Document:

NEW YORK HEALTH CARE, INC.

                        WARRANT TO PURCHASE COMMON STOCK

THE WARRANTS REPRESENTED BY THIS CERTIFICATE AND THE SECURITIES ISSUABLE UPON
EXERCISE THEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED (THE "ACT"), AND MAY NOT BE OFFERED OR SOLD EXCEPT (I) PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE ACT, (II) TO THE EXTENT APPLICABLE,
PURSUANT TO RULE 144 UNDER SUCH ACT (OR ANY SIMILAR RULE UNDER SUCH ACT RELATING
TO THE DISPOSITION OF SECURITIES), OR (III) UPON THE DELIVERY BY THE HOLDER TO
THE COMPANY OF AN OPINION OF COUNSEL, REASONABLY SATISFACTORY TO COUNSEL FOR THE
COMPANY, STATING THAT AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT IS
AVAILABLE.

                            EXERCISABLE ON OR BEFORE
                   5:00 P.M., NEW YORK TIME, FEBRUARY 24, 2010

No. W-                                                          ______ Warrants

                           NEW YORK HEALTH CARE, INC.

                               REDEEMABLE WARRANT

      This warrant certificate (the "Warrant Certificate") certifies that [ ] or
registered assigns, is the registered holder of warrants to purchase, at any
time until 5:00 P.M. New York City time on February 24, 2010 (the "Expiration
Date"), up to [ ] fully-paid and non-assessable shares, subject to adjustment in
accordance with Article 6 hereof (the "Warrant Shares"), of the common stock,
par value per $.01 share (the "Common Shares"), of New York Health Care, Inc., a
New York corporation (the "Company"), subject to the terms and conditions set
forth herein. The warrants represented by this Warrant Certificate and any
warrants resulting from a transfer or subdivision of the warrants represented by
this Warrant Certificate shall sometimes hereinafter be referred to,
individually, as a "Warrant" and, collectively, as the "Warrants."

      1. Exercise of Warrants. Each Warrant is initially exercisable to purchase
one Warrant Share at an initial exercise price of $0.62 per Warrant Share,
subject to adjustment as set forth in Article 6 hereof, payable in cash or by
check to the order of the Company, or any combination of cash or check. Upon
surrender of this Warrant Certificate with the annexed Form of Election to
Purchase duly executed, together with payment of the Exercise Price (as
hereinafter defined) for the Warrant Shares purchased, at the Company's
principal offices (currently located at 1850 McDonald Avenue, Brooklyn, New York
11223) the registered holder hereof (the "Holder" or "Holders") shall be
entitled to receive a certificate or certificates for the Warrant Shares so
purchased. The purchase rights represented by this Warrant Certificate are
exercisable at the option of the Holder, in whole or in part (but not as to
fractional Common Shares).

      In lieu of the payment method set forth above, Holder may elect to
exchange all or part of this Warrant, without the payment by Holder of any
additional consideration, for a number of Warrant Shares determined in
accordance with the formula set forth below, by presentation and surrender
hereof to the Company at its principal office, with the annexed Form of Election
hereto duly executed in which event the Company shall issue to Holder a number
of Warrant Shares computed as follows:

                  X =      Y(A-B)
                              A

<PAGE>

Where

                  X = The number of Warrant Shares to be issued to Holder.

                  Y = The number of Warrant Shares as to which this
                      Warrant is being tendered (at the date of such
                      calculation).

                  A = The fair market value of a Warrant Share (at the date of
                      such calculation).

                  B = The Exercise Price (as adjusted to the date of such
                      calculation).

      For purposes hereof, the fair market value of the Warrant Shares shall
mean (i) if the Warrant Shares are traded on a securities exchange or on Nasdaq,
the average of the closing prices of the Warrant Shares on such exchange or
market over the 5 trading days ending immediately prior to the applicable date
of valuation; (ii) if the Warrant Shares are not traded on a securities exchange
or Nasdaq but are traded in the over-the-counter market, the average of the
closing bid prices over the 30 day period ending immediately prior to the
applicable date of valuation; and (iii) if neither (i) nor (ii) are applicable,
the price per share of the Warrant Shares as such price shall be determined in
good faith by the Board of Directors of the Company. In the case of the purchase
of less than all the Warrant Shares purchasable under this Warrant Certificate,
the Company shall cancel this Warrant Certificate upon its surrender and shall
execute and deliver a new Warrant Certificate of like tenor for the balance of
the Warrant Shares purchasable thereunder.

      2. Issuance of Certificates. Upon the exercise of the Warrants and
compliance by the holder thereof with all applicable securities laws and the
conditions specified in the legend on the top of the first page of this Warrant,
certificates for the Warrant Shares purchased pursuant to such exercise shall be
issued without charge to the Holder, including, without limitation, any tax
which may be payable in respect of such issuance, and such certificates shall
(subject to the provisions of Article 4 hereof) be issued in the name of, or in
such names as may be directed by, the Holder thereof; provided, however, that
the Company shall not be required to pay any tax which may be payable in respect
of any transfer involved in the issuance and delivery of any such certificates
in a name other than that of the Holder and the Company shall not be required to
issue or deliver such certificates unless or until the person or persons
requesting the issuance thereof shall have paid to the Company the amount of
such tax or shall have established to the satisfaction of the Company that such
tax has been paid.

            The Warrant Certificates and, upon exercise of the Warrants, the
certificates representing the Warrant Shares shall be executed on behalf of the
Company by the manual or facsimile signature of those officers required to sign
such certificates under applicable law.

            All Warrant Certificates shall bear and, upon exercise of the
Warrants, in part or in whole, certificates representing the Warrant Shares
shall bear a legend substantially similar to the following:

            "The securities represented by this certificate and/or the
            securities issuable upon exercise thereof have not been registered
            under the Securities Act of 1933, as amended ("Act"), and may not be
            offered or sold except (i) pursuant to an effective registration
            statement under the Act, (ii) to the extent applicable, pursuant to
            Rule 144 under the Act (or any similar rule under such Act relating
            to the disposition of securities), or (iii) upon the delivery by the
            holder to the Company of an opinion of counsel, reasonably
            satisfactory to counsel to the issuer, stating that an exemption
            from registration under such Act is available."

      3. Restriction on Transfer of Warrants. The Holder of this Warrant
Certificate, by its acceptance, covenants and agrees that the Warrants and the
Warrant Shares issuable upon exercise of the Warrants are being acquired as an
investment and not with a view to the distribution thereof and acknowledges that
any transfer of this Warrant or exercise thereof can only be made after the
Holder has executed such documents as demonstrates to the Company that such
assignment or exercise is being made in compliance with applicable securities
laws.

                                       2
<PAGE>

      4. Registration Rights.

            4.1 Definitions. For purposes of this Section 4:

                  (i) "Register," "registered," and "registration" refer to a
registration effected by preparing and filing a registration statement in
compliance with the Act and the declaration or ordering of effectiveness of such
registration statement.

                  (ii) "Registrable Securities" means all Warrant Shares of the
Company issued or issuable under this Agreement, excluding in all cases,
however, all such Common Stock and/or Warrant Shares sold pursuant to Rule 144
or to an effective registration statement or eligible to be sold pursuant to
Rule 144 within 90 days following the date of on which the determination as to
status as Registrable Securities is made.

                  (iii) "Holder" means any person owning of record Registrable
Securities that have not been sold to the public or any assignee of record of
such Registrable Securities to whom rights under this Section 4 have been
assigned in accordance with this Agreement.

            4.2 Shelf Registration.

                  (i) The Company will use its reasonable best efforts to file
with the SEC no later than 45 calendar days after the final closing date of the
Offering to which the issuance of these warrants relate (or, if there are
multiple closing dates, the termination date of such Offering) (subject to the
right to delay the filing as set forth below) (the "Required Filing Date"), a
registration statement with the SEC under the Act for the sale and distribution
of all of the Holders' Registrable Securities.

                  (ii) The Company will pay all expenses incurred in connection
with any registration, qualification and compliance requested hereunder
(excluding underwriters' or brokers' discounts and commissions and the fees and
disbursements of counsel for any Holder), including without limitation all
filing, registration and qualification, printers' and accounting fees and the
fees and disbursements of counsel for the Company.

                  (iii) The Company will use its commercially reasonable efforts
to cause the registration statement to be declared effective as promptly as
practicable following filing, but in no event later than 180 days after the
Termination Date of the Offering pursuant to which these Warrants are issued,
and to remain effective until the earliest of (A) the date on which all the
Registrable Securities have been resold, or (B) the date on which each Holder is
able to sell all of such Holder's Registrable Securities in a single three-month
period pursuant to Rule 144 without registration under the Act.

            4.3 Obligations of the Company. In order to effect the registration
of any Registrable Securities under Section 4.2 of this Agreement, the Company
will, as expeditiously as reasonably possible:

                  (i) Prepare and file with the SEC a registration statement
with respect to such Registrable Securities and use its reasonable efforts to
cause such registration statement to become effective, and deliver such
registration statement, at the time of such filing, to each Holder.

                  (ii) Prepare and file with the SEC such amendments and
supplements to such registration statement and the prospectus used in connection
with such registration statement as may be necessary to comply with the
provisions of the Act with respect to the disposition of all securities covered
by such registration statement.

                  (iii) Furnish to the Holders such number of copies of a
prospectus in conformity with the requirements of the Act, and such other
documents, as they may reasonably request in order to facilitate the disposition
of the Registrable Securities owned by them that are included in such
registration.

                  (iv) Use its reasonable efforts to register and qualify the
securities covered by such registration statement under such other securities or
"blue sky" laws of such jurisdictions as will be reasonably requested by the

                                       3
<PAGE>

Holders and as required by such laws, provided that the Company will not be
required in connection therewith or as a condition thereto to qualify to do
business or to file a general consent to service of process in any such states
or jurisdictions.

                  (v) Notify each Holder of Registrable Securities covered by
such registration statement at any time when a prospectus relating thereto is
required to be delivered under the Act of the happening of any event as a result
of which the prospectus included in such registration statement, as then in
effect, includes an untrue statement of a material fact or omits to state a
material fact required to be stated therein or necessary to make the statements
therein not misleading in the light of the circumstances then existing, and upon
such notice the Company shall use its reasonable best efforts to correct such
misstatement or omission promptly and to deliver to each Holder copies of such
corrected prospectus included in such registration statement from the date of
notice until the date of such correction. The period during which the Company is
required to keep any registration statement filed pursuant to Section 4.2(i)
effective shall be extended day-for-day for the amount of time required to amend
such registration statement and deliver such prospectus relating thereto.

            4.4 Furnish Information. It will be a condition precedent to the
obligations of the Company to take any action pursuant to Section 4.2 hereof
that each selling Holder will furnish to the Company such information regarding
itself, the Registrable Securities held by it, and the intended method of
disposition of such securities as the Company reasonably deems to be required to
effect the registration of such Holder's Registrable Securities.

            4.5 Indemnification. In the event any Registrable Securities are
included in a registration statement under Section 4.2 hereof:

                  (i) to the extent permitted by law, the Company will indemnify
and hold harmless each Holder, the partners, stockholders, officers and
directors of each Holder, and each person, if any, who controls such Holder
within the meaning of the Act or the Exchange Act against any losses, claims,
damages, or liabilities to which they may become jointly or severally liable
subject under the Act, the Exchange Act or other federal or state securities
law, insofar as such losses, claims, damages, or liabilities (or actions in
respect thereof) arise out of or are based upon any of the following statements,
omissions or violations (collectively, a "Violation"):

                        (A) any untrue statement of a material fact contained in
such registration statement, including any preliminary prospectus or final
prospectus contained therein or any amendments or supplements thereto; or

                        (B) the omission to state therein a material fact
required to be stated therein, or necessary to make the statements therein not
misleading;

and the Company will reimburse each such Holder, partner, stockholder, officer
or director, underwriter or controlling person for any legal or other expenses
reasonably incurred by them, in connection with investigating or defending any
such loss, claim, damage, liability or action; provided, however, that the
indemnity agreement contained in this Section 4(e)(i) will 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 Company, which consent will
not unreasonably be withheld, nor will the Company be liable in any such case
for any such loss, claim, damage, liability or action to the extent that it
arises out of or is based upon a Violation which occurs in reliance upon and in
conformity with written information furnished expressly for use in connection
with such registration by such Holder, partner, stockholder, officer, director,
underwriter or controlling person of such Holder.

                  (ii) To the extent permitted by law, each selling Holder will
indemnify and hold harmless the Company, each of its directors, each of its
officers who have signed the registration statement, each person, if any, who
controls the Company within the meaning of the Act or the Exchange Act, any
underwriter and any other Holder selling securities under such registration
statement or any of such other Holder's partners, directors or officers or
stockholders or any person who controls such Holder within the meaning of the
Act or the Exchange Act, against any losses, claims, damages or liabilities
(joint or several) to which the Company or any such director, officer,
controlling person, underwriter or other such Holder, partner or director,
officer , stockholder or controlling person of such other Holder may become
subject under the Act, the Exchange Act or other federal or state law, insofar
as such losses, claims, damages or liabilities (or actions in respect thereto)
arise out of or are based upon any Violation that arises as a result of written
information furnished by such Holder expressly for use in connection with such
registration; and each such Holder will reimburse any legal or other expenses

                                       4
<PAGE>

reasonably incurred, by the Company or any such director, officer, controlling
person, underwriter or other Holder, partner, officer, director, stockholder or
controlling person of such other Holder in connection with investigating or
defending any such loss, claim, damage, liability or action; provided, however,
that the indemnity agreement contained in this Section 4.5(ii) will 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 Holder, which consent
will not unreasonably be withheld; and provided further, that the total amounts
payable in indemnity by a Holder under this Section 4.5(ii) in respect of any
Violation will not exceed the gross proceeds received by such Holder upon the
sale of the Registrable Securities.

                  (iii) Promptly after receipt by an indemnified party under
this Section 4.5 of notice of the commencement of any action (including any
governmental action), such indemnified party will, if a claim in respect thereof
is to be made against any indemnifying party under this Section 4.5, deliver to
the indemnifying party a written notice of the commencement thereof and the
indemnifying party will have the right to participate in, and, to the extent the
indemnifying party so desires, jointly with any other indemnifying party
similarly noticed, to assume the defense thereof with counsel mutually
satisfactory to the parties; provided, however, that an indemnified party will
have the right to retain its own counsel (limited to one such counsel for all
indemnified parties), with the fees and expenses to be paid by the indemnifying
party, if, in the written opinion of counsel to the indemnified party,
representation of such indemnified party by the counsel retained by the
indemnifying party would be inappropriate due to actual differing interests
between such indemnified party and any other party represented by such counsel
in such proceeding. The failure to deliver written notice to the indemnifying
party within a reasonable time of the commencement of any such action, will
relieve such indemnifying party of liability to the extent that such
indemnifying party is materially prejudiced with respect to a specific claim.

                  (iv) The foregoing indemnity agreement with respect to any
prospectus shall not inure to the benefit of any Holder or underwriter, or any
person controlling such Holder or underwriter, from whom the person asserting
any losses, claims, damages or liabilities purchased Registrable Securities, if
a copy of the prospectus (as then amended or supplemented if the Company shall
have furnished any amendments or supplements thereto) provided by the Company
was not sent or given by or on behalf of such Holder or underwriter to such
person, if required by law so to have been delivered, at or prior to the written
confirmation of the sale of the Registrable Securities to such person, and if
the prospectus (as so amended or supplemented) would have cured the defect
giving rise to such loss, claim, damage or liability.

                  (v) If the indemnification provided for in Sections 4.5(i) or
4.5(ii) hereof shall be unavailable to hold harmless an indemnified party in
respect of any liability under the Act, then, and in each such case, the
indemnifying party, in lieu of indemnifying such indemnified party hereunder,
shall contribute to the amount paid or payable by such indemnified party as a
result of such loss, liability, claim, damage or expense in such proportion as
is appropriate to reflect the relative fault of the indemnifying party on the
one hand and of the indemnified party on the other in connection with the
statement or omissions that resulted in such loss, liability, claim, damage or
expense as well as any other relevant equitable consideration. The relative
fault of the indemnifying party and of the indemnified party shall be determined
by reference to, among other things, whether the untrue statement of a material
fact or the omission to state a material fact relates to information supplied by
the indemnifying party or by the indemnified party and the parties' relative
intent, knowledge, access to information and opportunity to correct or prevent
such statement or omission; provided that in no event shall any contribution
under this subsection (v) by an Holder exceed the gross proceeds from the
offering received by such indemnifying party. No person or entity guilty of
fraudulent misrepresentation (within the meaning of Section 11(f) of the Act)
will be entitled to contribution from any person or entity who or that was not
guilty of such fraudulent misrepresentation.

                  (vi) The obligations of the Company and Holder under this
Section 4.5 will survive the completion of any offering of Registrable
Securities pursuant to a registration statement, and otherwise.

            4.6 Holder Information. Each Holder covenants that it will promptly
notify the Company of any changes in the information set forth in the
registration statement regarding such Holder or such Holder's "Plan of
Distribution."

      5. Price.

                                       5
<PAGE>

            5.1 Initial and Adjusted Exercise Price. The initial exercise price
of each Warrant shall be $0.62 per Warrant Share. The adjusted exercise price
shall be the price which shall result from time to time from any and all
adjustments of the initial exercise price in accordance with the provisions of
Article 6 hereof.

            5.2 Exercise Price. The term "Exercise Price" herein shall mean the
initial exercise price or the adjusted exercise price, depending upon the
context.

      6. Adjustments of Exercise Price, Redemption Target Price and Number of
Warrant Shares.

            6.1 Dividends and Distributions. In case the Company shall at any
time after the date hereof pay a dividend in Common Shares or make a
distribution in Common Shares, then upon such dividend or distribution, the
Exercise Price and the Redemption Target Price (as hereinafter defined)in effect
immediately prior to such dividend or distribution shall be reduced to a price
determined by dividing an amount equal to the total number of Common Shares
outstanding immediately prior to such dividend or distribution multiplied by the
Exercise Price or the Redemption Target Price, as the case may be, in effect
immediately prior to such dividend or distribution, by the total number of
Common Shares outstanding immediately after such issuance or sale. For purposes
of any computation to be made in accordance with the provisions of this Section
6.1, the Common Shares issuable by way of dividend or distribution shall be
deemed to have been issued immediately after the opening of business on the date
following the date fixed for determination of stockholders entitled to receive
such dividend or distribution.

            6.2 Subdivision and Combination. In case the Company shall at any
time subdivide or combine the outstanding Common Shares, the Exercise Price and
the Redemption Target Price shall forthwith be proportionately decreased in the
case of subdivision or increased in the case of combination.

            6.3 Adjustment in Number of Warrant Shares. Upon each adjustment of
the Exercise Price pursuant to the provisions of this Article 6, the number of
Warrant Shares issuable upon the exercise of each Warrant shall be adjusted to
the next highest full Common Share by multiplying a number equal to the Exercise
Price in effect immediately prior to such adjustment by the number of Warrant
Shares issuable upon exercise of the Warrants immediately prior to such
adjustment and dividing the product so obtained by the adjusted Exercise Price.

            6.4 Reclassification, Consolidation, Merger, etc. In case of any
reclassification or change of the outstanding Common Shares (other than a change
in nominal value to no nominal value, or from no nominal value to nominal value,
or as a result of a subdivision or combination), or in the case of any
consolidation of the Company with, or merger of the Company into, another
corporation (other than a consolidation or merger in which the Company is the
surviving corporation and which does not result in any reclassification or
change of the outstanding Common Shares, except a change as a result of a
subdivision or combination of such shares or a change in nominal value, as
aforesaid), or in the case of a sale or conveyance to another corporation of the
property of the Company as an entirety, the Holder shall thereafter have the
right to purchase the kind and number of shares of stock and other securities
and property receivable upon such reclassification, change, consolidation,
merger, sale or conveyance as if the Holder were the owner of the Warrant Shares
issuable upon exercise of the Warrants immediately prior to any such events at a
price equal to the product of (i) the number of Warrant Shares issuable upon
exercise of the Warrants and (ii) the Exercise Price in effect immediately prior
to the record date for such reclassification, change, consolidation, merger,
sale or conveyance as if such Holder had exercised the Warrants.

            6.5 Determination of Outstanding Shares. The number of Common Shares
at any one time outstanding shall include the aggregate number of shares issued
or issuable upon the exercise of outstanding options, rights and warrants and
upon the conversion or exchange of outstanding convertible or exchangeable
securities.

      7. Exchange and Replacement of Warrant Certificates. This Warrant
Certificate is exchangeable without expense, upon the surrender hereof by the
registered Holder at the principal executive office of the Company, for a new
Warrant Certificate of like tenor and date representing in the aggregate the
right to purchase the same number of Warrant Shares in such denominations as
shall be designated by the Holder thereof at the time of such surrender.

                                       6
<PAGE>

            Upon receipt by the Company of evidence reasonably satisfactory to
it of the loss, theft, destruction or mutilation of this Warrant Certificate,
and, in case of loss, theft or destruction, of indemnity or security reasonably
satisfactory to it, and reimbursement to the Company of all reasonable expenses
incidental thereto, and upon surrender and cancellation of this Warrant
Certificate, if mutilated, the Company will make and deliver a new Warrant
Certificate of like tenor, in lieu thereof.

      8. Elimination of Fractional Interests. The Company shall not be required
to issue certificates representing fractions of Common Shares and shall not be
required to issue scrip or pay cash in lieu of fractional interests, it being
the intent of the parties that all fractional interests shall be eliminated by
rounding any fraction up to the nearest whole number of Common Shares.

      9. Reservation of Shares. The Company covenants and agrees that it will at
all times reserve and keep available out of its authorized share capital, solely
for the purpose of issuance upon the exercise of the Warrants, such number of
Common Shares as shall be equal to the number of Warrant Shares issuable upon
the exercise of the Warrants, for issuance upon such exercise, and that, upon
exercise of the Warrants and payment of the Exercise Price therefor, all Warrant
Shares issuable upon such exercise shall be duly and validly issued, fully paid,
nonassessable and not subject to the preemptive rights of any shareholder.

      10. Notices to Warrant Holders. Nothing contained in this Agreement shall
be construed as conferring upon the Holder or Holders the right to vote or to
consent or to receive notice as a stockholder in respect of any meetings of
stockholders for the election of directors or any other matter, or as having any
rights whatsoever as a stockholder of the Company. If, however, at any time
prior to the expiration of the Warrants and their exercise, any of the following
events shall occur:

            10.1 the Company shall take a record of the holders of its Common
Shares for the purpose of entitling them to receive a dividend or distribution
payable otherwise than in cash, or a cash dividend or distribution payable
otherwise than out of current or retained earnings, as indicated by the
accounting treatment of such dividend or distribution on the books of the
Company; or

            10.2 the Company shall offer to all the holders of its Common Shares
any additional Common Shares or other shares of capital stock of the Company or
securities convertible into or exchangeable for Common Shares or other shares of
capital stock of the Company, or any option, right or warrant to subscribe
therefor;

            10.3 a dissolution, liquidation or winding up of the Company (other
than in connection with a consolidation or merger) or a sale of all or
substantially all of its property, assets and business as an entirety shall be
proposed; or

            10.4 the Company or an affiliate of the Company shall propose to
issue any rights to subscribe for Common Shares or any other securities of the
Company or of such affiliate to all the stockholders of the Company;

then, in any one or more of said events, the Company shall give written notice
of such event at least twenty (20) days prior to the date fixed as a record date
or the date of closing the transfer books for the determination of the
stockholders entitled to such dividend, distribution, convertible or
exchangeable securities or subscription rights, options or warrants, or entitled
to vote on such proposed dissolution, liquidation, winding up or sale. Such
notice shall specify such record date or the date of closing the transfer books,
as the case may be. Failure to give such notice or any defect therein shall not
affect the validity of any action taken in connection with the declaration or
payment of any such dividend or distribution, or the issuance of any convertible
or exchangeable securities or subscription rights, options or warrants, or any
proposed dissolution, liquidation, winding up or sale.

      11. Redemption of Warrants. The Warrants are redeemable by the Company, in
whole or in part, on not less than thirty (30) days' prior written notice (the
"Notice Period") at a price of $.01 per Warrant at any time; provided that (i)
the average closing sale price (or the average of the closing bid and asked
prices for any trading day on which no sales occur) of the Common Stock for any
period of ten (10) consecutive trading days ending within 30 days prior to the
day on which the Company gives notice of redemption (the "Call Date") is greater
than $2.00 per share (subject to adjustment as provided in Article 6 hereof)(the

                                       7
<PAGE>

"Redemption Target Price") and (ii) the Warrant Shares are publicly tradable
during the entire Notice Period, pursuant to a registration statement filed with
and declared and remaining effective by, the Securities and Exchange Commission
under the Act. Holders of the Warrants will have exercise rights until the close
of business on the date fixed for redemption.

      12. Notices. All notices, requests, consents and other communications
hereunder shall be in writing and shall be deemed to have been duly made when
personally delivered, delivered by courier or sent by registered or certified
mail (return receipt requested, postage prepaid), facsimile transmission or
overnight courier:

            12.1 If to a registered Holder of the Warrants, to the address of
such Holder as shown on the Warrant register of the Company; or

            12.2 If to the Company, to the address set forth in Article 1 of
this Agreement or to such other address as the Company may designate by notice
to the Holders.

      13. Successors. All the covenants and provisions of this Agreement by or
for the benefit of the Company and the Holders inure to the benefit of their
respective successors and assigns hereunder.

      14. Governing Law.

            14.1 Choice of Law. This Warrant Certificate shall be deemed to have
been made and delivered in the State of New York and shall be governed as to
validity, interpretation, construction, effect and in all other respects by the
substantive laws of the State of New York, without giving effect to the choice
of laws rules thereof.

            14.2 Jurisdiction and Service of Process. The Company and the Holder
each (a) agrees that any legal suit, action or proceeding arising out of or
relating to this Warrant Certificate, or any other agreement entered into
between the Company and the Holder pursuant to the Private Placement shall be
instituted exclusively in the New York State Supreme Court, County of New York
or in the United States District Court for the Southern District of New York,
(b) waives any objection which the Company or such Holder may have now or
hereafter based upon forum non conveniens or to the venue of any such suit,
action or proceeding, and (c) irrevocably consents to the jurisdiction of the
New York State Supreme Court, County of New York and the United States District
Court for the Southern District of New York in any such suit, action or
proceeding. The Company and the Holder each further agrees (a) to accept and
acknowledge service of any and all process which may be served in any such suit,
action or proceeding in the New York State Supreme Court, County of New York or
in the United States District Court for the Southern District of New York and
(b) that service of process upon the Company mailed by certified mail to it at
its address, or to the Holder at its address, shall be deemed in every respect
effective service of process upon the Company or the Holder, as the case may be,
in any suit, action or proceeding. FURTHER, BOTH THE COMPANY AND THE HOLDER
HEREBY WAIVE TRIAL BY JURY IN ANY ACTION TO ENFORCE THE TERMS OF THIS WARRANT
CERTIFICATE AND IN CONNECTION WITH ANY DEFENSE, COUNTERCLAIM OR CROSSCLAIM
ASSERTED IN ANY SUCH ACTION.

                                       8
<PAGE>

      IN WITNESS WHEREOF, the Company has caused this Warrant Certificate to be
duly executed, as of this _____ day of ____________ 2005.

                                      NEW YORK HEALTH CARE, INC.

                                      By:
                                         --------------------------------------
                                      Name:
                                           ------------------------------------
                                      Title:
                                            -----------------------------------

                                       9
<PAGE>

                         [FORM OF ELECTION TO PURCHASE]

      The undersigned hereby irrevocably elects to exercise the right,
represented by this Warrant Certificate, to purchase ________ Warrant Shares and
herewith tenders in payment for such Warrant Shares cash or a check payable to
the order of ____________________________ in the amount of $____________, all in
accordance with the terms hereof.

      Elects the Net Issue Exercise option pursuant to Section ____ of the
Warrant, an accordingly requests delivery of a net of ____________ of such
securities, according to the following calculation:

         X = Y (A-B)                (      ) - (      ) [(      ) - (      )]
             -------                           ------------------------------
                 A                                (      )
                                                   ------

         Where X = the number of Warrant Shares to be issued to Holder.

         Y = ________, the number of Warrant Shares as to which the Warrant
             is being tendered (as adjusted to the date of such calculation).
         A = the fair market value of one Warrant Share.
         B = Exercise Price (as adjusted to the date of such calculation).

The undersigned requests that a certificate for such Warrant Shares be
registered in the name of ________________, whose address is
_______________________________________________________________________, and
that such certificate be delivered to ______________________, whose address is
_______________________________ __________________________. Unless noted to the
contrary below, the undersigned hereby represents to the Company that the
undersigned is an "accredited investor" within the meaning of Regulation D of
the Securities Act of 1933.

Dated:
      ------------------------

                                  Signature:
                                            ----------------------------------

                                  (Signature must conform in
                                  all respects to name of
                                  Holder as specified on the
                                  face of the Warrant
                                  Certificate).

                                  -------------------------------------------

                                  -------------------------------------------
                                  (Insert Social Security or Other Identifying
                                  Number of Holder)

                                  -------------------------------------------

                                  -------------------------------------------
                                  (Insert Address of Holder)

<PAGE>

[FORM OF ASSIGNMENT]

      (To be executed by the registered holder if such holder desires to
transfer the Warrant Certificate.)

      FOR VALUE RECEIVED _______________________________ hereby sells, assigns
and transfers unto
___________________________________________________________________________
(Please print name and address of transferee) this Warrant Certificate, together
with all right, title and interest therein, and does hereby irrevocably
constitute and appoint _________________________________, Attorney, to transfer
the within Warrant Certificate on the books of the within-named Company, with
full power of substitution.

Dated:                                        Signature:
      ------------------------------------

                                              ---------------------------------
                                              (Signature must conform in all
                                              respects to name of holder as
                                              specified on the fact of the
                                              Warrant Certificate)

--------------------------------------------

--------------------------------------------
(Insert Social Security or Other Identifying
Number of Assignee)SUMMARY SHEET OF DIRECTORS FEES AND EXECUTIVE OFFICER COMPENSATION

I. Director Compensation.

Directors who are employees of the Company do not receive any additional
compensation for their services as directors. Each non-employee director of the
Company is paid a fee of $2,000 per month, plus $1,000 for each Board meeting
attended and $500 for attendance at each meeting of a committee of the Board of
Directors of which such director is a member. The Company also reimburses each
director for all expenses of attending such meetings. The Company also issues
common stock purchase options or warrants to non-employee directors from time to
time in recognition of their services. No additional compensation of any nature
is paid to employee directors.

II. Executive Compensation.

      Base Salary

Dennis O'Donnell, the Company's Chief Executive Officer and Secretary, is
currently the Company's only executive officer. Effective February 24, 2005, Mr.
O'Donnell's annual compensation was raised $25,000 to $225,000 per annum.

      Participation in Stock Option Plan and Other Arrangements

On May 6, 2005 the Board of Directors of the Company approved the payment of a
bonus (the "Bonus") to Mr. O'Donnell, pursuant to the terms of his employment
agreement with the Company and in consideration of his performance on behalf of
the Company. The Bonus consists of a cash payment to Mr. O'Donnell of $90,000
and the issuance to Mr. O'Donnell of options to purchase 100,000 shares of the
Company's common stock at $0.80 per share. The options vested in full on the
date of grant and expire on May 6, 2015.

Mr. O'Donnell is also eligible to participate in the Company's Performance
Incentive Plan and its 401(k) Plan.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00085-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00085-of-00352.parquet"}]]