Document:

EXHIBIT 10.16

                  DEBENTURE AMENDMENT AND SETTLEMENT AGREEMENT

DATED the 17th day of November, 1999 to be effective the 1st day of
November, 1999.

BETWEEN:

                             JAWS TECHNOLOGIES, INC.
             A corporation incorporated in the State of Nevada, USA
                                    ("JAWS")

                                    - and -

                          THOMSON KERNAGHAN & CO. LTD.
          A corporation incorporated in the Province of Ontario, Canada
                                     ("TK")

BACKGROUND:

(1)    JAWS and TK entered into a debenture  acquisition  agreement on September
       25, 1998 and amended the  agreement  on April 27, 1999,  (the  "Debenture
       Agreement");

(2)    Pursuant to the terms of the  Debenture  Agreement,  TK has  advanced and
       JAWS has issued debentures as set out in Schedule "A" attached hereto and
       JAWS has granted warrants to TK as set out in Schedule "B" hereto; and

(3)    JAWS and TK wish to  enter  into  this  agreement  in order to amend  the
       Debenture  Agreement  as  required,  clarify the number of Warrants to be
       exercised  and settle all  outstanding  obligations  under the  Debenture
       Agreement in accordance with the terms set out herein below.

NOW THEREFORE,  in consideration of the foregoing facts and the mutual covenants
and agreements contained herein, the parties hereby agree as follows:

(1)   Conversion of Debentures

       The debentures (the "Debentures"), issued in accordance with the terms of
       the  Debenture  Agreement,  shall be  converted  in  accordance  with the
       calculations set out in Schedule "A" and JAWS will issue 5,127,672 shares
       of the common stock of JAWS (the  "Debenture  Conversion  Shares")  using
       available  exemptions  pursuant  to the  Securities  Act of 1933,  or the
       Securities Exchange Act of 1934;

                                                                               1

<PAGE>

(2)    Exercise of $0.28 Warrants

       TK shall  exercise  warrants to purchase  1,428,572  shares in the common
       stock of JAWS at an exercise  price of $0.28,  pursuant to the  Debenture
       Agreement (the "$0.28 Shares") and shall  immediately  upon the execution
       of this Agreement forward Four Hundred Thousand ($400,000 USD) to JAWS.

(3)    Exercise of $0.65 Warrants

       TK shall exercise warrants to purchase 923,077 shares in the common stock
       of JAWS at an exercise price of $0.65 (the "$0.65  Shares"),  pursuant to
       the Debenture Agreement.  The warrants shall be exercisable in accordance
       with the following  terms and the warrant  agreement  shall be amended as
       follows by inserting the following  provision  after paragraph (j) in the
       warrant agreement:

         (k) Relinquishment Of Warrants.

             (a) TK shall have right of relinquishment  as hereinafter  provided
             by this Section (k):

                  (i) TK, its heirs or other legal representatives to the extent
                  entitled to exercise the Warrant under the terms  thereof,  in
                  lieu of  purchasing  the  entire  number of shares  subject to
                  purchase thereunder, shall have the right to relinquish all of
                  the then  unexercised  portion of the  Warrant  (to the extent
                  then exercisable) in exchange for 751,648 shares of the common
                  stock of JAWS (the "$0.65 Shares"); and

                  (ii) such right of  relinquishment  may be exercised only upon
                  receipt  by JAWS of a written  notice  of such  relinquishment
                  which  shall  be  dated  the  date of  election  to make  such
                  relinquishment;  and that, for the purposes of this Agreement,
                  such date of election shall be deemed to be November 1, 1999.

(4)    Termination Of All Other Debenture Agreement Terms and Conditions

       All other terms, conditions, representations, and warranties as contained
       in the Debenture Agreement,  or any other document related thereto, shall
       be  terminated  on the date of the issuance of the  Debenture  Conversion
       Shares, the $0.28 Shares and the $0.65 Shares.

                                                                               2

<PAGE>

(5)    Mutual Release

       JAWS and TK agree to execute a mutual  release  relating to the Debenture
       Agreement,  and the  settlement  thereof  including a  settlement  of all
       penalty provisions,  on the date of issuance of the Debenture  Conversion
       Shares, the $0.28 Shares and the $0.65 Shares.

(6)    Further Assurances

       Each of the parties  hereto  shall from time to time  execute and deliver
       all such further  documents and instruments and do all acts and things as
       any of the other parties may reasonably  require to effectively carry out
       or better  evidence  or  perfect  the full  intent  and  meaning  of this
       Agreement.

(7)    Time of the Essence

       Time shall be of the essence of this Agreement.

(8)    Entire Agreement

       This Agreement shall constitute the entire agreement  between the parties
       hereto  with  respect  to the  subject  matter  hereof  and  cancels  and
       supersedes any prior  understandings  and agreements  between the parties
       hereto with respect thereto.  There are no  representations,  warranties,
       terms,  conditions,   undertakings  or  collateral  agreements,  express,
       implied or  statutory,  between the parties  with  respect to the subject
       matter hereof other than as expressly set forth in this Agreement.

(9)    Amendments and Waiver

       No  modification  of or  amendment  to this  Agreement  shall be valid or
       binding  unless  set forth in  writing  and duly  executed  by all of the
       parties  hereto whose  rights are affected by amendment  and no waiver of
       any breach of any term or provision of this Agreement  shall be effective
       or binding  unless made in writing and signed by the party  purporting to
       give the same and,  unless  otherwise  provided,  shall be limited to the
       specific breach waived.

(10)   Assignment

       This  Agreement  may not be  assigned  by any party  hereto  without  the
       written consent of the other parties hereto.

                                                                               3

<PAGE>

(11)   Notice

       Any  demand,   notice,   statutory   declaration,   direction   or  other
       communication  to be given in  connection  with this  Agreement  shall be
       given in writing simultaneously to all of the parties hereto and shall be
       given by personal delivery,  registered mail, or by telecopier  addressed
       to the recipients as follows:

       (a)   In the case of Jaws:

             Jaws Technologies, Inc.
             1013 17th Avenue S.W.
             Calgary, Alberta
             T2T 0A7
             Telecopier: (403) 508-5058

       (b)   In the case of Thomson Kernaghan:

             Thomson Kernaghan & Co. Limited
             365 Bay Street
             Toronto, Ontario
             M5H 2V2
             Telecopier: (416)367-8055

or to other such address,  individual, or electronic communication number as may
be  designated  by notice  given by any part to the other  parties.  Any demand,
notice or other  communication  given by personal delivery shall be conclusively
deemed to have been given on the day of actual delivery thereof and, if given by
registered  mail, on the third business day following the deposit thereof in the
mail  and,  if  given by  electronic  communication,  on the day of  transmittal
thereof if given during the normal  business  hours of the  recipient and on the
business  day during  which such normal  business  hours next occur if not given
during  such hours on any day. If the party  giving any demand,  notice or other
communication  knows or ought  reasonably to know of any  difficulties  with the
postal system which might affect the delivery of mail,  any such demand,  notice
or other  communication  shall  not be  mailed  but  shall be given by  personal
delivery or by electronic communication.

(12)   Governing Law

       This Agreement  shall be governed by and construed in accordance with the
       laws of the  Province  of  Alberta  and the  laws  of  Canada  applicable
       therein.

                                                                               4

<PAGE>

       IN WITNESS  WHEREOF,  the parties have executed this  Agreement as of the
dated effective the day first above written.

JAWS TECHNOLOGIES, INC.                   THOMSON KERNAGHAN & CO. LTD.

Per: _______________________              Per: __________________________
      Robert Kubbernus, CEO

Per: ________________________             Per: __________________________
      Riaz Mamdani, CFO

<PAGE>

                                 MUTUAL RELEASE
                                 --------------

           KNOW ALL MEN BY THESE PRESENTS THAT:

           Thomson Kernaghan & Co. Ltd. their directors, officers and employees,
agents,  successors  and  assigns  (all  of whom  are  hereinafter  referred  to
collectively as the "TK Releasors"),  of the City of Toronto, in the Province of
Ontario,  in consideration of the fufillment of all the settlement terms, as set
out in  the  Debenture  Amendment  and  Settlement  Agreement,  dated  effective
November 1, 1999,  and all  consideration  relating  thereto  being  given,  the
receipt  and  sufficiency  of which is hereby  acknowledged,  do hereby  remise,
release and forever discharge Jaws Technologies, Inc., their directors, officers
and employees,  agents, successors and assigns of and from any and all manner of
action and actions,  cause and causes of action,  suits,  debts,  sums of money,
indemnities,  expenses,  general damages,  special damages,  interest, costs and
claims of any and every kind and  nature  whatsoever,  at law or in  equity,  or
under any statute,  which the TK Releasors  ever had or now have by reason of or
existing  out of any cause of action  arising out of the  debenture  acquisition
agreement  between JAWS  Technologies,  Inc.  and Thomson  Kernaghan & Co. Ltd.,
dated September 25, 1998, as amended on April 27, 1999.

           JAWS  Technologies  Inc.,  their  directors,  officers and employees,
agents,  successors  and  assigns  (all  of whom  are  hereinafter  referred  to
collectively as the "JAWS Releasors"),  of the City of Calgary,  in the Province
of Alberta,  in consideration  of the sum of One Dollar ($1.00),  and other good
and  valuable  consideration,  the  receipt and  sufficiency  of which is hereby
acknowledged,  do hereby remise, release and forever discharge Thomson Kernaghan
& Co. Ltd.  their  directors,  officers and  employees,  agents,  successors and
assigns of and from any and all manner of action and  actions,  cause and causes
of action, suits, debts, sums of money, indemnities,  expenses, general damages,
special  damages,  interest,  costs and  claims of any and every kind and nature
whatsoever,  at law or in equity, or under any statute, which the JAWS Releasors
ever had or now have by reason of or existing out of any cause of action  action
arising out of the debenture  acquisition  agreement between JAWS  Technologies,
Inc. and Thomson  Kernaghan & Co. Ltd.,  dated September 25, 1998, as amended on
April 27, 1999.

           This Mutual  Release shall be governed by and construed in accordance
with the laws of the Province of Alberta, Canada.

           DATED this _______ day of ____________________, 1999.

JAWS TECHNOLOGIES, INC.                   THOMSON KERNAGHAN & CO. LTD.

Per: ______________________________       Per: ________________________
        Robert Kubbernus, CEO

Per: ______________________________
        Riaz Mamdani, CFO

<PAGE>

<TABLE>
<CAPTION>

Todays Date
  01-Nov-99
                  Initial            10%             90 day              0.986%             0.1644%            Total
      Date        Advance          Annual         Penalty free       30 day penalty      90 day penalty      Penalties
<S>         <C>                 <C>                  <C>             <C>                 <C>               <C>

25-Sep-98   $     200,000.00    $   3,611.00         24-Dec-98       $          -        $          -      $        -
10-Nov-98   $      10,000.00    $      55.55         08-Feb-99       $          -        $          -      $        -
10-Nov-98   $     110,000.00    $  10,729.00         08-Feb-99       $     1,084.60      $    42,678.24    $  43,762.84
12-Dec-98   $     100,000.00    $   8,876.71         12-Mar-99       $       986.00      $    33,537.60    $  34,523.60
26-Jan-99   $     250,000.00    $  19,109.59         26-Apr-99       $     2,465.00      $    65,349.00    $  67,814.00
26-Jan-99   $     250,000.00    $  19,109.59         26-Apr-99       $     2,465.00      $    65,349.00    $  67,814.00
16-Apr-99   $     600,000.00    $  32,712.33         15-Jul-99       $     5,916.00      $    77,925.60    $  83,841.60

            $   1,520,000.00    $  94,203.77                         $    12,916.60      $   284,839.44    $ 297,756.04
</TABLE>
<TABLE>
<CAPTION>

                                                            $3.50
                    Penalties        Total Interest       Interest &                                      Total
                    Forgiven           & Penalties      Penalty shares    Conversion      Shares          Shares
<S>              <C>                 <C>                     <C>         <C>           <C>            <C>

25-Sep-98        $          -        $       3,611.00         1,032.00        0.1118   1,788,908.00   1,789,940.00
10-Nov-98        $          -        $          55.55            16.00        0.1118      89,445.00      89,461.00
10-Nov-98        $   (43,762.84)     $      10,729.00         3,065.00          0.28     392,857.00     395,922.00
12-Dec-98        $   (34,523.60)     $       8,876.71         2,536.00          0.28     357,143.00     359,679.00
26-Jan-99        $   (67,814.00)     $      19,109.59         5,460.00          0.28     892,857.00     898,317.00
26-Jan-99        $   (13,562.80)     $      73,360.79        20,960.00           0.4     625,000.00     645,960.00
16-Apr-99        $   (27,947.20)     $      88,606.73        25,316.00          0.65     923,077.00     948,393.00

                 $  (187,610.44)     $     204,349.37        58,385.00                 5,069,287.00   5,127,672.00

</TABLE>

                                                                               5

<PAGE>

                                  SCHEDULE "B"

------------------------ --------------------------- -------------------------
Value of Warrant         Exercise Price              No. of Shares Issuable
------------------------ --------------------------- -------------------------
$ 400,000                $0.28                       1,428,572
------------------------ --------------------------- -------------------------
$ 600,000                $0.65                       923,077
------------------------ --------------------------- -------------------------EXHIBIT 10.17

                     FORM OF EXECUTIVE EMPLOYMENT AGREEMENT
                     --------------------------------------

           THIS  EMPLOYMENT  AGREEMENT  is made and entered  into  between  Jaws
Technologies,   Inc.  (hereinafter   EMPLOYER)  and  Vera  Gmitter  (hereinafter
EXECUTIVE).

A.         EMPLOYER  is  engaged  in the  development,  manufacture,  sales  and
           service of various products  including,  but not limited to: Security
           Software and hardware products and Security Consulting.

B.         EXECUTIVE desires to be or to continue to be employed by EMPLOYER and
           acknowledges   that  in  the  course  of  performing  the  duties  of
           employment, EXECUTIVE will come into contact with, learn, acquire and
           possibly  develop  technological  information  (e.g.  patentable  and
           non-patentable  discoveries  including  software and  software  codes
           which may or may not be copyrightable), product information, business
           information  (e.g.,   pricing,   customers,   employees,   suppliers,
           financial  information),  and any other  information  that a business
           similar  to  EMPLOYER  would  treat as  confidential,  and any  other
           information   EMPLOYER   informs   EXECUTIVE   shall  be  treated  as
           confidential, all hereinafter referred to as PROPRIETARY INFORMATION.

C.         EMPLOYER and  EXECUTIVE  wish to define their  respective  rights and
           duties  with  regard  to   EXECUTIVE's   employment   and  EMPLOYER's
           PROPRIETARY   INFORMATION,   as  well  as   EXECUTIVE's   proprietary
           information.

           NOW  THEREFORE,  in  consideration  of the  above  recitals,  and the
following covenants and promises,  and EXECUTIVE's employment by EMPLOYER, it is
hereby agreed as follows:

                                    ARTICLE 1
                                     DUTIES
                                     ------

1.1   EMPLOYER  agrees to employ  EXECUTIVE  primarily  in the  capacity of Vice
President of Administration  for EMPLOYER.  As Vice President of Administration,
EXECUTIVE shall be primarily  responsible  for those duties  described in his or
her job  description  (as  amended  from  time to time) and as  assigned  by the
President.

1.2   EXECUTIVE   hereby   warrants  and  represents   that  EXECUTIVE  has  the
qualifications  and  experience  to duly  undertake  and perform the  employment
duties contemplated in this Agreement.

1.3   EXECUTIVE expressly  understands that EXECUTIVE may be required to perform
such other duties within the EXECUTIVE's capabilities, and to work in such other
capacities,  as EMPLOYER may deem necessary or advisable, and as may be assigned
to EXECUTIVE by EMPLOYER from time to time.

1.4   EXECUTIVE agrees to undertake and perform all such work as may be required
by the  position  assigned  to  EXECUTIVE  and  to  serve  EMPLOYER  faithfully,
diligently  and to the best of their ability.  EXECUTIVE  agrees that during the
term of this  Agreement they will devote their best efforts,  attention,  energy
and skill to the performance of their employment duties and

<PAGE>

                                      -2-

to  furthering  the  interests  of EMPLOYER.  President  shall be subject to the
oversight of, and shall report to the President of EMPLOYER.

1.5   EXECUTIVE shall  faithfully keep and observe all of the rules which may be
prescribed from time to time by the EMPLOYER,  and to comply with all applicable
laws, regulations, rules, codes, orders and standards imposed by the appropriate
federal,  provincial  or  local  government  authorities  with  respect  to  the
employment duties contemplated in this Agreement.

                                   ARTICLE 2
                               TERM OF EMPLOYMENT
                               ------------------

2.1   EXECUTIVE's  employment  under this  Agreement  shall commence on Feb 1st,
1998.

                                   ARTICLE 3
                               AREA OF EMPLOYMENT
                               ------------------

3.1  EXECUTIVE's  first assignment is expected to be in the Calgary  geographic
area.  However,  due to the nature of the work, EMPLOYER shall have the right to
change the area to which  EXECUTIVE is assigned  and the primary  work  location
(hereinafter referred to as the "Area of Employment") at any time, and from time
to time  during the term of this  Agreement,  by  providing  at least one months
notice to EXECUTIVE.

                                   ARTICLE 4
                            COMPENSATION AND BENEFITS
                            -------------------------

4.1   EMPLOYER shall pay EXECUTIVE a salary of $90,000.00  Dollars per year (the
"Annual  Salary").  This  salary  will be  paid  by  EMPLOYER  to  EXECUTIVE  in
semi-monthly  installment payments,  less all required withholding taxes and any
other  amounts  required  by law to be  deducted  or agreed by  EXECUTIVE  to be
withheld.

4.2   EMPLOYER may, at its option, pay for a policy of key man life insurance on
the life of EXECUTIVE  designating EMPLOYER as beneficiary.  EXECUTIVE agrees to
fill out any forms and submit to a medical examination, if required. EMPLOYEE is
entitled to the Executive Benefits Program.

4.3   EXECUTIVE  shall  receive 20 days of  vacation  per year to increase to 25
days after the completion of 5 years employment.

4.4   EXECUTIVE has been granted parking privileges.

<PAGE>

                                      -3-

                                   ARTICLE 5
                                 STOCK OPTIONS
                                 -------------

5.1   Following satisfactory  completion of the probation period,  EXECUTIVE may
be granted stock options to purchase shares of common stock of EMPLOYER, to vest
one-third (1/3) on each anniversary  date of the Agreement,  subject to standard
anti-dilution  protections.  The stock  options  granted shall be subject to the
discretion  of the Board of  Directors  of  EMPLOYER.  The strike  price for the
options  shall be the bid price for the common stock of EMPLOYER on the date the
options are  granted,  and the options may be exercised at any time within three
(3) years of the date of vesting. If EXECUTIVE is terminated for any reason, any
unvested  options  shall  immediately  become  vested.  Stock  options  shall be
governed by the terms and conditions of the stock option  agreement,  as adopted
and  amended  by  EMPLOYER  from time to time.  The stock  option  agreement  is
incorporated  by  reference  herein.  However,  to the extent  that there is any
inconsistency  between this employment agreement and the stock option agreement,
the employment agreement prevails.

                                   ARTICLE 6
                                  TERMINATION
                                  -----------

6.1  EMPLOYER  may  terminate  this  Agreement  for just  cause at any time.  If
EMPLOYER  terminates  EXECUTIVE's  employment for just cause then EMPLOYER shall
not be required to continue the  compensation or benefits  provided in Article 4
beyond such termination date.

     As used herein, "just cause" includes any of the following occurrences:

     (a)  unexcused absences of EXECUTIVE; or

     (b)  willful violation by EXECUTIVE of any statute, regulation or ordinance
          of the  government  of Canada  or any  Provincial  or local  governing
          authority  in  Canada,  the  compliance  with which is  necessary  for
          operation of the business of EMPLOYER; or

     (c)  material violations or breach by EXECUTIVE of any of the provisions of
          this Agreement; or

     (d)  commission  by  EXECUTIVE  of  one  or  more  acts  of  misconduct  or
          disobedience  in  connection  with his duties which,  when  considered
          individually  or in  the  aggregate,  are  deemed  by  EMPLOYER  to be
          material; or

     (e)  failure to abide by the written rules and  regulations  of EMPLOYER or
          its  clients,  or failure to observe  general  rules of good  conduct,
          whether personal or in the line of duty; or

     (f)  consistent  failure of EXECUTIVE to perform his duties in a reasonably
          proficient manner; or

     (g)  EXECUTIVE being convicted of a criminal offence; or

<PAGE>

                                      -4-

     (h)  death or disability  which  prevents  EXECUTIVE  from  fulfilling  his
          duties; or

     (i)  any other act or omission by EXECUTIVE which constitutes just cause at
          common law.

6.2   EMPLOYER  may  terminate  this  Agreement  for any  reason,  by  providing
EXECUTIVE with one month's notice of termination for each full year of completed
service with EMPLOYER. Alternatively, at EMPLOYER's option, EMPLOYER may provide
the equivalent number of months of base salary in lieu of notice of termination.
All of EXECUTIVE's  compensation (including commissions and benefits) will cease
at the end of the notice period or EXECUTIVE's  effective  date of  termination,
whichever first occurs. However, when this Agreement is terminated without cause
following a change of control, the EXECUTIVE is entitled to the payment pursuant
to Article 8.2 (and Article 6.0 does not apply).

6.3   At EMPLOYER's  option, and following the provision of sufficient notice of
termination  pursuant to Article  6.2,  EMPLOYER  may relieve  EXECUTIVE  of his
duties  immediately  to  enable  EXECUTIVE  to  pursue  alternative   employment
opportunities. In that event, EXECUTIVE shall be under a duty to mitigate his or
her damages by diligently  searching for alternative  employment and will advise
the EMPLOYER as soon as alternative employment is obtained.  EXECUTIVE will only
receive salary and benefits until alternative employment is obtained.

6.4   EXECUTIVE may terminate this  Agreement by written  notice to EMPLOYER.  A
notice of  voluntary  termination  shall  specify a proposed  effective  date of
termination at least ten (10) days after the date received by EMPLOYER. EMPLOYER
may accept the proposed  termination  date or may establish  termination date by
providing  notice of such  earlier  date to  EXECUTIVE.  In the event  EXECUTIVE
voluntarily  terminates this  Agreement,  he will receive the  compensation  and
benefits due hereunder through the effective date of termination only.

                                   ARTICLE 7
                                OTHER ACTIVITIES
                                ----------------

7.1   EXECUTIVE shall devote  substantially  all of his working time and efforts
during the EMPLOYER's normal business hours (reasonable vacations and sick leave
excluded)  to the  business  and  affairs  of  EMPLOYER  and to the  duties  and
responsibilities  assigned to him  pursuant  to this  Agreement.  EXECUTIVE  may
devote a  reasonable  amount  of his time to  civic,  community,  or  charitable
activities, so long as this does not conflict with his duties to EMPLOYER.

<PAGE>

                                      -5-

7.2   EXECUTIVE shall not,  without first having obtained the written consent of
EMPLOYER,  perform any work or render any services to any third party or receive
any  compensation  of any kind from any third  party  with whom he may come into
contact in connection with his employment under this Agreement.

                                   ARTICLE 8
                               CHANGE OF CONTROL
                               -----------------

8.1   In this  Agreement,  the  following  words and phrases have the  following
meanings:

      "Monthly Salary" means the sum of:

      (a) the Annual Salary paid to EXECUTIVE for the calendar year  immediately
          preceding the date of a Change of Control, divided by twelve (12); and

      (b) if EXECUTIVE  has received or is entitled to receive any  remuneration
          pursuant  to  any  profit  sharing,  officer  or  employee  incentive,
          compensation  or bonus  program,  or  otherwise  from  EMPLOYER or any
          subsidiary  at any time  during the  twelve  (12)  completed  calendar
          months  immediately  preceding  the date of a Change of  Control,  the
          maximum aggregate amount that EXECUTIVE was entitled to receive or did
          receive in respect of any fiscal  year of EMPLOYER  that ended  during
          such twelve (12) month period;

      "Change of Control" shall mean either of:

      (a) any change in the holding,  direct or indirect,  of shares of EMPLOYER
          as a result  of which a  person,  or a group of  persons,  or  persons
          acting jointly or in concert, or persons associated or affiliated with
          any  such  person  or  group   within  the  meaning  of  the  Business
          Corporations  Act (Alberta),  are in a position to exercise  effective
          control of EMPLOYER.  For the purposes of this Agreement,  a person or
          group of persons  holding shares and/or other  securities in excess of
          the number that,  directly or indirectly  (assuming the  conversion of
          any convertible  securities and the exercise of any option, warrant or
          other right to acquire shares of EMPLOYER),  would entitle the holders
          thereof to cast more than 40% of the votes  attaching to all shares of
          EMPLOYER  that may be cast to elect  directors of  EMPLOYER,  shall be
          deemed to be in a position to exercise  effective control of EMPLOYER;
          or

      (b) Incumbent  Directors  ceasing to constitute a majority of the board of
          directors of EMPLOYER;

      "Change  of  Control  Resignation"  means  EXECUTIVE'S   resignation  from
      EMPLOYER within six (6) months of the date of a Change of Control;

      "Incumbent  Director"  means any member of the board of  directors  of the
      EMPLOYER who was a member of the board of  directors of EMPLOYER  prior to
      the occurrence of the transaction or transactions  giving rise to a Change
      of Control and any successor to an

<PAGE>

                                      -6-

      Incumbent  Director who was recommended or elected or appointed to succeed
      an  Incumbent  Director  by the  affirmative  vote  of a  majority  of the
      Incumbent Directors then on the board of directors of EMPLOYER;

      "Unexercised   Rights"  means   securities  held  by  EXECUTIVE  that  are
      convertible  into or exchangeable  for securities or shares of EMPLOYER or
      any  affiliate  thereof  or  holds  options,  rights,  warrants  or  other
      entitlements  for the purchase or acquisition of shares of EMPLOYER or any
      affiliate thereof that are not then exerciseable.

8.2   In the  event of a Change of  Control,  and in the  event  that  EXECUTIVE
resigns from EMPLOYER or is terminated  without cause,  within six (6) months of
the date of a Change of Control:

      (a) EMPLOYER  shall  pay to or to the  order  of  EXECUTIVE  in a lump sum
          payment equal to Eighteen (18) times EXECUTIVE'S Monthly Salary within
          ten (10)  days  after the  effective  date of the  Change  of  Control
          Resignation (less any deductions required by law); and

      (b) all Unexercised Rights held by EXECUTIVE shall be accelerated so that,
          notwithstanding any provisions of any resolution,  by-law,  agreement,
          contract or instrument  pertaining to or  evidencing  the  Unexercised
          Rights  to  the  contrary,   the   Unexercised   Rights  shall  become
          immediately  exerciseable and shall remain exercisable for a period of
          ninety  (90)  days  following  the  date  of  the  Change  of  Control
          Resignation,  and this Agreement  shall evidence any such agreement of
          EMPLOYER and EXECUTIVE to such  acceleration as may be required under,
          pursuant  to or in  connection  with  the  Unexercised  Rights  or any
          documents  or  instruments  creating  or  governing  such  Unexercised
          Rights;

      (c) EMPLOYER  will  continue  to  maintain  all  of  EXECUTIVE's  benefits
          (excluding  short and long-term  disability)  at the level existing at
          the date of the Change of Control Resignation, until the earlier of:

          (i)   the  obtaining  by  EXECUTIVE  of  alternative  employment  that
                provides employment benefits of a comparable nature;

          (ii)  the death of EXECUTIVE; or

          (iii) eighteen (18) months  following the effective date of the Change
                of Control Resignation; or

      at the option of EMPLOYER or EXECUTIVE,  EMPLOYER will pay to EXECUTIVE an
      amount  equal to the cost to EMPLOYER of providing  such  benefits for the
      applicable period.

8.3   Alternative  Employment.  The  benefits  payable to  EXECUTIVE  under this
Article 8 shall not be reduced in any respect in the event that EXECUTIVE  shall
secure, or shall not reasonably  pursue,  alternative  employment  following the
date of the Change of Control

<PAGE>

                                      -7-

Resignation,  except for those  benefits  conferred  under Article 8.2(c) above,
which shall be governed by the provisions of that paragraph.

                                   ARTICLE 9
                            CONFIDENTIAL INFORMATION
                            ------------------------

9.1  EMPLOYER  has  agreed  to  provide   EXECUTIVE  with  specialized   skills,
techniques,  information  and  background  relating to EMPLOYER's  business.  In
addition,  EXECUTIVE will acquire  information (the "Confidential  Information")
with  respect  to  certain  matters  related  to  EMPLOYER'S   business,   which
Confidential Information is and shall remain the exclusive property of EMPLOYER,
including, without being limited to, the following:

     (a)  trade secrets;

     (b)  the names, addresses,  telephone numbers and telefax(s) of the present
          and  prospective  clients of EMPLOYER and individual  contacts at such
          clients;

     (c)  information as to the requirements of EMPLOYER'S clients;

     (d)  pricing and sales information, policies and concepts;

     (e)  financial information;

     (f)  capital structure and shareholder information;

     (g)  business plans;

     (h) market strategies;

     (i) industry information; and

     (j) technical information.

9.2   EXECUTIVE acknowledges that the Confidential  Information could be used to
the  detriment  of  EMPLOYER  and  that  the  disclosure  of  such  Confidential
Information  could cause  irreparable harm to EMPLOYER.  Accordingly,  EXECUTIVE
undertakes  to treat  confidentially  all  Confidential  Information  and not to
disclose or provide such Confidential  Information to any third party, or to use
it for any purpose,  either during or after the  termination  of his  employment
with  EMPLOYER,  for any  reason,  except  as may be  necessary  for the  proper
discharge of EXECUTIVE's duties.

9.3   Records,  electronically  stored  information  and any other notes,  data,
tapes,  reference  items,  sketches,  drawing,  memoranda,   records  and  other
materials  in  anyway  related  to  any of the  Confidential  Information  or to
EMPLOYER's  business,  which is produced by EXECUTIVE or comes into  EXECUTIVE's
possession as a result of his employment  with EMPLOYER,  shall be the exclusive
property of  EMPLOYER.  EXECUTIVE  agrees to turn over to EMPLOYER all copies of
any such  materials  in his  possession  or under his control  forthwith  at the
request of

<PAGE>

                                      -8-

EMPLOYER or, in the absence of a request,  on the date that his employment  with
EMPLOYER ends, for any reason.

                                   ARTICLE 10
                      NON-SOLICITATION AND NON-COMPETITION
                      ------------------------------------

10.1  EXECUTIVE acknowledges and agrees that during employment he or she will be
encouraged to maintain a close working  relationship with EMPLOYER's clients and
will gain a knowledge of EMPLOYER's  clients which would injure EMPLOYER if made
available to a competitor or used for competitive purposes.

10.2  Accordingly, EXECUTIVE agrees that during employment with EMPLOYER and for
a period of 12 months  from the date that his or her  employment  with  EMPLOYER
ends,  regardless  of the reason it does so,  EXECUTIVE  will not,  directly  or
indirectly,  whether personally or as an EXECUTIVE,  principal,  partner, agent,
shareholder  or in any other  capacity  whatsoever,  of any other person,  firm,
corporation, association or other entity:

      (a) provide  services  similar to any of those provided by EMPLOYER to any
          person,  firm,  corporation,  association  or other  entity  for which
          services were  performed by EMPLOYER at or through the office at which
          EXECUTIVE  was  located  on the date  that  EXECUTIVE  ceased to be an
          EXECUTIVE;

      (b) knowingly solicit,  sell, promote or assist in the solicitation,  sale
          or promotion of services similar to any of those provided by EMPLOYER,
          from any clients of EMPLOYER with whom EXECUTIVE had direct contact or
          provided services within the twelve month period  immediately prior to
          the date that EXECUTIVE ceased to be an EXECUTIVE and;

      (c) make or attempt to make any offer of employment or  partnership to any
          EXECUTIVE of EMPLOYER in any business or  enterprise  that  provides a
          service or services to the public  similar to any of those provided by
          EMPLOYER while EXECUTIVE was an EXECUTIVE of EMPLOYER.

                                   ARTICLE 11
                              INTELLECTUAL PROPERTY
                              ---------------------

11.1  EXECUTIVE  agrees  that  EMPLOYER  acquires  by virtue  of the  employment
relationship  all  intellectual  property  rights  to  all  writings,  products,
developments  or  services  (the  "Works")  that  EXECUTIVE  makes,   conceives,
discovers  or develops at any time while  employed by EMPLOYER,  whether  during
working hours or at any other time,  which relate to or are used or intended for
use in connection with any business carried on by EMPLOYER, and EXECUTIVE hereby
unequivocally assigns to EMPLOYER all rights, including all domestic and foreign
patents and copyrights and any other proprietary  rights which EXECUTIVE has, in
such Works.

11.2  EXECUTIVE  agrees to make full  disclosure to EMPLOYER of all Works and to
do all things that may be  necessary  to make  EMPLOYER the owner of such Works.
EXECUTIVE

<PAGE>

                                      -9-

agrees  that he shall not be  entitled  to any  payment  in regard to the Works.
EXECUTIVE  also agrees to do whatever is necessary  to enable  EMPLOYER to apply
for and secure any copyright in Canada or elsewhere with respect to the Works.

11.3  EXECUTIVE  hereby  waives any moral rights that  EXECUTIVE may have in any
Works, or any part or parts thereof.  EMPLOYER shall be entitled to transfer its
rights in the Works either  separately or in  connection  with a transfer of the
business.

11.4  EXECUTIVE  agrees  that in the  event  his  employment  is  terminated  by
EMPLOYER for any reason,  EXECUTIVE shall continue to cooperate with EMPLOYER at
all times in the  prosecution  or defence of any lawsuit  related to  EMPLOYER's
activities in connection with any copyright or patent in the Works.

11.5  Notwithstanding any other provision in this Article 11, all inventions, if
any,  which  EXECUTIVE  makes prior to  EXECUTIVE's  employment  by EMPLOYER are
excluded from the scope of this AGREEMENT. As a matter of record,  EXECUTIVE has
set forth on Exhibit  "A"  attached  hereto a complete  list of all  inventions,
discoveries or improvements relating to EMPLOYER's business which have been made
by EXECUTIVE  prior to his employment  with EMPLOYER.  EXECUTIVE  represents and
covenants that such list is complete.

                                   ARTICLE 12
                                    PATENTS
                                    -------

12.1  If EMPLOYER files an application  for Letters Patent on any invention made
by  EXECUTIVE,  EMPLOYER  shall pay to EXECUTIVE a cash award of $5,000.00  upon
completion  and   registration  of  such  application  and  the  formal  written
assignment  of  EXECUTIVE's  rights  therein  to  EMPLOYER,   and  any  and  all
instruments and documents requested by EMPLOYER relating to said invention

                                   ARTICLE 13
                                  ENFORCEMENT
                                  -----------

13.1  EXECUTIVE  agrees that the  restrictions  and covenants  contained in this
Agreement  are  reasonably  required  for the  protection  of  EMPLOYER  and its
goodwill, and that EXECUTIVE's agreement to same by his or her execution of this
Agreement  are of the  essence  to this  Agreement  and  constitute  a  material
inducement to EMPLOYER to employ  EXECUTIVE,  and that EMPLOYER would not employ
EXECUTIVE absent such an inducement.

13.2  EXECUTIVE agrees that it would be difficult to measure damages to EMPLOYER
for any breach by EXECUTIVE of the promises set forth in this AGREEMENT and that
injury to EMPLOYER from any such breach would be  impossible  to calculate,  and
that  money  damages  would  be  an  inadequate  remedy  for  any  such  breach.
Accordingly,  EXECUTIVE  agrees  that  if any  provision  of this  AGREEMENT  is
breached,  EMPLOYER shall be entitled,  in addition to other any remedies it may
have, to an injunction or other appropriate order to restrain any such breach by
EXECUTIVE without having to show or prove any actual damages sustained by

<PAGE>

                                      -10-

EMPLOYER,  and that an  interim  injunction  may be granted  immediately  on the
commencement of any suit.

                                   ARTICLE 14
                                  SEVERABILITY
                                  ------------

14.1  In the event that any clause  herein should be declared  unenforceable  or
invalid for any reason  whatsoever,  such enforceable or invalid clause shall be
severable from the remainder of the Agreement, which shall continue to have full
force and effect.

                                   ARTICLE 15
                                  GOVERNING LAW
                                  -------------

15.1  This Agreement shall be construed and enforced in accordance with the laws
of the Province of Alberta.

                                   ARTICLE 16
                                  MISCELLANEOUS
                                  -------------

16.1  This  AGREEMENT  shall  be  binding  upon  EXECUTIVE  and  his/her  heirs,
executors,  assigns  and  administrators  and  shall  inure  to the  benefit  of
EMPLOYER, its successors and assigns and any subsidiary.

16.2  This AGREEMENT may be signed in two  counterparts,  each of which shall be
deemed an original and together shall constitute one instrument.

16.3  The  use of the  singular  of  this  agreement  includes  the  plural,  as
appropriate.

16.4  This  AGREEMENT  represents  the entire  agreement  between  EXECUTIVE and
EMPLOYER with respect to the subject  matter  hereof,  superseding  all previous
oral or written  communications,  representations or agreements.  This AGREEMENT
may be modified only by a writing duly  authorized  and executed by the party to
be bound.

16.5  With the exception of Articles 9-13 of this  Agreement,  any dispute as to
the  rights  and  duties  of  the  parties  under  this  Agreement,  or  to  its
construction,  validity or enforcement shall be submitted to binding arbitration
in Calgary,  Alberta before a single arbitrator  pursuant to the Arbitration Act
(Alberta).  The  decision  of the  arbitrator  shall be final and binding on the
parties.  The prevailing  party in such arbitration or any proceeding in respect
thereof or  challenging  such  arbitration,  shall be entitled to receive  their
solicitor and own client fees incurred in connection therewith.  Articles 9 - 13
of this  Agreement  may be  enforced  by a court  having  jurisdiction  over the
matter.

16.6  The waiver by EMPLOYER of a breach or violation  of any  provision of this
Agreement  by EXECUTIVE  shall not operate as, or be  construed  as, a waiver by
EMPLOYER of any subsequent breach of the same or other provisions hereof.

<PAGE>

                                      -11-

16.7  Any notices  provided for in this Agreement  shall be given in writing and
transmitted by personal  delivery or prepaid first class registered or certified
mail to the following address:

               EMPLOYER:    Jaws Technologies, Inc.
                            1013 - 17th Ave. S.W.
                            Calgary, Alberta T2T 0A7
                            Attn.: Vice-President of Human Resources

               EXECUTIVE:   Vera Gmitter
                            169 Riverwood Crescent
                            Calgary, Alberta T2C 4G1

16.8  If EMPLOYER institutes any proceedings to enjoin, restrain or seek damages
from  EXECUTIVE  by reason of  EXECUTIVE's  failure to comply  with the terms or
conditions  set forth in this  AGREEMENT  or  EXECUTIVE's  breach of any duty to
EMPLOYER,  EXECUTIVE (i) agrees to pay damages, all expenses incurred, costs and
solicitor and client fees as may be determined by the court or arbitration board
(as applicable) with respect to enforcement of any of the rights of EMPLOYER and
(ii) EMPLOYER shall not have to post any bond.

DATED:     This _____ day of __________, 1999

                                                JAWS TECHNOLOGIES, INC.

/s/Vikki Robinson                            By:/s/Riaz Mandani
----------------------------                    ------------------------------
Witness                                         Name:   Riaz Mamdani
                                                Office: CFO

      The undersigned has read and understands the above AGREEMENT, acknowledges
full  knowledge of the contents  thereof and the truth of the recitals  therein,
and agrees to perform in accordance  with each and every term thereof.  Further,
the  undersigned  is and was  advised  to seek the  advice of a lawyer  prior to
executing this AGREEMENT. The undersigned further acknowledges receipt of a copy
of this AGREEMENT together with all applicable Exhibits.

                                             Vera Gmitter

/s/Vikki Robinson                            /s/Vera Gmitter
----------------------------                 ----------------------------
Witness

<PAGE>

                                    EXHIBIT A
                                    ---------

The following is a list of all inventions,  discoveries or improvements relating
to  EMPLOYER's  business  which  have been made by  EXECUTIVE  prior to  his/her
employment with EMPLOYER.

EXECUTIVE's Initials
--------------------
(one line only)

_____  None
_____  As listed below:

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

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

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

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

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

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

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

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

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

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

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

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00001-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00001-of-00352.parquet"}]]