Document:

CONSULTING AGREEMENT

This Agreement is made and entered into on the 9th day of
November, 2000 between eConnect ("Company"), a Nevada
corporation, having offices at 2500 Via Cabrillo Marina, Suite
112, San Pedro, California 90731 and Antonio Cardenas Jr.
("Consultant"), with offices at 15936 SW 40th. St., Miami,
Florida 33196.

WITNESSETH:

In consideration of the premises and mutual covenants hereinafter
contained, the parties hereto agree as follows:

1. CONSULTANT OBLIGATIONS

The Consultant shall assist Encrypt2Trade by acting as general
advisor and consultant with duties and responsibilities to
include, but not limited to the following:

a. Identifying, screening and qualifying of prospective clearing
firm clients, strategic partners, management personnel and
developing the office of supervisory jurisdiction (OSJ) offices.

b. Arranging introductions and attend initial meetings between
the aforementioned prospective buyers or merger candidates and
Company's representative.

c. Assisting the Company in negotiating the terms of these
various transactions.

d. Assisting the Company in the assembly of information, which
may be required for presentation to the prospective take-over and
strategic merger candidate, or by them as a condition of
investigating or entering into a transaction.

e. Assisting the Company with potential merger or acquisition
candidates for international markets.

2. WORK FOR HIRE

a. It is the intention of the parties hereto that all rights,
including without limitation copyright in any reports, surveys,
marketing promotional and collateral materials prepared by the
Consultant pursuant to the terms of this Agreement, or otherwise
for Company (hereinafter "the Work") vest in Company. The parties
expressly acknowledge that the Work was specially ordered or
commissioned by Company, and further agree that it shall be
considered a "Work Made for Hire" within the meaning of the
copyright laws of the United States and that Company is entitled
as author to the copyright and all other rights therein,
throughout the world, including, but not limited to, the right to
make such changes therein and such uses thereof, as it may
determine in its sole and absolute discretion.

b. If, for any reason, the Work is not considered a work made for
hire under the copyright law, then the Consultant hereby grants
and assigns to Company, its successors and assigns, all of its
rights, title, and interest in and to the Work, including, but
not limited to, the copyright therein throughout the world (and
any renewal, extension or reversion copyright now or hereafter
provided), and all other rights therein of any nature whatsoever,
whether now known or hereafter devised, including, but not
limited to the right to make such changes therein, and such uses
thereof, as Company may determine.

3. INJUNCTIVE RELIEF.

Consultant acknowledges that the injury to Company resulting from
any violation by it of any of the covenants contained in this
Agreement will be of such a character that it cannot be
adequately compensated by money damages, and, accordingly,
Company may, in addition to pursuing its other remedies, obtain
an injunction from any court having jurisdiction of the matter
restraining any such violation; and no bond or other security
shall be required in connection with such injunction.

4. COMPENSATION.

a. Company shall pay the Consultant per the following fee
schedule:

1. The Company will issue to Consultant Two Hundred Thousand
(200,000) shares of ECNC free trading S-8 stock and a Warrant
("Warrants") to purchase Two Hundred and Fifty Thousand (250,000)
shares of ECNC's common stock with a strike price of $1.00 per
share, exercisable for a period of three years.

2. The Company will issue to Consultant Five Hundred Thousand
(500,000) shares of ECNC free trading S-8 stock for adding the
first five (5) broker dealers to clear trades through Holt &
Collins, with a minimum revenue goal of $2MM per broker dealer.
The stock will be held in escrow and will be release upon
Consultant bringing five (5) broker dealers to clear trades
through Holt & Collins.

3. The Company will issue to Consultant a Warrant to purchase Two
Hundred and Fifty Thousand (250,000) shares of ECNC unrestricted
stock with a strike price of $1.00 per share, for bringing and
setting up each individual OSJ office, staffed with a minimum ten
brokers, including principals with 24, 7, 66 licenses and retail
brokers.

This compensation will apply for bringing up to five (5) OSJ
offices. The Warrants will be exercisable for a period of three
years.

4. The Company will issue to Consultant Five Hundred Thousand
(500,000) restricted 144 ECNC stock with piggyback registration
rights for bringing $20MM in combine revenue to the new entity.
Company will cause the registration of said shares to be included
in it's current SB-2A filling.  The stock will be held in escrow
and will be release upon Consultant reaching the revenue goal.

5. The Company will issue to Consultant Five Hundred Thousand
(500,000) restricted 144 ECNC stock with piggyback registration
rights and a Warrant to purchase Two Hundred and Fifty Thousand
(250,000) shares of ECNC unrestricted stock with a strike price
of $1.00 per share for bringing $40MM in combine revenue to the
new entity. The stock will be held in escrow and will be release
upon Consultant reaching the revenue goal. The Warrants will be
exercisable for a period of three years.

6. The Company will issue to Consultant a Warrant to purchase Two
Hundred and Fifty Thousand (250,000) shares of ECNC unrestricted
stock with a strike price of $1.00 per share for bringing $60MM
in combine revenue to the new entity. The Warrants will be
exercisable for a period of three years.

7. The Company will issue to Consultant a Warrant to purchase One
Hundred and Fifty Thousand (150,000) shares of ECNC unrestricted
stock with a strike price of $1.00 per share for bringing $80MM
in combine revenue to the new entity. The Warrants will be
exercisable for a period of three years.

8. The Company will issue to Consultant a Warrant to purchase One
Hundred Thousand (100,000) shares of ECNC unrestricted stock with
a strike price of $1.00 per share for bringing $100MM in combine
revenue to the new entity.  The Warrants will be exercisable for
a period of three years.

9. The Company will place a total of 1,750,000 restricted shares
in escrow to be then converted with Piggyback registration in the
next SB2 filing but shares will still remain in escrow until
released upon each level of revenue performance.

The Consultant shall provide to the Company on the first day of
every month an outline report as to the Services that will be
performed that month.

5. PROPRIETARY INFORMATION

a. For purposes of this Agreement, "proprietary information"
shall mean any information relating to the business of Company or
any entity in which Company has a controlling interest and shall
include (but shall not be limited to) information encompassed in
all drawings, designs, programs, plans, formulas, proposals, marketing and
sales plans, financial information, costs, pricing information, customer
information, and all methods, concepts or ideas in or reasonably related to
the business of Company.

b. Consultant agrees to regard and preserve as confidential, all
proprietary information, whether Consultant has such information
in memory or in writing or other physical form. Consultant shall
not, without written authority from Company to do so, directly or
indirectly, use for the benefit or purposes, nor disclose to others,
either during the term of its engagement hereunder or thereafter, except
as required by the conditions of Consultant's engagement hereunder,
any proprietary information.

c. Consultant shall not disclose any reports, recommendations,
conclusions or other results of the Services or the existence or
the subject matter of this contract without the prior written
consent of Company. In Consultant's performance hereunder,
Consultant shall comply with all legal obligations it may now or
hereafter have respecting the information or other property of
any other person, firm or corporation.

d. The Consultant expressly agrees that the covenants set forth
in this Paragraph are being given to Company in connection with
the engagement of the Consultant by Company and that such
covenants are intended to protect Company against the competition
by the Consultant, within the terms stated, to the fullest extent
deemed reasonable and permitted in law and equity.  In the event
that the foregoing limitations upon the conduct of the Consultant
are beyond those permitted by law, such limitations, both as to
time and geographical area, shall be, and be deemed to be,
reduced in scope and effect to the maximum extent permitted by
law.

e. The foregoing obligations of this Paragraph shall not apply to
any part of the information that (i) has been disclosed in
publicly available sources of information, (ii) is, through no
fault of the Consultant, hereafter disclosed in publicly
available sources of information, (iii) is now in the
possession of Consultant without any obligation or
confidentiality, or (iv) has been or is hereafter lawfully
disclosed to Consultant by any third party, but only to the
extent that the use or disclosure thereof has been or is
rightfully authorized by that third party.

6. BENEFITS

The Consultant, as an independent contractor, shall not be
entitled to any other benefits other than the fees and
reimbursement of expenses provided under Paragraph 5 of this
Agreement.

7. DUTY TO REPORT INCOME

The Consultant acknowledges and agrees that it is an independent
contractor and not an employee of the Company and that it is
Consultant's sole obligation to report as income all compensation
received from Company pursuant to this Agreement. The Consultant
further agrees that the Company shall not be obligated to pay
withholding taxes, social security, unemployment taxes,
disability insurance premiums, or similar items, in connection
with any payments made to the Consultant pursuant to the terms of
this Agreement.

8. TERM

This Agreement shall be effective beginning as of the 9th day of
November, 2000 and shall continue for twelve (12) months or until
date of delivery of completed product and Services; provided,
however, that either Company or Consultant may terminate this
Agreement in whole or in part at any time upon thirty (30) days'
written notice to the other party. In the event of termination or
upon expiration of this Agreement, Consultant shall return to
Company any and all equipment, documents or materials, and all
copies made thereof, which Consultant received from Company for
the purposes of this Agreement and the Company shall pay to
Consultant the amounts provided in Paragraph 5 hereof through the
date of such termination or expiration.

9. INDEMNIFICATION

The Consultant shall indemnify and save Company harmless from and
against all claims arising in favor of any person, firm or
corporation on account of personal injury or property damage in
any way resulting from the improper or illegal acts of
Consultant, its employees or agents. The foregoing indemnity
shall include all costs incurred by Company, including reasonable
attorneys'
fees.

10. NOTICES

All notices and billings shall be in writing and sent via first
class mail to the respective addresses of the parties set forth
at the beginning of this Agreement or to such other address as
any party may designate by notice delivered hereunder to the
other party.

11. GENERAL

a. The terms and conditions of Paragraphs 3, 4 and 5 hereof shall
survive the termination of this Agreement or completion of the
Services as the case may be.

b. Neither the Company nor Consultant shall assign this Agreement
or delegate its duties hereunder and shall not subcontract any of
the Services to be performed hereunder without the prior written
consent of the other party hereto.

c. Consultant shall perform the Services as an independent
contractor and shall not be considered an employee of Company or
Partner, joint venturer or otherwise related to Company for any
purpose.

d. This Agreement shall be governed by the laws of the State of
Ohio.

e. This Agreement constitutes the entire understanding between
Consultant and Company respecting the Services described herein.
The terms and conditions of any purchase order shall have no
effect upon this Agreement and shall be used for accounting
purposes only.

f. The failure of either party to exercise its rights under this
Agreement shall not be deemed to be a waiver of such rights or a
waiver of any subsequent breach.

g. Any delay or nonperformance of any provision of this Agreement
caused by conditions beyond the reasonable control of the
performing party shall not constitute a breach of this Agreement,
provided that the delayed party has taken reasonable measures to
notify the other of the delay in writing.  The delayed party's
time for performance shall be deemed to be extended for a period
equal to the duration of the conditions beyond its control.
Conditions beyond a party's "reasonable control" include, but are
not limited to, natural disasters, acts of government after the
date of the Agreement, power failure, fire, flood, acts of God,
labor disputes, riots, acts of war and epidemics.  Failure of
subcontractors and inability to obtain materials shall not be
considered a condition beyond a party's reasonable control.

h. Non-Solicitation of Consultant's Employees: Company agrees not
to knowingly hire or solicit Consultant's employees during
performance of this Agreement and for a period of two years after
termination of this Agreement without Consultant's written
consent.

i. Mediation and Arbitration: If a dispute arises under this
Agreement, the parties agree to first try to resolve the dispute
with the help of a mutually agreed-upon mediator in Clermont
County, Ohio.  Any costs and fees other than attorney fees
associated with the mediation shall be shared equally by the
parties. If the dispute is not resolved through mediation, the
parties agree to submit the dispute to binding arbitration in
Clermont County, Ohio under the rules of the American Arbitration
Association.  Judgment upon the award rendered by the arbitrator
may be entered in any court with jurisdiction to do so.

j. Attorney Fees: If any legal action is necessary to enforce
this Agreement, the prevailing party shall be entitled to
reasonable attorney fees, costs and expenses.

k. Complete Agreement: This Agreement together with all exhibits,
appendices or other attachments, which are incorporated herein by
reference, is the sole and entire Agreement between the parties.
This Agreement supersedes all prior understandings, agreements
and documentation relating to such subject matter. In the event
of a conflict between the provisions of the main body of the
Agreement and any attached exhibits, appendices or other
materials, the Agreement shall take precedence.  Modifications
and amendments to this Agreement, including any exhibit or
appendix hereto, shall be enforceable only if they are in writing
and are signed by authorized representatives of both parties.

IN WITNESS WHEREOF, the parties hereto have duly executed this
Agreement as of the date first above written.

                                  eConnect

                                  Signature: /s/  Thomas S. Hughes
                                  Thomas S. Hughes, Chairman & CEO

                                  Consultant

                                  /s/  Antonio Cardenas Jr.
                                  Antonio Cardenas Jr.<PAGE>   1
                                                                   EXHIBIT 10.16

                              SETTLEMENT AGREEMENT

        THIS SETTLEMENT AGREEMENT (this "Agreement") is dated as of August 31
2000, between APPLIED ANALYTICAL INDUSTRIES, INC., a Delaware corporation having
its principal place of business in Wilmington, North Carolina ("AAI") and
PHARMAPRINT, INC., a Delaware corporation having its principal place of business
in Irvine, California ("PharmaPrint").

                              BACKGROUND STATEMENT

        AAI provides analytical testing services to the pharmaceutical and
biotechnology industries, such as validation and stability studies, as well as
manufacturing services. PharmaPrint arranges for the production and marketing of
herbal and vitamin-herbal dietary supplements known in the industry as
"nutriceutical" products, using a proprietary technology known as "the
PharmaPrint(TM) Process". In 1998, PharmaPrint retained AAI to perform certain
analytical testing and manufacturing services in regard to its nutriceutical
products (the "Products"). On or about June 11, 1998, AAI and PharmaPrint
entered into an agreement (the "Manufacturing Agreement") for AAI to manufacture
the Products. Throughout 1998, AAI and PharmaPrint also entered into a series of
agreements for analytical testing and support services regarding the Products
(the "Service Estimates").

        On or about July 28, 1999, AAI filed a Demand for Arbitration with the
American Arbitration Association, Case No. 31 181 00181 99, seeking to recover
damages for alleged breach of the Manufacturing Agreement (the "Arbitration").
PharmaPrint filed a counterclaim in the Arbitration. On or about December 28,
1999, PharmaPrint filed a Complaint in the New Hanover County Superior Court,
Case No. 99 CVS 05159, seeking to recover damages for alleged breach of the
Manufacturing Agreement and of the Service Estimates, as well as other causes of
action (the "Superior Court Action"). AAI filed a counterclaim in the Superior
Court Action alleging breach of the Service Estimates. The Arbitration and the
Superior Court Action are referred to herein as the "Litigation". PharmaPrint
acknowledges that AAI has asserted claims approximating $5.5 million under the
Manufacturing Agreement and the Service Estimates (referred to herein as the
"AAI Claims").

        Each party is willing to release the other party from all claims it may
have against the other party as set forth in the preceding paragraph in exchange
for (i) a mutual release of any claim each party has or may have against the
other party and (ii) the issuance to AAI of certain shares of PharmaPrint common
stock. The parties therefore enter into this Agreement in full settlement of all
disputes between them. Neither of the parties admits any liability or
wrongdoing, but each enters into this Agreement solely to avoid the costs,
expenses and uncertainty of further litigation.

                             STATEMENT OF AGREEMENT

        NOW, THEREFORE, in consideration of the mutual covenants and promises
hereinafter made by AAI and PharmaPrint, the receipt and sufficiency of which
are hereby expressly acknowledged by the parties hereto, it is agreed that:

<PAGE>   2
                                       2

        1. ISSUANCE OF SHARES BY PHARMAPRINT. In consideration for AAI's release
of claims, PharmaPrint shall issue to AAI Two Million Two Hundred Thousand
(2,200,000) shares of authorized PharmaPrint common stock (the "Shares").

        A. Timing. Within ten (10) business days following PharmaPrint's
        satisfaction of the conditions set forth in paragraph 2 below,
        PharmaPrint shall issue and deliver the Shares into the possession of
        AAI. AAI may elect to accelerate such issuance date by delivery of
        written facsimile notice to PharmaPrint (the "Delivery Notice"). In that
        event, PharmaPrint shall issue and deliver the Shares into the
        possession of AAI within two (2) business days of PharmaPrint's receipt
        of AAI's Delivery Notice.

        B. Legends and Resale. The certificates for the Shares shall bear a
        restrictive legend in substantially the following form:

                The securities represented by this certificate have not been
                registered under the Securities Act of 1933, as amended, or the
                securities laws of any state of the United States. The
                securities represented hereby may not be offered, sold or
                transferred in the absence of an effective registration
                statement for the securities under applicable securities laws
                unless offered, sold or transferred under an available exemption
                from the registration requirements of those laws.

             The legend set forth above shall be removed and PharmaPrint shall
        issue certificates without such legend to AAI or its designee for the
        Shares upon which it is stamped if, unless otherwise required by state
        securities laws, AAI provides PharmaPrint with an opinion of counsel, in
        form, substance and scope customary for opinions of counsel in
        comparable transactions, to the effect that a public sale or transfer of
        the Shares may be made without registration under the Securities Act and
        is in compliance with all applicable federal and state rules and
        regulations, including the regulations described in the Securities and
        Exchange Commission Staff Legal Bulletin Number 3 (as amended). AAI
        agrees to sell the Shares in compliance with all such federal and state
        laws.

        2. CONDITIONS TO ISSUANCE OF THE SHARES. The following conditions must
be satisfied prior to PharmaPrint's issuance of Shares:

        A. NASDAQ Listing. PharmaPrint shall use best commercially reasonable
        efforts to have PharmaPrint's shares re-listed in an unrestricted manner
        on the National Association of Securities Dealers, Inc. National Market.

        B. Fairness Opinion. PharmaPrint shall provide to AAI a written order
        issued by the North Carolina Secretary of State (in a form reasonably
        satisfactory to AAI) approving the exchange of the AAI Claims for the
        Shares. PharmaPrint covenants that on or before August __, 2000, it
        shall file with the North Carolina Secretary of State an application
        under Section 78A-30 of the North Carolina General Statutes for approval
        of the above-described exchange, and that such application shall request
        a August __, 2000 hearing date on the fairness of the terms and
        conditions of the exchange. PharmaPrint further represents that it shall
        use its best efforts to cause the North Carolina Secretary of State to
        issue an order approving such exchange as soon as possible.

<PAGE>   3
                                       3

        3. EFFECT OF ACT OF BANKRUPTCY BY PHARMAPRINT. PharmaPrint represents
that there has not been an Act of Bankruptcy (as defined below) or any public
announcement with respect to any actual or contemplated Act of Bankruptcy
involving PharmaPrint. PharmaPrint covenants that for a period of two hundred
seventy (270) days following the receipt by AAI of the Shares, it shall not file
a petition for relief under any present or future federal or state insolvency,
bankruptcy, or similar law (collectively "Applicable Bankruptcy Law"); consent
to or admit the material allegations of an involuntary petition for relief
against it, or refuse or fail to seek to have such involuntarily petition
dismissed within sixty (60) days after the filing thereof, or request or consent
to an order for relief naming PharmaPrint as the debtor under any Applicable
Bankruptcy Law, or any composition, rearrangement, extension, reorganization or
other relief of debtors now or hereinafter existing (collectively, an "Act of
Bankruptcy").

        A. Damages for Breach. In the event of an Act of Bankruptcy, PharmaPrint
        hereby acknowledges that AAI's damages arising from breach of the
        foregoing covenant shall equal the product of $1.37 per share times the
        number of Shares owned by AAI as of the date of the Act of Bankruptcy
        (the "Damages"). PharmaPrint shall compensate AAI for the Damages by
        reacquiring from AAI all Shares owned by AAI as of the date of the Act
        of Bankruptcy at a per share cash price equal to $1.37.

        B. Nullification of Release. In the event of an Act of Bankruptcy, the
        mutual release provided by the parties as provided in Section 6 herein
        shall be null, void and of no effect to the extent, and solely to the
        extent, of reviving $3,000,000 of the AAI Claims that are the subject of
        the mutual release, which revived AAI Claims shall survive this
        agreement, and which revived AAI Claims shall be subject to setoff for
        (i) the Damages actually received by AAI from PharmaPrint and (ii) the
        proceeds received by AAI from the sale of any Shares as of the date of
        the Act of Bankruptcy.

        4. DISMISSAL OF ARBITRATION. Upon issuance and delivery of the Shares,
the parties shall file a Notice of Dismissal of the Arbitration, in the form
attached as Exhibit "A", dismissing the Arbitration with prejudice.

        5. DISMISSAL OF SUPERIOR COURT ACTION. Upon issuance and delivery of the
Shares, the parties shall file a Notice of Dismissal of the Superior Court
Action, in the form attached as Exhibit "B", dismissing the Superior Court
Action with prejudice.

        6. MUTUAL RELEASES BY AAI AND PHARMAPRINT. Upon issuance and delivery of
the Shares, the parties shall execute the Mutual Release attached hereto as
Exhibit "C".

        7. NO ADMISSION OF LIABILITY. AAI and PharmaPrint each hereby
acknowledge that neither the execution nor the performance of this Agreement is
intended as, and shall not constitute, an admission of liability by any party,
and further that this Agreement has been entered into solely to avoid the costs,
expenses and uncertainty of further litigation.

        8. REPRESENTATIONS AND WARRANTIES BY THE PARTIES. Each of the parties
represents and warrants that (i) it has the capacity, full power and authority
to enter into this Agreement, (ii) the individual signing on behalf of each of
the corporate parties is authorized to do so, (iii) it has not assigned,
encumbered or in any manner transferred all or any portion of the claims covered
by this Agreement, (iv) there are no other charges, complaints, suits,
arbitrations or other

<PAGE>   4
                                       4

claims or proceedings pending between the parties in any court, before any
agency, or in any forum, and (v) no other person, party or corporation has any
right, title or interest in any of the claims covered by this Agreement.

        9. ENTIRE AGREEMENT. This Agreement contains the entire agreement
between the parties, integrates all the terms and conditions mentioned or
incidental to this Agreement and supersedes all prior negotiations and writings.
No modification or waiver of any provisions of this Agreement shall be valid
unless set forth in writing and signed by all parties hereto.

        10. BINDING EFFECT. This Agreement shall be binding upon and inure to
the benefit of the parties hereto, their successors, heirs and assigns.

        11. ARBITRATION. All disputes arising out of or in any way related to
this Agreement or the rights or obligations of either party shall be settled by
arbitration to be held in Charlotte, North Carolina in accordance with the rules
of the American Arbitration Association then prevailing. The prevailing party
shall be entitled to reimbursement of attorneys' fees and costs associated with
the proceeding.

        12. SEVERABILITY. If any provision contained in this Agreement shall for
any reason be held invalid, illegal or unenforceable in any respect, such
invalidity, illegality or unenforceability shall not affect any other provision
of this Agreement, but this Agreement shall be construed as if such invalid,
illegal or unenforceable provision had never been contained herein.

        13. EACH PARTY TO BEAR ITS OWN COSTS. Each party shall bear all of his
or its own costs, expenses, and attorneys' fees arising out of the Litigation.

        14. CONSTRUCTION. This Agreement is not to be construed against any
party but shall be construed equally as to each party hereto.

        15. COUNTERPARTS. This Agreement shall be executed in four counterparts,
each of which may be enforceable as an original, but all of which together shall
constitute but one agreement.

        16. AUTHORIZATION. This Agreement has been properly executed by the
appropriate persons authorized to do so.

<PAGE>   5
                                       5

        IN WITNESS WHEREOF, the undersigned have caused this Agreement to be
executed by their duly authorized officers as of the date first set forth above.

                                      APPLIED ANALYTICAL INDUSTRIES, INC.

                                      By:      /s/ William L. Ginna Jr.
                                          -----------------------------------
                                      Name:    William L. Ginna Jr.
                                      Title:   EVP & CFO

                                      PHARMAPRINT, INC.

                                      By:      /s/ Steven A. Bowman
                                          -----------------------------------
                                      Name:    Steven A. Bowman
                                      Title:   CEO

<PAGE>   6

                                    EXHIBIT A

                        AMERICAN ARBITRATION ASSOCIATION
                                 31 181 00181 99

Re:   Arbitration between

      Applied Analytical Industries, Inc.
                                                   NOTICE OF DISMISSAL
      - and -

      PharmaPrint, Inc.

        The parties, through counsel, hereby DISMISS WITH PREJUDICE the claims
and counterclaims asserted in this arbitration proceeding.

        This ______ day of August, 2000.

---------------------------------           -----------------------------------
Gary J. Rickner                             David C. Wright, III
N.C. Bar No. 25129                          N.C. Bar No. 11161
Cheryl A. Marteney                          Sarah B. Kemble
N.C. Bar No. 16733                          N.C. Bar No. 22682

Attorneys for PharmaPrint, Inc.             Attorneys for Applied Analytical
Inc.                                        Industries, Inc.
WARD AND SMITH, P.A.                        ROBINSON, BRADSHAW & HINSON, P.A.
1001 College Court                          101 North Tryon Street, Suite 1900
Post Office Box 867                         Charlotte, North Carolina 28246-1900
New Bern, North Carolina 28563-0867         (704) 377-2536
(252) 636-2121

<PAGE>   7

                                    EXHIBIT B

STATE OF NORTH CAROLINA                         IN THE GENERAL COURT OF JUSTICE
                                                   SUPERIOR COURT DIVISION
COUNTY OF NEW HANOVER                            CIVIL ACTION NO: 99 CVS 05159

PHARMAPRINT, INC.,

                             PLAINTIFF,

        V.
                                                      NOTICE OF DISMISSAL
APPLIED ANALYTICAL INDUSTRIES, INC.,

                                   DEFENDANT.

        The parties, through counsel and pursuant to Rules 41(a)(1)(ii) and
41(c) of the North Carolina Rules of Civil Procedure, hereby DISMISS WITH
PREJUDICE the claims and counterclaims asserted in this action.

        This the ____ day of August, 2000.

---------------------------------           -----------------------------------
Gary J. Rickner                             David C. Wright, III
N.C. Bar No. 25129                          N.C. Bar No. 11161
Cheryl A. Marteney                          Sarah B. Kemble
N.C. Bar No. 16733                          N.C. Bar No. 22682

Attorneys for PharmaPrint, Inc.             Attorneys for Applied Analytical
Inc.                                        Industries, Inc.
WARD AND SMITH, P.A.                        ROBINSON, BRADSHAW & HINSON, P.A.
1001 College Court                          101 North Tryon Street, Suite 1900
Post Office Box 867                         Charlotte, North Carolina 28246-1900
New Bern, North Carolina 28563-0867         (704) 377-2536
(252) 636-2121

<PAGE>   8
                                       8

                                    EXHIBIT C

                                 MUTUAL RELEASE

        APPLIED ANALYTICAL INDUSTRIES, INC., a Delaware corporation having its
principal place of business in Wilmington, North Carolina ("AAI") and
PHARMAPRINT, INC., a California corporation having its principal place of
business in Irvine, California ("PharmaPrint"), entered into a Settlement
Agreement dated as of August _____, 2000, attached hereto. In consideration for
the undertakings provided in that Settlement Agreement and the issuance by
PharmaPrint of shares of common stock to AAI as described therein, the parties
(and their parent, affiliate, subsidiary and related entities, divisions,
successors and assigns, and the employees, officers, directors, legal
representatives and agents thereof) hereby fully and mutually release one
another from any and all claims, causes of action, suits, claims, counterclaims,
charges, complaints, demands, liabilities or obligations of any kind whatsoever
that exist or that could exist based on any act, omission, event, or thing
whatsoever through the date of this Release. Subject only to Paragraph 3.B. of
the Settlement Agreement, this Release shall become effective and shall
thereafter be fully binding on AAI and PharmaPrint, and their heirs, successors,
and assigns, upon its full execution by these parties; provided, however, that
this Release shall not apply to any rights or duties arising under the
Settlement Agreement or under documents to be executed or action to be taken
pursuant to the Settlement Agreement.

        IN WITNESS WHEREOF, the undersigned have caused this Release to be
executed by their duly authorized officers as of this ____ day of __________,
2000.

                                      APPLIED ANALYTICAL INDUSTRIES, INC.

                                      By:      /s/ William L. Ginna Jr.
                                          -----------------------------------
                                      Name:    William L. Ginna Jr.
                                      Title:   EVP & CFO

                                      PHARMAPRINT, INC.

                                      By:      /s/ Steven A. Bowman
                                          -----------------------------------
                                      Name:    Steven A. Bowman
                                      Title:   CEO

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00018-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00018-of-00352.parquet"}]]