Document:

MASTER LEASE AGREEMENT

           This contract contains arbitration provisions and shall be
         subject to arbitration under the Texas General Arbitration Act
              (Article 224 et seq. Revised Civil Statutes of Texas)

   THIS MASTER LEASE  AGREEMENT  is made and entered  into as of  September  __,
1999,  by  and  between  FFP  Properties,  L.P.,  a  Texas  limited  partnership
("Lessor"),  and FFP Operating  Partners,  L.P., a Delaware limited  partnership
("Lessee"),  in order to terminate  and supersede  that certain Lease  Agreement
dated August 4, 1999 and those certain Lease  Agreements  dated as of January 1,
1998,  by and  between  Lessor and Lessee,  including  all  previous  amendments
thereto,  covering the thirty-five (35) properties  listed in Exhibit A attached
hereto and incorporated herein by reference (collectively, the "Prior Leases").

   WHEREAS,  the  thirty-five  (35)  real  properties  listed in  Exhibit A  are
described with more  particularity in Exhibit B attached hereto and incorporated
herein by reference; and

   WHEREAS,  Lessor and Lessee  desire to  continue  the  leasing of the subject
properties to Lessee  pursuant to the provisions of this Master Lease  Agreement
(this "Lease").

   NOW, THEREFORE,  it is agreed by and between Lessor and Lessee that the Prior
Leases are hereby terminated and superceded in all respects by this Master Lease
Agreement.

                                    ARTICLE I

                                    Premises

   Section 1.01 Lessor,  in  consideration of the covenants and agreements to be
performed by Lessee and upon the terms and conditions  hereinafter  stated, does
hereby lease,  demise,  and let unto Lessee all the lands described on Exhibit B
attached hereto (the "Land"),  together with all  improvements,  buildings,  and
structures of Lessor, if any, situated on the Land (the  "Improvements") and all
rights,  easements,  and  appurtenances  pertaining  to the Land,  including all
parking and access rights relating thereto  (collectively  with the Land and the
Improvements, the "Leased Premises").

                                   ARTICLE II

                       Term and Adjustment to Monthly Rent

   Section 2.01 Initial Term.  The initial term of this Lease (the "Term") shall
be for a period commencing on January 1, 1998 (the "Commencement  Date"), except
with respect to that certain property  reflected in Exhibit A as location number
849, which term commenced on August 4, 1999, and ending on December 31, 2019.

   Section 2.02 Adjustment to Monthly Rent. Commencing on the first (1st) day of
January in each of the years 2003, 2008,  2013, and 2018, the applicable  rental
for each calendar  month during each such  incremental  period shall be equal to
the Monthly Rent  multiplied by the percentage of increase by which the Consumer
Price Index in the calendar month three (3) months  preceding the first month of
each such period exceeds the Consumer  Price Index in December  1997;  provided,
however,  that in no event  shall such  adjusted  rental be less than the rental
payable during the initial Term.  "Consumer Price Index" shall mean the Consumer
Price Index for Urban Wage  Earners and  Clerical  Workers-All  Items (Base Year
1967) of the United  States Bureau of Labor  Statistics.  If the manner in which
such Consumer Price Index is determined by the Bureau of Labor  Statistics shall
be  substantially  revised,  an  adjustment  shall be made in such revised index
which would produce results  equivalent,  as nearly as possible,  to those which
would have been obtained if the Consumer  Price Index had not been  revised.  If
the  Consumer  Price  Index  shall  become  unavailable  to the  public  because
publication is  discontinued,  or otherwise,  Lessor will substitute  therefor a
comparable index based upon changes in the cost of living or purchasing power of
the consumer dollar  published by any other  governmental  agency or, if no such
index shall be available,  then a comparable  index published by a major bank or
other financial institution or by a recognized financial publication.

                                   ARTICLE III

                                 Use of Premises

   Section 3.01 Permitted Uses. The Leased Premises shall be used for any lawful
use,  including,  but not limited to, the operation of the Leased  Premises as a
convenience store, truck stop, and/or self-service gasoline station.

   Section 3.02 Prohibited  Uses.  Lessee shall not perform any acts or carry on
any practices which may injure the Leased Premises or constitute a nuisance,  or
use the Leased  Premises for any  business  which is unlawful or in violation of
any public or city ordinances.

                                   ARTICLE IV

                                      Rent

   Section 4.01 Rent Amount and Due Date.  Lessee,  without offset or deduction,
agrees to pay Lessor,  at 2801 Glenda Avenue,  Fort Worth,  Texas, or such other
address as Lessor may  designate,  rent for the Leased  Premises  at the monthly
rate of  Eighty-seven  Thousand Two Hundred  Twenty-three  and No/100's  Dollars
($87,223.00)  ("Monthly  Rent"), as adjusted in accordance with Section 2.02, in
advance  on the first day of each and every  calendar  month  during the Term of
this Lease,  the first such payment becoming due and payable on the Commencement
Date. If the Commencement  Date is other than the first day of a month or if the
term of the Lease  terminates  on a day other than the last day of the month,  a
prorated monthly rental installment shall be paid.

   Section 4.02 Delinquent Rent. All rental  installments or payments (including
any amounts  payable as additional  rent) more than ten (10) days past due shall
subject  Lessee to liability for payment of a late payment  charge equal to five
percent (5.0%) of each such late monthly installment or payment.

   Section  4.03 Net  Lease.  It is  understood  and  agreed  that this Lease is
intended to be a net lease. It is the intention of the parties that Lessor shall
receive the Monthly Rent  hereunder  free from all charges and expenses  imposed
upon or by reason of the Leased Premises and the ownership thereof by Lessor.

   Section 4.04 Lessee Remains  Bound.  Except as otherwise  expressly  provided
herein,  this Lease  shall not  terminate,  nor shall  Lessee be entitled to any
abatement of rent or reduction thereof, nor shall the respective  obligations of
Lessor and Lessee be otherwise affected by reason of damage to or destruction of
all or any portion of the Leased  Premises,  the condemnation of all or any part
thereof for use or otherwise, the prohibition of Lessee's use of all or any part
of same or the interference with such use, Lessee's  acquisition of fee title to
the premises  otherwise than pursuant to an express provision of this Lease, the
bankruptcy, insolvency, reorganization,  composition, readjustment, liquidation,
dissolution, winding-up, reconstitution, or other proceeding affecting Lessor or
any  assignee of Lessor,  any action by any  trustee or receiver of Lessor,  any
assignee of Lessor or by any court, any default on the part of Lessor under this
Lease or under any other agreement to which Lessor and Lessee may be parties, or
for any other cause whether similar or dissimilar to the foregoing;  any present
or future law to the  contrary  notwithstanding,  it being the  intention of the
parties  hereto  that the  obligations  of Lessee  hereunder  shall be  separate
covenants and  agreement,  and that the Monthly Rent,  additional  rent, and all
other  sums  payable by Lessee  hereunder  shall  continue  to be payable in all
events and that the obligations of Lessee  hereunder shall continue  unaffected,
unless the obligation to pay or perform the same shall be terminated or modified
pursuant to the express provisions of this Lease. Lessee waives all rights which
may now or hereafter be  conferred by law (i) to quit,  terminate,  or surrender
this Lease or the Leased Premises or any part thereof, or (ii) to any abatement,
suspension, deferment, or reduction of the Monthly Rent, additional rent, or any
other sums  payable  under this Lease,  except as otherwise  expressly  provided
herein.
                                    ARTICLE V

                             Possession of Premises

   Section 5.01 Lessee  acknowledges  that Lessee has fully inspected the Leased
Premises and on the basis of such  inspection  Lessee hereby  accepts the Leased
Premises "AS IS." Lessee  acknowledges that the  Improvements,  if any, situated
thereon are suitable  for the  purposes for which the same are leased,  in their
present condition.

                                    ARTICLE V

                         Alteration, Operating Expenses,
                         Construction, and Ownership of
                                  Improvements

   Section 6.01  Alterations  and  Improvements.  Lessee shall have the right to
make  alterations  to or  construct  improvements  on the Leased  Premises.  Any
alteration  or  improvement  made  to the  Leased  Premises  shall  be made in a
workmanlike manner and in compliance with all valid laws,  governmental  orders,
and  building  ordinances  and  regulations  pertaining  thereto.  Lessee  shall
promptly pay and discharge all costs,  expenses,  damages, and other liabilities
which  may  arise  in  connection   with  or  by  reason  of  any   alterations,
reconstruction,   demolition,   or  other  work  on  the  Leased  Premises.  All
alterations,  reconstruction,  demolition,  or other work on the Leased Premises
when completed shall be of such a nature as not to reduce or otherwise adversely
affect the value of the Leased  Premises.  Lessee  shall have the right to grant
easements  upon the estate of Lessor which are required for  utilities or access
in connection with construction of the improvements and Lessor agrees to execute
all  documents  which  Lessee  may  reasonably  request  in order to grant  such
easements.

   Section 6.02 Operating Expenses. Lessee agrees to pay any and all expenses of
operation  of  the  Leased  Premises  including,   but  not  being  limited  to,
electricity,  water,  gas,  and other  utility  services  to persons and parties
occupying  the Leased  Premises;  it being the  intention of this Lease that the
amounts  payable to Lessor  hereunder as rent shall be absolutely net to Lessor,
without  diminution  by  reason  of any  expenses  of  operation  of the  Leased
Premises.

   Section  6.03  Repairs;   Compliance   with  Laws.   Lessee  shall  keep  all
Improvements  from time to time situated on the Leased Premises in a good repair
and  condition,  and at the end or other  expiration  of the term of this  Lease
deliver up the Leased  Premises  and all  Improvements  thereon,  whether on the
Leased  Premises at the time of execution of this Lease or constructed by Lessee
in accordance  herewith,  in good  condition,  reasonable wear and tear excepted
(subject  to Article  XII  hereof).  Lessee  shall at its sole cost and  expense
comply with all requirements of all municipal,  state,  and federal  authorities
now in force or which  may  hereafter  be in  force,  pertaining  to the  Leased
Premises  and shall  faithfully  observe in the use of the Leased  Premises  all
municipal,  state,  and federal laws and  regulations  now in force or which may
hereafter be in force.

   Section  6.04  Title  to  the   Improvements.   All  Improvements   presently
constituting a part of the Leased  Premises  shall be owned by Lessor.  Title to
all Improvements and any modifications,  additions,  restorations,  repairs, and
replacements  thereof  hereafter placed or constructed by Lessee upon the Leased
Premises shall be in Lessee, its successors and assigns, until the expiration of
the Lease Term; provided,  however,  that the terms and provisions of this Lease
shall apply to all such  Improvements and that all such  Improvements  (with the
exception only of moveable  equipment and trade fixtures,  and gasoline  storage
tanks, pumps, and equipment) shall be surrendered to Lessor upon the termination
of the Lease Term.

   Section 6.05 Liens. Lessor does not consent, and has not by the execution and
delivery of this Lease consented,  to the imposition by Lessee or any contractor
or subcontractor of any liens upon the Lessor's interest in the Leased Premises.
Lessee  agrees that all  Improvements  at any time  constructed  upon the Leased
Premises  will  be  completed  free  and  clear  of  all  liens  and  claims  of
contractors,   subcontractors,   mechanics,  laborers,  materialmen,  and  other
claimants.  Lessee further covenants and agrees to protect,  indemnify,  defend,
and hold harmless Lessor from and against all bills and claims, liens and rights
to  liens  for  labor  and  materials   and   architect's,   contractor's,   and
subcontractor's  claims,  and all fees,  claims,  and  expenses  incident to the
construction and completion of any improvements,  including without  limitation,
reasonable attorneys' fees and court costs incurred by Lessor.

                                   ARTICLE VII

                                 Utility Charges

   Section  7.01  Lessee  shall  pay or cause to be paid  promptly  when due all
charges for water,  electricity,  gas, telephone,  or any other utility services
furnished to the Leased Premises;  it being the intention of this Lease that the
amounts  payable to Lessor  hereunder as rent shall be absolutely net to Lessor,
without  diminution  by  reason  of any  expenses  of  utilities  of the  Leased
Premises.  Lessee expressly agrees that Lessor is not, nor shall it be, required
to furnish to Lessee or any other  occupant  of the Leased  Premises  any water,
sewer, gas, heat, electricity, light, power, or any other facilities, equipment,
labor, materials, or services of any kind whatsoever.

                                  ARTICLE VIII

                                 Indemnification

   Section 8.01 Lessee  covenants and agrees,  at its sole cost and expense,  to
indemnify and hold Lessor  harmless from and against any and all claims by or on
behalf of any person, firm, corporation, or governmental authority, arising from
the occupation, use, possession,  conduct, or management of, or from any work or
thing  whatsoever done in and about,  the Leased Premises during the Lease Term,
or the  subletting of any part thereof.  Lessee  further agrees to indemnify and
save  Lessor  harmless  from and  against  any and all claims  arising  from any
condition,  whether  currently  existing or hereafter  occurring,  of the Leased
Premises or the Improvements (including, but not limited to, claims or liability
under the Comprehensive  Environmental Response,  Compensation and Liability Act
of 1980 and the Resource  Conservation  and  Recovery Act of 1976,  or any other
state or federal  environmental  law or regulation) or rising from any breach or
default  on the part of Lessee  to be  performed  pursuant  to the terms of this
Lease, or arising from any action,  injury,  or damage  whatsoever caused to any
person,  firm, or  corporation,  including any  sublessees of Lessee (other than
those caused by Lessor or its  representatives  and employees)  occurring during
the Lease Term in or about the Leased  Premises or upon and under the  sidewalks
and the land adjacent thereto, including, but not limited to, any claim based on
the release of any hazardous or toxic materials. The indemnification obligations
of Lessee hereunder shall include all costs,  expenses, and liabilities incurred
by Lessor,  including  reasonable  attorneys'  fees. If any action or proceeding
shall be brought against Lessor by reason of any such claim, Lessee upon receipt
of written notice from Lessor covenants to defend such action or proceeding with
counsel satisfactory to Lessor,  unless such action or proceeding is defended by
any carrier of public liability  insurance  maintained by Lessee.  Any insurance
policy or  policies  procured  or  maintained  by  Lessee  insuring  it  against
liability  for  injury or death of a person or persons  shall name  Lessor as an
additional insured.

                                   ARTICLE IX

                              Taxes and Assessments

   Section  9.01  Obligation  of Lessee.  Lessee  shall pay to, or on behalf of,
Lessor as additional  rent the amount of the real estate taxes  allocable to the
Leased Premises (which shall be separately  assessed) for each tax year included
within the Term of this  Lease,  provided  that for the first and last tax years
included in part within the term of this Lease, Lessee shall pay to Lessor a pro
rata share of such taxes for such tax years based upon the  portions of such tax
years  included  within the term of this Lease;  it being the  intention of this
Lease that the amounts  payable to Lessor  hereunder as rent shall be absolutely
net to Lessor,  without  diminution  by reason of any expenses of taxes or other
assessments  on the Leased  Premises.  Real  estate  taxes shall not include any
income, excess profits, estate, inheritance,  succession,  transfer,  franchise,
capital,  or other tax or  assessment  upon Lessor or upon the  rentals  payable
under this Lease, all of which shall be the obligation of Lessor.

   Section  9.02  Amount  of  Taxes.  If  there  shall be more  than one  taxing
authority,  the real estate  taxes for any period shall be the sum of such taxes
for such period attributable to each taxing authority. The real estate taxes for
any tax year shall mean such  amounts as shall be finally  determined  to be the
real estate taxes  assessed  and payable for such tax year less any  abatements,
refunds,  or rebates made thereof.  For the purpose of determining  payments due
from Lessee to Lessor in accordance  with the  provisions  hereof,  (i) the real
estate  taxes  for any tax year  shall be  deemed  to be the real  estate  taxes
assessed  and  payable  for  such tax year  until  such  time as the same may be
reduced by abatement,  refund, or rebate, and (ii) if any abatement,  refund, or
rebate shall be made for such tax year,  the real estate taxes for such tax year
shall be deemed to be the real estate  taxes as so reduced  plus the expenses of
obtaining the reduction, with an appropriate adjustment to be made in the amount
payable from or paid by Lessee to Lessor on account of the real estate taxes.

   Section 9.03 Contest of Assessments. Lessee shall have such rights to contest
the  validity  or amount of any real estate  taxes as  permitted  to Lessor,  or
Lessee,  by law,  either in its own name or in the name of Lessor.  Lessor shall
cooperate  with Lessee in any such contest and, in connection  therewith,  shall
make available to Lessee such  information in its files as Lessee may reasonably
request. If any abatement,  refund, or rebate shall be obtained, the expenses of
obtaining the same shall be a first charge thereon.

   Section 9.04 Documentation and Payment.  Lessor shall submit to Lessee copies
of the real estate tax bills for each tax year. Lessor shall bill Lessee for any
amount that may be payable by Lessee  pursuant to the  provisions  herein.  Such
bill shall be  accompanied by a computation  of the amount  payable.  The amount
payable by Lessee  hereunder  for any tax year shall be payable on or before the
time that  Lessor  shall be  required  to pay real  estate  taxes to the  taxing
authority  for such tax year,  but if  Lessee  shall  not have  received  a bill
therefor at least fourteen days prior to such time for payment, Lessee shall not
be required to make payment until  fourteen days after the receipt of such bill.
(If real estate  taxes are payable to any taxing  authority  for any tax year in
installments, the amount payable by Lessee hereunder shall be payable in similar
installments.  If real estate taxes are payable to different taxing  authorities
for any tax year at different times, an appropriate  apportionment shall be made
of the amount  payable by Lessee for such tax year and the  apportioned  amounts
shall be payable at such times).  Lessor  agrees that real estate taxes upon the
Leased  Premises shall be paid by Lessor prior to the last day that the same may
be paid without  penalty or interest,  or if a discount  shall be available  for
early  payment,  prior to the last day that such  discount  shall be  available.
Lessor agrees to provide Lessee evidence of any taxes paid by Lessor.

   Section 9.05 Personal  Property Taxes.  Lessee agrees to pay all taxes levied
against personal  property,  trade fixtures,  and inventory in, on, or about the
Leased Premises.

                                    ARTICLE X

                                      Title

   Section 10.01 Lessor's Warranty of Title. Lessor warrants and represents that
the  Leased  Premises  is  owned  by  Lessor  in  fee,  free  and  clear  of any
restrictions  which  would  materially  adversely  affect  the use of the Leased
Premises  by Lessee and that  Lessor has the legal  right to make and enter into
this Lease.

   Section 10.02 Peaceable  Possession.  Lessor warrants to Lessee the peaceable
enjoyment  of  the  Leased  Premises  against  the  lawful  let,  hindrance,  or
disturbance of any person or persons whomsoever.

                                   ARTICLE XI

                     Assignment, Subletting, and Encumbrance

   Section 11.01 No Assignment or Subletting without Consent.  Lessee may assign
this  Lease or sublet all or any part of the Leased  Premises  without  Lessor's
prior written consent; provided,  however, that for so long as Lessor's interest
in the Leased Premises is encumbered  either by mortgage or trust deed and/or by
assignment  of this Lease to or for the benefit of AMRESCO  Commercial  Finance,
Inc., its successors or assigns (collectively, "Lender"), (i) no such assignment
shall occur nor be permitted,  with or without  Lessor's  consent,  without such
Lender's prior written  consent,  which consent may be withheld in Lender's sole
and  absolute  discretion,  and  (ii)  no such  subletting  shall  occur  nor be
permitted, with or without Lessor's consent, without such Lender's prior written
consent,   which  consent  may  not  be  unreasonably  withheld.  Any  attempted
assignment or subletting not complying with the provisions of this Section shall
be null and void and of no legal effect whatsoever.

   Section 11.02 Lessee Remains Liable.  If Lessee assigns this Lease or sublets
all or  any  part  of the  Leased  Premises,  Lessee  shall  remain  liable  and
responsible   under  this  Lease  for  the  performance  of  the  covenants  and
obligations of Lessee  hereunder,  in its capacity as a principal  hereunder and
not as a surety.

   Section 11.03 Notice in Event of  Subletting.  If Lessee  assigns this Lease,
then  Lessor,  when giving  notice to said  assignee  or any future  assignee in
respect of any default, shall also serve a copy of such notice upon Lessee.

                                   ARTICLE XII

                                  Condemnation

   Section 12.01 Entire Taking.  If all of the Leased Premises shall be taken in
condemnation  proceedings,  this Lease shall  terminate as of the taking and the
Monthly Rent and additional rent shall be paid to the date of such  termination.
Lessor shall give Lessee a proportionate refund of any rent paid in advance.

   Section 12.02 Partial  Taking.  If less than all of the Leased Premises shall
be taken in condemnation proceedings,  this Lease shall not terminate, nor shall
Lessee be entitled to any abatement of rent or reduction thereof.

   Section 12.03 Application of Award. If this Lease shall terminate pursuant to
the  provisions  of  Section  12.01  of  this  Article,  Lessor's  share  of the
condemnation  award  together  with  any  separate  award  to  Lessee  shall  be
apportioned and paid in the following order of priority:

   A. There shall be first paid any and all reasonable  expenses,  charges,  and
fees, including reasonable counsel fees, in collecting the award.

   B. Lessor shall then be entitled to receive an amount equal to the reasonable
market value of the taken Leased Premises,  on a basis without  consideration of
any unexpired  portion of the term of this Lease and unencumbered by this Lease.
If Lessor and Lessee cannot agree as to such value, the same shall be determined
by arbitration in accordance with the provisions of Section 17.11.

   C. The balance of the award shall be paid to the  Lessee;  provided,  that if
the  remainder  of the Lease Term is, at the time of the  taking,  less than one
year, such balance shall be paid to Lessor.

   Section 12.04 Application of Award in Partial Taking. If this Lease shall not
terminate but shall continue in full force and effect pursuant to the provisions
of  Section 12.02  of this  Article,  Lessee  shall  commence  and proceed  with
reasonable  diligence  to  repair  or  reconstruct  the  remaining  building  or
buildings on the taken Leased Premises to a complete architectural unit or units
to the  extent  proceeds  of the  condemnation  award  are  available  therefor.
Lessor's share of the award in  condemnation  proceedings for any partial taking
where repair or reconstruction  is undertaken,  together with any separate award
to Lessee, shall be apportioned and paid in the following order of priority:

   A. There shall first be paid any and all reasonable  expenses,  charges,  and
fees  paid to  parties  unaffiliated  to  either  Lessor  or  Lessee,  including
reasonable counsel fees, in collecting the awards.

   B.  The  proceeds  of the  awards  shall  next  be  paid  to  Lessee  for the
restoration of the building,  improvements, and equipment situated on the Leased
Premises to a complete architectural unit or units; provided,  however, that for
so long as Lessor's  interest in the Leased  Premises  is  encumbered  either by
mortgage or trust deed and/or by  assignment of this Lease to or for the benefit
of Lender, such proceeds shall be paid to and held by Lender or its designee and
be paid out from time to time to persons furnishing labor or materials, or both,
including  architects'  fees and  contractors'  compensation in such restoration
work on vouchers  approved  by a licensed  architect,  engineer or other  person
approved by Lessor and employed by Lessee to superintend the work.

   C. Lessor shall then be entitled to an amount equal to the reasonable  market
value of the portion of the Leased Premises taken, without  consideration of any
unexpired  portion of the term of this Lease and  unencumbered by this Lease. If
Lessor and Lessee cannot agree as to such value, the same shall be determined by
arbitration in accordance with the provisions of Section 17.11.

   D. The balance of the award shall be paid to Lessee.

   Section 12.05 Temporary  Possession.  If any right of temporary possession or
occupancy of all or any portion of the Leased  Premises shall be obtained by any
competent  authority  in the  exercise  of the  power  of  eminent  domain,  the
foregoing  provisions  of this Article  shall be  inapplicable  thereto and this
Lease shall continue in full force and effect without reduction or suspension of
Monthly Rent and additional  rent and Lessee shall be entitled to make claim for
and  recover  any award or awards,  whether in the form of rental or  otherwise,
recoverable in respect of such possession or occupancy.  The award shall be paid
to Lessor and  applied  against the Monthly  Rent  payable by Lessee  under this
Lease, as the same becomes due, with any surplus to be paid to Lessee;  provided
that if any portion of the award is intended to cover the cost of restoring  the
Leased Premises to the condition they were in prior to such temporary possession
or  occupancy  or to make any  repairs  occasioned  by or  resulting  from  such
possession or occupancy, such portion shall be so applied.

   Section  12.06  Consent to  Settlement  by Lessor.  Lessee shall have primary
responsibility  for dealing with the  condemning  authority in the  condemnation
proceedings,  but  Lessee  shall  not make any  settlement  with the  condemning
authority  nor convey or agree to convey the whole or any  portion of the Leased
Premises to such authority in lieu of  condemnation  without first obtaining the
written  consent of Lessor  thereto,  which  consent  shall not be  unreasonably
withheld if Lessor  receives  not less than the fair market  value of the Leased
Premises taken.

                                  ARTICLE XIII

                         Events of Default and Remedies

   Section 13.01 Events of Default.  The following  events ("Events of Default")
shall be deemed to be events of default by Lessee under this Lease:

   A.  Failure  by  Lessee to pay any  installment  of the  Monthly  Rent or any
additional rent or any other sum of money payable hereunder on the date the same
is due and such failure  shall  continue  for a period of two (2) business  days
after written notice to Lessee.

   B. Failure by Lessee to comply with any term, provision,  or covenant of this
Lease,  other than the payment of rent or other sums of money,  and Lessee shall
not cure such failure  within thirty (30) days after written  notice  thereof to
Lessee;  or if such failure  cannot  reasonably  be cured within the said thirty
(30) days,  and Lessee shall not have commenced to cure such failure within such
thirty (30) day period and shall not thereafter  with all due diligence and good
faith proceed to cure such failure.

   C. The  entering  of a decree or order by a court of  competent  jurisdiction
adjudging  Lessee a bankrupt or insolvent or appointing a receiver or trustee or
assignee  in  bankruptcy  or  insolvency  of  all  or  substantially  all of its
property,   and  any  such  decree  or  order  shall  have  continued  in  force
undischarged or unstayed for a period of sixty (60) days.

   D. The doing or permitting to be done by Lessee or any  sublessee,  assignee,
grantee,  or agent of  Lessee of  anything  which  creates a lien upon  Lessor's
interest in the Leased  Premises,  and any such lien is not discharged or bonded
within thirty (30) days after filing.

   E. The  insolvency  of Lessee or the making a transfer in fraud of creditors,
an  assignment  for the benefit of  creditors,  or the filing of a proceeding in
bankruptcy by Lessee,  or the  appointing of a receiver or trustee for Lessee or
any of the assets of Lessee.

   F. The termination,  including by expiration or nonrenewal,  without Lender's
prior  written  consent,  which  consent  may be  withheld  in Lender s sole and
absolute  discretion,  of any of the existing  leases  between Lessor and Lessee
with  respect to the real  properties  listed in  Exhibit C attached  hereto and
incorporated  herein by reference (the "FMAC  Encumbered  Leases"),  during such
time as  Lessor s  interest  in the  Leased  Premises  is  encumbered  either by
mortgage or trust deed and/or by  assignment of this Lease to or for the benefit
of Lender.

   Section  13.02  Remedies.  Upon  the  occurrence  of  any  Event  of  Default
enumerated  in  Section  13.01  hereof,  Lessor  shall  have the  option  of (i)
terminating this Lease by written notice thereof to Lessee, (ii) continuing this
Lease in full force and effect, or (iii) curing the default on behalf of Lessee;
provided,  however, that for so long as Lessor's interest in the Leased Premises
is encumbered  either by mortgage or trust deed and/or  assignment of this Lease
to or for the benefit of Lender,  no such  termination of this Lease shall occur
without  Lender's  prior  written  consent,  which  consent  may be  withheld in
Lender's sole and absolute discretion.

   A. In the event that Lessor shall elect to terminate this Lease, upon written
notice to Lessee, this Lease shall be ended as to Lessee and all persons holding
under Lessee, and all of Lessee's rights shall be forfeited and lapsed, as fully
as if this Lease had expired by lapse of time.  In such event,  Lessee  shall be
required  immediately to vacate the Leased Premises and there shall  immediately
become due and payable the amount by which (a) the total rent and other benefits
which would have  accrued to Lessor  under this Lease for the  remainder  of the
Term of this  Lease if the terms and  provisions  of this  Lease had been  fully
complied  with by Lessee  exceeds (b) the total fair market  rental value of the
Leased  Premises  for the  balance  of the  Term of this  Lease  (it  being  the
intention  of both parties  hereto that Lessor shall  receive the benefit of its
bargain);  and Lessor shall at once have all of the rights of re-entry  upon the
Leased Premises, without becoming liable for damages or guilty of a trespass. In
addition to the sum immediately  due from Lessee under the foregoing  provision,
there shall be recoverable from Lessee: (w) the reasonable cost of restoring the
Leased  Premises to good  condition,  normal wear and tear excepted  (subject to
Article XII hereof);  (x) all accrued unpaid sums,  plus interest at the highest
lawful rate per annum and late charges,  if in arrears,  under the terms of this
Lease up to the date of termination;  (y) Lessor's reasonable cost of recovering
possession of the Leased Premises;  and (z) rent and sums accruing subsequent to
the date of  termination  pursuant to the holdover  provisions  of Section 17.14
hereof.

   B. In the event that Lessor shall elect to continue  this Lease in full force
and  effect,  Lessee  shall  continue to be liable for all rents.  Lessor  shall
nevertheless  have all of the  rights  of  re-entry  upon said  Leased  Premises
without  becoming  liable for damages or being  guilty of a trespass  and Lessor
after  re-entry  may  relet  the  Leased  Premises,  or any part  thereof,  to a
substitute  tenant or tenants for a period of time equal to or lesser or greater
than the  remainder  of the term on whatever  terms and  conditions  Lessor,  at
Lessor's sole discretion,  deems advisable.  Against the rents and sums due from
Lessee to Lessor during the remainder of the term,  credit shall be given Lessee
in the net amount of rent received from the new tenant after deduction by Lessor
for:  (a) the  reasonable  costs  incurred  by Lessor in  reletting  the  Leased
Premises (including, without limitation, remodeling costs, brokerage fees, legal
fees, and the like); (b) the accrued sums, plus interest and late charges, if in
arrears,  under  the  terms  of this  Lease;  (c)  Lessor's  reasonable  cost of
recovering possession of the Leased Premises; and (d) the cost of storing any of
Lessee's  property left on the Leased Premises after  re-entry.  Notwithstanding
any provision in this  paragraph B of Section  13.02 to the  contrary,  upon the
default of any  substitute  tenant or upon the  expiration  of the lease term of
such substitute  tenant before the expiration of the Term of this Lease,  Lessor
may, at Lessor's  election,  either relet to still another  substitute tenant or
terminate  this Lease and exercise its rights under  paragraph A of this Section
13.02.

   C. In the event that Lessor  shall  elect to cure the default of Lessee,  all
sums expended by Lessor in effecting  such cure,  plus  interest  thereon at the
highest lawful rate per annum,  shall be due and payable  immediately.  Such sum
shall constitute additional rent hereunder, and failure to pay such sum when due
shall enable Lessor to exercise all of its remedies under this Lease.

   Section 13.03  Cumulative  Rights.  Pursuit of any of the foregoing  remedies
shall not preclude  pursuit of any of the other remedies  herein provided or any
other remedies  provided by law, nor shall pursuit of any remedy herein provided
constitute a forfeiture or waiver of any rent due to Lessor  hereunder or of any
damages  accruing  to Lessor by reason  of the  violation  of any of the  terms,
provisions, and covenants herein contained.  Failure by Lessor to enforce one or
more of the remedies herein  provided,  upon any Event of Default,  shall not be
deemed or  construed  to  constitute  a waiver of such  default  or of any other
violations  or breach of any of the  terms,  provisions,  and  covenants  herein
contained.

   Section  13.04  Re-Entry by Lessor.  No re-entry or taking  possession of the
Leased  Premises  by Lessor  shall be  construed  as an  election on its part to
terminate  this  Lease  unless a written  notice of such  intention  is given to
Lessee.  Lessor,  at its  option,  may make such  alterations  or repairs to the
Improvements  as  it,  in  its  reasonable  judgment,  considers  advisable  and
necessary upon the occurrence of an Event of Default, at the cost of Lessee, and
the making of such  alterations  or repairs shall not operate or be construed to
release Lessee from liability  hereunder.  Lessor shall in no event be liable in
any way whatsoever for failure to relet the Leased Premises and the Improvements
or, in the event the Leased Premises and the Improvements are relet, for failure
to collect rent thereof  under such  reletting;  and in no event shall Lessee be
entitled to receive  any excess of such rent over the sums  payable by Lessee to
Lessor  hereunder;  provided,  however,  that Lessor  shall  during such time as
Lessor is in possession of the Leased  Premises as the result of any re-entry by
Lessor  hereunder,  and  prior  to  any  termination  of  this  Lease,  exercise
reasonable efforts to cause the Leased Premises to be re-leased.

   Section  13.05  Effect of Waiver or  Forbearance.  No waiver by Lessor of any
breach by Lessee of any of its obligations,  agreements,  or covenants hereunder
shall be a waiver of any subsequent breach or of any obligation,  agreement,  or
covenant, nor shall any forbearance by Lessor to seek a remedy for any breach by
Lessee be a waiver by Lessor of its rights  and  remedies  with  respect to such
subsequent breach.

   Section 13.06  Bankruptcy of Lessee.  The  provisions of paragraph C and E of
Section 13.01  above  shall only apply with  respect to the Lessee  which is the
then owner of the leasehold  estate.  Notwithstanding  the provisions of Section
13.01 to the contrary,  the happening of any of the Events of Default  mentioned
in paragraph C or E of Section 13.01 above shall not operate or permit Lessor to
declare a default  hereunder or terminate this Lease so long as all covenants of
Lessee hereunder shall be performed by Lessee or its successor in interest.

                                   ARTICLE XIV

                                    Insurance

   Section 14.01 Liability Insurance. Lessee shall, at Lessee's expense, procure
and  maintain  at  all  times  during  any  term  of  this  Lease  a  policy  of
comprehensive  general liability  insurance,  insuring Lessor and Lessee against
liability arising out of the ownership,  use,  occupancy,  or maintenance of any
Leased  Premises.  Such insurance shall at all times be in an amount of not less
than $1,000,000.00 on a per occurrence basis. The limits of such insurance shall
not limit the liability of the Lessee under this Lease.  All insurance  required
under this  Article  XIV shall be with  companies  rated B++ or better in Best's
Insurance  Guide.  Lessee  shall  deliver to Lessor  certificates  of  insurance
evidencing  such insurance  with loss payable  clauses  satisfactory  to Lessor,
provided that in the event Lessee fails to procure and maintain such  insurance,
Lessor may (but shall not be required to) procure same at Lessee's expense after
ten (10) days' prior  written  notice.  No such policy  shall be  cancelable  or
subject to reduction of coverage or other  modification  except after sixty (60)
days' prior written notice to Lessor by the insurer.  All such policies shall be
written  as  primary  policies,  not  contributing  with  and not in  excess  of
coverages  which the Lessor may carry.  Lessee  shall,  within  twenty (20) days
prior to the  expiration  of such  policies,  furnish  Lessor  with  renewals or
binders or Lessor may order such  insurance  and charge the cost to the  Lessee,
which amounts shall be payable by Lessee on demand as  additional  rent.  Lessee
shall have the right to provide  such  insurance  coverage  pursuant  to blanket
policies  which the Lessee may have in force,  provided  such  blanket  policies
expressly afford coverage of any Leased Premises and to Lessor as is required by
this Section.

   Section 14.02 Property Insurance.  Lessee shall, at Lessee's expense, procure
and maintain at all times during the term of this Lease, a policy or policies of
insurance  covering loss or damage to any Leased  Premises in an amount not less
than ninety-five percent (95%) of the estimated  replacement value thereof,  and
providing  protection  against all perils included within the  classification of
fire,  extended  coverage,  vandalism,  malicious  mischief,  sprinkler leakage,
flood, and special extended peril (all risk). Lessee shall pay the entire amount
of such annual  insurance  premiums and shall deliver to Lessor  certificates of
insurance  evidencing such insurance with loss payable  clauses  satisfactory to
Lessor,  provided  that in the event Lessee  fails to provide and maintain  such
insurance,  Lessor may (but shall not be required  to) procure  same at Lessee's
expense  after ten (10) days' prior  written  notice.  No such  policy  shall be
cancelable  or subject to  reduction  of coverage or other  modification  except
after sixty (60) days' prior written  notice to Lessor by the insurer.  All such
policies shall be written as primary policies,  not contributing with and not in
excess of coverages which the Lessor may carry. Lessee shall furnish Lessor with
renewals  or binders or Lessor may order such  insurance  and charge the cost to
the Lessee,  which amounts shall be payable by Lessee on demand.  Such insurance
shall  provide  for  payment of losses  thereunder  to Lessor or the holder of a
first mortgage or deed of trust on any of the Leased Premises. Any loss proceeds
shall  be made  available  for the  purposes  of  replacing  or  rebuilding  the
pertinent Leased Premises to the condition  existing  immediately  prior to such
damage,  if any such  construction  activities are permissible  under applicable
laws and regulations then pertaining to the damaged Leased  Premises;  provided,
however,  that  for so  long as Lessor's  interest  in the  Leased  Premises  is
encumbered  either by mortgage or trust deed and/or by  assignment of this Lease
to or for the benefit of Lender,  such  proceeds  shall be held by Lender or its
designee to be used in the manner herein provided.

   Section 14.03  Release.  Lessor  hereby  releases  Lessee,  and Lessee hereby
releases  Lessor,  and  their  respective  officers,   agents,   employees,  and
representatives,  from any and all claims or demands for damages, loss, expense,
or injury to the Leased Premises, or to the furnishings, fixtures, equipment, or
inventory or other  property of either Lessor or Lessee in,  about,  or upon the
Leased Premises,  as the case may be, which is caused by or results from perils,
events,  or  happenings  which  are the  subject  of  insurance  carried  by the
respective parties and in force at the time of any such loss; provided, however,
that  such  waiver  shall  be  effective  only to the  extent  permitted  by the
insurance  covering such loss and to the extent such insurance is not prejudiced
thereby or the expense of such insurance is not thereby increased.

                                   ARTICLE XV

                        Attorney's Fees and Lessor's Lien

   Section  15.01  Attorney's  Fees.  If on  account of any breach or default by
either party  hereunder it shall become  necessary for the other party hereto to
employ an attorney to enforce or defend any of said  party's  rights or remedies
hereunder,  and should such party prevail in a final judgment, the party against
whom  enforcement  was  sought  shall  pay to the  other  party  any  reasonable
attorney's fees incurred by reason of such proceedings.

   Section 15.02  Lessor's Lien. In addition to the statutory  landlord's  lien,
Lessor shall have at all times,  and Lessee does hereby grant to Lessor, a valid
contractual lien upon and a security  interest in all goods,  wares,  equipment,
fixtures,  furniture,  and other personal  property of Lessee presently or which
may hereafter be situated on the Leased  Premises and all proceeds  therefrom to
secure  the  payment  by  Lessee  of all  rentals  and  other  sums of money due
hereunder,  and such property shall not be removed therefrom without the consent
of Lessor  until all  arrearages  in rent,  as well as any and all other sums of
money then due to Lessor  hereunder,  shall first have been paid and discharged.
Upon the  occurrence  of an Event of Default by Lessee,  Lessor may sell any and
all  improvements,  goods,  wares,  equipment,  fixtures,  furniture,  and other
personal  property  of Lessee  situated  on the Leased  Premises  at one or more
public or private  sales after giving Lessee  reasonable  notice of the time and
place of any public sale or sales or of the time after which any private sale or
sales are to be made, with or without having such property at the sale, at which
Lessor or its assigns may purchase property to be sold, being the highest bidder
therefor.  The requirement of reasonable notice to Lessee hereunder shall be met
if such notice is given in the manner  prescribed in Section 17.06 of this Lease
at least ten (10)  days  before  the time of sale.  The  proceeds  from any such
disposition  less any and all expenses  connected with the taking of possession,
holding, and selling of the property (including  reasonable  attorney's fees and
legal  expenses)  shall be applied as a credit against any sums due by Lessee to
Lessor.  Any surplus  shall be paid to Lessee or as  otherwise  required by law.
Upon request by Lessor, Lessee agrees to execute and deliver to Lessor financing
statements in form sufficient to perfect the security  interest of Lessor in the
aforesaid  property and proceeds under the provisions of the Uniform  Commercial
Code  in  force  in the  states  in  which  the  Leased  Premises  are  located.
Notwithstanding  anything to the contrary  stated herein,  the statutory lien of
Lessor and the landlord's lien and security  interest  granted in this paragraph
are  subject  and  subordinate  to the  rights,  if any,  of the  holder  of any
indebtedness  secured by Lessee's  interest in the  equipment or other  property
located on the Leased  Premises,  and Lessor  agrees to execute such  additional
documents as shall be necessary to effect or evidence such subordination.

                                   ARTICLE XVI

                             Right of First Refusal

   Section  16.01 As long as Lessee  is Lessee  under  this  Lease and  provided
Lessee is not in default  hereunder,  if at any time after the execution of this
Lease  Lessor  shall  receive a bona fide offer which it is willing to accept to
sell or transfer legal title to the Leased Premises (or any interest therein) to
any person  (other than an  affiliate,  shareholder,  partner,  joint  venturer,
spouse, or lineal  descendant of Lessor or any trust for their benefit),  Lessor
shall,  within fifteen (15) days after Lessor's receipt of the acceptable offer,
notify Lessee of the terms of such offer  ("Lessor's  Offer  Notice").  Lessor's
Offer Notice shall include the name of the offeror and the offered consideration
and other  terms of such offer  (together  with a copy of the offer) and Lessee,
within ten (10) days after  receipt of  Lessor's  Offer  Notice,  shall have the
right to purchase the interest to be sold or  transferred on all the other terms
and conditions  stated in Lessor's  Offer Notice.  Failure of Lessee to exercise
such right  within  said ten (10) days  period  shall be deemed a waiver of such
right.  Upon notice from Lessee of its  decision  not to exercise  such right or
upon waiver of the same, Lessor shall be free to consummate the sale or transfer
in accordance  with the terms set forth in Lessor's  Offer Notice.  In the event
such sale or transfer is not consummated within six (6) months after the date of
the  delivery  of Lessor's  Offer  Notice,  the right  granted to Lessee in this
Article XVI shall be reinstated,  and any such subsequent sale or transfer shall
be subject to this right. Any sale or transfer  contemplated by this Article XVI
shall be subject to the provisions of this Lease including,  without limitation,
the rights of Lessee contained  herein.  Upon Lessee's  exercise of its right of
first  refusal  hereunder,  Lessee may assign such rights to any other person or
entity  without  the consent of Lessor or any trust for their  benefit,  but any
assignment shall not relieve Lessee of its obligations  hereunder or thereunder.
The right of first  refusal  herein  granted  to  Lessee  shall not apply to any
transfer  by  Lessor  of the  Leased  Premises  to any  affiliate,  shareholder,
partner, joint venturer, spouse, or lineal descendant of Lessor or any trust for
their  benefit or to any  transfer  by gift,  will,  or the laws of descent  and
distribution.  The right of first refusal herein granted to Lessee shall be, and
is hereby  made,  subject and  subordinate  to any mortgage or trust deed and/or
assignment of this Lease to or for the benefit of Lender.

                                  ARTICLE XVII

                                  Miscellaneous

   Section 17.01 Inspection.  Lessee shall permit Lessor and its agents to enter
into and upon the Leased  Premises at all reasonable  times and upon  reasonable
notice for the purpose of  inspecting  the same on condition  that  Lessee's and
Lessee's tenants use and quiet enjoyment of the same is not interfered with.

   Section 17.02 Estoppel Certificates. Lessee and Lessor shall, at any time and
from time to time upon not less than ten (10) days'  prior  request by the other
party, execute,  acknowledge,  and deliver to Lessor, or Lessee, as the case may
be, a statement in writing  certifying  that (i) this Lease is unmodified and in
full force and effect  (or if there have been any  modifications,  that the same
are in full force and effect as modified and stating the modifications)  and, if
so,  the dates to which the fixed rent and any other  charges  have been paid in
advance, and (ii) that no default hereunder on the part of the Lessor or Lessee,
as the case may be,  exists  (except  that if any such  default  does  exist the
certifying  party shall specify such  default),  it being intended that any such
statement  delivered  pursuant  to this  Section  17.02 may be relied  upon by a
prospective  purchaser  or  encumbrancer  (including  assignees)  of the  Leased
Premises.

   Section 17.03 Release. If requested by Lessor,  Lessee shall upon termination
of this Lease  execute and  deliver to Lessor an  appropriate  release,  in form
proper for recording,  of all Lessee's interest in the Leased Premises, and upon
request of Lessee,  Lessor will  execute and deliver a written  cancellation  or
termination  of this Lease in proper form for  recording;  provided,  that in no
event shall any such release,  cancellation, or termination constitute a release
or  relinquishment  by either party of his or its rights against the other party
for any amounts payable by such other party under the terms of this Lease or any
damages to which such party is  entitled as a result of any default by the other
party hereunder.

   Section 17.04 Lessor's Right to Perform Lessee's  Covenants.  If Lessee shall
default in the performance of any of its covenants,  obligations,  or agreements
contained in this Lease, other than the obligation to pay rent, Lessor after ten
(10) days' notice to Lessee  specifying  such default (or shorter  notice if any
emergency  exists),  may (but without any  obligation so to do) perform the same
for the account and at the expense of Lessee, and the amount of any payment made
or other reasonable expenses,  including reasonable attorneys' fees, incurred by
Lessor for curing such  default,  with  interest  thereon at the lower of twelve
percent (12.0%) per annum or the maximum amount allowed by law, shall be payable
by Lessee to Lessor on demand as additional rent.

   Section  17.05  Non-Merger.  There  shall be no  merger  of this  Lease,  the
leasehold estate created hereby or the  Improvements  with the fee estate in and
to the Leased  Premises  by reason of the fact that this  Lease,  the  leasehold
estate created thereby,  or the Improvements,  or any interest in the foregoing,
may be held directly or indirectly by or for the account of any person who shall
own the fee estate in and to the Leased Premises, or any portion thereof, and no
such  merger  shall  occur  unless and until all  persons at the time having any
interest in the fee estate and all person having any interest in this Lease, the
leasehold estate,  or the Improvements,  including the holder of any mortgage or
deed of trust  upon the fee  estate in and to the  Leased  Premises  and/or  any
assignee  of this  Lease,  shall  join in a written  instrument  effecting  such
merger.

   Section 17.06  Notices.  Any notice to be given or to be served in connection
with this Lease must be in writing, and may be given by facsimile,  by certified
mail,  or by overnight  delivery  service and shall be deemed to have been given
and received upon the earlier of receipt  thereof by the  receiving  party or on
the  third  business  day  after  a  letter  containing  such  notice,  properly
addressed,  with postage prepaid is deposited in the United States Mail or given
to a nationally recognized overnight delivery service, addressed as follows:

            If to Lessor:

                  FFP Properties, L.P.
                  Attn:  Lease Administration
                  2801 Glenda Avenue
                  Fort Worth, Texas
                  76117-4391
                  Facsimile:  817/838-1871

            If to Lessee:

                  FFP Operating Partners, L.P.
                  Attn:  Contracts Administration
                  2801 Glenda Avenue
                  Fort Worth, Texas
                  76117-4391
                  Facsimile:  817/838-1871

   Each party  hereto  shall  have the  right,  by giving not less than five (5)
days' prior written notice to the other parties hereto, to change any address of
such party for the purpose of notices under this Section 17.06.

   Section  17.07  Successors  and Assigns.  The word  "Lessor," as used in this
instrument,  shall extend to and include any and all persons, whether natural or
artificial,  who at any time or from time to time  during the term of this Lease
shall succeed to the interest and estate of Lessor in the Leased  Premises;  and
all of the covenants, agreements,  conditions, and stipulations herein contained
which inure to the benefit of and are  binding  upon Lessor  shall also inure to
the benefit of and shall be,  jointly  and  severally,  binding  upon the heirs,
executors, administrators, successors, assigns, and grantees of Lessor, and each
of them, and any and all persons who at any time or from time to time during the
term of this Lease  shall  succeed to the  interest  and estate of Lessor in the
real estate and  property  hereby  demised.  The word  "Lessee," as used in this
instrument,  shall extend to and include any and all persons, whether natural or
artificial,  who at any time or from time to time  during the term of this Lease
shall succeed to the interest and estate of Lessee  hereunder in accordance with
the terms of Section 11.01;  and all of the covenants,  agreements,  conditions,
and  stipulations  herein contained which inure to the benefit of or are binding
upon  Lessee  shall also inure to the  benefit of and be jointly  and  severally
binding upon the successors, assigns, or other representatives of Lessee, and of
any and all  persons  who shall at any time or from time to time during the term
of this Lease  succeed  in  accordance  with the terms of  Section  11.01 to the
interest and estate of Lessee hereby created in the Leased Premises.

   Section  17.08  Modifications.  This  Lease may be  modified  only by written
agreement signed by the Lessor and Lessee;  provided,  however, that for so long
as Lessor's  interest in the Leased Premises is encumbered either by mortgage or
trust deed and/or by assignment of this Lease,  no amendment,  waiver,  release,
discharge,  or other  modification of the terms of this Lease shall be effective
without the written consent of Lender, which consent may be withheld in Lender's
sole and absolute discretion.

   Section 17.09 Descriptive  Headings.  The descriptive  headings of this Lease
are inserted for  convenience  in reference  only and do not in any way limit or
amplify the terms and provisions of this Lease.

   Section 17.10 No Joint Venture. The relationship between Lessor and Lessee at
all times  shall  remain  solely  that of  landlord  and tenant and shall not be
deemed a partnership or joint venture.

   Section  17.11  Arbitration.  Wherever in this Lease it is provided  that any
question shall be determined by arbitration,  such question shall be settled and
finally determined by arbitration in accordance with the rules then in effect of
the American Arbitration Association,  or its successors,  and the judgment upon
the award  rendered may be entered in any court having  jurisdiction  thereover.
Such arbitration  shall be held in the City of Fort Worth,  Texas. The number of
arbitrators to be appointed  shall be three (3). The  arbitrators  shall have at
least  five (5) years  experience  in real  estate in the area  where the Leased
Premises is located and shall not be related to either party. The parties to the
arbitration,  in  addition  to  the  rights  granted  under  the  rules  of  the
Association,  shall have the right to offer evidence and testify at the hearings
and cross-examine witnesses. The cost of such arbitration shall be split equally
between the parties.

   Section 17.12  Memorandum of Lease.  Lessor and Lessee agree that they shall,
at any time at the request of the other,  promptly execute a memorandum or short
form of this Lease,  in recordable  form,  setting  forth a  description  of the
Leased Premises, the term of this Lease, and any other provisions herein, or the
substance thereof, as either party desires.

   Section 17.13 Partial  Invalidity.  If any term or provision of this Lease or
the  application  thereof to any person or  circumstance  shall to any extent be
invalid or  unenforceable,  the remainder of this Lease,  or the  application of
such term or  provision  to any person or  circumstances  other than those as to
which it is invalid or unenforceable,  shall not be affected  thereby,  and each
term of this  Lease  shall  be  valid  and be in  force  to the  fullest  extent
permitted by law.

   Section  17.14  Holding  Over.  In  case of  holding  over  by  Lessee  after
expiration or termination  of the Term of this Lease,  Lessee shall pay monthly,
as rent, an amount equal to 125% of the amount of Monthly Rent payable as of the
end of such Term during each month or partial month of the holdover  period.  No
holding  over by Lessee  after the Term of this  Lease,  either  with or without
consent  and  acquiescence  of Lessor,  shall  operate to extend the Lease for a
longer  period  than one  month  unless  (i) a  holdover  agreement  in  writing
specifies a longer  period or (ii) this Lease is  extended  in writing;  and any
holding over without  consent of Lessor in writing shall  thereafter  constitute
this Lease a lease from month to month. In the event of any unauthorized holding
over,  Lessee shall indemnify Lessor against all claims for damages by any other
tenant or  prospective  tenant to whom Lessor may have leased all or any part of
the Leased Premises,  resulting from delay by Lessor in delivering possession of
all or any part of the Leased Premises.

   Section  17.15  Lessor  Default.  In the event of any  default  hereunder  by
Lessor,  Lessee may, if such default  continues after a reasonable notice period
following receipt of written notice thereof to Lessor, cure such default for the
account and at the expense of Lessor. If Lessee at any time after the expiration
of such curative  period by reason of such breach is compelled to pay, or elects
to pay, any sum of money or do any act which will require the payment of any sum
of money, or is compelled to incur any expense,  including reasonable attorney's
fees, in instituting,  prosecuting, and/or defending any action or proceeding to
enforce  Lessee's  rights  hereunder  or  otherwise,  the sum or sums so paid by
Lessee, with all interest, costs, and damages, shall on demand be paid by Lessor
to Lessee,  but Lessee  shall have no right to offset any such sums  against any
amounts which may be due to Lessor hereunder.

   Section  17.16 Lessor  Covenant.  Lessor shall pay when due all principal and
interest on any mortgage or superior lease to which this Lease is subordinate or
subordinated,  and shall pay or discharge  (by bonding or  otherwise)  all valid
mechanic's   liens  filed  against  the  Leased   Premises  by  reasons  of  any
construction by Lessor.

   Section 17.17 Sublease.  If this Lease is in fact a sublease,  Lessee accepts
this Lease subject to all of the terms and  conditions of the  underlying  lease
under which Lessor holds the Leased Premises as lessee. Lessee covenants that it
will do no act or thing which  would  constitute  a  violation  by Lessor of its
obligation  under  such  underlying  lease;  provided,  however,  that  Lessee's
agreement in this regard is premised on Lessor's  assurances  to the effect that
the terms of this Lease do not violate such underlying lease.

   Section 17.18 Venue. This Lease is entered into in Tarrant County, Texas, and
is enforceable in that county.

   Section 17.19  Further  Covenants.  Lessor and Lessee,  as  applicable,  each
further  covenant  and  agree  for the  benefit  of  Lender  that for so long as
Lessor's  interest in the Leased  Premises is  encumbered  either by mortgage or
trust deed and/or by assignment of this Lease:

   A. Lessee shall timely take all such action necessary to exercise all renewal
options and extend each of the FMAC Encumbered Leases.

   B. Lessee  shall remain  obligated  under this Lease in  accordance  with its
terms and Lessee will not take any action to terminate,  rescind,  or avoid this
Lease, notwithstanding the bankruptcy, insolvency, reorganization,  composition,
readjustment,   liquidation,   dissolution,   winding-up,  or  other  proceeding
affecting  Lessor  or  any  assignee  of  Lessor  in  any  such  proceeding  and
notwithstanding  any action with respect to this Lease which may be taken by any
trustee  or  receiver  of  Lessor  or of any  assignee  of  Lessor  in any  such
proceeding or by any court in any such proceeding.

   C. Lessee  waives all rights now or  hereafter  conferred by law (a) to quit,
terminate,  or surrender  this Lease or any of the premises or any part thereof,
or (b) to any abatement, suspension, deferment, or reduction of the Monthly Rent
or any other  sums  payable  under this  Lease,  except as  otherwise  expressly
provided herein,  regardless of whether such rights shall arise from any present
or future constitution, statute, or rule of law.

   D. In the event that,  notwithstanding  the express  provision of this Lease,
this Lease shall terminate by operation of law, or action of or authorization by
any court, or if any receiver or trustee in bankruptcy,  liquidator, or assignee
of Lessor  shall  initiate any action for the taking  possession  of the rentals
payable  hereunder and the application  thereof for the benefit of any creditors
of Lessor other than the holders of  obligations  secured by a first mortgage or
trust deed on the Leased Premises,  Lessee shall, upon thirty (30) days' written
notice  to Lessee by Lender  that it has all  requisite  authority  to lease the
premises  or any part  thereof  and desires to lease the same or part to Lessee,
enter into a new lease with Lender  containing  substantially  the same terms as
this Lease,  provided that a reputable title company will insure that Lessee has
good and valid title to the leasehold estate under the new lease. Forthwith upon
the execution and delivery of such new lease,  this Lease and all obligations of
Lessee hereunder shall terminate without further action by any party hereto.

   E. This Lease shall be subject and subordinate to the lien of any mortgage or
trust  deed to or for the  benefit  of  Lender,  without  the  necessity  of the
execution  and  delivery  of any further  instruments,  whether any such lien is
currently  existing or hereafter  created,  and Lessee shall execute and deliver
upon Lender's request,  without charge, such further instruments evidencing such
subordination of this Lease as Lender may request from time to time.

   F. In the event of Lender's  foreclosure  of any  mortgage or the exercise of
any power of sale with  respect to the Leased  Premises,  Lessee shall attorn to
Lender and  recognize  Lender as the Lessor  under this Lease,  provided  Lender
expressly agrees in writing to be bound by the terms of this Lease.

   17.20  Third-Party  Beneficiary.  Lessor and Lessee  acknowledge  that Lender
shall  be a  third-party  beneficiary  of this  Lease  for so  long as  Lessor's
interest in the Leased  Premises is encumbered  either by mortgage or trust deed
and/or by assignment of this Lease to or for the benefit of Lender.

   IN WITNESS  WHEREOF,  the parties have executed this instrument as of the day
and year first above written.
                                    LESSOR:

                                    FFP PROPERTIES, L.P.

                                    By:  FFP Partners, L.P.
                                    its sole general partner

                                    By:   FFP Real Estate Trust
                                          its sole general partner

                                    By: _____________________________
                                       Craig T. Scott, Vice President

                                    LESSEE:

                                    FFP OPERATING PARTNERS, L.P.

                                    By:   FFP Operating LLC
                                          its sole general partner

                                    By: __________________________
                                       Robert J. Byrnes, President

                                 ACKNOWLEDGMENTS

STATE OF TEXAS    )
                  )
County of Tarrant )

   This instrument was acknowledged  before me on September ____, 1999, by Craig
T. Scott,  Vice  President  of FFP Real  Estate  Trust,  general  partner of FFP
Partners,  L.P.,  general partner of FFP  Properties,  L.P., who stated that the
same was signed in such  capacity for such  entities and the purposes  indicated
therein.
                                    _____________________________
                                    NOTARY PUBLIC, STATE OF TEXAS
      [Notary stamp]

STATE OF TEXAS    )
                  )
County of Tarrant )

   This  instrument  was  acknowledged  before me on September  ____,  1999,  by
Robert J.  Byrnes,  President  of FFP  Operating  LLC,  general  partner  of FFP
Operating  Partners,  L.P., who stated that the same was signed in such capacity
for such entities and for the purposes indicated therein.

                                    _____________________________
                                    NOTARY PUBLIC, STATE OF TEXAS
      [Notary stamp]

<PAGE>

                                    EXHIBIT B
                                       OF
                             MASTER LEASE AGREEMENT

           (Legal descriptions for all properties listed on Exhibit A)PLEDGE AND SECURITY AGREEMENT
                             ACLC 1999-2 SBL PROGRAM

                                     made by

                             FFP Properties, L. P.,
                                   as Borrower

                                   in favor of

                        AMRESCO COMMERCIAL FINANCE, INC.,
                                as Secured Party

<PAGE>

   PLEDGE AND SECURITY  AGREEMENT (this "Security  Agreement"),  dated as of the
date set forth on the  signature  page  hereof,  by FFP  Properties,  L. P. (the
"Borrower"), in favor of AMRESCO COMMERCIAL FINANCE, INC., a Nevada corporation
(together with its successors and assigns, the "Secured Party").

                             Preliminary Statements

   A. On the date  hereof;  the Secured  Party will make  certain  loans (each a
"Loan" and,  collectively,  the  "Loans") to the  Borrower  segregated  into two
series  ("Series A and B" or for any such series a "Tranche") of which the Loans
in this series A are reflected in six (6) separate  promissory notes in the ACLC
1999-2 SBL Program to the Secured Party,  one  promissory  note in the amount of
$83,695.65,  a second  promissory  note in the  amount of  $988,043.47,  a third
promissory note in the amount of $2,318,478.25,  a fourth promissory note in the
amount of $529,347.82, a fifth promissory note in the amount of $157,608.70, and
a sixth  promissory  note in the  amount of  $2,507,608.69,  each dated the date
hereof  (collectively,  the  "Promissory  Note"),  which  Promissory  Note  will
evidence  the  Borrower's  obligation,  inter   alia,  (i) to  repay  the  Loans
reflected  in  such   Promissory   Note,   (ii)  to  guarantee  the  payment  of
delinquencies or defaults in respect of Program Loans (as defined therein) in an
amount up to the Aggregate Credit Enhancement Amount (as defined therein), (iii)
to pay rebatable  Scheduled Monthly Credit Enhancement  Obligation  Payments (as
defined  therein) on each Loan and (iv) to pay interest and other amounts as set
forth therein.

   B. It is a condition to the making of the Loans, that the Borrower shall have
executed and delivered this Security Agreement whereby the Borrower, in order to
provide  security for the full payment when due of all amounts payable under the
Promissory Note, shall pledge and grant to the Secured Party a security interest
in the collateral described herein.

   NOW THEREFORE,  in  consideration of the foregoing and in order to induce the
Secured Party to make the Loans available to the Borrower and for other good and
valuable consideration, the receipt and sufficiency of which the Borrower hereby
acknowledges, the Borrower and the Secured Party agree as follows:

                                            ARTICLE I

                                   DEFINITIONS AND OTHER TERMS

                            1.Definitions and Other Terms.

   1.1.Defined  Terms.  The  following  terms  shall  have the  meanings  herein
specified unless the context otherwise requires. All terms not otherwise defined
herein shall have the meaning accorded to such terms in the Promissory Note. All
terms defined in the singular will have the same meaning when used in the plural
and vice versa.

   "Accounts" means "accounts" as such term is defined in the UCC.

   "Affiliate"  means, with respect to any designated  Person,  any Person that,
directly or indirectly,  controls or is controlled by or is under common control
with  such  designated  Person  and,  without  limiting  the  generality  of the
foregoing,  shall  include,  (a) any  Person who is a  director  or officer  of,
partner in, trustee of, or blood or legal relative,  guardian or  representative
of the designated Person, or any Person who acts or serves in a similar capacity
with  respect  to the  designated  Person,  (b) any  Person of which or whom the
designated Person is a director or officer,  partner, trustee, or blood or legal
relative,  guardian or  representative,  or with  respect to which or whom,  the
designated Person acts or serves in a similar capacity; and (c) any Person, who,
directly or  indirectly,  is the legal or  beneficial  owner of or controls  ten
percent  (10%)  or more of any  class of  equity  securities  of the  designated
Person.  For  the  purposes  of  this  definition,  "control"  (including,  with
correlative  meanings,  the terms  "controlled  by" and  "under  common  control
with"), as used with respect to any Person, shall mean the possession,  directly
or  indirectly,  of the power to direct or cause the direction of the management
and policies of such Person, whether through the ownership of voting securities,
by contract or otherwise.

   "Affiliate Guarantor" has the meaning ascribed to such term in Section 1.2.

   "Aggregate Credit  Enhancement  Amount" has the meaning ascribed to such term
in the Promissory Note.

   "Applicable  Collateral"  means, for each Loan, the portion of the Collateral
specifically  relating to the Store which corresponds to such Loan (as set forth
on Schedule 4 attached hereto).

   "Business" means all Stores operated by the Borrower.

   "Business Day" means any day other than a Saturday,  Sunday or a day on which
banking  institutions  in New York City are  authorized  or  obligated by law or
executive order to be closed.

   "Cash Flow"  means,  for any period,  with  respect to any Person,  an amount
equal  to (a)  the sum of (i)  pre-tax  income,  (ii)  interest  expense,  (iii)
depreciation and amortization,  (iv) Discretionary  Expenses, (v) Rental Expense
and (vi) Non-Recurring  Expenses less Non-Recurring  Income, all as reflected on
such Person's financial statement for such period.

   "Chattel Paper" has the meaning ascribed to such term under the UCC.

   "Code" means the Internal Revenue Code of 1986 as amended.

   "Collateral" has the meaning ascribed to such term in Section 2.

   "Consolidated  FCCR" means,  for any period,  the ratio of (a) the Borrower's
Cash Flow for such period to (b) the sum of Fixed Charges and Rental  Expense of
the Borrower for such period.

   "Contracts" shall mean all contracts and agreements to which the Borrower now
is, or hereafter will be, bound, or a party, beneficiary or assignee (other than
rights evidenced by Chattel Paper, Documents or Instruments), including, without
limitation,  any  franchise  agreements  or  license  agreements  and all  other
agreements and documents  executed and delivered with respect to such contracts,
and all  revenues,  rentals  and  other  sums of  money  due and to  become  due
thereunder from any of the foregoing.

   "Copyrights"   shall  mean  all  United  States  or  other   registered   and
unregistered  copyrights,  all licenses thereto, and all applications  therefor,
and all reissues, divisions, continuations, renewals, extensions, modifications,
supplements  thereto  or to any part  thereof,  and the  right to sue for  past,
present and future infringements of the foregoing,  and all rights corresponding
to the foregoing throughout the world.

   "Credit  Enhancement  Amount"  has the  meaning  ascribed to such term in the
Promissory Note.

   "Default Rate" has the meaning ascribed to such term in the Promissory Note.

   "Deposit Accounts" has the meaning ascribed to such term in the UCC.

   "Discretionary  Expenses" means,  with respect to any Person,  the difference
between (a) operating expenses for salaries, wages, benefits, and reimbursements
and the like  incurred  by such  Person  and (b) the  reasonable  and  customary
expenses for salaries;  wages,  benefits,  and  reimbursements  incurred by such
Person,  as  determined  by  the  Secured  Party  or  any  appointed   servicer.
Discretionary Expenses shall in no event be less than zero.

   "Distributions"   means   distributions,   all   salaries,   fees  and  other
compensation, and all reimbursement or indemnification,  directly or indirectly,
paid or payable to (or forte  benefit of any  Affiliate of the  Borrower,  other
than a  Person  who  is an  officer  of the  Borrower  and is not  otherwise  an
Affiliate of the Borrower. "Distributions" shall include, but not be limited to,
any payment or reimbursement of travel and  entertainment  expenses,  automobile
expenses,  and premiums or expenses  associated with any insurance  policy other
than those expressly required to be maintained pursuant to Section 3.18 hereof.

   "Document" has the meaning ascribed to such term under the UCC.

   "ERISA" means the Employee Retirement Income Security Act of 1974 as amended.

   "Equipment" means any "equipment",  as such term is defined in the 13CC, used
or bought  for use  primarily  in the  Pledged  Stores and not  included  within
Inventory,  now or hereafter  owned or leased by the Borrower and, in any event,
shall  include,  but shall not be limited  to, all  machinery,  tools,  computer
software,  office  equipment,  furniture,  appliances,   furnishings,  fixtures,
vehicles,  motor vehicles,  petroleum  storage tanks and pumps, and any manuals,
instructions  and similar items which relate to the  foregoing,  and any and all
additions,  substitutions  and  replacements  of any of the foregoing,  wherever
located, together with all improvements thereon and all attachments, components,
parts, equipment and accessories installed thereon or affixed thereto.

   "Event of Default" has the meaning ascribed to such term in Section 7.

   "Financing  Statements"  means  the UCC  financing  statements,  prepared  by
Secured  Party,  and  delivered to Borrower and which  Borrower must execute and
deliver to Secured Party as a condition under the Loan Documents.

   "Fixed Changes" means,  with respect to any Person,  for any period,  without
duplication,  the aggregate of all amounts paid or accrued by such Person during
such period with respect to  Indebtedness,  as  determined  in  accordance  with
generally accepted accounting principles.

   "Franchise  Agreement" means any franchise or license agreement or agreements
with Borrower as franchisor or licensor, or as franchisee or licensee.

   "General  lntangibles"  shall  mean  "general  intangibles"  as such  item is
defined  in the  UCC  and  shall  include,  but  not be  limited  to,  writings,
memoranda,   confirmations,   passbooks,   signature  cards,   acknowledgements,
understandings,  contract rights, licenses,  including Liquor Licenses,  leases,
permits,  filings,  consents,  and  approvals,  and all  puts,  calls,  options,
warrants,  and  securities,  and all security  interests,  Patents,  inventions,
processes,   lists  (including  customer  and  suppliers  lists),  methods,  and
information (including proprietary information, director and shareholder, sales,
business,  financial,  accounting,  forecasts,  projections,  media,  and  other
information),  know-how, software,  programs, plans, data, blueprints,  designs,
drawings, surveys, notices, Copyrights,  Trademarks,  tradenames, trade secrets,
service  marks,  service  names,  logos and  goodwill,  and all  recordings  and
registrations  thereof,  applications for recording or  registration,  renewals,
modifications,   supplements,  reissues,  continuations,  extensions,  divisions
thereof and rights corresponding thereto, and all manuals, standards, practices,
mail,  advertisements,  files,  reports,  books,  catalogs,  records,  journals,
invoices,  and bills, and all rights (including voting rights, rights to receive
notice or to consent, rights to payment, interest,  dividends,  distributions or
earnings,  rights to sue and enforce),  powers  (including  powers of attorney),
privileges,  benefits,  and remedies  relating  thereto or arising in connection
therewith.

   "Goods" has the meaning ascribed to such term in the UCC.

   "Indebtedness" means, with respect to any Person, (a) all obligations of such
Person for  borrowed  money,  (b) all  obligations  of such Person  evidenced by
bonds,  debentures,  notes or other similar instruments,  (c) all obligations of
such Person to pay the deferred purchase price of property or services,  (d) all
capitalized  lease  obligations of such Person,  (e) all  indebtedness of others
secured by a Lien on any asset of such Person,  whether or not such indebtedness
has been assumed by such Person and (f) all indebtedness of others to the extent
guaranteed by such Person.

   "Instrument"  has the  meaning  ascribed  to such term in the UCC (other than
Instruments constituting Chattel Paper).

   "Insurance and  Condemnation  Proceeds" means (a) any and all proceeds of any
insurance  (insuring  the  Collateral  or  otherwise  required to be  maintained
hereunder,  including  return  of  unearned  premium),  indemnity,  warranty  or
guaranty payable to the Secured Party or Borrower flout time to time, and claims
fur insurance,  indemnity, warranty or guaranty effected or held for the benefit
of the  Borrower,  with  respect to any of the  Collateral,  and (b) any and all
payments (in any form  whatsoever)  made or due and payable to the Borrower from
time to time in connection  with any  requisition,  confiscation,  condemnation,
seizure or forfeiture of all or any part of the  Collateral by any  governmental
authority (or any person acting under color of governmental authority).

   "Inventory" means all inventory of the Borrower of every type or description,
including  all  "inventory"  as such term is  defined  in the UCC,  now owned or
hereafter  acquired and wherever  located,  whether raw, in process or finished,
and all  materials  usable in  processing  the same and all  documents  of title
covering  any  inventory,   including,  without  limitation,  work  in  process,
materials  used or  consumed  in the  Pledged  Stores,  now  owned or  hereafter
acquired  or  manufactured  by the  Borrower  and held for sale in the  ordinary
course of its business;  all present and future substitutions thereof, parts and
accessories  thereof and all  additions  thereto;  and all Proceeds  thereof and
products of such inventory in any form whatsoever.

   "Lease Obligations" means with respect to any Person, any obligations or such
Person In connection with any leases for personal property (including Equipment)
or  real  property,   to  the  extent  such  obligations  are  not  included  in
Indebtedness.

   "License"  means any license to use the  Trademarks  in  connection  with the
operation of the Business.

   "Lien" means any deed, mortgage,  pledge,  security interest,  hypothecation,
collateral  assignment,  encumbrance,  lien (statutory or other), or preference,
priority or other security agreement or preferential  arrangement of any kind or
nature whatsoever (including,  without limitation, any conditional sale or other
title retention  agreement,  any financing lease having  substantially  the same
economic  effect  as any of the  foregoing,  and  the  filing  of any  financing
statement under the UCC).

   "Liquor License" means all liquor licenses issued to, or used by, Borrower or
any  Affiliate  of Borrower in  connection  with the Stores  including,  but not
limited to, all liquor licenses listed on Schedule 5 attached hereto.

   "Loan"  and  "Loans"  have  the  meanings  ascribed  to  such  terms  in  the
preliminary statements of this Security Agreement.

   "Loan Amount" shall have the meaning  ascribed to such term in the Promissory
Note.

   "Loan Documents"  means the Promissory Note, this Security  Agreement and any
guarantee, mortgage, deed of trust or other instrument,  agreement,  certificate
or other writing, now or hereafter executed and delivered in connection with the
Promissory Note or the Obligations.

   "Make  Whole  Premium"  means:  (a) for a Fixed  Rate  loan  has the  meaning
ascribed  to  such  term  in the  Fixed  Rate  Promissory  Note,  and (b) for an
Adjustable  rate loan  means the same as  "Prepayment  Premium"  as such term is
defined in the Adjustable Promissory Note.

   "Non-Recurring  Expenses" and "Non-Recurring Income" mean expenses or income,
as the case may be, that is  extraordinary  and  generally  not reflected in any
prior period or reasonably  anticipated to be incurred in any subsequent  period
received.

   "Note Amount" has the meaning ascribed to such term in the Promissory Note.

   "Obligations"   means  each  and  every  obligation,   covenant,   agreement,
Indebtedness  and liability of the Borrower to the Secured  Party  evidenced by,
arising under or in connection  with thc  Promissory  Note  (including,  without
limitation,  indebtedness,  obligations and liabilities in respect of principal,
interest,  the  Make  Whole  Premium,  the  Credit  Enhancement  Amount  and the
Scheduled Monthly Credit Enhancement Obligation Payments for each of the Loans),
this Security  Agreement,  or any other Loan Document,  and any future  advances
thereon,  renewals,  extensions,  modifications,  amendments,  substitutions and
consolidations  thereof,   including  the  Borrower's  obligations  to  pay  (or
reimburse  the Secured  Party for) all costs and expenses  (including  attorneys
fees and disbursements) incurred by the Secured Party in obtaining, maintaining,
protecting  and  preserving  its  interest  in the  Collateral  or its  security
interest therein,  foreclosing,  retaking, holding, preparing for sale or lease,
selling or otherwise  disposing or realizing on the  Collateral or in exercising
its rights  hereunder or as a secured party under the UCC,  any other applicable
law, regulation or rule or this Security  Agreement,  including interest on such
costs and  expenses  which shall  accrue at the rate of eight  percent  (8%) per
annum,  and all other  indebtedness,  obligations and liabilities of any kind of
the Borrower to the Secured Party, now or hereafter  existing  (including future
advances  whether or not pursuant to commitment),  arising  directly between the
Borrower and the Secured Party relating to the Loan Documents,  whether absolute
or  contingent,  joint and/or  several,  secured or  unsecured,  due or not due,
contractual or tortious, liquidated or unliquidated, arising by operation of law
or otherwise, or direct or indirect, including the Borrower's liabilities to the
Secured Party as a member of any  partnership,  syndicate,  association or other
group,  and whether  incurred by the Borrower as  principal,  surety,  indorser,
guarantor, accommodation party or otherwise.

   "Patents"  means all  United  States  or other  registered  and  unregistered
patents, all licenses thereto, and all applications  therefor, and all reissues,
divisions,  continuations,  renewals,  extensions,  modifications,   supplements
thereto  or to any part  thereof,  and the  right to sue for past,  present  and
future  infringements  of the  foregoing,  and all rights  corresponding  to the
foregoing throughout the world.

   "Permitted  Liens"  means any and all of the  Liens  set  forth on  Exhibit B
attached hereto.
   "Person"  means  any  individual,  corporation,  partnership,  unincorporated
association,  firm, trust, joint stock company, joint venture or other entity of
whatever nature.

   "Pledged Stores" means those Stores listed on Schedule I attached hereto.

   "Principal  Party"  shall have the  meaning  ascribed to such term in Section
7(e).

   "Proceeds"  shall mean "proceeds" as such term is defined in the UCC or under
other relevant law and shall  include,  but shall not be limited to, (a) any and
all proceeds of any insurance  (insuring the Collateral or otherwise required to
be  maintained  hereunder,  including  return of unearned  premium),  indemnity,
warranty or guaranty payable to the Secured Party or Borrower from time to time,
and claims for insurance,  indemnity,  warranty or guaranty effected or held for
the benefit of the Borrower, with respect to any of the Collateral,  (b) any and
all  payments (in any form  whatsoever)  made or due and payable to the Borrower
from  time  to  time  in   connection   with  any   requisition,   confiscation,
condemnation,  seizure or forfeiture of all or any part of the Collateral by any
governmental  authority  (or any  person  acting  under  color  of  governmental
authority) and (c) any and all interest,  income,  dividends,  distributions and
earnings on the  Collateral or other monies,  revenues or other amounts  derived
from the Collateral,  including any such amounts received in connection with any
disposition of the Franchise Agreement.

   "Program" means the ACLC 1999-2 SBL Program of loans to Program Borrowers.

   "Program  Borrower" has the meaning  ascribed to such term in the  Promissory
Note.  In  addition,  in the Secured  Party's  opinion,  all  Program  Borrowers
substantially  comply in all material  respects with the Secured Party's current
underwriting guidelines for loans to small business owners, and in no event will
loans be made to Program Borrowers where (a) the Pledged Store has less than one
year of seasoning, and (b) (i) the most recent annual revenue of the Borrower is
less than  $500,000 or (ii) the most recent  annual  Borrower  Cash Flow is less
than $100,000.

   "Program  Loan  Deficiencies"  has the  meaning  ascribed to such term in the
Promissory Note.

   "Promissory  Note" has the meaning  ascribed to such term in the  preliminary
statements to this Security Agreement.

   "Property"  means the real property or properties on which the Pledged Stores
are located, as more specifically described on Schedule I attached hereto.

   "Rental  Expense"  means,  with  respect to any Person,  for any period,  the
aggregate  of all  amounts  paid or accrued  with  respect to Lease  Obligations
during  such  period,  as  determined  in  accordance  with  generally  accepted
accounting principles.

   "Required Consolidated FCCR" has the meaning ascribed to such term in Section
3.15.

   "Required Unit FCCR" has the meaning ascribed to such term in Section 3.15.

   "Scheduled  Monthly  Credit  Enhancement  Obligation  Payment" shall have the
meaning ascribed to such term in the Promissory Note.

   "Scheduled Monthly Loan Payment" shall have the meaning ascribed to such term
in the Promissory Note.

   "Securitization"  means  the  sale,  pledge,  grant of a  security  interest,
collateral assignment, transfer and delivery or other encumbrance or disposition
of all or any portion of the Program  Loans (or the Secured  Party's  rights and
powers  therein) by the Secured Party,  from time to time, to one or more of its
Affiliates  or to other  Persons, including the sale of the Program Loans by the
Secured Party to one or more Persons who will issue debt  instruments  or equity
certificates  backed by such  Program  Loans and the  servicing  of such Program
Loans by Person appointed as servicer in connection therewith.

   "State" shall have the meaning ascribed to such term in the Promissory Note.

   "Store" means a  business/commercial  property  owned and/or  operated by the
Borrower and includes all aspects of the operating unit.

   "Trademarks" shall mean all United States or other registered or unregistered
trademarks,  trade names,  service  marks and service  names  together  with the
goodwill of the business connected with the use thereof, and symbolized thereby,
all licenses thereto (including the License, if applicable) and all applications
therefor,  and all reissues,  divisions,  continuations,  renewals,  extensions,
modifications,  supplements thereto or to any part thereof, and the right to sue
for past,  present and future  infringements  of the  foregoing,  and all rights
corresponding to the foregoing throughout the world.

   "UCC" means the Uniform  Commercial Code (or any comparable law) in effect in
any relevant  jurisdiction  the laws of which govern the  perfection of security
interests hereunder.

   "UCC Search" means the security interest,  tax lien, suit and judgment search
of the Borrower conducted in the locations set forth on Schedule 2 hereto.

   "Unit FCCR" means,  with respect to any Pledged  Store,  for any period,  the
ratio  of(a) such  Fledged  Store's Cash Flow for such period to (b) the sum of
Fixed Charges and Rental  Expense of the Borrower for such Pledged Store of such
period.

   1.2.  Certain  Calculations,  For the purposes of calculating  the Borrower's
Cash Flow, Discretionary Expenses, Non-Recurring Expenses, Non-Recurring Income,
Indebtedness and Lease Obligations,  the term "Borrower" shall mean the Borrower
and any Affiliate of the Borrower (an "Affiliate  Guarantor")  that is providing
the Secured Party with a guarantee of any of the Borrower's  Obligations and the
term "financial statement" shall mean a consolidated  financial statement of the
Borrower and such Affiliate.

   1.3. Rules of Construction. When used in this Security Agreement: (a) "or" is
not exclusive;  (b) a reference to a law includes any amendment or  modification
of such law; (c) a reference to a Person  includes its permitted  successors and
permitted assigns;  and (d) a reference to an agreement,  instrument or document
shall include such agreement, instrument or document as the same may be amended,
modified or supplemented from time to time in accordance with its terms.

                                   ARTICLE II

                               SECURITY INTERESTS

   2. Security Interests.

   2.1. Pledge  and Grant of Security Interest.  As collateral  security for the
prompt and complete  payment and performance when due of all of the Obligations,
the  Borrower  hereby  pledges and grants to the  Secured  Party,  a  continuing
security  interest  in,  and Lien on,  all of the  Borrower's  right,  title and
interest in and to the following (collectively, the "Collateral"): all Accounts,
Goods,  Documents,  Chattel Paper,  Deposit  Accounts,  Instruments,  Inventory,
Equipment, General Intangibles, Contracts (including the Franchise Agreement and
License (if applicable),  certificates of title,  fixtures,  money,  securities,
deposits,  credits,  claims,  demands,  assets and other personal property,  now
owned, existing,  hereafter acquired, held, used, sold or consumed in connection
with the Pledged  Stores and any other  property,  rights and  interests  of the
Borrower  which at any time relate to,  arise out of or in  connection  with the
foregoing  or which  shall  come into the  possession  or  custody  or under the
control of the Secured Party or any of its agents,  representatives,  associates
or correspondents,  in connection with the foregoing;  any and all additions and
accessions,  replacements,  substitutions  and  improvements,  of or to all  the
foregoing;  and all products,  rents,  profits,  offspring and Proceeds thereof.
Without  limiting the generality of the  foregoing,  this Agreement also secures
the payment of all amounts which constitute part of the Obligations and would be
owed  by  the  Borrower  to  the  Secured  Party  but  for  the  fact  they  are
unenforceable   or  not   allowable  due  to  the  existence  of  a  bankruptcy,
reorganization or similar proceeding involving the Borrower.

   2.2.  Security  Interest  Absolute.  All rights of the Secured  Party and the
security  interests  hereunder shall be absolute and unconditional  irrespective
of:

   (a) any change in the time, manner,  amount or place of payment of, or in any
other term of, all or any of the  Obligations,  or any other amendment or waiver
of or any consent to any departure  from the  Promissory  Note or any other Loan
Document;

   (b)  any  exchange,  release  or non  perfection  of all or any  part  of the
Collateral or any other collateral, or any release from, amendment to, waiver of
or consent to departure from any guaranty, for all or any of the Obligations; or
(c) to the fullest extent permitted by law, any other  circumstances which might
otherwise  constitute a defense available to, or a discharge of, the Borrower or
a third party pledgor.

                                   ARTICLE III

                    REPRESENTATIONS, WARRANTIES AND COVENANTS

   3. Representations. Warranties and Covenants. The Borrower hereby represents,
warrants and covenants that:

   3.1. Organization. The Borrower (unless the Borrower is an individual) is and
will continue to be duly formed, validly existing and in good standing under the
laws of the  state  of its  organization  set  forth on  Schedule  I and is duly
authorized to do business in, and is in good standing in each jurisdiction where
the  Business  or  thc   Property  is  located  and  where  such   organization,
qualification  or standing is necessary,  required or proper in connection  with
the Borrower's ownership or use of the Collateral or the Property or the conduct
of the Business.

   3.2.  Power and  Authority.  The Borrower  (and,  with respect to clause (c),
below, in the case of Loan Documents  executed by an Affiliate  Guarantor,  each
such Affiliate Guarantor) has all requisite power, authority and the legal right
and all necessary permits, consents,  licenses and authorizations (a) to own the
Collateral,  (b) to conduct the Business and (c) to execute, deliver and perform
its obligations under this Security Agreement, the Promissory Note and the other
Loan Documents.

   3.3. Execution and Delivery:  Enforceability.  Upon execution,  this Security
Agreement,  the  Promissory  Note  and the  other  Loan  Documents  will be duly
executed  and  delivered  by the  Borrower  (and in the  case of Loan  Documents
executed by an Affiliate  Guarantor,  by each such  Affiliate  Guarantor).  Upon
execution,  each of this Security  Agreement,  the Promissory Note and the other
Loan  Documents  will  constitute a legal,  valid and binding  obligation of the
Borrower, enforceable against the Borrower, in accordance with its terms.

   3.4. Name: Chief Executive Office: Location.

   (a) The Borrower's legal name, federal tax payor  identification  number, and
mailing  address are  accurately  set forth on Schedule I. The  Borrower has not
merged,  consolidated,  acquired all or  substantially  all of the assets of any
other Person, or except as disclosed on Schedule I, used any other name (whether
in  connection  with the Business,  Property or the  Collateral or for business,
obtaining credit or financing or otherwise) in the last five years.

   (b) The Borrower's principal place of business,  chief executive office (and,
if the Borrower is an individual, residence) is accurately set forth on Schedule
I.

   (c) The Borrower  operates and shall  continue to operate the Pledged  Stores
from the Property at the address  (es) and in the county (ies) or parish  (ies),
as  applicable,  and  state(s)  set forth in  Schedule  I.  Schedule I correctly
discloses  that the Borrower  either (i) is sole record owner of the Property or
(ii) leases (or subleases) the Property and the record owner of each Property is
the person or entity  disclosed  on  Schedule  I. All  personal  property of the
Borrower  owned,  acquired,  held,  used, sold or consumed in the Pledged Stores
including Accounts, Goods, Inventory, Equipment, General Intangibles, Contracts,
Chattel  Paper,  Instruments,   Documents,   certificates  of  title,  fixtures,
securities and money,  and all writings  relating  thereto and records  thereof,
books of record or account,  employees,  business,  offices and  operations  are
located at and conducted out of such Property or at its chief executive office.

   (d)  The  Borrower   will  neither   change  its  name,   federal  tax  payor
identification  number,  or its chief  executive  office (or, if an  individual,
residence), nor the location of its business,  property or assets (including the
Pledged Stores and the Collateral), nor assume a different name, nor conduct its
business or affairs  under any other name or in any other  location,  nor merge,
consolidate, or change its corporate structure (whether by stock sale, issuance,
purchase or otherwise), nor change its use of any item of Collateral, without in
each  instance  providing  the Secured  Party with not less than sixty (60) days
prior written notice of the proposed  action and  specifying  within such notice
and with  reasonable  clarity  and  particularity  the timing and nature of such
proposed action. Additionally, the Borrower shall provide such other information
in  connection  with the  proposed  action as the Secured  Party may  reasonably
request and shall have taken all action,  reasonably satisfactory to the Secured
Party, to maintain the security  interest of the Secured Party in the Collateral
intended to be granted hereby at all times fully perfected and in full force and
effect.

   3.5. No Conflict.  The Borrower's (and in the case of Loan Documents executed
by an Affiliate Guarantor,  such Affiliate Guarantor's) execution,  delivery and
consummation of the transactions  contemplated by this Security  Agreement,  the
Promissory  Note and other Loan  Documents do not and will not (with the passage
of time or otherwise) (a) conflict  with,  violate or constitute a default under
any law, rule,  regulation,  order, decree,  contract,  agreement (including the
Franchise Agreement,  if applicable),  note, mortgage,  bond, indenture,  lease,
license,  or  obligation  of or  applicable  to the Borrower (or such  Affiliate
Guarantor) or the Collateral or (b) grant, create or result in any Lien in favor
of any person (other than the Secured  Party) on or to the Business or any other
property or assets of the Borrower  (including  the Collateral and the Franchise
Agreement, if applicable).

   3.6. No Consent Required.  Except for the filing of the Financing  Statements
in the  locations  set forth on  Schedule  2 hereto  (and,  if  applicable,  the
recording of the mortgage or deed of trust included in the Loan  Documents),  no
consent of any other  Person and no  authorization,  approval or other action by
and no notice to or filing with,  any court,  government,  agency or  regulatory
authority is required (a) for the grant byte Borrower of the pledge and security
interest  granted hereby or for the  execution,  delivery or performance of this
Security  Agreement,  the  Promissory  Note and other Loan  Documents or (b) for
validity,  perfection or maintenance of the pledge,  lien and security  interest
created hereby.

   3.7.  Affiliates.  Schedule 3 contains a complete  and  accurate  list of all
Affiliates of the Borrower  (including  Affiliate  Guarantors) who have executed
and delivered any note, security agreement,  guarantee or other loan document to
the Secured Party.

   3.8.  Title to the  Collateral.  The Borrower has and,  subject to Section 4,
will  maintain good and  marketable  title to the  Collateral  and the Franchise
Agreement (if applicable), free of all Liens (other than Permitted Liens and the
security  interest  granted to the Secured Party  hereunder) and such Collateral
and Franchise Agreement (if applicable),  are sufficient to enable a franchisee
to operate the Pledged  Stores at the Property in accordance  with the Franchise
Agreement.

   3.9. No Liens. Except as shown on the 13CC List attached hereto as Exhibit A,
there is no Lien (including any federal or state tax lien),  suit (including any
action, proceeding, or other litigation pending, or to the Borrower's knowledge,
threatened)  or judgment  (including any award,  injunction,  order) filed with,
registered,  indexed or recorded in any public office, court, arbitration panel,
administrative  agency or regulatory  authority (or intended so to be), directly
or  indirectly,   identifying  or  encumbering  or  covering  or  involving  the
Collateral or the  Franchise  Agreement  (if  applicable)  or which could have a
material  adverse  effect on the Borrower,  any Pledged Store or the  Borrower's
ability  to  perform  its  Obligations.  All Liens  listed on Exhibit A shall be
removed upon funding of the Loan unless such lien is specifically  identified as
a Permitted Lien. Other than the security  interest granted to the Secured Party
hereunder and the Permitted  Liens,  and except as provided in Section 4 hereof,
the  Borrower  has not and,  without  the prior  written  consent of the Secured
Party,  will not enter into any agreement or  understanding  or take,  permit or
suffer to exist any  action  (including  the  filing of a  financing  statement,
agreement,  pledge,  mortgage,  notice or  registration)  or event  (whether  by
operation of law or otherwise)  for the purpose of, or that may have the effect
of,  directly or  indirectly,  (a)  granting a Lien on  (including  any state of
federal tax lien), pledging, transferring,  assigning, selling, disposing of, or
encumbering  any  Collateral or the Franchise  Agreement  (if  applicable),  any
interest therein or rights  pertaining  thereto or involving the Borrower or the
Pledged Stores,  or (b) changing,  modifying,  supplementing,  or increasing the
amount of credit,  loans,  indebtedness or value secured by the Permitted Liens,
if any, or the amount, property or assets encumbered thereby.

   3.10.  Maintenance of Collateral and Business.  At the Borrower's  sole cost
and  expense,  the  Borrower  shall (a) keep,  use,  operate  and  maintain  the
Collateral, the Pledged Stores, the Business and the Property in accordance with
applicable laws,  rules,  and regulations,  and in accordance with the standards
established by the franchisor under the Franchise Agreement (if applicable), (b)
operate the Pledged Stores at the Property and in accordance  with the Franchise
Agreement (if applicable) and customary,  prudent business practices, and at all
times fully comply with terms and  provisions  of the  Franchise  Agreement  (if
applicable),  (c) fully comply with all current and future laws and  regulations
concerning the storage and sale of petroleum  products,  if applicable,  and (d)
not do or suffer to be done any act  whereby  the value of the  Collateral,  the
Property or any Pledged Store or any part or interest therein may be lessened in
any material  respect.  The Borrower  shall notify the Secured Party promptly of
any actual or  threatened  destruction  or material  damage or impairment of any
Pledged Store,  the Collateral or the Property or if Borrower  receives a notice
of violation from any governmental entity or agency.

   3.11.  Perfected Security  Interest.  This Security Agreement and this grant
and  transfer  of the  Collateral  hereunder  creates  a valid  and  enforceable
security interest in the Collateral.  Upon filing of the Financing Statements in
the  locations set forth on Schedule 2 hereto,  such  security  interest will be
perfected and subject to no prior or equal security interest other than and only
to the extent of the Permitted  Liens. The execution and filing of the Financing
Statements has been duly authorized by all appropriate action on the part of the
Borrower  (and any other Person named as debtor  therein) and the Borrower  (and
any other  Person  named as debtor  therein)  has duly  executed  the  Financing
Statements.
   3.12.  No Violation:  Indemnity.  The Borrower has not and shall not acquire,
obtain, make, manufacture, produce, operate, hold, possess, maintain, use, sell,
transfer,  grant,  pledge,  or dispose of (for  purposes of this  Section  3.12,
collectively "the Borrowers use") any of its Business,  securities,  property or
assets (including any proceeds of the Loans, the Collateral and the Property) in
violation of any statute, law, rule, ordinance,  regulation,  policy, procedure,
injunction,   award,  decree,  judgment,   contract,  agreement  (including  the
Franchise Agreement, if applicable),  understanding, or right or interest of any
other Person (for purposes of this Section 3.12, each such event a "violation"),
and to the  Borrower's  knowledge no such  violation  has been made by any other
Person and no basis for a claim of any such violation exists. The Borrower shall
indemnify  and  hold the  Secured  Party  harmless  from  and  against  any such
violation,  and any other loss,  liability,  damage,  cost or expense whatsoever
(including  attorneys' fees and  disbursements)  arising out of or in connection
with the Borrower's use of any of its Business,  securities,  property or assets
(including any proceeds of the Loans, the Collateral and the Property).

   3.13.  Franchise  Agreement.  The  Borrower,  if a franchisee or a franchisor
under a Franchise  Agreement,  is and will continue to be in good standing under
such Franchise  Agreement.  The Borrower,  if a franchisee or franchisor under a
Franchise Agreement,  has not breached and is not in default under the Franchise
Agreement;  the Borrower  shall not  terminate,  fail to renew,  breach or be in
default under the Franchise Agreement;  and the Borrower has no knowledge of any
claim of (or basis for any claim of) any such termination, nonrenewal, breach or
default.  The Borrower  agrees to fully comply,  at the  Borrower's own cost and
expense,  with the terms of the License and the Franchise  Agreement  (including
any  renewal  option) and to  promptly  notice the Secured  Party of any adverse
development with regard to the Franchise Agreement or the License, including any
claim of breach of or default under,  or threat of nonrenewal or termination of,
or litigation involving the Franchise Agreement or the License.

   3.14.  Operating  Experience.  The  Borrower  has  had  at  least  two  years
experience  operating a business or  businesses  similar to the  Business of the
Pledged Store.  In addition,  each Pledged Store has been operating for at least
twelve months.

   3.15. FCCR.  During the term of this Security  Agreement,  thc Borrower shall
maintain  (a) a Unit FCCR for each  Pledged  Store of not less than  1.30:1 (the
"Required Unit FCCR") and (b) a  Consolidated  FCCR of not less than 1.35:1 (the
"Required  Consolidated  FCCR").  All  calculations  of each  Unit  FCCR and the
Consolidated FCCR shall be based upon the financial information furnished by the
Borrower  hereunder  (see  Sections 3.21 and 3.22) for the  twelve-month  period
ending December 31 of each year or more frequently as the Secured Party may from
time to time reasonably request.

   3.16.  Limitation on Indebtedness.  Lease Obligations and Distributions.  The
Borrower  shall not,  directly  or  indirectly,  incur any  Indebtedness,  Lease
Obligations  or make or  become  obligated  to make any  Distributions  if after
giving effect to such  incurrence or payments,  any Unit FCCR would be less than
the Required Unit FCCR or the Consolidated  FCCR would be less than the Required
Consolidated FCCR.

   3.17. Inspection.  The Borrower shall allow the Secured Party, its agents and
representatives,  from time to time, to inspect the Collateral, the Property and
the  Borrower's  books  and  records  pertaining  thereto  or  otherwise  to the
Business,  and the Borrower will assist (and permit abstracts and photocopies of
the Borrower's books and records to be taken and retained by) the Secured Party,
its agents and representatives in making any such inspection.

   3.18. Insurance. At the Borrower's sole cost and expense, the Borrower shall:

   (a) (i) keep the Collateral (which for purposes of this Section 3.18 includes
the Property) insured against loss or damage by fire, theft, collision and other
hazards (including flood, if no certification or other evidence  satisfactory to
the  Secured  Party is  delivered  to the  Secured  Party to the effect that the
Property is not located within a federally designated special flood hazard area)
as may be required by the Franchise  Agreement (if  applicable),  or the Secured
Party and by policies of fire,  extended  coverage and other insurance with such
company or companies,  in such amounts (and,  with respect to policies  required
for property,  fire and flood insurance in an amount not less than the lesser of
(A) the  replacement  value  thereof,  and (B) the Loan Amount payable under the
Promissory Note), as may be required by the Franchise  Agreement (if applicable)
and the Secured Party,  but in no event less than the minimum amount required to
prevent the  imposition  of any  coinsurance  requirement  on the insured,  (ii)
maintain  liability  insurance  of not less  than  one  million  dollars,  (iii)
maintain  business  interruption  insurance  with scope and coverage  reasonably
satisfactory  to the  Secured  Party,  and (iv)  maintain  such other  insurance
(including certain minimum levels of acceptable workers' compensation,  property
damage,  general public liability insurance) as may be required by law or by the
Franchise Agreement (if applicable);

   (b) cause all insurance  policies required  hereunder (i) to be maintained by
providers  either (A) having ratings of not less than B++ from A.M. Best Company
Inc. (or comparable  ratings from a comparable rating agency) or (B) who, if not
so rated, have been approved by the Secured Party and (ii) to contain a standard
lender's  loss payable  endorsement  or  mortgagee's  endorsement  providing for
payment  directly to the Secured Party and/or its designees and to provide for a
minimum of thirty (30) days notice to the Secured Party prior to cancellation or
modification or nonrenewal;

   (c) timely pay all premiums, fees and charges required in connection with all
of its insurance  policies and  otherwise  continue to maintain such policies in
full force and effect;

   (d) promptly  deliver the insurance  policies,  certificates  (and  renewals)
thereof or other evidence of compliance herewith to the Secured Party; and

   (e) promptly  notify the Secured Party of any loss covered by such  insurance
policies and allow the Secured  Party to join the Borrower in adjusting any loss
in excess of $50,000.

   3.1.  Loan  Proceeds.  No part of the  proceeds  of the  Loans  will be used,
directly or indirectly, for the purpose of buying or carrying any "margin stock"
within the meaning of Regulation 0 or U of the Board of Governors of the Federal
Reserve  System.  The Borrower  intends to and agrees to use the proceeds of the
Loans solely for the lawful,  proper business or commercial purpose(s) set forth
in its application for the Loans and Secured Party's commitment letter.

   3.20.  Solvency.  The Borrower (and each Affiliate Guarantor) is solvent and,
after giving effect to the Obligations, will continue to be solvent.

   3.21. Reporting  Requirements.  The Borrower agrees to provide to the Secured
Party within twenty (20) days after June 30 and December31 of each calendar year
during the term of this Security  Agreement,  a compliance  certificate  (in the
form attached  hereto as Exhibit C). The Borrower  further  agrees to provide to
the Secured Party: (a) within seventy-five (75) days after December 31st of each
calendar year and a, the Secured Party may reasonably request from time to time,
consolidated   Borrower  and  individual  Pledged  Store  internally   generated
financial  statements  covering the twelve 02) month period then-ended;  and (b)
copies of such other reports and  information as the Secured Party may from time
to time  request.  The  financial  statements  furnished to the Secured Party in
connection  with the Borrower's  application  for the Loans and hereunder  shall
reflect all Indebtedness and Lease Obligations of the Person covered thereby and
shall be sufficiently  detailed to allow the Secured Party to calculate the Unit
FCCR of each Pledged Store and the Consolidated FCCR.

   3.22.  Accuracy of  Information.  All  information,  reports,  statements and
financial and other data  furnished (or hereafter  furnished) by the Borrower to
the Secured Party, its agents or representatives hereunder or in connection with
the Borrower's application for the Loans and the Obligations,  are (and shall be
on the date so furnished) true, complete and correct. Borrower hereby authorizes
Secured Party to request credit bureau reports while any of die  Obligations are
outstanding.

   3.23. Employee Benefit Plans.

   (a) Definitions.

   "Employee  Benefit  Plan"  means  any  group  health  insurance,  group  life
insurance,  medical,  Sec. 401(k),  profit sharing,  defined  benefit,  pension,
cafeteria, SIMPLE, SEP, Bonower-sponsored IRA or any other employee benefit plan
sponsored by the Borrower, including without limitation any program, arrangement
or plan within the meaning of Section 3(3) of ERISA.

   "Borrower."  For purposes of this Section  3.23,  the term  "Borrower"  shall
include all employers  (whether or not  incorporated)  which by reason of common
control or otherwise are treated  together  with  Borrower as a single  employer
within the meaning of the Internal  Revenue  Code  ("Code"),  including  without
limitation under Code Sections 414(b), (c), (in), (ii) or (o).

   (b) Employee  Benefit  Plans Comply With ERISA and Code.  For every  Employee
Benefit Plan (i) the Employee  Benefit Plan is in compliance  with ERISA and the
Code, (ii) no accumulated  funding deficiency within the meaning of ERISA or the
Code has been  incurred,  and (iii)  neither  Borrower  nor any other  party has
applied  for or  obtained  a waiver  from the  Internal  Revenue  Service of any
minimum funding requirement. Each Employee Benefit Plan intended to be qualified
under the Code has been  determined  to be  qualified  by the  Internal  Revenue
Service and nothing has occurred since the date of the last determination  which
resulted or is likely to result in the revocation of the determination.

   (c) No PBGC or Withdrawal Liability.  Borrower has not incurred any liability
to the Pension  Benefit  Guaranty  Corporation  ("PBGC") in connection  with any
Employee Benefit Plan or ceased operations at any facility or withdrawn from any
Employee  Benefit  Plan in a manner  which  could give rise to  liability  under
ERISA. For example and without  limitation,  no Employee Benefit Plan has been a
plan for which "reportable  event," within the meaning of Section 4043 of ERISA,
has  occurred,  or to the  knowledge of Borrower,  has been a plan for which any
liability to the PBGC has been or is expected to be  incurred.  Borrower has not
incurred  any  withdrawal  liability  (including  any  contingent  or  secondary
withdrawal  liability)  within thc meaning of ERISA to any Employee Benefit Plan
which is a multiemployer  plan (as defined by ERISA), and no event has occurred,
and there exists no condition or set of circumstances, which presents a material
risk of the  occurrence of any withdrawal  from or the  partition,  termination,
reorganization or insolvency of any multiemployer plan which could result in any
liability with respect to a multiemployer  plan.  Borrower has not been notified
by the  sponsor  of any  multiemployer  plan that the  multiemployer  plan is in
reorganization or has been terminated,  within the meaning of Title IV of ERISA,
and operations  have not ceased at any facility which would subject  Borrower to
the provisions of Section 4062(e) of ERISA. No proceeding has been instituted on
behalf of any  multi-employer  plan against  Borrower to enforce  Section 515 of
ERISA.

   (d) No Tax or Other  Liability.  Borrower has no  liability  for any Employee
Benefit Plan for any lien,  tax,  penalty or excise tax under ERISA or the Code.
Other than claims for benefits  submitted by participants or  beneficiaries,  no
claim,  lawsuit or cause of action against or proceeding  involving any Employee
Benefit Plan is pending or, to  Borrower's  knowledge,  threatened by any party.
Except to the extent  required  under  Section  601 et seq. of ERISA and Section
4980B of the Code,  Borrower  provides no benefits  described in Section 3(1) of
ERISA to any retired or former  employee or is obligated to provide  benefits to
or on  behalf of any  employee  following  the  employee's  retirement  or other
termination of service with Borrower.

   (e) No  Prohibited  Transactions.  No  transaction  relating to any  Employee
Benefit Plan proscribed by Section 406 of ERISA  ("Prohibited  Transaction") has
occurred for which an exemption is not expressly  available and applicable under
ERISA.  Furthermore,  to the  extent  within  the  knowledge  or  control of the
Borrower,  neither the execution and delivery of this  Security  Agreement,  the
acquisition  of the  Promissory  Note by Secured  Party or its Assigns,  nor the
consummation of any other  transaction  contemplated by this Security  Agreement
constitutes  or will  constitute  a Prohibited  Transaction  with respect to any
Employee  Benefit  Plan for which an exemption is not  expressly  available  and
applicable under ERISA.

   (f) All Employee  Benefit Plans Funded and Currently In Compliance.  Borrower
has performed all of Borrower's  obligations  under all Employee  Benefit Plans.
Full and timely payment has been made of all amounts which Borrower is required,
under  applicable law or under any Employee  Benefit Plan or any other agreement
to which  Borrower  is a party,  to have paid for each  Employee  Benefit  Plan.
Borrower  has made  adequate  provision  for reserves  for all  obligations  and
liabilities  under each Employee Benefit Plan that have accrued hut are not yet
due under the terms of any Employee Benefit Plan or related agreements.

   (g) Transaction Will Not Trigger Benefits. The execution and delivery of this
Security  Agreement,  and the consummation of the  transactions  contemplated by
this  Security  Agreement,  will  not (i)  result  in any  payment  by  Borrower
(including, without limitation, severance, unemployment compensation,  parachute
payment,  bonus  or  otherwise)  becoming  due to  any  director,  employee,  or
independent contractor of Borrower under any Employee Benefit Plan, agreement or
otherwise,  (ii)  increase any  benefits  otherwise  payable  under any Employee
Benefit Plan or agreement, or (iii) increase or create any liability referred to
in either Section 3.23(b) or 3.23(c) above.

   3.24.  Taxes.  The Borrower and each of its  Affiliates and each entity which
might have tax liabilities for which the Borrower or any of its Affiliates is or
may be liable,  has filed all tax returns and paid all taxes  required by law to
be filed or paid,  which have become due  pursuant to said  returns (or which to
the  knowledge of the  Borrower  are due  and  payable)  and on all  assessments
received by the Borrower,  such Affiliate or such entity, as the case may be. No
extensions of the time for the assessment of  deficiencies  have been granted by
the  Borrower  or any of its  Affiliates.  There  are no  material  Liens on any
properties or assets of the Borrower or any of its Affiliates imposed or arising
as a result of the delinquent payment or the nonpayment of any tax,  assessment,
fee or other governmental charge. The income tax returns of the Borrower and its
Affiliates have been examined and reported upon by the relevant tax authorities,
or closed by applicable  statutes of  limitations,  for all fiscal years through
the fiscal year ended  ______N/A________  19 and neither the Borrower nor any of
its  Affiliates  nor any such entity has given or consented to any waiver of the
statute of limitations  with respect to its tax  liabilities  for any such year.
Adequate provision has also been made for all other taxes (whether past, current
or deferred, federal,  provincial, local or foreign, due or to come due) on such
balance sheet, and the Borrower knows of no transaction or matter which might or
could  result  in  additional  tax  assessments  to the  Borrower  or any of its
Affiliates in the ordinary  course since the date of such balance  sheet.  There
are no  applicable  taxes,  fees or other  governmental  charges  payable by the
Borrower or any of its Affiliates in connection  with the execution and delivery
of this  Agreement,  and the other Loan  Documents by the Borrower or any of its
Affiliates or the offer,  issuance,  sale and delivery of the Promissory Note by
the Borrower.

   3.25.  Property Leases. The Borrower,  if a tenant or subtenant under a lease
or sublease of the Property, shall not terminate any such lease or sublease, and
the  Borrower  has no  knowledge of any claim of (or basis for any claim of) any
such  termination.  The  Borrower  agrees to exercise  and fully comply with the
terms of all renewal  options  provided  for in such lease or  sublease,  and to
promptly notify the Secured Party of any adverse  development with regard to the
threat of nonrenewal or termination of such lease of sublease.

   3.26.  Guaranty from FFP Marketing  Company.  Inc. Borrower shall enforce the
guaranty  ("Affiliate  Guaranty")  provided by FFP  Marketing  Company,  Inc. to
Borrower and Secured Party in connection  with all leases  between  Borrower and
FFP Operating Partners,  L.P.,  including that certain Master Lease Agreement of
equal date hereto,  immediately upon any default by FFP Operating Partners, L.P.
under the terms of any such lease or master lease.

                                   ARTICLE IV

             SPECIAL PROVISIONS CONCERNING INVENTORY, EQUIPMENT AND
                                  REAL PROPERTY

   4. Special Provisions Concerning Inventory.  Equipment and Real Property. The
Borrower  shall do  nothing to impair  the  rights of the  Secured  Party in the
Inventory  and the  Equipment and shall cause the Inventory and the Equipment to
at all times be, constitute and remain personal property subject to the security
interest granted to the Secured Party.  Notwithstanding  the preceding sentence,
provided the  Borrower is not in default  under any of its  Obligations  (and no
event which with the  passage of time would be an Event of Default has  occurred
and is continuing),  in the ordinary course of the Borrower's Business,  (a) the
Borrower  may sell its  Inventory,  and (b)  subject to  sections  3.15 and 3.16
hereto,  with  the  prior  consent  of the  Secured  Party,  which  will  not be
unreasonably  withheld,  the Borrower may, from time to time, refinance existing
Permitted  Liens in accordance  with the terms  thereof,  replace its Equipment,
acquire new Equipment and accessions to its  Equipment,  or acquire fee interest
in (or  ground  lease of) any  Property,  subject  to  purchase  money  security
interests;  provided that, if the Secured Party has a leasehold mortgage or deed
of trust on any lease of such  Property  such  lease  remains  in full force and
effect,  subject to the Secured Party's security  interest and any Person with a
lien on the fee  interest in (or ground  lease of) such  Property  provides  the
Secured Party with a  nondisturbance  agreement and such other assurances as the
Secured Party shall reasonably request.

                                    ARTICLE V

                   SPECIAL PROVISIONS CONCERNING INSURANCE AND
                       CONDEMNATION PROCEEDS AND PROCEEDS

   5. Special  Provisions  Concerning  Insurance and  Condemnation  Proceeds and
Proceeds.

   5.1.  Special  Provisions  Concerning  Insurance and  Condemnation  Proceeds.
Unless  prohibited  under the terms of the Property  lease,  if applicable,  the
Borrower  hereby  directs  any  and  all  transferors,  distributors  or  payors
(including  insurance  companies with whom the Borrower maintains  insurance) to
make payment of all Insurance and Condemnation  Proceeds directly to the Secured
Party and  authorizes the Secured Party,  in its sole  discretion,  to apply the
same toward repayment of the Loans,  whether or not due, or, toward  replacement
of  the  Collateral.   Notwithstanding  the  tens  of  the  Property  lease,  if
applicable,  the  Borrower  will use its best  efforts  and hereby  assigns  the
Insurance and  Condemnation  Proceeds  toward  replacement of the Collateral and
shall keep any lease or  options  to extend the lease in effect  until the Loans
are paid.

   5.2. Special Provisions Concerning Proceeds.  All Proceeds,  whether received
by the Secured Party or by the Borrower, or by any other Person will be included
in the Collateral  subject to the security interest granted to the Secured Party
hereunder. Upon and during the continuation of an Event of Default, the Borrower
shall (a) identify,  earmark,  segregate and keep separate all Proceeds received
by it, (b) upon the Secured  Party's  request,  promptly  account to the Secured
Party for all  Proceeds,  and (c) hold all Proceeds  received by the Borrower in
trust for the benefit of the Secured Party and shall  promptly (and in any event
not later than the fifth day after  receipt)  deliver (or cause to be delivered)
the same to the Secured  Party and into its  possession  in the form received by
the Borrower and at a time and in a manner satisfactory to the Secured Party.

                                   ARTICLE VI

                     SPECIAL PROVISION CONCERNING RIGHTS AND
                    DUTIES WHILE IN POSSESSION OF COLLATERAL

   6. Special  Provision  Concerning  Rights and Duties While in  Possession  of
Collateral.

   6.1  Borrower's  Possession.  Upon and during the  continuance of an Event of
Default,  to the extent the same shall,  from time to time, be in the Borrower's
possession, the Borrower will hold all securities,  Instruments,  Chattel Paper,
Documents,  certificates and money and other writings  evidencing or relating to
the  Collateral in trust for the Secured Party and, upon request or as otherwise
provided  herein,  promptly  deliver  the  same to the  Secured  Party in a form
received and at a time and in a manner  satisfactory to the Secured Party.  With
respect to the Collateral in the Borrower's possession the Borrower shall at the
Secured  Party's request take such action as the Secured Party in its discretion
deems necessary or desirable to create,  perfect and protect the Secured Party's
security interest in any of the Collateral.

   6.2.  Secured  Party's  Possession.  With  respect  to all of the  Collateral
delivered  or  transferred  to,  or  otherwise  in the  custody  or  control  of
(including any items in transit to or set apart for) the Secured Party or any of
agents, associates or correspondence in accordance with this Security Agreement,
the Borrower  agrees that: (a) such  Collateral  will be, and is deemed to be in
the sole possession of the Secured Party; (b) subject to Section4,  the Borrower
has no right to withdraw or substitute any such  Collateral with out the consent
of the Secured  Party,  which  consent may be withheld or delayed in the Secured
Party's sole  discretion;  (c) the Borrower shall not take or permit any action,
or exercise any voting and other rights, powers and privileges in respect of the
Collateral  inconsistent with the Secured Party's sole possession  thereof;  and
(d) the Secured Party may in its sole  discretion  and without  notice,  without
obligation or liability except to account for property  actually received by it,
and without  affecting or discharging the  Obligations (i) further  transfer and
segregate the Collateral in its possession;  (ii) receive  Proceeds and hold the
same as part of the Collateral  and/or apply the same as herein after  provided;
and (iii) exchange any of the Collateral for other property upon reorganization,
recapitalization or other readjustment.  Following the occurrence of an Event of
Default, the Secured Party is authorized (A) to exercise or cause its nominee to
exercise all or any rights, powers and privileges (including to vote) on or with
respect to the  Collateral  with he same force and effect as an  absolute  owner
thereof;  (B)  whether  any of the  Obligations  be due,  in its  name or in the
Borrower's name or otherwise,  to demand,  sue for, collect or receive any money
or property at any time payable or  receivable on account of or in exchange for,
or make any  compromise or settlement  the Secured  Party deems  desirable  with
respect  to,  any of the  Collateral;  and (C) to  extend  the time of  payment,
arrange  for  payment  in  installments,  or  otherwise  modify the terms of, or
release, any of the Collateral.  Notwithstanding the rights accorded the Secured
Party with respect to the Collateral and except to the extent  provided below or
required  by the UCC or  other  applicable  law  (which  requirement  cannot  be
modified,  waived or excused), the Secured Party's sole duty with respect to the
Collateral in its possession (with respect to custody, preservation, safekeeping
or otherwise)  will be to deal with it in the same manner that the Secured Party
deals with similar  property  owned and  possessed by it.  Without  limiting the
foregoing,  the Secured  Party,  and any of its officers,  directors,  partners,
trustees,  owners, employees and agents, to the extent permitted by law (I) will
have no duty with respect to the Collateral or the rights granted hereunder; (2)
will not be required to sell, invest,  substitute,  replace or otherwise dispose
of the  Collateral;  (3) will not be  required  to take any steps  necessary  to
preserve any rights against prior parties to any of the Collateral; (4) will not
be liable for (or deemed to have made an election of or  exercised  any right or
remedy on account  of) any delay or failure to demand,  collect or realize  upon
any of the  Collateral;  and  (5)  will  have  no  obligation  or  liability  in
connection  with the  Collateral or arising under this Security  Agreement.  The
Borrower agrees that such standard of care is reasonable and  appropriate  under
the circumstances.

                                   ARTICLE VII

                                EVENTS OF DEFAULT

   7.  Events of  Default.  The  happening  of any one or more of the  following
events shall constitute an "Event of Default" hereunder:

   (a)  the  Borrower  shall  fail to  make  any  payment  under  this  Security
Agreement,  the  Promissory  Note or any Loan Document when the same becomes due
and payable and such failure shall continue for five (5) Business Days after the
Secured Party provides notice to the Borrower of such failure; or

   (b) the Borrower shall default under, fail to perform or observe any covenant
or condition of or agreement in, or breach, or make a material  inaccuracy in or
omission  from,  any  representation  or  warranty  under or in,  this  Security
Agreement, the Promissory Note, any other Loan Document, the Franchise Agreement
or the License (if  applicable),  any financial or other statement  delivered to
the Secured Party or any agreement,  instrument or obligation in connection with
any Permitted Lien, and such default,  failure,  breach,  inaccuracy or omission
shall  continue  unremedied  for the earliest of (i) fifteen (15) days following
the date that notice of such default, failure, breach, inaccuracy or omission is
given to the Borrower by the Secured Party, (ii) fifteen (15) days following the
date that the Borrower first obtains knowledge of such default, failure, breach,
inaccuracy  or  omission,  or  (iii)  in the  case of any  Permitted  Lien,  the
occurrence  of such event (or, if there exists an  applicable  cure period,  the
expiration of such cure period); or

   (c) if the Borrower is a party to a Franchise  Agreement as of the  execution
of this Security Agreement with regard to a Pledged Store and the other party to
such Franchise Agreement shall terminate or not renew such Franchise  Agreement;
or

   (d) any of the Borrower's  Affiliates listed on Schedule 3 shall fail to make
any  payment  when due under or default  under,  fail to perform or observe  any
covenant  of or  condition  or  agreement  in breach  of,  or make any  material
inaccuracy  in or omission  from any  representation  and  warranty  under,  any
security  agreement  with the Secured Party or note held by the Secured Party or
any other  loan  document  with the  Secured  Party or in any  other  agreement,
instrument,  document or certificate,  or financial or other statement delivered
to the Secured Party and such failure,  default or breach  continues  beyond any
applicable grace period provided therein or

   (e) the Borrower or any Affiliate  Guarantor or any  partnership in which the
Borrower is a partner (each hereinafter  called a "Principal  Party") shall die,
dissolve, merge or consolidate, suspend the transaction of business or incur any
material adverse change in its financial condition or prospects; or

   (f) the  Borrower or any other  Principal  Party  shall be  expelled  from or
suspended  by any  stock  or  securities  exchange  or  other  exchange,  or any
proceeding,  procedure or remedy  supplementary to or in enforcement of judgment
(involving an amount in excess of $20,000 in the aggregate) shall be resorted to
or  commenced  against,  or with respect to any property of, the Borrower or any
other Principal Party; or

   (g) the Borrower or any other  Principal  Party shall make an assignment  for
the benefit of, or composition with, creditors,  or shall be or become insolvent
or unable, or generally fail, to pay its debts when due, or shall be or become a
party or subject to any bankruptcy, reorganization,  insolvency or other similar
proceeding, or a receiver or liquidator, custodian or trustee shall be appointed
for the Borrower or any other liable party,  or a substantial  portion of any of
the  Borrower's or their  respective  assets and, if any of the foregoing  shall
occur  involuntarily  as to the Borrower and any other Principal Party, it shall
not be dismissed with  prejudice,  stayed or discharged  within  forty-five (45)
days; or

   (h) the  Borrower  or any other  Principal  Party  shall  take any  action to
effect,  or which indicates its  acquiescence in, any of (e), (f) or (g), above;
or

   (i) the Borrower defaults under any other loan or note to any other lender or

   (j) the Obligations defined in the Affiliate Guaranty shall become due; or

   (k)  notwithstanding  the  foregoing,  if a notice of default is given to the
Borrower under the lease, (if any) of the Property and such default is not cured
within three (3) days from the date of such notice.

                                  ARTICLE VIII

                  REMEDIES UPON OCCURRENCE OF EVENT OF DEFAULT

   8. Remedies Upon Occurrence of Event of Default.

   8.1.Cumulative  Rights  and  Remedies.  Upon  the  occurrence  of an Event of
Default,  the  Secured  Party  shall have the rights,  powers and  remedies  (a)
granted to secured parties under the UCC; (b) granted to the Secured Party under
any other applicable  statute,  law, rule or regulation;  and (c) granted to the
Secured Party under this Security  Agreement,  the Promissory  Note or any other
Loan Document or any other agreement between the Borrower and the Secured Party.
In addition,  all such rights,  powers and remedies  shall be cumulative and not
alternative. Any single or partial exercise of, or forbearance, failure or delay
in exercising any right, power or remedy shall not be, nor shall any such single
or  partial  exercise  of, or  forbearance,  failure  or delay be deemed to be a
limitation,  modification or waiver or any right,  power or remedy and shall not
preclude the further exercise  thereof;  and every right power and remedy of the
Secured  Party shall  continue in full force and effect until such right,  power
and remedy is  specifically  waived by an  instrument  in writing  executed  and
delivered with respect to each such waiver by the Secured Party.

   8.2.Acceleration of Obligations.  Upon the occurrence of an Event of Default,
and at any time thereafter if any Event of Default shall then be continuing, the
Secured Party may, from time to time in its discretion, by written notice to the
Borrower  declare the Promissory Note (including any Make Whole Premium required
to be paid  upon  prepayment  of any  Loan)  and  any  other  Obligations  to be
immediately due and payable  whereupon (and,  automatically  without any notice,
demand or other action by the Secured Party, upon the occurrence of any Event of
Default set forth in subsections  (e) through (h) of Section 7) such  principal,
interest and other  Obligations  shall be immediately  due and payable,  without
presentment,  demand,  protest  or other  notice of any  kind,  all of which are
hereby waived by the Borrower to the maximum extent permitted by law.

   8.3.Additional  Rights of the Secured Party.  Upon the occurrence of an Event
of Default,  the Secured Party may, from time to time,  in its  discretion,  and
without the Borrower's  assent,  without  advertisements  or notices of any kind
(except for the notice  specified in Section 8.5 below regarding notice required
in connection  with a public or private sale), or demand of performance or other
demand,  or  obligation  or  liability  (except to account for amounts  actually
received) to or upon the Borrower or any other person (all such  advertisements,
notices and demands, obligations and liabilities, if any, hereby being expressly
waived and discharged to the extent  permitted by law),  forthwith,  directly or
through  its agents or  representatives,  (a)  disclose  such  default and other
matters  (including the name,  address and telephone  number of the Borrower) in
connection  therewith in the Secured Party's reasonable  discretion to any other
Program  Borrower,  the Borrower's  franchisor or franchisee (if applicable) and
other creditors or obligors of the Borrower (and the Borrower  understands  that
the Secured Party intends to make such  disclosure,  from time to time);  (b) to
the extent  permitted by applicable law enter any premises,  with or without the
assistance  of other  persons or legal  process;  (c)  require  the  Borrower to
account  for  (including  accounting  for  any  products  and  proceeds  of  any
Collateral),  segregate,  assemble,  make  available arid deliver to the Secured
Party, its agents or  representatives,  the Collateral;  (d) take possession of,
operate, render unusable,  collect, transfer and receive, recover,  appropriate,
foreclose,  extend payment of, adjust,  compromise,  settle,  release any claims
included  in,  and do all other  acts or  things  necessary  or, in the  Secured
Party's sole discretion appropriate,  to protect, maintain, preserve and realize
upon, the Collateral and any products and proceeds thereof, in whole or in part;
and (e) exercise all rights,  powers and  interests  with respect to any and all
Collateral,  and sell,  assign,  lease,  license,  pledge,  transfer,  negotiate
(including endorse checks, drafts, orders, or instruments), deliver or otherwise
dispose (by  contract,  option(s) or  otherwise)  of the  Collateral or any part
thereof.  Any such disposition may be in one or more public or private sales, at
or upon an exchange,  board or system or in the county (ies) or parish (ies), as
applicable, in the state(s) set forth on Schedule I or elsewhere, at such price,
for cash or credit (or for future  delivery  without  credit risk) and upon such
other  terms  and  conditions  as it deems  appropriate,  with the  right of the
Secured Party to the extent permitted by law upon any cash sale or sales, public
or private,  to purchase the whole or any part of said  Collateral,  free of any
right, claim or equity of redemption of or in the Borrower (such rights,  claims
and  equity  or   redemption,   if  any,   hereby   being   expressly   waived).
Notwithstanding  that the  Secured  Party,  whether in its own behalf  and/or on
behalf of another or others,  may continue to hold the Collateral and regardless
of the value  thereof,  or any delay or failure to dispose  thereof,  unless and
then only to the extent that the Secured Party proposes to retain the Collateral
in satisfaction of the Obligations by written notice in accordance with the UCC,
the Borrower  shall be and remain  liable for the payment in full of any balance
of the  Obligations  and  expenses  at any time  unpaid.  Without  limiting  the
foregoing,  upon  the  Borrower's  failure  to  abide  by and  comply  with  its
obligations under Section 3 (including Sections 3,9, 3.10 or 3.18) or Section 13
hereof, in addition to its other rights and remedies, the Secured Party may (but
is not  required  to),  in its  sole  discretion  and to  the  extent  it  deems
necessary,  advisable or appropriate,  take or cause to be taken such actions or
things to be done  (including the payment or advancement of funds,  or requiring
advancement  of funds to be held by the Secured Party to fund such  obligations,
including  taxes or  insurance)  as may be  required  hereby  (or  necessary  or
desirable in connection herewith) to correct such failure (including causing the
Collateral  to be  maintained  or  insurance  protection  required  hereby to be
procured and maintained) and any and all costs and expenses incurred  (including
attorney's fees and disbursements) in connection  therewith shall be included in
the Borrower's  Obligations  and shall be  immediately  due and payable and bear
interest at the Default Rate.

   8.4.  Application of Proceeds.  The Secured Party may apply the net proceeds,
if any, of any  collection,  receipt,  recovery,  appropriation,  foreclosure or
realization,  or from any  use,  operation,  sale,  assignment,  lease,  pledge,
transfer,  delivery  or  disposition  of all or  any  of the  Collateral,  after
deducting all reasonable  costs and expenses  (including  attorneys fees,  court
costs and legal  expenses)  incurred in connection  therewith or with respect to
the care,  safekeeping,  custody,  maintenance,  protection,  administration  or
otherwise of any and all of said Collateral or in any way relating to the rights
of  the  Secured  Party  under  this  Security  Agreement,  (a)  first,  to  the
satisfaction  of the  Obligations,  in  whole  or in pan,  in such  order as the
Secured  Party may,  in its  discretion,  elect;  (b)  second,  to the  payment,
satisfaction or discharge of any of other Indebtedness or obligation as required
by any law,  rule or  regulation;  and (c) lastly,  the surplus,  if any, to the
Borrower.

   8.5.  Required Notice of Sale. In exercising its rights,  powers and remedies
as secured  party,  the Secured  Party agrees to give the Borrower five (5) days
notice of the time and place of any  public  sale of  Collateral  or of the time
after which any private sale of Collateral may take place, unless the Collateral
is  perishable  or  threatens  to  decline  speedily  in  value  or is of a type
customarily  sold on a recognized  market.  The Borrower agrees that such period
and notice is commercially reasonable under the circumstances.

   8.6.  Applicable  Collateral.  In  furtherance  and not in  limitation of the
foregoing,  in no event  shall  the  designation  of all or any  portion  of the
Collateral as "Applicable  Collateral" restrict or limit he Secured Party in the
exercise of its  remedies  under this  Section 8. Such  designation  is intended
solely for the purposes set forth in Section 14.2. All of the  Collateral  shall
secure all of the  Obligations.  The Borrower  expressly waives any right (a) to
limit the Secured Party solely to the Applicable  Collateral with respect to any
Loan or (b) to require  the  Secured  Party to proceed  against  the  Applicable
Collateral  with  respect  to any  Loan  before  proceeding  against  any  other
Collateral  with  respect to such  Loan.  The  Borrower  agrees  that,  upon the
occurrence  of an Event of Default,  the Secured  Party may proceed  against the
Collateral in satisfaction  of any Obligation,  in such manner and in such order
as the Secured Party may determine in its sole and absolute discretion.

   8.7. Confession of Judgment. In the event that Secured Party is domiciled in,
or any of the  Collateral  is  located in  Louisiana,  and to the extent of such
domicile  or  location  where  Louisiana  law is  applicable  to  this  Security
Agreement regarding the enforcement of liens created by this Security Agreement:

   (a) Borrower hereby  acknowledges to be indebted under and confesses judgment
in favor of Secured Party for the full amount of the  Obligations,  in principal
and interest,  together with all attorneys  fees,  and other fees and charges as
specified  herein,  including  without  limitation any and all sums that Secured
Party may advance during the life of this Security  Agreement for the payment of
premiums of insurance, municipal charges, taxes, costs, and expenses, or for the
protection and preservation of this Security Agreement as authorized herein, and
does, by these presents,  consent,  agree and stipulate that in the event of any
payment of principal  and interest due  hereunder  not being  properly and fully
paid when the same becomes due and payable, or in the event of failure to comply
with any of the  obligations  set forth herein,  the  Obligations  shall, at the
option of the Secured Party, become due and payable,  and it shall be lawful for
Secured Party, without making a demand and without notice or putting in default,
the same being hereby expressly waived, to cause all and singular the Collateral
herein secured to be seized and sold by ordinary or executory process, issued by
any  competent  court or to proceed  with  enforcement  of its rights under this
Security Agreement in any other manner provided by law; and

   (b) Borrower  hereby  expressly  waives  allotment,  citation,  and all legal
notices,  including  the three (3) and five (5) day  notice of demand and delays
provided  for by the  Code of Civil  Procedure  of the  State of  Louisiana, and
consents that said  judgment or order for  executory or ordinary  process may be
rendered,  signed and executed immediately,  either in vacation or in term time,
and also waives the benefit of any and all laws or parts of laws relative to the
appraisement  of the  property  seized and sold under  executory  or other legal
process,  and consents that said property be sold with or without  appraisement,
at Secured  Party's option,  to the highest bidder for cash, or on such terms as
Secured  Party may direct,  and that in the event of any such sale the  property
may be sold at the option of Secured Party either as a whole or in such lots and
parcels as Secured Party may elect. In accordance  with the foregoing,  Borrower
hereby  waives (a) the  benefit of  appraisal  as  provided  in  Articles  2332,
2336,2723,  and 2724 of the Louisiana Code of Civil Procedure and all other laws
with regard to appraisal  upon judicial sale; (b) the demand and three (3) days'
delay as provided  under  Articles 2639 and 2721 of the Louisiana  Code of Civil
Procedure; (c) the notice of seizure as provided under Articles 2293 and 2721 of
the Louisiana  Code of Civil  Procedure;  (d) the three (3) days' delay provided
under Articles 2331 and 2722 of the Louisiana Code of Civil  Procedure;  and (e)
all other benefits provided under Articles 2331, 2722, and 2723 of the Louisiana
Code of Civil  Procedure and all other similar  provisions of the Louisiana Code
of Civil Procedure not specifically listed hereinabove.

   (c) In the  event  the  Collateral,  or any part  thereof,  is  seized  as an
incident to an action for the  recognition  or the  enforcement of this Security
Agreement,  whether by executory process, writ of fieri facias, sequestration or
otherwise,  Borrower and Secured Party do hereby designate  Secured Party or its
agent as the keeper of the property,  all in accordance  with the  provisions of
Louisiana  Revised  Statutes,  Title 9, Section 5136, et seq. Borrower agrees to
pay the reasonable fees of such keeper,  which  compensation to the keeper shall
also be a part of the Obligations under this Security Agreement.

   (d) Should it become  necessary  for Secured  Party to foreclose  against the
Collateral, all declarations of fact that are made under an authentic act before
a Notary Public in the presence of two  witnesses,  by a person  declaring  such
facts to lie within his or her knowledge,  shall constitute  authentic  evidence
for  purposes of executory  process and also for purposes of La. R.S.  9:3509.1,
La. R.S. 9:3504(D)(6) and La. R.S. 10:9-508, as applicable.

                                   ARTICLE IX

                         POST-DEFAULT POWER OF ATTORNEY

   9.  Post-Default   Power  of  Attorney.   The  Borrower  hereby   irrevocably
constitutes  and appoints,  effective on and after the occurrence of an Event of
Default,  the Secured Party acting  through any officer or agent  thereof,  with
full power of  substitution,  as the Borrowers true and lawful  attorney-in-fact
with full  irrevocable  power and authority in the Borrowers place and stead and
in the  Borrowers  name or in its own  name,  from  time to time in the  Secured
Party's  discretion,  to  receive,  open and  dispose of mail  addressed  to the
Borrower,  to take any and all action,  to do all things,  to execute,  endorse,
deliver  and  file  any  and  all  writings,  documents,  instruments,  notices,
statements (including financing statements, and writings to correct any error or
ambiguity  in any Loan  Document),  applications  and  registrations  (including
registrations and licenses for securities,  Copyrights, Patents and Trademarks),
checks,  drafts,  acceptances,  money  orders,  or other  evidence of payment or
proceeds,  which may be or become  necessary or desirable in the sole discretion
of the  Secured  Party to  accomplish  the  terms,  purposes  and intent of this
Security  Agreement and the other Loan Documents,  including the right to appear
in and defend any action or proceeding brought with respect to the Collateral or
Property,  and to bring any action or  proceeding,  in the name and on behalf of
the Borrower,  which the Secured Party,  in its  discretion,  deems necessary or
desirable to protect its interest in the  Collateral or Property.  Said attorney
or designee shall not be liable for any acts of commission or omission,  nor for
any error of  judgment  or mistake  of fact or law,  unless and then only to the
extent that the same  constitutes  its gross  negligence or willful  misconduct.
This power is coupled with an interest and is  irrevocable.  THIS POWER DOES NOT
AND SHALL NOT BE CONSTRUED TO AUTHORIZE ANY CONFESSION OF JUDGMENT.

                                    ARTICLE X

                                 INDEMNIFICATION

   10.  Indemnification.  The Borrower agrees to indemnify the Secured Party and
hold the  Secured  Party  harmless  from and  against  any and all  liabilities,
obligations,  losses,  damages,  penalties,  actions.  judgments,  suits, costs,
expenses or disbursements of any kind or nature  whatsoever which may be imposed
on, incurred by, or asserted  against the Secured Party in any way relating,  in
any way arising out of or in connection with this Security  Agreement,  the Loan
Documents or the transactions contemplated hereby or thereby. Without limitation
of the foregoing, the Borrower will reimburse the Secured Party for all expenses
(including  expenses for legal services of every kind) of, or incidental to, the
negotiation of,  entering into and  enforcement of any of the provisions  hereof
and of any of the Obligations,  and any actual or attempted sale, lease or other
disposition  of,  and  any  exchange,  enforcement,  collection,  compromise  or
settlement of any of the Collateral and receipt of the Proceeds thereof, and for
the care of the  Collateral  and defending or asserting the rights and claims of
the  Secured  Party in respect  thereof and for the care of the  Collateral  and
defending  or  asserting  the rights and claims of the Secured  Party in respect
thereof,  by litigation or otherwise,  including  expense of insurance,  and all
such expenses shall be the Borrowers Obligations.

                                   ARTICLE XI

                              OBLIGATIONS ABSOLUTE

   11.  Obligations  Absolute.  The  Borrower's  Obligations  will be  absolute,
unconditional  and  irrevocable  and  will  be  paid or  satisfied  strictly  in
accordance  with their  respective  terms  under all  circumstances  whatsoever,
including:  (a) the invalidity or unenforceability of all or any of, or any part
of, this Security Agreement,  the Promissory Note or any other Loan Document, or
any consent, waiver, amendment or modification thereof; (b) the existence of any
claim,  setoff,  defense or other right which the  Borrower may have at any time
against the Secured Party, or any other Person,  whether in connection with this
Security  Agreement,  any other Loan Documents,  the  transactions  contemplated
hereby,  thereby or  otherwise  all of which the Borrower  hereby  waives to the
maximum extent permitted by law; or (c) the loss, theft, damage,  destruction or
unavailability of the Collateral to the Borrower for any reason  whatsoever,  it
being  understood  and  agreed  that the  Borrower  retains  all  liability  and
responsibility with respect to the Collateral.

                                   ARTICLE XII

                   ASSIGNMENT AND DISSEMINATION OF INFORMATION

   12. Assignment and Dissemination of Information.

   12.1. Assignment.  This Security Agreement is freely assignable,  in whole or
in part,  by the Secured  Party and, to the extent of any such  assignment,  the
Secured Party shall be fully  discharged from all  responsibility.  The Borrower
understands  and agrees that the Secured  Party intends to and may, from time to
time,  sell,  pledge,  grant a security  interest  in and  collaterally  assign,
transfer and deliver or otherwise  encumber or dispose of the  Promissory  Note,
this Security  Agreement and the other Loan  Documents and its rights and powers
hereunder  and  thereunder,  in  whole  or  in  part,  in  connection  with  the
Securitization  or any other  assignment or other  disposition of the Promissory
Note. The Borrower may not, in whole or in part, directly or indirectly,  assign
this  Security  Agreement  or any  Loan  Document  or its  rights  hereunder  or
thereunder  or delegate its duties  hereunder  without,  in each  instance,  the
specific  prior  written  consent of the  Secured  Party,  which  consent may be
withheld or delayed in the Secured Party's sole  discretion,  and payment of the
amounts required under and compliance with Section 13(b) of the Promissory Note.
For  purposes of this  Security  Agreement,  a change in control of the Borrower
(whether by stock sale,  issuance or otherwise)  shall  constitute an assignment
hereof.

   12.2.  Dissemination of Information.  If Secured Party determines at any time
to sell, transfer or assign the Promissory Note,  Security  Agreement,  or other
Loan  Documents,  and any or all servicing  rights with respect  thereto,  or to
otherwise issue a Securitization involving the Loan Documents, Secured Party may
forward to each purchaser,  transferee,  assignee, investor or their perspective
successors   in  such   Securitization   or  any  rating   agency   rating  such
Securitization  and each  prospective  investor,  all documents and  information
which  Secured  Party  now has or may  hereafter  acquire  relating  to the Loan
Documents,  the Borrower, any Guarantor and the Property,  which shall have been
furnished by Borrower or any Guarantor, as Secured Party determines necessary or
desirable.

                                  ARTICLE XIII

                                FURTHER ASSURANCE

   13. Further Assurance. The Borrower agrees at any time and from time to time,
at the  Borrower's  sole cost and  expense,  to  obtain,  procure,  execute  and
deliver, file and affix such further agreements,  bills of sale and assignments,
instruments, documents, warehouse receipts, bills of lading, vouchers, invoices,
notices, statements,  writings, (including financing statements, and writings to
correct any error or ambiguity in any Loan Document),  powers  (including  stock
and bond powers,  and powers of attorney),  tax stamps and  information,  and to
door cause to be done all such further acts and things (including the execution,
delivery and filing of financing  statements,  on Form UCC-1,  payment of filing
fees  and  transfer,  gains  and  recording  taxes)  as the  Secured  Party  may
reasonably request,  from time to time, in its discretion.  Without limiting the
foregoing,  the Borrower  authorizes  the Secured Party to the extent  permitted
under the UCC to execute and file, or file without the Borrower's signature, any
and all financing  statements,  amendments thereto and continuations  thereof as
the Secured Party deems  necessary or appropriate and the Borrower shall pay and
indemnify the Secured Party for and hold the Secured Party harmless from any and
all costs and expenses in connection therewith. The Borrower agrees that it will
promptly  notify the Secured Party of and agree to correct any defect,  error or
omission  in the  contents  of any of the Loan  Documents  or in the  execution,
delivery or  acknowledgement  thereof The  Borrower  further  agrees to execute,
prior to or within three months following  closing, a Form 4506 Request for Copy
or Transcript of Tax Form, which form will be provided by Secured Party.

                                  ARTICLE XIV

                     TERM, PARTIAL RELEASE AND REINSTATEMENT

   14. Term. Partial Release and Reinstatement

   14.1.  Term.  This Security  Agreement shall be immediately in fill force and
effect upon the Borrower's  execution below,  whether or not it is signed by the
Secured  Party.  Upon  indefeasible  payment  in  11:11  of the  Obligations  in
accordance  with the terms  thereof,  this  Security  Agreement and the security
interest  granted  hereunder  shall  terminate  and the  Secured  Party,  at the
Borrower's  expense,  will  execute  and  deliver  to the  Borrower  the  proper
instruments (including UCC termination statements) acknowledging the termination
of such security interest,  and will duly assign,  transfer and deliver (without
recourse,  representation  or warranty) such Collateral as may be in the Secured
Party's  possession,  and not to be  retained,  sold,  or  otherwise  applied or
released pursuant to this Security Agreement,  to the Borrower,  except that the
Borrower's   obligations  under  Sections  10,  11,  13  and  IS  shall  survive
indefinitely.

   14.2.  Partial  Release.  Upon the  indefeasible  payment in full of any Loan
(including,  without imitation,  any Make Whole Premium or other amounts payable
by the Borrower with respect to such Loan) in accordance  with the provisions of
the  Promissory  Note,  the  security  interest  hereunder  with  respect to the
Applicable Collateral shall terminate,  and the Secured Party, at the expense of
the  Borrower,  will execute and deliver to the Borrower the proper  instruments
(including UCC partial release statements) acknowledging the termination of such
security interest, and will duly assign, transfer and deliver (without recourse,
representation  or warranty) such of the Applicable  Collateral a_ may be in the
possession of the Secured Party and has not  theretofore  been sold or otherwise
applied or released pursuant to this Security  Agreement,  to the Borrower,  and
shall  take  such  other  action  as the  Borrower  may  reasonably  request  to
effectuate the foregoing.

   14.3.  Reinstatement.  This Security Agreement shall continue to be effective
or be reinstated,  as the case may be, if at any time any amount received by the
Secured Party in respect of the  Obligations  is rescinded or must  otherwise be
restored  or  returned by the  Secured  Party upon the  insolvency,  bankruptcy,
dissolution,  liquidation  or  reorganization  of the Borrower or any  Principal
Party or upon the appointment of any interferon or conservator of, or trustee or
similar official for, the Borrower,  any Principal Party or any substantial part
of the Borrower's or any Principal Party's assets,  or otherwise,  all as though
such payments had not been made.

                                   ARTICLE XV

                                  MISCELLANEOUS

   15.1. FINAL AGREEMENT:  AMENDMENTS. CONSENTS.  AUTHORIZATIONS.  THIS SECURITY
AGREEMENT  REPRESENTS THE FINAL AGREEMENT  BETWEEN THE BORROWER ANT) THE SECURED
PARTY AND MAY NOT BE  CONTRADICTED  BY  EVIDENCE  OF PRIOR,  CONTEMPORANEOUS  OR
SUBSEQUENT ORAL  AGREEMENTS OF THE BORROWER AND THE SECURED PARTY.  THE BORROWER
UNDERSTANDS AND AGREES THAT ORAL AGREEMENTS AND ORAL  COMMITMENTS TO LOAN MONEY,
EXTEND  CREDIT  OR TO  FORBEAR  FROM  ENFORCING  REPAYMENT  OF A  DEBT  ARE  NOT
ENFORCEABLE,  THE BORROWER  ACKNOWLEDGES AND AGREES THERE ARE NO ORAL AGREEMENTS
BETWEEN THE BORROWER AND THE SECURED PARTY. This Security Agreement and the Loan
Documents  represent  the  entire  understanding  of the  Secured  Party and the
Borrower with respect to the transactions  contemplated hereby and thereby. None
of the terms or provisions of this Security Agreement or any other Loan Document
may be waived,  altered,  modified,  or  amended  except in each  instance  by a
specific written instrument duly executed by the Secured Party. Without limiting
the  foregoing, no  action  or  omission to act shall be deemed to be a consent,
authorization,  representation or agreement of the Secured Party, under the UCC
or otherwise, unless, in each instance, the same is in a specific writing signed
by the Secured Party.  The inclusion of Proceeds in the Collateral  does not and
shall not be deemed to authorize  the  Borrower to sell,  exchange or dispose of
the Collateral or the Franchise Agreement or otherwise use the Collateral in any
manner not otherwise specifically authorized herein.

   15.2. Notices.  All notices and other  communications given pursuant to or in
connection  with  this  Security  Agreement  shall be in duly  executed  writing
delivered to the parties at the addresses set forth below (or such other address
as may be provided by one party in a notice to the other party):

     If to the Secured Party:            If to the Assignee of Secured Party:
     AMRESCO COMMERCIAL FINANCE, INC.    NORWEST BANK MINNESOTA, NA.
     112 E. Parkcenter Blvd.             Sixth & Marquette
     Suite 300                           Minneapolis, MN 55479-0070
     Boise, Idaho 83706
     Facsimile Number: (208) 333-2050    Facsimile Number: (612) 667-9825

   If to the Borrower,  to the Borrower's chief executive office (or residence),
as represented by the Borrower herein.

   Notice delivered in accordance with the foregoing shall be effective (a) when
delivered,  if delivered  personally or by receipted-for telex,  telecopier,  or
facsimile  transmission.  (b) two (2) days after being  delivered  in the United
States (properly  addressed and all fees paid) for overnight delivery service to
a courier (such as Federal  Express) which  regularly  provides such service and
regularly  obtains executed  receipts  evidencing  delivery or (c) five (5) days
after being deposited (properly addressed and stamped for first-class  delivery)
in a daily serviced United States mail box.

   15.3.  Reasonableness.  If at any time the Borrower believes that the Secured
Party has not acted  reasonably  in  granting  or  withholding  any  approval or
consent under the Promissory  Note, this Security  Agreement,  or any other Loan
Document or otherwise with respect to the  Obligations,  as to which approval or
consent  either the Secured Party has  expressly  agreed to act  reasonably,  or
absent  such  agreement,  a court of law having  jurisdiction  over the  subject
matter would require the Secured Party to act  reasonably,  then the  Borrower's
sole remedy shall be to seek  injunctive  relief or specific  performance and no
action for monetary  damages or punitive damages shall in any event or under any
circumstance be maintained by the Borrower against the Secured Party.

   15.4.  Recovery of Sums Required To Be Paid. The Secured Party shall have the
right  from  time to  time  to take  action  to  recover  any sum or sums  which
constitute a part of the  Obligations as the same become due,  without regard to
whether  or not  the  balance  of the  Obligations  shall  be due,  and  without
prejudice  to the right of the Secured  Party  thereafter  to bring an action of
foreclosure,  or any other  action,  for a default or defaults  by the  Borrower
existing at the time such earlier action was commenced.

   15.5.  WAIVERS.  THE BORROWER HEREBY MAKES AND ACKNOWLEDGES THAT IT MAKES ALL
OF THE WAIVERS SET FORTH IN THIS SECURITY AGREEMENT, THE PROMISSORY NOTE AND THE
OTHER LOAN DOCUMENTS KNOWINGLY, INTENTIONALLY,  VOLUNTARILY, WITHOUT DURESS, AND
ONLY AFTER EXTENSIVE CONSIDERATION OF THE RAMIFICATIONS OF SUCH WAIVERS WITH ITS
ATTORNEY;  THE BORROWER  FURTHER  ACKNOWLEDGES  THAT SUCH WAIVERS ARE A MATERIAL
INDUCEMENT  TO THE SECURED  PARTY TO MAKE THE LOANS TO THE BORROWER AND THAT THE
SECURED  PARTY  WOULD NOT HAVE  MADE THE LOANS  WITHOUT  SUCH  WAIVERS;  AND THE
BORROWER HEREBY MAKES AND  ACKNOWLEDGES  THAT IT MAKES SUCH WAIVERS WITH RESPECT
TO EACH OTHER LOAN IN THE PROGRAM.

   15.6.  WAIVER  OF  TRIAL  BY  JURY.  THE  BORROWER  HEREBY   IRREVOCABLY  AND
UNCONDITIONALLY  WAIVES,  AND  THE  SECURED  PARTY  BY  ITS  ACCEPTANCE  OF  THE
PROMISSORY NOTE AND THIS SECURITY AGREEMENT AND OTHER LOAN DOCUMENTS IRREVOCABLY
AND  UNCONDITIONALLY  WAIVES, ANY AND ALL RIGHTS TO TRIAL BY JURY IN ANY ACTION,
SUIT OR COUNTERCLAIM ARISING IN CONNECTION WITH, OUT OF OR ARTICLE XV OTHER LOAN
DOCUMENT OR THE OBLIGATIONS.

   15.7.  Relationship.  The  relationship  of the Secured Party to the Borrower
hereunder  is  strictly  and solely  that of secured  lender on the one hand and
borrower  and  guarantor on the other and nothing  contained  in the  Promissory
Note,  this  Security  Agreement  or any other Loan  Document  or  otherwise  in
connection with the Obligations is intended to create,  or shall in any event or
under any circumstance be construed as creating,  a partnership,  joint venture,
tenancy-in-common,  joint tenancy or other relationship of any nature whatsoever
between the Secured Party and the Borrower  other than as secured  lender on the
one hand and borrower and guarantor on the other.

   15.8. Time is of the Essence. For all payments to be made and all obligations
to be performed under the Loan Documents, time is of the essence.

   15.9.  Governing Law:  Binding Effect.  THIS SECURITY  AGREEMENT AND ALL LOAN
DOCUMENTS  ARE  ENTERED  INTO IN THE  STATE  OF  IDAHO,  SECURED  PARTY'S  CHIEF
EXECUTIVE  OFFICE AND  PRINCIPAL  PLACE OF  BUSINESS  IS LOCATED IN THE STATE OF
IDAHO,  AND ALL NOTICES AND SUMS PAYABLE  UNDER THE LOAN  DOCUMENTS  RELATING TO
THIS SECURITY AGREEMENT WILL BE SENT TO THE SECURED PARTY IN THE STATE OF IDAHO.
BORROWER AND SECURED PARTY AGREE THAT THE VALIDITY, ENFORCEABILITY, CONSTRUCTION
AND INTERPRETATION  OF  THIS  SECURITY  AGREEMENT, AND OF ALL  TRANSACTIONS  AND
DOCUMENTS  UNDER OR  RELATING  TO IT, WILL BE  CONSTRUED, APPLIED, ENFORCED  AND
GOVERNED  UNDER  THE LAWS OF THE  STATE  OF  IDAHO  (WITHOUT  GIVING  EFFECT  TO
PRINCIPLES  OF CONFLICTS  OF LAW),  PROVIDED  HOWEVER,  THAT WITH RESPECT TO THE
CREATION, ATTACHMENT,  PERFECTION, PRIORITY AND ENFORCEMENT TO ANY LIENS CREATED
BY THIS SECURITY AGREEMENT,  THE LAWS OF THE STATE WHERE THE APPLICABLE PROPERTY
IS LOCATED IS LOCATED SHALL APPLY. This Security Agreement shall be binding upon
the  Borrower,  and the  heirs,  devises,  administrators  executives,  personal
representatives,  successors, receivers, trustees, and (without limiting Section
12 hereof)  assignees,  including all  successors in interest of the Borrower in
and to all or any part of the Collateral,  and shall inure to the benefit of the
Secured Party, and the successors and assignees of the Secured Party.

   15.10.   Severability.   Whenever  possible  this  Security  Agreement,   the
Promissory  Note and each Loan  Document and each  provision  hereof and thereof
shall be  interpreted in such manner as to be effective,  valid and  enforceable
under applicable law. If and to the extent that any such provision shall he held
invalid and unenforceable by any court of competent  jurisdiction,  such holding
shall not  invalidate or render  unenforceable  any other  provisions  hereof or
thereof,  and any determination  that the application of any provision hereof or
thereof to any person or under any  circumstance  is illegal  and  unenforceable
shall not affect the legality,  validity and enforceability of such provision as
it may be applied to any other person or in any other circumstance.

   15.11.  Headings Descriptive.  The headings,  titles and captions used herein
are for convenience  only and shall not affect the construction of this Security
Agreement or any term or provision hereof.

   15.12.  Counteparts.  This Security Agreement may be executed in a number of
counterparts and each of such  counterparts  shall for all purposes be deemed to
be an original;  and all such counterparts shall together constitute but one and
the same agreement.

   15.13.   Acknowledgement.   Borrower   acknowledges   that  Secured   Party's
underwriting  guidelines  and  standards are applied on a case by case basis and
that waivers may be granted in any particular  case  (including in the case of a
borrower to be included in a pool with Borrower).  Borrower further acknowledges
that Secured Party's underwriting guidelines or standards may be modified at any
time by Secured Party without notice to Borrower.

   15.4 Attorneys Fees and Costs. Borrower agrees that upon the occurrence of an
Event of  Default,  the  Borrower  shall  pay all costs  and  expenses  actually
incurred by Secured  Party  (including  without  limitation  attorneys  fees and
disbursements)   incident  to  the   enforcement,   collection,   protection  or
preservation  of any right or claim of Secured  Party under the Loan  Documents,
including any such fees or costs  incurred in connection  with any bankruptcy or
insolvency proceeding of Borrower.

   15.15. Loan Pool Flexibility. Secured Party shall have the right, at its sole
and  absolute  discretion  upon  written  notice to  Borrower,  to  transfer  (a
"Transfer"),  within  eighteen  (18)  months  from  the  effective  date of this
Security Agreement,  all or any of the Loans and all Liens related to such Loam,
from the Program to any other loan  program  formed by Secured  Party.  Upon the
occurrence of a Transfer,  the Loan Documents shall be automatically amended and
reclassified  to reflect the Transfer.  Borrower shall execute all amendments or
other documents Secured party deems necessary to effectuate a Transfer.

   15.16. Public  Announcement.  Upon the closing of the Loans, Secured Party is
authorized  in its  discretion  to issue news releases and at its own expense to
publish  "tombstone ads" and other  announcements in newspapers,  trade journals
and other appropriate  media,  containing  information about the Loans as may be
deemed noteworthy by Secured Party,  including without  limitation the legal and
trade  name of  Borrowers,  the  amount  of the Loan and the  name,  nature  and
location of the Collateral.

   IN WITNESS WHEREOF,  the Borrower has executed and entered into this Security
Agreement  and delivered it to the Secured Party on and as of the date set forth
below.  This  document is executed  under seal and  intended to take effect as a
sealed instrument.

 Date:  September 22, 1999
                                                FFP Properties, L. P.
     WITNESS
                                                By:  FFP Real Estate Trust
                                                     sole general partner

 (SEAL)

                                                By:___________________
                                                Craig T. Scott
                                                Vice President
STATE OF TEXAS      )
                    )  ss.
COUNTY OF Tarrant   )

This instrument was  acknowledged  before me on the 17th day of September,  1999
by, Craig T. Scott, Vice President of FFP Real Estate Trust, a Texas real estate
investment trust and the sole general partner of FFP Partners, L. P., a Delaware
limited  partnership,  sole  general  partner of FFP  Properties,  L.P., a Texas
limited partnership, who stated that the same was signed for the purposes and in
the capacity indicated therein and on behalf of said entities.

                                          __________________________________
                                          Notary Public State of Texas

                                          __________________________________
                                          Notary's commission expires:

                                          SECURED PARTY:

                                          AMRESCO Commercial Finance, Inc.

                                          By:_____________________________
                                              Dale Conder
                                              Vice President

<PAGE>
                                   SCHEDULE I

                              A. Borrower Information

If an individual, the Borrower's residence address:

 Street:
 City:
 County or Parish, as applicable:
 State:
 Zip:

The Borrower's chief executive office:    2801 Glenda Avenue
                                          Fort Worth, TX 76117-4391

The Borrower's state of organization:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00007-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00007-of-00352.parquet"}]]