THE REGISTERED HOLDER OF THIS UNIT PURCHASE OPTION BY ITS ACCEPTANCE
HEREOF, AGREES THAT IT WILL NOT SELL, TRANSFER OR ASSIGN THIS UNIT PURCHASE OPTION EXCEPT AS HEREIN PROVIDED AND THE REGISTERED
HOLDER OF THIS UNIT PURCHASE OPTION AGREES THAT IT WILL NOT SELL, TRANSFER, ASSIGN, PLEDGE OR HYPOTHECATE THIS UNIT PURCHASE OPTION,
OR SUBJECT THIS UNIT PURCHASE OPTION TO ANY HEDGING, SHORT SALE, DERIVATIVE, PUT, OR CALL TRANSACTION THAT WOULD RESULT IN THE
EFFECTIVE ECONOMIC DISPOSITION OF THE UNIT PURCHASE OPTION, FOR A PERIOD OF ONE HUNDRED EIGHTY (180) DAYS FOLLOWING THE EFFECTIVE
DATE (D EFINED BELOW) TO ANYONE OTHER THAN (I) DAWSON JAMES SECURITIES, INC. OR A PLACEMENT AGENT OR A SELECTED DEALER IN
CONNECTION WITH THE OFFERING, OR (II) A BONA FIDE OFFICER OR PARTNER OF DAWSON JAMES SECURITIES, INC. OR OF ANY SUCH PLACEMENT
AGENT OR SELECTED DEALER.


 


UNIT PURCHASE OPTION


 


FOR THE PURCHASE OF
[•] UNITS


 


OF USELL.COM, INC.


 


1.                  
Unit Purchase Option.


 


THIS CERTIFIES THAT, in consideration of
$100 duly paid by or on behalf of Dawson James Securities, Inc. (“Dawson” or “Holder”), as
registered owner of this Unit Purchase Option, to uSell.com, Inc. (the “Company”), Holder is entitled, at any
time or from time to time commencing on the 180th day after the effective date (the “Effective Date”)
of the registration statement (the “Registration Statement”) pursuant to which certain units are offered for
sale to the public (the “Offering”) (the “Commencement Date”), and at or before 5:00 p.m.,
Eastern Time, [•], 2019 (or five years from the effective date of the Registration Statement) (the “Expiration Date”),
but not thereafter, to subscribe for, purchase and receive, in whole or in part, up to [•] units (the “Units”)
of the Company, each Unit consisting of two shares of Company common stock, par value $0.0001 per share (the “Shares”),
and a warrant (the “Warrant(s)”) expiring five years from the Effective Date of the Registration Statement.
Each Warrant is the same as the warrants included in the Units being registered for sale to the public (the “Public Warrants”)
under the Securities Act of 1933, as amended (the “Act”). If the Expiration Date is a day on which banking institutions
are authorized by law to close, then this Unit Purchase Option may be exercised on the next succeeding day which is not such a
day in accordance with the terms herein. During the period ending on the Expiration Date, the Company agrees not to take any action
that would terminate the Unit Purchase Option. This Unit Purchase Option is initially exercisable at $[•] per Unit (or 125%
of the public offering price of the Units being sold in the Offering) so purchased; provided, however, that upon the occurrence
of any of the events specified in Section 5 hereof, the rights granted by this Unit Purchase Option, including the exercise
price per Unit and the number of Units (and Shares and Warrants) to be received upon such exercise, shall be adjusted as therein
specified. The term “Exercise Price” shall mean the initial exercise price or the adjusted exercise price, depending
on the context.  


 


2.                  
Exercise.


 


(a)                
Exercise Procedure. In order to exercise this Unit Purchase Option, the exercise form attached hereto must be duly executed
and completed and delivered to the Company, together with this Unit Purchase Option and payment of the Exercise Price for the Units
being purchased payable in cash or by certified check or official bank check. If the subscription rights represented hereby shall
not be exercised at or before 5:00 p.m., Eastern time, on the Expiration Date this Unit Purchase Option shall become and be
void without further force or effect, and all rights represented hereby shall cease and expire.


 


(b)                
Legend. If required by applicable law at the time of any exercise, each certificate for the securities purchased under this
Unit Purchase Option shall bear a legend as follows unless such securities have been registered under the Act:


 


 “The securities represented
by this certificate have not been registered under the Securities Act of 1933, as amended (the “Act”) or applicable
state law. The securities may not be offered for sale, sold or otherwise transferred except pursuant to an effective registration
statement under the Act, or pursuant to an exemption from registration under the Act and applicable state law.”


 








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(c)                
Cashless Exercise.


 


                                      
(i)                       
In lieu of the payment of the Exercise Price multiplied by the number of Units for which this Unit Purchase Option is exercisable
(and in lieu of being entitled to receive Shares and Warrants) in the manner required by Section 2(a), the Holder shall have
the right (but not the obligation) to convert any exercisable but unexercised portion of this Unit Purchase Option into Units (the
“Conversion Right”) as follows: upon exercise of the Conversion Right, the Company shall deliver to the Holder
(without payment by the Holder of any of the Exercise Price in cash) that number of Shares and Warrants comprising that number
of Units equal to the quotient obtained by dividing (x) the “Value” (as defined below) of the portion of the Unit
Purchase Option being converted by (y) the Current Market Value (as defined below). The “Value” of the portion
of the Unit Purchase Option being converted shall equal the remainder derived from subtracting (a) (i) the Exercise Price
multiplied by (ii) the number of Units underlying the portion of this Unit Purchase Option being converted from (b) the
Current Market Value of a Unit multiplied by the number of Units underlying the portion of the Unit Purchase Option being converted.
As used herein, the term “Current Market Value” per Unit at any date means the remainder derived from subtracting (x) the
exercise price of the Warrants multiplied by the number of shares of Shares issuable upon exercise of the Warrants underlying one
Unit from (y) the Current Market Price of the Shares multiplied by the number of shares of Shares underlying the Warrants
and the Shares issuable upon exercise of one Unit. The “Current Market Price” of a Share shall mean (i) if the
Shares are listed on a national securities exchange or quoted the OTC Bulletin Board (or any successor exchange or entity), the
closing or last sale price of the Shares in the principal trading market for the Shares as reported by the exchange or the OTC
Bulletin Board, as the case may be; (ii) if the Shares are not listed on a national securities exchange or quoted on the OTC
Bulletin Board, but is traded in the residual over-the-counter market, the closing bid price for the Shares on the last trading
day preceding the date in question for which such quotations are reported by the Pink Sheets, LLC or similar publisher of such
quotations; and (iii) if the fair market value of the Shares cannot be determined pursuant to clause (i) or (ii) above,
such price as the Board of Directors of the Company shall determine, in good faith.


 


                                      
(ii)                       
The Cashless Exercise Right may be exercised by the Holder on any business day on or after the Commencement Date and not later
than the Expiration Date by delivering the Unit Purchase Option with the duly executed exercise form attached hereto with the cashless
exercise section completed to the Company, exercising the Cashless Exercise Right and specifying the total number of Units the
Holder will purchase pursuant to such Cashless Exercise Right.


 


3.                  
Transfer.


 


(a)                
Restrictions—General. The registered Holder of this Unit Purchase Option, by its acceptance hereof, agrees that it
will not sell, transfer, assign, pledge or hypothecate this Unit Purchase Option, or subject this Unit Purchase Option to any
hedging, short sale, derivative, put, or call transaction that would result in the effective economic disposition of the Unit
Purchase Option, for a period of one hundred eighty (180) days following the Effective Date to anyone other than (i) Dawson
or a placement agent or a selected dealer in connection with the Offering, or (ii) a bona fide officer or partner of Dawson
or of any such placement agent or selected dealer. In order to make any permitted assignment, the Holder must deliver to the Company
the assignment form attached hereto duly executed and completed, together with the Unit Purchase Option and payment of all transfer
taxes, if any, payable in connection therewith. The Company shall within three business days transfer this Unit Purchase Option
on the books of the Company and shall execute and deliver a new Unit Purchase Option or Unit Purchase Options of like tenor to
the appropriate assignee(s) expressly evidencing the right to purchase the aggregate number of Units purchasable hereunder or
such portion of such number as shall be contemplated by any such assignment. 


 


(b)                
Restrictions—Securities. The securities evidenced by this Unit Purchase Option shall not be transferred unless and
until (i) the Company has received the opinion of counsel for the Company (at the Company’s expense) that the securities
may be transferred pursuant to an exemption from registration under the Act and applicable state securities laws, the availability
of which is established to the reasonable satisfaction of the Company, or (ii) a registration statement or a post-effective
amendment to the Registration Statement relating to such securities has been filed by the Company and declared effective by the
Securities and Exchange Commission (the “Commission”) and compliance with applicable state securities law has
been established.


 


4.                  
New Purchase Options to be Issued.


 


(a)                
Partial Exercise. Subject to the restrictions in Section 3 hereof, this Unit Purchase Option may be exercised or assigned
in whole or in part. In the event of the exercise or assignment hereof in part only, upon surrender of this Unit Purchase Option
for cancellation, together with the duly executed exercise or assignment form and funds sufficient to pay any Exercise Price, the
Company shall cause to be delivered to the Holder without charge a new Unit Purchase Option of like tenor to this Unit Purchase
Option in the name of the Holder evidencing the right of the Holder to purchase the number of Units purchasable hereunder as to
which this Unit Purchase Option has not been exercised or assigned.


 


(b)                
Loss, Theft, Destruction. Upon receipt by the Company of evidence satisfactory to it of the loss, theft, destruction or
mutilation of this Unit Purchase Option and of reasonably satisfactory indemnification or the posting of a bond, the Company shall
execute and deliver a new Unit Purchase Option of like tenor and date. Any such new Unit Purchase Option executed and delivered
as a result of such loss, theft, mutilation or destruction shall constitute a substitute contractual obligation on the part of
the Company.






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5.                  
Adjustments.


 


(a)                
Exercise Price and Number of Securities. The Exercise Price and the number of Units underlying the Unit Purchase Option
shall be subject to adjustment from time to time as hereinafter set forth:


 


                                      
(i)                       
If after the date hereof, and subject to the provisions of Section 5(c) below, the number of outstanding Shares is increased
by a stock dividend payable in Shares or by a split-up of Shares or other similar event, then, on the effective date thereof, the
number of Shares underlying each of the Units purchasable hereunder shall be increased in proportion to such increase in outstanding
shares. In such case, the number of Shares, and the exercise price applicable thereto, underlying the Warrants underlying each
of the Units purchasable hereunder shall be adjusted in accordance with the terms of the Warrants. For example, if the Company
declares a two-for-one stock dividend and at the time of such dividend this Unit Purchase Option is for the purchase of one Unit
at $10.00 per whole Unit (each Warrant underlying the Units is exercisable for $12.00 per share), upon effectiveness of the dividend,
this Unit Purchase Option will be adjusted to allow for the purchase of one Unit at $10.00 per Unit, each Unit entitling the holder
to receive two Shares and two Warrants (each Warrant exercisable for $6.00 per share).


 


                                      
(ii)                       
 If after the date hereof, and subject to the provisions of Section 5(c), the number of outstanding Shares is decreased
by a consolidation, combination or reclassification of the Shares or other similar event, then, on the effective date thereof,
the number of Shares underlying each of the Units purchasable hereunder shall be decreased in proportion to such decrease in outstanding
shares. In such case, the number of Shares, and the exercise price applicable thereto, issuable upon exercise of the Warrants included
in each of the Units purchasable hereunder shall be adjusted in accordance with the terms of the Warrants.


 


                                      
(iii)                       
In case of any reclassification or reorganization of the outstanding Shares other than a change covered by Section 5(a)(i)
or 5(a)(ii) hereof or that solely affects the par value of such Shares, or in the case of any merger or consolidation of the
Company with or into another corporation (other than a consolidation or merger in which the Company is the continuing corporation
and that does not result in any reclassification or reorganization of the outstanding Shares), or in the case of any sale or conveyance
to another corporation or entity of the property of the Company as an entirety or substantially as an entirety in connection with
which the Company is dissolved, the Holder of this Unit Purchase Option shall have the right thereafter (until the expiration of
the right of exercise of this Unit Purchase Option) to receive upon the exercise hereof, for the same aggregate Exercise Price
payable hereunder immediately prior to such event, the kind and amount of shares of stock or other securities or property (including
cash) receivable upon such reclassification, reorganization, merger or consolidation, or upon a dissolution following any such
sale or transfer, by a Holder of the number of Shares of the Company obtainable upon exercise of this Unit Purchase Option and
the underlying Warrants immediately prior to such event; and if any reclassification also results in a change in Shares covered
by Section 5(a)(i) or 5(a)(ii), then such adjustment shall be made pursuant to Sections 5(a)(i) or 5(a)(ii) and this
Section 5(a)(iii). The provisions of this Section 5(a)(iii) shall similarly apply to successive reclassifications, reorganizations,
mergers or consolidations, sales or other transfers.


 


                                      
(iv)                       
This form of Unit Purchase Option need not be changed because of any change pursuant to this Section 5, and Unit Purchase Options
issued after such change may state the same Exercise Price and the same number of Units as are stated in the Unit Purchase Options
initially issued pursuant to this Agreement. The acceptance by any Holder of the issuance of new Unit Purchase Options reflecting
a required or permissive change shall not be deemed to waive any rights to an adjustment occurring after the Commencement Date
or the computation thereof.


 


(b)                
Substitute Unit Purchase Option. In case of any consolidation of the Company with, or merger of the Company with, or merger
of the Company into, another corporation (other than a consolidation or merger which does not result in any reclassification or
change of the outstanding Shares), the corporation formed by such consolidation or merger shall execute and deliver to the Holder
a supplemental Unit Purchase Option providing that the holder of each Unit Purchase Option then outstanding or to be outstanding
shall have the right thereafter (until the stated expiration of such Unit Purchase Option) to receive, upon exercise of such Unit
Purchase Option, the kind and amount of shares of stock and other securities and property receivable upon such consolidation or
merger, by a holder of the number of Shares of the Company for which such Unit Purchase Option might have been exercised immediately
prior to such consolidation, merger, sale or transfer. Such supplemental Unit Purchase Option shall provide for adjustments which
shall be identical to the adjustments provided in this Section 5. The above provision of this Section 5 shall similarly apply
to successive consolidations or mergers.


 


(c)                
Fractional Interests. The Company shall not be required to issue certificates representing fractions of Shares or Warrants
upon the exercise of the Unit Purchase Option, nor shall it be required to issue scrip or pay cash in lieu of any fractional interests,
it being the intent of the parties that all fractional interests shall be eliminated by rounding any fraction up to the nearest
whole number of Warrants, Shares or other securities, properties or rights.






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6.                  
Reservation and Listing. The Company shall at all times reserve and keep available out of its authorized Shares,
solely for the purpose of issuance upon exercise of the Unit Purchase Option or the Warrants underlying the Unit Purchase Option,
such number of Shares or other securities, properties or rights as shall be issuable upon the exercise thereof. The Company covenants
and agrees that, upon exercise of the Unit Purchase Option and payment of the Exercise Price therefor, all Shares and other securities
issuable upon such exercise shall be duly and validly issued, fully paid and non-assessable and not subject to preemptive rights
of any stockholder. The Company further covenants and agrees that upon exercise of the Warrants underlying the Unit Purchase Option
and payment of the respective Warrant exercise price therefor, all Shares and other securities issuable upon such exercise shall
be duly and validly issued, fully paid and non-assessable and not subject to preemptive rights of any stockholder. As long as the
Unit Purchase Option shall be outstanding, the Company shall use its best efforts to cause all (i) Units and Shares issuable
upon exercise of the Unit Purchase Option, (iii) Warrants issuable upon exercise of the Unit Purchase Option and (iv) 
Shares issuable upon exercise of the Warrants included in the Units issuable upon exercise of the Unit Purchase Option to be listed
(subject to official notice of issuance) on all securities exchanges (or, if applicable on the OTC Bulletin Board or any successor
trading market) on which the Shares issued to the public in connection with the Offering may then be listed and/or quoted.


 


7.                  
Certain Notice Requirements. 


 


(a)                
Right to Notice. Nothing herein shall be construed as conferring upon the Holders the right to vote or consent as a stockholder
for the election of directors or any other matter, or as having any rights whatsoever as a stockholder of the Company. If, however,
at any time prior to the expiration of the Unit Purchase Option and their exercise, any of the events described in Section 7(b)
shall occur, then, in one or more of said events, the Company shall give written notice of such event at least fifteen days prior
to the date fixed as a record date or the date of closing the transfer books for the determination of the stockholders entitled
to such dividend, distribution, conversion or exchange of securities or subscription rights, or entitled to vote on such proposed
dissolution, liquidation, winding up or sale. Such notice shall specify such record date or the date of the closing of the transfer
books, as the case may be. Notwithstanding the foregoing, the Company shall deliver to each Holder a copy of each notice given
to the other stockholders of the Company at the same time and in the same manner that such notice is given to the stockholders.


 


(b)                
Enumerated Events. The Company shall be required to give the notice described in this Section 7 upon one or more of
the following events: (i) if the Company shall take a record of the holders of its Shares for the purpose of entitling them
to receive a dividend or distribution payable otherwise than in cash, or a cash dividend or distribution payable otherwise than
out of retained earnings, as indicated by the accounting treatment of such dividend or distribution on the books of the Company,
or (ii) the Company shall offer to all the holders of its Shares any additional shares of capital stock of the Company or
securities convertible into or exchangeable for shares of capital stock of the Company, or any option, right or warrant to subscribe
therefor, or (iii) a dissolution, liquidation or winding up of the Company (other than in connection with a consolidation
or merger) or a sale of all or substantially all of its property, assets and business shall be proposed.


 


(c)                
Change in Exercise Price. The Company shall, promptly after an event requiring a change in the Exercise Price pursuant to
Section 5 hereof, send notice to the Holders of such event and change (the “Price Notice”). The Price Notice
shall describe the event causing the change and the method of calculating same and shall be certified as being true and accurate
by the Company’s President and Chief Financial Officer.


 


(d)                
Notice Delivery. All notices, requests, consents and other communications under this Unit Purchase Option shall be in writing
and shall be deemed to have been duly made when hand delivered, or mailed by express mail or private courier service: (i) If
to the registered Holder of the Unit Purchase Option, to the address of such Holder as shown on the books of the Company, or (ii) If
to the Company, to the following address or to such other address as the Company may designate by notice to the Holders:


 


uSell.com, Inc.


33 E. 33rd Street, Suite 1101


New York, New York 10016


Attn:    Chief Executive
Officer 


 








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8.                  
Miscellaneous. 


 


(a)                
Amendments. The Company and Dawson may from time to time supplement or amend this Unit Purchase Option without the approval
of any of the Holders in order to cure any ambiguity, to correct or supplement any provision contained herein that may be defective
or inconsistent with any other provisions herein, or to make any other provisions in regard to matters or questions arising hereunder
that the Company and Dawson may deem necessary or desirable and that the Company and Dawson deem shall not adversely affect the
interest of the Holders. All other modifications or amendments shall require the written consent of and be signed by the party
against whom enforcement of the modification or amendment is sought.


 


(b)                
Headings. The headings contained herein are for the sole purpose of convenience of reference, and shall not in any way limit
or affect the meaning or interpretation of any of the terms or provisions of this Unit Purchase Option.


 


(c)                
Entire Agreement. This Unit Purchase Option (together with the other agreements and documents being delivered pursuant to
or in connection with this Unit Purchase Option) constitutes the entire agreement of the parties hereto with respect to the subject
matter hereof, and supersedes all prior agreements and understandings of the parties, oral and written, with respect to the subject
matter hereof.


 


(d)                
Binding Effect. This Unit Purchase Option shall inure solely to the benefit of, and shall be binding upon, the Holder and
the Company and their permitted assignees, respective successors, legal representative and assigns, and no other person shall have
or be construed to have any legal or equitable right, remedy or claim under or in respect of or by virtue of this Unit Purchase
Option or any provisions herein contained.


 


(e)                
Governing Law. This Unit Purchase Option shall be governed by and construed and enforced in accordance with the laws of
the State of New York, without giving effect to conflict of laws. The Company hereby agrees that any action, proceeding or claim
against it arising out of, or relating in any way to this Unit Purchase Option shall be brought and enforced in the courts of the
State of New York or of the United States of America for the Southern District of New York, and irrevocably submits to such jurisdiction,
which jurisdiction shall be exclusive. The Company hereby waives any objection to such exclusive jurisdiction and that such courts
represent an inconvenient forum. Any process or summons to be served upon the Company may be served by transmitting a copy thereof
by registered or certified mail, return receipt requested, postage prepaid, addressed to it at the address set forth in Section 7
hereof. Such mailing shall be deemed personal service and shall be legal and binding upon the Company in any action, proceeding
or claim. The Company and the Holder agree that the prevailing party(ies) in any such action shall be entitled to recover from
the other party(ies) all of its reasonable attorneys’ fees and expenses relating to such action or proceeding and/or incurred
in connection with the preparation therefor.


 


(f)                 
Waivers. The failure of the Company or the Holder to at any time enforce any of the provisions of this Unit Purchase Option
shall not be deemed or construed to be a waiver of any such provision, nor to in any way affect the validity of this Unit Purchase
Option or any provision hereof or the right of the Company or any Holder to thereafter enforce each and every provision of this
Unit Purchase Option. No waiver of any breach, non-compliance or non-fulfillment of any of the provisions of this Unit Purchase
Option shall be effective unless set forth in a written instrument executed by the party or parties against whom or which enforcement
of such waiver is sought; and no waiver of any such breach, non-compliance or non-fulfillment shall be construed or deemed to be
a waiver of any other or subsequent breach, non-compliance or non-fulfillment.


 


(g)                
Counterparts. This Unit Purchase Option may be executed in one or more counterparts, and by the different parties hereto
in separate counterparts, each of which shall be deemed to be an original, but all of which taken together shall constitute one
and the same agreement, and shall become effective when one or more counterparts has been signed by each of the parties hereto
and delivered to each of the other parties hereto.


 


(h)                
Exchange Agreement. As a condition of the Holder’s receipt and acceptance of this Unit Purchase Option, Holder agrees
that, at any time prior to the complete exercise of this Unit Purchase Option by Holder, if the Company and Dawson enter into an
agreement (the “Exchange Agreement”) pursuant to which they agree that all outstanding Unit Purchase Options
will be exchanged for securities or cash or a combination of both, then Holder shall agree to such exchange and become a party
to the Exchange Agreement.


 


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IN WITNESS WHEREOF, the Company has caused
this Unit Purchase Option to be signed by its duly authorized officer as of the         
day of                 , 2014.


 


	 	uSell.com, Inc.	 
	 	 	 	 
	 	By:	 	 
	 	Name:	 	 
	 	Title:	 	 


 


 






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Form To Be Used
To Exercise Unit Purchase Option


 


uSell.com, Inc.


33 E. 33rd Street, Suite
1101


New York, New York 10016


Attn: Chief Executive Officer


 


Date:                         ,
201


 


The undersigned hereby elects irrevocably
to exercise all or a portion of the within Unit Purchase Option and to purchase                 
Units of uSell.com, Inc. and hereby makes payment of $                
(at the rate of $                 per Unit) in
payment of the Exercise Price pursuant thereto. Please issue the Shares and Warrants as to which this Unit Purchase Option is exercised
in accordance with the instructions given below.


 or


 The undersigned hereby elects irrevocably
to convert its right to purchase                 
Units purchasable under the within Unit Purchase Option by surrender of the unexercised portion of the attached Unit Purchase Option
(with a “Value” based of $                
based on a “Market Price” of $                ).
Please issue the securities comprising the Units as to which this Unit Purchase Option is exercised in accordance with the instructions
given below.


 


	 	 
	 	 
	 	 
	 	Signature
	 	 
	 	 
	 	 


 


INSTRUCTIONS FOR REGISTRATION
OF SECURITIES


 


	 	 	 	 
	 	 	 
	Name:	 	 	 
	 	 	(Print in Block Letters)	 
	 	 	 
	Address:	 	 	 


 








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Form To Be Used
To Assign Unit Purchase Option


 


ASSIGNMENT 


 


(To be executed by the
registered Holder to effect a transfer of the within Unit Purchase Option)


 


FOR VALUE RECEIVED,                
does hereby sell, assign and transfer unto                 
the right to purchase                  Units of
uSell.com, Inc. (the “Company”) evidenced by the within Unit Purchase Option and does hereby authorize the Company
to transfer such right on the books of the Company.


 


Dated:                        ,
201


 


	 	 
	 	 
	 	 
	 	Signature
	 	 
	 	 
	 	 


 


 






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