Document:

EXHIBIT 4.26
                                                               __________

      THE WARRANTS AND WARRANT SHARES HAVE NOT BEEN REGISTERED UNDER THE
      SECURITIES ACT OF 1933, AS AMENDED, AND THE WARRANTS AND THE
      WARRANT SHARES MAY NOT BE SOLD UNLESS THERE IS A REGISTRATION
      STATEMENT IN EFFECT COVERING THE WARRANTS AND WARRANT SHARES OR
      THERE IS AVAILABLE AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS
      OF THE SECURITIES ACT OF 1933 AS AMENDED.

       Void after 5:00 p.m. New York Time, on the Expiration Date.
           Warrant to Purchase 100,000 Shares of Common Stock.

                          AMENDED AND RESTATED
                    WARRANT TO PURCHASE COMMON STOCK
                                   OF
                               CADIZ INC.
                      (Seventh Warrant Certificate)

      This is to Certify that, FOR VALUE RECEIVED, Middenbank Curacao,
 N.V. ("Middenbank"), or assigns ("Holder"), is entitled to purchase,
 subject to the provisions of this Warrant, from Cadiz Inc., a Delaware
 corporation ("Company"), 100,000 shares of Common Stock, $0.01 par
 value, of the Company ("Common Stock") at a price of Four Dollars and
 Seventy-Five Cents ($4.75) per share at any time during the period from
 October 31, 2000 (the "Initial Exercise Date") to the fifth anniversary
 of the Initial Exercise Date (the "Expiration Date"), but not later than
 5:00 p.m., New York Time, on the Expiration Date.  The shares of Common
 Stock (or other stock or securities) deliverable upon such exercise are
 hereinafter sometimes referred to as "Warrant Shares" and the exercise
 price of each share of Common Stock (as such price may be adjusted from
 time to time as provided herein) is hereinafter sometimes referred to as
 the "Exercise Price".

      This Amended and Restated Warrant is being issued for the purpose
 of modifying the Exercise Price as set forth in that certain Warrant
 (the "Seventh Warrant Certificate") for 100,000 shares of Common Stock
 issued by the Company on otherwise identical terms in connection with
 that certain Third Global Amendment Agreement by and between the
 Company, for itself and as successor in interest to Cadiz Valley
 Development Corporation, and ING Baring (U.S.) Capital LLC ("ING") dated
 as of December 22, 1999.  This Amended and Restated Warrant supersedes
 and replaces the Seventh Warrant Certificate.  The Company acknowledges
 that the conditions to exercisability set forth in the Seventh Warrant
 Certificate have been satisfied.

      (a)  EXERCISE OF WARRANT.  Subject to the provisions of Section (k)
 hereof, this Warrant may be exercised in whole or in part at any time or
 from time to time on or after the Initial Exercise Date and until the
 Expiration Date, or if either such day is a day on which banking
 institutions in the State of New York are authorized by law to close,
 then on the next succeeding day which shall not be such a day, by
 presentation and surrender hereof to the Company at its principal
 office, or at the office of its stock transfer agent, if any, with the
 Purchase Form annexed hereto duly executed and accompanied by payment of
 the Exercise Price for the number of Warrant Shares specified in such
 form.  The Holder may exercise this Warrant, in whole or in part,
 without the payment of any cash or other property, by presentation and
 surrender of this Warrant to the Company at its principal office or at
 the office of its stock transfer agent, if any, with the Purchase Form
 duly executed and accompanied by a written request from the Holder
 instructing the Company to issue to the Holder a number of Warrant
 Shares equal to the product of (1) a fraction, (i) the numerator of
 which shall be the excess of the current market price (as defined in
 Section (f)(8) below) of the Common Stock on the date preceding the date
 of such exercise of the Warrant over the then Exercise Price per Warrant
 Share and (ii) the denominator of which shall be the current market
 price (as defined in Section (f)(8) below) of the Common Stock on such
 date, times (2) the number of Warrant Shares as to which the Warrant is
 being exercised.  If this Warrant should be exercised in part only, the
 Company shall, upon surrender of this Warrant for cancellation, execute
 and deliver a new Warrant evidencing the rights of the Holder thereof to
 purchase the balance of the Warrant Shares purchasable thereunder.  Upon
 receipt by the Company of this Warrant at its office, or by the stock
 transfer agent of the Company at its office, in proper form for
 exercise, the Holder shall be deemed to be the holder of record of the
 shares of Common Stock issuable upon such exercise, notwithstanding that
 the stock transfer books of the Company shall then be closed or that
 certificates representing such shares of Common Stock shall not then be
 actually delivered to the Holder.  The Company shall pay all expenses,
 transfer taxes and other charges payable in connection with the
 preparation, issue and delivery of stock certificates under this Section
 (a), except that, in case such stock certificates shall be registered in
 a name or names other than the name of the holder of this Warrant, all
 stock transfer taxes which shall be payable upon the issuance of such
 stock certificate or certificates shall be paid by the Holder at the
 time of delivering the Purchase Form.

      (b)  RESERVATION OF SHARES.  The Company hereby agrees that at all
 times following the Initial Exercise Date there shall be reserved for
 issuance and/or delivery upon exercise of this Warrant such number of
 shares of its Common Stock (or other stock or securities deliverable
 upon exercise of this Warrant) as shall be required for issuance and
 delivery upon exercise of this Warrant.  All shares of Common Stock
 issuable upon the exercise of this Warrant shall be duly authorized,
 validly issued, fully paid and nonassessable and free and clear of all
 liens and other encumbrances.

      (c)  FRACTIONAL SHARES.  No fractional shares or script
 representing fractional shares shall be issued upon the exercise of this
 Warrant.  With respect to any fraction of a share called for upon any
 exercise hereof, the Company shall pay to the Holder an amount in cash
 equal to such fraction multiplied by the current market value of a
 share, determined as follows:

           (1)  If the Common Stock is listed on a National Securities
      Exchange or admitted to unlisted trading privileges on such
      exchange or listed for trading on the NASDAQ system, the current
      market value shall be the last reported sale price of the Common
      Stock on such exchange or system on the last business day prior to
      the date of exercise of this Warrant or if no such sale is made on
      such day, the average closing bid and asked prices for such day on
      such exchange or system; or

           (2)  If the Common Stock is not so listed or admitted to
      unlisted trading privileges, the current market value shall be the
      mean of the last reported bid and asked prices reported by the
      National Quotation Bureau, Inc. on the last business day prior to
      the date of the exercise of this Warrant; or

           (3)  If the Common Stock is not so listed or admitted to
      unlisted trading privileges and bid and asked prices are not so
      reported, the current market value shall be an amount not less than
      the book value thereof as at the end of the most recent fiscal year
      of the Company ending prior to the date of the exercise of the
      Warrant, determined in good faith and in such reasonable manner as
      may be prescribed by the Board of Directors of the Company, and
      reasonably acceptable to the Holder.

     (d)  EXCHANGE, TRANSFER, ASSIGNMENT OR LOSS OF WARRANT.  This
 Warrant is exchangeable, without expense, at the option of the Holder,
 upon presentation and surrender hereof to the Company or at the office
 of its stock transfer agent, if any, for other warrants of different
 denominations entitling the holder thereof to purchase in the aggregate
 the same number of shares of Common Stock purchasable hereunder.  This
 Warrant is transferable and may be assigned or hypothecated, in whole or
 in part, at any time and from time to time from the date hereof.
 Subject to the provisions of Section (k), upon surrender of this Warrant
 to the Company at its principal office or at the office of its stock
 transfer agent, if any, with the Assignment Form annexed hereto duly
 executed and funds sufficient to pay any transfer tax, the Company
 shall, without charge, execute and deliver a new Warrant registered in
 the name of the assignee named in such instrument of assignment and this
 Warrant shall promptly be canceled.  This Warrant may be divided or
 combined with other warrants which carry the same rights upon
 presentation hereof at the principal office of the Company or at the
 office of its stock transfer agent, if any, together with a written
 notice specifying the names and denominations in which new Warrants are
 to be issued and signed by the Holder hereof.  The term "Warrant" as
 used herein includes any Warrants into which this Warrant may be divided
 or exchanged.  Upon receipt by the Company of evidence satisfactory to
 it of the loss, theft, destruction or mutilation of this Warrant, and in
 the case of loss, theft or destruction, of reasonably satisfactory
 indemnification and upon surrender and cancellation of this Warrant, if
 mutilated, the Company will execute and deliver a new Warrant of like
 tenor and date.  Any such new Warrant executed and delivered shall
 constitute an additional contractual obligation on the part of the
 Company, whether or not this Warrant so lost, stolen, destroyed, or
 mutilated shall be at any time enforceable by anyone.

     (e)  RIGHTS OF THE HOLDER.  The Holder shall not, by virtue hereof,
 be entitled to any rights of a shareholder in the Company, either at law
 or equity, and the rights of the Holder are limited to those expressed
 in the Warrant and are not enforceable against the Company except to the
 extent set forth herein.  Furthermore, the Holder by acceptance hereof,
 consents to and agrees to be bound by and to comply with all the
 provisions of this Warrant, including, without limitation, all the
 obligations imposed upon the holder hereof by Section (k).  In addition,
 the holder of this Warrant, by accepting the same, agrees that the
 Company and the transfer agent may deem and treat the person in whose
 name this Warrant is registered as the absolute, true and lawful owner
 for all purposes whatsoever, and neither the Company nor the transfer
 agent shall be affected by any notice to the contrary.

     (f)  ANTI-DILUTION PROVISIONS.  The Exercise Price and the number
 and kind of securities purchasable upon the exercise of this Warrant
 (the "Warrant Shares") shall be subject to adjustment from time to time
 upon the happening of certain events as hereinafter provided.  The
 Exercise Price in effect at any time and the Warrant Shares shall be
 subject to adjustment as follows:

          (1)  In case the Company shall (i) pay a dividend or make a
     distribution on its shares of Common Stock in shares of Common
     Stock, (ii) subdivide or reclassify its outstanding Common Stock in
     shares of Common Stock into a greater number of shares, or (iii)
     combine or reclassify its outstanding Common Stock into a smaller
     number of shares, then the Exercise Price in effect at the time of
     the record date for such dividend or distribution or of the
     effective date of such subdivision, combination or reclassification
     shall be adjusted so that such Exercise Price shall equal the price
     determined by multiplying the Exercise Price in effect immediately
     prior to such record date or effective date by a fraction, the
     numerator of which is the number of shares of Common Stock
     outstanding on such record date or effective date, and the
     denominator of which is the number of shares of Common stock
     outstanding immediately after such dividend, distribution,
     subdivision, combination or reclassification.  For example, if the
     Company declares a 2 for 1 stock dividend or stock split and the
     Exercise Price immediately prior to such event was $8.00 per share,
     the adjusted Exercise Price immediately after such event would be
     $4.00 per share.

          Such adjustment shall be made successively whenever any event
     listed in this Subsection (1) shall occur.

          (2)  In case the Company shall hereafter issue rights or
     warrants to all holders of its Common Stock entitling them to
     subscribe for or purchase shares of Common Stock (or securities
     convertible into Common Stock) at a price (or having a conversion
     price per share) less than the current market price of the Common
     Stock (as defined in Subsection (8) below) on the record date
     mentioned below, then the Exercise Price shall be adjusted so that
     the same shall equal the price determined by multiplying the
     Exercise Price in effect immediately prior to the record date
     mentioned below by a fraction, the numerator of which shall be the
     sum of the number of shares of Common Stock outstanding on the
     record date mentioned below and the number of additional shares of
     Common Stock which the aggregate offering price of the total number
     of shares of Common Stock so offered (or the aggregate conversion
     price of the convertible securities so offered) would purchase at
     such current market price per share of the Common Stock, and the
     denominator of which shall be the sum of the number of shares of
     Common Stock outstanding on such record date and the number of
     additional shares of Common Stock offered for subscription or
     purchase (or into which the convertible securities so offered are
     convertible).  Such adjustment shall be made successively whenever
     such rights or warrants are issued and shall become effective
     immediately after the record date for the determination of
     shareholders entitled to receive such rights or warrants; and to the
     extent that shares of Common Stock are not delivered (or securities
     convertible into Common Stock are not delivered) after the
     expiration of such rights or warrants the Exercise Price shall be
     readjusted to the Exercise Price which would then be in effect had
     the adjustments made upon the issuance of such rights or warrants
     been made upon the basis of delivery of only the number of shares of
     Common Stock (or securities convertible into Common Stock) actually
     delivered.

          (3)  In case the Company shall hereafter distribute to all
     holders of its Common Stock evidences of its indebtedness or assets
     (excluding regular cash dividends or distributions and dividends or
     distributions referred to in Subsection (1) above) or subscription
     rights or warrants (excluding those referred to in Subsection (2)
     above), then in each such case the Exercise Price in effect
     thereafter shall be determined by multiplying the Exercise Price in
     effect immediately prior thereto by a fraction, the numerator of
     which shall be the total number of shares of Common Stock
     outstanding multiplied by the current market price per share of
     Common Stock (as defined in Subsection (8) below), less the
     aggregate fair market value (as determined in good faith by the
     Company's Board of Directors and reasonably acceptable to the Holder
     ) of said assets or evidences of indebtedness so distributed or of
     such rights or warrants, and the denominator of which shall be the
     total number of shares of Common Stock outstanding multiplied by
     such current market price per share of Common Stock.

            Such adjustment shall be made successively whenever any such
     distribution is made and shall become effective immediately after
     the record date for the determination of shareholders entitled to
     receive such distribution.

          (4)  In case the Company shall issue shares of its Common Stock
     [excluding shares issued (i) in any of the transactions described in
     Subsection (1) above, (ii) upon exercise of options granted to the
     Company's employees under a plan or plans adopted by the Company's
     Board of Directors and approved by its shareholders, if such shares
     would otherwise be included in this Subsection (4), (but only to the
     extent that the aggregate number of shares excluded hereby and
     issued after the date hereof, shall not exceed 5% of the Company's
     Common Stock outstanding at the time of any issuance), (iii) upon
     exercise of options and warrants outstanding at the date hereof, and
     this Warrant, (iv) upon the exercise of any convertible security as
     to which the Exercise Price has already been adjusted pursuant to
     Subsection (5) below, and (v) to shareholders of any corporation
     which merges into the Company in proportion to their stock holdings
     of such corporation immediately prior to such merger, upon such
     merger, or issued in a bona fide public offering pursuant to a firm
     commitment underwriting, but only if no adjustment is required
     pursuant to any other specific subsection of this Section (f)
     (without regard to Subsection (9) below) with respect to the
     transaction giving rise to such rights] for a consideration per
     share less than the current market price per share defined in
     Subsection (8) below, then on the date the Company fixes the
     offering price of such additional shares, the Exercise Price shall
     be adjusted immediately thereafter so that it shall equal the price
     determined by multiplying the Exercise Price in effect immediately
     prior thereto by a fraction, the numerator of which shall be the sum
     of the number of shares of Common Stock outstanding immediately
     prior to the issuance of such additional shares and the number of
     shares of Common Stock which the aggregate consideration received
     [determined as provided in Subsection (7) below] for the issuance of
     such additional shares would purchase at such current market price
     per share of Common Stock, and the denominator of which shall be the
     number of shares of Common Stock outstanding immediately after the
     issuance of such additional shares.

          Such adjustment shall be made successively whenever such an
     issuance is made; provided, however, that no such adjustment shall
     be made unless, in such issuance, the Company issues shares of
     Common Stock in an amount which, when combined with all other
     issuances of Common Stock after the date hereof and all other
     issuances of securities convertible into or exchangeable for its
     Common Stock after the date hereof, which securities are excluded
     from Subsections (4) or (5) by operation of this proviso or the
     proviso in the last section of Subsection (5), would exceed 20% of
     the Company's Common Stock outstanding immediately prior to the time
     of such issuance.

          (5)  In case the Company shall issue any securities convertible
     into or exchangeable for its Common Stock [excluding securities
     issued in transactions described in Subsections (2) and (3) above]
     for a consideration per share of Common Stock initially deliverable
     upon conversion or exchange of such securities [determined as
     provided in Subsection (7) below] less than the current market price
     per share [as defined in Subsection (8) below] in effect immediately
     prior to the issuance of such securities, then the Exercise Price
     shall be adjusted immediately thereafter so that it shall equal the
     price determined by multiplying the Exercise Price in effect
     immediately prior thereto by a fraction, the numerator of which
     shall be the sum of the number of shares of Common Stock outstanding
     immediately prior to the issuance of such securities and the number
     of shares of Common Stock which the aggregate consideration received
     [determined as provided in Subsection (7) below] for such securities
     would purchase at such current market price per share of Common
     Stock, and the denominator of which shall be the sum of the number
     of shares of Common Stock outstanding immediately prior to such
     issuance and the maximum number of shares of Common Stock of the
     Company deliverable upon conversion of or in exchange for such
     securities at the initial conversion or exchange price or rate.

          Such adjustment shall be made successively whenever such an
     issuance is made; provided, however, that no such adjustment shall
     be made unless, in such issuance, the Company issues securities
     convertible into or exchangeable for a number of shares of its
     Common Stock in an amount which, when combined with all other
     issuances of Common Stock after the date hereof and all other
     issuances of securities convertible into or exchangeable for its
     Common Stock after the date hereof, which securities are excluded
     from Subsections (4) or (5) by operation of this proviso or the
     proviso in the last section of Subsection (4), would exceed 20% of
     the Company's Common Stock outstanding immediately prior to the time
     of such issuance.

          (6)  Whenever the Exercise Price payable upon exercise of each
     Warrant is adjusted pursuant to Subsections (1), (2), (3), (4) and
     (5) above, the number of Warrant Shares purchasable upon exercise of
     this Warrant shall simultaneously be adjusted by multiplying the
     number of Warrant Shares issuable upon exercise of this Warrant
     immediately prior to such adjustment by the Exercise Price in effect
     immediately prior to such adjustment and dividing the product so
     obtained by the Exercise Price, as adjusted.

          (7)  For purposes of any computation respecting consideration
     received pursuant to Subsections (4) and (5) above, the following
     shall apply:

                    (A)  in the case of the issuance of shares of Common
          Stock for cash, the consideration shall be the amount of such
          cash, provided that in no case shall any deduction be made for
          any commissions, discounts or other expenses incurred by the
          Company for any underwriting of the issue or otherwise in
          connection therewith:

                    (B)  in the case of the issuance of shares of Common
          Stock for a consideration in whole or in part other than cash,
          the consideration other than cash shall be deemed to be the
          fair market value thereof as determined in good faith by the
          Board of Directors of the Company (irrespective of the
          accounting treatment thereof) and reasonably acceptable to the
          Holder; and

                    (C)  in the case of the issuance of securities
          convertible into or exchangeable for shares of Common Stock,
          the aggregate consideration received therefor shall be deemed
          to be the consideration received by the Company for the
          issuance of such securities plus the additional minimum
          consideration, if any, to be received by the Company upon the
          conversion or exchange thereof [the consideration in each case
          to be determined in the same manner as provided in clauses (A)
          and (B) of this Subsection (7)].

          (8)  For the purpose of any computation under Subsections (2),
     (3), (4) and (5) above, the current market price per share of Common
     Stock at any date shall be deemed to be the average of the daily
     closing prices for 30 consecutive business days before such date.
     The closing price for each day shall be the last sale price regular
     way or, in case no such reported sale takes place on such day, the
     average of the last reported bid and asked prices regular way, in
     either case on the principal national securities exchange on which
     the Common Stock is admitted to trading or listed, or if not listed
     or admitted to trading on such exchange, the average of the last
     reported bid and asked prices as reported by NASDAQ, or other
     similar organization if NASDAQ is no longer reporting such
     information, of if not so available, the fair market price as
     determined in good faith by the Board of Directors and reasonably
     acceptable to the Holder.

          (9)  No adjustment in the Exercise Price shall be required
     unless such adjustment would require an increase or decrease of at
     least five cents ($0.05) in such price; provided, however, that any
     adjustments which by reason of this Subsection (9) are not required
     to be made shall be carried forward and taken into account in any
     subsequent adjustment required to be made hereunder.  All
     calculations under this Section (f) shall be made to the nearest
     cent or to the nearest one-hundredth of a share, as the case may be.
     Anything in this Section (f) to the contrary notwithstanding, the
     Company shall be entitled, but shall not be required, to reduce the
     Exercise Price, in addition to those changes required by this
     Section (f), as it, in its sole discretion, shall determine to be
     advisable in order that any dividend or distribution in shares of
     Common Stock, subdivision, reclassification or combination of Common
     Stock, issuance of warrants to purchase Common Stock or distribution
     or evidences of indebtedness or other assets (excluding cash
     dividends) referred to hereinabove in this Section (f) hereafter
     made by the Company to the holders of its Common Stock shall not
     result in any tax to such holders of its Common Stock or securities
     convertible into Common Stock.

          (10) In the event that at any time, as a result of an
     adjustment made pursuant to Subsection (1) above, the Holder of this
     Warrant thereafter shall become entitled to receive any shares of
     the Company, other than Common Stock, thereafter the number of such
     other shares so receivable upon exercise of this Warrant shall be
     subject to adjustment from time to time in a manner and on terms as
     nearly equivalent as practicable to the provisions with respect to
     the Common Stock contained in Subsections (1) to (9), inclusive
     above. The Company may retain a firm of independent certified public
     accountants selected by the Board of Directors (who may be the
     regular accountants employed by the Company) to make any computation
     required by Section (f), and a certificate signed by such firm shall
     be conclusive evidence of the correctness of such adjustment absent
     manifest error or negligence.

          (11) Irrespective of any adjustments in the Exercise Price or
     the number or kind of shares purchasable upon exercise of this
     Warrant, Warrants theretofore or thereafter issued may continue to
     express the same price and number and kind of shares as are stated
     in this Warrant.

     (g)  OFFICER'S CERTIFICATE.  Whenever the Exercise Price or number
 of Warrant Shares shall be adjusted as required by the provisions of the
 foregoing Section, the Company shall forthwith file in the custody of
 its Secretary or an Assistant Secretary at its principal office and with
 its stock transfer agent, if any, an officer's certificate showing the
 adjusted Exercise Price or number of Warrant Shares determined as herein
 provided, setting forth in reasonable detail the facts requiring such
 adjustment, including a statement of the number of additional shares of
 Common Stock, if any, and such other facts as shall be necessary to show
 the reason for and the manner of computing such adjustment.  Each such
 officer's certificate shall be made available at all reasonable times
 for inspection by the Holder or any holder of a Warrant executed and
 delivered pursuant to Sections (a) and (d) and the Company shall,
 forthwith after each such adjustment, mail a copy by certified mail of
 such certificate to such Holder or any such holder.

     (h)  NOTICES TO WARRANT HOLDERS.  So long as this Warrant shall be
 outstanding, (i) if the Company shall pay any dividend or make any
 distribution upon the Common Stock or (ii) if the Company shall offer to
 the holders of Common Stock for subscription or purchase by them any
 share of or class of its capital stock or any other rights or (iii) if
 any capital reorganization of the Company, reclassification of the
 capital stock of the Company, consolidation or merger of the Company
 with or into another entity, sale, lease, or transfer of all or
 substantially all of the property and assets of the Company to another
 entity, or voluntary or involuntary dissolution, liquidation or winding
 up of the Company shall be effected, then in any such case, the Company
 shall cause to be mailed by certified mail to the Holder, at least
 fifteen days prior the record date specified in (x) or (y) below, as the
 case may be, a notice containing a brief description of the proposed
 action and stating the date on which (x) a record is to be taken for the
 purpose of such dividend, distribution or offer of rights, or (y) such
 reclassification, reorganization, consolidation, merger, conveyance,
 lease, transfer, sale dissolution, liquidation or winding up is to take
 place and the date, if any is to be fixed, as of which the holders of
 Common Stock or other securities shall be entitled to receive cash or
 other property deliverable upon such reclassification, reorganization,
 consolidation, merger, conveyance, lease, transfer, sale, dissolution,
 liquidation or winding up.

     (i)  RECLASSIFICATION, REORGANIZATION OR MERGER.  In case of any
 reclassification, capital reorganization or other change of outstanding
 shares of Common Stock of the Company, or in case of any consolidation
 or merger of the Company with or into another entity (other than a
 merger with a subsidiary in which merger the Company is the continuing
 corporation and which does not result in any reclassification, capital
 reorganization or other change of outstanding shares of Common Stock of
 the class issuable upon exercise of this Warrant) or in case of any
 sale, lease, or conveyance to another entity of all or substantially all
 of the property and assets of the Company, the Company shall, as a
 condition precedent to such transaction, cause effective provisions to
 be made so that such Holder shall have the right thereafter by
 exercising this Warrant at any time prior to the expiration of the
 Warrant, to purchase the kind and amount of shares of stock and other
 securities and property receivable upon such reclassification, capital
 reorganization and other change, consolidation, merger, sale, lease or
 conveyance by a holder of the number of shares of Common Stock which
 might have been purchased upon exercise of this Warrant immediately
 prior to such reclassification, change, consolidation, merger, sale,
 lease or conveyance.  Any such provision shall include provision for
 adjustments which shall be as nearly equivalent as may be practicable to
 the adjustments provided for in this Warrant.  The Company shall not
 effect any such reorganization, consolidation, merger, sale or
 conveyance (i) unless prior to or simultaneously with the consummation
 thereof the survivor or successor corporation (if other than the
 Company) resulting from such reorganization, consolidation or merger or
 the corporation purchasing such assets shall assume by written
 instrument executed and sent to each holder of this Warrant, the
 obligation to deliver to such holder such shares of stock, securities or
 assets as, in accordance with the foregoing provisions, such holder may
 be entitled to receive, and containing the express assumption by such
 successor corporation of the due and punctual performance and observance
 of every provision herein to be performed and observed by the Company
 and of all liabilities and obligations of the Company hereunder, and
 (ii) in which the Company, as opposed to another party to the
 reorganization, consolidation, merger, sale or conveyance, shall be
 required under any circumstances to make a cash payment at any time to
 the holders of this Warrant.  The foregoing provisions of this Section
 (i) shall similarly apply to successive reclassifications, capital
 reorganizations, and changes of shares of Common Stock and to successive
 consolidations, mergers, sales, leases or conveyances.  In the event
 that in connection with any such capital reorganization or
 reclassification, consolidation,  merger, sale, lease or conveyance,
 additional shares of Common Stock shall be issued in exchange,
 conversion, substitution, or payment, in whole or in part, for a
 security of the Company other than Common Stock, any such issue shall be
 treated as an issue of Common Stock covered by the provisions of
 Subsection (1) of Section (f) hereof.

     (j)  REGISTRATION UNDER THE SECURITIES ACT OF 1933.

          (1)  The Company shall advise the Holder of this Warrant or of
     the Warrant Shares or any then holder of Warrants or Warrant Shares
     (such persons being collectively referred to herein as "holders") by
     written notice at least four weeks prior to the filing of any new
     registration statement under the Securities Act of 1933, as amended,
     or the Rules and Regulations promulgated thereunder (such Act and
     Rules and Regulations being hereinafter referred to as the "Act")
     covering securities of the Company and will for a period ending on
     the second anniversary of the Initial Exercise Date and commencing
     as of the date hereof, upon the request of any such holder, include
     in any such registration statement such information as may be
     required to permit a public offering of the Warrants and the Warrant
     Shares.  The Company shall supply prospectuses, use its best efforts
     to cause the registration statement to become effective and to
     qualify the Warrants and/or the Warrant Shares for sale in such
     states as any such holder designates and furnish indemnification in
     the manner as set forth in Subsection (2)(B) of this Section (j).
     Such holders shall furnish information and indemnification as set
     forth in Subsection (2)(B) of this Section (j).

          (2)  The following provision of this Section (j) shall also be
     applicable:

                    (A)  The Company shall bear the entire cost and
          expense of any registration of securities initiated by it under
          Subsection (1) of this Section (j) notwithstanding that
          Warrants and/or Warrant Shares subject to this Warrant may be
          included in any such registration.  Any holder whose Warrants
          and/or Warrant Shares are included in any such registration
          statement pursuant to this Section (j) shall, however, bear the
          fees of such holder's own counsel and any registration fees,
          transfer taxes or underwriting discounts or commissions
          applicable to the Warrant Shares sold by such holder pursuant
          thereto.

                    (B)  (i) The Company shall indemnify and hold
          harmless each such holder and each underwriter, within the
          meaning of the Act, who may purchase from or sell for any such
          holder any Warrants and/or Warrant Shares (in the case of
          indemnification of such underwriter) from and against any and
          all losses, claims, damages and liabilities ("Losses") arising
          out of or based upon any untrue statement or alleged untrue
          statement of a material fact contained in any registration
          statement or any post-effective amendment thereto under the Act
          or any prospectus included therein required to be filed or
          furnished by reason of this Section (j) or arising out of or
          based upon any omission or alleged omission to state therein a
          material fact required to be stated therein or necessary to
          make the statements therein not misleading, except insofar as
          such Losses arise out of or are based upon any such untrue
          statement or alleged untrue statement or omission or alleged
          omission based upon information furnished or required to be
          furnished in writing to the Company by such holder, in the case
          of indemnification of such holder, or underwriter, in the case
          of indemnification of such underwriter, expressly for use
          therein, which indemnification shall include each person, if
          any, who controls any such holder or underwriter within the
          meaning of such Act; provided, however, that the Company shall
          not be obliged  so to indemnify any such holder or underwriter
          or controlling person unless such holder or underwriter shall
          at the same time indemnify, severally and not jointly, the
          Company, its directors, each officer signing the related
          registration statement and each person, if any, who controls
          the Company within the meaning of such Act, from and against
          any and all Losses arising out of or based upon any untrue
          statement or alleged untrue statement of a material fact
          contained in any registration statement or any prospectus
          required to be filed or furnished by reason of this Section (j)
          or arising out of or based upon any omission to state therein a
          material fact required to be stated therein or necessary to
          make the statements therein not misleading, insofar as such
          Losses arise out of or are based upon any untrue statement or
          alleged untrue statement or omission made in conformity with
          information furnished in writing to the Company by any such
          holder or underwriter expressly for use therein.

                         (ii)  If the indemnity obligation provided for
          above is unavailable or insufficient to hold harmless an
          indemnified party in respect of any Losses, then the
          indemnifying party shall contribute to the amount paid or
          payable by the indemnified party as a result of such Losses in
          such proportion as is appropriate to reflect the relative fault
          of the indemnifying party on the one hand and the indemnified
          party on the other hand in connection with statements or
          omissions which resulted in such Losses, as well as any other
          relevant equitable considerations.  The relative fault shall be
          determined by reference to, among other things, whether the
          untrue or alleged untrue statement of a material fact or the
          omission or alleged omission to state a material fact relates
          to information supplied by the indemnifying party or the
          indemnified party and the parties' relative intent, knowledge,
          access to information and opportunity to correct or prevent
          such untrue statement or omission.  The parties agree that it
          would not be just and equitable if contributions pursuant to
          this paragraph were to be determined by pro rata allocation or
          by any other method of allocation which does not take account
          of the equitable considerations referred to in the previous
          sentence.

                    (C)  Notwithstanding anything herein to the contrary,
          the Holder hereof shall have no rights to have the Warrants or
          Warrant Shares registered if in the opinion of either counsel
          for the Company, knowledgeable and experienced in Federal
          securities matters (said counsel to be acceptable to the Holder
          hereof in the reasonable judgement of such Holder), or counsel
          for the Holder hereof, knowledgeable and experienced in Federal
          securities matters (said counsel to be acceptable to the
          Company in the Company's reasonable judgement), the Holder
          hereof may lawfully sell publicly, at the time and in the
          manner the Holder hereof proposes to sell the Warrants or the
          Warrant Shares, all of the securities proposed to be sold
          without registering the sale under the Act, whether pursuant to
          an exemption from registration available under Section 4(1) of
          the Act, Rule 144 or Rule 144(k) under the Act, or otherwise.

                    (D)  The Company will (a) file reports in compliance
          with the Securities Exchange Act of 1934, as amended (the
          "Exchange Act"), (b) comply with all rules and regulations of
          the Securities and Exchange Commission (the "Commission")
          applicable in connection with the use of Rule 144 under the Act
          and take such other actions and furnish the Holder with such
          other information as such Holder may request in order to avail
          itself of such rule or any other rule or regulation of the
          Commission allowing such Holder to sell any Warrants or Warrant
          Shares without registration, and (c) at its expense, upon the
          request of the Holder, deliver to such Holder a certificate,
          signed by the Company's principal financial officer, stating
          (i) the Company's name, address and telephone number (including
          area code), (ii) the Company's Internal Revenue Service
          identification number, (iii) the Company's Commission file
          number, (iv) the number of shares of each class of stock
          outstanding as shown by the most recent report or statement
          published by the Company, and (v) whether the Company has filed
          the reports required to be filed under the Exchange Act for a
          period of at least ninety (90) days prior to the date of such
          certificate and in addition has filed the most recent annual
          report required to be filed thereunder.  If at any time the
          Company is not required to file reports in compliance with
          either Section 13 or Section 15(d) of the Exchange Act, the
          Company at its expense will, upon the written request of the
          Holder, make available adequate current public information with
          respect to the Company within the meaning of paragraph (c)(2)
          of Rule 144 under the Act.

     (k)  EXERCISE AND TRANSFER TO COMPLY WITH THE SECURITIES ACT OF
 1933.  The Holder of this Warrant and any transferee hereof, by their
 acceptance hereof, hereby agree that:  (a) the Warrants being acquired
 hereunder are being purchased for investment purposes only and not with
 a view to distribution and will not be transferred unless registered or
 unless there is an exemption available from the registration
 requirements of the Act, which exemption has been established to the
 reasonable satisfaction of the Company; (b) no public distribution of
 the Warrants or Warrant Shares will be made in violation of the
 provisions of the Act or any applicable state laws; and (c) during such
 period as delivery of a prospectus with respect to the Warrants or
 Warrant Shares may be required by the Act, no public distribution of the
 Warrants or Warrant Shares will be made in a manner or on terms
 different from those set forth in, or without delivery of, a prospectus
 then meeting the requirements of Section 10 of the Act and in compliance
 with all applicable state laws.  The Holder of this Warrant and any such
 transferee hereof further agree that if any public distribution of any
 of the Warrants or Warrant shares is proposed to be made by them
 otherwise than by delivery of a prospectus meeting the requirements of
 Section 10 of the Act, which action shall be taken only after submission
 to the Company of an opinion of counsel, reasonably satisfactory in form
 and substance to the Company's counsel, to the effect that the proposed
 distribution will not be in violation of the Act or of applicable state
 law.  Furthermore, it shall be a condition to the transfer of the
 Warrants or Warrant Shares that the transferee thereof deliver to the
 Company such Holder's written agreement to accept and be bound by all of
 the terms and conditions of this Warrant.

     (l)  FURTHER ADJUSTMENT TO EXERCISE PRICE.  In addition to any
 adjustments provided for in Section (f) hereof, the Exercise Price in
 effect at any time shall also be subject to adjustment upon the
 happening of certain events as follows:

          (1)  In case the Company has not, on or prior to July 31, 2001,
 paid to ING all accrued and unpaid interest and all then unpaid
 principal on Borrower's Obligations (as defined in both that certain
 Fourth Global Amendment Agreement by and between the Company, for itself
 and as successor in interest to Cadiz Valley Development Corporation,
 and ING dated as of December 22, 2000 (the "Fourth Global Amendment
 Agreement") and that certain Third Amendment to Credit Agreement by and
 between the Company, for itself and as successor in interest to Cadiz
 Valley Development Corporation, and ING dated as of December 22, 2000
 (the "Third Amendment to Credit Agreement") (collectively, the
 "Amendment Agreements")), then the Company may, by delivery of advance
 written notice to ING as required under the Amendment Agreements and in
 lieu of cash fees otherwise required to be paid under the Amendment
 Agreements, effect a reduction by One Dollar ($1.00) of the Exercise
 Price that would otherwise have been in effect on August 1, 2001 but for
 the application of this Section (l).  Such reduction in the Exercise
 Price shall be effective as of August 1, 2001.

          (2)  In case the Company has not, on or prior to October 31,
 2001, paid to ING all accrued and unpaid interest and all then unpaid
 principal on Borrower's Obligations, then the Company may, by delivery
 of advance written notice to ING as required under the Amendment
 Agreements and in lieu of cash fees otherwise required to be paid under
 the Amendment Agreements, effect a reduction by One Dollar ($1.00) of
 the Exercise Price that would otherwise have been in effect on November
 1, 2001 but for the application of this Section (l).  Such reduction in
 the Exercise Price shall be effective as of November 1, 2001.

          (3)  In the event that, prior to any reduction in the Exercise
 Price as provided in subsections (1) and (2) above, there shall have
 been an adjustment in the Exercise Price pursuant to Section (f) above,
 then the amount of the adjustment provided for in this Section (l) (i.e.
 $1.00) shall concurrently and automatically be adjusted upwards or
 downwards in proportion to any adjustment to the Exercise Price
 effectuated pursuant to Section (f).  For example, if prior to an
 adjustment provided for in this Section (l) the Company declares a 2 for
 1 stock dividend or stock split then in addition to the adjustment to
 the Exercise Price provided for under Section (f) the amount of the
 adjustment provided for under this Section (l) shall be reduced from
 $1.00 to $0.50.

          (4)  Nothing in this Section (l) shall require any adjustment
 in the number and kind of Warrant Shares, notwithstanding any adjustment
 of the Exercise Price pursuant to the application of this Section (l).
                                  CADIZ INC.

                               By:  /s/ Stanley E. Speer
                                    ________________________
                                       Stanley E. Speer
                               Its: Chief Financial Officer
 Dated: December 28,2000

                              PURCHASE FORM

                                    Dated: _______________,

      The undersigned hereby irrevocably elects to exercise the within
 Warrant to the extent of purchasing         shares of Common Stock and
 hereby makes payment of _       in payment of the actual exercise price
 thereof.

                 INSTRUCTIONS FOR REGISTRATION OF STOCK

 Name_________________________________________________________
              (Please typewrite or print in block letters)

 Address_______________________________________________________

 Signature______________________________________

                             ASSIGNMENT FORM

      FOR VALUE RECEIVED, ________________________hereby sells, assigns
 and transfers unto

 Name________________________________________________________________
              (Please typewrite or print in block letters)

 Address______________________________________________________________
 the right to purchase Common Stock represented by this Warrant to the
 extent of ________shares as to which such right is exercisable and does
 hereby irrevocably constitute and appoint _________________Attorney, to
 transfer the same on the books of the Company with full power of
 substitution in the premises.

 Date__________________,

 Signature____________________________________EXHIBIT 10.9

                                  SANDATA, INC.

                             2000 STOCK OPTION PLAN

     1.  PURPOSE OF THE PLAN.  The  Sandata,  Inc.  2000 Stock  Option Plan (the
"Plan") is intended to advance the interests of Sandata, Inc. (the "Company") by
inducing  individuals or entities of  outstanding  ability and potential to join
and remain with, or provide consulting or advisory services to, the Company,  by
encouraging and enabling eligible employees, non-employee Directors, consultants
and advisors to acquire proprietary  interests in the Company,  and by providing
the participating  employees,  non-employee Directors,  consultants and advisors
with an  additional  incentive  to promote the success of the  Company.  This is
accomplished  by  providing  for the granting of  "Options,"  which term as used
herein includes both "Incentive Stock Options" and "Nonstatutory Stock Options,"
as  later  defined,  to  employees,   non-employee  Directors,  consultants  and
advisors.

     2. ADMINISTRATION. The Plan shall be administered by the Board of Directors
of the Company (the "Board of Directors")  or by a committee  (the  "Committee")
consisting of at least one (1) person  chosen by the Board of Directors.  Except
as herein  specifically  provided,  the  interpretation  and construction by the
Board of  Directors  or the  Committee  of any  provision  of the Plan or of any
Option granted under it shall be final and conclusive. The receipt of Options by
Directors, or any members of the Committee, shall not preclude their vote on any
matters in connection with the administration or interpretation of the Plan.

     3. SHARES SUBJECT TO THE PLAN.  The stock subject to Options  granted under
the Plan shall be shares of the  Company's  common  stock,  par value  $.001 per
share (the  "Common  Stock"),  whether  authorized  but  unissued or held in the
Company's  treasury,  or shares  purchased from  stockholders  expressly for use
under the Plan. The maximum number of shares of Common Stock which may be issued
pursuant to Options granted under the Plan shall not exceed in the aggregate one
million five hundred  thousand  (1,500,000)  shares,  subject to  adjustment  in
accordance  with the  provisions of Section 14 hereof.  The Company shall at all
times while the Plan is in force  reserve  such number of shares of Common Stock
as will be sufficient to satisfy the  requirements  of all  outstanding  Options
granted  under the Plan.  In the event any Option  granted  under the Plan shall
expire or  terminate  for any reason  without  having been  exercised in full or
shall  cease  for  any  reason  to be  exercisable  in  whole  or in  part,  the
unpurchased  shares  subject  thereto shall again be available for Options under
the Plan.  In the event shares of Common Stock are delivered to, or withheld by,
the Company pursuant to Sections 13(b)(ii) or 23 hereof,  only the net number of
shares  issued,  i.e.,  net of the shares so  delivered  or  withheld,  shall be
considered to have been issued pursuant to the Plan.

     4.  PARTICIPATION.  The class of  individuals  that  shall be  eligible  to
receive  Options  under the Plan shall be (a) with  respect to  Incentive  Stock
Options  described in Section 6 hereof,  all  employees of either the Company or
any parent or  subsidiary  corporation  of the Company,  and (b) with respect to
Nonstatutory  Stock  Options  described in Section 7 hereof,  all  employees and
non-employee Directors of, or consultants and advisors to, either the Company or
any parent or subsidiary  corporation of the Company;  provided,  however,  that
Nonstatutory  Stock  Options  shall not be  granted  to any such  consultant  or
advisor  unless (i) the  consultant or advisor is a natural person (or an entity
wholly-owned by the consultant or advisor), (ii) bona fide services have been or
are to be rendered by such consultant or advisor and (iii) such services are not
in  connection  with  the  offer  or sale of  securities  in a  capital  raising
transaction  and do not directly or indirectly  promote or maintain a market for
the Company's securities.  The Board of Directors or the Committee,  in its sole
discretion,  but subject to the  provisions  of the Plan,  shall  determine  the
employees and  non-employee  Directors of, and the  consultants and advisors to,
the Company and its parent and subsidiary  corporations to whom Options shall be
granted,  and the  number of shares to be covered by each  Option,  taking  into
account the nature of the employment or services  rendered by the individuals or
entities  being  considered,  their  annual  compensation,   their  present  and
potential contributions to the success of the Company, and such other factors as
the Board of Directors or the Committee may deem relevant.  For purposes hereof,
a  non-employee  to whom an  offer of  employment  has  been  extended  shall be
considered  an employee,  provided that the Options  granted to such  individual
shall not be exercisable, in whole or in part, for a period of at least one year
from  the  date of grant  and in the  event  the  individual  does not  commence
employment  with the company,  the Options  granted shall be considered null and
void.

     5. STOCK  OPTION  AGREEMENT.  Each Option  granted  under the Plan shall be
authorized by the Board of Directors or the Committee, and shall be evidenced by
a Stock  Option  Agreement  which  shall be  executed  by the Company and by the
individual  to whom such Option is granted.  The Stock  Option  Agreement  shall
specify the number of shares of Common  Stock as to which any Option is granted,
the period  during  which the Option is  exercisable,  and the option  price per
share thereof,  and such other terms and provisions as the Board of Directors or
the Committee may deem necessary or appropriate.

     6.  INCENTIVE  STOCK  OPTIONS.  The Board of Directors or the Committee may
grant  Options  under the Plan which are  intended to meet the  requirements  of
Section 422 of the Internal Revenue Code of 1986, as amended (the "Code"),  with
respect to  "incentive  stock  options,"  and which are subject to the following
terms and  conditions  and any other terms and  conditions as may at any time be
required by Section 422 of the Code  (referred to herein as an "Incentive  Stock
Option"):

          (a) No Incentive  Stock Option shall be granted to  individuals  other
     than  employees of the Company or of a parent or subsidiary  corporation of
     the Company.

          (b) Each  Incentive  Stock Option under the Plan must be granted prior
     to  September  1 , 2010,  which is within  ten (10) years from the date the
     Plan was adopted by the Board of Directors.

          (c) The option  price of the shares  subject  to any  Incentive  Stock
     Option  shall  not be less  than the  fair  market  value  (as  defined  in
     subsection  (f) of this  Section  6) of the  Common  Stock at the time such
     Incentive Stock Option is granted; provided, however, if an Incentive Stock
     Option is  granted to an  individual  who owns,  at the time the  Incentive
     Stock Option is granted,  more than ten percent (10%) of the total combined
     voting  power of all  classes  of stock of the  Company  or of a parent  or
     subsidiary  corporation  of the Company (a "10%  Stockholder"),  the option
     price of the shares subject to the Incentive Stock Option shall be at least
     one hundred ten percent (110%) of the fair market value of the Common Stock
     on the date upon which such Incentive Stock Option is granted.

          (d) No  Incentive  Stock  Option  granted  under  the  Plan  shall  be
     exercisable  after the  expiration  of ten (10)  years from the date of its
     grant.  However,  if  an  Incentive  Stock  Option  is  granted  to  a  10%
     Stockholder, such Incentive Stock Option shall not be exercisable after the
     expiration  of five (5) years from the date of its grant.  Every  Incentive
     Stock Option granted under the Plan shall be subject to earlier termination
     as expressly provided in Section 12 hereof.

          (e) For purposes of determining  stock ownership under this Section 6,
     the  attribution  rules of Section 424(d) of the Code shall apply.

          (f) For purposes of the Plan, fair market value shall be determined by
     the Board of Directors or the Committee. If the Common Stock is listed on a
     national  securities  exchange or The Nasdaq  Stock  Market  ("Nasdaq")  or
     traded on the  Over-the-Counter  market,  fair  market  value  shall be the
     closing  selling price or, if not  available,  the closing bid price or, if
     not  available,  the high bid  price of the  Common  Stock  quoted  on such
     exchange or Nasdaq, or on the  Over-the-Counter  market, as reported by the
     exchange,  Nasdaq or the National  Association  of  Securities  Dealers OTC
     Electronic Bulletin Board, or if the Common Stock is not so reported,  then
     by the  Pink  Sheets,  LLC,  as the  case  may be,  on the day  immediately
     preceding  the day on which the Option is granted (or, if granted after the
     close of  business  for  trading,  then on the day on which  the  Option is
     granted),  or, if there is no selling or bid price on that day, the closing
     selling price,  closing bid price or high bid price, as the case may be, on
     the most recent day which  precedes  that day and for which such prices are
     available.  If there is no  selling  or bid price for the  ninety  (90) day
     period  preceding  the date of grant of an Option  hereunder,  fair  market
     value shall be  determined  in good faith by the Board of  Directors or the
     Committee.

     7. NONSTATUTORY STOCK OPTIONS.  The Board of Directors or the Committee may
grant Options under the Plan which are not intended to meet the  requirements of
Section  422 of the Code,  as well as  Options  which are  intended  to meet the
requirements of Section 422 of the Code but the terms of which provide that they
will not be  treated  as  Incentive  Stock  Options  (referred  to  herein  as a
"Nonstatutory Stock Option"). Nonstatutory Stock Options shall be subject to the
following terms and conditions:

          (a) A  Nonstatutory  Stock Option may be granted to any  individual or
     entity  eligible to receive an Option under the Plan pursuant to clause (b)
     of Section 4 hereof.

          (b) The option  price of the shares  subject to a  Nonstatutory  Stock
     Option shall be determined by the Board of Directors or the  Committee,  in
     its sole  discretion,  at the time of the grant of the  Nonstatutory  Stock
     Option.

          (c) A Nonstatutory  Stock Option granted under the Plan may be of such
     duration as shall be  determined by the Board of Directors or the Committee
     (subject  to  earlier  termination  as  expressly  provided  in  Section 12
     hereof).

     8.  RELOAD  FEATURE.  The Board of  Directors  or the  Committee  may grant
Options with a reload feature. A reload feature shall only apply when the option
price is paid by delivery of Common  Stock (as set forth in Section  13(b)(ii)).
The Stock Option  Agreement for the Options  containing the reload feature shall
provide that the Option holder shall receive, contemporaneously with the payment
of the  option  price in shares of Common  Stock,  a reload  stock  option  (the
"Reload  Option") to purchase that number of shares of Common Stock equal to the
sum of (i) the number of shares of Common Stock used to exercise the Option, and
(ii) with respect to Non-Statutory Stock Options, the number of shares of Common
Stock used to satisfy any tax withholding  requirement  incident to the exercise
of such  Non-Statutory  Stock  Option.  The terms of the Plan  applicable to the
Option  shall be equally  applicable  to the Reload  Option  with the  following
exceptions:  (i) the option price per share of Common Stock deliverable upon the
exercise of the Reload  Option,  (A) in the case of a Reload  Option which is an
Incentive Stock Option being granted to a 10% Stockholder,  shall be one hundred
ten percent  (110%) of the fair market  value of a share of Common  Stock on the
date of grant of the Reload  Option and (B) in the case of a Reload Option which
is an  Incentive  Stock  Option  being  granted  to a  person  other  than a 10%
Stockholder or is a Non-Statutory  Stock Option,  shall be the fair market value
of a share of Common Stock on the date of grant of the Reload  Option;  and (ii)
the term of the Reload Option shall be equal to the remaining option term of the
Option  (including a Reload  Option) which gave rise to the Reload  Option.  The
Reload Option shall be evidenced by an appropriate amendment to the Stock Option
Agreement for the Option which gave rise to the Reload Option.  In the event the
exercise price of an Option containing a reload feature is paid by check and not
in shares of Common Stock,  the reload  feature shall have no  application  with
respect to such exercise.

     9. RIGHTS OF OPTION HOLDERS. The holder of an Option granted under the Plan
shall have none of the rights of a stockholder with respect to the stock covered
by his Option until such stock shall be  transferred to him upon the exercise of
his     Option.

     10.  ALTERNATE  STOCK  APPRECIATION   RIGHTS.

          (a)  Concurrently  with, or subsequent  to, the award of any Option to
     purchase one or more shares of Common Stock,  the Board of Directors or the
     Committee  may, in its sole  discretion,  subject to the  provisions of the
     Plan and such other terms and  conditions  as the Board of Directors or the
     Committee may  prescribe,  award to the optionee with respect to each share
     of  Common  Stock  covered  by an  Option  ("Related  Option"),  a  related
     alternate stock appreciation  right ("SAR"),  permitting the optionee to be
     paid the  appreciation  on the  Related  Option in lieu of  exercising  the
     Related  Option.  An SAR granted with respect to an Incentive  Stock Option
     must be granted  together  with the Related  Option.  An SAR  granted  with
     respect to a  Non-Statutory  Stock Option may be granted  together with, or
     subsequent to, the grant of such Related Option.

          (b) Each SAR granted  under the Plan shall be  authorized by the Board
     of Directors or the  Committee,  and shall be evidenced by an SAR Agreement
     which shall be executed by the Company and by the  individual  or entity to
     whom such SAR is granted. The SAR Agreement shall specify the period during
     which the SAR is  exercisable,  and such  other  terms and  provisions  not
     inconsistent with the Plan.

          (c) An SAR may be exercised only if and to the extent that its Related
     Option is eligible to be  exercised  on the date of exercise of the SAR. To
     the extent that a holder of an SAR has a current right to exercise, the SAR
     may be exercised from time to time by delivery by the holder thereof to the
     Company at its principal office (attention:  Secretary) of a written notice
     of the number of shares with respect to which it is being  exercised.  Such
     notice shall be accompanied  by the  agreements  evidencing the SAR and the
     Related  Option.  In the event the SAR shall not be exercised in full,  the
     Secretary of the Company  shall  endorse or cause to be endorsed on the SAR
     Agreement and the Related Option  Agreement the number of shares which have
     been exercised  thereunder and the number of shares that remain exercisable
     under the SAR and the Related Option and return such SAR and Related Option
     to the holder thereof.

          (d) The amount of payment to which an optionee  shall be entitled upon
     the  exercise of each SAR shall be equal to one hundred  percent  (100%) of
     the amount,  if any,  by which the fair  market  value of a share of Common
     Stock on the  exercise  date  exceeds the  exercise  price per share of the
     Related Option; provided, however, the Company may, in its sole discretion,
     withhold  from any such cash  payment any amount  necessary  to satisfy the
     Company's obligation for withholding taxes with respect to such payment.

          (e) The amount  payable by the Company to an optionee upon exercise of
     a SAR may, in the sole  determination of the Company,  be paid in shares of
     Common  Stock,  cash or a  combination  thereof,  as set  forth  in the SAR
     Agreement.  In the case of a payment  in  shares,  the  number of shares of
     Common Stock to be paid to an optionee upon such optionee's  exercise of an
     SAR shall be  determined  by  dividing  the  amount of  payment  determined
     pursuant to Section  10(d)  hereof by the fair  market  value of a share of
     Common  Stock on the  exercise  date of such SAR. For purposes of the Plan,
     the exercise date of an SAR shall be the date the Company  receives written
     notification  from the  optionee of the  exercise of the SAR in  accordance
     with the provisions of Section 10(c) hereof.  As soon as practicable  after
     exercise,  the Company  shall either  deliver to the optionee the amount of
     cash due such optionee or a certificate or certificates  for such shares of
     Common  Stock.  All  such  shares  shall be  issued  with  the  rights  and
     restrictions specified herein.

          (f) SARs shall terminate or expire upon the same conditions and in the
     same manner as the Related Options,  and as set forth in Section 12 hereof.
     (g) The  exercise  of any SAR  shall  cancel  and  terminate  the  right to
     purchase an equal number of shares covered by the Related Option.  (h) Upon
     the exercise or termination of any Related Option,  the SAR with respect to
     such Related  Option shall  terminate to the extent of the number of shares
     of Common Stock as to which the Related Option was exercised or terminated.

          (i) An SAR granted  pursuant to the Plan shall be  transferable to the
     same  extent as the  Related  Option.  (j) All  references  in this Plan to
     "Options"  shall  be  deemed  to  include  "SARs"  where  applicable.

     11.  TRANSFERABILITY.

          (a) No Option  granted  under the Plan  shall be  transferable  by the
     individual  or entity to whom it was granted other than by will or the laws
     of descent and  distribution,  and,  during the lifetime of an  individual,
     shall not be exercisable by any other person, but only by him.

          (b)  Notwithstanding  Section 11(a) above, a Nonstatutory Stock Option
     granted  under the Plan may be  transferred  in whole or in part  during an
     optionee's  lifetime,  upon the  approval of the Board of  Directors or the
     Committee,  to an optionee's  "family  members" (as such term is defined in
     Rule  701(c)(3)  of the  Securities  Act of 1933,  as amended,  and General
     Instruction  A(1)(a)(5)  to Form S-8)  through a gift or domestic  relation
     order. The transferred  portion of a Nonstatutory  Stock Option may only be
     exercised  by the person or entity who acquires a  proprietary  interest in
     such  option  pursuant  to  the  transfer.  The  terms  applicable  to  the
     transferred  portion  shall be the same as those in effect  for the  Option
     immediately prior to such transfer and shall be set forth in such documents
     issued to the  transferee  as the Board of Directors or the  Committee  may
     deem appropriate.  As used in this Plan the terms "optionee" and "holder of
     an Option" shall refer to the grantee of the Option and not any  transferee
     thereof.

     12. TERMINATION OF EMPLOYMENT OR DEATH.

          (a) Unless otherwise  provided in the Stock Option  Agreement,  if the
     employment  of an employee by, or the services of a  non-employee  Director
     for, or  consultant  or advisor  to, the Company or a parent or  subsidiary
     corporation  of the Company shall be terminated for cause or voluntarily by
     the employee, non-employee Director, consultant or advisor, then his Option
     shall  expire  forthwith.  Unless  otherwise  provided in the Stock  Option
     Agreement,  and  except  as  provided  in  subsections  (b) and (c) of this
     Section 12, if such  employment or services  shall  terminate for any other
     reason,  then such Option may be  exercised  at any time  within  three (3)
     months after such termination,  subject to the provisions of subsection (d)
     of this Section 12. For purposes  hereof,  "cause" shall  include,  without
     limitation,  the termination of the optionee's  employment or consulting or
     advisory  relationship  by the Company  because of (i)  conviction of, or a
     plea of nolo  contendere  to, a felony,  or  another  serious  crime  which
     results  or is likely to result in  material  injury to the  Company;  (ii)
     breach of fiduciary duty involving  personal  profit;  (iii)  continued and
     habitual neglect to perform material stated duties; or (iv) material breach
     of any  provision  of any  employment,  consulting  or  advisory  agreement
     between the optionee and the Company or any parent or  subsidiary  thereof.
     For purposes of the Plan, the retirement of an individual  either  pursuant
     to a pension or  retirement  plan  adopted by the  Company or at the normal
     retirement date prescribed from time to time by the Company shall be deemed
     to be termination of such individual's employment other than voluntarily or
     for cause.  For purposes of this subsection (a), an employee,  non-employee
     Director,  consultant  or advisor  who leaves the employ or services of the
     Company to become an employee or non-employee  Director of, or a consultant
     or  advisor  to, a parent or  subsidiary  corporation  of the  Company or a
     corporation (or subsidiary or parent  corporation of the corporation) which
     has  assumed  the  Option  of  the  Company  as a  result  of  a  corporate
     reorganization or like event shall not be considered to have terminated his
     employment or services.

          (b) Unless otherwise  provided in the Stock Option  Agreement,  if the
     holder of an Option  under  the Plan dies (i) while  employed  by, or while
     serving as a  non-employee  Director for or a consultant or advisor to, the
     Company  or a parent or  subsidiary  corporation  of the  Company,  or (ii)
     within three (3) months after the termination of his employment or services
     other than  voluntarily or for cause,  then such Option may, subject to the
     provisions of subsection (d) of this Section 12, be exercised by the estate
     of the employee or non-employee  Director,  consultant or advisor,  or by a
     person  who  acquired  the right to  exercise  such  Option by  bequest  or
     inheritance  or by  reason of the death of such  employee  or  non-employee
     Director, consultant or advisor, at any time within one (1) year after such
     death.

          (c) Unless otherwise  provided in the Stock Option  Agreement,  if the
     holder of an Option under the Plan ceases employment or services because of
     permanent and total  disability  (within the meaning of Section 22(e)(3) of
     the Code) while  employed by, or while serving as a  non-employee  Director
     for or  consultant  or advisor  to, the  Company or a parent or  subsidiary
     corporation of the Company, then such Option may, subject to the provisions
     of  subsection  (d) of this Section 12, be exercised at any time within one
     (1) year after his  termination of employment,  termination of Directorship
     or termination of consulting or advisory services,  as the case may be, due
     to the disability.

          (d) An Option may not be exercised  pursuant to this Section 12 except
     to the extent that the holder was  entitled  to exercise  the Option at the
     time of termination of employment, termination of Directorship, termination
     of consulting or advisory  services,  or death, and in any event may not be
     exercised after the expiration of the Option.

          (e) For purposes of this Section 12, the employment relationship of an
     employee of the  Company or of a parent or  subsidiary  corporation  of the
     Company  will be treated as  continuing  intact  while he is on military or
     sick  leave  or  other  bona  fide  leave of  absence  (such  as  temporary
     employment  by the  Government)  if such leave does not exceed  ninety (90)
     days,  or, if longer,  so long as his right to  reemployment  is guaranteed
     either by statute or by contract.

     13. EXERCISE OF OPTIONS.

          (a) Unless  otherwise  provided  in the Stock  Option  Agreement,  any
     Option granted under the Plan shall be exercisable in whole at any time, or
     in part from time to time,  prior to expiration.  The Board of Directors or
     the Committee, in its absolute discretion,  may provide in any Stock Option
     Agreement that the exercise of any Options  granted under the Plan shall be
     subject (i) to such  condition or conditions  as it may impose,  including,
     but not  limited  to, a  condition  that the holder  thereof  remain in the
     employ or  service  of, or  continue  to  provide  consulting  or  advisory
     services  to, the  Company  or a parent or  subsidiary  corporation  of the
     Company for such period or periods  from the date of grant of the Option as
     the Board of Directors or the Committee, in its absolute discretion,  shall
     determine;  and (ii) to such limitations as it may impose,  including,  but
     not  limited  to,  a  limitation  that  the  aggregate  fair  market  value
     (determined  at the time the Option is  granted)  of the Common  Stock with
     respect to which Incentive Stock Options are exercisable for the first time
     by any employee  during any  calendar  year (under all plans of the Company
     and its parent and  subsidiary  corporations)  shall not exceed one hundred
     thousand dollars ($100,000). In addition, in the event that under any Stock
     Option  Agreement the aggregate  fair market value  (determined at the time
     the Option is granted) of the Common Stock with respect to which  Incentive
     Stock Options are exercisable for the first time by any employee during any
     calendar year (under all plans of the Company and its parent and subsidiary
     corporations) exceeds one hundred thousand dollars ($100,000), the Board of
     Directors or the Committee may, when shares are  transferred  upon exercise
     of  such  Options,  designate  those  shares  which  shall  be  treated  as
     transferred  upon  exercise of an  Incentive  Stock Option and those shares
     which shall be treated as transferred upon exercise of a Nonstatutory Stock
     Option.

          (b) An  Option  granted  under  the  Plan  shall be  exercised  by the
     delivery  by the holder  thereof to the  Company  at its  principal  office
     (attention of the Secretary) of written notice of the number of shares with
     respect  to which  the  Option is being  exercised.  Such  notice  shall be
     accompanied,  or  followed  within ten (10) days of  delivery  thereof,  by
     payment of the full option price of such shares, and payment of such option
     price shall be made by the  holder's  delivery of (i) his check  payable to
     the order of the Company,  or (ii) previously  acquired  Common Stock,  the
     fair market value of which shall be  determined  as of the date of exercise
     (provided that the shares  delivered  pursuant hereto are acceptable to the
     Board of Directors or the  Committee  in its sole  discretion)  or (iii) if
     provided for in the Stock Option Agreement,  his check payable to the order
     of the  Company in an amount at least  equal to the par value of the Common
     Stock being  acquired,  together  with a promissory  note, in form and upon
     such terms as are acceptable to the Board or the Committee, made payable to
     the order of the Company in an amount  equal to the balance of the exercise
     price, or (iv) by the holder's delivery of any combination of the foregoing
     (i), (ii) and (iii).

     14. ADJUSTMENT UPON CHANGE IN CAPITALIZATION.

          (a) In the  event  that the  outstanding  Common  Stock  is  hereafter
     changed    by   reason   of    reorganization,    merger,    consolidation,
     recapitalization,  reclassification, stock split-up, combination of shares,
     reverse split, stock dividend or the like, an appropriate  adjustment shall
     be made by the Board of Directors or the Committee in the aggregate  number
     of shares  available  under the Plan,  in the  number of shares  and option
     price per share subject to  outstanding  Options,  and in any limitation on
     exerciseability  referred to in Section 13(a)(ii) hereof which is set forth
     in  outstanding   Incentive   Stock  Options.   If  the  Company  shall  be
     reorganized,  consolidated,  or merged with another corporation, the holder
     of an Option  shall be entitled to receive  upon the exercise of his Option
     the same number and kind of shares of stock or the same amount of property,
     cash or  securities  as he would have been  entitled  to  receive  upon the
     happening of any such corporate event as if he had been,  immediately prior
     to such  event,  the holder of the number of shares  covered by his Option;
     provided,  however,  that in such  event  the  Board  of  Directors  or the
     Committee shall have the  discretionary  power to take any action necessary
     or  appropriate  to prevent any Incentive  Stock Option  granted  hereunder
     which is intended to be an "incentive stock option" from being disqualified
     as  such  under  the  then  existing  provisions  of the  Code  or any  law
     amendatory thereof or supplemental thereto; and provided, further, however,
     that in such event the Board of Directors or the  Committee  shall have the
     discretionary  power to take any action necessary or appropriate to prevent
     such  adjustment  from being deemed or  considered as the adoption of a new
     plan requiring  shareholder  approval under Section 422 of the Code and the
     regulations promulgated thereunder.

          (b)  Notwithstanding  Section  14(a)  above,  if the Company  shall be
     reorganized,  consolidated or merged with another corporation, the Board of
     Directors or the Committee may, in its sole discretion, upon written notice
     to the  holder of an Option,  provide  that the  Option  must be  exercised
     within  20 days of the date of such  notice or it will be  terminated.  For
     purposes of this Section  14(b),  the Board of  Directors or the  Committee
     may,  in its  discretion,  advance  the lapse of vesting  periods,  waiting
     periods and exercise dates.

          (c) Any adjustment in the number of shares shall apply proportionately
     to only  the  unexercised  portion  of the  Option  granted  hereunder.  If
     fractions of a share would result from any such adjustment,  the adjustment
     shall be revised to the next lower whole number of shares.

     15. FURTHER CONDITIONS OF EXERCISE.

          (a) Unless  prior to the  exercise  of the Option the shares  issuable
     upon such exercise have been  registered  with the  Securities and Exchange
     Commission  pursuant to the Securities Act of 1933, as amended,  the notice
     of exercise shall be accompanied  by a  representation  or agreement of the
     person or estate  exercising  the Option to the  Company to the effect that
     such shares are being acquired for investment  purposes and not with a view
     to  the  distribution  thereof,  and  such  other  documentation  as may be
     required  by the  Company,  unless in the opinion of counsel to the Company
     such representation,  agreement or documentation is not necessary to comply
     with such Act.

          (b) The Company  shall not be  obligated  to deliver any Common  Stock
     until it has been  listed on each  securities  exchange on which the Common
     Stock  may then be listed or until  there has been  qualification  under or
     compliance  with such federal or state laws,  rules or  regulations  as the
     Company may deem  applicable.  The Company shall use reasonable  efforts to
     obtain such listing, qualification and compliance.

     16.  EFFECTIVENESS  OF THE  PLAN.  The Plan  was  adopted  by the  Board of
Directors  on  September  1, 2000.  The Plan shall be subject to  approval on or
before  September 1, 2001,  which is within one (1) year of adoption of the Plan
by the Board of Directors,  by the affirmative vote of the holders of a majority
of the votes of the  outstanding  shares of capital stock of the Company present
in person or represented by proxy at a meeting of  stockholders  and entitled to
vote  thereon (or in the case of action by written  consent in lieu of a meeting
of  stockholders,  the number of votes required by applicable law to act in lieu
of a meeting) ("Stockholder  Approval").  In the event such Stockholder Approval
is withheld or otherwise  not  received on or before the latter  date,  the Plan
and, unless otherwise  provided in the Stock Option Agreement,  all Options that
may have been granted hereunder shall become null and void.

     17. TERMINATION, MODIFICATION AND AMENDMENT.

          (a) The Plan (but not Options previously granted under the Plan) shall
     terminate  on  September  1, 2010,  which is within ten (10) years from the
     date of its adoption by the Board of  Directors,  or sooner as  hereinafter
     provided, and no Option shall be granted after termination of the Plan.

          (b) The Plan may from time to time be terminated, modified, or amended
     if Stockholder  Approval of the  termination,  modification or amendment is
     obtained.

          (c)  The  Board  of  Directors  may  at any  time,  on or  before  the
     termination date referred to in Section 17(a) hereof,  without  Stockholder
     Approval,  terminate the Plan, or from time to time make such modifications
     or amendments to the Plan as it may deem advisable; provided, however, that
     the  Board of  Directors  shall  not,  without  Stockholder  Approval,  (i)
     increase  (except as  otherwise  provided by Section 14 hereof) the maximum
     number  of  shares  as to which  Incentive  Stock  Options  may be  granted
     hereunder,  change the  designation  of the employees or class of employees
     eligible to receive Incentive Stock Options, or make any other change which
     would  prevent  any  Incentive  Stock  Option  granted  hereunder  which is
     intended to be an "incentive  stock  option" from  qualifying as such under
     the then existing  provisions of the Code or any law amendatory  thereof or
     supplemental  thereto or (ii) make any other  modifications  or  amendments
     that require Stockholder Approval pursuant to applicable law, regulation or
     exchange  requirements.  In the event Stockholder  Approval is not received
     within one (1) year of  adoption  by the Board of  Directors  of the change
     provided for in (i) or (ii) above,  then, unless otherwise  provided in the
     Stock Option  Agreement (but subject to applicable law), the change and all
     Options and SARs that may have been granted  pursuant thereto shall be null
     and void.

          (d) No  termination,  modification,  or  amendment  of the  Plan  may,
     without the consent of the  individual  or entity to whom any Option  shall
     have been granted, adversely affect the rights conferred by such Option.

     18. NOT A CONTRACT OF EMPLOYMENT.  Nothing  contained in the Plan or in any
Stock Option Agreement  executed  pursuant hereto shall be deemed to confer upon
any  individual  or entity to whom an Option is or may be granted  hereunder any
right to  remain  in the  employ  or  service  of the  Company  or a  parent  or
subsidiary  corporation of the Company or any entitlement to any remuneration or
other benefit pursuant to any consulting or advisory arrangement.

     19. USE OF  PROCEEDS.  The  proceeds  from the sale of shares  pursuant  to
Options  granted under the Plan shall  constitute  general funds of the Company.

     20. INDEMNIFICATION OF BOARD OF DIRECTORS OR COMMITTEE. In addition to such
other rights of  indemnification  as they may have,  the members of the Board of
Directors  or the  Committee,  as the case may be, shall be  indemnified  by the
Company to the extent  permitted  under  applicable  law  against  all costs and
expenses  reasonably  incurred by them in connection  with any action,  suit, or
proceeding  to which  they or any of them may be a party by reason of any action
taken or  failure  to act  under or in  connection  with the Plan or any  rights
granted thereunder and against all amounts paid by them in settlement thereof or
paid  by  them  in  satisfaction  of a  judgment  of any  such  action,  suit or
proceeding,  except a  judgment  based  upon a finding  of bad  faith.  Upon the
institution of any such action,  suit, or  proceeding,  the member or members of
the Board of  Directors or the  Committee,  as the case may be, shall notify the
Company in writing,  giving the Company an opportunity at its own cost to defend
the same before such  member or members  undertake  to defend the same on his or
their own behalf.

     21.  CAPTIONS.  The use of  captions  in the Plan is for  convenience.  The
captions  are not  intended to provide  substantive  rights.

     22. DISQUALIFYING  DISPOSITIONS.  If Common Stock acquired upon exercise of
an Incentive Stock Option granted under the Plan is disposed of within two years
following the date of grant of the Incentive  Stock Option or one year following
the issuance of the Common Stock to the optionee, or is otherwise disposed of in
a manner that  results in the  optionee  being  required to  recognize  ordinary
income,  rather  than  capital  gain,  from the  disposition  (a  "Disqualifying
Disposition"),  the holder of the Common Stock shall,  immediately prior to such
Disqualifying  Disposition,  notify the Company in writing of the date and terms
of such Disqualifying  Disposition and provide such other information  regarding
the Disqualifying Disposition as the Company may reasonably require.

     23. WITHHOLDING TAXES.

          (a) Whenever under the Plan shares of Common Stock are to be delivered
     by an optionee upon exercise of a  Nonstatutory  Stock Option,  the Company
     shall be entitled to require as a condition  of delivery  that the optionee
     remit  or,  in  appropriate  cases,  agree to remit  when  due,  an  amount
     sufficient to satisfy all current or estimated  future  Federal,  state and
     local income tax withholding requirements,  including,  without limitation,
     the employee's portion of any employment tax requirements relating thereto.
     At the time of a Disqualifying Disposition, the optionee shall remit to the
     Company  in cash the  amount  of any  applicable  Federal,  state and local
     income tax withholding and the employee's portion of any employment taxes.

          (b) The Board of Directors or the  Committee  may, in its  discretion,
     provide any or all holders of Nonstatutory  Stock Options with the right to
     use  shares  of  Common  Stock  in  satisfaction  of  all  or  part  of the
     withholding  taxes to which such holders may become  subject in  connection
     with the exercise of their Options.  Such right may be provided to any such
     holder in either or both of the following formats:

               (i) Stock Withholding: The election to have the Company withhold,
          from the shares of Common Stock  otherwise  issuable upon the exercise
          of such  Nonstatutory  Stock Option, a portion of those shares with an
          aggregate fair market value equal to the percentage of the withholding
          taxes (not to exceed one hundred  percent  (100%))  designated  by the
          holder.

               (ii) Stock Delivery:  The election to deliver to the Company,  at
          the time the  Nonstatutory  Stock  Option  is  exercised,  one or more
          shares of Common Stock previously  acquired by such holder (other than
          in connection  with the option  exercise  triggering  the  withholding
          taxes) with an aggregate  fair market value equal to the percentage of
          the  withholding  taxes (not to exceed  one  hundred  percent  (100%))
          designated by the holder.

     24. OTHER  PROVISIONS.  Each Option granted under the Plan may contain such
other terms and conditions not  inconsistent  with the Plan as may be determined
by the  Board or the  Committee,  in its sole  discretion.  Notwithstanding  the
foregoing,  each  Incentive  Stock Option  granted  under the Plan shall include
those terms and  conditions  which are necessary to qualify the Incentive  Stock
Option as an "incentive  stock option"  within the meaning of Section 422 of the
Code and the  regulations  thereunder  and  shall  not  include  any  terms  and
conditions which are inconsistent therewith.

     25. DEFINITIONS.  For purposes of the Plan, the terms "parent  corporation"
and  "subsidiary  corporation"  shall have the  meanings  set forth in  Sections
424(e) and 424(f) of the Code, respectively, and the masculine shall include the
feminine and the neuter as the context requires.

     26. GOVERNING LAW. The Plan shall be governed by, and all questions arising
hereunder  shall be  determined  in  accordance  with,  the laws of the State of
Delaware.

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