Document:

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                                                                    EXHIBIT 4.2

                              WARRANT CERTIFICATE

THE WARRANT REPRESENTED BY THIS CERTIFICATE (THE "WARRANT") HAS BEEN (I)
ACQUIRED FOR INVESTMENT AND (II) ISSUED AND SOLD IN RELIANCE UPON AN EXEMPTION
FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), AND
APPLICABLE STATE SECURITIES LAWS. THE WARRANT, AND THE SECURITIES ISSUABLE UPON
EXERCISE THEREOF, CANNOT BE OFFERED FOR SALE, SOLD OR TRANSFERRED, OTHER THAN
PURSUANT TO AN EFFECTIVE REGISTRATION UNDER THE ACT OR IN A TRANSACTION THAT IS
OTHERWISE IN COMPLIANCE WITH THE ACT AND PROVIDED THAT THE ISSUER HAS RECEIVED
EVIDENCE REASONABLY SATISFACTORY TO THE ISSUER OF COMPLIANCE WITH ALL
APPLICABLE STATE AND FEDERAL SECURITIES LAWS. THE ISSUER SHALL BE ENTITLED TO
RELY UPON AN OPINION OF COUNSEL SATISFACTORY TO IT WITH RESPECT TO COMPLIANCE
WITH SUCH LAWS.

                                                                JANUARY 3, 2000

                   VOID AFTER 5:00 P.M. EASTERN STANDARD TIME
                               ON JANUARY 3, 2007
                            (THE "EXPIRATION DATE")

                                 FLIGHTSERV.COM

                              WARRANT CERTIFICATE

         THIS CERTIFIES THAT, LAZARD FRERES & CO., LLC ("Holder"), is the owner
of a Warrant that, subject to the terms of this Warrant Certificate, entitles
the Holder to purchase up to Two Million (2,000,000) fully paid and
non-assessable shares (the "Shares") of the common stock, $0.04 par value per
share (the "Common Stock"), of FLIGHTSERV.COM, a Delaware corporation (the
"Company"), at the purchase price of four dollars ($4.00) per share (the
"Exercise Price") upon presentation and surrender of this Warrant Certificate
with the Form of Election to Purchase attached hereto, duly executed, at any
time prior to the Expiration Date.

         1.       REGISTRATION. The Warrant has been registered in a warrant
register (the "Warrant Register"). The Company shall treat the Holder of the
Warrant as set forth in the Warrant Register as the owner in fact thereof for
all purposes. The Company is not liable for any registration or transfer of any
Warrant that is registered or any Warrant that will become

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registered in the name of a fiduciary or its nominee unless the Company has
actual knowledge that a fiduciary or its nominee is committing a breach of
trust by requesting such registration or transfer or has actual knowledge of
such facts that its participation therein amounts to bad faith.

         2.       RIGHT TO PIGGYBACK. If the Company shall determine to
register any of its securities either for its own account or the account of a
security holder or holders exercising their respective demand registration
rights, other than a registration relating solely to employee benefit plans, or
a registration relating solely to a Rule 145 transaction, or a registration on
any registration form that does not permit secondary sales, the Company will:

         (a)      give to the Holder written notice thereof; and

         (b)      use its best efforts to include in such registration (and any
                  related filing or qualification under applicable blue sky
                  laws), except as set forth in Section 4 below, and in any
                  underwriting involved therein, all the securities granted
                  under this Warrant Certificate ("Unregistered Securities")
                  specified in a written request or requests, made by the
                  Holder and received by the Company within seven (7) days
                  after the written notice from the Company described in clause
                  (a) above is received by Holder or delivered by the Company.
                  Such written request may specify all or a part of the
                  Holder's Unregistered Securities granted but no less than 25%
                  of the Holder's Unregistered Securities.

         Notwithstanding anything herein to the contrary, Holder is not
entitled to include the Unregistered Securities in any registration made by the
Company for the purpose of registering shares (including shares underlying
warrants) issued in connection with the private placement transactions arranged
by DC Investment Partners, LLC or their affiliates (including Four Corners
Capital, LLC).

         3.       RIGHT TO DEMAND. Upon written request of Holder that the
Company effect a registration with respect to not less than 50% of the
Unregistered Securities, the Company will use its best efforts to file a
registration statement within 60 days after receipt of such request and to
effect such registration promptly thereafter. Notwithstanding anything herein
to the contrary, (i) the Company shall have no obligation to take any action to
effect registration of the Unregistered Securities before the effective date of
the registration statement to be filed in connection with the financing
arrangement disclosed in the Company's Current Report of Form 8-K filed on
January 28, 2000 with the Securities and Exchange Commission and (ii) the
rights of Holder with respect to the registration of the Unregistered
Securities shall be subordinate to the registration rights of the Wendell
Starke Trust ("WST") and Godley-Morris Group, LLC ("GMG") with respect to
shares of the Company's Common Stock owned by WST and GMG as of the date
hereof. If, after receiving a request for registration of the Unregistered
Securities hereunder, the Company shall advise Holder in writing that in the
good faith judgment of its Board of Directors it would be significantly
detrimental to the Company or its Stockholders for a registration statement to
be filed in the near future on the grounds that such

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registration statement would require the premature disclosure of a material
pending transaction or event of the Company, then the Company's obligation to
use its best efforts to register the Unregistered Securities shall be deferred
for a period not to exceed 90 days from the date of the request. The Company
shall only be required to file one registration statement pursuant to this
Section 3.

         4.       UNDERWRITING. If the registration of which the Company gives
notice is for a registered public offering involving an underwriting, the
Company shall so advise the Holder as a part of the written notice given
pursuant to Section 2(a). In such event, the right of the Holder to
registration pursuant to this Section 4 shall be conditioned upon such Holder's
participation in such underwriting and the inclusion of such Holder's
Unregistered Securities in the underwriting to the extent provided herein. All
Holders proposing to distribute their securities through such underwriting
shall (together with the Company and the other holders of securities of the
Company with registration rights to participate therein distributing their
securities through such underwriting) enter into an underwriting agreement in
customary form with the representative of the underwriter or underwriters
selected by the Company.

         Notwithstanding any other provision of this Section 4, if the
representative of the underwriters advises the Company in writing that
marketing factors require a limitation on the number of shares to be
underwritten, the representative may (subject to the limitations set forth
below) exclude all Unregistered Securities from, or limit the number of
Unregistered Securities to be included in, the registration and underwriting.
The Company shall so advise the Holder of securities if requesting
registration, and the number of shares of securities that are entitled to be
included in the registration and underwriting shall be allocated first to the
Company for securities being sold for its own account, second to WST and GMG
for shares being sold by them pursuant to the terms of existing registration
rights agreements between WST and GMG and the Company, and thereafter in
proportionate fractions to the number of shares presented by all stockholders
with equivalent registration rights. If any person does not agree to the terms
of any such underwriting, he shall be excluded therefrom by written notice from
the Company or the underwriter. Any Unregistered Securities or other securities
excluded or withdrawn from such underwriting shall be withdrawn from such
registration.

         If shares are so withdrawn from the registration and if the number of
shares of securities to be included in such registration was previously reduced
as a result of marketing factors, the Company shall then offer to all persons
who have retained the right to include securities in the registration the right
to include additional securities in the registration in an aggregate amount
equal to the number of shares so withdrawn, with such shares to be allocated
among the persons requesting additional inclusion in proportionate fractions to
the number of shares presented by all holders.

         5.       EXPENSES OF REGISTRATION; INDEMNIFICATION.

         (a)      All Registration Expenses incurred in connection with any
registration, qualification or compliance pursuant to Section 2, 3 and 4 hereof
shall be borne by the Company. All Selling Expenses relating to securities so
registered shall be borne by the

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Holder and other holders of such securities pro rata on the basis of the
number of shares of securities so registered on their behalf.

         (b)      The Company will indemnify the Holder, and its officers,
directors, and agents and each person controlling the Holder within the meaning
of Section 15 of the Act, from and against all expenses, claims, losses,
damages and liabilities (including reasonable attorney's fees and defense
costs) ("Costs") arising out of or based on any untrue statement (or alleged
untrue statement) of a material fact contained in any prospectus, offering
circular, or other document relating to the registration of securities
hereunder (collectively the "Registration Documents"), or based on any omission
(or alleged omission) to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading, or any
violation by the Company of any federal securities law or any state securities
law or any rule or regulation thereunder applicable to the Company. The Holder
will (if securities held by him are included in the registration), indemnify
the Company and each of its directors, officers and agents and each person who
controls the Company within the meaning of Section 15 of the Act, from and
against all Costs arising out of or based on any untrue statement (or alleged
untrue statement) of a material fact contained in any Registration Document, or
any omission (or alleged omission) to state therein a material fact required to
be stated therein or necessary to make the statements therein not misleading,
to the extent, but only to the extent, that such untrue statement (or alleged
untrue statement) or omission (or alleged omission) is made in such
Registration Document in reliance upon and in conformity with written
information furnished to the Company by Holder and stated to be specifically
for use therein. It is agreed that the indemnity agreements contained in this
section shall not apply to amounts paid in settlement of any such loss, claim,
damage, liability, or action if such settlement is effected without the consent
of the indemnifying party (which consent shall not be unreasonably withheld).

         6.       TRANSFER OF WARRANT. The Warrant is transferable on the books
of the Company only upon delivery of the Warrant to the Company, duly endorsed
by the Holder or by its duly authorized attorney or representative, or
accompanied by proper evidence of succession, assignment or authority to
transfer. In all cases of transfer by an attorney, the original power of
attorney, duly approved, or an official certified copy thereof, shall be
deposited with the Company. Should an executor, administrator, guardian or
other legal representative of a Holder effect such a transfer, then duly
authenticated evidence of its authority must be produced and may be required to
be deposited with the Company in its discretion. Upon any registration of
transfer, the Company agrees to deliver a new Warrant or Warrants to the
persons entitled thereto. Notwithstanding the foregoing, the Company has no
obligation to transfer the name of the Holder on its books to any person,
unless the Holder furnishes the Company evidence of compliance with the Act, in
accordance with the provisions of Section 13 hereof.

         7.       EXERCISE OF WARRANT. The rights represented by this Warrant
may be exercised by the Holder in whole or in part (but not as to a fractional
Share), by surrendering the Warrant to the Company or its duly authorized
agent, with the Form of Election to Purchase, a copy of which is attached
hereto, duly completed and signed, and upon paying to the Company

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the Exercise Price, as may be adjusted in accordance with the provisions of
Section 12 hereof, for the number of Shares for which this Warrant is
exercised. Payment of such Exercise Price may be made (a) in cash; (b) by
certified check, bank draft or drawn postal, express money order payable to the
order of flightserv.com; or (c) by reducing the actual number of Shares
issuable upon the exercise of this Warrant (as set forth on the Election to
Purchase) by the smallest number of whole shares of the Common Stock which,
when multiplied by the Closing Price per share of the Common Stock as of the
date this Warrant is exercised, is sufficient to satisfy the Exercise Price for
the number of Shares for which this Warrant is exercised. Upon the surrender of
this Warrant, payment of the Exercise Price as described above and payment of
all tax obligations as described in Section 9 below, the Company agrees to
cause to be issued and delivered with all reasonable dispatch to or upon the
written order of the registered Holder and (subject to receipt of evidence of
compliance with the Act in accordance with the provisions of Section 13 hereof)
in such name or names as such registered Holder may designate, a certificate or
certificates for the number of full Shares so purchased upon the exercise of
such Warrant, together with cash, as provided in Section 14 hereof, in respect
of any fractional Share otherwise issuable upon such surrender. Such
certificate or certificates shall be deemed to have been issued and any person
so designated to be named therein shall be deemed to have become a holder of
record of such Shares as of the date of surrender of this Warrant, payment of
the Exercise Price as described above and payment of all tax obligations as
described in Section 10 hereof; provided, however, that if, at the date of
surrender of this Warrant and payment of the Exercise Price and taxes the
transfer books for the Common Stock or other class of stock purchasable upon
the exercise of this Warrant shall be closed, the certificates for the Shares
for which this Warrant is exercised shall be issuable as of the date on which
such books shall next be opened (whether before, on or after the Expiration
Date) and until such date the Company shall be under no duty to deliver any
certificates for such Shares; and provided further, however, that the transfer
books shall not be closed at any one time for a period longer than twenty (20)
consecutive calendar days unless otherwise required by law.

         8.       NOTICES.

         (a)      Notice of Adjustment. Whenever the number of shares of Common
Stock for which this Warrant is exercisable shall be adjusted pursuant to
Section 12, the Company shall forthwith prepare a certificate to be executed by
the President or Chief Financial Officer of the Company setting forth, in
reasonable detail, the event requiring the adjustment, the method by which the
adjustment was calculated and describing the number of shares of Common Stock
for which this Warrant is exercisable after giving effect to such adjustment or
change. The Company shall promptly cause a signed copy of such certificate to
be delivered to the Holder. The Company shall keep at its principal office
copies of all such certificates and cause the same to be available for
inspection during normal business hours by the Holder of any prospective
purchaser of the Warrant designated by the Holder.

         (b)      Notice of Extraordinary Distributions. In the event that the
Company proposes to set a record date for the purpose of entitling holders of
its Common Stock to receive any dividend or other distribution of:

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                  (i)      cash in an amount in excess of the previous regular
                           cash dividend, or

                  (ii)     any evidences of its indebtedness, any shares of its
                           stock or any other securities or property of any
                           nature whatsoever, including any warrants or other
                           rights to subscribe for or purchase any evidences of
                           its indebtedness, any shares or its stock of any
                           other securities or property;

then the Company shall deliver to the Holder written notice of such proposed
dividend or distribution at least 10 days prior to such proposed record date. A
reclassification of Common Stock (other than a change in par value, or from par
value to no par value or from no par value to par value) into shares of Common
Stock and shares of any other class of stock shall be deemed a distribution by
the Company to the holders of its Common Stock of such shares of such other
class of stock within the meaning of this Section 8(b) and, if the outstanding
shares of Common Stock shall be changed into a larger of smaller number of
shares of Common Stock as a part of such reclassification, shall be deemed a
subdivision or combination, as the case may be, of the outstanding shares of
Common Stock within the meaning of Section 12.

         (c)      Notice of Certain Mergers and Asset Dispositions. In the
event that the Company proposes to consolidate with or merge into another
corporation in a transaction in which the Common Stock will be changed or
converted into other securities, cash or property, or to sell, transfer or
otherwise dispose of all or substantially all of its property, assets or
business to another corporation or other entity, the Company shall deliver to
each Holder written notice of such proposed transactions at least 15 days prior
to the earlier of its consummation or the taking of any record of the holders
of its Common Stock for the purpose of determining their rights pursuant to
such transactions.

         (d)      Notice of Registration Statement. In the event that the
Company shall propose to file a registration statement under the Act with
respect to shares of Common Stock to be sold by the Company, it shall deliver
to each Holder (i) at least 10 days advance notice of its intention to file
such registration statement and the anticipated range of prices, if any, at
which the shares of Common Stock are proposed to be offered; (ii) prompt notice
of any change in such anticipated range of prices; and (iii) notice by 10:00
a.m., New York City time, on the day prior to the date on which the
registration statement is expected to become effective.

         (e)      Notice Procedures. Unless otherwise expressly provided for in
this Warrant, any notices or other communications required or permitted
hereunder shall be given in writing and shall be delivered personally, by
overnight delivery service or by registered or certified mail and shall be
deemed to have been given when so delivered personally, or one business day
after the date of deposit with such overnight courier or three business days
after the date mailed. All notices shall be addressed to the respective parties
as follows: if to Holder, to _____________________________________________; and
if to Company, to flightserv.com, 3343 Peachtree Road, N.E., Suite 530,
Atlanta, Georgia 30326, Attn: President or such other address as the party to
whom notice is to be given may have furnished to the other party in writing.

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         9.       PAYMENT OF TAXES. The Holder agrees to pay all documentary
stamp taxes (whether federal, state or local) attributable to the exercise of
this Warrant and the issuance of Shares upon such exercise by delivery of cash
or a certified check payable to the Company in the amount of all such taxes. In
addition, as a condition to the exercise of the Warrant, the Company may
require the Holder to pay or reimburse the Company for any taxes which the
Company determines are required to be withheld in connection with the grant or
any exercise of this Warrant. Such payment or reimbursement shall be in the
manner set forth in this Section 9.

         10.      MUTILATED OR MISSING WARRANTS. Should this Warrant be
mutilated, lost, stolen or destroyed, the Company may, in its discretion, issue
and deliver in exchange and substitution for, and upon cancellation of, the
mutilated Warrant, or in lieu of and substitution for the lost, stolen or
destroyed Warrant, a new Warrant of like tenor representing an equivalent right
or interest. The Company shall issue and deliver such new Warrant only upon
receipt of evidence reasonably satisfactory to the Company, if requested, of
such loss, theft or destruction of such Warrant and a reasonable indemnity.
Applicants for such substitute Warrants also shall comply with such other
reasonable regulations and pay such other reasonable charges as the Company may
prescribe.

         11.      RESERVATION OF COMMON STOCK, ETC. The Board of Directors of
the Company has approved this Warrant and the Company has reserved (and will
continue to reserve until the earlier of the exercise of this Warrant or the
Expiration Date) out of the authorized and unissued shares of the Common Stock
a number of shares sufficient to provide for the exercise of the rights of
purchase represented by this Warrant. The transfer agent for the Common Stock
(the "Transfer Agent") and every subsequent Transfer Agent for any shares of
the Common Stock issuable upon the exercise of any of the rights of purchase
aforesaid are hereby irrevocably authorized and directed at all times until the
Expiration Date to reserve such number of authorized and unissued shares of the
Common Stock as shall be required for such purpose. The Company will supply
such Transfer Agent with duly executed stock certificates for such purposes.
Any Warrant surrendered in the exercise of the rights hereby evidenced shall be
cancelled, and such cancelled Warrant shall constitute sufficient evidence of
the number of Shares that have been issued upon the exercise of such Warrant.
No shares of Common Stock shall be subject to reservation concerning any
Warrant not exercised on or prior to the Expiration Date.

         12.      ADJUSTMENTS OF WARRANT PRICE AND NUMBER AND KIND OF SHARES.
The Exercise Price and the number and kind of securities purchasable upon the
exercise of this Warrant shall be subject to adjustment from time to time upon
the occurrence of the following events subsequent to the date hereof.

         (a)      In case the Company shall (i) pay a dividend in shares of its
         capital stock or make a distribution in shares of its capital stock
         (whether of the Common Stock or of any other class of capital stock),
         (ii) subdivide its outstanding Common Stock into a greater number of
         shares or (iii) combine its outstanding Common Stock into a smaller
         number of shares, then the number of Shares (calculated immediately
         prior to such change) shall be increased or decreased, as the case may
         be, in direct proportion to the

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         increase or decrease in the total number of shares of Common Stock of
         the Company by reason of such change, and the Exercise Price of the
         Shares after such change shall, in the case of an increase in the
         number of shares of Common Stock, be proportionately reduced, and, in
         case of a decrease in the total number of shares of Common Stock, be
         proportionately increased. An adjustment made pursuant to this
         Paragraph (a) of this Section 12 shall become effective immediately
         after the record date for determining stockholders entitled to receive
         such dividend or distribution in the case of a dividend or
         distribution in shares of the Company's capital stock and shall become
         effective immediately after the effective date in the case of a
         subdivision, combination or reclassification. If, as a result of an
         adjustment made pursuant to this Paragraph (a) of this Section 12, the
         Holder shall become entitled to receive shares of two or more classes
         of capital stock of the Company, the Board of Directors of the Company
         (whose determination shall be conclusive) shall in good faith
         determine the allocation of the adjusted exercise price between or
         among shares of such classes of capital stock.

         (b)      Reorganization, Reclassification. If the Company shall effect
         any reorganization or reclassification of its capital stock in
         connection with which a Holder has not exercised this Warrant, then,
         upon any exercise of this Warrant subsequent to the consummation
         thereof, such Holder shall be entitled to receive, in lieu of the
         Common Stock issuable upon exercise immediately prior to such
         consummation, the highest amount of stock, other securities or
         property (including cash) to which such Holder would have been
         entitled upon such consummation if such Holder had exercised this
         Warrant immediately prior thereto, all subject to further adjustments
         thereafter as provided in this Section 12.

         (c)      No adjustment in the Exercise Price shall be required unless
         and until such adjustments would require an increase or decrease of at
         least five cents ($0.05) in such price; provided, however, that any
         adjustments that by reason of this Paragraph (b) of this Section 12
         are not required to be made shall be carried forward and taken into
         account in any subsequent adjustment. All calculations under this
         Section 13 shall be made to the nearest cent or to the nearest whole
         Share, as the case may be.

         (d)      If at any time as a result of any adjustment made pursuant to
         Paragraph (a) of this Section 12, the Holder of this Warrant shall
         become entitled to receive any shares of the Company's capital stock
         other than Common Stock, then the number of such other shares
         receivable upon exercise of this Warrant shall be subject to
         adjustment from time to time in a manner and on terms as nearly
         equivalent as practicable to the provisions concerning the Common
         Stock contained in Paragraphs (a) through (c), inclusive, of this
         Section 12.

         (e)      Irrespective of any adjustments in the Exercise Price or the
         number or kind of Shares or shares of other capital stock of the
         Company or of others purchasable upon exercise of this Warrant, any
         warrants theretofore or thereafter issued may continue to express the
         same price and number and kind of Shares or shares of other capital
         stock of the Company as are stated in such warrants when initially
         issued.

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         13.      REGISTRATION UNDER THE SECURITIES ACT OF 1933. Neither this
Warrant nor the Shares have been registered under the Act in reliance on
exemption from such registration requirements provided by Section 4(2) of the
Act and Regulation D promulgated thereunder, and under exemptions provided by
applicable state securities laws. The Holder, by its acceptance hereof,
covenants and agrees that it will not transfer or dispose of this Warrant or
any of the Shares except pursuant to (a) an effective registration statement
filed under the Act or (b) an opinion of counsel, reasonably satisfactory to
counsel for the Company, that an exemption from the registration requirements
under the Act and applicable state securities laws is available and otherwise
in accordance with the conditions set forth in Section 13 hereof.

         14.      FRACTIONAL INTERESTS. No fractional shares of the Common
Stock will be issued upon the exercise of this Warrant or any future Warrants
issued in replacement hereof, but in lieu thereof a cash payment will be made
to the Holder.

         15.      RIGHTS OF WARRANT HOLDERS. No Holder of this Warrant
Certificate shall be entitled to vote or receive dividends or be deemed the
Holder of Common Stock or any other securities of the Company that may at any
time be issuable upon the exercise hereof for any purpose, nor shall anything
contained herein be construed to confer upon the Holder hereof, as such, any of
the rights of a stockholder of the Company or any right to vote for the
election of directors or upon any matter submitted to stockholders at any
meeting thereof, or to give or withhold consent to any corporate action
(whether upon any recapitalization, issue of stock, reclassification of stock,
change of par value, consolidation, merger, conveyance or otherwise) or to
receive notice of meetings, or to receive dividends or subscription rights or
otherwise, until this Warrant shall have been exercised and the Common Stock
purchasable upon the exercise hereof shall have become deliverable to such
Holder.

                             [Signatures Next Page]

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         IN WITNESS WHEREOF, the Company has caused this Warrant to be executed
under seal and delivered as of the date and year first written above.

                                        FLIGHTSERV.COM

                                        BY:
                                           ------------------------------------
                                           PRESIDENT

[CORPORATE SEAL]

Attest:
       ------------------------------------
       Secretary

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                          FORM OF ELECTION TO PURCHASE

TO:      flightserv.com
         3343 Peachtree Road, N.E.
         Suite 530
         Atlanta, Georgia  30326
         Attention:  President

         Pursuant to the Warrant Certificate (herein called the "Certificate"),
dated as of January 3, 2000, granted by flightserv.com (the "Company") to
Lazard Freres & Co., LLC ("Lazard"), Lazard hereby gives notice that it elects
to exercise the warrant granted under the Certificate with respect to ______
shares of the common stock of the Company as of the date on which this notice
is delivered to the Company, and accordingly hereby agrees to purchase such
shares at the price and on the terms established under the Certificate. To the
extent payment is made by cash, check or shares of the Company's stock
previously owned by the Company, full payment for such shares is enclosed. Such
payment consists of:

         __________     Cash
         __________     Check
         __________     shares of the Company's common stock, _______ of which
                        are previously owned.

         Lazard hereby represents and warrants that it is purchasing such
shares for investment purposes only and not with a view to distribution or
resale.

         Lazard hereby agrees that the warrant granted under the Certificate
shall be deemed to have been exercised to the extent specified in this notice
on the exercise date below the authorizing signature, and Lazard hereby
warrants that on such date this notice was delivered to the Company.

                                                  Sincerely,

                                                  -----------------------------
                                                  Title:

DATED:
      ------------------------------<PAGE>   1

                                                                  EXHIBIT 10.7

                              AMENDED AND RESTATED

                             STEINER LEISURE LIMITED

                          NON-EMPLOYEE DIRECTORS' SHARE

                                   OPTION PLAN

                                 APRIL 27, 2000

<PAGE>   2

                             STEINER LEISURE LIMITED
                    NON-EMPLOYEE DIRECTORS' SHARE OPTION PLAN

         1.       INTRODUCTION.

         This plan shall be known as the "Steiner Leisure Limited Non-Employee
Directors' Share Option Plan" (this "Plan"). This Plan sets forth the terms of
grants of options (each, an "Option") to purchase the common shares (the
"Shares") of Steiner Leisure Limited (the "Company") to Non-Employee Directors
(as defined below) of the Company. The purpose of this Plan is to advance the
interests of Company and its shareholders by promoting an identity of interest
between the Company's non-employee directors and its shareholders, providing
non-employee directors with a proprietary stake in the Company's success and
strengthening the Company's ability to attract and retain qualified non-employee
directors by affording such persons an opportunity to share in the future
success of the Company.

         2.       DEFINITIONS.

                  (a)      ACT means the Securities Act of 1933, as amended.

                  (b)      BOARD means the Board of Directors of the Company.

                  (c)      COMPANY means Steiner Leisure Limited.

                  (d)      DATE OF GRANT means the date as of which an Option
is granted to a Non-Employee Director pursuant to Section 5 of this Plan.

                  (e)      EXCHANGE ACT means the Securities Exchange Act of
1934, as amended.

                  (f)      FAIR MARKET VALUE means, on the date in question,
or if the prices described in clauses (i) and (ii), below, are not available on
such date, on the latest date preceding the date in question on which such
prices are available, (i) the closing sales price per share of the Shares
underlying an Option on the Nasdaq Stock Market ("Nasdaq") or, if the Shares are
not then traded on Nasdaq, on any national securities exchange, or (ii) if the
Shares are not then traded on Nasdaq or such exchange, and are then traded on an
over-the-counter market, the average of the closing bid and asked prices for the
Shares in such over-the-counter market or (iii) if the Shares are then not
listed on Nasdaq or such exchange, or traded in an over-the-counter market, such
value as the Board may determine.

                  (g)      NON-EMPLOYEE DIRECTOR means a member of the Board
of Directors of the Company who is not an employee of the Company or any
subsidiary (as defined under Rule 12b-2 under the Exchange Act) of the Company
on a date in question.

                  (h)      OPTIONS means the options to purchase Shares granted
pursuant to this Plan.

                  (i)      PLAN means this Steiner Leisure Limited Directors'
Share Option Plan.

                  (j)      SHARES means the common shares of the Company, par
value (U.S.) $.01 per share.

         3.       ADMINISTRATION.

         This Plan shall be administered by the Board or a committee of the
Board so designated by the Board to administer this Plan. Where the context so
requires, references to the Board herein shall refer to any such committee.
Subject to the provisions of this Plan, the Board shall be authorized to
interpret this Plan, to establish, amend and rescind any rules and regulations
relating to this Plan and to make all other determinations necessary or
advisable for the administration of this Plan; provided, however, that the Board
shall have no discretion with respect to the selection of directors to receive
Options, the number of Shares to be received upon exercise of Options or the
timing of grants of Options, all of which shall be determined in accordance with

<PAGE>   3

the provisions of this Plan. Notwithstanding the foregoing, the Board may amend
this Plan pursuant to Section 8, below. The determinations of the Board in the
administration of this Plan, as described herein, shall be final and conclusive.
The Chairman of the Board and the Chief Operating Officer of the Company, and
either of them, shall be authorized to implement this Plan in accordance with
its terms and to take such actions of a ministerial nature as shall be necessary
to effectuate the intent and purposes thereof. Except as otherwise provided
herein, the validity, construction and effect of this Plan and any rules and
regulations relating to this Plan shall be determined in accordance with the
laws of the Commonwealth of the Bahamas subject to any applicable requirements
under United States federal or state securities laws.

         4.       ELIGIBILITY; OPTION AGREEMENT.

         Only Non-Employee Directors shall be eligible to receive Options under
this Plan. Options shall be evidenced by written option agreements in such form
as the Board shall approve.

         5.       GRANTS OF OPTIONS.

         Options shall be granted to Non-Employee Directors, subject to Section
5(o), below, and the limitation on the number of Shares that may be issued under
this Plan as described in Section 6, below, as follows:

                  (a) GRANTS TO INITIAL DIRECTORS. Each of the initial four
Non-Employee Directors (the "Initial Directors") shall be granted, on the
effective date of the appointment or election of such Initial Director (the
"Initial Effective Date") without the need for further action by the Board, an
Option to purchase that number of Shares equal to 2,813 (which reflects
adjustment for splits of the Shares after the grant thereof) multiplied by a
fraction, the numerator of which is the number of days from the Initial
Effective Date until the scheduled date of the then next annual meeting of
Shareholders of the Company ("Annual Meeting") (or, if such date has not yet
been scheduled, a date approximating the date of the next Annual Meeting as
determined in good faith by the Board), and the denominator of which is 365.

                  (b) ANNUAL GRANTS. On the date of each Annual Meeting during
the term of this Plan (an "Annual Meeting Date") each individual elected or
re-elected as a Non-Employee Director at such meeting or continuing as a
Non-Employee Director shall be granted, without the need for further action by
the Board, an Option to purchase 5,000 Shares. In addition, any Non-Employee
Director who serves as Chairman of a committee of the Board shall be granted on
each Annual Meeting Date an Option to purchase an additional 1,250 Shares for
each such Chairmanship held.

                  (c) OTHER GRANTS. Any new Non-Employee Director who is
appointed by the Board to fill a vacancy on the Board, or who is otherwise
appointed or elected to the Board otherwise than at an Annual Meeting shall be
granted, on the effective date of such appointment or election (the "Effective
Date"), without the need for further action by the Board, an Option to purchase
that number of Shares equal to 5,000 (plus any additional Shares as may be
required by the last sentence of Section 5(b), above) multiplied by a fraction,
the numerator of which is the number of days from the Effective Date until the
scheduled date of the then next Annual meeting (or, if such date has not yet
been scheduled, the anniversary date of the then immediately preceding Annual
Meeting or, in the absence of such date, a date approximating the date of the
next Annual Meeting as determined in good faith by the Board), and the
denominator of which is 365.

                  (d) EXTRAORDINARY GRANTS. On April 27, 2000, each Non-Employee
Director shall receive Options to purchase 5,000 Shares. In addition, the
Non-Employee Director who serves as Chairman of each committee of the Board
shall receive an Option to purchase an additional 1,250 Shares for each such
Chairmanship held.

                  (e) EXERCISE PRICE. The exercise price of each Option shall be
the Fair Market Value of the Shares on the Date of Grant.

                  (f) DURATION OF OPTIONS. Except as otherwise provided herein
or in the option agreement with respect to an Option grant, the latest date on
which an Option may be exercised (the "Final Exercise Date") shall be the date
which is ten years from the Date of Grant.

<PAGE>   4

                  (g) EXERCISE OF OPTIONS. Except as otherwise provided herein
or in the option agreement with respect to an Option grant, an Option shall
become exercisable one year after the Date of Grant. An Option may be exercised
by giving written notice to the Secretary of the Company specifying the number
of Shares to be purchased, accompanied by the full purchase price for the Shares
to be purchased. An Option may not be exercised for a fraction of a Share.

                  (h) PAYMENT FOR SHARES. Shares purchased pursuant to the
exercise of an Option granted under this Plan shall be paid for as follows: (i)
in cash or by certified check, bank draft or money order payable to the order of
the Company, (ii) through the delivery of Shares having a Fair Market Value on
the last business day preceding the date of exercise equal to the purchase
price, provided that, in the case of Shares acquired directly from the Company,
such Shares have been held for at least six months, or (iii) by a combination of
cash and Shares, as provided in clauses (i) and (ii), above.

                  (i) WITHHOLDING TAXES. Prior to issuance of the Shares upon
exercise of an Option, the Option holder shall pay or make adequate provision
for any applicable United States federal or state, or other tax withholding
obligations of the Company. Where approved by the Board in its sole discretion,
the Option holder may provide for the payment of withholding taxes upon exercise
of the Option by requesting that the Company retain Shares with a Fair Market
Value equal to the amount of taxes required to be withheld. In such case, the
Company shall issue the net number of Shares to the Option holder by deducting
the Shares retained from the Shares with respect to which the Option was
exercised. The Fair Market Value of the Shares to be withheld shall be
determined on the date that the amount of tax to be withheld is to be
determined. All elections by Option holders to have Shares withheld for this
purpose shall be made in writing in form acceptable to the Board.

                  (j) DELIVERY OF SHARE CERTIFICATES. Until the issuance (as
evidenced by the appropriate entry on the books of the Company or of a duly
authorized transfer agent of the Company) of the certificate evidencing the
Shares underlying an Option, an Option holder shall not have any rights as a
shareholder of the Company. A certificate for the number of Shares purchased
pursuant to the exercise of an Option shall be issued as soon as practicable
after exercise of the Option. However, the Company shall not be obligated to
deliver a certificate evidencing Shares issuble under an Option (i) until, in
the opinion of the Company's counsel, all applicable Bahamas and United States
federal and state laws and regulations have been complied with and any
applicable taxes have been paid, (ii) if the Shares are at the time traded on
Nasdaq or any national securities exchange, until the Shares represented by the
certificate to be delivered have been listed or are authorized to be listed on
Nasdaq or such exchange, and (iii) until all other legal matters in connection
with the issuance and delivery of such certificate have been approved by the
Company's counsel. If the sale of Shares has not been registered under the Act,
the Company may require, as a condition to exercise of the Option, such
representations or agreements as counsel for the Company may consider
appropriate to avoid violation of the Act and may require that the certificate
evidencing such Shares bear an appropriate legend restricting transfer. 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.

                  (k) ASSIGNMENT OR TRANSFER. Except as set forth in this
Section 5(j), no Option may be transferred other than by will or by the laws of
descent and distribution, and during a Non-Employee Director's lifetime an
Option may be exercised only by the Non-Employee Director to whom it was
granted. An Option may be transferred to a (i) Non-Employee Director's spouse,
children or grandchildren (referred to herein as "Family Members"), (ii) a trust
or trusts for the exclusive benefit of Family Members or (iii) a partnership in
which Family Members are the only partners. Any transfer pursuant to this
Section 5 (j) shall be subject to the following: (i) there shall be no
consideration for such transfer, (ii) there may be no subsequent transfers
without the approval of the Board and (iii) all transfers shall be made so that
no liability under Section 16(b) of the Exchange Act arises as a result of such
transfer. Following any transfer, an Option shall continue to be subject to the
same terms and conditions as were applicable to the Non-Employee Director
immediately prior to transfer, with the transferee being deemed to be the
Non-Employee Director for such purposes, except that the events of death and
termination of service described in Sections 5(k) and 5(l), below, shall
continue to apply with respect to the Non-Employee Director.

<PAGE>   5

                  (l) DEATH. Upon the death of a Non-Employee Director, all
Options held by such Non-Employee Director that are not then exercisable shall
immediately become exercisable. All Options held by such Non-Employee Director
immediately prior to death may be exercised by his or her executor or
administrator, or by the person or persons to whom the Option is transferred by
will or the applicable laws of descent and distribution, at any time within the
three years following the date of death (but not later than the Final Exercise
Date); provided, however, that the Company shall be under no obligation to
deliver a certificate representing Shares that may be issued pursuant to such
exercise until the Company is satisfied as to the authority of the person or
persons exercising the Option.

                  (m) OTHER TERMINATION OF STATUS OF NON-EMPLOYEE DIRECTOR. If a
Non-Employee Director ceases to be a member of the Board for any reason other
than death, all Options held by such Non-Employee Director that are not then
exercisable shall terminate three years following the date they first become
exercisable. Options that are exercisable on the date of such termination shall
continue to be exercisable for a period of three years following the date of
termination (or until the Final Exercise Date, if earlier). Notwithstanding the
foregoing, all Options held by a Non-Employee Director shall terminate
immediately upon the termination of such Non-Employee Director's membership on
the Board if such termination was based on the misconduct of such Non-Employee
Director. After completion of the aforesaid three-year periods, such Options
shall terminate to the extent not previously exercised, expired or terminated.

                  (n) CHANGE IN CONTROL. In the event of a Change in Control (as
defined below) of the Company, any Options outstanding as of the date of such
Change in Control is determined to have occurred that are not yet exercisable on
such date shall become fully exercisable. For purposes of this Section 5(m) a
"Change in Control" means the happening of any of the following:

                            (i)     any transaction as a result of which a
                                    change in control of the Company would be
                                    required to be reported in response to Item
                                    1(a) of the Current Report on Form 8-K as in
                                    effect on the date hereof, pursuant to
                                    Sections 13 or 15(d) of the Exchange Act,
                                    whether or not the Company is then subject
                                    to such reporting requirement, otherwise
                                    than through an arrangement or arrangements
                                    consummated with the prior approval of the
                                    Board;

                           (ii)     any "person" or "group" within the meaning
                                    of Sections 13(d) and 14(d)(2) of the
                                    Exchange Act (a) becomes the "beneficial
                                    owner," as defined in Rule 13d-3 under the
                                    Exchange Act, of more than 20% of the then
                                    outstanding voting securities of the
                                    Company, otherwise than through a
                                    transaction or transactions arranged by, or
                                    consummated with the prior approval of, the
                                    Board or (b) acquires by proxy or otherwise
                                    the right to vote for the election of
                                    directors, for any merger or consolidation
                                    of the Company or for any other matter or
                                    question, more than 20% of the then
                                    outstanding voting securities of the
                                    Company, otherwise than through an
                                    arrangement or arrangements consummated with
                                    the prior approval of the Board;

                           (iii)    during any period of 24 consecutive months
                                    (not including any period prior to the
                                    adoption of this Plan), Present Directors
                                    and/or New Directors cease for any reason to
                                    constitute a majority of the Board. For
                                    purposes of the preceding sentence, "Present
                                    Directors" shall mean individuals who, at
                                    the beginning of such consecutive 24 month
                                    period, were members of the Board and "New
                                    Directors" shall mean any director whose
                                    election by the Board or whose nomination
                                    for election by the Company's shareholders
                                    was approved by a vote of at least
                                    two-thirds of the Directors then still in
                                    office who were Present Directors or New
                                    Directors; or

                           (iv)     any "person" or "group" within the meaning
                                    of Sections 13(d) and 14(d)(2) of the
                                    Exchange Act that is the "beneficial owner"
                                    as defined in Rule 13d-3 under the Exchange
                                    Act of 20% or more of the then outstanding
                                    voting securities of the Company commences
                                    soliciting proxies.

<PAGE>   6

                  (n) RULE 16b-3. Options granted hereunder are required to
comply with the applicable provisions of Rule 16b-3 under the Exchange Act and
the award thereof shall contain such additional conditions or restrictions as
may be required thereunder to qualify to the maximum extent for the exemption
from Section 16(b) of the Exchange Act available pursuant to Rule 16b-3.

         6.       SHARES AUTHORIZED.

                  (a) Subject to adjustment as provided below, the aggregate
number of Shares that may be issued pursuant to Options granted under this Plan
is 3,500,000. Such Shares may be authorized, but unissued Shares, or may be
Shares reacquired by the Company and held in treasury. If any Option granted
under this Plan terminates without being exercised in full, the number of Shares
as to which such Option was not exercised shall be available for future grants
within the limits set forth in this Section 6(a).

                  (b) Subject to any required action by the shareholders of the
Company in the event of any reorganization, recapitalization, share split, share
dividend, combination of shares, issuance of rights or any other change in the
capital or corporate structure of the Company, the number of Shares covered by
each outstanding Option and the number of Shares available for issuance under
this Plan, but as to which Options have not been granted or which have been
returned to the Plan upon cancellation or expiration of an Option, as well as
the exercise price per Share under outstanding Options, shall be adjusted
equitably to reflect the occurrence of such event; provided, however, that no
adjustments shall be made except as shall be necessary to preserve, rather than
enlarge or reduce the value of awards under this Plan. Any such adjustment shall
be made by the Board.

         7.       EFFECT AND DISCONTINUANCE.

         Neither adoption of this Plan nor the grant of Options to a
Non-Employee Director hereunder shall confer upon any person any right to
continued status as a director of the Company or affect in any way the right of
the Company to terminate a director at any time. The Board may at any time
discontinue granting Options under this Plan.

         8.       EFFECTIVE DATE; TERMINATION AND AMENDMENT OF PLAN.

                  (a) The effective date of this Plan shall be the date of its
adoption by the Board of Directors and shareholders of the Company as indicated
on the cover page of this Plan. The final award under this Plan shall be made on
the date of the Annual Meeting in 2006, but the pertinent terms of this Plan
shall continue thereafter while previously awarded Options remain outstanding.

                  (b) The Board may terminate or amend this Plan as it shall
deem advisable or to conform to any change in any law or regulation applicable
thereto; provided, however, that the Board may not make any amendment that would
reduce any award previously made under this Plan.

         9.       GENERAL PROVISIONS.

                  (a) Nothing in this Plan is intended to be a substitute for,
or shall preclude or limit the establishment or continuation of, any other plan,
practice or arrangement for the payment of compensation or benefits to
Non-Employee Directors that the Company now has or may hereafter put into
effect.

                  (b) Options awarded hereunder and Shares underlying such
Options shall be held by the Non-Employee Director for such period of time
required so as to avoid liability under Section 16(b) of the Exchange Act.

                  (c) Headings are given to sections of this Plan solely as a
convenience to facilitate reference and are not intended to affect the meaning
of any provision hereof. The references herein to any statute, regulation or
other provision of law shall be construed to refer to any amendment or successor
to such provisions.

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