Document:

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                                                                     EXHIBIT 4.1

                          REGISTRATION RIGHTS AGREEMENT

     AGREEMENT dated as of December 3, 2004, between MERCATOR MOMENTUM FUND, LP,
and MERCATOR MOMENTUM FUND III, LP. (collectively, the "Fund") and MERCATOR
ADVISORY GROUP, LLC ("MAG") (the Fund and MAG are referred to individually as a
"Holder" and collectively as the "Holders"), and Medical Discoveries, Inc., a
Utah corporation (the "Company").

     WHEREAS, the Funds have purchased, for an aggregate of $3,000,000, an
aggregate of 30,000 shares of Series A Convertible Preferred Stock (the "Series
A Stock") from the Company, and have the right to cause their Series A Stock to
be converted into shares of Common Stock, no par value (the "Common Stock"), of
the Company, pursuant to the conversion formula set forth in the Certificate of
Determination;

     WHEREAS, each of Fund and MAG have acquired Warrants (together, the
"Warrants") from the Company, pursuant to which the Holders have the right to
purchase in the aggregate up to 22,877,478 shares of the Common Stock through
the exercise of the Warrants;

     WHEREAS, the Company desires to grant to the Holders the registration
rights set forth herein with respect to the shares of Common Stock issuable upon
the conversion of the Series A Stock and the exercise of the Warrants.

     NOW, THEREFORE, the parties hereto mutually agree as follows:

     1.     REGISTRABLE SECURITIES. As used herein the terms "Registrable
          Security" means each of the shares of Common Stock (i) issued upon the
          conversion of the Series A Stock (the "Conversion Shares") or (ii)
          upon exercise of the Warrants (the "Warrant Shares"), provided,
          however, that with respect to any particular Registrable Security,
          such security shall cease to be a Registrable Security when, as of the
          date of determination that (a) it has been effectively registered
          under the Securities Act of 1933, as amended (the "Securities Act"),
          and disposed of pursuant thereto, or (b) registration under the
          Securities Act is no longer required for the immediate public
          distribution of such security. The term "Registrable Securities" means
          any and/or all of the securities falling within the foregoing
          definition of a "Registrable Security." In the event of any merger,
          reorganization, consolidation, recapitalization or other change in
          corporate structure affecting the Common Stock, such adjustment shall
          be made in the definition of "Registrable Security" as is appropriate
          in order to prevent any dilution or enlargement of the rights granted
          pursuant to this Section 1.

     2.     REGISTRATION.

     The Company shall file a registration statement (the "Registration
Statement") with the Securities and Exchange Commission (the "SEC") on or before
December 15, 2004, in order to register the resale of the Registrable Securities
under the Securities Act. Once effective, the Company shall maintain the
effectiveness of the Registration Statement until the earlier of

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(i) the date that all of the Registrable Securities have been sold, or (ii)
the date that the Company receives an opinion of counsel to the Company that all
of the Registrable Securities may be freely traded without registration under
the Securities Act, under Rule 144 promulgated under the Securities Act or
otherwise.

     The Company will initially include in the Registration Statement as
Registrable Securities Eighty-Two Million Eight Hundred Seventy-Seven Thousand
Four Hundred Seventy-Eight (82,877,478) shares of Common Stock issuable upon
conversion of the Series A Stock and the maximum number of shares of Common
Stock issuable upon exercise of the Warrants.

     3.     COVENANTS OF THE COMPANY WITH RESPECT TO REGISTRATION.

     The Company covenants and agrees as follows:

     The Company shall use best efforts to cause the Registration Statement to
become effective with the SEC as promptly as possible and in no event more than
120 days after the date of this Agreement. If any stop order shall be issued by
the SEC in connection therewith, the Company shall use best efforts to obtain
promptly the removal of such order. Following the effective date of the
Registration Statement, the Company shall, upon the request of any Holder,
forthwith supply such reasonable number of copies of the Registration Statement,
preliminary prospectus and prospectus meeting the requirements of the Securities
Act, and any other documents necessary or incidental to the public offering of
the Registrable Securities, as shall be reasonably requested by the Holder to
permit the Holder to make a public distribution of the Holder's Registrable
Securities. The obligations of the Company hereunder with respect to the
Holder's Registrable Securities are subject to the Holder's furnishing to the
Company such appropriate information concerning the Holder, the Holder's
Registrable Securities and the terms of the Holder's offering of such
Registrable Securities as the Company may reasonably request in writing.

     The Company shall pay all costs, fees and expenses in connection with the
Registration Statement filed pursuant to Section 2 hereof including, without
limitation, the Company's legal and accounting fees, printing expenses, and blue
sky fees and expenses; provided, however, that each Holder shall be solely
responsible for the fees of any counsel retained by the Holder in connection
with such registration and any transfer taxes or underwriting discounts,
commissions or fees applicable to the Registrable Securities sold by the Holder
pursuant thereto.

     The Company will take all actions which may be required to qualify or
register the Registrable Securities included in the Registration Statement for
the offer and sale under the securities or blue sky laws of such states as are
reasonably requested by each Holder of such securities, provided that the
Company shall not be obligated to execute or file any general consent to service
of process or to qualify as a foreign corporation to do business under the laws
of any such jurisdiction.

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     4.     ADDITIONAL TERMS.

            The Company shall indemnify and hold harmless the Holders and each
underwriter, within the meaning of the Securities Act, who may purchase from or
sell for any Holder, any Registrable Securities, from and against any and all
losses, claims, damages and liabilities caused by any untrue statement of a
material fact contained in the Registration Statement, any other registration
statement filed by the Company under the Securities Act with respect to the
registration of the Registrable Securities, any post-effective amendment to such
registration statements, or any prospectus included therein or caused by any
omission to state therein a material fact required to be stated therein or
necessary to make the statements therein not misleading, except insofar as such
losses, claims, damages or liabilities are caused by any such untrue statement
or omission based upon information furnished or required to be furnished in
writing to the Company by the Holders or underwriter expressly for use therein,
which indemnification shall include each person, if any, who controls any Holder
or underwriter within the meaning of the Securities Act and each officer,
director, employee and agent of each Holder and underwriter; provided, however,
that the indemnification in this Section 4(a) with respect to any prospectus
shall not inure to the benefit of any Holder or underwriter (or to the benefit
of any person controlling any Holder or underwriter) on account of any such
loss, claim, damage or liability arising from the sale of Registrable Securities
by the Holder or underwriter, if a copy of a subsequent prospectus correcting
the untrue statement or omission in such earlier prospectus was provided to such
Holder or underwriter by the Company prior to the subject sale and the
subsequent prospectus was not delivered or sent by the Holder or underwriter to
the purchaser prior to such sale and provided further, that the Company shall
not be obligated to so indemnify any Holder or any such underwriter or other
person referred to above unless the Holder or underwriter or other person, as
the case may be, shall at the same time indemnify the Company, its directors,
each officer signing the Registration Statement and each person, if any, who
controls the Company within the meaning of the Securities Act, from and against
any and all losses, claims, damages and liabilities caused by any untrue
statement of a material fact contained in the Registration Statement, any
registration statement or any prospectus required to be filed or furnished by
reason of this Agreement or caused by any omission to state therein a material
fact required to be stated therein or necessary to make the statements therein
not misleading, insofar as such losses, claims, damages or liabilities are
caused by any untrue statement or omission based upon information furnished in
writing to the Company by the Holder or underwriter expressly for use therein.

            If for any reason the indemnification provided for in the preceding
section is held by a court of competent jurisdiction to be unavailable to an
indemnified party with respect to any loss, claim, damage, liability or expense
referred to therein, then the indemnifying party, in lieu of indemnifying such
indemnified party thereunder, shall contribute to the amount paid or payable by
the indemnified party as a result of such loss, claim, damage or liability in
such proportion as is appropriate to reflect the relative fault of the
indemnified party and the indemnifying party, as well as any other relevant
equitable considerations.

            Neither the filing of a Registration Statement by the Company
pursuant to this Agreement nor the making of any request for prospectuses by the
Holder shall impose upon any Holder any obligation to sell the Holder's
Registrable Securities.

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            Each Holder, upon receipt of notice from the Company that an event
has occurred which requires a Post-Effective Amendment to the Registration
Statement or a supplement to the prospectus included therein, shall promptly
discontinue the sale of Registrable Securities until the Holder receives a copy
of a supplemented or amended prospectus from the Company, which the Company
shall provide as soon as practicable after such notice.

            If the Company fails to keep the Registration Statement referred to
above continuously effective during the requisite period, then the Company
shall, promptly upon the request of any Holder, use best efforts to update the
Registration Statement or file a new registration statement covering the
Registrable Securities remaining unsold, subject to the terms and provisions
hereof.

            Each Holder agrees to provide the Company with any information or
undertakings reasonably requested by the Company in order for the Company to
include any appropriate information concerning the Holder in the Registration
Statement or in order to promote compliance by the Company or the Holder with
the Securities Act.

            (g)  The Company agrees that it shall cause each of its directors,
officers and shareholders owning ten percent (10%) or more of the Company's
outstanding Common Stock to refrain from selling any shares of the Company's
Common Stock until the Registration Statement has been declared effective.

            (h)  Each Holder, on behalf of itself and its affiliates, hereby
covenants and agrees not to, directly or indirectly, offer to "short sell",
contract to "short sell" or otherwise "short sell" any securities of the
Company, including, without limitation, shares of Common Stock that will be
received as a result of the conversion of the Series A Stock or the exercise of
the Warrants.

      5.    GOVERNING LAW. The Registrable Securities will be, if and when
            issued, delivered in California. This Agreement shall be deemed to
            have been made and delivered in the State of California and shall be
            governed as to validity, interpretation, construction, effect and in
            all other respects by the internal substantive laws of the State of
            California, without giving effect to the choice of law rules
            thereof.

      6.    AMENDMENT.  This Agreement may only be amended by a written
            instrument executed by the Company and the Holders.

      7.    ENTIRE AGREEMENT.  This Agreement constitutes the entire agreement
            of the parties hereto with respect to the subject matter hereof, and
            supersedes all prior agreements and understandings of the parties,
            oral and written, with respect to the subject matter hereof.

      8.    EXECUTION IN COUNTERPARTS.  This Agreement may be executed in one
            or more counterparts, each of which shall be deemed an original, but
            all of which together shall constitute one and the same document.

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      9.    NOTICES.  All communications hereunder shall be in writing and
            shall be hand delivered, mailed by first-class mail, couriered by
            next-day air courier or by facsimile  at the addresses set forth
            below.

               If to the Holders,   Mercator Advisory Group, LLC
                                    Mercator Momentum Fund, L.P.
                                    Mercator Momentum Fund III, L.P.
                                    Monarch Pointe Fund, Ltd.
                                    555 South Flower Street, Suite 4500
                                    Los Angeles, CA  90071
                                    Attention: David Firestone

               With a copy to Sheppard Mullin Richter & Hampton LLP
                                    333 South Hope Street
                                    48th Floor
                                    Los Angeles, CA 90071-1448
                                    Telephone No.: (213) 620-1780
                                    Facsimile No.:  (213) 620-1398
                                    Attention:     David C. Ulich

               If to the Company,   Medical Discoveries, Inc.
                                    738 Aspenwood Lane
                                    Twin Falls, Idaho 83301
                                    Telephone No.: (208) 736-1799
                                    Facsimile No.: (208) 733-5877
                                    Attention:  Judy M. Robinett

With a copy to                      Stoel Rives LLP
                                    101 S. Capitol Blvd., Suite 1900
                                    Boise, Idaho 83702
                                    Telephone No.: (208) 389-9000
                                    Facsimile No.:  (208) 389-9040
                                    Attention:     Stephen R. Drake

All such notices and communications shall be deemed to have been duly given: (i)
when delivered by hand, if personally delivered; (ii) five business days after
being deposited in the mail, postage prepaid, if mailed certified mail, return
receipt requested; (iii) one business day after being timely delivered to a
next-day air courier guaranteeing overnight delivery; (iv) the date of
transmission if sent via facsimile to the facsimile number as set forth in this
Section or the signature page hereof prior to 4:00 p.m. on a business day, or
(v) the business day following the date of transmission if sent via facsimile at
a facsimile number set forth in this Section or on the signature page hereof
after 4:00 p.m. or on a date that is not a business day. Change of a party's
address or facsimile number may be designated hereunder by giving notice to all
of the other parties hereto in accordance with this Section.

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      10.     BINDING EFFECT; BENEFITS. Any Holder may assign its rights
            hereunder. This Agreement shall inure to the benefit of, and be
            binding upon, the parties hereto and their respective heirs, legal
            representatives, successors and assigns. Nothing herein contained,
            express or implied, is intended to confer upon any person other than
            the parties hereto and their respective heirs, legal representatives
            and successors, any rights or remedies under or by reason of this
            Agreement.

      11.     HEADINGS.  The headings contained herein are for the sole purpose
            of convenience of reference, and shall not in any way limit or
            affect the meaning or interpretation of any of the terms or
            provisions of this Agreement.

      12.     SEVERABILITY. Any provision of this Agreement which is held by
            a court of competent jurisdiction to be prohibited or unenforceable
            in any jurisdiction(s) shall be, as to such jurisdiction(s),
            ineffective to the extent of such prohibition or unenforceability
            without invalidating the remaining provisions of this Agreement or
            affecting the validity or enforceability of such provision in any
            other jurisdiction.

      13.     JURISDICTION.  Each of the parties irrevocably agrees that any and
            all suits or proceedings based on or arising under this Agreement
            may be brought only in and shall be resolved in the federal or state
            courts located in the City of Los Angeles, California and consents
            to the jurisdiction of such courts for such purpose. Each of the
            parties irrevocably waives the defense of an inconvenient forum to
            the maintenance of such suit or proceeding in any such court. Each
            of the parties further agrees that service of process upon such
            party mailed by first class mail to the address set forth in Section
            9 shall be deemed in every respect effective service of process upon
            such party in any such suit or proceeding. Nothing herein shall
            affect the right of either party to serve process in any other
            manner permitted by law. Each of the parties agrees that a final
            non-appealable judgment in any such suit or proceeding shall be
            conclusive and may be enforced in other jurisdictions by suit on
            such judgment or in any other lawful manner.

      14.     ATTORNEYS' FEES AND DISBURSEMENTS. If any action at law or in
            equity is necessary to enforce or interpret the terms of this
            Agreement, the prevailing party or parties shall be entitled to
            receive from the other party or parties reasonable attorneys' fees
            and disbursements in addition to any other relief to which the
            prevailing party or parties may be entitled.

            [The balance of this page is intentionally left blank.]

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        IN WITNESS WHEREOF, this Agreement has been executed and delivered by
the parties hereto as of the date first above written.

                            MEDICAL DISCOVERIES, INC.

                            By:_________________________________
                            Name: Judy M. Robinett
                            Its: President & CEO

                            HOLDERS:

                            MERCATOR MOMENTUM FUND, LP

                            By: Mercator Advisory Group, LLC
                            Its: General Partner

                            By:_________________________________
                            Name: David Firestone
                            Its: Managing Member

                            MERCATOR MOMENTUM FUND III, LP

                            By: Mercator Advisory Group, LLC
                            Its: General Partner

                            By:_________________________________
                            Name: David Firestone
                            Its: Managing Member

                            MERCATOR ADVISORY GROUP, LLC

                            By:_________________________________
                            Name: David Firestone
                            Its: Managing MemberEXHIBIT 10(l)
-------------

                              LANDAUER, INC.
                   NON-STATUTORY STOCK OPTION AGREEMENT
                               FOR EMPLOYEES

      Landauer, Inc., a Delaware corporation (the "Company"), hereby grants
to _____________ (the "Optionee") as of ________________ (the "Option
Date"), pursuant to the provisions of the Landauer, Inc. 1996 Equity Plan
(the "Plan"), a non-qualified option to purchase from the Company (the
"Option") _________ shares of its Common Stock, $.10 par value ("Stock"),
at the price of ________ per share upon and subject to the terms and
conditions set forth below.  References to employment by the Company shall
also mean employment by a Subsidiary.  Capitalized terms not defined herein
shall have the meanings specified in the Plan.

      1.    OPTION SUBJECT TO ACCEPTANCE OF AGREEMENT.  The Option shall be
null and void unless the Optionee shall accept this Agreement by executing
it in the space provided below and returning such original execution copy
to the Company.

      2.    TIME AND MANNER OF EXERCISE OF OPTION.

            2.1.  MAXIMUM TERM OF OPTION.  In no event may the Option be
exercised, in whole or in part, after _______________ (the "Expiration
Date").

            2.2.  EXERCISE OF OPTION.

            (a)   The Option shall become exercisable _______________ with
respect to _________ of the shares of Stock subject to the Option on the
Option Date.

            (b)   If the Optionee's employment with the Company terminates
by reason of Disability, the Option shall be exercisable by the Optionee or
the Optionee's Legal Representative until and including the earliest to
occur of (i) the date which is one year after the Optionee's Employment
Termination Date and (ii) the Expiration Date.

            (c)   If the Optionee's employment with the Company terminates
by reason of retirement on or after age 65 (or prior to age 65 with the
consent of the Company), the Option shall be exercisable by the Optionee or
the Optionee's Legal Representative until and including the earliest to
occur of (i) the date which is ______________ after the Optionee's
Employment Termination Date and (ii) the Expiration Date.

            (d)   If the Optionee's employment with the Company terminates
by reason of death, the Option shall be exercisable by the Optionee or the
Optionee's Legal Representative or Permitted Transferees, as the case may
be, until and including the earliest to occur of (i) the date which is one
year after the date of death and (ii) the Expiration Date; provided,
however, that in the event that the date of death is less than six months
prior to the Expiration Date, the Optionee's Legal Representative or
Permitted Transferees shall have until the six month anniversary of the
date of death to exercise the Option.

            (e)   If the Optionee's employment with the Company terminates
for any reason other than Disability, retirement on or after age 65 (or
prior to age 65 with the consent of the Company), or death, the Option
shall be exercisable by the Optionee or the Optionee's Legal Representative
until and including the earliest to occur of (i) the date which is three
months after the Optionee's Employment Termination Date and (ii) the
Expiration Date; provided that if the Optionee's employment is terminated
for Cause, the Option shall terminate automatically on the Optionee's
Employment Termination Date;

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            (f)   If the Optionee dies during the period set forth in
Section 2.2(b) following termination of employment by reason of Disability,
or if the Optionee dies during the period set forth in Section 2.2(c)
following termination of employment by reason of retirement on or after age
65 (or prior to age 65 with the consent of the Company), or if the Optionee
dies during the period set forth in Section 2.2(e) following termination of
employment for any reason other than Disability or retirement on or after
age 65 (or prior to age 65 with the consent of the Company), the Option may
thereafter be exercised by the Optionee's Legal Representative or Permitted
Transferees, as the case may be, until and including the earliest to occur
of (i) the date which is one year after the date of death and (ii) the
Expiration Date; provided, however that in the event that the date of death
is less than six months prior to the Expiration Date, the Optionee's Legal
Representative or Permitted Transferees shall have until the six month
anniversary of the date of death to exercise the Option.

            2.3.  METHOD OF EXERCISE.  Subject to the limitations set forth
in this Agreement, the Option may be exercised by the Optionee (1) by
giving written notice to the Company specifying the number of whole shares
of Stock to be purchased and accompanied by payment therefor in full (or
arrangement made for such payment to the Company's satisfaction) either (i)
in cash, (ii) by delivery (either actual delivery or by attestation
procedures established by the Company) of previously owned whole shares of
Stock (which the Optionee has held for at least six months prior to the
delivery of such shares or which the Optionee purchased on the open market
and in each case for which the Optionee has good title, free and clear of
all liens and encumbrances) having an aggregate Fair Market Value,
determined as of the date of exercise, equal to the aggregate purchase
price payable pursuant to the Option by reason of such exercise, (iii) in
cash by a broker-dealer acceptable to the Company to whom the Optionee has
submitted an irrevocable notice of exercise or (iv) a combination of (i),
and (ii), (2) if applicable, by surrendering to the Company any Tandem SARs
which are cancelled by reason of the exercise of the Option and (3) by
executing such documents as the Company may reasonably request.  The
Company shall have sole discretion to disapprove of an election pursuant to
clause (iii).  Any fraction of a share of Stock, which would be required to
pay such purchase price, shall be disregarded and the remaining amount due
shall be paid in cash by the Optionee.  No certificate representing a share
of Stock shall be delivered until the full purchase price therefor has been
paid.

            2.4.  TERMINATION OF OPTION.

            (a)   In no event may the Option be exercised after it
terminates as set forth in this Section 2.4.  The Option shall terminate,
to the extent not exercised pursuant to Section 2.3 or earlier terminated
or extended pursuant to Section 2.2, on the Expiration Date.

            (b)   In the event that rights to purchase all or a portion of
the shares of Stock subject to the Option expire or are exercised,
cancelled or forfeited, the Optionee shall, upon the Company's request,
promptly return this Agreement to the Company for full or partial
cancellation, as the case may be.  Such cancellation shall be effective
regardless of whether the Optionee returns this Agreement.  If the Optionee
continues to have rights to purchase shares of Stock hereunder, the Company
shall, within 10 days of the Optionee's delivery of this Agreement to the
Company, either (i) mark this Agreement to indicate the extent to which the
Option has expired or been exercised, cancelled or forfeited or (ii) issue
to the Optionee a substitute option agreement applicable to such rights,
which agreement shall otherwise be substantially similar to this Agreement
in form and substance.

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      3.    ADDITIONAL TERMS AND CONDITIONS OF OPTION.

            3.1.  NONTRANSFERABILITY OF OPTION.  The Option may not be
transferred by the Optionee other than by will or the laws of descent and
distribution or pursuant to beneficiary designation procedures approved by
the Company.  Except to the extent permitted by the foregoing sentence,
during the Optionee's lifetime the Option is exercisable only by the
Optionee or the Optionee's Legal Representative.  Except to the extent
permitted by the foregoing, the Option may not be sold, transferred,
assigned, pledged, hypothecated, encumbered or otherwise disposed of
(whether by operation of law or otherwise) or be subject to execution,
attachment or similar process.  Upon any attempt to so sell, transfer,
assign, pledge, hypothecate, encumber or otherwise dispose of the Option,
the Option and all rights hereunder shall immediately become null and void.

            3.2.  INVESTMENT REPRESENTATION; RESTRICTION ON TRANSFER OF
STOCK.

            (a)   The Optionee hereby represents and covenants that (i) any
share of Stock purchased upon exercise of the Option will be purchased for
investment and not with a view to the distribution thereof within the
meaning of the Securities Act of 1933, as amended (the "Securities Act"),
unless such purchase has been registered under the Securities Act and any
applicable state securities laws; (ii) any subsequent sale of any such
shares shall be made either pursuant to an effective registration statement
under the Securities Act and any applicable state securities laws, or
pursuant to an exemption from registration under the Securities Act and
such state securities laws; and (iii) if requested by the Company, the
Optionee shall submit a written statement, in form satisfactory to the
Company, to the effect that such representation (x) is true and correct as
of the date of purchase of any shares hereunder or (y) is true and correct
as of the date of any sale of any such shares, as applicable.  As a further
condition precedent to any exercise of the Option, the Optionee shall
comply with all regulations and requirements of any regulatory authority
having control of or supervision over the issuance or delivery of the
shares and, in connection therewith, shall execute any documents which the
Board or the Committee shall in its sole discretion deem necessary or
advisable.

            (b)   The Optionee hereby acknowledges and agrees that the
shares of Stock purchased upon exercise of the Option may not be sold,
transferred, assigned, pledged, hypothecated, encumbered or otherwise
disposed of (whether by operation of law or otherwise), without the express
prior written consent of the Company, until the earlier to occur of (i)
________________ and (ii) the termination of the Optionee's employment with
the Company for a reason set forth in Section 2.2(b), 2.2(c) or 2.2(d);
PROVIDED, HOWEVER, that the restriction on transfer contained in this
Section 3.2(b) shall not apply to (x) the transfer of the number of shares
of Stock purchased upon exercise of the Option which is required to be
transferred for the payment pursuant to Section 2.3(1)(iii) of the
aggregate purchase price of the total number of shares purchased upon such
exercise or (y) the withholding by the Company pursuant to Section
3.3(b)(3) or the transfer pursuant to Section 3.3(b)(4) of the number of
shares of Stock purchased upon exercise of the Option which is required to
be withheld or transferred, as the case may be, for the payment of the
Required Tax Payments (as defined in Section 3.3(a)) in connection with
such exercise of the Option.  The Company shall require that certificates
evidencing shares of Stock delivered in connection with the exercise of the
Option bear a legend indicating that the sale, transfer or other
disposition thereof by the holder is prohibited except in compliance with
this Section 3.2(b).

                                     3

<PAGE>

            3.3.  WITHHOLDING TAXES.

            (a)   As a condition precedent to the delivery of Stock upon
exercise of the Option, the Optionee shall, upon request by the Company,
pay to the Company in addition to the purchase price of the shares, such
amount of cash as the Company may be required, under all applicable
federal, state, local or other laws or regulations, to withhold and pay
over as income or other withholding taxes (the "Required Tax Payments")
with respect to such exercise of the Option.  If the Optionee shall fail to
advance the Required Tax Payments after request by the Company, the Company
may, in its discretion, deduct any Required Tax Payments from any amount
then or thereafter payable by the Company to the Optionee.

            (b)   The Optionee may elect to satisfy his or her obligation
to advance the Required Tax Payments by any of the following means:  (1) a
cash payment to the Company pursuant to Section 3.3(a), (2) delivery
(either actual delivery or by attestation procedures established by the
Company) to the Company of previously owned whole shares of Stock (for
which the Optionee has good title, free and clear of all liens and
encumbrances) having an aggregate Fair Market Value, determined as of the
date the obligation to withhold or pay taxes first arises in connection
with the Option (the "Tax Date"), equal to the Required Tax Payments, (3)
authorizing the Company to withhold whole shares of Stock which would
otherwise be delivered to the Optionee upon exercise of the Option having
an aggregate Fair Market Value, determined as of the Tax Date, equal to the
Required Tax Payments, (4) a cash payment by a broker-dealer acceptable to
the Company to whom the Optionee has submitted an irrevocable notice of
exercise or (5) any combination of (1), (2) and (3).  The Company shall
have sole discretion to disapprove of an election pursuant to clause (4).
Shares of Stock to be delivered or withheld may not have a Fair Market
Value in excess of the amount of the Required Tax Payments determined by
applying the minimum statutory withholding rate.  Any fraction of a share
of Stock, which would be required to satisfy any such obligation, shall be
disregarded and the remaining amount due shall be paid in cash by the
Optionee.  No certificate representing a share of Stock shall be delivered
until the Required Tax Payments have been satisfied in full.

            3.4.  ADJUSTMENT.  In the event of any stock split, stock
dividend, recapitalization, reorganization, merger, consolidation,
combination, exchange of shares, liquidation, spin-off or other similar
change in capitalization or event, or any distribution to holders of Stock
other than a regular cash dividend, the number and class of securities
subject to the Option and the purchase price per security shall be
appropriately adjusted by the Committee without an increase in the
aggregate purchase price.  If any adjustment would result in a fractional
security being subject to the Option, the Company shall pay the Optionee,
in connection with the first exercise of the Option occurring after such
adjustment, an amount in cash determined by multiplying (i) the fraction of
such security (rounded to the nearest hundredth) by (ii) the excess, if
any, of (A) the Fair Market Value on the exercise date over (B) the
exercise price of the Option.  The decision of the Committee regarding any
such adjustment shall be final, binding and conclusive.

            3.5.  COMPLIANCE WITH APPLICABLE LAW.  The Option is subject to
the condition that if the listing, registration or qualification of the
shares subject to the Option upon any securities exchange or under any law,
or the consent or approval of any governmental body, or the taking of any
other action is necessary or desirable as a condition of, or in connection
with, the purchase or delivery of shares hereunder, the Option may not be
exercised, in whole or in part, unless such listing, registration,
qualification, consent or approval shall have been effected or obtained,
free of any conditions not acceptable to the Company.  The Company agrees
to use reasonable efforts to effect or obtain any such listing,
registration, qualification, consent or approval.

                                     4

<PAGE>

            3.6.  DELIVERY OF CERTIFICATES.  Upon the exercise of the
Option, in whole or in part, the Company shall deliver or cause to be
delivered one or more certificates representing the number of shares
purchased against full payment therefor.  The Company shall pay all
original issue or transfer taxes and all fees and expenses incident to such
delivery, except as otherwise provided in Section 3.3.

            3.7.  OPTION CONFERS NO RIGHTS AS STOCKHOLDER.  The Optionee
shall not be entitled to any privileges of ownership with respect to shares
of Stock subject to the Option unless and until purchased and delivered
upon the exercise of the Option, in whole or in part, and the Optionee
becomes a stockholder of record with respect to such delivered shares; and
the Optionee shall not be considered a stockholder of the Company with
respect to any such shares not so purchased and delivered.

            3.8.  OPTION CONFERS NO RIGHTS TO CONTINUED EMPLOYMENT.  In no
event shall the granting of the Option or its acceptance by the Optionee
give or be deemed to give the Optionee any right to continued employment by
the Company or any affiliate of the Company.

            3.9.  DECISIONS OF BOARD OR COMMITTEE.  The Board or the
Committee shall have the right to resolve all questions, which may arise in
connection with the Option or its exercise.  Any interpretation,
determination or other action made or taken by the Board or the Committee
regarding the Plan or this Agreement shall be final, binding and
conclusive.

            3.10. COMPANY TO RESERVE SHARES.  The Company shall at all
times prior to the expiration or termination of the Option reserve and keep
available, either in its treasury or out of its authorized but unissued
shares of Stock, the full number of shares subject to the Option from time
to time.

            3.11. AGREEMENT SUBJECT TO THE PLAN.  This Agreement is subject
to the provisions of the Plan and shall be interpreted in accordance
therewith.  The Optionee hereby acknowledges receipt of a copy of the Plan.

      4.    MISCELLANEOUS PROVISIONS.

            4.1.  DESIGNATION AS NONQUALIFIED STOCK OPTION.  The Option is
hereby designated as not constituting an "incentive stock option" within
meaning of section 422 of the Internal Revenue Code of 1986, as amended
(the "Code"); this Agreement shall be interpreted and treated consistently
with such designation.

            4.2.  MEANING OF CERTAIN TERMS.

            (a)    As used herein, employment by the Company shall include
employment by a corporation, which is a "subsidiary corporation" of the
Company, as such term is defined in section 424 of the Code.  References in
this Agreement to sections of the Code shall be deemed to refer to any
successor section of the Code or any successor internal revenue law.

            (b)   As used herein, the term "Legal Representative" shall
include an executor, administrator, legal representative, guardian or
similar person and the term "Permitted Transferee" shall include any
transferee or (ii) designated pursuant to beneficiary designation
procedures approved by the Company.

            4.3.  SUCCESSORS.  This Agreement shall be binding upon and
inure to the benefit of any successor or successors of the Company and any
person or persons who shall, upon the death of the Optionee, acquire any
rights hereunder in accordance with this Agreement or the Plan.

                                     5

<PAGE>

            4.4.  NOTICES.  All notices, requests or other communications
provided for in this Agreement shall be made, if to the Company, to
Landauer, Inc., 2 Science Road, Glenwood, Illinois 60425, Attention:  Vice
President and Treasurer, and if to the Optionee, ________________,
_________________, __________, ________.  All notices, requests or other
communications provided for in this Agreement shall be made in writing
either (a) by personal delivery to the party entitled thereto, (b) by
facsimile with confirmation of receipt, (c) by mailing in the United States
mails to the last known address of the party entitled thereto or (d) by
express courier service.  The notice, request or other communication shall
be deemed to be received upon personal delivery, upon confirmation of
receipt of facsimile transmission or upon receipt by the party entitled
thereto if by United States mail or express courier service; provided,
however, that if a notice, request or other communication sent to the
Company is not received during regular business hours, it shall be deemed
to be received on the next succeeding business day of the Company.

            4.5.  GOVERNING LAW.  This Agreement, the Option and all
determinations made and actions taken pursuant hereto and thereto, to the
extent not governed by the laws of the United States, shall be governed by
the laws of the State of Delaware and construed in accordance therewith
without giving effect to principles of conflicts of laws.

            4.6.  COUNTERPARTS.  This Agreement may be executed in two
counterparts each of which shall be deemed an original and both of which
together shall constitute one and the same instrument.

                                    LANDAUER, INC.

                                    By:
                                         ------------------------------
                                         James M. O'Connell
                                         Vice President & Treasurer

Accepted this __________ day of

__________________________, 200__
      Optionee

                                     6

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