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Relocation Package - Law Manager Inc. and Montgomery F. Lunn

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                                 June 19, 2001

Mr. Montgomery F. Lunn
11278 Montana Avenue
Los Angeles, CA 90049

Dear Monty:

     We are pleased to provide you with a relocation package, whereby Law
Manager, Inc., a subsidiary of Elite Information Group, Inc. (collectively the
"Company") will agree (i) to reimburse you up to $25, 000.00 for certain actual
incurred moving expenses, identified below, to help you with your move to
Pennsylvania and (ii) to reimburse you for certain expenses associated with the
sale of your home which you have already incurred. The following expenses are
considered reimbursable moving expenses, with valid receipts.

     -    Temporary housing accommodations
     -    Packing and shipping of household items
     -    Shipping of automobiles

     Moving expenses incurred prior to December 31, 2001, are reimbursable
provided that receipts for such expenses are submitted no later than February
28, 2002.

     Immediately upon your execution of this letter, and execution of the
promissory note attached hereto (the "Note"), the Company will pay you
$25,000.00 as reimbursement for expenses, which you have already incurred, for
the sale of your home. Each year on June 19, beginning June 19, 2002, the
Company will reduce the principal amount due under the Note by twenty percent
provided that you have not voluntarily terminated your employment with the
Company as of such date. Should you decide to terminate your employment with
the Company prior to June 19, 2006, the principal amount remaining due under
the Note as of such time shall become immediately due and payable. You agree
that such remaining principal amount may be deducted from any wages, vacation
pay, bonuses or commissions due to you at the time of you terminate your
employment. If the Company terminates your employment at any time the Note
shall become null and void. The Company agrees that it will not make demand for
payment of the Note so long as you do not terminate your employment with the
Company. If you have not voluntarily terminated your employment as of June 19,
2006, the Company will void the Note.

     If you are in agreement with the foregoing, please sign this letter in the
space provided below and sign the attached Note.

                                        Best regards,

                                        /s/ CHRISTOPHER K. POOLE
                                        Christopher K. Poole
                                        Law Manager, Inc.

Montgomery F. Lunn



                                PROMISSORY NOTE

$25,000.000                                            Los Angeles,  California
                                                       June 19, 2001

     FOR VALUE RECEIVED, the receipt of which is hereby acknowledged,
MONTGOMERY F. LUNN (the "Maker") promises to pay on demand to the order of
ELITE INFORMATION GROUP, INC. (the "Payee"), its successors and assigns, the
principal sum of Twenty Five Thousand Dollars ($25,000.00), without interest.

     Payment under this Note is due and payable in Los Angles, California, at
such location, as Payee shall determine.

     The Maker waives protest, presentment, notice of dishonor and notice of
acceleration or maturity and agrees to continue to remain bound for the payment
of principal and all other sums due under this Note not withstanding any change
or changes by way of any extension or extensions of time for the payment of

     This Note may not be modified, amended, extended, renewed, released or
terminated orally.

     This Note has been executed and delivered within the State of California
and shall be governed by and construed in accordance with the internal laws and
judicial decisions of California.

     The Maker agrees that the Payee may enforce its rights hereunder in any
court of competent jurisdiction in Los Angeles County, California. The Maker
does not hereby waive its right to remove any such claim to federal court.

     IN WITNESS WHEREOF, the Maker has caused their Note to be executed as of
the date hereof.

                              /s/ MONTGOMERY F. LUNN                6/22/01
                              Montgomery F. Lunn                     Date