemnification under Section
         2(e) (the "INDEMNIFIED PARTY") shall give notice to the party required
         to provide indemnification (the "INDEMNIFYING PARTY") promptly after
         such Indemnified Party has actual knowledge of any claim as to which
         indemnity may be sought, and shall permit the Indemnifying Party to
         assume the defense of any such claim or any litigation resulting
         therefrom; provided that counsel for the Indemnifying Party, who shall
         conduct the defense of such claim or any litigation resulting
         therefrom, shall be approved by the Indemnified Party (whose approval
         shall not unreasonably be withheld) and the Indemnified Party may
         participate in such defense at such party's expense (unless the
         Indemnified Party shall have reasonably concluded upon advice from
         counsel that there may be a conflict of interest between the
         Indemnifying Party and the Indemnified Party in such action, in which
         case the reasonable fees and expenses of counsel shall be at the
         expense of the Indemnifying Party), and provided further that the
         failure of any Indemnified Party to give notice as provided herein
         shall not relieve the Indemnifying Party of its obligations under this
         Section 2 except to the extent the Indemnifying Party is materially
         prejudiced thereby. No Indemnifying Party, in the defense of any such
         claim or litigation shall, except with the consent of each Indemnified
         Party, consent to entry of any judgment or enter into any settlement
         which does not include as an unconditional term thereof the giving by
         the claimant or plaintiff to such Indemnified Party of a release from
         all liability in respect to such claim or litigation. Each Indemnified
         Party shall promptly furnish such information regarding itself or the
         claim in question as an Indemnifying Party may reasonably request in
         writing and as shall be reasonably required in connection with the
         defense of such claim and litigation resulting therefrom.

                                       11
<PAGE>   12

                  (iv) If the indemnification provided for in this Section 2(e)
         is held by a court of competent jurisdiction to be unavailable to an
         Indemnified Party with respect to any loss, liability, claim, damage or
         expense referred to herein, then the Indemnifying Party, in lieu of
         indemnifying such Indemnified Party hereunder, shall contribute to the
         amount paid or payable by such Indemnified Party as a result of such
         loss, liability, claim, damage or expense in such proportion as is
         appropriate to reflect the relative fault of the Indemnifying Party on
         the one hand and of the Indemnified Party on the other in connection
         with the statements or omissions which resulted in such loss,
         liability, claim, damage or expense, as well as any other relevant
         equitable considerations, provided, however, that no Person guilty of
         fraudulent misrepresentation (within the meaning of Section 11(f) of
         the Securities Act) shall be entitled to contribution from any Person
         who was not guilty of any such fraudulent misrepresentation. The
         relative fault of the Indemnifying Party and of the Indemnified Party
         shall be determined by reference to, among other things, whether the
         untrue (or alleged untrue) statement of a material fact or the omission
         (or alleged omission) to state a material fact relates to information
         supplied by the Indemnifying Party or by the Indemnified Party and the
         parties' relative intent, knowledge, access to information and
         opportunity to correct or prevent such statement or omission.
         Notwithstanding the foregoing, no Holder will be required to contribute
         any amount pursuant to this paragraph (e) in excess of the total price
         at which the Registrable Securities of such Holder were offered to the
         public (less underwriting discounts and commissions, if any).

                  (v) The foregoing indemnity agreement of the Company and
         Holders is subject to the condition that, insofar as they relate to any
         loss, claim, liability or damage made in a prospectus, preliminary
         prospectus or other offering document but eliminated or remedied in an
         amended prospectus, preliminary prospectus or other offering document
         delivered to an underwriter or Holder, as applicable (the "FINAL
         PROSPECTUS"), such indemnity agreement shall not inure to the benefit
         of (A) any underwriter if a copy of the Final Prospectus was furnished
         to the underwriter and was not furnished to the person asserting the
         loss, liability, claim or damage at or prior to the time such action is
         required by the Securities Act or (B) in circumstances where no
         underwriter is acting as such in the offer and sale in question, any
         Holder who (1) either directly or through its agent provided the
         preliminary prospectus to the Person asserting the loss, liability,
         claim or damage, (2) was furnished with a copy of the Final Prospectus,
         and (3) did not furnish or cause to be furnished the Final Prospectus
         to the Person asserting the loss, liability, claim or damage at or
         prior to the time such action is required by the Securities Act.

                  (vi) Any indemnification payments required to be made to an
         Indemnified Party under this Section 2(e) shall be made as the related
         claims, losses, damages, liabilities or expenses are incurred.

         (f) INFORMATION BY THE HOLDERS. Each of the Holders holding securities
included in any registration shall furnish to the Company such information
regarding such Holder and the

                                       12
<PAGE>   13

distribution proposed by such Holder as the Company may reasonably request in
writing and as shall be reasonably required in connection with any registration,
qualification or compliance referred to in this Section 2. No Investor shall be
required, in connection with any underwriting agreements entered into in
connection with any registration, to provide any information, representations or
warranties, or covenants with respect to the Company, its business or its
operations, and such Investor shall not be required to provide any
indemnification with respect to any registration statement except as
specifically provided for in Section 2(d)(ii) hereof.

         (g) RULE 144 REPORTING.

                  With a view to making available the benefits of certain rules
         and regulations of the Commission which may permit the sale of
         restricted securities to the public without registration, the Company
         agrees to:

                  (i) make and keep public information available as those terms
         are understood and defined in Rule 144 under the Securities Act ("RULE
         144"), at all times;

                  (ii) use its best efforts to file with the Commission in a
         timely manner all reports and other documents required of the Company
         under the Securities Act and the Exchange Act; and

                  (iii) so long as the Holder owns any Registrable Securities,
         furnish to the Holder upon request, a written statement by the Company
         as to its compliance with the reporting requirements of Rule 144 and of
         the Securities Act and the Exchange Act, a copy of the most recent
         annual or quarterly report of the Company, and such other reports and
         documents so filed as the Holder may reasonably request in availing
         itself of any rule or regulation of the Commission allowing the Holder
         to sell any such securities without registration.

         (h) TERMINATION. The registration rights set forth in this Section 2
shall not be available to any Holder if, in the opinion of counsel to the
Company, all of the Registrable Securities then owned by such Holder could be
sold in any 120-day period pursuant to Rule 144(k) or at such time that no
Registrable Securities are outstanding. The Company will arrange for a provision
to the transfer agent for such shares of an opinion of counsel in connection
with any such sale under Rule 144. The Company shall use its reasonable best
efforts to comply with the requirements of Rule 144 as will enable the Holders
to make sales pursuant to Rule 144.

         (i) ASSIGNMENT. The registration rights set forth in Section 2 hereof
may be assigned, in whole or in part, to any transferee of Registrable
Securities (who shall be considered thereafter to be a Holder and shall be bound
by all obligations and limitations of this Agreement).

         (j) The Holders agree that, upon receipt of any notice from the Company
pursuant to Section 2(d)(vii), they shall immediately discontinue the
disposition of Registrable Securities

                                       13
<PAGE>   14

pursuant to the registration statement applicable to such Registrable Securities
until they have received copies of the amended or supplemented prospectus as
described in Section 2(d)(vii). The Holders shall destroy all copies in their
possession of the registration statement and related materials covering such
Registrable Securities at the time of receipt of the Company's notice.

3. MISCELLANEOUS

         (a) DIRECTLY OR INDIRECTLY. Where any provision in this Agreement
refers to action to be taken by any Person, or which such Person is prohibited
from taking, such provision shall be applicable whether such action is taken
directly or indirectly by such Person.

         (b) GOVERNING LAW. This Agreement shall be governed by and construed in
accordance with the laws of the State of New York applicable to contracts made
and to be performed entirely within such State.

         (c) SECTION HEADINGS. The headings of the sections and subsections of
this Agreement are inserted for convenience only and shall not be deemed to
constitute a part thereof.

         (d) NOTICES.

                  (i) All communications under this Agreement shall be in
         writing and shall be delivered by hand or by facsimile or mailed by
         overnight courier or by registered or certified mail, postage prepaid:

                    (A) If to the Investor:

                        FA, Inc.
                        c/o Reading Entertainment, Inc.
                        One Penn Square West
                        30 South Fifteenth Street, Suite 1300
                        Philadelphia, Pennsylvania 19102-4813
                        Attention:  James A. Wunderle, Executive Vice President
                        Facsimile: (215) 569-2862

                                       14
<PAGE>   15

                     Copy to:

                             Potter Anderson & Corroon LLP
                             Hercules Plaza
                             1313 N. Market Street
                             Wilmington, Delaware 19801
                             Attention: John F. Grossbauer, Esq.
                             Facsimile: (302) 658-1192

                     If to the Company:

                             National Auto Credit, Inc.
                             30000 Aurora Road
                             Solon, Ohio  44139
                             Attention: David L. Huber, Chairman of the Board
                             Facsimile: (440) 349-0442

                     Copy to:

                             National Auto Credit, Inc.
                             30000 Aurora Road
                             Solon, Ohio  44139
                             Attention: Raymond A. Varcho, Esq., Vice President,
                                        Secretary and General Counsel
                             Facsimile: (440) 349-3959

                  Any party may change its address for the purpose of this
         Section by giving the other party written notice of its new address in
         the manner set forth above.

                  (ii) Any notice so addressed shall be deemed to be given: if
         delivered by hand or facsimile, on the date of such delivery; if mailed
         by courier, on the first business day following the date of such
         mailing; and if mailed by registered or certified mail, on the third
         business day after the date of such mailing.

         (e) REPRODUCTION OF DOCUMENTS. This Agreement and all documents
relating thereto, including, without limitation, any consents, waivers and
modifications which may hereafter be executed may be reproduced by the parties
hereto by any photographic, photostatic, microfilm, microcard, miniature
photographic or other similar process and the parties hereto may destroy any
original document so reproduced. The parties hereto agree and stipulate that any
such reproduction shall be admissible in evidence as the original itself in any
judicial or administrative proceeding (whether or not the original is in
existence and whether or not such reproduction was made by the Investor in the
regular course of business) and that any enlargement, facsimile or further
reproduction of such reproduction shall likewise be admissible in evidence.

         (f) SUCCESSORS AND ASSIGNS. This Agreement shall inure to the benefit
of and be binding upon the successors and assigns of each of the parties.

                                       15
<PAGE>   16

         (g) ENTIRE AGREEMENT; AMENDMENT AND WAIVER. This Agreement constitutes
the entire understanding of the parties hereto and supersedes all prior
understanding among such parties. This Agreement may be amended, and the
observance of any term of this Agreement may be waived, with (and only with) the
written consent of the Company and the Holders holding a majority of the then
outstanding Registrable Securities.

         (h) SEVERABILITY. In the event that any part or parts of this Agreement
shall be held illegal or unenforceable by any court or administrative body of
competent jurisdiction, such determination shall not effect the remaining
provisions of this Agreement which shall remain in full force and effect.

         (i) COUNTERPARTS. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original and all of which
together shall be considered one and the same agreement.

                            [Signature page follows]

                                       16
<PAGE>   17

         IN WITNESS WHEREOF, the undersigned have executed this Agreement as of
the date first set forth above.

INVESTOR:

FA, INC.

By:
         --------------------------------
         Name:
         Title:

COMPANY:

NATIONAL AUTO CREDIT, INC.

By:
         --------------------------------
         Name:
         Title:

                                       17<PAGE>   1
                                                                    Exhibit 10.3

           CERTIFICATE OF DESIGNATION, NUMBER, POWERS, PREFERENCES AND
              RELATIVE, PARTICIPATING, OPTIONAL AND OTHER SPECIAL
       RIGHTS AND THE QUALIFICATIONS, LIMITATIONS, RESTRICTIONS, AND OTHER
                         DISTINGUISHING CHARACTERISTICS
                                     OF THE

                      SERIES A CONVERTIBLE PREFERRED STOCK
                                       OF
                           NATIONAL AUTO CREDIT, INC.

The undersigned hereby certify that:

1. The name of the corporation is National Auto Credit, Inc. (hereinafter
referred to as the "Corporation"), a corporation organized and existing under
the laws of the State of Delaware.

2. The certificate of incorporation of the Corporation, as amended, authorizes
the issuance of two million shares of Preferred Stock, par value $.05 per share,
and expressly vests in the Board of Directors of the Corporation the authority
provided therein to issue any or all of said shares as a class without series,
or if so determined from time to time by the board of directors, either in whole
or in part in one or more series, each series to be expressly designated by
distinguishing number, letter, or title prior to the issuance thereof; and to
designate the number, rights, preferences, privileges and other special rights
and the qualifications, limitations, restrictions, and other distinguishing
characteristics thereof.

3. The Board of Directors of the Corporation, pursuant to the authority
expressly vested in it as aforesaid and pursuant to the provisions of the
Delaware General Corporation Law, has adopted the following resolutions creating
a Series "A" issue of Preferred Stock:

         WHEREAS, Article FOURTH of the certificate of incorporation, as amended
         (the "Certificate of Incorporation"), authorizes the Corporation to
         issue up to 2,000,000 shares of Preferred Stock as a class without
         series, or if so determined from time to time by the Board of
         Directors, either in whole or in part in one or more series, each
         series to be expressly designated by distinguishing number, letter, or
         title prior to the issuance thereof.

         WHEREAS, the Board of Directors is authorized by the Certificate of
         Incorporation, to designate the number, rights, preferences, privileges
         and other special rights and the qualifications, limitations,
         restrictions, and other distinguishing characteristics of one or more
         series of Preferred Stock;

         WHEREAS, no series of such preferred stock has been previously
         designated, and the Corporation now wishes to designate one hundred
         (100) of such shares of Preferred Stock to be Series A Convertible
         Preferred Stock; and to designate the

<PAGE>   2

         number, rights, preferences, privileges and other special rights and
         the qualifications, limitations, restrictions, and other distinguishing
         characteristics of the same;

         NOW, THEREFORE, BE IT RESOLVED, that the Board of Directors hereby
         fixes and determines the designation and the number of shares
         constituting, and the rights, preferences, privileges and other special
         rights and the qualifications, limitations, restrictions, and other
         distinguishing characteristics of a new series of Preferred Stock, as
         follows:

         1. DESIGNATION. The series of preferred stock provided for by this
         resolution shall be designated "Series A Convertible Preferred Stock"
         (hereinafter referred to as the "Series A Preferred Stock").

         2. AUTHORIZATION. The number of shares constituting the Series A
         Preferred Stock shall be one hundred (100) shares having a par value of
         $0.05 per share. Such number may not be increased or decreased without
         the vote or consent of the holders of a majority of the shares of
         Series A Preferred stock then outstanding.

         3. DIVIDENDS. The holders of the Series A Preferred Stock shall be
         entitled to receive such dividends as may be declared and paid from
         time to time by the Board of Directors of the Corporation, prior to and
         in preference to the holders of Common Stock. For purposes solely of
         the Series A Preferred Stock's entitlement to dividends, a share of
         Series A Preferred Stock shall be treated as equivalent to a share of
         the Corporation's Common Stock, subject to adjustment pursuant to
         Section 5 hereof, so that the Board of Directors shall not declare or
         pay any dividends on the Common Stock unless it shall have declared and
         paid prior thereto an equivalent dividend (as adjusted pursuant to
         Section 5 hereof).

         4. CONVERSION RIGHTS.

                  (a)      At any time, at the option of the holder, and subject
                           to the antidilution provisions set forth in Section
                           5, each share of outstanding Series A Preferred Stock
                           may be converted into one share of the Corporation's
                           Common Stock. To exercise this conversion right, the
                           holder shall deliver written notice to the
                           Corporation stating the number shares of Series A
                           Preferred Stock which it intends to convert, along
                           with the certificate or certificates representing the
                           whole number of shares Series A Preferred Stock which
                           the holder intends to so convert into Common Stock.

                  (b)      Promptly after the surrender of Series A Preferred
                           Stock by the holder under Section 4 (a) hereof, and
                           receipt thereof by the Corporation, the Corporation
                           shall issue and deliver, or cause to be issued and
                           delivered, to the holder a certificate or
                           certificates for

                                       2
<PAGE>   3

                           the number of whole shares of Common Stock issuable
                           upon the conversion of such Series A Preferred Stock.
                           The date of the issuance of such Common Stock shall
                           be the "Conversion Date." No fractional shares shall
                           be issued upon conversion of the Series A Preferred
                           Stock into shares of Common Stock; the number of
                           shares of Common Stock issued upon conversion of the
                           Series A Preferred Stock shall be rounded to the
                           nearest whole number of shares. To the extent
                           permitted by law, the conversion shall be deemed to
                           have been effected as of the close of business on the
                           Conversion Date (or on the next preceding business
                           day if the Conversion Date is not a business day) and
                           at that time the rights of the holder of Series A
                           Preferred Stock, as such holder, shall cease, and the
                           holder of the Series A Preferred Stock shall become
                           the holder of record of shares of Common Stock and
                           shall solely be entitled to the rights and
                           preferences of the holders of shares of Common Stock.

                  (c)      Notwithstanding anything herein to the contrary, on
                           any liquidation of the Corporation, the right of
                           conversion of the Series A Preferred Stock shall
                           terminate at the close of business on the last full
                           business day before the date fixed for payment of the
                           amount distributable on the Series A Preferred Stock.

         5. ANTIDILUTION RIGHTS. The Conversion Price and the number of shares
         issuable upon conversion shall be subject to adjustment as follows:

                  (a)      In case the Corporation shall (i) declare a dividend
                           on its Common Stock payable in shares of its Common
                           Stock, (ii) subdivide its outstanding shares of
                           Common Stock, into a greater number of shares, (iii)
                           combine its outstanding shares of Common Stock into a
                           smaller number of shares, or (iv) issue any shares of
                           its capital stock by reclassification of the Common
                           Stock (including any such reclassification in
                           connection with a consolidation or merger in which
                           the Corporation is the continuing corporation), then,
                           and in each case, the Conversion Price in effect at
                           the time of the record date for such dividend or of
                           the effective date of such subdivision, combination
                           or reclassification shall be proportionately adjusted
                           so that the holder of any shares of the Series A
                           Preferred Stock surrendered for conversion after such
                           time shall be entitled to receive the kind and amount
                           of shares such holder would have owned or have been
                           entitled to receive had such shares of the Series A
                           Preferred Stock been converted immediately prior to
                           the time of such dividend, subdivision, combination,
                           or reclassification. Such adjustment shall be made
                           successively whenever any event listed above shall
                           occur.

                                       3
<PAGE>   4

                  (b)      In case of any consolidation or merger of the
                           Corporation with or into any other corporation (other
                           than a consolidation or merger in which the
                           Corporation is the surviving or continuing
                           corporation), or in case of any sale or transfer of
                           all or substantially all of the assets of the
                           Corporation, the holder of each share of the Series A
                           Preferred Stock, shall have after such
                           reorganization, classification, consolidation,
                           merger, sale or transfer, the right to convert such
                           share of the Series A Preferred Stock solely into (or
                           redeem such share for, out of funds legally available
                           for the purpose, as the case may be) the kind and
                           amount of shares of stock and other securities and
                           property including cash) which such holder would have
                           been entitled to receive had such share of Series A
                           Preferred Stock been converted immediately prior to
                           such consolidation, merger, sale or transfer.

                  (c)      In case the Corporation shall distribute to holders
                           of its Common Stock shares of its capital stock
                           (other than Common Stock), stock or other securities
                           of other persons, evidences of indebtedness issued by
                           the corporation or other persons, assets (excluding
                           cash dividends) or options or rights (excluding
                           options to purchase and rights to subscribe for
                           Common Stock or other securities of the corporation
                           convertible into or exchangeable for Common Stock),
                           then, in each such case, the holders of the Series A
                           Preferred Stock shall, from and after the
                           distributions of holders of Common Stock, be entitled
                           upon conversion to receive the number and kind of
                           securities such holder would have received if such
                           holder's shares had been converted immediately prior
                           to the record date for determining holders of Common
                           Stock entitled to such distribution.

                  (d)      Whenever there is an adjustment in the Conversion
                           Price and/or the number or kind of securities
                           issuable upon conversion of the Series A Preferred
                           Stock, as provided herein, the Corporation shall
                           promptly file in the custody of its Secretary, a
                           certificate signed by an officer of the Corporation,
                           showing in detail the facts requiring such
                           adjustment, the number and kind of securities
                           issuable upon conversion of Series A Preferred Stock
                           upon such adjustment, and the Conversion Price; and
                           notice of such adjustment along with a duplicate
                           officer's certificate shall be sent by registered
                           mail, postage paid, to each holder at its address as
                           it shall appear in the Corporation's Stock Register.

                  (e)      The Corporation will not through any reorganization,
                           recapitalization, transfer of assets, consolidation,
                           merger,

                                       4
<PAGE>   5

                           dissolution, issue or sale of securities or any other
                           voluntary action, avoid or modify or seek to avoid or
                           modify the observance or performance of any of the
                           terms to be observed or performed hereunder by the
                           corporation, but will at all times in good faith
                           assist in the carrying out of all the provisions of
                           this Agreement and in the taking of all such action
                           as may be necessary or appropriate in order to
                           protect the conversion rights of the holders of
                           Series A Preferred Stock against impairment.

         6. SHARES RESERVED FOR ISSUANCE. The Corporation shall at all times
         reserve and keep available and free of preemptive rights out of its
         authorized but unissued Common Stock, solely for the purpose of
         effecting the conversion of the Series A Preferred Stock, such number
         of shares of Common Stock (or such other shares or securities as may be
         required) as shall from time to time be sufficient to effect the
         conversion of all outstanding Series A Preferred Stock, and if at any
         time the number of authorized but unissued shares of Common Stock (or
         any such other shares or other securities) shall not be sufficient to
         effect the conversion of all then outstanding Series A Preferred Stock,
         the Corporation shall take such action as may be necessary to increase
         the authorized but unissued shares of Common Stock (or other shares or
         other securities) to such number of shares as shall be sufficient for
         such purposes.

         7. VOTING RIGHTS.

                  (a)      Except as otherwise provided in this Section 7, the
                           shares of Series A Preferred Stock shall vote as a
                           single class with the shares of Common Stock; and
                           each share of Series A Preferred Stock shall have as
                           many votes as the number of shares of Common Stock
                           into which it is convertible as of the record date
                           relating to a given vote, provided that, to the
                           extent required by law or by the Corporation's
                           Certificate of Incorporation, in the case of the
                           election of directors, holders of Series A Preferred
                           Stock shall be entitled to one vote per share of
                           Series A Preferred Stock without regard to the number
                           or kind shares into which such shares shall then be
                           convertible.

                  (b)      So long as any shares of Series A Preferred Stock are
                           outstanding, each share of Series A Preferred Stock
                           shall be entitled to vote, or to submit a consent,
                           together with the Common Stock of the Corporation,
                           voting together as a single class, upon any matter as
                           to which the Common Stock is entitled to vote or
                           consent as a class under the Corporation's
                           Certificate of Incorporation or under Delaware law.
                           Such consent or vote may be given in person or by
                           proxy, either in writing without a meeting, or by
                           vote at any meeting called for the purpose of
                           obtaining such vote.

                                       5
<PAGE>   6

                  (c)      In addition to the voting rights provided by Sections
                           7(a) and (b) above, so long as any shares of Series A
                           Preferred Stock are outstanding, (i) no amendment to
                           the Certificate of Incorporation (except for the
                           designation of one or more series of Preferred Stock
                           pursuant to Article FOURTH of the Certificate of
                           Incorporation, which shall not require the approval
                           of the Series A Preferred Stock if a series so
                           designated does not rank prior to the Series A
                           Preferred Stock with respect to dividends or on
                           liquidation) and no amendment to the Bylaws of the
                           Corporation by the stockholders of the Corporation
                           may be effected without the prior vote or written
                           consent of a majority of those shares of Series A
                           Preferred Stock outstanding voting as a class and
                           (ii) to the extent (if any) permitted by law no
                           director may be removed from the Board of Directors
                           of the Corporation without the prior vote or written
                           consent of a majority of those shares of Series A
                           Preferred Stock outstanding, voting as a class. Such
                           consent or vote may be given in person or by proxy,
                           either in writing without a meeting, or by vote at
                           any meeting called for the purpose of obtaining such
                           vote. Each share of Series A Preferred Stock shall,
                           in either such event, be entitled to a single vote or
                           consent.

         8. REDEMPTION RIGHTS. Neither the Corporation nor the holders of Series
         A Preferred Stock shall have any redemption rights with respect to the
         Series A Preferred Stock, except and to the extent that an adjustment
         in the conversion rate made pursuant to Section 5 shall require that
         the Series A Preferred Stock is convertible (in whole or in part) into
         cash.

         9. LIQUIDATION, DISSOLUTION AND WINDING UP.

                  (a)      In the event of any liquidation, dissolution or
                           winding up of the Corporation, whether voluntary or
                           involuntary, each holder of Series A Preferred Stock
                           shall have the right to receive a distribution of
                           assets of the Corporation equal to $1.50 per share
                           from any of the Corporation's assets then available
                           for distribution (i) pari passu with the holders of
                           any other Series of Preferred Stock and (ii) before
                           any distribution in connection with the liquidation,
                           dissolution and winding up is made to the holders of
                           Common Stock, all, in accordance with the Delaware
                           General Corporation Law. If the assets of the
                           Corporation are not sufficient to pay in full the
                           liquidation payments payable to the holders of the
                           Series A Preferred Stock, then the holders of such
                           shares shall share ratably in such distribution of
                           assets (i) pari passu with the holders of any other
                           series of Preferred Stock and (ii) before any
                           distributions in connection with the liquidation,
                           dissolution, and

                                       6
<PAGE>   7

                           winding up is made to the holders of Common Stock,
                           all, in accordance with the Delaware General
                           Corporation Law.

                  (b)      Whenever the distribution provided for in this
                           Section 9 shall be payable in property other than
                           cash, the value of such distribution shall be the
                           fair market value of such property as determined in
                           good faith by not less than a majority of the
                           directors then serving on the Board of Directors of
                           the Corporation. A reorganization of the Corporation,
                           or a consolidation or merger of the Corporation with
                           or into another corporation or entity or a sale of or
                           other disposition of all or substantially all of the
                           assets of the Corporation, shall not be treated as a
                           liquidation, dissolution or winding up of the
                           Corporation within the meaning of this Section 9.

         FURTHER RESOLVED, that the statements contained in the foregoing
         resolutions creating and designating the number, powers, preferences
         and relative, optional, participating, and other special rights and the
         qualifications, limitations, restrictions, and other distinguishing
         characteristics thereof shall, upon the effective date of such series,
         be deemed to be included in and be a part of the Certificate of
         Incorporation of the Corporation pursuant to the provisions of Section
         104 and 151 of the general Corporate Law of the State of Delaware.

         The foregoing resolutions were duly adopted by the Board of Directors
without the requirement of shareholder action by meeting held on April 5, 2000
pursuant to the Certificate of Incorporation and the provisions of the Delaware
General Corporation Law.

         IN WITNESS WHEREOF, National Auto Credit, Inc. has caused this
Certificate Of Designation, Number, Powers, Preferences And Relative,
Participating, Optional And Other Special Rights And The Qualifications,
Limitations, Restrictions, And Other Distinguishing Characteristics Of The
Series A Convertible Preferred Stock Of National Auto Credit, Inc. to be
executed by its duly authorized officer, on this 5th day of April, 2000.

                                  NATIONAL AUTO CREDIT, INC.

                                  By: __________________________________________
                                      David Huber, Chairman of the Board and
                                      Chief Executive Officer

                                       7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00008-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00008-of-00352.parquet"}]]