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                                                                  EXHIBIT (a)(7)


Re:      Stock Option Exchange -- Follow up

         In the past several days, we have received a number of questions
regarding Firepond's offer to exchange outstanding stock options. Please note
that most of the questions that have been brought to our attention thus far are
addressed and answered in the previously provided "Offer to Exchange Options
Under the Firepond Stock Option Plans" in the 'Summary Term Sheet' section on
pages 4-8, although we recommend that you review all of the materials provided
to you for a complete description of all of the material terms of the offer.

         To address any additional questions you may have, we are planning a
"Corporate Update" the week of 7/9/01. The tentative schedule is as follows:

         Mankato and Minneapolis on Tuesday, July 10th
         San Rafael on Wednesday, July 11th
         Waltham on Thursday, July 12th

         If you have any questions about your individual stock options such as
vesting or the number of options outstanding, please access the Salomon Smith
Barney website for Firepond at www.benefitaccess.com using your individual user
name and password.