EXHIBIT 10.19

                                 PROMISSORY NOTE

$396,786                                                            July 1, 2001

      FOR VALUE RECEIVED, the undersigned, BART C. SHULDMAN (the "Maker"),
promises to pay to the order OF TRANSACT TECHNOLOGIES INCORPORATED (the
"Lender"), at its office at 7 Laser Lane, Wallingford, Connecticut (the
"Holder"), or at such other place as the Holder hereof may designate from time
to time, in lawful money of the United States, the principal sum of THREE
HUNDRED NINETY SIX THOUSAND, SEVEN HUNDRED EIGHTY SIX DOLLARS ($396,786),
together with interest thereon computed. Such new principal amount represents
the original loan of $330,000 made on February 23, 1999, plus interest accrued
to June 30, 2001.

      1. (a) The Maker shall repay the principal amount of this Note, together
with accrued interest on February 23, 2004 (the "Maturity Date"), unless the
Maturity Date has been advanced pursuant to the terms hereof; provided, however,
the Holder, in its sole and absolute discretion, may elect to accelerate the
indebtedness of this Note upon the occurrence of an Event of Default (as defined
below).

      (b) The Maker may prepay all or any part of the amounts outstanding under
this Note at any time and from time to time without premium or penalty.

      (c) Only such amounts advanced to the undersigned (less repayments, if
any), together with (a) interest thereon, (b) all taxes levied or assessed
against the Holder on this Note or the debt evidenced hereby, except for income
or other similar taxes, however designated, on income derived by the Holder
herefrom, and (c) all costs, expenses, attorneys' fees and professionals' fees
incurred by the Holder in (i) any action to collect this Note or to foreclose
any security for this Note, or (ii) in protecting or sustaining the lien of any
security, or (iii) in any litigation or controversy arising from or connected
with any security agreement or this Note, shall be deemed due hereunder.

      2. (a) Interest under this Note shall accrue hereunder at a variable rate
per annum that is the greater of (i) the average interest rate paid by the
Company during the Company's immediately preceding fiscal year, as calculated
under the Lender's credit facility with its primary lender (currently LaSalle
Business Credit), and which rate shall be subject to adjustment as and when
adjusted under the terms of such credit facility or any replacement credit
facility or (ii) the Applicable Federal Rate published by the Internal Revenue
Service each month in the Internal Revenue Bulletin during the term of this Note
(the "Note Rate"). Interest shall be due and payable annually in arrears on the
fifteenth (15th) day of March. The Company shall timely notify the Maker of the
applicable rate for each payment to permit the Maker to remit payment in
compliance with this Section 2.



      (b) The Maker agrees that the interest rate shall increase by 2% per annum
above the Note Rate from and after the date of an Event of Default or after
maturity, by acceleration or otherwise, or judgment, and such additional rate
shall remain in effect until all unpaid principal and interest are satisfied in
full.

      (c) Notwithstanding any provisions of this Note, the maximum rate of
interest to be paid hereunder shall not exceed the maximum rate of interest
permissible to be charged by the Holder under applicable laws. Any amount paid
in excess of such rate shall be considered to have been payments in reduction of
principal.

      3. Term of the Note. The term of the Note shall be the indicated Maturity
Date; provided that the Maturity Date shall be affected by the termination of
employment, disability or death of the Maker as follows:

      (a) In the event that (i) the Maker's employment with the Company is
terminated for Cause as that term is defined in any employment agreement between
the Maker and the Company in effect on the date of such termination or (ii) the
Maker voluntarily terminates his employment with the Company, the Maturity Date
of the Note shall be advanced to the date that is six months after the date of
such termination.

      (b) In the event that the Maker's employment with the Company is
terminated by the Company without Cause or in the event of the Maker's
disability, in each case as defined in any employment agreement between the
Maker and the Company in effect on the date of such termination or disability,
or in the event of the Maker's death, the Maturity Date of the Note shall remain
unaffected.

      4. The Maker agrees that (i) if Maker shall fail to make any of the
payments required herein and fails to remedy such failure within thirty (30)
days, (ii) if Maker shall suffer or permit the filing by or against him of any
petition for relief, arrangement, reorganization or the like under any
bankruptcy or insolvency law, make an assignment for the benefit of creditors or
suffer or permit the appointment of a receiver for any party of his property;
(iii) if any Event of Default shall occur under any agreement securing this Note
or executed in connection with this Note; or (iv) if any Event of Default shall
occur under any other liability, indebtedness or obligation of the Maker to the
Holder (each of the events and circumstances in (i), (ii), (iii) and (iv) being
an Event of Default), then, upon the happening of any such Event of Default, the
entire indebtedness with accrued interest due under this Note and all other
expenses, including, but not limited to, attorneys' fees incurred by the Holder
in collecting or enforcing payment hereof, shall accelerate and become
immediately due and payable at the option of the Holder without notice and
without regard to the Maturity Date and the Holder may proceed to exercise any
rights or remedies that it may have by law or at equity under this Note or any
other agreement relating to the loan evidenced by this Note.


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      5. Failure of the Holder to exercise its option to accelerate the
indebtedness of this Note shall not constitute a waiver of the Holder's right to
exercise the same in the event of any subsequent Event of Default.

      6. Unless applicable law provides otherwise, all payments received by the
Holder under this Note shall, at the option of the Holder, be applied (a) to the
then outstanding charges and expenses incurred by the Holder in sustaining
and/or enforcing this Note or any security granted for this Note; then (b) to
any unpaid and accrued interest; and finally, (c) to the outstanding principal
indebtedness.

      7. The Holder's failure to insist upon the strict performance of any term
herein shall not be deemed to be a waiver, and the Holder shall retain the right
thereafter to insist upon strict performance by the Maker of all terms of this
Note or any agreement securing this Note or executed in connection herewith.

      8. All amounts due under this Note are secured by the Maker's pledge to
the Lender of shares of the Lender's common stock described in and pursuant to a
Stock Pledge Agreement between the Maker and the Lender and dated the date
hereof.

      9. THE MAKER ACKNOWLEDGES THAT THE LOAN EVIDENCED BY THIS NOTE IS A
COMMERCIAL TRANSACTION AND WAIVES HIS RIGHTS TO NOTICE AND HEARING AS ALLOWED BY
ANY STATE OR FEDERAL LAW WITH RESPECT TO ANY PREJUDGMENT REMEDY WHICH THE HOLDER
MAY DESIRE TO USE. THE MAKER WAIVES DILIGENCE, DEMAND, PRESENTMENT FOR PAYMENT,
NOTICE OF NONPAYMENT, PROTEST AND NOTICE OF PROTEST, AND NOTICE OF ANY RENEWALS
OR EXTENSIONS OF THIS NOTE, AND ALL RIGHTS UNDER ANY STATUTES OF LIMITATIONS.
THE MAKER ACKNOWLEDGES THAT HE MAKES THIS WAIVER KNOWINGLY, VOLUNTARILY AND ONLY
AFTER CONSIDERATION OF THE RAMIFICATIONS OF THIS WAIVER WITH HIS ATTORNEYS.

      10. THE MAKER WAIVES TRIAL BY JURY IN ANY COURT IN ANY SUIT, ACTION OR
PROCEEDING ON ANY MATTER ARISING IN CONNECTION WITH OR IN ANY WAY RELATED TO THE
TRANSACTION OF WHICH THIS NOTE IS A PART AND/OR TO THE DEFENSE OR ENFORCEMENT OF
ANY OF THE HOLDER'S RIGHTS AND REMEDIES, INCLDUING, WITHOUT LIMITATION, TORT
CLAIMS. THE MAKER ACKNOWLEDGES THAT HE MAKES THIS WAIVER KNOWINGLY, VOLUNTARILY
AND ONLY AFTER CONSIDERATION OF THE RAMIFICATIONS OF THIS WAIVER WITH HIS
ATTORNEYS.

      11. This Note and the provisions hereof shall inure to the benefit of the
Holder, its successors and assigns and shall be binding upon the undersigned,
his heirs, executors, administrators and assigns.


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      12. This Note shall be governed by and construed in accordance with the
laws of the State of Connecticut. The Maker submits to personal jurisdiction in
the State of Connecticut for the enforcement of the Maker's obligations
hereunder and under any agreement securing this Note, and the Maker waives all
rights under the laws of any other state to object to jurisdiction within the
State of Connecticut. If litigation is commenced, the Maker agrees that service
of process may be made and personal jurisdiction over the Maker obtained, by
service of a copy of the summons, complaint and other pleadings required to
commence such litigation upon the Maker by registered or certified mail to or by
personal service at the last known address of the Maker.


                                        /s/ Bart C. Shuldman
                                            ------------------------------------
                                            BART C. SHULDMAN


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