Document:

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                                                                   Exhibit 10.25

                           VICTORY DISTRIBUTION, INC.
                                LICENSE AGREEMENT

                  THIS AGREEMENT, dated as of May 1, 2000, between Victory
Distribution, Inc., a Florida corporation with its principal office at 1000
Universal Studios Plaza, Building 22A, Orlando, Florida 32819 ("VDI"), and
StarBound Entertainment ("StarBound") with its principal office at 172 Chapin
Road, New Castle, PA 16105 (the "Licensee"), as follows:

                  WHEREAS, VDI controls copyrights, trademark rights, and other
proprietary rights in and to the television program known as DOOLEY AND PALLS or
THE DOOLEY AND PALS SHOW or other similar names (the "Property") and Agent/SPI
serves as exclusive worldwide licensing and merchandising agent for VDI for the
Property, and;

                  WHEREAS, the Licensee desires to obtain from VDI as license to
manufacture and sell certain merchandise products using said copyrights,
trademarks, and other proprietary rights;

                  WHEREAS, Stalwart Productions, Inc. with its principal office
at 1338 Yale Street, Suite E, Santa Monica, California 90404 ("Agent/SPI") is
VDI's authorized agent for certain dealings with Licensee.

                  NOW, THEREFORE, the parties agree as follows:

                  1. GRANT OF LICENSE. VDI grants to the Licensee, on the terms
and conditions set forth in this Agreement, the nonexclusive interactive right
and license to use the Copyrights and Trademarks in connection with the
manufacture, distribution, sale, and advertising of the Licensed Products in the
Territory. The term "Licensed Products" shall mean the following items:

                  2. DISTRIBUTION. All markets.

                  3. PERIOD OF AGREEMENT. The period of this Agreement shall be
from May 1, 2000 through April 30, 2003.

                  4. TERRITORY. United States and its territories and
possessions.

                  5. ROYALTIES AND ADVANCES. In consideration for the rights
granted to it under this Agreement, the Licensee agrees to pay VDI the
following:

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                                      -2-

                  (a) Upon execution of this Agreement the Licensee agrees to
pay VDI a non-refundable Advance/Guarantee Royalty Amount of $****.

                  (b) Royalties in an amount equal to **** percent (****%) of
the Gross.

All amounts and Royalty Statements due VDI under this Agreement shall be
remitted by the

                           VICTORY DISTRIBUTION, INC.
                           Atten. Licensing Department
                          1000 Universal Studios Plaza
                                  Building 22A
                             Orlando, Florida 32819

With a Copy of each Royalty Statement to:

                           Stalwart Productions, Inc.
                             Atten: Susan Notarides
                               1338 Yale Street #E
                         Santa Monica, California 90404

                  6. MARKETING PLANS. Within 90 days of the execution of this
Agreement, and on or before each one-year anniversary of the commencement date
of this Agreement, the Licensee shall provide the Agent/SPI with a written
marketing plan with respect to the Licensed Products. Each such marketing plan
shall include, on an Article-by-Article basis, a marketing timetable, sales
projections, channels and methods of distribution, nature and amount of
advertising and advertising expenditures, and any other information that
Agent/SPI may ask the Licensee to include for a Marketing Date of Holiday
2000/Spring 2001. Each marketing plan shall contain specific information for the
one-year period immediately succeeding its submission and general estimates or
projections for subsequent periods during which this Agreement remains in
effect.

                  7. VDI'S APPROVAL OF LICENSED PRODUCTS, ADVERTISING,
CONTAINERS, MATERIALS, ETC.

                           (a) The quality and style of the Licensed Products as
well as any carton, container, packing or wrapping material shall be subject to
the express written approval of VDI and Agent/SPI prior to licensing for
distribution and sale thereof by Licensee. Also, each and every tag, label,
imprint or other device used in connection with any Licensed Products and all
advertising, promotional or display material bearing the property and or
Licensed Products shall be submitted by Licensee to VDI and Agent/SPI for
express

**** Confidential Treatment is being requested for these portions of this
Agreement.

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                                      -3-

written approval prior to use by Licensee. Such approval may be granted or
withheld as VDI and Agent/SPI in its sole discretion may determine.

                           (b) VDI and Agent/SPI agree to use reasonable efforts
to notify the Licensee in writing of approval or disapproval by VDI and
Agent/SPI of any materials submitted to Agent/SPI under this Agreement within 10
business days after Agent/SPI's receipt of such materials, and agrees, in the
case of a disapproval, to notify the Licensee in writing of the reasons for
disapproval. VDI's and Agent/SPI's failure to respond within such 10 business
day period shall not be deemed approval of the submission in question.

                           (c) Licensee shall, before selling or distributing
any of the Licensed Products furnish to Agent/SPI, for approval by Agent/SPI and
VDI, free of cost, for its express written approval, 1) one generic sample of
Licensed Products in question, 2) concept art, final artwork with copyright and
trademark notices, 3) pre-production prototype, 4) six final production Licensed
Product, each and every tag, label, imprint or other device used in connection
with any Licensed Product, and all advertising, story board, script, promotional
or display material bearing the Property and/or Licensed Products. Said samples
shall be sent to Agent/SPI by means permitting certification of receipt at the
mailing address stated in the notice clause herein. After samples have been
approved by Agent/SPI and VDI pursuant to this clause, Licensee shall not depart
therefrom in any respect without the express prior written approval of Agent/SPI
and VDI. The prototypes shall conform to the requirements of Clause 8.

                  8. PROTECTION OF VDI'S RIGHTS AND INTERESTS. VDI and Licensee
agree that Licensee's utilization of the Property upon or in connection with the
manufacture, distribution and sale of the Licensed Products is conditioned upon
protection of VDI's rights and obtaining the goodwill resulting from such use.
Licensee agrees to protect VDI's rights and goodwill as set forth in this
Agreement.

                  (a) Good Will and Protection.

                           (i) Licensee recognizes the great value of the
                  publicity and goodwill associated with the Property and, in
                  such connection, acknowledges that such goodwill exclusively
                  belongs to VDI and that the Property has acquired a secondary
                  meaning in the mind of the purchasing public. Licensee further
                  acknowledges that all rights in any additional material, new
                  versions, translations, rearrangements, or other changes in
                  the Property which may be created by or for Licensee, shall be
                  and will remain the exclusive property of VDI and the same
                  shall be and will remain a part of the Property under the
                  terms and conditions of this Agreement.

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                                      -4-

                           (ii) VDI may, if it so desires, and in its reasonable
                  discretion, commence or prosecute any claims or suits against
                  infringement of its right in the Property and may, if it so
                  desires, join Licensee at VDI's expense as a party in such
                  suit. Licensee shall notify VDI in writing of any activities
                  which Licensee believes to be infringements or utilization by
                  others of the Property on Licensed Products. VDI shall have
                  the sole right to determine whether or not any action shall be
                  undertaken as a result of such activity and shall have sole
                  discretion in the accommodation or settlement of any
                  controversies relating thereto. Licensee shall not institute
                  any suit or take any action with respect to any such
                  infringement or imitation without first obtaining the written
                  consent of VDI to do so.

                  (b) INDEMNIFICATION BY LICENSEE. Licensee shall indemnity VDI
during and after the Term hereof against all claims, liabilities (including
settlements entered into in good faith with VDI's consent, not to be
unreasonably withheld) and expenses (including reasonable attorneys' fees)
arising out of Licensee's activities hereunder, or out of any defect (whether
obvious or hidden and whether or not present in any sample Licensed Product
approved by VDI) in a Licensed Product, or arising from personal injury or any
infringement of any rights of any other person by the manufacture, sale,
possession or use of Licensed Products, or their failure to comply with
applicable laws, regulations and standards. The parties indemnified hereunder

VDI. VDI's licensors, its and their subsidiaries, its and their officers,
directors, employees and agents. This indemnity shall not apply to any claim or
liability relating to any infringement of the copyright of a third party caused
by VDI's utilization of the Licensed Products and Trademarks in accordance with
this Agreement. With respect to the foregoing indemnity, Licensee shall defend
and hold harmless Indemnified Parties and each of them at no cost or expense to
them whatsoever, including but not limited to reasonable attorneys' fees and
court costs. VDI shall have the right but not the obligation to defend any such
action or proceeding at its own expense with attorneys of its own selection.

                  (c) INDEMNIFICATION BY LICENSOR. VDI shall indemnify Licensee
during and after the Term hereof against all claims, liabilities (including
settlements entered into in good faith with licensee's consent, not to be
unreasonably withheld) and expenses (including reasonable attorneys' fees)
arising out of any claim that Licensee's use of any representation of the
Licensed Articles or the Trademarks in accordance with the provisions of this
Agreement infringes the copyright of any third party or infringes any right
granted by VDI to such third party. Licensee shall not, however, be entitled to
recover for lost profits.

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                                      -5-

                  (d) PRODUCT LIABILITY INSURANCE AND ADVERTISER'S LIABILITY
INSURANCE. The Licensee agrees to obtain and maintain during the term of this
Agreement, at its own expense, product liability insurance providing protection
(at a minimum, in the amount of $1,000,000 per occurrence/$2,000,000 annual
aggregate) applicable to any claims, liabilities, damages, costs, or expenses
arising out of any defects or alleged defects in the Articles. Such insurance
shall include coverage of VDI and Agent/SPI and its directors, officers, agents,
employees, assignees, and successors. Within 30 days after the execution of this
Agreement by VDI and Agent/SPI, the Licensee shall cause the insurance company
issuing such policy to issue a certificate to Agent/SPI confirming that such
policy has been issued and is in full force and effect and provides coverage of
VDI and Agent/SPI as required by this Clause and also confirming that before any
cancellation, modification, or reduction in coverage of such policy the
insurance company shall give VDI and Agent/SPI 30 days prior written notice of
such proposed cancellation, modification, or reduction.

                  9. SPECIFIC UNDERTAKINGS OF THE PARTIES.

                           (a) VDI warrants, represents and agrees that it has
certain ownership rights in and has the right to grant licenses to utilize the
names (including the name of the Property), characters, artists' portrayal of
characters, likeness and visual representations as included in the Property and
to grant the rights to the Property granted Licensee in this agreement.

                  (b) Licensee warrants, represents and agrees that:

                           (i) It will manufacture, sell and distribute the
Licensed Products in an ethical manner and in accordance with the terms and
intent of this Agreement;

                           (ii) it will not create any expenses chargeable to
VDI;

                           (iii) it will not enter into any agreement relating
to the Property for commercial tie-ups or promotions or otherwise, with any
person or entity engaged, in whole or in part, in the production of television,
without the prior written consent of VDI; and

                           (iv) It will cause to be manufactured, sell and
distribute Licensed Products of a high standard and of such quality, style and
appearance as shall be reasonably adequate and suited to their exploitation to
the best advantage and to the protection and enhancement of the Property and the
good will pertaining thereto; that such Licensed Products will be manufactured,
packaged, sold and distributed and advertised in accordance with all applicable
(whether national, federal, state, provincial or local) laws and that the policy
of sale, distribution and or exploitation by Licensee shall be of high stan-

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                                      -6-

dard and at the best advantage of the Property and that the same shall in no
manner reflect adversely upon the good name of VDI, or the Property.

                  10. TRADEMARK NOTICES AND PROTECTION. The Licensee agrees to
affix to the Licensed Products and to the Advertising Materials such trademark
and design notices as may be specified by VDI and Agent/SPI. When one of the
Trademarks is used as a trademark for any Article, the name shall be properly
used as a trademark in a larger or bolder type than the Article, and shall not
be used as the generic name of the Article.

                  (a) TRADEMARK USES INURE TO VDI'S BENEFIT. All trademark uses
of the Trademarks by the Licensee shall inure to the benefit of VDI, which shall
own all trademarks and trademark rights created by such uses. The Licensee
hereby assigns and transfers to VDI all trademarks and trademark rights created
by such uses of the Trademarks, together with the goodwill of the business in
connection with which such trademarks are used.

                  (b) TRADEMARK REGISTRATIONS. VDI shall have the right, but not
the obligation, to file in the appropriate offices of countries of the Territory
trademark or design applications relating to the use or proposed use by the
Licensee of any of the Trademarks in connection with the Licensed Products, such
filings to be made in the name of VDI or in the name of any third party selected
by VDI.

                  (c) RECORDS RELATIVE TO TRADEMARK USES. The Licensee shall
keep appropriate records (including copies of pertinent invoices and
correspondence) relating to the dates when each of the Licensed Products is
first placed on sale or sold in each country of the Territory, and the dates of
first use in each country of each different Trademark on the Licensed Products
and Advertising Materials. At VDI's request, the Licensee shall supply VDI with
samples of the trademark usage in question and other information which will
enable VDI to complete and obtain trademark or design applications or
registrations, or to evaluate or oppose any trademark or design applications,
registrations, or to evaluate or oppose any trademark or design applications,
registrations, or uses of third parties.

                  (d) REGISTERED USER LAWS. As to those countries which require
applications to register the Licensee as a registered user of a Trademark or
Trademarks used on or in connection with the Licensed Products or which require
the recordation of this Agreement, the Licensee agrees to execute and deliver to
VDI such documents as may be necessary and as are furnished by VDI for such
purposes.

                  11. COPYRIGHT NOTICES AND PROTECTION.

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                                      -7-

                  (a) COPYRIGHT NOTICES. The authorization of VDI to the
Licensee to make public distribution of the Licensed Products and Advertising
Materials is expressly conditioned upon the following agreement of the Licensee.
The Licensee agrees to place on all Licensed Products and on all Advertising
Materials the copyright notice or notices as required by VDI and Agent/SPI.

                  (b) AFFIXATION OF NOTICE; NAME OF COPYRIGHT PROPRIETOR. The
Licensee acknowledges that proper copyright notices must be permanently affixed
to all Licensed Products and Advertising Materials and to any separate portions
of Licensed Products or Advertising Materials which contain the Program and
which are intended to be used separately by the purchaser or ultimate user. The
Licensee agrees that it will not, without VDI's prior written consent, affix to
the Licensed Products or the Advertising Materials a copyright notice in its
name or the name of any person, firm, or corporation other than VDI.

                  (c) ASSIGNMENT BY LICENSEE. The Licensee sells, assigns, and
transfers to VDI its entire worldwide right, title, and interest in and to all
"new works" or "derivative works" heretofore or hereafter created using the
Program, including, but not limited to, the copyrights and renewal copyrights
thereon, except for any portion contained in the Licensed Products that is
otherwise owned by Licensee as a separate work of authorship. If parties who are
not employees of the Licensee living in the U.S. make or have made any
contribution to the creation of a "new work," so that such parties might be
deemed to be "authors" of the same as that term is used in present or future
U.S. copyright statutes, the Licensee agrees to obtain from such parties a
comparable full assignment of rights so that the foregoing assignment by the
Licensee vests in VDI full rights in the "new work," free of any claims,
interests, or rights of other parties. The Licensee agrees not to permit any of
its employees to obtain or reserve by oral or written employment agreements any
rights a "authors" of such "new works." At VDI's request, the License agrees to
furnish VDI with full information concerning the creation of "new works" and
with copies of assignments of rights obtained from other parties.

                  12. ROYALTIES; STATEMENTS

                  (a) BASIS FOR COMPUTATION OF ROYALTIES. All royalties due to
VDI shall accrue upon the sale of the Licensed Products, regardless of the time
of collection by the Licensee. For purposes of this Agreement, an Article shall
be considered "sold" as of the date on which such Article is billed, invoiced,
shipped, or paid for, whichever event occurs first. If any Licensed Products are
consigned to a distributor by the Licensee, the Licensed Products shall be
considered "sold" by the Licensee as of the date on which such distributor
bills, invoices, ships, or receives payment for any of the Licensed Products,
whichever event occurs first.

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                                      -8-

                  (b) TIME OF PAYMENT; TIME FOR FILING ROYALTY STATEMENTS. The
Licensee shall pay all royalties owing to VDI under this Agreement for any
calendar quarter within 30 days following the end of the calendar quarter in
question. All royalty statements required to be submitted by the Licensee shall
be submitted within 30 days to VDI and Agent/SPI following the end of the
calendar quarter to which they relate and shall accompany the royalty payments
made to VDI.

                  13. DEDUCTIONS; TAXES.

                  (a) There shall be no deduction from the royalties owed to VDI
for uncollectible accounts, or for taxes, fees, assessments, or other expenses
of any kind which may be incurred or paid by the Licensee in connection with (i)
royalty payments due VDI; (ii) the manufacture, sale, distribution, or
advertising of the Licensed Products in the Territory; or (iii) the transfer of
funds or royalties or the conversion of any currency into U.S. dollars. It shall
be the Licensee's sole responsibility at its expense to obtain the approval of
any governmental authorities; to take whatever steps may be required to effect
the payment of funds to VDI; to minimize or eliminate the incidence of taxes,
fees, or assessments which may be imposed; to enable it to commence or continue
doing business in any country; and to comply in any and all respects with all
applicable laws and regulations.

                  (b) Notwithstanding the provisions of the preceding Clause, if
(i) any country imposes a withholding tax against VDI, as licensor, with respect
to the royalties payable to VDI by the Licensee on sales of the Licensed
Products in such country, (ii) such tax is paid by the Licensee on behalf of
VDI, and (iii) such tax is an income tax as to which a foreign tax credit is
allowable to VDI under Section 901 of he Internal Revenue Code of 1986, as
amended, the Licensee may deduct the amount of such withholding tax from the
royalties paid to VDI under their Agreement on the condition that the Licensee
furnishes to VDI all information and documentation required by VDI to enable VDI
to obtain a foreign tax credit on its U.S. income tax return with respect to
such withholding tax payment by the Licensee.

                  (c) ROYALTY STATEMENTS. The Licensee shall furnish to VDI and
Agent/SPI at the same time it makes payment of royalties, a full and complete
statement, duly certified by an officer of the Licensee to be true and accurate,
showing the number of each type of Article sold during the calendar quarter in
question, the total gross sales revenues for each such Article, an itemization
of all allowable deductions, if any, the Net Sales Price for each Article sold,
the amount of royalties due with respect to such sales, the quantities of each
Article on hand and in transit as of the end of such quarter, and the name and
address of each retailer to which the Licensee has sold the Licensed Products
during such quarter, together with such other pertinent information as VDI and
Agent/SPI may reasonably request from time to time. There shall be a breakdown
of sales of Licensed

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                                      -9-

Products by country, and all figures and monetary amounts shall first be stated
in the currency in which the pertinent sales were actually made. If several
currencies are involved in any reporting category, that category shall be broken
down by each such currency. Next to each currency amount shall be set forth the
equivalent amount stated in U.S. dollars, and the rate of exchange used in
making the required conversion calculation. The rate of exchange shall be the
actual rate of exchange obtained by the Licensee on the date of payment.

                  (d) ROYALTY ADJUSTMENTS. The receipt or acceptance by VDI and
Agent/SPI of any royalty statements furnished pursuant to this Agreement, or the
receipt or acceptance of any royalty payments made, shall not preclude VDI and
Agent/SPI from questioning their accuracy at any time. If any inconsistencies or
mistakes are discovered in such statements or payments, appropriate adjustments
shall be made immediately by the parties. The Licensee shall pay VDI interest on
a late royalty payment at an annual rate of ****% over the prevailing prime
interest rate in effect at Orlando, Florida, on the date on which such late
royalty payment should have been received by VDI.

                  14. BOOKS OF ACCOUNT AND OTHER RECORDS; AUDITS.

                  (a) RETENTION OF RECORDS. While this Agreement remains in
effect and for two years thereafter, the Licensee shall keep full and accurate
books of account and copies of all documents and other material relating to this
Agreement at the Licensee's principal office. VDI and Agent/SPI by their fuly
authorized agents and representatives, shall have the right to audit such books,
documents, and other material, shall have access thereto during ordinary
business hours, and shall be at liberty to make copies of such books, documents,
and other material. At VDI's request, the Licensee shall provide an authorized
employee to assist in the examination of the Licensee's records.

                  (b) AUDITS BY VDI. If any audit of the Licensee's books and
records reveals that the Licensee has failed properly to account for and pay for
any quarterly accounting period exceeds, by 5% or more, the royalties actually
accounted for and paid to VDI for such period, the Licensee shall, in addition
to paying VDI such past due royalties, reimburse VDI for its direct
out-of-pocket expenses incurred in conducting such audit, together with interest
on the overdue royalty amount at an annual rate of 2% over the prevailing prime
interest rate in effect at Orlando, Florida, on the date on which such overdue
royalty amount should have been paid to VDI.

                  15. TERMINATION.

                  (a) If Licensee files a petition in bankruptcy or is
adjudicated a bankrupt or if a petition in bankruptcy is filed against VDI or if
Licensee becomes insolvent or

**** Confidential Treatment is being requested for this portion of this
Agreement.

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                                      -10-

makes an assignment for the benefit of its creditors or an arrangement pursuant
to any bankruptcy law or if Licensee discontinues its business or if a receiver
is appointed for it or its business, the License granted hereunder, without
notice, shall terminate automatically (upon the occurrence of any such event).

                  (b) If Licensee shall violate any of its obligations or
conditions under the terms of this Agreement, VDI shall have the right to
terminate the License herein granted upon thirty (30) days notice in writing,
and such notice of termination shall become effective, unless Licensee shall
completely remedy the violation and satisfy VDI that such violation has been
remedied within the fourteen day period.

                  (c) If the License granted hereunder is terminated in
accordance with the provisions of Sub clauses 14(a) or 14(b), all Gross Receipts
theretofore shall become due and payable immediately to the depository and VDI
shall not be obligated to reimburse Licensee for any payment theretofore paid by
Licensee to VDI.

                  (d) VDI'S RIGHT TO ELIMINATE COUNTRY FROM TERRITORY. If at any
time during the period of this Agreement the Licensee is not making regular
sales of more than a nominal nature of any of the Licensed Products in a country
of the Territory, VDI shall have the right, upon giving 30 days prior written
notice to the Licensee, to terminate the Licensee's rights for all Licensed
Products for such country.

                  (e) VDI'S RIGHT TO TERMINATE LICENSE FOR SPECIFIC ARTICLE. If
at any time during the period of this Agreement the Licensee is not making
regular sales of more than a nominal nature of a particular Article in a country
of the Territory, VDI shall have the right, upon giving 30 days prior written
notice to the Licensee, to terminate the Licensee's rights for such Article in
such country.

                  16. FINAL STATEMENT UPON TERMINATION OR EXPIRATION. As soon as
practical after termination or expiration of this Agreement, but in no event
more than 30 days thereafter, Licensee shall deliver to VDI a statement
indicating the number and description of Licensed Products which Licensee has on
hand (or in process of manufacture) as of (a) sixty(60) days prior to the end of
the Term of the Agreement, or (b) fourteen days after receipt from VDI of a
notice terminating this Agreement (in the event no such notice was given,
fourteen days after the occurrence of any event which terminates this Agreement)
whichever shall be applicable.

                  17. EFFECT OF TERMINATION OR EXPIRATION. Upon expiration of
the License granted hereunder or the earlier termination thereof, all rights
granted to Licensee hereunder shall forthwith revert to VDI, and Licensee
thereafter, directly or indirectly, shall not use or refer to the Property or
any name, character, trademark or designation

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                                      -11-

which in VDI's reasonable opinion is similar to the Property, in connection with
the manufacture, sale or distribution of products of the Licensee. Licensee
shall upon the expiration or termination turn over to VDI all molds and other
materials which reproduce the Licensed Products, or give VDI satisfactory
evidence of their destruction. Licensee hereby agrees that at the expiration or
termination of this Agreement for any reason, Licensee will be deemed
automatically to have assigned, transferred and conveyed to VDI any and all
copyrights, trademark or service mark rights, goodwill or other right, title or
interest in and to the merchandising of the Property which may have been
obtained by Licensee or which may have vested in Licensee in pursuance of any
endeavors covered hereby. Licensee will execute, and hereby irrevocably appoints
VDI its attorney-in-fact (acknowledging that such power is coupled with an
interest) to execute, if Licensee fails or refuses to do so, any instruments
requested by VDI to accomplish or confirm the foregoing. Any such assignment,
transfer or conveyance shall be without consideration other than the mutual
covenants and considerations of this Agreement. Also, upon expiration or
termination of this Agreement, VDI shall be free to license to others the right
to use the Property in connection with the manufacture, sale and distribution of
the Licensed Products. Notwithstanding the foregoing, the Licensee shall have
the non-exclusive right to sell any article listed in such inventory for a
period of 120 days immediately following termination or expiration of this
Agreement, subject to payment of royalties to VDI on any such sales in
accordance with the terms of this Agreement.

                  18. REMEDIES OF GRANTOR.

                  (a) Licensee acknowledges that the failure of the Licensee
to cease the manufacture, sale or distribution of Licensed Products except as
herein permitted upon the expiration or earlier termination of the License
granted hereunder of the failure of Licensee to fulfill its obligations
specified as described in this Agreement, will result in immediate and
irremediable damage to VDI and to the rights of any other licensee of the
Property. Licensee acknowledges that VDI has no adequate remedy at law for
any such failure referred to or referenced in this Clause and in the event of
any such failure, VDI shall be entitled to equitable relief by way of
temporary and permanent injunctions, in addition to such other further relief
as any court of competent jurisdiction may deem just and proper.

                  (b) If VDI uses any remedy afforded by this Clause, VDI shall
not be deemed to have elected its remedy or to have waived any other rights or
remedies available to it under this Agreement, or otherwise.

                  19. FORCE MAJEURE. Licensee shall be released from its
obligations hereunder in the event that governmental regulations or conditions
arising out of a state of national emergency or war, or causes beyond the
control of Licensee render performance by Licensee hereunder impossible. The
release of obligations under this Clause shall be limited to a delay in time for
Licensee to meet its obligations for a period not to exceed three (3) months,
and if there is any failure to meet such obligations after that period, VDI
shall have the absolute right to terminate this Agreement upon thirty (30) days
notice in writing. Such notice of termination shall become effective if Licensee
does not completely remedy the violation within the same thirty-day period and
satisfy VDI that such failure has been remedied.

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                                      -12-

                  20. RESERVATION OF RIGHTS. VDI reserves to itself the right to
use or sell the Licensed Products as premiums in the Territory, including such
Licensed Products that are not produced by Licensee, and VDI shall have the
right to have the Licensed Products produced for premium use by any third party
it desires. However, VDI shall grant Licensee a fifteen (15) day first right of
refusal on premium items that fall within the scope of the specific type of
articles described hereunder. After such fifteen days, VDI shall be free to
grant such rights to any third party. Further, all rights in and to the Property
are retained by VDI for its own use, except for the specific rights in the
Property licensed to the Licensee under this Agreement. VDI reserves the right
to use, and to license other parties to use, the Property in the Territory for
any purpose VDI may determine, but neither VDI nor any party licensed by VDI
shall have the right to use the Property in any manner which would conflict with
the rights granted to the Licensee under this Agreement.

                  21. NOTICES. All notices to be given to the parties shall be
as follows.

                  If to VDI:

                           Victory Entertainment, Inc.
                          1000 Universal Studios Plaza
                                  Building 22A
                             Orlando, Florida 32819

                  and to:

                           Stalwart Productions, Inc.
                             Atten: Susan Notarides
                               1338 Yale Street #E
                         Santa Monica, California 90404

                  If to Licensee:

                             StarBound Entertainment
                                Atten: Toni McKay
                                 172 Chapin Road
                              New Castle, PA 16105

xxxor at such other address as VDI or Licensee shall designate in writing from
time to time. All notices shall be in writing and shall either be served by
Certified or Registered Mail Re-

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                                      -13-

turn Receipt Requested, or telegraph, all charges prepaid. Except as provided
herein, such notices shall be deemed given when mailed or accepted by the
recipient, all charges prepaid, except that notices of change of address shall
be effective only after the actual receipt thereof.

                  22. WAIVER, MODIFICATION, ETC. No waiver, modification or
cancellation of any term or condition of this Agreement shall be effective
unless executed in writing by the party charged therewith. No written waiver
shall excuse the performance of any act other than those specifically referred
to therein. VDI makes no warranties to Licensee except those specifically
expressed herein.

                  23. NO PARTNERSHIP, ETC. This Agreement does not constitute
and shall not be construed as constituting an agency, a partnership or joint
venture between VDI and Licensee. Neither party hereto shall hold itself out
contrary to the terms of this Clause, and neither VDI nor Licensee shall become
liable for any representation, act or omission of the other contrary to the
provisions hereof. This contract shall not be deemed to give any right or remedy
to any third party whatsoever unless said right or remedy is specifically
granted by VDI in writing to such third party.

                  24. NON-ASSIGNABILITY. The license granted hereunder is and
shall be personal to Licensee, and shall not be assignable by any act of
Licensee or by operation of law. Licensee shall not have Licensed Products
manufactured for Licensee by a third party unless Licensee first obtains VDI's
approval in writing and unless the third party enters into an agreement with VDI
not to supply Licensed Products to anyone other than Licensee. Any attempt by
Licensee to grant sub-licenses or to assign or part with possession or control
of the License granted hereunder or any of Licensee's rights hereunder without
VDI's prior written approval shall constitute a material breach of this
Agreement. VDI shall have the right to assign this Agreement, in which event VDI
shall be relieved of any and all obligations hereunder, so long as such Assignee
shall be owned or controlled by VDI or its parent company, Victory Entertainment
Corp.

                  25. GOVERNING LAW. This Agreement shall be deemed to have been
made in, and shall be construed in accordance with the laws of the State of
Florida, and its validity, construc-

<PAGE>
                                      -14-

tion, interpretation and legal effect shall be governed by the laws of the State
of Florida, applicable to contracts entered into and performed entirely therein,
venue for any disputes under this Agreement shall be Orange County, Florida.

                  26. MISCELLANEOUS. This Agreement sets forth the entire
understanding of the parties hereto relating to the subject matter hereof. No
modification, amendment, waiver, termination or discharge of this Agreement, or
of any of the terms or provisions hereof shall be binding upon either party
hereto unless confirmed by a written instrument signed by Licensee and VDI and
Agent/SPI. No waiver by VDI, Agent/SPI or Licensee of any term or provision of
this contract or of any default hereunder shall affect the other's respective
rights thereafter to enforce such term or provision or to exercise any right or
remedy in the event of any other default whether or not similar. If any
provision of this Agreement shall be held void, voidable, invalid, or
inoperative, no other provision of this Agreement shall be affected as a result
thereof, and, accordingly, the remaining provisions of this Agreement shall
remain in full force and effect as though such void, voidable, invalid, or
inoperative provision had not been contained herein. Except as otherwise
provided in this contract, all rights and remedies herein or otherwise shall be
cumulative and none of them shall be in limitation of any other right or remedy.
This contract shall not be effective until signed by a duly authorized officer
of VDI and Agent/SPI and countersigned by a duly authorized officer of Licensee.

<PAGE>
                                      -15-

ACCEPTED AND AGREED

VICTORY DISTRIBUTION, INC.                          STARBOUND ENTERTAINMENT
"VDI"                                               "LICENSEE"

By:                                                 By:
   --------------------------                          -------------------------
Its:                                                Its:
    -------------------------                           ------------------------
Dated:                                              Dated:
      -----------------------                             ----------------------<PAGE>

                       THE 2000 EMPLOYEE STOCK OPTION PLAN
                                       OF
                             ECO SOIL SYSTEMS, INC.

                  Eco Soil Systems, Inc., a Nebraska corporation (the
"Company"), has adopted the 2000 Employee Stock Option Plan of Eco Soil Systems,
Inc. (the "Plan"), effective June 9, 2000, for the benefit of its eligible
employees.

                  The purposes of this Plan are as follows:

                  (1) To provide an additional incentive for Employees to
further the growth, development and financial success of the Company by
personally benefiting through the ownership of Company stock which recognizes
such growth, development and financial success.

                  (2) To enable the Company to obtain and retain the services of
Employees considered essential to the long range success of the Company by
offering them an opportunity to own stock in the Company which will reflect the
growth, development and financial success of the Company.

                                   ARTICLE I.
                                   DEFINITIONS

                  1.1 GENERAL. Wherever the following terms are used in this
Plan they shall have the meanings specified below, unless the context clearly
indicates otherwise.

                  1.2 AWARD LIMIT. "Award Limit" shall mean 100,000 shares of
Common Stock, as adjusted pursuant to Section 7.3.

                  1.3 BOARD. "Board" shall mean the Board of Directors of the
Company.

                  1.4 CODE. "Code" shall mean the Internal Revenue Code of 1986,
as amended.

                  1.5 COMMITTEE. "Committee" shall mean the Compensation
Committee of the Board, or another committee of the Board, appointed as provided
in Section 7.1.

                  1.6 COMMON STOCK. "Common Stock" shall mean the common stock
of the Company, $.005 par value per share, and any equity security of the
Company issued or authorized to be issued in the future, but excluding any
preferred stock and any warrants, options or other rights to purchase Common
Stock. Debt securities of the Company convertible into Common Stock shall be
deemed equity securities of the Company.

<PAGE>

                  1.7 COMPANY. "Company" shall mean Eco Soil Systems, Inc., a
Nebraska corporation.

                  1.8 CORPORATE TRANSACTION. "Corporate Transaction" shall mean
any of the following shareholder-approved transactions to which the Company is a
party:

                  (a) a merger or consolidation in which the Company is not the
surviving entity, except for a transaction the principal purpose of which is to
change the State in which the Company is incorporated, to form a holding company
or to effect a similar reorganization as to form whereupon this Plan and all
Options are assumed by the successor entity;

                  (b) the sale, transfer, exchange or other disposition of all
or substantially all of the assets of the Company, in complete liquidation or
dissolution of the Company in a transaction not covered by the exceptions to
clause (a) above; or

                  (c) any reverse merger in which the Company is the surviving
entity but in which securities possessing more than fifty percent (50%) of the
total combined voting power of the Company's outstanding securities are
transferred or issued to a person or persons different from those who held such
securities immediately prior to such merger.

                  1.9 DIRECTOR. "Director" shall mean a member of the Board.

                  1.10 DISABILITY. "Disability" shall mean, with respect to any
Optionee, (i) the suffering of any mental or physical illness, disability or
incapacity that shall in all material aspects preclude such Optionee from
performing his or her employment duties, or (ii) the absence of such Optionee
from his or her employment duties by reason of any mental or physical illness,
disability or incapacity for a period of six (6) months during any twelve (12)
month period; provided, however, in either case, that such illness, disability
or incapacity shall be reasonably determined to be of a permanent nature by the
Committee.

                  1.11 EMPLOYEE. "Employee" shall mean any employee (as defined
in accordance with Section 3401(c) of the Code) of the Company, or of any
corporation which is a Subsidiary.

                  1.12 EXCHANGE ACT. "Exchange Act" shall mean the Securities
Exchange Act of 1934, as amended.

                  1.13 FAIR MARKET VALUE. "Fair Market Value" of a share of
Common Stock as of a given date shall be: (i) the closing sale price of a share
of Common Stock on the principal exchange on which the Common Stock is then
trading, if any, on such date, or, if shares were not traded on such date, then
on the next preceding trading day during which a sale occurred; (ii) if the
Common Stock is not traded on an exchange but is quoted on Nasdaq or a successor
quotation system, (1) the last sales price (if the Common Stock is then quoted
on the Nasdaq National Market or the Nasdaq SmallCap Market) or (2) the

                                       2
<PAGE>

mean between the closing representative bid and asked prices (in all other
cases) for a share of the Common Stock on such date, or, if shares were not
traded on such date, then on the next preceding trading day during which a sale
occurred, as reported by Nasdaq or such successor quotation system; (iii) if the
Common Stock is not publicly traded on an exchange and not quoted on Nasdaq or a
successor quotation system, the mean between the closing bid and asked prices
for a share of Common Stock on such date, or, if shares were not traded on such
date, then on the next preceding trading day during which a sale occurred, as
determined in good faith by the Committee; or (iv) if the Common Stock is not
publicly traded, the fair market value of a share of Common Stock established by
the Committee acting in good faith.

                  1.14 INDEPENDENT DIRECTOR. "Independent Director" shall mean a
member of the Board who is not an Employee of the Company.

                  1.15 NON-QUALIFIED STOCK OPTION. "Non-Qualified Stock Option"
shall mean an Option that does not conform to the applicable provisions of
Section 422 of the Code.

                  1.16 OFFICER. "Officer" shall mean a President, Secretary,
Treasurer, Chairman of the Board, Vice President, Assistant Secretary or
Assistant Treasurer of the Company, as such positions are described in the
Company's Bylaws, or any other person designated an "officer" of the Company by
the Board of Directors in accordance with the Company's Bylaws.

                  1.17 OPTION. "Option" shall mean a stock option granted under
Article III of this Plan. An Option granted under this Plan shall be a
Non-Qualified Stock Option.

                  1.18 OPTION SHARES. "Option Shares" shall mean shares of
Common Stock acquired by Optionees through the exercise of Options under this
Plan.

                  1.19 OPTIONEE. "Optionee" shall mean an Employee granted an
Option under this Plan.

                  1.20 PLAN. "Plan" shall mean the 2000 Employee Stock Option
Plan of Eco Soil Systems, Inc.

                  1.21 QDRO. "QDRO" shall mean a qualified domestic relations
order as defined by the Code or Title I of the Employee Retirement Income
Security Act of 1974, as amended, or the rules thereunder.

                  1.22 RULE 16B-3. "Rule 16b-3" shall mean that certain Rule
16b-3 under the Exchange Act, as such Rule may be amended from time to time.

                  1.23 SECURITIES ACT. "Securities Act" shall mean the
Securities Act of 1933, as amended.

                                       3
<PAGE>

                  1.24 SUBSIDIARY. "Subsidiary" shall mean any corporation in an
unbroken chain of corporations beginning with the Company if each of the
corporations other than the last corporation in the unbroken chain then owns
stock possessing fifty percent (50%) or more of the total combined voting power
of all classes of stock in one (1) of the other corporations in such chain.

                  1.25 TERMINATION OF EMPLOYMENT. "Termination of Employment"
shall mean the time when the employee-employer relationship between an Optionee
and the Company or any Subsidiary is terminated for any reason, with or without
cause, including, but not by way of limitation, a termination by resignation,
discharge, death, Disability or retirement; but excluding (i) terminations where
there is a simultaneous reemployment or continuing employment of an Optionee by
the Company or any Subsidiary, (ii) at the discretion of the Committee,
terminations which result in a temporary severance of the employee-employer
relationship, and (iii) at the discretion of the Committee, terminations which
are followed by the simultaneous establishment of a consulting relationship by
the Company or a Subsidiary with the former employee. The Committee, in its
absolute discretion, shall determine the effect of all matters and questions
relating to Termination of Employment, including, but not by way of limitation,
the question of whether a Termination of Employment resulted from a discharge
for good cause, and all questions of whether particular leaves of absence
constitute Terminations of Employment; provided, however, that, unless otherwise
determined by the Committee in its discretion, a leave of absence, change in
status from an employee to an independent contractor or other change in the
employee-employer relationship shall constitute a Termination of Employment if,
and to the extent that, such leave of absence, change in status or other change
interrupts employment for the purposes of Section 422(a)(2) of the Code and the
then applicable regulations and revenue rulings under said Section.
Notwithstanding any other provision of this Plan, the Company or any Subsidiary
has an absolute and unrestricted right to terminate an Employee's employment at
any time for any reason whatsoever, with or without cause, except to the extent
expressly provided otherwise in writing.

                  1.26 TERMINATION FOR CAUSE. "Termination for Cause" shall mean
the time when the employee-employer relationship between an Optionee and the
Company or any Subsidiary is terminated for cause, as termination for cause is
defined in the Optionee's employment agreement; provided however, that if
termination for cause is not therein defined, it shall have such meaning, in
conformance with applicable law, as the Committee shall determine is
appropriate.

                                   ARTICLE II.
                             SHARES SUBJECT TO PLAN

                  2.1 SHARES SUBJECT TO PLAN.

                  (a) The shares of stock subject to Options shall be Common
Stock. The aggregate number of such shares which may be issued upon exercise of
such options under the Plan shall be 800,000. The shares of Common Stock of the
Company issuable

                                       4
<PAGE>

upon exercise of such options may be either previously authorized but unissued
shares or treasury shares.

                  (b) The maximum number of shares which may be subject to
Options granted under the Plan to any individual in any fiscal year of the
Company shall not exceed the Award Limit.

                  2.2 ADD-BACK OF OPTIONS. If any Option to acquire shares of
Common Stock under this Plan expires or is canceled without having been fully
exercised, the number of shares subject to such Option but as to which such
Option was not exercised prior to its expiration, cancellation or exercise may
again be available for the granting of Options hereunder, subject to the
limitations of Section 2.1. Furthermore, any shares subject to Options which are
adjusted pursuant to Section 7.3 and become exercisable with respect to shares
of stock of another corporation shall be considered canceled and may again be
available for the granting of Options hereunder, subject to the limitations of
Section 2.1. Shares of Common Stock which are delivered by the Optionee or
withheld by the Company upon the exercise of any Option under this Plan, in
payment of the exercise price thereof, may again be available for the granting
of Options hereunder, subject to the limitations of Section 2.1.

                                  ARTICLE III.
                               GRANTING OF OPTIONS

                  3.1 ELIGIBILITY. Only the following classes of persons shall
be eligible to receive grants of Options under this Plan: (i) except as provided
in (ii) below, key Employees who are not Officers or Directors of the Company,
and (ii) newly hired Employees (including Employees who will become Officers or
Directors of the Company) and who have not previously been employed by the
Company and with respect to whom Options are to be granted as an inducement
essential to such Employees' entering into employment contracts with the
Company.

                  3.2 NON-QUALIFIED OPTIONS. No Option granted under this Plan
shall constitute an "incentive stock option" under Section 422 of the Code.

                  3.3 GRANTING OF OPTIONS.

                  (a) The Committee shall from time to time, in its absolute
discretion, and subject to applicable limitations of this Plan:

                           (i) Determine which eligible Employees are key
Employees and select from among the key Employees such of them as in its opinion
should be granted Options;

                           (ii) Subject to the Award Limit, determine the number
of shares to be subject to such Options granted to the selected key Employees;

                                       5
<PAGE>

                           (iii) Determine the terms and conditions of such
Options, consistent with this Plan.

                  (b) Upon the selection of a key Employee to be granted an
Option, the Committee shall instruct the Secretary of the Company to issue the
Option and may impose such conditions on the grant of the Option as it deems
appropriate. Without limiting the generality of the preceding sentence, the
Committee may, in its discretion and on such terms as it deems appropriate,
require as a condition on the grant of an Option to an Employee that the
Employee surrender for cancellation some or all of the unexercised Options which
have been previously granted to him under this Plan or otherwise. An Option, the
grant of which is conditioned upon such surrender, may have an option price
lower (or higher) than the exercise price of such surrendered Option, may cover
the same (or a lesser or greater) number of shares as such surrendered Option,
may contain such other terms as the Committee deems appropriate, and shall be
exercisable in accordance with its terms, without regard to the number of
shares, price, exercise period or any other term or condition of such
surrendered Option.

                                   ARTICLE IV.
                                TERMS OF OPTIONS

                  4.1 OPTION AGREEMENT. Each Option shall be evidenced by a
written Stock Option Agreement, which shall be executed by the Optionee and an
authorized officer of the Company and which shall contain such terms and
conditions as the Committee shall determine, consistent with this Plan.

                  4.2 OPTION PRICE. The price per share of the shares subject to
each Option shall be set by the Committee; provided, however, that unless
otherwise permitted by applicable securities laws, such price shall be not less
than eighty-five percent (85%) of the Fair Market Value of the stock at the time
the option is granted.

                  4.3 OPTION TERM. The term of an Option shall be set by the
Committee in its discretion; provided, however, that:

                  (a) no Option may have a term that extends beyond the
expiration of ten (10) years from the date the Option was granted; and

                  (b) the Committee may extend the term of any outstanding
Option in connection with any Termination of Employment of the Optionee, or
amend any other term or condition of such Option relating to such a termination;
and

                  (c) Unless otherwise permitted by applicable securities laws,
in the event of an Optionee's Termination of Employment for any reason except
death, Disability or Termination for Cause, the Optionee shall have at least
thirty (30) days from the date of such Termination, to exercise the Option, and
in the event of an Optionee's Termination of Employment due to the Optionee's
death or Disability, the Optionee shall have at least six (6) months from the
date of such Option. Notwithstanding the forgoing,

                                       6
<PAGE>

if an Optionee's Termination of Employment also qualifies as a Termination for
Cause, the Company, in its discretion, may terminate the Optionee's right to
exercise his or her Options on the date of such termination or such other time
as the Committee in its discretion, shall deem appropriate.

                  4.4 OPTION VESTING.

                  (a) The period during which the right to exercise an Option in
whole or in part vests in the Optionee shall be set by the Committee and the
Committee may determine that an Option may not be exercised in whole or in part
for a specified period after it is granted; provided, however, that, subject to
Section 4.4(b), (i) unless otherwise permitted by applicable securities laws,
each Option shall become exercisable no later than five (5) years after such
Option is granted and such Option shall become exercisable with respect to at
least twenty percent (20%) of the shares of Common Stock subject to such Option,
as determined by the Committee in its sole discretion, on each anniversary of
the date of the grant of such Option; and (ii) unless the Committee otherwise
provides in the terms of the Stock Option Agreement or this Plan otherwise so
dictates, no Option shall be exercisable by any Optionee who is then subject to
Section 16 of the Exchange Act within the period ending six months and one day
after the date the Option is granted; provided, further, that Options may become
fully exercisable, subject to reasonable conditions such as continued employment
or consultancy, at any time or during any period established by the Committee.

                  (b) No portion of an Option which is unexercisable at
Termination of Employment shall thereafter become exercisable, except as may be
otherwise provided by the Committee either in the Stock Option Agreement or by
action of the following the grant of the Option.

                  4.5 CONSIDERATION. In consideration of the granting of an
Option, the Optionee shall agree, in the written Stock Option Agreement, to
remain in the employ of the Company or any Subsidiary for a period of at least
one (1) year (or such shorter period as may be fixed in the Stock Option
Agreement or by action of the Committee following grant of the Option) after the
Option is granted. Nothing in this Plan or in any Stock Option Agreement
hereunder shall confer upon any Optionee any right to continue in the employ of
the Company or any Subsidiary or shall interfere with or restrict in any way the
rights of the Company or any Subsidiary, which are hereby expressly reserved, to
discharge any Optionee at any time for any reason whatsoever, with or without
good cause.

                  4.6 FINANCIAL STATEMENTS. To the extent required by applicable
securities laws, each Optionee shall receive financial statements of the Company
at least annually.

                                       7
<PAGE>

                                   ARTICLE V.
                               EXERCISE OF OPTIONS

                  5.1 PARTIAL EXERCISE. An exercisable Option may be exercised
in whole or in part. However, an Option shall not be exercisable with respect to
fractional shares and the Committee may require that, by the terms of the
Option, a partial exercise be with respect to a minimum number of shares.

                  5.2 MANNER OF EXERCISE. All or a portion of an exercisable
Option shall be deemed exercised upon delivery of all of the following to the
Secretary of the Company or such Secretary's office:

                  (a) A written notice complying with the applicable rules
established by the Committee stating that the Option, or a portion thereof, is
exercised. The notice shall be signed by the Optionee or other person then
entitled to exercise the Option or such portion;

                  (b) Such representations and documents as the Committee, in
its absolute discretion, deems necessary or advisable to effect compliance with
all applicable provisions of the Securities Act and any other federal or state
securities laws or regulations. The Committee may, in its absolute discretion,
also take whatever additional actions it deems appropriate to effect such
compliance including, without limitation, placing legends on share certificates
and issuing stop-transfer notices to agents and registrars;

                  (c) In the event that the Option shall be exercised pursuant
to Section 8.1 by any person or persons other than the Optionee, appropriate
proof of the right of such person or persons to exercise the Option; and

                  (d) Full cash payment to the Secretary of the Company for the
shares and for payment of any applicable withholding or other applicable
employment taxes with respect to which the Option, or portion thereof, is
exercised. However, at the discretion of the Committee, the terms of the Option
may (i) allow a delay in payment up to thirty (30) days from the date the
Option, or portion thereof, is exercised; (ii) allow payment, in whole or in
part, through the delivery of shares of Common Stock owned by the Optionee
(which, in the case of shares of Common Stock acquired from the Company, have
been owned by the Optionee for more than six (6) months on the date of
delivery), duly endorsed for transfer to the Company with a Fair Market Value on
the date of delivery equal to the aggregate exercise price of the Option or
exercised portion thereof; (iii) allow payment, in whole or in part, through the
surrender of shares of Common Stock then issuable upon exercise of the Option
having a Fair Market Value on the date of Option exercise equal to the aggregate
exercise price of the Option or exercised portion thereof; (iv) allow payment,
in whole or in part, through the delivery of property of any kind which
constitutes good and valuable consideration; (v) allow payment, in whole or in
part, through the delivery of a full recourse promissory note bearing interest
(at no less than such rate as shall then preclude the imputation of interest
under the Code) and

                                       8
<PAGE>

payable upon such terms as may be prescribed by the Committee; (vi) allow
payment, in whole or in part, through the delivery of a notice that the Optionee
has placed a market sell order with a broker with respect to shares of Common
Stock then issuable upon exercise of the Option, and that the broker has been
directed to pay a sufficient portion of the net proceeds of the sale to the
Company in satisfaction of the Option exercise price and any applicable
withholding or other employment taxes; or (vii) allow payment through any
combination of the consideration provided in the foregoing subparagraphs (ii),
(iii), (iv), (v) and (vi). In the case of a promissory note, the Committee may
also prescribe the form of such note and the security to be given for such note.
The Option may not be exercised, however, by delivery of a promissory note or by
a loan from the Company when or where such loan or other extension of credit is
prohibited by law.

                  5.3 CONDITIONS TO ISSUANCE OF STOCK CERTIFICATES. The Company
shall not be required to issue or deliver any certificate or certificates for
shares of stock purchased upon the exercise of any Option or portion thereof
prior to fulfillment of all of the following conditions:

                  (a) The admission of such shares to listing on all stock
exchanges, if any, on which such class of stock is then listed;

                  (b) The completion of any registration or other qualification
of such shares under any state or federal law, or under the rulings or
regulations of the Securities and Exchange Commission or any other governmental
regulatory body which the Committee or the Board shall, in its absolute
discretion, deem necessary or advisable;

                  (c) The obtaining of any approval or other clearance from any
state or federal governmental agency which the Committee or the Board shall, in
its absolute discretion, determine to be necessary or advisable;

                  (d) The lapse of such reasonable period of time following the
exercise of the Option as the Committee or the Board may establish from time to
time for reasons of administrative convenience; and

                  (e) The receipt by the Company of full payment for such
shares, including payment of any applicable withholding tax.

                  5.4 RIGHTS AS SHAREHOLDERS. The holders of Options shall not
be, nor have any of the rights or privileges of, shareholders of the Company in
respect of any shares purchasable upon the exercise of any part of an Option
unless and until certificates representing such shares have been issued by the
Company to such holders.

                                   ARTICLE VI.
                                 ADMINISTRATION

                  6.1 COMPENSATION COMMITTEE. The Compensation Committee (or
another committee of the Board assuming the functions of the Committee under
this Plan) shall consist solely of two or more Independent Directors appointed
by and holding office

                                       9
<PAGE>

at the pleasure of the Board, each of whom is a "non-employee director" as
defined by Rule 16(b)-3. Appointment of Committee members shall be effective
upon acceptance of appointment. Committee members may resign at any time by
delivering written notice to the Board. Vacancies in the Committee may be filled
by the Board.

                  6.2 DUTIES AND POWERS OF COMMITTEE. It shall be the duty of
the Committee to conduct the general administration of this Plan in accordance
with its provisions. The Committee shall have the power to interpret this Plan
and the agreements pursuant to which Options are granted or awarded, and to
adopt such rules for the administration, interpretation, and application of this
Plan as are consistent therewith and to interpret, amend or revoke any such
rules. Any such grant or award under this Plan need not be the same with respect
to each Optionee. In its absolute discretion, the Board may at any time and from
time to time exercise any and all rights and duties of the Committee under this
Plan except with respect to matters which under Rule 16b-3 are required to be
determined in the sole discretion of the Committee.

                  6.3 MAJORITY RULE; UNANIMOUS WRITTEN CONSENT. The Committee
shall act by a majority of its members in attendance at a meeting at which a
quorum is present or by a memorandum or other written instrument signed by all
members of the Committee.

                  6.4 COMPENSATION; PROFESSIONAL ASSISTANCE; GOOD FAITH ACTIONS.
Members of the Committee shall receive such compensation for their services as
members as may be determined by the Board. All expenses and liabilities which
members of the Committee incur in connection with the administration of this
Plan shall be borne by the Company. The Committee may, with the approval of the
Board, employ attorneys, consultants, accountants, appraisers, brokers, or other
persons. The Committee, the Company and the Company's officers and Directors
shall be entitled to rely upon the advice, opinions or valuations of any such
persons. All actions taken and all interpretations and determinations made by
the Committee or the Board in good faith shall be final and binding upon all
Optionees, the Company and all other interested persons. No members of the
Committee or Board shall be personally liable for any action, determination or
interpretation made in good faith with respect to this Plan or Options, and all
members of the Committee and the Board shall be fully protected by the Company
in respect of any such action, determination or interpretation.

                                  ARTICLE VII.
                            MISCELLANEOUS PROVISIONS

                  7.1 NOT TRANSFERABLE.

                  (a) Options under this Plan may not be sold, pledged,
assigned, or transferred in any manner other than by will or the laws of descent
and distribution or pursuant to a QDRO, unless and until such options have been
exercised, or the shares underlying such Options have been issued, and all
restrictions applicable to such shares have lapsed. No Option or interest or
right therein shall be liable for the debts, contracts

                                       10
<PAGE>

or engagements of the Optionee or the Optionee's successors in interest or shall
be subject to disposition by transfer, alienation, anticipation, pledge,
encumbrance, assignment or any other means whether such disposition be voluntary
or involuntary or by operation of law by judgment, levy, attachment, garnishment
or any other legal or equitable proceedings (including bankruptcy), and any
attempted disposition thereof shall be null and void and of no effect, except to
the extent that such disposition is permitted by the preceding sentence.

                  (b) During the lifetime of the Optionee, only such Optionee
may exercise an Option (or any portion thereof) granted to such Optionee under
the Plan, unless the Option has been disposed of pursuant to a QDRO. After the
death of the Optionee, any exercisable portion of an Option may, prior to the
time when such portion becomes unexercisable under the Plan or the applicable
Stock Option Agreement or other agreement, be exercised by the Optionee's
personal representative or by any person empowered to do so under the deceased
Optionee's will or under the then applicable laws of descent and distribution.

                  7.2 AMENDMENT, SUSPENSION OR TERMINATION OF THIS PLAN. Except
as otherwise provided in this Section 7.2, this Plan may be wholly or partially
amended or otherwise modified, suspended or terminated at any time or from time
to time by the Board or the Committee. No action of the Board or the Committee
may be taken that would require shareholder approval as a matter of applicable
law, regulation or rule. No amendment, suspension or termination of this Plan
shall, without the consent of the holder of Options, alter or impair any rights
or obligations under any Options theretofore granted or awarded, unless the
award itself otherwise expressly so provides. No Options may be granted or
awarded during any period of suspension or after termination of this Plan.

                  7.3 CHANGES IN COMMON STOCK OR ASSETS OF THE COMPANY,
ACQUISITION OR LIQUIDATION OF THE COMPANY AND OTHER CORPORATE EVENTS.

                  (a) Subject to Section 7.3(d), (A) in the event that the
Committee determines that any dividend or other distribution (whether in the
form of cash, Common Stock, other securities, or other property),
recapitalization, reclassification, reorganization, merger, consolidation,
split-up, spin-off, combination, repurchase, liquidation, dissolution, or sale,
transfer, exchange or other disposition of all or substantially all of the
assets of the Company (including, but not limited to, a Corporate Transaction),
or exchange of Common Stock or other securities of the Company, issuance of
warrants or other rights to purchase Common Stock or other securities of the
Company, or other similar corporate transaction or event, in the Committee's
sole discretion, affects the Common Stock such that an adjustment is determined
by the Committee to be appropriate in order to prevent dilution or enlargement
of the benefits or potential benefits intended to be made available under the
Plan or with respect to an Option, or (B) in the event of any stock split or
reverse stock split, then the Committee shall, in such manner as it may deem
equitable, adjust any or all of

                                       11
<PAGE>

                           (i) the number and kind of shares of Common Stock (or
other securities or property) with respect to which Options may be granted under
the Plan, (including, but not limited to, adjustments of the limitations in
Section 2.1 on the maximum number and kind of shares which may be issued and
adjustments of the Award Limit),

                           (ii) the number and kind of shares of Common Stock
(or other securities or property)
subject to outstanding Options, and

                           (iii) the grant or exercise price with respect to any
Option.

                  (b) Subject to Section 7.3(d), in the event of any Corporate
Transaction or other transaction or event described in Section 7.3(a) or any
unusual or nonrecurring transactions or events affecting the Company, any
Affiliate of the Company, or the financial statements of the Company or any
Affiliate, or of changes in applicable laws, regulations, or accounting
principles, the Committee in its discretion is hereby authorized to take any one
(1) or more of the following actions whenever the Committee determines that such
action is appropriate in order to prevent dilution or enlargement of the
benefits or potential benefits intended to be made available under the Plan or
with respect to any option under this Plan, to facilitate such transactions or
events or to give effect to such changes in laws, regulations or principles:

                           (i) In its sole and absolute discretion, and on such
terms and conditions as it deems appropriate, the Committee may provide, either
by the terms of the agreement or by action taken prior to the occurrence of such
transaction or event and either automatically or upon the Optionee's request,
for either the purchase of any such Option for an amount of cash equal to the
amount that could have been attained upon the exercise of such Option, or
realization of the Optionee's rights had such Option been currently exercisable
or payable or fully vested or the replacement of such Option with other rights
or property selected by the Committee in its sole discretion;

                           (ii) In its sole and absolute discretion, the
Committee may provide, either by the terms of such Option or by action taken
prior to the occurrence of such transaction or event that it cannot be exercised
after such event;

                           (iii) In its sole and absolute discretion, and on
such terms and conditions as it deems appropriate, the Committee may provide,
either by the terms of such Option or by action taken prior to the occurrence of
such transaction or event, that for a specified period of time prior to such
transaction or event, such Option shall be exercisable as to all shares covered
thereby, notwithstanding anything to the contrary in (i) Section 4.4 or (ii) the
provisions of such Option;

                           (iv) In its sole and absolute discretion, and on such
terms and conditions as it deems appropriate, the Committee may provide, either
by the terms of such Option or by action taken prior to the occurrence of such
transaction or event, that upon such event, such Option be assumed by the
successor or survivor corporation, or a

                                       12
<PAGE>

parent or subsidiary thereof, or shall be substituted for by similar options
covering the stock of the successor or survivor corporation, or a parent or
subsidiary thereof, with appropriate adjustments as to the number and kind of
shares and prices; and

                           (v) In its sole and absolute discretion, and on such
terms and conditions as it deems appropriate, the Committee may make adjustments
in the number and type of shares of Common Stock (or other securities or
property) subject to outstanding Options and/or in the terms and conditions of
(including the grant or exercise price), and the criteria included in,
outstanding Options and Options which may be granted in the future.

                  (c) Subject to Section 7.3(d) and 7.8, the Committee may, in
its discretion, include such further provisions and limitations in any Option as
it may deem equitable and in the best interests of the Company.

                  7.4 TAX WITHHOLDING. The Company shall be entitled to require
payment in cash or deduction from other compensation payable to each Optionee of
any sums required by federal, state or local tax law to be withheld with respect
to the issuance, vesting or exercise of any Option. The Committee may in its
discretion and in satisfaction of the foregoing requirement allow such Optionee
to satisfy withholding tax obligations by electing to have the Company withhold
from the shares of Common Stock to be issued upon exercise of an Option that
number of shares having a Fair Market Value equal to the minimum amount required
to be withheld based on the statutory withholding rates for federal and state
tax purposes that apply to supplemental taxable income. The Fair Market Value of
the shares of Common Stock to be withheld shall be determined on the date that
the amount of tax to be withheld is to be determined. All elections by Optionees
to have shares of Common Stock withheld for this purpose shall be made in such
form and under such conditions as the Committee may deem necessary or advisable.

                  7.5 LOANS. The Committee may, in its discretion, extend one
(1) or more loans to key Employees in connection with the exercise or receipt of
an Option granted under this Plan. The terms and conditions of any such loan
shall be set by the Committee.

                  7.6 LIMITATIONS APPLICABLE TO SECTION 16 PERSONS AND
PERFORMANCE-BASED COMPENSATION. Notwithstanding any other provision of this
Plan, this Plan, and any Option granted to any individual who is then subject to
Section 16 of the Exchange Act, shall be subject to any additional limitations
set forth in any applicable exemptive rule under Section 16 of the Exchange Act
(including any amendment to Rule 16b-3 of the Exchange Act) that are
requirements for the application of such exemptive rule. To the extent permitted
by applicable law, the Plan and Options granted or awarded hereunder shall be
deemed amended to the extent necessary to conform to such applicable exemptive
rule.

                  7.7 EFFECT OF PLAN UPON OPTIONS AND COMPENSATION PLANS. The
adoption of this Plan shall not affect any other compensation or incentive plans
in effect

                                       13
<PAGE>

for the Company or any Subsidiary. Nothing in this Plan shall be construed to
limit the right of the Company (i) to establish any other forms of incentives or
compensation for Employees, directors or consultants of the Company or any
Subsidiary or (ii) to grant or assume options or other rights otherwise than
under this Plan in connection with any proper corporate purpose including but
not by way of limitation, the grant or assumption of options in connection with
the acquisition by purchase, lease, merger, consolidation or otherwise, of the
business, stock or assets of any corporation, partnership, limited liability
company, firm or association.

                  7.8 COMPLIANCE WITH LAWS. This Plan, the granting and vesting
of Options under this Plan and the issuance and delivery of shares of Common
Stock and the payment of money under this Plan or under Options granted
hereunder are subject to compliance with all applicable federal and state laws,
rules and regulations (including but not limited to state and federal securities
law and federal margin requirements) and to such approvals by any listing,
regulatory or governmental authority as may, in the opinion of counsel for the
Company, be necessary or advisable in connection therewith. Any securities
delivered under this Plan shall be subject to such restrictions, and the person
acquiring such securities shall, if requested by the Company, provide such
assurances and representations to the Company as the Company may deem necessary
or desirable to assure compliance with all applicable legal requirements. To the
extent permitted by applicable law, the Plan and Options granted or awarded
hereunder shall be deemed amended to the extent necessary to conform to such
laws, rules and regulations.

                  7.9 TITLES. Titles are provided herein for convenience only
and are not to serve as a basis for interpretation or construction of this Plan.

                  7.10 GOVERNING LAW. This Plan and any agreements hereunder
shall be administered, interpreted and enforced under the internal laws of the
State of Delaware without regard to conflicts of laws thereof.

                                      * * *

                  I hereby certify that the foregoing Plan was duly adopted by
the Board of Directors of Eco Soil Systems, Inc. on June 9, 2000.

                  Executed on this 9th day of June, 2000.

                                                        /s/ Dennis Sentz
                                                        ------------------------
                                                                   Secretary

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