NEITHER THE WARRANTS REPRESENTED BY
THIS WARRANT CERTIFICATE NOR THE SHARES OF COMMON STOCK OR ANY OTHER SECURITIES ISSUABLE UPON EXERCISE OF SUCH WARRANTS HAVE BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. SUCH WARRANTS HAVE BEEN ACQUIRED, AND ANY SHARES OF COMMON STOCK OR ANY
OTHER SECURITIES ISSUABLE UPON EXERCISE OF SUCH WARRANTS ARE REQUIRED TO BE ACQUIRED, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW
TO DISTRIBUTION OR RESALE, AND MAY NOT BE SOLD, ASSIGNED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION
STATEMENT FOR SUCH WARRANTS AND/OR SUCH SHARES OR OTHER SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND APPLICABLE
STATE SECURITIES LAWS OR AN OPINION OF COUNSEL SATISFACTORY TO THE ISSUER OF SUCH WARRANTS AND SUCH SHARES OR OTHER SECURITIES
TO THE EFFECT THAT REGISTRATION IS NOT REQUIRED UNDER SUCH ACT AND SUCH STATE SECURITIES LAWS.


 


VOID AFTER 5:00 P.M. ON MARCH 30, 2017


 


COMPLIANCE SYSTEMS CORPORATION


COMMON STOCK PURCHASE WARRANT CERTIFICATE


 


1,500,000 Common Stock Purchase Warrants


 


Huntington, New York


	Warrant Certificate Number: 2011C-028	As of March 31, 2012


 


THIS IS TO CERTIFY
THAT, for value received, Barry M. Brookstein (the “Warrantholder”), is the registered owner of the number of common
stock purchase warrants (each, a “Warrant”) of Compliance Systems Corporation, a Nevada corporation (the “Company”),
set forth above, each Warrant entitling the owner thereof to purchase from the Company, at a purchase price of $0.001 per Warrant
(the “Purchase Price”), as adjusted from time to time in accordance with section 3 of this Warrant Certificate, at
any time on or after the Commencement Date (as defined in paragraph 1(b) below) and terminating at 5:00 p.m., Huntington, New York
time, on March 30, 2017 (the “Expiration Time”), one duly authorized, validly issued, fully paid and non-assessable
share (each, a “Warrant Share”) of the common stock, par value $0.001 per share (the “Common Stock”), of
the Company, subject to the terms and conditions contained herein. The number of Warrants evidenced by this Warrant Certificate
(and the number and kind of securities which may be purchased upon exercise of the Warrants), and the Purchase Price per Warrant
Share, each as set forth above, are as of the date hereof. As provided herein, the Purchase Price and the number of shares of Common
Stock or other securities which may be purchased upon the exercise of the Warrants evidenced by this Warrant Certificate are, upon
the happening of certain events, subject to modification and adjustment.


 


This Warrant Certificate,
together with any warrant certificate(s) issued in replacement or substitution hereof (as provided for herein) evidencing all or
part of the Warrants evidenced hereby, are sometimes collectively referred to herein as the “Warrant Certificates.”


 


The rights of the registered
holder of this Warrant Certificate shall be subject to the following further terms and conditions:


 


1.    
      Exercise of Warrants.


 


(a)        The
Warrants may be exercised, in whole or in part, at any time and from time to time, during the period commencing on the Commencement
Date and terminating at the Expiration Time by surrendering this Warrant Certificate, with the Exercise Form provided for herein
duly completed and executed by the Warrantholder or by the Warrantholder’s duly authorized attorney-in-fact, at the principal
office of the Company, presently located at 780 New York Avenue - Suite A, Huntington, New York 11743, or at such other office
or agency in the United States as the Company may designate by notice in writing to the Warrantholder (in either event, the “Company
Offices”), accompanied by payment in full, either in the form of cash, bank cashier’s check or certified check payable
to the order of the Company, of the Purchase Price payable in respect of the Warrants being exercised.


 



    	 



    	 



    

  


(b)        For
purposes of this Warrant Certificate, the term “Commencement Date” shall mean September 30, 2011.


 


(c)        Notwithstanding
anything to the contrary contained in paragraph 1(a), payment of the applicable Purchase Price may be made by means of a “cashless
exercise” through the surrender of the number of Warrants and receipt of the number of shares of Common Stock (in each case,
as adjusted to reflect the provisions of section 3), determined based upon the following formula:


 


X =      Y(A-B)


   A


where:   X
=       the number of shares of Common Stock to be issued to Warrantholder upon exercise pursuant to this paragraph 1(c);


Y =      the
number of shares of Common Stock issuable upon exercise of the Warrants so surrender, without giving effect to this paragraph 1(c);


A =     the
per share Current Market Price (as such term is defined in paragraph 3(e)) on the date of delivery to the Company at the Company
Offices of this Warrant Certificate and completed Exercise Form; and


B =      the
Purchase Price in effect on the date of delivery to the Company at the Company Offices of this Warrant Certificate and completed
Exercise Form.


  


(d)        On
the day immediately following the date of a valid exercise of any Warrants, the Warrantholder exercising such Warrant(s) shall
be deemed to have become the holder of record for all purposes of the Warrant Shares to which such valid exercise relates.


 


(e)        As
soon as practicable, but not in excess of five days, after the valid exercise of all or part of the Warrants evidenced by this
Warrant Certificate, the Company, at the Company’s expense (including the payment by Company of any applicable issuance and
similar taxes), will cause to be issued in the name of and delivered to the Warrantholder, or such other party identified in the
purchase form, certificates evidencing the number of duly authorized, validly issued, fully paid and non-assessable Warrant Shares
to which the Warrantholder, or such other party identified in the Exercise Form, shall be entitled upon such exercise, as adjusted
to reflect the effects, if any, of the anti-dilution provisions of section 3 of this Warrant Certificate, such certificates to
be in such reasonable denominations as Holder shall request when delivering the duly completed Exercise Form.


 


(f)        No
certificates for fractional Warrant Shares shall be issued upon the exercise of any of the Warrants but, in lieu thereof, the Company
shall, upon exercise of all the Warrants, round up any fractional Warrant Shares to the nearest whole share of Common Stock.


 


(g)        If
fewer than all of the Warrants are exercised, the Company shall, upon each exercise prior to the Expiration Time, execute and deliver
to the Warrantholder a new Warrant Certificate (dated as of the date hereof) evidencing the balance of the Warrants that remain
exercisable.


 


2.    
      Issuance of Common Stock; Reservation of Warrant Shares. The Company covenants and
agrees that:


 


(a)        All
Warrant Shares which may be issued upon the exercise of all or part of the Warrants will, upon issuance in accordance with the
terms hereof, be validly issued, fully paid and non-assessable and free from all taxes, liens and charges with respect to the issue
thereof;


(b)        At
all times prior to the Expiration Time, the Company shall keep reserved for issuance a sufficient number of authorized shares of
Common Stock to permit the exercise in full of the Warrants evidenced by this Warrant Certificate; and


(c)        If
any shares of Common Stock to be reserved for the purpose of the issuance of Warrant Shares upon the exercise of Warrants require
registration with, or approval of, any governmental authority under any federal or state law before such shares may be validly
issued or delivered upon exercise, then the Company will promptly use its best efforts to effect such registration or obtain such
approval, as the case may be.


 



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3.     
     Adjustments of Purchase Price, Number and Character of Warrant Shares, Number of Warrants.
The Purchase Price and the number and kind of securities purchasable upon the exercise of each Warrant shall be subject to
adjustment from time to time upon the happening of the events enumerated in this section 3.


 


(a)    
    Stock Dividends, Subdivisions and Combinations. In case the Company shall at any time on or
before the Expiration Time:


(i)          pay
a dividend in shares of Common Stock or make a distribution in shares of Common Stock or such other stock to holders of all its
outstanding shares of Common Stock;


(ii)        subdivide,
reclassify or recapitalize the outstanding shares of Common Stock into a greater number of shares;


(iii)       combine,
reclassify or recapitalize the outstanding shares of Common Stock into a smaller number of shares of Common Stock; or


(iv)        issue
by reclassification of shares of Common Stock into any other securities of the Company (including any such reclassification in
connection with a consolidation or merger in which the Company is the continuing corporation);


then the number and kind of Warrant Shares
purchasable upon exercise of each Warrant outstanding immediately prior thereto shall be adjusted so that the Warrantholder shall
be entitled to receive the kind and number of shares of Common Stock or other securities of the Company which the Warrantholder
would have owned or have been entitled to receive after the happening of any of the events described above had such Warrant been
exercised in full immediately prior to the earlier of the happening of such event or any record date in respect thereto. In the
event of any adjustment of the number of Warrant Shares purchasable upon the exercise of each then outstanding Warrant pursuant
to this paragraph 3(a), the Purchase Price shall be adjusted to be the amount resulting from dividing the number of shares of Common
Stock (including fractional shares of Common Stock) covered by such Warrant immediately after such adjustment into the total amount
payable upon exercise of such Warrant in full immediately prior to such adjustment. An adjustment made pursuant to this paragraph
3(a) shall become effective immediately after the effective date of such event retroactive to the record date for any such event.
Such adjustment shall be made successively whenever any event listed in clauses (i) through (iv) of this paragraph 3(a) shall occur.


 


(b)       Extraordinary
Dividends. In case the Company shall, at any time on or before the Expiration Time, fix a record date for the issuance of rights,
options, or warrants to all holders of outstanding shares of Common Stock, entitling such holders (for a period expiring within
45 days after such record date) to subscribe for or purchase shares of Common Stock (or securities exchangeable for or convertible
into shares of Common Stock) at a price per share of Common Stock (or having an exchange or conversion price per share of Common
Stock, with respect to a security exchangeable for or convertible into shares of Common Stock) which is lower than the Purchase
Price on such record date, then the Purchase Price shall be adjusted so that the Purchase Price, as so adjusted, shall equal the
price determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction, of which (i)
the numerator shall be the number of shares of Common Stock outstanding on such record date plus the number of shares of
Common Stock which the aggregate offering price of the total number of shares of Common Stock so to be offered (or the aggregate
initial exchange or conversion price of the exchangeable or convertible securities so to be offered) would purchase at the Purchase
Price and (ii) the denominator shall be the number of shares of Common Stock outstanding on such record date plus the number
of additional shares of Common Stock to be offered for subscription or purchase (or into which the exchangeable or convertible
securities so to be offered are initially exchangeable or convertible). Such adjustment shall become effective at the close of
business on such record date; provided, however, to the extent that shares of Common Stock (or securities exchangeable
for or convertible into shares of Common Stock) are not delivered after the expiration of such rights, options, or warrants, the
Purchase Price shall be readjusted (but only with respect to Warrants exercised after such expiration) to the Purchase Price which
would then be in effect had the adjustments made upon the issuance of such rights, options, or warrants been made upon the basis
of delivery of only the number of shares of Common Stock (or securities exchangeable for or convertible into shares of Common Stock)
actually issued. In case any subscription price may be paid in a consideration part or all of which shall be in a form other than
cash, the value of such consideration shall be as determined in good faith by the Board of Directors of the Company and shall be
described in a statement mailed to the Warrantholder. Shares of Common Stock owned by or held for the account of the Company shall
not be deemed outstanding for the purpose of any such computation.


 



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(c)       Extraordinary
Distributions. In case the Company shall, at any time on or before the Expiration Time, distribute to all holders of shares
of Common Stock (including any such distribution made in connection with a consolidation or merger in which the Company is the
surviving corporation) evidences of the Company’s indebtedness or assets (excluding cash dividends and distributions payable
out of consolidated net income or earned surplus in accordance with Nevada law and dividends or distributions payable in shares
of stock described in paragraph 3(a) of this Warrant Certificate) or rights, options, or warrants or exchangeable or convertible
securities containing the right to subscribe for or purchase shares of Common Stock (or securities exchangeable for or convertible
into shares of Common Stock), then the Purchase Price shall be adjusted by multiplying the Purchase Price in effect immediately
prior to the record date for such distribution by a fraction, of which (i) the numerator shall be the Purchase Price as in effect
on such record date, less the fair market value (as determined in good faith by the Board of Directors of the Company) of
the portion of the evidences of indebtedness or assets so to be distributed or of such rights, options or warrants applicable to
one share of Common Stock and (ii) the denominator shall be the Purchase Price as in effect on such record date. Such adjustment
shall be made whenever any such distribution is made, and shall become effective on the date of distribution retroactive to the
record date for such transaction.


 


(d)       Capital
Reorganizations and Other Reclassifications. In case of any capital reorganization of the Company, or of any reclassification
of the shares of Common Stock (other than a reclassification, subdivision or combination of shares of Common Stock referred to
in paragraph 3(a) of this Warrant Certificate), or in case of the consolidation of the Company with, or the merger of the Company
with, or merger of the Company into, any other corporation (other than a reclassification of the shares of Common Stock referred
to in paragraph 3(a) of this Warrant Certificate or a consolidation or merger which does not result in any reclassification or
change of the outstanding shares of Common Stock) or of the sale of the properties and assets of the Company as, or substantially
as, an entirety to any other corporation or entity occurring on or before the Expiration Time, each Warrant shall, after such capital
reorganization, reclassification of shares of Common Stock, consolidation, merger, or sale, be exercisable, upon the terms and
conditions specified in this Warrant Certificate, for the kind, amount and number of shares or other securities, assets, or cash
to which a holder of the number of shares of Common Stock purchasable (at the time of such capital reorganization, reclassification
of shares of Common Stock, consolidation, merger or sale) upon exercise of such Warrant would have been entitled to receive upon
such capital reorganization, reclassification of shares of Common Stock, consolidation, merger, or sale; and in any such case,
if necessary, the provisions set forth in this section 3 with respect to the rights and interests thereafter of the Warrantholder
shall be appropriately adjusted so as to be applicable, as nearly equivalent as possible, to any shares or other securities, assets,
or cash thereafter deliverable on the exercise of the Warrants. The Company shall not effect any such consolidation, merger, or
sale, unless prior to or simultaneously with the consummation thereof the successor corporation or entity (if other than the Company)
resulting from such consolidation or merger or the corporation or entity purchasing such assets or other appropriate corporation
or entity shall assume, by written instrument, the obligation to deliver to the Warrantholder such shares, securities, assets,
or cash as, in accordance with the foregoing provisions, such holders may be entitled to purchase and the other obligations hereunder.
The subdivision or combination of shares of Common Stock at any time outstanding into a greater or lesser number of shares shall
not be deemed to be a reclassification of the shares of Common Stock for purposes of this paragraph 3(d).


 


(e)       Minimum
Adjustment. Except as hereinafter provided, no adjustment of the Purchase Price hereunder shall be made if such adjustment
results in a change of the Purchase Price then in effect of less than one cent ($.001) per share. Any adjustment of less than one-tenth
of one cent ($.001) per share of any Purchase Price shall be carried forward and shall be made at the time of and together with
any subsequent adjustment which, together with adjustment or adjustments so carried forward, amounts to one-tenth of one cent ($.001)
per share or more. However, upon exercise of this Warrant Certificate, the Company shall make all necessary adjustments (to the
nearest one-tenth of a cent) not theretofore made to the Purchase Price up to and including the effective date upon which this
Warrant Certificate is exercised.


 


(f)       Notice
of Adjustments. Whenever the Purchase Price shall be adjusted pursuant to this section 3, the Company shall promptly deliver
a certificate signed by the President or a Vice President and by the Chief Financial Officer, Treasurer or an Assistant Treasurer
or the Secretary or an Assistant Secretary of the Company, setting forth, in reasonable detail, the event requiring the adjustment,
the amount of the adjustment, the method by which such adjustment was calculated (including a description of the basis on which
the Board of Directors of the Company made any determination hereunder), by first class mail postage prepaid to the Warrantholder.


 



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(g)       Adjustments
to Other Securities. In the event that at any time, as a result of an adjustment made pursuant to this section 3, the Warrantholder
shall become entitled to purchase any shares or securities of the Company other than the shares of Common Stock, thereafter the
number of such other shares or securities so purchasable upon exercise of each Warrant and the purchase price for such shares or
securities shall be subject to adjustment from time to time in a manner and on terms as nearly equivalent as possible to the provisions
with respect to the shares of Common Stock contained in paragraphs 3(a), 3(b), 3(c) and 3(d) of this Warrant Certificate.


 


(h)       Deferral
of Issuance of Additional Shares in Certain Circumstances. In any case in which paragraph 3(b) of this Warrant Certificate
shall require that an adjustment in the Purchase Price be made effective as of a record date for a specified event, the Company
may elect to defer until the occurrence of such event issuing to the holder of a Warrant exercised after such record date the shares
of Common Stock, if any, issuable upon such exercise over and above the Warrant Shares, if any, issuable upon such exercise on
the basis of the Purchase Price in effect prior to such adjustment; provided, however, that the Company shall deliver
as soon as practicable to such holder a due bill or other appropriate instrument provided by the Company evidencing such holder’s
right to receive such additional shares of Common Stock upon the occurrence of the event requiring such adjustment.


 


4.    
    Definition of Common Stock. The Common Stock issuable upon exercise of the Warrants shall be the
Common Stock as constituted on the Commencement Date, except as otherwise provided in section 3 of this Warrant
Certificate.


 


5. 
       Replacement of Warrant Certificates. If this Warrant Certificate shall be lost,
stolen, mutilated or destroyed, the Company shall, on such terms as to indemnity or otherwise as the Company may in the
Company’s discretion reasonably impose, issue a new certificate of like tenor or date representing in the aggregate the
right to subscribe for and purchase the number of shares of Common Stock which may be subscribed for and purchased hereunder.
Any such new certificate shall constitute an original contractual obligation of the Company, whether or not the allegedly
lost, stolen, mutilated or destroyed Warrant Certificate shall be at any time enforceable by anyone.


 


6.         Registration.
This Warrant Certificate, as well as all other warrant certificates representing Warrants shall be numbered and shall be registered
in a register (the “Warrant Register”) maintained at the Company Offices as they are issued. The Warrant Register shall
list the name, address and Social Security or other federal taxpayer identifying number, if any, of all Warrantholders. The Company
shall be entitled to treat the Warrantholder as set forth in the Warrant Register as the owner in fact of the Warrants as set forth
therein for all purposes and shall not be bound to recognize any equitable or other claim to or interest in such Warrants on the
part of any other person, and shall not be liable for any registration of transfer of Warrants that are registered or to be registered
in the name of a fiduciary or the nominee of a fiduciary unless made with the actual knowledge that a fiduciary or nominee is committing
a breach of trust in requesting such registration of transfer, or with such knowledge of such facts that its participation therein
amounts to bad faith.         


 


7.         Transfer.


 


(a)        NEITHER
THE WARRANTS REPRESENTED BY THIS WARRANT CERTIFICATE NOR THE SHARES OF COMMON STOCK OR ANY OTHER SECURITIES ISSUABLE UPON EXERCISE
OF SUCH WARRANTS HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. SUCH WARRANTS HAVE BEEN ACQUIRED, AND ANY SHARES
OF COMMON STOCK OR ANY OTHER SECURITIES ISSUABLE UPON EXERCISE OF SUCH WARRANTS ARE REQUIRED TO BE ACQUIRED, FOR INVESTMENT PURPOSES
AND NOT WITH A VIEW TO DISTRIBUTION OR RESALE, AND MAY NOT BE SOLD, ASSIGNED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED WITHOUT
AN EFFECTIVE REGISTRATION STATEMENT FOR SUCH WARRANTS AND/OR SUCH SHARES OR OTHER SECURITIES UNDER THE SECURITIES ACT OF 1933,
AS AMENDED, AND APPLICABLE STATE SECURITIES LAWS OR AN OPINION OF COUNSEL SATISFACTORY TO THE ISSUER OF SUCH WARRANTS AND SUCH
SHARES OR OTHER SECURITIES TO THE EFFECT THAT REGISTRATION IS NOT REQUIRED UNDER SUCH ACT AND SUCH STATE SECURITIES LAWS.


 



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(b)        In
the event of a transfer of any Warrants in accordance with this section 7, the Company shall, upon the surrender of this Warrant
Certificate with the Assignment Form completed, dated and signed, execute and deliver to the transferee a new warrant certificate,
substantially in form to this Warrant Certificate, evidencing the number of Warrants so transferred to such transferee and naming
the transferee as the Warrantholder.


 


8.         Exchange
of Warrant Certificates. This Warrant Certificate may be exchanged for another certificate or certificates entitling the Warrantholder
thereof to purchase a like aggregate number of Warrant Shares as this Warrant Certificate entitles such Warrantholder to purchase.
A Warrantholder desiring to so exchange this Warrant Certificate shall make such request in writing delivered to the Company, and
shall surrender this Warrant Certificate therewith. Thereupon, the Company shall execute and deliver to the person entitled thereto
a new certificate or certificates, as the case may be, as so requested.


 


9.           Notices.
All notices and other communications hereunder shall be in writing and shall be deemed given when delivered in person, against
written receipt therefor, or two days after being sent, by registered or certified mail, postage prepaid, return receipt requested,
and, if to the Warrantholder, at such address as is shown on the Warrant Register or as may otherwise may have been furnished to
the Company in writing in accordance with this section 9 by the Warrantholder and, if to the Company, at the Company Offices or
such other address as the Company shall give notice thereof to the Warrantholder in accordance with this section 9.


 


10.         Registration
Rights.


 


(a)         Defined
Terms. As used in this section 10, terms defined elsewhere herein shall have their assigned meanings and each of the following
terms shall have the following meanings (such definitions to be applicable to both the plural and singular of the terms defined):


(i)          Registerable
Securities. The term “Registerable Securities” shall mean any of the Warrant Shares or other securities issuable
upon exercise of any of the 1,500,000 Warrants originally issued to Barry M. Brookstein (the “Original Holder”) as
of June 30, 2011 and represented, in whole or part, by this Warrant Certificate. For the purposes of this section 10, securities
will cease to be Registerable Securities when:


(A)         a
registration statement under the Securities Act of 1933, as amended (the “Securities Act”), covering such Registerable
Securities has been declared effective and (1) such Registerable Securities have been disposed of pursuant to such effective registration
statement or (2) such registration statement has remained effective for 270 consecutive days, or


(B)         such
Registerable Securities are distributed to the public pursuant to the Securities Act or pursuant to an exemption from the registration
requirements of the Securities Act, including, without limitation, Rules 144 and 144A promulgated under the Securities Act and
the Company has delivered new certificates or other evidences of ownership for such securities which are not subject to any stop
transfer order or other restriction on transfer;


(ii)         Rightsholders.
The term “Rightsholders” shall include the Warrantholder, all successors and assigns of the Warrantholders and all
transferees of Registerable Securities (and/or Warrants exercisable for Warrant Shares) where such transfer affirmatively includes
the transfer and assignment of the rights of the transferor-Warrantholder under this Warrant Certificate with respect to the transferred
Registerable Securities and such transferee agrees in writing to assume all of the transferor-Warrantholder’s agreements,
obligations and liabilities under this section 10 with respect to the transferred Registerable Securities; and


(iii)        Interpretations
of Terms. The words “hereof,” “herein” and “hereunder” and words of similar import when
used in this section 10 shall refer to this section 10 as a whole and not to any particular provision of this section 10, and subsection,
paragraph, clause, schedule and exhibit references are to this section 10 unless otherwise specified.


 



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(b)          Piggy-Back
Registration.


(i)          Piggy-Back
Registration Rights. If, at any time on or prior to the first anniversary of the Expiration Time, the Company (or any successor
of the Company, by merger or otherwise) proposes to file a registration statement under the Securities Act with respect to an offering
by the Company or any other party of any class of equity security similar to any Registerable Securities (other than a registration
statement on Form S-4 or S-8 or any successor form or a registration statement filed solely in connection with an exchange offer,
a business combination transaction or an offering of securities solely to the existing shareholders or employees of the Company),
then the Company, on each such occasion, shall give written notice (each, a “Company Piggy-Back Notice”) of such proposed
filing to all of the Rightsholders owning Registerable Securities at least twenty days before the anticipated filing date of such
registration statement, and such Company Piggy-Back Notice also shall be required to offer to such Rightsholders the opportunity
to register such aggregate number of Registerable Securities as each such Rightsholder may request. Each such Rightsholder shall
have the right, exercisable for the fifteen days immediately following the giving of a Company Piggy-Back Notice, to request, by
written notice (each, a “Holder Notice”) to the Company, the inclusion of all or any portion of the Registerable Securities
of such Rightsholders in such registration statement. The Company shall use commercially best efforts to cause the managing underwriter(s)
of a proposed underwritten offering to permit the inclusion of the Registerable Securities which were the subject of all Holder
Notices in such underwritten offering on the same terms and conditions as any similar securities of the Company included therein.
Notwithstanding anything to the contrary contained in this subparagraph 10(b)(i), if the managing underwriter(s) of such underwritten
offering or any proposed underwritten offering delivers a written opinion to the Rightsholders of Registerable Securities which
were the subject of all Holder Notices that the total amount and kind of securities which they, the Company and any other person
intend to include in such offering is such as to materially and adversely affect the success of such offering, then the amount
of securities to be offered for the accounts of such Rightsholders and persons other than the Company shall be eliminated or reduced
pro rata (based on the amount of securities owned by such Rightsholders and other persons which carry registration rights) to the
extent necessary to reduce the total amount of securities to be included in such offering to the amount recommended by such managing
underwriter(s) in the managing underwriter’s written opinion.


(ii)         Number
of Piggy-Back Registrations; Expenses. The Rightsholders shall be entitled, in the aggregate, to two Piggy-Back Registrations.
Subject to the provisions of paragraph 10(d) of this Warrant Certificate, the Company will pay all Registration Expenses in connection
with any registration of Registerable Securities effected pursuant to this paragraph 10(b), but the Company shall not be responsible
for the payment of any underwriter’s discount, commission or selling concession in connection therewith.


(iii)        Withdrawal
or Suspension of Registration Statement. The Company shall have the absolute right, whether before or after the giving of a
Company Piggy-Back Notice or Holder Notice, to determine not to file a registration statement to which the Rightsholders shall
have the right to include their Registerable Securities therein pursuant to this paragraph 10(b), to withdraw such registration
statement or to delay or suspend pursuing the effectiveness of such registration statement. In the event of such a determination
after the giving of a Company Piggy-Back Notice, the Company shall give notice of such determination to all Rightsholders and,
thereupon, (A) in the case of a determination not to register or to withdraw such registration statement, the Company shall be
relieved of its obligation under this paragraph 10(b) to register any of the Registerable Securities in connection with such registration
and (B) in the case of a determination to delay the registration, the Company shall be permitted to delay or suspend the registration
of Registerable Securities pursuant to this paragraph 10(b) for the same period as the delay in the registration of such other
securities. No registration effected under this paragraph 10(b) shall relieve the Company of its obligation to effect any registration
upon demand otherwise granted to a Rightsholder under any other agreement with the Company.


 


(c)          Registration
Procedures.


(i)          Obligations
of the Company. The Company will, in connection with any registration pursuant to paragraph 10(b) of this Warrant Certificate,
as expeditiously as possible:


 



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(A)         prepare
and file with the Commission a registration statement under the Securities Act on any appropriate form chosen by the Company, in
the Company’s sole discretion, which shall be available for the sale of all Registerable Securities in accordance with the
intended method(s) of distribution thereof set forth in all applicable Holder Notices, and use the Company’s commercially
best efforts to cause such registration statement to become effective as soon thereafter as reasonably practicable but in no event
more than 100 days after receipt of such notices or requests; provided, that, at least five business days before filing
with the Commission of such registration statement, the Company shall furnish to each Rightsholder whose Registerable Securities
are included therein draft copies of such registration statement, including all exhibits thereto and documents incorporated by
reference therein, and, upon the reasonable request of any such Rightsholder, shall continue to provide drafts of such registration
statement until filed, and, after such filing, the Company shall, as diligently as practicable, provide to each such Rightsholders
such number of copies of such registration statement, each amendment and supplement thereto, the prospectus included in such registration
statement (including each preliminary prospectus), all exhibits thereto and documents incorporated by reference therein and such
other documents as such Rightsholder may reasonably request in order to facilitate the disposition of the Registerable Securities
owned by such Rightsholder and included in such registration statement; provided, further, the Company shall modify
or amend the registration statement as it relates to such Rightsholder as reasonably requested by such Rightsholder on a timely
basis, and shall reasonably consider other changes to the registration statement (but not including any exhibit or document incorporated
therein by reference) reasonably requested by such Rightsholder on a timely basis, in light of the requirements of the Securities
Act and any other applicable laws and regulations; and provided, further, that the obligation of the Company to effect
such registration and/or cause such registration statement to become effective, may be postponed for (1) such period of time when
the financial statements of the Company required to be included in such registration statement are not available (due solely to
the fact that such financial statements have not been prepared in the regular course of business of the Company) or (2) any other
bona fide corporate purpose, but then only for a period not to exceed 60 calendar days;


(B)         prepare
and file with the Commission such amendments and post-effective amendments to a registration statement as may be necessary to keep
such registration statement effective for up to nine months; and cause the related prospectus to be supplemented by any required
prospectus supplement, and as so supplemented to be filed to the extent required pursuant to Rule 424 promulgated under the Securities
Act, during such nine-month period; and otherwise comply with the provisions of the Securities Act with respect to the disposition
of all Registerable Securities covered by such registration statement during the applicable period in accordance with the intended
method(s) of disposition of such Registerable Securities set forth in such registration statement, prospectus or supplement to
such prospectus;


(C)         notify
the Rightsholders whose Registerable Securities are included in such registration statement and the managing underwriter(s), if
any, of an underwritten offering of any of the Registerable Securities included in such registration statement, and confirm such
advice in writing, (1) when a prospectus or any prospectus supplement or post-effective amendment has been filed, and, with respect
to a registration statement or any post-effective amendment, when the same has become effective, (2) of any request by the Commission
for amendments or supplements to a registration statement or related prospectus or for additional information, (3) of the issuance
by the Commission of any stop order suspending the effectiveness of a registration statement or the initiation of any proceedings
for that purpose, (4) if at any time the representations and warranties of the Company contemplated by subclause (J)(1) of subparagraph
10(c)(i) of this Warrant Certificate cease to be true and correct, (5) of the receipt by the Company of any notification with respect
to the suspension of the qualification of any of the Registerable Securities for sale in any jurisdiction or the initiation or
threatening of any proceeding for such purpose and (6) of the happening of any event which makes any statement made in the registration
statement, the prospectus or any document incorporated therein by reference untrue or which requires the making of any changes
in the registration statement or prospectus so that such registration statement, prospectus or document incorporated by reference
will not contain any untrue statement of material fact or omit to state any material fact required to be stated therein or necessary
to make the statements therein not misleading;


(D)         make
commercially best efforts to obtain the withdrawal of any order suspending the effectiveness of such registration statement at
the earliest possible moment and to prevent the entry of such an order;


(E)         use
commercially best efforts to register or qualify the Registerable Securities included in such registration statement under such
other securities or blue sky laws of such jurisdictions as any Rightsholder whose Registerable Securities are included in such
registration statement reasonably requests in writing and do any and all other acts and things which may be necessary or advisable
to enable such Rightsholder to consummate the disposition in such jurisdictions of such Registerable Securities; provided,
that the Company will not be required to (1) qualify generally to do business in any jurisdiction where it would not otherwise
be required to qualify but for this clause (E), (2) subject itself to taxation in any such jurisdiction or (3) take any action
which would subject it to general service of process in any such jurisdiction;


 



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(F)         make
available for inspection by each Rightsholder whose Registerable Securities are included in such registration, any underwriter(s)
participating in any disposition pursuant to such registration statement, and any representative, agent or employee of or attorney
or accountant retained by any such Rightsholder or underwriter(s) (collectively, the “Inspectors”), all financial and
other records, pertinent corporate documents and properties of the Company (collectively, the “Records”) as shall be
reasonably necessary to enable them to exercise their due diligence responsibility (or establish a due diligence defense), and
cause the officers, directors and employees of the Company to supply all information reasonably requested by any of the Inspectors
in connection with such registration statement; provided, that records which the Company determines, in good faith, to be
confidential and which it notifies the Inspectors are confidential shall not be disclosed by the Inspectors, unless (1) the release
of such Records is ordered pursuant to a subpoena or other order from a court of competent jurisdiction or (2) the disclosure of
such Records is required by any applicable law or regulation or any governmental regulatory body with jurisdiction over such Rightsholder
or underwriter; provided, further, that such Rightsholder or underwriter(s) agree that such Rightsholder or underwriter(s)
will, upon learning the disclosure of such Records is sought in a court of competent jurisdiction, give notice to the Company and
allow the Company, at the Company’s expense, to undertake appropriate action to prevent disclosure of the Records deemed
confidential;


(G)         cooperate
with the Rightsholders whose Registerable Securities are included in such registration statement and the managing underwriter(s),
if any, to facilitate the timely preparation and delivery of certificates representing Registerable Securities to be sold thereunder,
not bearing any restrictive legends, and enable such Registerable Securities to be in such denominations and registered in such
names as such Rightsholder or any managing underwriter(s) may reasonably request at least two business days prior to any sale of
Registerable Securities;


(H)         comply
with all applicable rules and regulations of the Commission and promptly make generally available to its security holders an earnings
statement covering a period of twelve months commencing, (1) in an underwritten offering, at the end of any fiscal quarter in which
Registerable Securities are sold to underwriter(s), or (2) in a non-underwritten offering, with the first month of the Company’s
first fiscal quarter beginning after the effective date of such registration statement, which earnings statement in each case shall
satisfy the provisions of Section 10(a) of the Securities Act;


(I)         provide
a CUSIP number for all Registerable Securities not later than the effective date of the registration statement relating to the
first public offering of Registerable Securities of the Company pursuant hereto;


(J)         enter
into such customary agreements (including an underwriting agreement in customary form) and take all such other actions reasonably
requested by the Rightsholders holding a majority of the Registerable Securities included in such registration statement or the
managing underwriter(s) in order to expedite and facilitate the disposition of such Registerable Securities and in such connection,
whether or not an underwriting agreement is entered into and whether or not the registration is an underwritten registration, (1)
make such representations and warranties, if any, to the holders of such Registerable Securities and any underwriter(s) with respect
to the registration statement, prospectus and documents incorporated by reference, if any, in form, substance and scope as are
customarily made by issuers to underwriter(s) in underwritten offerings and confirm the same if and when requested, (2) obtain
opinions of counsel to the Company and updates thereof addressed to each such Rightsholder and the underwriter(s), if any, with
respect to the registration statement, prospectus and documents incorporated by reference, if any, covering the matters customarily
covered in opinions requested in underwritten offerings and such other matters as may be reasonably requested by such Rightsholders
and underwriter(s), (3) obtain a “cold comfort” letter and updates thereof from the Company’s independent certified
public accountants addressed to such Rightsholders and to the underwriter(s), if any, which letters shall be in customary form
and cover matters of the type customarily covered in “cold comfort” letters by accountants in connection with underwritten
offerings, and (4) deliver such documents and certificates as may be reasonably requested by the Rightsholders holding a majority
of such Registerable Securities and managing underwriter(s), if any, to evidence compliance with any customary conditions contained
in the underwriting agreement or other agreement entered into by the Company; each such action required by this clause (J) shall
be done at each closing under such underwriting or similar agreement or as and to the extent required thereunder; and


 



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(K)         if
requested by the holders of a majority of the Registerable Securities included in such registration statement, use its best efforts
to cause all Registerable Securities which are included in such registration statement to be listed, subject to notice of issuance,
by the date of the first sale of such Registerable Securities pursuant to such registration statement, on each securities exchange,
if any, on which securities similar to the Registered Securities are listed.


(ii)         Obligations
of Rightsholders. In connection with any registration of Registerable Securities of a Rightsholder pursuant to paragraph 10(b)
of this Warrant Certificate:


(A)         The
Company may require that each Rightsholder whose Registerable Securities are included in such registration statement furnish to
the Company such information regarding the distribution of such Registerable Securities and such Rightsholder as the Company may
from time to time reasonably request in writing;


(B)         Each
Rightsholder, upon receipt of any notice from the Company of the happening of any event of the kind described in subclauses (2),
(3), (5) and (6) of clause 10(c)(i)(C) of this Warrant Certificate, shall forthwith discontinue disposition of Registerable Securities
pursuant to the registration statement covering such Registerable Securities until such Rightsholder’s receipt of the copies
of the supplemented or amended prospectus contemplated by subclause (1) of said clause 10(c)(i)(C), or until such Rightsholder
is advised in writing (the “Advice”) by the Company that the use of the applicable prospectus may be resumed, and until
such Rightsholder has received copies of any additional or supplemental filings which are incorporated by reference in or to be
attached to or included with such prospectus, and, if so directed by the Company, such Rightsholder will deliver to the Company
(at the expense of the Company) all copies, other than permanent file copies then in the possession of such Rightsholder, of the
current prospectus covering such Registerable Securities at the time of receipt of such notice; the Company shall have the right
to demand that such Rightsholder or other holder verify its agreement to the provisions of this clause (B) in any Holder Notice
of the Rightsholder or in a separate document executed by the Rightsholder; and


(C)        Each
Rightsholder agrees that in an underwritten offering it will not, without the consent of the managing underwriter, dispose of or
offer any securities of the Company for the period of restrictions on the sale or disposal of securities of the Company imposed,
or consented to, by any principal shareholder of the Company.


 


(d)          Registration
Expenses. All expenses incident to the performance of or compliance with this Warrant Certificate by the Company, including,
without imitation, all registration and filing fees of the Commission, Financial Industry Regulatory Authority and other appropriate
agencies, whether public, quasi-public or private, fees and expenses of compliance with securities or blue sky laws (including
reasonable fees and disbursements of counsel in connection with blue sky qualifications of the Registerable Securities), rating
agency fees, printing expenses, messenger and delivery expenses, internal expenses (including, without limitation, all salaries
and expenses of its officers and employees performing legal or accounting duties), the fees and expenses incurred in connection
with the listing, if any, of the Registerable Securities on any securities exchange and fees and disbursements of counsel for the
Company and the Company’s independent certified public accountants (including the expenses of any special audit or “cold
comfort” letters required by or incidental to such performance), Securities Act or other liability insurance (if the Company
elects to obtain such insurance), the fees and expenses of any special experts retained by the Company in connection with such
registration and the fees and expenses of any other person retained by the Company (but not including any underwriting discounts
or commissions attributable to the sale of Registerable Securities or other out-of-pocket expenses of the Rightsholders, or the
agents who act on their behalf, unless reimbursement is specifically approved by the Company) will be borne by the Company. All
such expenses are herein referred to as “Registration Expenses.”


 



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(e)          Indemnification:
Contribution.


(i)          Indemnification
by the Company. The Company agrees to indemnify and hold harmless, to the full extent permitted by law, each Rightsholder,
its officers and directors and each person who controls such Rightsholder (within the meaning of the Securities Act), if any, and
any agent thereof against all losses, claims, damages, liabilities and expenses incurred by such party pursuant to any actual or
threatened suit, action, proceeding or investigation (including reasonable attorney’s fees and expenses of investigation)
arising out of or based upon any untrue or alleged untrue statement of a material fact contained in any registration statement,
prospectus or preliminary prospectus or any omission or alleged omission to state therein a material fact required to be stated
therein or necessary to make the statements therein (in the case of a prospectus, in the light of the circumstances under which
they were made) not misleading, except insofar as the same arise out of or are based upon, any such untrue statement or omission
based upon information with respect to such Rightsholder furnished in writing to the Company by such Rightsholder expressly for
use therein.


(ii)         Indemnification
by Rightsholder. In connection with any registration statement in which a Rightsholder is participating, each such Rightsholder
will be required to furnish to the Company in writing such information with respect to such Rightsholder as the Company reasonably
requests for use in connection with any such registration statement or prospectus, and each Rightsholder agrees to the extent it
is such a holder of Registerable Securities included in such registration statement, and each other such holder of Registerable
Securities included in such Registration Statement will be required to agree, to indemnify, to the full extent permitted by law,
the Company, the directors and officers of the Company and each person who controls the Company (within the meaning of the Securities
Act) and any agent thereof, against any losses, claims, damages, liabilities and expenses (including reasonable attorney’s
fees and expenses of investigation incurred by such party pursuant to any actual or threatened suit, action, proceeding or investigation
arising out of or based upon any untrue or alleged untrue statement of a material fact or any omission or alleged omission of a
material fact necessary, to make the statements therein (in the case of a prospectus, in the light of the circumstances under which
they are made) not misleading, to the extent, but only to the extent, that such untrue statement or omission is based upon information
relating to such Rightsholder or other holder furnished in writing to the Company expressly for use therein.


(iii)        Conduct
of Indemnification Proceedings. Promptly after receipt by an indemnified party under this paragraph 10(e) of written notice
of the commencement of any action, proceeding, suit or investigation or threat thereof made in writing for which such indemnified
party may claim indemnification or contribution pursuant to this Warrant Certificate, such indemnified party shall notify in writing
the indemnifying party of such commencement or threat; but the omission so to notify the indemnifying party shall not relieve the
indemnifying party from any liability which the indemnifying party may have to any indemnified party (A) hereunder, unless the
indemnifying party is actually prejudiced thereby, or (B) otherwise than under this paragraph 10(e). In case any such action, suit
or proceeding shall be brought against any indemnified party, and the indemnified party shall notify the indemnifying party of
the commencement thereof, the indemnifying party shall be entitled to participate therein and the indemnifying party shall assume
the defense thereof, with counsel reasonably satisfactory to the indemnified party, and the obligation to pay all expenses relating
thereto. The indemnified party shall have the right to employ separate counsel in any such action, suit or proceeding and to participate
in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such indemnified party unless (A)
the indemnifying party has agreed to pay such fees and expenses, (B) the indemnifying party shall have failed to assume the defense
of such action, suit or proceeding or to employ counsel reasonably satisfactory to the indemnified party therein or to pay all
expenses relating thereto or (C) the named parties to any such action or proceeding (including any impleaded parties) include both
the indemnified party and the indemnifying party and the indemnified party shall have been advised by counsel that there may be
one or more legal defenses available to the indemnified party which are different from or additional to those available to the
indemnifying party and which may result in a conflict between the indemnifying party and such indemnified party (in which case,
if the indemnified party notifies the indemnifying party in writing that the indemnified party elects to employ separate counsel
at the expense of the indemnifying party, the indemnifying party shall not have the right to assume the defense of such action
or proceeding on behalf of the indemnified party; it being understood, however, that the indemnifying party shall not, in connection
with any one such action, suit or proceeding or separate but substantially similar or related actions, suits or proceedings in
the same jurisdiction arising out of the same general allegations or circumstances, be liable for the fees and expenses of more
than one separate firm of attorneys at any time for the indemnified party, which firm shall be designated in writing by the indemnified
party).


 



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(iv)        Contribution.


(A)         If
the indemnification provided for in this paragraph 10(e) from the indemnifying party is unavailable to an indemnified party hereunder
in respect of any losses, claims, damages, liabilities or expenses referred to therein, then the indemnifying party, in lieu of
indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party as a result of such
losses, claims, damages, liabilities or expenses (A) in such proportion as is appropriate to reflect the relative benefits received
by the indemnifying party on the one hand and the indemnified party on the other or (B) if the allocation provided by clause (A)
above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits received
by the indemnifying party on the one hand and the indemnified party on the other but also the relative fault of the indemnifying
party and indemnified party, as well as any other relevant equitable considerations. The relative fault of such indemnifying party
and the indemnified parties shall be determined by reference to, among other things, whether any action in question, including
any untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact, has been made
by, or relates to information supplied by, such indemnifying party or indemnified parties, and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such action. The amount paid or payable by a party as a
result of the losses, claims, damages, liabilities and expenses referred to above shall be deemed to include, subject to the limitation
set forth in subparagraph 10(e)(v) of this Warrant Certificate, any legal or other fees or expenses reasonably incurred by such
party in connection with any investigation or proceeding.


(B)         The
parties hereto agree that it would not be just and equitable if contribution pursuant to this subparagraph 10(e)(iv) were determined
by pro rata allocation or by any other method of allocation which does not take into account the equitable considerations referred
to in clauses (A) and (B) of the immediately preceding paragraph. No person guilty of fraudulent misrepresentation (within the
meaning of Section 10(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent
misrepresentation.


(v)         Limitation.
Anything to the contrary contained in this paragraph 10(e) or in paragraph 10(f) of this Warrant Certificate notwithstanding, no
holder of Registerable Securities shall be liable for indemnification and contribution payments aggregating an amount in excess
of the maximum dollar amount of the net proceeds received by such holder in connection with any sale of Registerable Securities
as contemplated herein.


 


(f)          Participation
in Underwritten Registration. No Rightsholder may participate in any underwritten registration hereunder unless such Rightsholder
(i) agrees to sell such holder’s securities on the basis provided in any underwriting arrangements approved by the persons
entitled hereunder to approve such arrangements and to comply with Regulation M under the Exchange Act and (ii) completes and executes
all questionnaires, appropriate and limited powers of attorney, escrow agreements, indemnities, underwriting agreements and other
documents reasonably required under the terms of such underwriting arrangement; provided, that all such documents shall
be consistent with the provisions of paragraph 10(e) of this Warrant Certificate.


 


11.         Miscellaneous.
This Warrant Certificate and any term hereof may be changed, waived, discharged or terminated only by an instrument in writing
signed by the party against which enforcement of such change, waiver, discharge or termination is sought. This Warrant Certificate
is deemed to have been delivered in the State of New York and shall be construed and enforced in accordance with and governed by
the laws of such State. The headings in this Warrant Certificate are for purposes of reference only, and shall not limit or otherwise
affect any of the terms hereof.


 


12.         Expiration.
Unless as hereinafter provided, the right to exercise the Warrants shall expire at the Expiration Time.


 


13.         No
Rights as Shareholder; Notice to Warrantholder.


 


(a)          Nothing
contained in this Warrant Certificate shall be constructed as conferring upon the Warrantholder the right to vote or to receive
distributions or to consent to or receive notice as a shareholder in respect of any meeting of shareholders for the election of
directors of the Company or any other matter, or any other rights whatsoever as shareholder of the Company.


 



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(b)          The
Company shall give notice to the Warrantholder by postage-paid, certified mail, return receipt requested, if, at any time prior
to the Expiration Time, any of the following events shall occur:


(i)          the
Company shall authorize the payment of any distributions upon Common Stock payable in any securities or authorize the making of
any distribution (other than a cash distribution subject to the second parenthetical set forth in section 3(c) of this Warrant
Certificate) to all holders of Common Stock;


(ii)         the
Company shall authorize the issuance to all holders of Common Stock of any additional shares of Common Stock or of rights, options
or warrants to subscribe for or purchase Common Stock or of any other subscription rights, options or warrants;


(iii)        a
dissolution, liquidation or winding up of the Company (including, without limitation, a consolidation, merger, or sale or conveyance
of the property of the Company as an entirety or substantially as an entirety); or


(iv)        a
capital reorganization or reclassification of the Common Stock (other than a subdivision or combination of the outstanding Common
Stock) or any consolidation or merger of the Company with or into another corporation (excluding any consolidation or merger in
which the Company is the continuing company and that does not result in any reclassification of, or change to, the Common Stock
then outstanding) or in the case of any sale or conveyance to another corporation of the property of the Company as an entirety
or substantially as an entirety.


 


Such giving of notice
shall be given (x) at least twenty business days (a day other than a Saturday, Sunday or other day on which banks in the State
of New York are authorized by law to remain closed) prior to the date fixed as a record date or effective date or the date of closing
of the Company’s transfer books for the determination of the holders entitled to such distribution or subscription rights,
or for the determination of the holders entitled to vote on such proposed merger, consolidation, sale, conveyance, dissolution,
liquidation, winding up or conversion to corporate or other form. Such notice shall specify such record date or the date of closing
the transfer books, as the case may be. In addition, the Company shall provide to Warrantholder, at the same time such notice is
provided, such information relating to such distribution or subscriptions rights, or proposed merger, consolidation, sale, conveyance,
dissolution, liquidation, winding up or conversion to corporate or other form as may be reasonably necessary for Warrantholder
to make an informed decision whether to exercise Warrantholder’s rights as evidenced by this Warrant Certificate.


 


14.         Severability.
If any term or other provision of this Warrant Certificate is invalid, illegal or incapable of being enforced by any law or public
policy, all other terms and provisions of this Warrant Certificate shall nevertheless remain in full force and effect so long as
the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to either
the Company or Warrantholder. Upon such determination that any term or other provision is invalid, illegal or incapable of being
enforced, the Company and Warrantholder shall negotiate in good faith to modify this Warrant Certificate so as to effect the original
intent of the Company and the Original Holder in connection with the issuance of the Warrants, to the greatest extent possible.
Any provision of this Warrant Certificate held invalid or unenforceable only in part, degree or in certain jurisdictions will remain
in full force and effect to the extent not held invalid or unenforceable.


 


IN WITNESS WHEREOF,
Compliance Systems Corporation has caused this Warrant Certificate to be executed by its officer thereunto duly authorized.


 


	Dated:  As of March 31, 2012	Compliance Systems Corporation
	 	 	 
	 	By: 	 
	 	 	Barry M. Brookstein
	 	 	Chief Financial Officer


 



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EXERCISE FORM


 


TO:        Compliance
Systems Corporation


 


The undersigned hereby irrevocably elects to exercise its warrant
exercise rights evidenced by this Warrant Certificate to the extent of purchasing _______________ shares of the common stock, par
value $0.001 per share, of Compliance Systems Corporation and hereby makes payment of the aggregate Purchase Price therefor as
follows:


 


CHOOSE AND COMPLETE ONE:


 


		 ̈	Tendering, contemporaneous with the delivery of this Warrant Certificate, the amount of $_____________ in the form of (a) cash
or (b) bank cashier’s or certified check payable to the order of “Compliance Systems Corporation”



 


		 ̈	Surrendering _________ Warrants evidenced by this Warrant Certificate in accordance with paragraph 1(c) of this Warrant Certificate.



 


INSTRUCTIONS FOR REGISTRATION OF STOCK


(Please type or print in block letters)


 


	Name:  	 
	 	 
	Taxpayer Identification Number:  	 
	 	 
	Address:  	 
	 	 
	 	 
	 	 
	 	 
	 	 
	Signature:  	 
	 	(Signature must conform in all respects to the name of the Warrantholder
	 	as set forth on the face of this Warrant Certificate.)
	 	 
	Date:  	 


 



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ASSIGNMENT FORM


(Please type or print in block letters)


 


FOR VALUE RECEIVED,
________________________________________________________


 


hereby sells, assigns and transfers unto:


 


	Name:  	 	 
	Taxpayer  	 	 
	Identification  	 	 
	Number:  	 	 
	 	 	 
	Address:  	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 


 


this Warrant Certificate and the Warrants
represented by this Warrant Certificate to the extent of ________________ Warrants and does hereby irrevocably constitute and appoint
___________________________ Attorney-in-Fact, to transfer the same on the books of the Company with full power of substitution
in the premises.


 


	Dated:  	 	 
	 	 	 
	Signature:  	 	 
	 	(Signature must conform in all respects to the name of the	 
	 	Warrantholder as set forth on the face of this Warrant Certificate.)	 


 








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