Document:

TOWERS OF CORAL SPRINGS, LTD.
                         OFFICE BUILDING LEASE AGREEMENT

I. IDENTITY OF PARTIES' AGREED RENTABLE AREA:
   ------------------------------------------
A.  LEASE  MADE  THIS  13 day of  March,  2000 by and  between  Towers  of Coral
Springs,  LTD.,  organized and existing  under the laws of the State of Florida,
having an office pat 2825 University  Drive,  Suite 350, Coral Springs,  Florida
33065  (hereinafter  referred to as "LANDLORD") and  E-PAWN.COM,  INC., A Nevada
Corporation (hereinafter referred to as "TENANT").

 WITNESSETH, THAT,

 B. LANDLORD,  for the term and subject to the provisions and conditions hereof,
 shall  lease to  TENANT,  and  TENANT  shall  lease  from  LANDLORD,  THE SPACE
 (hereinafter  referred  to as the  "Demised  Premises"  and  more  particularly
 described  by the floor plans  annexed  hereto as Exhibit  "A")  consisting  of
 approximately  1,298  rentable  square  feet on the second  (2nd)  floor of the
 building  known as Merrill  Lynch Tower of the Towers of Coral  Springs,  Suite
 200. Rentable square feet includes  approximately 1,129 usable square feet plus
 a 15% add-on factor which equals 169 feet representing TENANT'S contribution of
 the common area. The premises shall be used by the TENANT for the purposes of a
 general business office.

  II. TERM AND COMMENCEMENT DATE:
      ---------------------------

  A. The term of this  LEASE  and the  accrual  of  rents  shall be a period  of
  thirty-six  (36) months  beginning  March 7, 2000 and  expiring  March 6, 2003
  unless sooner terminated as hereinafter provided.

  III. RENT:
       -----

  A. The monthly rent shall be Two Thousand One Hundred  Forty-Seven  and 00!100
  ($2,147.00)  Dollars  plus sales tax payable in advance on the first (1St) day
  of each month.  TENANT shall prepay the first  twenty-four (24) months of rent
  in advance  upon lease  execution  in the  amount of Fifty One  Thousand  Five
  Hundred  TwentyEight and 00/100  ($51,528.00) plus six (6%) percent sales tax.
  TENANT shall pay 0 month's  security deposit and first month's rent upon LEASE
  execution.  Commencing  the third (3rd) year of this lease,  the monthly  rent
  shall increase to Two Thousand Two Hundred  Fifty-Four and 35/100  ($2,254.35)
  Dollars plus sales tax until the expiration of this lease.

                                       _1_

<PAGE>

IV. PARKING:

A. All employees must park in the rear of the building,  East of the alleyway or
at such other place designated by the LANDLORD. Parking shall be on a first come
first served basis.

V. CARE OF DEMISED PREMISES:

 A.    TENANT  accepts the  premises  in  "As Is"  condition.  TENANT  may  make
improvements to the premises provided TENANT obtains the written  consent of the
LANDLORD.   TENANT  is responsible to pay for its own electrical consumption for
the demised premises.

 TENANT covenants and agrees that it will, during the term of this lease, and at
 its own cost and expense,  keep,  preserve  and maintain the demised  premises,
 including  equipment,  plumbing,  electrical,  machinery,  air conditioning and
 heating  system,  furnishings and fixtures  located therein in a proper,  safe,
 tenantable,  good and substantial  state of repair and condition and will, from
 time to time, make, or cause to be made, all reasonable and necessary  repairs.
 TENANT shall not cause, suffer or permit any waste,  damage,  neglect or injury
 to the demises premises.

  B.  TENANT  shall be solely  -responsible  for any and all other  repairs  and
  maintenance  to the  demised  premises,  and  for  any  and  all  repairs  and
  maintenance  to the property  caused by the  negligence  of TENANT's  patrons,
  guests or employees.

  C. At the  termination  of the lease term,  TENANT shall  surrender the leased
  property to the LANDLORD broom clean and in as good condition and repair as at
  the commencement of the term,  ordinary and reasonable wear and tear excepted.
  If not then in default,  TENANT shall have the right,  at the end of the term,
  to remove any equipment, furniture, trade fixtures and other personal property
  placed in or on, but not affixed to, the demised premises.

  D. All damage caused by TENANT's  negligence or that of its agents,  servants,
  employees, or visitors, shall be repaired promptly by TENANT, at its sole cost
  and expense.  In the event that the TENANT fails to comply with the  foregoing
  provisions,  the LANDLORD shall have the option to enter the premises and make
  all necessary  repairs at TENANT's  cost and expense,  the same to be added to
  and be payable  with the next  monthly  installment  of rent.  TENANT shall be
  liable for any damage caused by TENANT or its employees, agents or invitees to
  common areas or to the premises of other tenants.

  E. LANDLORD  shall  have  access  to  the demised premises at any time without
diminution of rent, to enable LANDLORD to:

                                       -2-

<PAGE>

 (1)  examine  the same and make such  repairs,  additions  and  alterations  as
 LANDLORD may be permitted to make hereunder or as LANDLORD may reasonably  deem
 advisable for the  preservation of the integrity,  safety and good order of the
 Building  or any part  thereof;  and (2) upon  reasonable  notice,  to show the
 demised premises to any prospective  mortgagees and purchasers,  and during the
 six (6) months prior to the  expiration  of the term, to  prospective  tenants.
 Notwithstanding  anything  to the  contrary,  in  the  event  of an  emergency,
 LANDLORD shall have access at any time.

 F. TENANT shall upon the  termination of this lease,  remove TENANT's goods and
 effects anal those of any other person claiming under TENANT,  and TENANT shall
 quit and deliver up the demised premises to LANDLORD peaceably,  quietly and in
 as good order and  condition as at the inception of the term of its lease or as
 the same hereafter may be improved by LANDLORD or TENANT,  reasonable use, wear
 and tear thereof,  damage from fire extended type risks,  and repairs which are
 LANDLORD's obligation excepted.  Goods and effects not removed by TENANT at the
 termination  of this lease  shall be  considered  abandoned  and  LANDLORD  may
 dispose of and/or store the same as it deems expedient, the costs thereof to be
 charged to TENANT. Prior to the disposal of any of TENANT's property or effects
 as  contemplated  within this  section  LANDLORD  shall give TENANT  reasonable
 notice to remove same.

  G. Except as so approved by the LANDLORD,  TENANT shall not place signs on the
  demised  premises except on doors and then only of a type,  lettering and text
  approved by the LANDLORD. Identification of TENANT and TENANT's location shall
  be provided in a directory of the Building Lobby.

  H. TENANT shall not overload,  damage or deface the demised premises or do any
  act which might make void or voidable any insurance on the demised premises or
  the Building and/or Property on which may render an increased or extra premium
  payable for insurance.

  1. TENANT shall not make any alteration of or addition to the demised premises
  (except for work of a decorative  nature)  without prior  written  approval of
  LANDLORD which shall not be unreasonably withheld.

  J. TENANT shall not install or authorize the installation of any coin operated
  vending machines, except for the dispersing of cigarettes, coffee, and similar
  items to employees of TENANT for consumption upon the demised premises.

  K.  TENANT  shall  comply  with such rules and  regulations  as  LANDLORD  may
  reasonably establish,  and from time to time reasonably amend, for the general
  safety,  comfort and  convenience  of LANDLORD,  occupants  and tenants of the
  Building.

                                      -3-
<PAGE>

VI. SERVICES:
    ---------
 LANDLORD AGREES THAT it shall:

A. Provide passenger elevator service to the demised premises during all working
days  (Saturdays,  Sundays and Holidays  excepted) from 8:00 a.m. to 11:00 p.m,,
with one elevator subject to call at all other times.  TENANT, its employees and
agents  shall have  access to the  demised  premises  at all  times,  subject to
compliance  with such security  measures as shall be in effect for the Building.
The Holidays  above  referred to are New Year's Day, Good Friday,  Memorial Day,
July 4th, Labor Day, Thanksgiving,  Christmas, or any day set aside to celebrate
such holidays.

B. Provide and pay for all normal and usual cleaning, janitorial and maintenance
services  Monday  through  Friday  inside the  Leasehold  premises  and  demised
premises.

C.  Provide and pay for all water for  drinking,  lavatory  and toilet  purposes
drawn through fixtures installed by the LANDLORD.

D. TENANT shall not install or operate in the demised  premises any electrically
operated  equipment or other  machinery,  other than  typewriters,  photocopying
equipment,  adding  machines,  computers,  printers,  and  other  machinery  and
equipment  requiring  no more than  1101120  volts and  normally  used in modern
offices,  or any plumbing  fixtures,  without first  obtaining the prior written
consent of LANDLORD which shall not be unreasonably  withheld.  TENANT shall not
install any equipment of any kind or nature  whatsoever which would  necessitate
any  changes,  replacements  or  additions  to the water,  to the water  system,
plumbing system, air conditioning  system or the electrical system servicing the
demised  premises or any other portion of the Building without the prior written
consent of the LANDLORD  which shall not be  unreasonably  withheld,  and in the
event such consent is granted, such replacements,  changes or additions shall be
paid for by the TENANT.  TENANT is  responsible  to pay for its own  electricity
consumed for the  leasehold  premises and arrange  directly with Florida Power &
Light Company to open an account.

It is  understood  that the  LANDLORD  does not warrant that any of the services
referred to in this  paragraph  "D" will be free from  interruption  from causes
beyond the control of LANDLORD.  No  interruption  of service(s)  (except for an
explosion,  a  hurricane  or other  Act of God which  damages  or  destroys  the
premises), shall be deemed an eviction or disturbance thereof or render LANDLORD
liable to TENANT for damages by abatement of rent or otherwise or relieve TENANT
from  performance of TENANT's  obligations  under this lease,  unless  LANDLORD,
after reasonable  notice,  shall without reasonable cause fail or refuse to take
action within its control to restore such service(s).

                                      -4-
<PAGE>

VII. SUBLETTING/ASSIGNING:

TENANT shall  neither  voluntarily  nor by operation of law,  assign,  transfer,
mortgage,  pledge,  hypothecate or encumber this lease, and shall not sublet the
said demised premises or any part thereof or any right or privilege  appurtenant
thereto,  or suffer  any other  person  (the  employees,  agents,  servants  and
invitees  of TENANT  excepted)  to occupy or use said  premises,  or any portion
thereof without the prior written  consent of LANDLORD,  which consent shall not
be unreasonably withheld by the LANDLORD provided that:

A. The  LANDLORD  shall have the option to refuse to consent to any  sublease or
assignment. However, such refusal shall not be unreasonable.

B. At the option of  LANDLORD,  there  shall be  deposited  with  LANDLORD  such
additional sums as LANDLORD deems  necessary to secure the faithful  performance
of the  terms and  conditions  of this  lease.  Any such  additional  sums to be
deposited by TENANT shall be commercially reasonable.

C. The  LANDLORD  shall be entitled  to require  the parties to any  sublease or
assignment to execute any  documents  LANDLORD  deems  necessary or desirable to
reasonably safeguard its interest.

D. The LANDLORD  may, at LANDLORD's  option,  require any sublease or assignment
include therein such terms, conditions, covenants as LANDLORD deems necessary to
safeguard  LANDLORD's  interest.  Any  such  terms,  conditions,   or  covenants
the,LANDLORD  deems  necessary  to safeguard  the  LANDLORD's  interest  must be
commercially reasonable and customary.

E.Prior to any assignment and subletting becoming effective,  TENANT must submit
to LANDLORD the document  effectuating the transfer of interest,  for LANDLORD's
approval and execution thereof.

F. If this lease is  assigned,  or the demised  premises or any part  thereof is
underlet or occupied by anybody  other than  TENANT,  the  LANDLORD  may,  after
default by the TENANT,  collect and accept from the  assignee,  undertenant,  or
occupant  and apply the net amount  collected  or  accepted  to the rent  herein
reserved,  but no such collection or acceptance shall be deemed a waiver of this
covenant or the acceptance of the assignee,  undertenant,  or occupant as TENANT
nor shall it be  construed  or implied  to be, a release of the TENANT  from the
further  observance  and  performance  by the TENANT of the  terms,  provisions,
covenants and conditions of this lease.

VIII. CERTAIN RIGHTS OF LANDLORD AS TO THE PREMISES:
      ----------------------------------------------

A. For the  purpose  of making  repairs  or  alterations  in any  portion of the
Building of

                                       _5_

<PAGE>

which the demised premises form a part,  LANDLORD may use or restrict the use of
one or more of the street entrances,  halls,  passageways,  and elevators of the
said Building,  provided,  however, that there be no unnecessary  obstruction to
the right of entry to the demised premises.

B. LANDLORD may at any time change the number of the Building,  remodel or alter
the Building,  or any portion thereof not occupied by TENANT, and the same shall
not constitute a constructive, actual, total or partial eviction.

IX. SUBORDINATION. LIABILITY OF LANDLORD. ATTORNMENT:
    -------------------------------------------------
A.  Subordination.  This  lease  is  and at  all  times  shall  be  subject  and
subordinate  to all  present  and future  mortgages  which may effect the leased
premises,   and  to  all  recastings,   renewals,   extensions,   modifications,
consolidations,  replacements,  and  extensions  of any such  mortgage(s)  . The
foregoing shall be  self-operative  and no further  instrument of  subordination
shall be required by LANDLORD or any  mortgagee(s).  If any mortgagee comes into
possession or ownership of the leased premises,  or acquires LANDLORD'S interest
by  foreclosure  of the  mortgage(s)  or  otherwise,  TENANT  will attorn to the
mortgagee,  provided that said mortgagee and its successors and assigns shall be
bound to honor the terms of this lease. So long as TENANT, or its successors, is
not in default of any of the terms,  covenants and conditions on the part of the
TENANT to be observed and performed under this lease as would permit LANDLORD to
terminate the lease, TENANT, or its successors or assigns,  shall be entitled to
remain in  exclusive  possession,  occupation,  use and  enjoyment of the leased
premises and said mortgagee  shall not disturb the possession,  occupation,  use
and enjoyment thereof.

B. In event of any default by LANDLORD.  In the event of any default by LANDLORD
hereunder,  TENANT shall look only to LANDLORD's estate and property in the land
and the  Building (or the proceeds  thereof)  for the  satisfaction  of TENANT's
remedies for the collection of a judgment (or other judicial process)  requiring
the payment of money by LANDLORD,  and no other  property  assets of LANDLORD or
its partners or principals,  disclosed or undisclosed, shall be subject to levy,
execution  or other  enforcement  procedure  for the  satisfaction  of  TENANT's
remedies under or with respect to this lease,  the  relationship of LANDLORD and
TENANT, or TENANT's use or occupancy of the demised  premises.  The liability of
LANDLORD or its assigns  shall exist only so long as such person is the owner of
the leasehold of the subject real estate,  and such liability shall not continue
or survive after the transfer of ownership of said leasehold by LANDLORD.

C.  Notice of  Breach by  LANDLORD:  Right to Remedy  Breach  Prior to Action by
TENANT. TENANT agrees that in the event of any act or omission by LANDLORD which
would give  TENANT  aright to  terminate  this lease or claim a partial or total
eviction,  TENANT shall not be entitled to exercise  any such right  until:  (1)
TENANT has given written notice of such act or omission to LANDLORD, and (2) A

                                       -6-

<PAGE>

reasonable  period (defined as thirty (30) days) for commencing the remedying of
such act or omission shall have elapsed  following the giving of such notice.  A
reasonable  period of time to remedy  such act or  omission  by the  LANDLORD is
defined as thirty  (30) days.  TENANT has the right to  commence  and effect the
remedy for the LANDLORD's act or omission,  make the repairs and/or  corrections
and be reimbursed by the LANDLORD.

TENANT  shall not have a right to  terminate  this  lease or claim a partial  or
total eviction if within a reasonable  time after notice of such act or omission
the  LANDLORD or holder of  mortgage or major  lessor  shall  commence  and with
reasonable  diligence  continue to remedy such act or omission or cause the same
to be  remedied  as defined  above.  During  the  period of such  notice and the
remedying of such act or omission,  the rents recited herein shall be abated and
apportioned  to the  extent  that  any  part of the  demised  premises  shall be
untenable.

X. HOLDING OVER:

If the TENANT  retains  possession  of the demised  premises or any part thereof
after the  termination of the term or any extension  thereof by lapse of time or
otherwise,  TENANT shall pay  LANDLORD  rent at double the rate payable over the
year immediately preceding the said holdover,  computed on a per month basis and
pro rated per day of holdover,  for the time TENANT thus remains in  possession.
The provisions of this paragraph do not waive the LANDLORD's right of reentry or
any other right  hereunder.  Any  retention  of the demised  premises  after the
termination  of this lease or any  extension  thereof  shall be  considered as a
month to month holdover unless otherwise agreed to in writing by both parties.

XI. REMEDIES CUMULATIVE:

The various rights,  remedies,  powers and elections of both LANDLORD and TENANT
reserved,  expressed  and contained in this lease are  cumulative  and no one of
them  shall be deemed  exclusive  of others or of such other  rights,  remedies,
powers,  options or  elections as are now, or may  hereafter  be conferred  upon
LANDLORD and TENANT by law. `

XII. NO WAIVER BY LANDLORD OR TENANT UNLESS IN WRITING:
    --------------------------------------------------

No waiver by LANDLORD or TENANT of any provision  hereof shall be deemed to have
been made unless such waiver be in writing  signed by both  LANDLORD and TENANT.
The failure of LANDLORD  or TENANT to insist upon strict  performance  of any of
the  covenants or  conditions  of this lease,  or to exercise any option  herein
conferred, shall not be construed as waiving or relinquishing for the future any
such covenants,  conditions or options, but the same continue and remain in full
force and effect.  No act of LANDLORD,  TENANT or their respective agents during
the term hereof  shall be deemed an  acceptance  of a  surrender  of the demised
premises

                                       -7-

<PAGE>

unless made in writing and personally subscribed by LANDLORD and TENANT, neither
shall the delivery of the keys to the demised  premises by TENANT to LANDLORD or
its agent be deemed a surrender and acceptance  thereof. No payment by TENANT of
a lesser  amount than the monthly rent herein  stipulated  shall be deemed to be
other than on  account of the  stipulated  rent.  In the event a late  charge is
assessed,  LANDLORD's  acceptance of the rent without payment of the late charge
will not be deemed a waiver of LANDLORD to enforce payment of the late charge at
some time in the future and will be considered to be on account.

 XIII. NOTICES:

All  notices  shall be in writing.  Any notice by  LANDLORD  to TENANT  shall be
deemed duly given if either delivered personally to TENANT or sent by registered
or  certified  mail,  addressed  to TENANT at the  Building in which the demised
premises  are  situated  (or such  address as may  hereafter  be  designated  by
TENANT).  Likewise,  any notice by TENANT to LANDLORD shall be deemed duly given
is delivered  personally to LANDLORD or sent by  registered  or certified  mail,
addressed to LANDLORD at Towers of Coral Springs,  LTD., 2825 University  Drive,
Suite 350,  Coral  Springs,  Florida  33065 (or such address as may hereafter be
designated by LANDLORD).

XIV. RULES AND REGULATIONS:

TENANT,  its agents,  employees  and all persons  visiting the demised  premises
agree to observe and comply  with the rules and  regulations  annexed  hereto as
Exhibit B and such other rules and  regulations as LANDLORD may reasonably  from
time to time deem reasonably needful and prescribed for the reputation,  safety,
cleanliness,  and care of the Building as well as for reasonable preservation of
good order,  comfort,  quite and convenience of other occupants of the Building,
and  compliance  with such  rules and  regulations  shall be deemed as terms and
conditions  of this  lease.  LANDLORD  shall not be  liable  to  TENANT  for the
violation  of any of the said  rules  and  regulations  by any  other  Tenant or
person.

XV. PLANS AND CHANGES IN PLANS:

It is understood that any dimensions or sizes on either working or renting plans
are mere  approximations  and whether  such plans are attached or made a part of
this lease or not,  LANDLORD  shall not be liable,  and this lease  shall not be
voidable  because   exigencies  arising  during   construction,   alteration  or
preparation for TENANT's occupancy result in changes not indicated in the plans.

XVI. OPTION TO EXTEND:
     ------------------

In order to exercise the following option to extend this lease at the same terms
except the rent will increase to $3.00 US (three dollars US) per rentable square
foot,

                                       -8-

<PAGE>

TENANT must,  within the indicated time periods  mentioned  below,  send written
notice to LANDLORD of its  intention to exercise the option to extend.  A. First
Extension  Term.  On or before six (6)  months  prior to the  expiration  of the
initial  term  hereof  TENANT  shall have the option to extend this lease for an
additional  term up to two (2) years.  Failure of TENANT to notify  LANDLORD  in
writing,  at least three (3) months prior to the expiration of the initial term,
that TENANT thereby  exercises said option to extend,  shall constitute a waiver
of TENANT's option to extend.

XVII. NO WARRANTIES OR REPRESENTATIONS EXCEPT AS STATED HEREIN:
      ---------------------------------------------------------

This lease and the attachments  hereto  constitute the entire agreement  between
the parties as drafted by LANDLORD,  and  supercedes  all prior  agreements  and
understandings  of  the  parties.  No  other  warranties,   representations,  or
commitments shall be deemed binding upon the parties hereto.

XVIII. CHANGES, MODIFICATIONS, AMENDMENTS AND INTERPRETATIONS:

The terms, provisions and conditions set forth in this lease agreement shall not
be  changed,  modified,  amended,  added to, or  interpreted  except by  written
agreement signed by the parties hereto or their successors or assigns;  and said
written agreement shall set forth in detail the particular terms, provisions, or
conditions involved, the changes to be made, and the intended effect thereof.

XIX. INSPECTION, EXAMINATION AND ENTRY:
     ----------------------------------

LANDLORD,  its agents and workmen  shall have the right to enter the premises at
any time to examine the same, and make such repairs, alterations or improvements
in the Building as LANDLORD may in its sole reasonable discretion deem necessary
or  desirable.  LANDLORD may enter the premises  during an emergency at any hour
without TENANT being personally  present and shall give TENANT a written account
of the entry and the reason  therefore within  twenty-four (24) hours.  LANDLORD
may display "For Rent" signs upon the demised  premises when deemed  appropriate
by LANDLORD.  IF during the last month of the term TENANT shall have removed all
or substantially  all of TENANT's  property,  LANDLORD may immediately enter the
premises and prepare them for any future tenant. Furthermore, LANDLORD may allow
such  future  tenant to occupy the  demised  premises.  These acts shall have no
effect  upon  TENANT's  obligations  under this  lease and  TENANT  shall not be
entitled to an abatement or diminution of rent as a result thereof,  except that
in such event  such  future  tenant  makes any  payment  for the period up until
expiration  of this lease  TENANT shall be entitled to a credit to the extent of
such payment.

                                       -9-

<PAGE>

XX. DEFAULT, ATTORNEY'S FEES AND COSTS:
    -----------------------------------
In the event of default by tenant,  LANDLORD shall serve TENANT with a three (3)
day notice to cure the default. If TENANT fails to cure the default within three
(3) days,  LANDLORD has the right to  terminate  said lease and  accelerate  the
lease  payments  remaining  for the balance of the lease term and pursue all its
remedies at law. TENANT shall also be liable for LANDLORD's  attorney's fees and
costs to enforce the terms of the lease.

IN WITNESS  WHEREOF,  the respective  parties hereunto set their hands and seals
and/or affix their  corporate  seals,  and cause these present to be executed by
their duly  authorized  officers  and/or  representatives,  in  Broward  County,
Florida,  in the presence of the  following  witnesses,  who hereunto  subscribe
their names this 13 day of March, 2000.

WITNESSES                                                    LANDLORD
As to Landlord:                                     Towers of Coral Springs, LTD

/s/ Signature not Legible                           By: /s/Signature not Legible

                                                   The Corporate General Partner
/s/ Signature not Legible                          S. Howard Orner, President

WITNESSES:                                                     TENANT
As to Tenant                                               E-PAWN.COM, INC.

/s/ Signature not Legible                                   By:/s/ Eli Leibowitz
                                                        Eli Leibowitz, President
/s/ Signature not Legible

<PAGE>

                                   Exhibit A

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<PAGE>

                                   EXHIBIT "B"
                              RULES AND REGULATIONS

     (Any reference to a tenant in these Rules and Regulations will also include
     (unless the  context  makes such  reference  inappropriate)  that  tenant's
     agents, servants, employees, licensees, invitees and visitors)

         1. The sidewalks,  entrances,  vestibules,  passages, corridors, halls,
elevators  and  stairways may not be obstructed or cluttered by any Tenant or be
used for any  purpose  other than for access to the Demised  Premises.  Landlord
reserves  the right to restrict  and regulate the use of the public areas of the
Building by Tenant,  allocate certain elevator or elevators and the hours of use
thereof for  delivery  service,  and to  designate  which  Building  entrance or
entrances must be used by persons making deliveries in the Building.

          2. No curtains,  blinds, shades or screens, other than those furnished
 by Landlord,  may be used in connection  with any window or door in the Demised
 Premises without the prior written consent of Landlord. Such curtains,  blinds,
 shades,  screens or other  fixtures must be of a quality type design and color,
 and attached in the manner approved by Landlord.

          3.  Tenants may not display any signs or  lettering  on any windows in
  their  premises  or in the  common  areas  without  Landlord's  prior  written
  consent. Landlord may remove any sign or lettering violating this rule without
  any  liability,  and may charge (as additional  rent) the expense  incurred by
  such removal to the Tenant or Tenants  violating this rule.  Interior signs on
  doors or adjacent  sidelights will be affixed for each tenant by Landlord,  at
  the expense of such Tenant,  and must be of a size, color and style acceptable
  to Landlord.

           4. A Building  Directory  with one  listing  for each  tenant will be
  furnished at Landlord's  expense.  Any additional listings will be at the sole
  expense of the Tenant requesting same.

           5. The windows,  doors and skylights  that reflect or admit light and
  air into the common areas in the Building may not be covered or  obstructed by
  any Tenant.

           6. The water  fountains,  toilets and  lavatories  and other plumbing
  fixtures  may not be used for any purpose  other than those for which they are
  constructed  and no  sweeping,  rubbish,  or other  substances  may be  thrown
  therein..  All damages  resulting from any misuses of the fixtures will be the
  responsibility of the tenant who caused the damages.

<PAGE>

         7. Tenants may not move or in any way deface any part of their premises
or the Building including,  but not limited to, partitions,  woodwork and walls.
No  boring,  cutting  or  stringing  of  wires  will be  permitted  without  the
Landlord's  prior  written  consent,  which  consent  shall not be  unreasonable
withheld and as Landlord may reasonably  direct.  Only  contractors  approved in
writing by Landlord may be employed by any tenant for making repairs, changes or
any  improvements to its premises.  Tenant may not lay floor covering other than
carpet,  so that the same will come in  direct  contact  with the floor of their
premises,  and, if linoleum or other similar floor covering is desired (and such
use is approved by Landlord), an interlining of builder's deadening felt must be
first affixed to the floor, by a paste or other material  soluble in water.  The
use of cement or other similar adhesive materials is expressly prohibited. Metal
cabinets on tile floors must be set on noncorrosive pads.

          8. No bicycles,  vehicles or animals (except  seeing-eye  dogs) of any
 kind  may be  brought  into or kept in or about  the  Tenants  premises  or the
 Building.

          9.  No  space  in  the  Building  may  be  used  for  the  storage  of
 merchandise,  or for the sale of merchandise,  goods or property of any kind at
 auction  without the prior  written  consent of the  Landlord,  or for lodging,
 sleeping or any immoral purposes.

           10. No Tenant may make, or permit to be made, any  disturbing  noises
  or disturb or interfere  with  occupants of this or  neighboring  buildings or
  premises or those having  business with them. No Tenant may throw anything out
  of doors, or down the passageways, stairs or elevator shafts or sweep anything
  into the corridors, hallways or stairs of the Building.

           11.  No  additional  locks or bolts of any kind may be used on any of
  the doors by any tenant,  nor may any changes be made in existing locks or the
  mechanism  thereof without the prior written consent of landlord.  Each Tenant
  must,  upon the  termination  of its tenancy,  return to Landlord all keys and
  Building security passes and cards either furnished to, or otherwise  obtained
  by such Tenant.  if any keys furnished are lost, such Tenant will pay Landlord
  the cost of replacement.

           12.  Landlord will have the right to prohibit any  advertising by any
  Tenant which,  in Landlord's  opinion,  tends to impair the  reputation of the
  Building or its desirability as a building for offices and upon written notice
  from  Landlord,  tenants will refrain from or  discontinue  such  advertising.
  Tenants may not use the name of the  Building or its owner in any  advertising
  without the express written consent of Landlord.

                                        2

<PAGE>

     13.  TEnants  may not  install  or permit  the  installation  or use of any
vending  machines,  or permit the  delivery  of any food or  beverages  to their
premises  except for the  consumption  by its employees  essentials.  No food or
beverages  may be carried in the common areas of the  Building  except in closed
containers. No food or beverages may be consumed in public areas of the Building
or the grounds of the property.

     14. Each Tenant,  before closing and leaving its premises at anytime,  must
see that its entrance  doors are closed and locked,  and that Building  security
regulations are followed.

     15. Each Tenant,  at its own expense,  will  provide  artificial  light for
Landlord's  employees  while doing  janitorial  service or other cleaning and in
making repairs or alterations  in such Tenant's  premises.  Landlord will not be
responsible  to any Tenant for loss of property from the Tenant's  premises,  no
matter how the loss occurs, or for damage done to the furniture or other effects
of any Tenant by Landlord's agents,  other janitors,  cleaners or employees,  or
contractors doing work in the Tenant's premises.

     16. Canvassing,  soliciting and peddling are prohibited in the Building and
each Tenant will cooperate to prevent the same.

     17. Hand  trucks,  other than those  equipped  with  rubber  tires and side
guards,  may not be used in any  tenant's  premises,  or in common  areas of the
building.

     18. Without  limiting any other  provisions of this Lease,  including these
Rules and Regulations, no Tenant may install, attach, or bring into its premises
any instrument, duct, refrigerator,  air conditioner,  water cooler or any other
appliance  requiring the use of gas,  electric  current or water,  without first
obtaining  Landlord's  written  consent which consent shall not be  unreasonably
withheld or delayed.  Any breach of this paragraph  will  authorize  Landlord to
enter the  premises  and remove  whatever  the  Tenant,  may have so  installed,
attached or brought in and charge the cost of removal and any damage that may be
sustained hereby, as additional rent, payable at Landlord's option,  immediately
or with the next rental payment.

     19.  Business  hours  are  defined  in  section  XX of  the  Lease.  During
nonbusiness  hours,  Landlord  reserves the right to deny access to the Building
and any Tenant's  premises to all persons who do not have written  authorization
from  the  Tenant.   Tenant  shall  be  responsible  for  the  safeguarding  and
utilization  of access cards  provided by Landlord to the Tenant for purposes of
obtaining  access to the building  outside of normal business hours;  lost cards
will be replaced by the Landlord at a minimum of $10.00 per card. Each Tenant is
responsible for all persons authorized to have access to

                                        3

<PAGE>

the  Building  and will be liable to Landlord  for all of their acts or neglects
while in the Building  during  nonbusiness  hours to sign a register on entering
and leaving.

     20.  Safes  and/or  other heavy items may be brought  into the  Building or
located in any Tenant's  premises only with  Landlord's  prior  written  consent
which  consent shall not be  unreasonably  withheld or delayed and in accordance
with Paragraph II of the Lease.

     21. No Tenant at any time may bring or keep in its premises any  flammable,
combustible or explosive fluid, chemical or substance.

     22. Tenants may not conduct any  restaurant,  luncheonette or cafeteria for
the sale or service of food or beverage to their employees or to others or cause
or  permit  any  odors  of  cooking  or  other   processes  of  any  unusual  or
objectionable odors to emanate from their premises.

     23.  Tenant's may park only in strict  compliance with all signs posted and
reasonable regulations issued by Landlord,  within spaces designated for parking
and not in such a manner as to block other parking  spaces,  driveways,  loading
areas or fire lanes.  All Tenants hereby  authorize  Landlord to remove from the
parking lot and/or parking garage any improperly parked vehicle, at the Tenant's
sole risk and expense.  Tenant's  understand that they are fully responsible for
assuring that their employees,  agents, licensees and visitors comply with these
parking rules,  will reimburse  Landlord for all costs and expenses  incurred in
enforcing To facilitate  security  arrangements and parking controls,  a list of
the  names of each  Tenant's  employees  working  in the  Building  and of their
vehicle license numbers will be furnished to Landlord upon request.

                                        4EXHIBIT 10.3

                                E-PAWN.COM, INC.
                          2000 NONSTATUTORY STOCK PLAN

1.       PURPOSES OF THE PLAN.  The purposes of this Plan are:

         1.    to attract and retain the best available  personnel for positions
               of substantial responsibility,

         2.    to provide additional incentive to Employees and Consultants, and

         3.    to promote the success of the Company's business.

         Options granted under the Plan will be Nonstatutory Stock Options.

2.      DEFINITIONS. As used herein, the following definitions shall apply:

         1.    "Administrator" means the Board or any of its Committees shall be
               administering the Plan, in accordance with Section 4 of the Plan.

         2.    (b)  "Applicable  Laws"  means the  requirements  relating to the
               administration  of stock option plans under U.S. state  corporate
               laws, U.S. federal and state securities laws, the Code, any stock
               exchange or quotation  system on which the Common Stock is listed
               or quoted,  and the applicable  laws of any foreign  jurisdiction
               where Options are, or will be, granted under the Plan.

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

         4.    "Code" means the Internal Revenue Code of 1986, as amended.

         5.    "Committee"   means  a   Committee  appointed  by  the  Board  in
               accordance with Section 4 of the Plan.

         6.    "Common Stock" means the Common Stock of the Company.

         7.    "Company" means E-Pawn.com Inc.

         8.    "Consultant" means any person,  including an advisor,  engaged by
               the Company or a Parent or Subsidiary to render  services to such
               entity.

         9.    "Continuous  Status as an Employee or Consultant"  means that the
               employment  or  consulting  relationship  with the  Company,  any
               Parent,   or  Subsidiary,   is  not  interrupted  or  terminated.
               Continuous  Status  as an  Employee  or  Consultant  shall not be
               considered  interrupted  in the case of (i) any leave of  absence
               approved by the Company or (ii)  transfers  between  locations of
               the Company or between the Company,  its Parent,  any Subsidiary,
               or any  successor.  A leave of absence  approved  by the  Company
               shall include sick leave,  military  leave, or any other personal
               leave approved by an authorized representative of the Company.

         10.   "Director" means a member of the Board.

         11.   "Disability"  means  total and permanent disability as defined in
               Section 22(e)(3) of the Code.

                                       -1-

<PAGE>

         12.   "Employee" means any person who, on the date he or she is granted
               an Option  under this Plan is (i)  employed by the Company or any
               Parent or Subsidiary  of the Company,  and (ii) is not an Officer
               or  Director of the  Company or any Parent or  Subsidiary  of the
               Company.   Neither  service  as  a  Director  nor  payment  of  a
               director's  fee by the Company  shall be sufficient to constitute
               "employment" by the Company. An Employee who is not an Officer or
               Director  on the date he or she is granted  an Option  under this
               Plan,  but who  thereafter  becomes an Officer or Director of the
               Company  or  any  Parent  or  Subsidiary  of the  Company,  shall
               continue to be an "Employee" under this Plan for purposes of such
               Option.

         13.   "Exchange  Act" means the  Securities  Exchange  Act of 1934,  as
               amended.

         14.   "Fair Market  Value" means,  as of any date,  the value of Common
               Stock determined as the closing sales price for such Common Stock
               (or the closing bid, if no sales were reported) as quoted on such
               exchange or system for the date of determination,  as reported in
               The Wall Street Journal or such other source as the Administrator
               deems reliable.  In the absence of an established  market for the
               Common  Stock,  the Fair Market Value shall be determined in good
               faith by the Administrator.

         15.   "Misconduct"  means the  Optionee  (i) is  convicted  of a felony
               involving dishonesty or moral turpitude, (ii) committed an act of
               dishonesty intended to result in substantial personal enrichment,
               (iii) engaged in actions intended to cause significant  injury to
               the  Company  (including   derogatory  statements  regarding  the
               Company,  but excluding  statements  made in connection  with any
               legal action filed  against the  Company),  or (iv)  breached the
               non-disclosure,  non-compete  or  non-solicit  provisions  of any
               agreement between the Optionee and the Company.

         16.   "Nonstatutory  Stock  Option"  means an Option  not  intended  to
               qualify  as an  incentive  stock  option  within  the  meaning of
               Section  422  of  the  Code  and  the   regulations   promulgated
               thereunder.

         17.   "Notice of Grant" means a written or electronic notice evidencing
               certain terms and conditions of an individual  Option grant.  The
               Notice of Grant is part of the Option Agreement.

         18.   "Officer"  means a person who is an officer  of the  Company  (i)
               within the  meaning of  Section  16 of the  Exchange  Act and the
               rules and regulations promulgated  thereunder,  or (ii) by virtue
               of having the title of vice president or above.

         19.   "Option" means a stock option granted pursuant to the Plan.

         20.   "Option  Agreement" means an agreement between the Company and an
               Optionee  evidencing  the terms and  conditions  of an individual
               Option  grant.  The Option  Agreement is subject to the terms and
               conditions of the Plan.

                                       -2-

<PAGE>

         21.   "Optioned Stock" means the Common Stock subject to an Option.

         22.   "Optionee"   means  an  Employee  or  Consultant   who  holds  an
               outstanding Option.

         23.    "Parent" means a "parent  corporation", whether now or hereafter
               existing, as defined in Section 424(e) of the Code.

         24.   "Plan" means this 1999 Nonstatutory Stock Plan.

         25.   "Retirement" means the termination of employment  pursuant to the
               Company's  retirement  policies  for an Employee who has attained
               the age of  fifty-five  (55) and  whose  Continuous  Status as an
               Employee was not interrupted during the previous five (5) years.

         26.   "Share"  means  a share  of the  Common  Stock,  as  adjusted  in
               accordance with Section 13 of the Plan.

         27.   "Subsidiary"  means a  "subsidiary  corporation",  whether now or
               hereafter existing, as defined in Section 424(f) of the Code.

3.        STOCK SUBJECT TO THE PLAN.  Subject to the provisions of Section 13 of
          the Plan, the maximum  aggregate number of Shares that may be optioned
          and sold under the Plan  is10,000,000.  The Shares may be  authorized,
          but unissued, or reacquired Common Stock.

          If an Option  expires or becomes  unexercisable  without  having  been
          exercised in full, the  unpurchased  Shares that were subject  thereto
          shall become available for future grant or sale under the Plan (unless
          the Plan has terminated).

                                       -3-

<PAGE>

4.       ADMINISTRATION OF THE PLAN.

         1.    ADMINISTRATION.  The Plan shall be administered by (A) the Board,
               or (B) a  Committee,  which  Committee  shall be  constituted  to
               satisfy  Applicable  Laws. Once  appointed,  such Committee shall
               serve in its designated  capacity until otherwise directed by the
               Board.  The  Board may  increase  the size of the  Committee  and
               appoint  additional  members,  remove  members  (with or  without
               cause)  and  substitute  new  members,  fill  vacancies  (however
               caused),  and remove all members of the Committee and  thereafter
               directly  administer  the Plan,  all to the extent  permitted  by
               Applicable Laws.

         2.    POWERS OF THE  ADMINISTRATOR.  Subject to the  provisions  of the
               Plan,  and in the case of a  Committee,  subject to the  specific
               duties   delegated   by  the   Board  to  such   Committee,   the
               Administrator shall have the authority, in its discretion:

                1.  to determine the Fair Market Value of the Common Stock;

                2.  to select the Consultants  and Employees to whom Options may
                    be granted hereunder;

                3.  to determine  whether  and  to what  extent  Options  or any
                    combination thereof, are granted hereunder;

                4.  to determine  the  number of   shares of Common  Stock to be
                    covered by each Option granted hereunder;

                5.  to approve forms of agreement for use under the Plan;

                6.  to determine the terms and conditions, not inconsistent with
                    the terms of the Plan, of any award granted hereunder.  Such
                    terms and  conditions  include,  but are not limited to, the
                    exercise  price,  the  time or  times  when  Options  may be
                    exercised (which may be based on performance criteria),  any
                    vesting  acceleration or waiver of forfeiture  restrictions,
                    and any  restriction  or limitation  regarding any Option or
                    the shares of Common Stock relating  thereto,  based in each
                    case on  such  factors  as the  Administrator,  in its  sole
                    discretion, shall determine;

                7.  to construe and  interpret  the terms of the Plan and awards
                    granted pursuant to the Plan;

                8.  to  prescribe,  amend  and  rescind  rules  and  regulations
                    relating  to  the  Plan,  including  rules  and  regulations
                    relating  to  sub-plans   established  for  the  purpose  of
                    qualifying  for preferred  tax  treatment  under foreign tax
                    laws;

                                       -4-

<PAGE>

                9.  to modify or amend each Option  (subject to Section 15(b) of
                    the Plan),  including the discretionary  authority to extend
                    the post-termination exercisability period of Options;

               10.  to authorize  any person to execute on behalf of the Company
                    any  instrument  required  to effect  the grant of an Option
                    previously granted by the Administrator;

               11.  to  determine  the  terms  and  restrictions  applicable  to
                    Options;

               12.  to determine whether and under what  circumstances an Option
                    may be settled in cash under Section 10(f) instead of Common
                    Stock;

               13.  to  determine  whether,   to  what  extent  and  under  what
                    circumstances  Common Stock and other  amounts  payable with
                    respect to an award under this Plan shall be deferred either
                    automatically   or  at  the  election  of  the   participant
                    (including providing for and determining the amount (if any)
                    of any deemed  earnings on any  deferred  amount  during any
                    deferral period); and

               14.  to  make  all  other  determinations   deemed  necessary  or
                    advisable for administering the Plan.

          3.   EFFECT   OF   ADMINISTRATOR'S   DECISION.   The   Administrator's
               decisions,  determinations and interpretations shall be final and
               binding on all Optionees and any other holders of Options.

5.        ELIGIBILITY.  Options  may be granted to  Employees  and  Consultants;
          provided,  however,  that  notwithstanding  anything  to the  contrary
          contained  in the Plan,  Options  may not be granted to  Officers  and
          Directors.

6.        LIMITATION.  Neither  the Plan nor any  Option  shall  confer  upon an
          Optionee  any  right  with  respect  to  continuing   the   Optionee's
          employment or consulting relationship with the Company, nor shall they
          interfere in any way with the Optionee's  right or the Company's right
          to terminate such  employment or consulting  relationship at any time,
          with or without cause.

7.        TERM OF PLAN. The Plan shall become effective upon its adoption by the
          Board. It shall continue in effect for a term of ten (10) years unless
          terminated earlier under Section 15 of the Plan.

8.        TERM OF OPTION.  The term of each Option shall be stated in the Notice
          of Grant.

                                       -5-

<PAGE>

9.     OPTION EXERCISE PRICE AND CONSIDERATION.

       a. Exercise  Price.  The per share  exercise  price for the  Shares to be
          issued  pursuant to exercise of an Option shall be  determined  by the
          Administrator  but in no case  shall the per Share  exercise  price be
          less than 85% of the Fair Market Value per Share on the date of grant;
          provided, however, that for any calendar year, the aggregate number of
          Shares  subject to  Nonstatutory  Stock  Options  granted  during such
          calendar  year  with a per  Share  exercise  price  less than the Fair
          Market  Value per Share on the date of grant  shall  not  exceed  five
          percent (5%) of the number of Shares subject to Options granted in the
          preceding calendar year.

       B. WAITING PERIOD AND EXERCISE  DATES.  At the time an Option is granted,
          the Administrator  shall fix the period within which the Option may be
          exercised and shall  determine any conditions  which must be satisfied
          before the Option may be exercised. In so doing, the Administrator may
          specify that an Option may not be exercised  until the completion of a
          service  period  or  the  attainment  of  certain   performance  goals
          determined by the Administrator.

       C. FORM  OF  CONSIDERATION.   The   Administrator   shall  determine  the
          acceptable form of consideration  for exercising an Option,  including
          the method of payment. Such consideration may consist entirely of:

             1.     cash;

             2.     check;

             3.     other Shares which (A) in the case of Shares  acquired  upon
                    exercise of an option,  have been owned by the  Optionee for
                    more than six (6) months on the date of  surrender,  and (B)
                    have a Fair Market Value on the date of  surrender  equal to
                    the aggregate  exercise price of the Shares as to which said
                    Option shall be exercised;

             4.     delivery of a properly  executed  exercise  notice  together
                    with such other  documentation as the  Administrator and the
                    broker,  if applicable,  shall require to effect an exercise
                    of the Option  and  delivery  to the  Company of the sale or
                    loan proceeds required to pay the exercise price;

             5.     a reduction  in the amount of any Company  liability  to the
                    Optionee,   including  any  liability  attributable  to  the
                    Optionee's  participation in any Company-sponsored  deferred
                    compensation program or arrangement;

             6.     any combination of the foregoing methods of payment; or

             7.     such  other  consideration  and  method of  payment  for the
                    issuance  of Shares to the extent  permitted  by  Applicable
                    Laws.

                                       -6-

<PAGE>

10.    EXERCISE OF OPTION.

       1. PROCEDURE FOR EXERCISE;  RIGHTS AS A  SHAREHOLDER.  Any Option granted
          hereunder shall be exercisable  according to the terms of the Plan and
          at  such  times  and  under  such  conditions  as  determined  by  the
          Administrator and set forth in the Option Agreement.

          An Option may not be exercised for a fraction of a Share.

          An Option shall be deemed  exercised  when the Company  receives:  (i)
          written or  electronic  notice of  exercise  (in  accordance  with the
          Option Agreement) from the person entitled to exercise the Option, and
          (ii) full  payment for the Shares with  respect to which the Option is
          exercised. Full payment may consist of any consideration and method of
          payment  authorized by the  Administrator  and permitted by the Option
          Agreement and the Plan. Shares issued upon exercise of an Option shall
          be  issued  in the  name  of the  Optionee  or,  if  requested  by the
          Optionee, in the name of the Optionee and his or her spouse. Until the
          stock  certificate  evidencing  such Shares is issued (as evidenced by
          the  appropriate  entry  on  the  books  of the  Company  or of a duly
          authorized transfer agent of the Company), no right to vote or receive
          dividends  or any  other  rights as a  shareholder  shall  exist  with
          respect to the  Optioned  Stock,  notwithstanding  the exercise of the
          Option.  The Company  shall  issue (or cause to be issued)  such stock
          certificate promptly after the Option is exercised. No adjustment will
          be made for a dividend  or other  right for which the  record  date is
          prior to the date the stock certificate is issued,  except as provided
          in Section 13 of the Plan.

          Exercising an Option in any manner shall decrease the number of Shares
          thereafter available, both for purposes of the Plan and for sale under
          the  Option,  by the  number  of  Shares  as to which  the  Option  is
          exercised.

      2.  TERMINATION OF EMPLOYMENT OR CONSULTING RELATIONSHIP. Upon termination
          of an Optionee's Continuous Status as an Employee or Consultant, other
          than as provided for in Sections 10(c),  10(d) and 10(e), the Optionee
          may exercise his or her Option, but only within such period of time as
          is specified  in the Notice of Grant,  and only to the extent that the
          Optionee was entitled to exercise it at the date of  termination  (but
          in no event  later than the  expiration  of the term of such Option as
          set forth in the Notice of Grant).  In the absence of a specified time
          in the Notice of Grant, the Option shall remain  exercisable for three
          (3) months  following the Optionee's  termination.  If, on the date of
          termination,  the Optionee is not entitled to exercise the  Optionee's
          entire Option, the Shares covered by the unexercisable  portion of the
          Option shall revert to the Plan. If, after  termination,  the Optionee
          does not exercise his or her Option  within the time  specified by the
          Administrator,  the Option shall terminate,  and the Shares covered by
          such Option shall revert to the Plan.

                                       -7-

<PAGE>

                  1.       Notwithstanding the above, in the event an Optionee's
                           Continuous   Status  as  an  Employee  or  Consultant
                           terminates  and  the  Optionee  performs  an  act  of
                           Misconduct,  all  unexercised  Options  held  by such
                           Optionee   shall  expire  five  (5)   business   days
                           following  written  notice  from the  Company  to the
                           Optionee.

                  2.       Notwithstanding   the  above,  in  the  event  of  an
                           Optionee's   change  in  status  from  Consultant  to
                           Employee  or Employee to  Consultant,  an  Optionee's
                           Continuous  Status as an Employee or Consultant shall
                           not  automatically  terminate  solely  as a result of
                           such change in status.

       3. DISABILITY  OF OPTIONEE.  In the event that an  Optionee's  Continuous
          Status as an  Employee  or  Consultant  terminates  as a result of the
          Optionee's Disability,  the Optionee may exercise his or her Option at
          any time within twelve (12) months from the date of such  termination,
          but only to the extent that the  Optionee  was entitled to exercise it
          at the  date of such  termination  (but in no  event  later  than  the
          expiration  of the term of such  Option as set forth in the  Notice of
          Grant).  If, at the date of termination,  the Optionee is not entitled
          to  exercise  his or her  entire  Option,  the  Shares  covered by the
          unexercisable  portion of the  Option  shall  revert to the Plan.  If,
          after  termination,  the Optionee  does not exercise his or her Option
          within the time specified herein, the Option shall terminate,  and the
          Shares covered by such Option shall revert to the Plan.

       4. DEATH OF  OPTIONEE.  In the  event of the  death of an  Optionee,  the
          Option may be  exercised  at any time within  twenty-four  (24) months
          following the date of death (but in no event later than the expiration
          of the term of such  Option as set forth in the Notice of  Grant),  by
          the  Optionee's  estate  or by a  person  who  acquired  the  right to
          exercise the Option by bequest or inheritance,  but only to the extent
          that the  Optionee  was entitled to exercise the Option at the date of
          death.  If, at the time of death,  the  Optionee  was not  entitled to
          exercise  his  or  her  entire  Option,  the  Shares  covered  by  the
          unexercisable  portion of the Option shall  immediately  revert to the
          Plan. If, after death, the Optionee's  estate or a person who acquired
          the right to exercise  the Option by bequest or  inheritance  does not
          exercise the Option within the time specified herein, the Option shall
          terminate,  and the Shares  covered by such Option shall revert to the
          Plan.

       5. RETIREMENT.  In the event that an Optionee's  Continuous  Status as an
          Employee  terminates  as a result of the  Optionee's  Retirement,  the
          Optionee  may  exercise  his or her Option at any time  subject to the
          limitations  in the  Plan and the  Notice  of  Grant,  but only to the
          extent that the  Optionee  was  entitled to exercise the Option at the
          time of such  termination,  unless otherwise  expressly  provided in a
          written agreement between the Optionee and the Company.

       6. BUYOUT PROVISIONS.  The Administrator may at any time offer to buy out
          for a payment in cash or Shares, an Option previously granted based on
          such terms and conditions  as  the   Administrator   shall   establish

                                       -8-

<PAGE>

          and communicate to the Optionee at the time that such offer is made.

11.      WITHHOLDING  TAXES.  In accordance  with any applicable  administrative
         guidelines it establishes,  the  Administrator may allow a purchaser to
         pay the amount of taxes required by law to be withheld as a result of a
         purchase of Shares or a lapse of restrictions in connection with Shares
         purchased  pursuant to an Option,  by  withholding  from any payment of
         Common Stock due as a result of such purchase or lapse of restrictions,
         or by permitting the purchaser to deliver to the Company, Shares having
         a Fair Market Value, as determined by the  Administrator,  equal to the
         amount of such required withholding taxes.

12.      NON-TRANSFERABILITY  OF  OPTIONS.  Unless  otherwise  specified  by the
         Administrator  in the  Notice  of  Grant,  an  Option  may not be sold,
         pledged,  assigned,  hypothecated,  transferred,  or disposed of in any
         manner other than by will or by the laws of descent or distribution and
         may be  exercised,  during the  lifetime of the  Optionee,  only by the
         Optionee.  If the  Administrator  makes an  Option  transferable,  such
         Option  shall  contain  such  additional  terms and  conditions  as the
         Administrator deems appropriate.

13.      ADJUSTMENTS  UPON  CHANGES IN CAPITALIZATION,  Dissolution,  Merger  or
         Asset Sale.

         1.    CHANGES IN CAPITALIZATION.  Subject to any required action by the
               stockholders of the Company, the number of shares of Common Stock
               covered by each outstanding  Option,  and the number of shares of
               Common Stock which have been  authorized  for issuance  under the
               Plan but as to which no  Options  have yet been  granted or which
               have been returned to the Plan upon cancellation or expiration of
               an Option, as well as the price per share of Common Stock covered
               by  each  such  outstanding  Option,   shall  be  proportionately
               adjusted  for any  increase  or  decrease in the number of issued
               shares of Common  Stock  resulting  from a stock  split,  reverse
               stock split, stock dividend,  combination or  reclassification of
               the Common Stock, or any other increase or decrease in the number
               of issued  shares of Common  Stock  effected  without  receipt of
               consideration by the Company; provided,  however, that conversion
               of any convertible  securities of the Company shall not be deemed
               to have been "effected  without receipt of  consideration."  Such
               adjustment  shall be made by the Board,  whose  determination  in
               that respect shall be final,  binding and  conclusive.  Except as
               expressly  provided herein,  no issuance by the Company of shares
               of stock of any class, or securities  convertible  into shares of
               stock of any class,  shall  affect,  and no  adjustment by reason
               thereof  shall be made with  respect  to,  the number or price of
               shares of Common Stock subject to an Option.

         2.    DISSOLUTION  OR  LIQUIDATION.   In  the  event  of  the  proposed
               dissolution  or  liquidation  of the Company,  the  Administrator
               shall notify each  Optionee as soon as  practicable  prior to the
               effective date of such proposed transaction. The Administrator in
               its  discretion  may provide for an Optionee to have the right to
               exercise  his or her  Option  until ten (10)  days  prior to such
               transaction  as to all of the  Optioned  Stock  covered  thereby,
               including  Shares as to which the Option  would not  otherwise be
               exercisable.  In addition, the Administrator may provide that any
               Company repurchase rights

                                       -9-

<PAGE>

               applicable  to any Shares  purchased  upon  exercise of an Option
               shall  lapse  as  to  all  such  Shares,  provided  the  proposed
               dissolution  or  liquidation  takes  place at the time and in the
               manner  contemplated.  To the  extent it has not been  previously
               exercised,  an Option  will  terminate  immediately  prior to the
               consummation of such proposed action.

         3.

               MERGER OR ASSET  SALE.  In the  event of a merger of the  Company
               with or into another  corporation,  or the sale of  substantially
               all of the assets of the Company,  each outstanding  Option shall
               be assumed or an equivalent  option  substituted by the successor
               corporation   or  a  Parent  or   Subsidiary   of  the  successor
               corporation (the "Successor  Corporation"),  unless the Successor
               Corporation  refuses to assume or substitute  for the Option,  in
               which  case the  Optionee  shall have the right to  exercise  the
               Option as to all of the Optioned  Stock,  including  Shares as to
               which it would  not  otherwise  be  exercisable.  If an Option is
               exercisable in lieu of assumption or substitution in the event of
               a merger or sale of assets,  the  Administrator  shall notify the
               Optionee in writing or  electronically  that the Option  shall be
               fully  exercisable  for a period of not less than forty-five (45)
               days from the date of such notice, and the Option shall terminate
               upon the  expiration  of such  period.  For the  purposes of this
               paragraph,  the Option shall be considered  assumed if, following
               the merger or sale of assets,  the  Option  confers  the right to
               purchase or receive,  for each Share of Optioned Stock subject to
               the Option immediately prior to the merger or sale of assets, the
               consideration  (whether  stock,  cash,  or  other  securities  or
               property)  received in the merger or sale of assets by holders of
               Common  Stock for each  Share held on the  effective  date of the
               transaction   (and  if   holders   were   offered   a  choice  of
               consideration, the type of consideration chosen by the holders of
               a majority of the outstanding Shares); provided, however, that if
               such  consideration  received in the merger or sale of assets was
               not  solely  common  stock  of  the  Successor  Corporation,  the
               Administrator may, with the consent of the Successor Corporation,
               provide for the consideration  tobe received upon the exercise of
               the  Option,  for each  Share of  Optioned  Stock  subject to the
               Option,  to be solely common stock of the  Successor  Corporation
               equal  in  fair  market  value  to the  per  share  consideration
               received  by  holders  of Common  Stock in the  merger or sale of
               assets.

14.      DATE OF  GRANT.  The date of  grant  of an  Option  shall  be,  for all
         purposes,  the date on which the Administrator  makes the determination
         granting such Option,  or such other later date as is determined by the
         Administrator.  Notice of the  determination  shall be provided to each
         Optionee within a reasonable time after the date of such grant.

15.      AMENDMENT AND TERMINATION OF THE PLAN.

         1.       Amendment and Termination.  The Board  may at  any time amend,
                  alter, suspend or terminate the Plan.

         2.       Effect of Amendment or Termination.  No amendment, alteration,
                  suspension or  termination of the Plan shall impair the rights
                  of any Optionee, unless mutually agreed

                                      -10-

<PAGE>

                  otherwise  between the Optionee and the  Administrator,  which
                  agreement  must be in writing and signed by the  Optionee  and
                  the  Company.  Termination  of the Plan  shall not  affect the
                  Administrator's  ability to exercise the powers  granted to it
                  hereunder with respect to options granted under the Plan prior
                  to the date of such termination.

16.      CONDITIONS UPON ISSUANCE OF SHARES.

         1.       LEGAL  COMPLIANCE.  Shares shall not be issued pursuant to the
                  exercise of an Option  unless the  exercise of such Option and
                  the  issuance  and  delivery of such Shares  shall comply with
                  Applicable  Laws, and shall be further subject to the approval
                  of counsel for the Company with respect to such compliance.

         2.       INVESTMENT REPRESENTATIONS.  As a condition to the exercise of
                  an Option,  the Company may require the person exercising such
                  Option  to  represent  and  warrant  at the  time of any  such
                  exercise  that  the  Shares  are  being   purchased  only  for
                  investment  and  without  any  present  intention  to  sell or
                  distribute  such  Shares if, in the opinion of counsel for the
                  Company, such a representation is required.

17.      LIABILITY OF COMPANY.  The inability of the Company to obtain authority
         from any regulatory body having jurisdiction, which authority is deemed
         by the  Company's  counsel to be necessary  to the lawful  issuance and
         sale  of  any  Shares  hereunder,  shall  relieve  the  Company  of any
         liability  in respect of the failure to issue or sell such Shares as to
         which such requisite authority shall not have been obtained.

18.      RESERVATION OF SHARES. The Company,  during the term of this Plan, will
         at all times reserve  and keep available such number of Shares as shall
         be sufficient to satisfy the requirements of the Plan.

                                       11

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