Document:

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                                                                    EXHIBIT 10.2

                              TRIPATH IMAGING, INC.

                              AMENDED AND RESTATED
                           1996 EQUITY INCENTIVE PLAN

1. PURPOSE

      The purpose of the TriPath Imaging, Inc. 1996 Amended and Restated Equity
Incentive Plan (the "Plan") is to attract and retain key personnel of the
Company and its Affiliates, to provide an incentive for them to achieve
long-range performance goals, and to enable them to participate in the long-term
growth of the Company by granting Awards with respect to the Company's Common
Stock.

2. ADMINISTRATION

      The Plan shall be administered by the Committee, provided that the Board
may in any instance perform any of the functions delegated to the Committee
hereunder. The Committee shall select the Participants to receive Awards and
shall determine the terms and conditions of the Awards. The Committee shall have
authority to adopt, alter and repeal such administrative rules, guidelines and
practices governing the operation of the Plan as it shall from time to time
consider advisable, and to interpret the provisions of the Plan. The Committee's
decisions shall be final and binding. To the extent permitted by applicable law,
the Committee may delegate to one or more executive officers of the Company the
power to make Awards to Participants who are not Reporting Persons or Covered
Employees and all determinations under the Plan with respect thereto, provided
that the Committee shall fix the maximum amount of such Awards for all such
Participants and a maximum for any one Participant.

3. ELIGIBILITY

      All employees, directors and consultants of the Company or any Affiliate
capable of contributing significantly to the successful performance of the
Company, other than a person who has irrevocably elected not to be eligible, are
eligible to be Participants in the Plan. Incentive Stock Options may be granted
only to persons eligible to receive such Options under the Code.

4. STOCK AVAILABLE FOR AWARDS

      (a) AMOUNT. Subject to adjustment under subsection (b), Awards may be made
under the Plan for up to 7,996,325 shares of Common Stock. If any Award expires
or is terminated unexercised or is forfeited or settled in a manner that results
in fewer shares outstanding than were awarded, the shares subject to such Award,
to the extent of such expiration, termination, forfeiture or decrease, shall
again be available for award under the Plan. Common Stock issued through the
assumption or substitution of outstanding grants from an acquired company shall
not reduce the shares available for Awards under the Plan. Shares issued under
the Plan may consist in whole or in part of authorized but unissued shares or
treasury shares.

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      (b) ADJUSTMENT. In the event that the Committee determines that any stock
dividend, extraordinary cash dividend, recapitalization, reorganization, merger,
consolidation, split-up, spin-off, combination, exchange of shares or other
transaction affects the Common Stock such that an adjustment is required in
order to preserve the benefits intended to be provided by the Plan, then the
Committee (subject in the case of Incentive Stock Options to any limitation
required under the Code) shall equitably adjust any or all of (i) the number and
kind of shares in respect of which Awards may be made under the Plan, (ii) the
number and kind of shares subject to outstanding Awards, (iii) the exercise
price with respect to any of the foregoing, and (iv) if considered appropriate,
the Committee may make provision for a cash payment with respect to an
outstanding Award; provided that in the case (i) or (ii) above the number of
shares subject to any Award shall always be a whole number.

      (c) LIMIT ON INDIVIDUAL GRANTS. The maximum number of shares of Common
Stock subject to Options and Stock Appreciation Rights that may be granted to
any Participant in the aggregate in any calendar year shall not exceed 1,000,000
shares, subject to adjustment under subsection (b).

5. STOCK OPTIONS

      (a) GRANT OF OPTIONS. Subject to the provisions of the Plan, the Committee
may grant options ("Options") to purchase shares of Common Stock complying with
the requirements of Section 422 of the Code or any successor provision and any
regulations thereunder ("Incentive Stock Options") and (ii) not intended to
comply with such requirements ("Nonstatutory Stock Options"). The Committee
shall determine the number of shares subject to each Option and the exercise
price therefor, which in the case of Incentive Stock Options shall not be less
than 100% of the Fair Market Value of the Common Stock on the date of grant. No
Incentive Stock Option may be granted hereunder more than ten years after the
effective date of the Plan.

      (b) TERMS AND CONDITIONS. Each Option shall be exercisable at such times
and subject to such terms and conditions as the Committee may specify in the
applicable grant or thereafter. The Committee may impose such conditions with
respect to the exercise of Options, including conditions relating to applicable
federal or state securities laws, as it considers necessary or advisable.

      (c) PAYMENT. Payment for shares to be delivered pursuant to any exercise
of an Option may be made in whole or in part in cash or, to the extent permitted
by the Committee at or after the grant of the Option, by delivery of a note or
other commitment satisfactory to the Committee or shares of Common Stock owned
by the optionee, including Restricted Stock, or by retaining shares otherwise
issuable pursuant to the Option, in each case valued at their Fair Market Value
on the date of delivery or retention, or such other lawful consideration as the
Committee may determine.

6. STOCK APPRECIATION RIGHTS

      (a) GRANT OF SARS. Subject to the provisions of the Plan, the Committee
may grant rights to receive any excess in value of shares of Common Stock over
the exercise price ("Stock Appreciation Rights" or "SARs") in tandem with an
Option (at or after the award of the Option),

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or alone and unrelated to an Option. SARs in tandem with an Option shall
terminate to the extent that the related Option is exercised, and the related
Option shall terminate to the extent that the tandem SARs are exercised. The
Committee shall determine at the time of grant or thereafter whether SARs are
settled in cash, Common Stock or other securities of the Company, Awards or
other property, and may define the manner of determining the excess in value of
the shares of Common Stock.

      (b) EXERCISE PRICE. The Committee shall fix the exercise price of each SAR
or specify the manner in which the price shall be determined. An SAR granted in
tandem with an Option shall have an exercise price not less than the exercise
price of the related Option. An SAR granted alone and unrelated to an Option may
not have an exercise price less than 100% of the Fair Market Value of the Common
Stock on the date of the grant, provided that such an SAR granted to a new
employee or consultant within 90 days of the date of employment may have a lower
exercise price so long as it is not less than 100% of Fair Market Value on the
date of employment.

7. RESTRICTED STOCK

      (a) GRANT OF RESTRICTED STOCK. Subject to the provisions of the Plan, the
Committee may grant shares of Common Stock subject to forfeiture ("Restricted
Stock") and determine the duration of the period (the "Restricted Period")
during which, and the conditions under which, the shares may be forfeited to the
Company and the other terms and conditions of such Awards. Shares of Restricted
Stock may be issued for no cash consideration, such minimum consideration as may
be required by applicable law or such other consideration as the Committee may
determine.

      (b) RESTRICTIONS. Shares of Restricted Stock may not be sold, assigned,
transferred, pledged or otherwise encumbered, except as permitted by the
Committee, during the Restricted Period. Notwithstanding the foregoing, in the
Committee's discretion, Awards in the form of Restricted Stock may be made
transferable to a limited liability corporation controlled solely by the
Participant. Shares of Restricted Stock shall be evidenced in such manner as the
Committee may determine. Any certificates issued in respect of shares of
Restricted Stock shall be registered in the name of the Participant and unless
otherwise determined by the Committee, deposited by the Participant, together
with a stock power endorsed in blank, with the Company. At the expiration of the
Restricted Period, the Company shall deliver such certificates to the
Participant or if the Participant has died, to the Participant's Designated
Beneficiary.

8. GENERAL PROVISIONS APPLICABLE TO AWARDS

      (a) REPORTING PERSON LIMITATIONS. Notwithstanding any other provision of
the Plan, Awards made to a Reporting Person shall not be transferable by such
person other than by will or the laws of descent and distribution and are
exercisable during such person's lifetime only by such person or by such
person's guardian or legal representative. Awards, unless Incentive Stock
Options, may also be made transferable pursuant to a domestic relations order as
defined in the Code or Title I of the Employee Retirement Income Security Act or
the rules thereunder.

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      (b) DOCUMENTATION. Each Award under the Plan shall be evidenced by a
writing delivered to the Participant specifying the terms and conditions thereof
and containing such other terms and conditions not inconsistent with the
provisions of the Plan as the Committee considers necessary or advisable to
achieve the purposes of the Plan or to comply with applicable tax and regulatory
laws and accounting principles.

      (c) COMMITTEE DISCRETION. Each type of Award may be made alone, in
addition to or in relation to any other Award. The terms of each type of Award
need not be identical, and the Committee need not treat Participants uniformly.
Except as otherwise provided by the Plan or a particular Award, any
determination with respect to an Award may be made by the Committee at the time
of grant or at any time thereafter.

      (d) DIVIDENDS AND CASH AWARDS. In the discretion of the Committee, any
Award under the Plan may provide the Participant with (i) dividends or dividend
equivalents payable currently or deferred with or without interest and (ii) cash
payments in lieu of or in addition to an Award.

      (e) TERMINATION OF EMPLOYMENT. The Committee shall determine the effect on
an Award of the disability, death, retirement or other termination of employment
of a Participant and the extent to which, and the period during which, the
Participant's legal representative, guardian or Designated Beneficiary may
receive payment of an Award or exercise rights thereunder.

      (f) CHANGE IN CONTROL. In order to preserve a Participant's rights under
an Award in the event of a "change in control" (as defined by the Committee) of
the Company, the Committee in its discretion may, at the time an Award is made
or at any time thereafter, take one or more of the following actions: (i)
provide for the acceleration of any time period relating to the exercise or
payment of the Award, (ii) provide for payment to the Participant of cash or
other property with a Fair Market Value equal to the amount that would have been
received upon the exercise or payment of the Award had the Award been exercised
or paid upon the change in control, (iii) adjust the terms of the Award in a
manner determined by the Committee to reflect the change in control, (iv) cause
the Award to be assumed, or new rights substituted therefor, by another entity,
or (v) make such other provision as the Committee may consider equitable to
Participants and in the best interests of the Company.

      (g) LOANS. The Committee may authorize the making of loans or cash
payments to Participants in connection with the grant or exercise of any Award
under the Plan, which loans may be secured by any security, including Common
Stock, underlying or related to such Award (provided that the loan shall not
exceed the Fair Market Value of the security subject to such Award), and which
may be forgiven upon such terms and conditions as the Committee may establish at
the time of such loan or at any time thereafter.

      (h) WITHHOLDING TAXES. The Participant shall pay to the Company, or make
provision satisfactory to the Committee for payment of, any taxes required by
law to be withheld in respect of Awards under the Plan no later than the date of
the event creating the tax liability. In the Committee's discretion, such tax
obligations may be paid in whole or in part in shares of

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Common Stock, including shares retained from the Award creating the tax
obligation, valued at their Fair Market Value on the date of delivery. The
Company and its Affiliates may, to the extent permitted by law, deduct any such
tax obligations from any payment of any kind otherwise due to the Participant.

      (i) FOREIGN NATIONALS. Awards may be made to Participants who are foreign
nationals or employed outside the United States on such terms and conditions
different from those specified in the Plan as the Committee considers necessary
or advisable to achieve the purposes of the Plan or to comply with applicable
laws.

      (j) AMENDMENT OF AWARD. The Committee may amend, modify or terminate any
outstanding Award, including substituting therefor another Award of the same or
a different type, changing the date of exercise or realization and converting an
Incentive Stock Option to a Nonstatutory Stock Option, provided that no award
may be modified, repriced, replaced or regranted through cancellation without
shareholder approval (except in connection with a change in the Company's
capitalization), if the effect of such modification or cancellation would be to
reduce the exercise price for the shares underlying such award, and, provided,
further, that any such action shall require the Participant's consent unless:

            (i) in the case of a termination of, or a reduction in the number of
            shares issuable under, an Option, any time period relating to the
            exercise of such Option or the eliminated portion, as the case may
            be, is waived or accelerated before such termination or reduction
            (and in such case the Committee may provide for the Participant to
            receive cash or other property equal to the net value that would
            have been received upon exercise of the terminated Option or the
            eliminated portion, as the case may be); or

            (ii) in any other case, the Committee determines that the action,
            taking into account any related action, would not materially and
            adversely affect the Participant.

9. CERTAIN DEFINITIONS

      "Affiliate" means any business entity in which the Company owns directly
or indirectly 50% or more of the total voting power or has a significant
financial interest as determined by the Committee.

      "Award" means any Option, Stock Appreciation Right or Restricted Stock
granted under the Plan.

      "Board" means the Board of Directors of the Company.

      "Code" means the Internal Revenue Code of 1986, as amended from time to
time, or any successor law.

      "Committee" means one or more committees each comprised of not less than
two members of the Board appointed by the Board to administer the Plan or a
specified portion

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thereof. If the Committee is authorized to grant Options to a Reporting Person
or a Covered Employee, each member shall be a "Non-Employee Director" or the
equivalent within the meaning of Rule 16b-3 under the Exchange Act or an
"outside director" or the equivalent within the meaning of Section 162(m) of the
Code, respectively. In the event no such Committee is appointed, then
"Committee" means the Board.

      "Common Stock" means the Common Stock, $0.01 par value, of the Company.

      "Company" means TriPath Imaging, Inc., a Delaware corporation.

      "Covered Employee" means a person whose income is subject to Section
162(m) of the Code.

      "Designated Beneficiary" means the beneficiary designated by a
Participant, in a manner determined by the Committee, to receive amounts due or
exercise rights of the Participant in the event of the Participant's death. In
the absence of an effective designation by a Participant, "Designated
Beneficiary" means the Participant's estate.

      "Exchange Act" means the Securities Exchange Act of 1934, as amended from
time to time, or any successor law.

      "Fair Market Value" means, with respect to the Common Stock or any other
property, the fair market value of such property as determined by the Committee
in good faith or in the manner established by the Committee from time to time.

      "Participant" means a person selected by the Committee to receive an Award
under the Plan.

      "Reporting Person" means a person subject to Section 16 of the Exchange
Act.

10. MISCELLANEOUS

      (a) NO RIGHT TO EMPLOYMENT. No person shall have any claim or right to be
granted an Award. Neither the Plan nor any Award hereunder shall be deemed to
give any employee the right to continued employment or to limit the right of the
Company to discharge any employee at any time.

      (b) NO RIGHTS AS STOCKHOLDER. Subject to the provisions of the applicable
Award, no Participant or Designated Beneficiary shall have any rights as a
stockholder with respect to any shares of Common Stock to be distributed under
the Plan until he or she becomes the holder thereof. A Participant to whom
Common Stock is awarded shall be considered the holder of the Stock at the time
of the Award except as otherwise provided in the applicable Award.

      (c) EFFECTIVE DATE. This Amended and Restated 1996 Equity Incentive Plan
became effective on June 26, 1997.

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      (d) AMENDMENT OF PLAN. The Board may amend, suspend or terminate the Plan
or any portion thereof at any time, subject to such stockholder approval as the
Board determines to be necessary or advisable to comply with any tax or
regulatory requirement.

      (e) GOVERNING LAW. The provisions of the Plan shall be governed by and
interpreted in accordance with the laws of Delaware.

                                ****************

This Plan was approved by the Board of Directors on November 22, 1996.

This Plan was amended by the Board of Directors on May 19, 1997.

This Plan, as amended, was approved by the stockholders on June 26, 1997.

This Plan was amended and restated by the Board of Directors on June 24, 1997.

This Plan, as amended and restated, was approved by the stockholders on June 26,
1997.

This Plan was amended by the Board of Directors on February 2, 1999.

This Plan, as amended, was approved by the stockholders on May 26, 1999.

This Plan, as amended, was approved by the stockholders on June 1, 2000.

This Plan was amended by the Board of Directors on January 15, 2002.

This Plan was amended by the Board of Directors on February 4, 2002.

This Plan, as amended, was approved by the stockholders on May 23, 2002.

This Plan was amended by the Board of Directors on January 29, 2004.

This Plan, as amended, was approved by the stockholders on May 20, 2004.

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                                                                    EXHIBIT 10.3

                              TRIPATH IMAGING, INC.

                         1997 Director Stock Option Plan

1.    Purpose.

      This 1997 Director Stock Option Plan (the "Plan") governs options to
purchase Common Stock, $.01 par value per share (the "Common Stock"), of TriPath
Imaging, Inc. (the "Company") granted by the Company to members of the Board of
Directors of the Company who are not also officers or employees of the Company.
The purpose of the Plan is to attract and retain qualified persons to serve as
Directors of the Company and to encourage ownership of the Common Stock of the
Company by such Directors.

2.    Administration.

      Grants of stock options under the Plan shall be automatic as provided in
Section 8. However, all questions of interpretation of the Plan or of any
options granted hereunder shall be determined by the Board of Directors of the
Company (the "Board"). Any and all powers of the Board under the Plan may be
exercised by a committee consisting of one or more Directors appointed by the
Board.

3.    Eligibility.

      Members of the Board shall be eligible to participate in the Plan except
those Members of the Board who (i) are also officers of the Company, or (ii) who
own beneficially (as calculated pursuant to Rule 13(d)-3 of the Securities
Exchange Act of 1934, as amended (the "Exchange Act")) 3% or more of the
outstanding stock of the Company. Notwithstanding the foregoing, the Board may
by resolution determine that any otherwise eligible director shall not receive
grants of stock options under this plan.

4.    Shares Subject to the Plan.

      Options may be granted under the Plan in respect of a maximum of 450,000
shares of Common Stock, subject to adjustment as provided in Section 5 below.
Shares to be issued upon the exercise of options granted under the Plan may be
either authorized but unissued shares or shares held by the Company in its
treasury. Whenever options under the Plan lapse or terminate or otherwise become
unexercisable, the shares of Common Stock which were available for such options
shall again be available for the grant of options under the Plan. The Company
shall at all times while the Plan is in force reserve such number of shares of
Common Stock as will be sufficient to satisfy the requirements of the Plan.

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5.    Adjustment of Number of Option Shares.

      In the event of a stock dividend, split-up, combination or
reclassification of shares, recapitalization or other similar capital change
relating to the Company's Common Stock, the maximum aggregate number and kind of
shares or securities of the Company as to which options may be granted under
this Plan and as to which options then outstanding shall be exercisable, and the
option price of such options shall be appropriately adjusted so that the
proportionate number of shares or other securities as to which options may be
granted and the proportionate interest of holders of outstanding options shall
be maintained as before the occurrence of such event.

      In the event of any reorganization, consolidation or merger to which the
Company is a party and in which the Company does not survive, or upon the
dissolution or liquidation of the Company, all outstanding options shall
terminate; provided, however, that (i) in the event of the liquidation or
dissolution of the Company, or in the event of any such reorganization,
consolidation or merger in which the Company does not survive and with respect
to which the resulting or surviving corporation does not assume such outstanding
option or issue a substitute option therefor, such option shall be exercisable
in full, without regard to any installment restrictions on exercise imposed
pursuant to this Plan or any Option Agreement, during such period preceding the
effective date of such liquidation, dissolution, reorganization, consolidation
or merger (unless such option is terminated earlier by its terms) as may be
specified by the Board; and (ii) in the event of any such reorganization,
consolidation or merger, the Board may, in its good faith discretion, arrange to
have the resulting or surviving corporation assume such outstanding option or
issue a substitute option therefor.

      No fraction of a share shall be purchasable or deliverable upon exercise
of an option, but, in the event any adjustment hereunder of the number of shares
covered by the option shall cause such number to include a fraction of a share,
such fraction shall be adjusted to the nearest smaller whole number of shares.

6.    Non-Statutory Stock Options.

      All options granted under the Plan shall be non-statutory options not
entitled to special tax treatment under Section 422 of the Internal Revenue Code
of 1986, as amended (the "Code").

7.    Form of Option Agreements.

      Options shall be granted hereunder pursuant to the terms of Option
Agreements which shall be substantially in the form of the attached Exhibit A or
in such other form as the Board may from time to time determine.

8.    Grant of Options and Option Terms.

      Automatic Grant of Options. Commencing after September 30, 1999, each
eligible director of the Company thereafter elected or reelected to the Board of
Directors shall, upon his or her election or reelection, automatically be
granted options to purchase 30,000 shares of Common Stock. No options shall be
granted hereunder after ten years from the date on which this Plan was initially
approved and adopted by the Board.

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      Date of Grant. The "Date of Grant" for options granted under this Plan
shall be the date of the respective director's election or reelection,
commencing with all director elections or reelections occurring on or after
September 30, 1999.

      Option Price. The option price for each option granted under this Plan
shall be the current fair market value of a share of Common Stock of the Company
as determined by the Board of Directors in good faith, provided that if the
Company's Common Stock is then quoted on the National Association of Securities
Dealers Automated Quotations National Market ("Nasdaq") or traded on any other
exchange, then the current fair market value of a share of Common Stock of the
Company shall be the closing price for the Company's Common Stock as reported by
Nasdaq, or the principal exchange on which the Company's Common Stock is then
traded, on the last trading day prior to the Date of Grant.

      Term of Option. The term of each option granted under the Plan shall be
ten years from the Date of Grant.

      Period of Exercise. Options granted under the Plan shall become
exercisable in thirty-six (36) equal monthly installments on the last day of
each month, if and only if the option holder is a member of the Board at the
opening of business on that day. Directors holding exercisable options under the
Plan who cease to serve as members of the Board of the Company for any reason
other than death may, for a period of seven months following the date of
cessation of service, exercise the rights they had under such options at the
time they ceased being a Director. Any rights that have not yet become
exercisable shall terminate upon cessation of membership on the Board. Upon the
death of a Director, those entitled to do so under the Director's will or the
laws of descent and distribution shall have the right, at any time within twelve
months after the date of death, to exercise in whole or in part any rights which
were available to the Director at the time of his death. The rights of the
option holder may be exercised by the holder's guardian or legal representative
in the case of disability and by the beneficiary designated by the holder in
writing delivered to the Company or, if none has been designated, by the
holder's estate or his or her transferee on death in accordance with this Plan,
in the case of death. Options granted under the Plan shall terminate, and no
rights thereunder may be exercised, after the expiration of the applicable
exercise period. Notwithstanding the foregoing provisions, no rights under any
options may be exercised after the expiration of ten years from their Date of
Grant.

      Method of Exercise and Payment. Each exercise of an option hereunder may
be effected only by giving written notice, in the manner provided in Section 12
hereof, of intent to exercise the option, specifying the number of shares as to
which the option is being exercised, and accompanied by full payment of the
option price for the number of shares then being acquired. Such payment shall be
made in cash, by certified or bank check payable to the order of the Company,
credit to the Company's account at a financial or brokerage institution on the
date of exercise or a payment commitment of such an institution acceptable to
the Company, or if the option so provides, (i) in shares of Common Stock having
an aggregate Fair Market Value, at the time of such payment, equal to the total
option price for the number of shares of Common Stock for which payment is then
being made, or (ii) partly in cash or by certified or bank check payable to the
order of the Company and the balance in shares of Common Stock having an
aggregate Fair Market Value, at the time of such payment, equal to the
difference between the total option price for the number of shares of Common
Stock for which payment is then being made and the

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amount of the payment in cash or by certified or bank check. Shares of Common
Stock surrendered in payment of all or part of the option price shall have been
held by the person exercising the option free of restrictions imposed by the
Company for at least six months unless otherwise permitted by the Board. For
purposes hereof, the "Fair Market Value" of the Common Stock shall be the
current fair market value of a share of Common Stock of the Common Stock of the
Company as determined by the Board of Directors in good faith, provided that if
the Company's Common Stock is then quoted on Nasdaq or traded on any other
exchange, then the Fair Market Value shall be the closing price for the
Company's Common Stock as reported by Nasdaq, or the principal exchange on which
the Company's Common Stock is then traded, for the business day immediately
preceding the option exercise date.

      Receipt by the Company of such notice and payment shall, for purposes of
this Plan, constitute exercise of the option or a part thereof. Within twenty
(20) days thereafter, the Company shall deliver or cause to be delivered to the
optionee a certificate or certificates for the number of shares of Common Stock
then being purchased by the optionee. Such shares shall be fully paid and
non-assessable. If any law or applicable regulation of the Securities and
Exchange Commission or other public regulatory authority (including, but not
limited to, a stock exchange) shall require the Company or the optionee (i) to
register or qualify, under the Securities Act of 1933, as amended (the
"Securities Act"), any similar federal statute then in force or any state law
regulating the sale of securities, any shares of Common Stock covered by an
option with respect to which notice of intent to exercise shall have been
delivered to the Company or (ii) to take any other action in connection with
such shares before issuance thereof may be effected, then the delivery of the
certificate or certificates for such shares shall be postponed until completion
of the necessary action, which the Company shall take in good faith and without
delay. All such action shall be taken by the Company at its own expense.

      To the extent determined necessary by counsel to the Company to comply
with any applicable law, the Company may require an individual exercising an
option to represent that his purchase of shares of Common Stock pursuant to such
exercise is for his own account, for investment and without a view to resale or
distribution, and that he will not sell or otherwise dispose of any such shares
except pursuant to (i) an effective registration statement covering such
transaction filed with the Securities and Exchange Commission and in compliance
with all of the applicable provisions of the Securities Act, and the rules and
regulations thereunder, or (ii) an opinion of Company counsel that such
registration is not required.

      Non-transferability. Options granted under the Plan shall not be
transferable by the holder thereof otherwise than by will or the laws of descent
and distribution or by such other means as may be permitted by Rule 16b-3 (or
any successor provision) under the Exchange Act.

9.    Limitation of Rights.

      No Right to Continue as a Director. Neither the Plan, nor the granting of
an option or any other action taken pursuant to the Plan, shall constitute an
agreement or understanding, express or implied, that the Company will retain an
optionee as a Director for any period of time or at any particular rate of
compensation.

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      No Stockholders' Rights for Options. Directors shall have no rights as
stockholders with respect to the shares covered by their options until the date
they exercise such options and pay the option price to the Company, and no
adjustment will be made for dividends or other rights for which the record date
is prior to the date such option is exercised and paid for.

10.   Stockholder Approval.

      The Plan is subject to approval by the stockholders of the Company by the
affirmative vote of the holders of a majority of the shares of voting capital
stock present or represented and entitled to vote at a meeting of the Company's
stockholders. In the event such approval is not obtained, all options granted
under this Plan shall be void and without effect.

11.   Amendment or Termination.

      The Board may amend or terminate this Plan at any time subject to any
stockholder approval that the Board deems necessary.

12.   Notices.

      Any communication or notice required or permitted to be given under this
Plan shall be in writing and mailed by registered or certified mail or delivered
in hand, if to the Company, to its Vice President, Finance at TriPath Imaging,
Inc., 780 Plantation Drive, Burlington, North Carolina 27215 and, if to an
optionee, to such address as the optionee shall last have furnished to the
Company.

13.   Governing Law.

      The Plan shall be governed by and construed in accordance with the laws of
Delaware.

As adopted by the Board of Directors on June 27, 1997.

As approved by the Stockholders on June 27, 1997.

As amended by the Board of Directors on January 26, 2000.

As approved by the Stockholders, as amended, on June 1, 2000.

As amended by the Board of Directors on January 29, 2004.

As approved by the Stockholders, as amended, on May 20, 2004.

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                                                                       EXHIBIT A

1997 DSOP - _______                                              ________ Shares

                              TRIPATH IMAGING, INC.

                         1997 Director Stock Option Plan

                      Non-statutory Stock Option Agreement

                            _______________ __, 200_

      TriPath Imaging, Inc. (the "Company"), a Delaware corporation, hereby
grants to the person named below an option to purchase shares of Common Stock,
$.01 par value per share of the Company (the "Option") under and subject to the
Company's 1997 Director Stock Option Plan (the "Plan") exercisable only on the
following terms and conditions and those set forth on the reverse side of this
Agreement:

Name of Optionee:
Address:

Social Security No.
Option Price:
Date of Grant:

Exercisability Schedule:

Such option shall become exercisable in thirty-six (36) equal monthly
installments on the last day of each month,

provided that this Optionee is a member of the Board of Directors of the Company
(the "Board") at the opening of business on the date described above and
provided that this Option may not be exercised as to any shares after the
expiration of ten years from the date hereof.

      By signing this Stock Option Agreement and returning on signed copy of to
the Company, the Optionee accepts the Option described herein on the terms and
conditions set forth herein or in the plan.

TRIPATH IMAGING, INC.               Accepted and agreed to:

By:  ____________________           _______________________
Title:                                      Optionee

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<PAGE>

                              TRIPATH IMAGING, INC.
              1997 DIRECTOR STOCK OPTION PLAN TERMS AND CONDITIONS

      1. This Option may be exercised from time to time in accordance with the
exercisability Schedule for up to the aggregate number of shares specified
herein, but in no event for the purchase of other than full shares; provided,
however, that this Option may not be exercised as to any shares after the
expiration of ten years from the date hereof. Written notice of exercise shall
be delivered to the Company specifying the number of shares with respect to
which the Option is being exercised. Not later than twenty days after the date
of the delivery of such notice the Company will deliver to the Optionee a
certificate for the number of shares with respect to which the Option is being
exercised against payment therefor in cash or by check, credit to the Company's
account at a financial or brokerage institution on the date of exercise or a
payment commitment of such an institution acceptable to the Company or by shares
of the Company's Common Stock, valued at their fair market value as of the date
of exercise as determined as provided in the Plan, or in any combination of
cash, check and shares of Common Stock. Shares of Common Stock surrendered in
payment of the option price shall have been held by the person exercising the
option free of restrictions imposed by the Company for at least six months
unless otherwise permitted by the Board.

      2. The Optionee shall not be deemed, for any purpose, to have any rights
whatever in respect of shares to which the Option shall not have been exercised
and payment made as aforesaid. The Optionee shall not be deemed to have any
rights to continued service as director by virtue of the grant of this Option.

      3. In the event of stock dividend, split-up, combination or
reclassification of shares, recapitalization or other similar capital change
relating to the Common Stock, the maximum aggregate number and kind of shares of
securities of the Company subject to this Option and the exercise price of this
Option shall be appropriately adjusted by the Board (whose determination shall
be conclusive) so that the proportionate number of shares or other securities
subject to this Option and the proportionate interest of the Optionholder shall
be maintained as before the occurrence of such event.

      4. In the event of any reorganization, consolidation or merger to which
the Company is a party and in which the Company does not survive, or upon the
dissolution or liquidation of the Company, this option, to the extent
outstanding and unexercised, shall terminate; provided, however, that (i) in the
event of the liquidation of dissolution of the Company, or in the event of any
such reorganization, consolidation or merger in which the Company does not
survive and with respect to which the resulting or surviving corporation does
not assume such outstanding option or issue a substitute option herefor, this
option shall be exercisable in full, without regard to any installment
restrictions on exercise imposed pursuant to the Plan or this Option Agreement,
during such period preceding the effective date of such liquidation,
dissolution, reorganization, consolidation or merger (unless this option is
terminated earlier by its terms) as may be specified by the Board; and (ii) in
the event of any such reorganization, consolidation or merger, the Board may, in
its good faith discretion, arrange to have the resulting or surviving
corporation assume this option, to the extent outstanding and unexercised, or
issue a substitute option therefor.

      5. This Option is not transferable by the Optionee otherwise than by will
or the laws of descent and distribution or by such other means as may be
permitted by Rule 16b-3 (or any successor provision) under the Securities
Exchange Act of 1934, as amended. This Option is exercisable during the
Optionee's lifetime only by the Optionee, provided that this Option may be
exercised by the Optionholder's guardian or legal representative in the case of
disability and by the beneficiary designated by the Optionholder in writing
delivered to the Company, or, if none has been designated, by the Optionholder's
estate or his or her transferee on death in accordance with this Section, in the
case of death.

      6. If the Optionee ceases to serve as a member of the Board for any reason
other than death, the Optionee may, for a period of seven months following such
cessation of service, exercise the rights which the Optionee had hereunder at
the time the Optionee ceased being a director. Upon the death of the Optionee,
those entitled to do so shall have the right, at any time within twelve months
after the date of death (subject to the prior expiration of the Option exercise
period), to exercise in whole or in part any rights which were available to the
Optionee at the time of the Optionee's death. This Option shall terminate after
the expiration of the applicable exercise period. Notwithstanding the foregoing
provisions of this Section 6, no rights under this Option may be exercised after
the expiration of ten years from the date hereof.

      7. It shall be a condition to the Optionee's right to purchase shares of
Common Stock hereunder that the Company may, in its discretion, require (a) that
the shares of Common Stock reserved for issue upon the exercise of this Option
shall have been duly listed, upon official notice of issuance, upon any national
securities exchange on which the Company's Common Stock may then be listed, (b)
that either (i) a Registration Statement under the Securities Act of 1933, as
amended, with respect to said shares shall be in effect, or (ii) in the opinion
of counsel for the Company the proposed purchase shall be exempt from
registration under said Act and the Optionee shall have made such undertakings
and agreements with the Company as the Company may reasonably require, and (c)
that such other steps, if any, as counsel for the Company shall deem necessary
to comply with any law, rule or regulation applicable to the issue of such
shares by the Company shall have been taken by the Company or the Optionee, or
both. The certificates representing the shares purchased under this Option may
contain such legends as counsel for the Company shall deem necessary to comply
with any applicable law, rule or regulation.

      8. Any exercise of this Option is conditioned upon the payment, if the
Company so requests, by the Optionee or such other person who may be entitled to
exercise this Option in accordance with the terms hereof, of all state and
federal taxes imposed upon the exercise of this Option and the issue to the
Optionee of the shares covered hereby.

      9. This Option shall not be treated as an incentive stock option under
Section 422 of the Internal Revenue Code of 1986, as amended.

      10. This Option is issued pursuant to the terms of the Plan. This
Certificate does not set forth all of the terms and conditions of the Plan,
which are incorporated herein by reference. Capitalized terms used and not
otherwise defined herein have the meanings given to them in the Plan. Copies of
the Plan may be obtained upon written request without charge from the Company.

                                       7

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