Document:

Exhibit 10.2

  

  

  

  
    
      USA Technologies, Inc.

      100 Deerfield Lane, Suite 300

      Malvern, PA 19355

    

    
      

      

      March 22, 2019

      

      

    

    
      Mr. Michael K. Lawlor

      131 Lisa Drive

      Paoli, PA 19031

      

      

    

    
      
        	 	
                Re:

              	
                Separation Agreement, General Release and Consulting Services Agreement

              

      

      

      

    

    
      Dear Mike:

      

      

    

    
      This letter agreement sets forth the terms of your separation of employment from USA Technologies, Inc. (the “Company"), effective  March 22, 2019 (the
          “Separation Date”), and the scope of consulting services to be provided by you to the Company (the “Consulting Services”). Provided that you sign this Separation Agreement, General Release and Consulting Services Agreement (“the Agreement”),
          regardless whether you revoke it, the Company considers you to have terminated your employment with the Company and you will be paid your wages through the Separation Date in the next regular payday after today.

      

      

    

    
      The terms and conditions of your separation from employment are as follows:

      

      

    

    
      
        
          	1.	
                  Termination of Employment. You agree that your separation shall be effective as
                      of the Separation Date and, as of such date, you shall voluntarily resign from and cease to be employed by the Company and each and every subsidiary or affiliate of the Company in all capacities. You have executed and delivered to the
                      Company the Resignation Letter annexed hereto as Exhibit “A” to the Agreement.

                

        

      

      

      

      
        
          	2.	
                  Payments. In consideration for your general release set forth below in Paragraph
                      7 and the terms of the Agreement, the Company agrees to make the following payments to you:

                

        

      

      

      

    

    
      a.          Payout of  Wages and Fiscal Year 2019 LTI and STI. Upon the expiration of the revocation period described in Paragraph 27, the Company will pay to you the following amounts payable in
          equal monthly payments through December 2019: (i) payment of your current base salary through December 31, 2019; (ii) a cash payment equal to the value of your prorated Fiscal Year 2019 Long-Term Stock Incentive Plan bonus (“2019 LTI”)
          ($183,000); and (iii) a cash payment of your prorated Fiscal Year 2019 Short-Term Incentive Plan bonus (“2019 STI”) ($73,000). These payments will be made less withholding of taxes and other deductions required by law. Should you not sign the
          Agreement within sufficient time (including the revocation period provided for in Paragraph 27) for the Company to make the first payment by March 31, 2019, then the first monthly payment will be made to you as soon as practicable following the
          revocation period provided for in Paragraph 27.

       

        

      
        
          

        Page 2

      

       

    
      
        
          Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

          

          

        

      

       
      b.         COBRA. If you timely elect continued group medical and dental coverage pursuant to the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”), the Company will
          pay the COBRA premium directly or reimburse you through September 2020 for both the employer and employee portions of the COBRA premium payments for you and your eligible dependents under the Company’s group medical and dental insurance plans.
          However, you will discontinue the COBRA coverage if you become employed with another employer who provides comparable health and dental coverage.

       

        

      c.          Stock Option Award.  In full payment and in exchange for the Incentive Stock Option Agreements dated April 8, 2015 and January 12, 2016 (the “Stock Option Agreements”), which provide
          for options to purchase up to 100,000 shares of common stock of the Company, the Company will pay you One Hundred Nineteen Thousand  Seven Hundred Fifty Dollars ($119,750) (the “Option Cancellation Payment”) within sixty (60) days following the
          Separation Date. In exchange for the Option Cancellation Payment, you agree that you shall have no further rights whatsoever under the Stock Option Agreements and shall acknowledge the same upon request of the Company. The Option Cancellation
          Payment is based on the closing price of the shares on March 4, 2019 of $4.09 per share and represents the net value of the Stock Option Awards as of such date. The Stock Option Agreements provide that you are required to exercise those options
          within ninety (90) days of the Separation Date. You acknowledge that because the Company is not current in its periodic filings under Section 13 of the Securities Exchange Act of 1934, you would not be able to exercise these options until the
          Company would become compliant with its obligations thereunder and eligible to use a Form S-8 registration statement under the Securities Act of 1933.

       

        

      d.          Fiscal Year 2017 LTI. On June 30, 2019, and regardless of your not being employed by the Company on such date, the remaining tranche of 14,376 shares of common stock previously issued
          to you under the Fiscal Year 2017 Long Term Stock Incentive Plan (the “2017 LTI  Stock Plan”) and which are currently being held in escrow would become vested. The shares shall nevertheless continue to be held in escrow and shall be subject to
          cancellation as provided in subparagraph e.(iii) below. The shares shall be delivered to you by the Company promptly after it is determined by the Company that such shares shall not be canceled pursuant to subparagraph e.(iii) below.

       

        

      e.          Fiscal Year 2018 STI and LTI.

      

      

    

    
      i.          Subject to the terms of the
          Company’s Fiscal Year 2018 Long-Term Stock Incentive Plan (the “2018 LTI Stock Plan”), and subject to Sub-paragraph iii hereof, the Company will issue to you the number of shares of common stock which may be earned by you under the 2018 LTI Stock
          Plan. Any and all stock awards to be issued to you under the 2018 LTI Stock Plan would be issued to you subject to the same conditions (except requirements of continued employment) as any stock awards to be issued to the other executive officers
          pursuant to the 2018 LTI Stock Plan, except that all  shares to be awarded to you under the 2018 LTI Stock Plan shall be fully vested and issued to you at the time that the first installment of shares is issued to the other executive officers.

    

    

    

    
      
        

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        Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

      

       

      
      ii.         Subject to the terms of the
          Company’s Fiscal Year 2018 Short-Term Cash Incentive Plan (the “2018 STI Plan”), except requirements of continued employment, if any,  and subject to Sub-paragraph iii hereof,
          the Company will pay to you the cash bonus which may be earned by you under the 2018 STI Plan. The bonus would be paid to you at the same time as the bonus would be paid to the other executive officers pursuant to the 2018 STI Plan.

    

    
      

      

    

    
      iii.        Notwithstanding the foregoing,
          the stock and cash bonuses to be earned by you under the 2018 STI Plan and the 2018 LTI Stock Plan shall be reduced by any overpayment of the $38,891 cash bonus received by you under the 2017 Short Term Incentive Bonus Plan and the 43,128 shares
          of  stock with a value of $224,265 (determined as of June 30, 2017) awarded to you under the 2017 LTI Stock Plan as well as any other overpayment whatsoever that you may have previously received under any other incentive compensation plan of the
          Company due to, as a result of, or related to the findings of the Audit Committee’s internal investigation (the “Overpayment”). If the stock and cash bonuses to be earned by you under the 2018 STI Plan and the 2018 LTI Stock Plan would not be
          sufficient for the Company to recover the Overpayment from you, then the Company shall be entitled to cancel the appropriate number of shares which would otherwise be delivered to you pursuant to subparagraph d. hereof. For purposes of any such
          cancelation, the shares shall be valued at the closing price of the shares on the vesting date of June 30, 2019. The Company shall provide to you a calculation of the Overpayment.

    

    
      

      

    

    
      Except for the payments, benefits and stock listed in this Paragraph 2, and as otherwise set forth elsewhere in this Agreement, you
          acknowledge that you are not entitled to any other payments, benefits, stock or compensation in any form from the Company, including but not limited to, any payments, benefits, stock and compensation pursuant to your Employment Agreement with the
          Company dated June 7, 2010 or the First or Second Amendment thereto (hereinafter collectively “Employment Agreement”).

      

      

    

    
      
        
          	3.	
                  Consulting Services. You will provide Consulting Services to the Company for a period of six (6) months after the Separation Date, i.e. ending September 22, 2019, provided you adequately perform these services. The scope of the Consulting
                        Services is to assist the Company with the transition of major industry contracts and establishment of hub office locations. You will be under the direction and supervision of the Company‘s Chief Operating Officer or in his or her
                        absence, another designee of the Company. You will be paid One Hundred Fifty Thousand Dollars ($150,000) for your Consulting Services, to be paid in six (6) equal monthly installments of Twenty-five Thousand Dollars ($25,000), to be
                        paid on or before the last day of each month starting with March 2019. However, if the revocation period provided for in Paragraph 27 has not passed by March 31, 2019, then the Company will make the first monthly payment provided
                        for in this paragraph as soon as practicable after the expiration of the revocation period. You will provide forty (40) hours per week of your time to the Company for Consulting Services during this six (6) month period. During this
                        six month consulting period, you will be an independent contractor to the Company and you are not entitled to any benefits other than what is otherwise provided for in the Agreement. Provided the Company pre-authorizes reasonable
                        and necessary expenses (such as travel, hotel, etc.) related to the performance of these services which you incur on behalf of the Company, you shall be entitled to reimbursement, upon receipt by the Company of suitable
                        documentation, for these expenses. During the Consulting Period, you would be permitted to work for others, provided that you provide advance notice thereof to
                        the Company, and provided that such work does not interfere with your performance of the Consulting Services, and provided that any such work shall be expressly subject to the restrictions and other terms of this Agreement,
                        including those set forth in Paragraph 6 hereof.

                

        

      

      

      

    

    
      
        

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              Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

            

            

          

          	4.	
                  No Other Payments, Benefits or Stock.  After the Separation Date, you have
                      relinquished any right to receive, and you will not receive, any attorney’s fees, base salary, annual or other bonus, any further Company stock, life insurance coverage, long-term disability coverage, supplemental disability coverage,
                      automobile allowance, 401(k) plan contributions or paid vacation and holidays compensation.  The only payments, benefits and stock you shall receive from the Company are those set forth in Paragraphs 2 and 3.

                

        

      

      

      

      
        
          	5.	
                  Tax Obligations.  You have agreed that the Company may deduct from the payments
                      to be made to you pursuant to Paragraphs 2 and 3 any and all required income and payroll taxes which it has customarily withheld from you prior to the Separation Date. Any and all income and payroll tax withholding obligations of the
                      Company in connection with the shares of the Company’s common stock to be issued or delivered to you pursuant to the Agreement shall be paid by you either through cancellation of the appropriate amounts of the shares of the Company’s
                      common stock or your cash payment to the Company at the time of and as a condition to the issuance or delivery of any such shares by the Company.

                

        

      

      

      

      
        
          	6.	
                  Continuing Obligations and Extension of Certain Terms of your Employment Agreement.
                      You agree to be bound by the Company’s Code of Business Conduct and Ethics, and Blackout Period and Notification Policy, all of which shall remain in full force and effect as to you subsequent to the Separation Date. You agree to
                      continue to be bound by the provisions in Sections 5, 6 and 7 of the Employment Agreement (Business Secrets and Non-Solicitation, Restrictive Covenant, and Remedies). In consideration for the Company’s undertaking set forth above in
                      Paragraphs 2 and 3, you agree, intending to be legally bound, to extend the restrictions of Sections 5(b) and (e) and Section 6 of the Employment Agreement, and you agree to be bound by Sections 5(b) and (e) and Section 6 in the
                      Employment Agreement, for eighteen (18) months from the Separation Date. Except to the extent expressly preserved herein, the provisions of the Employment Agreement are no longer binding on the Company and are hereby deemed null and
                      void subsequent to the date hereof.

                

        

      

      

      

      
        
          
            	7.	
                    Mutual Release.

                  

          

        

        

        

        
          
            

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          Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

        

        

        

      a.          By You.  In consideration for the Company's undertaking set forth above in Paragraphs 2 and 3, you agree, intending to be legally bound, to voluntarily and forever release and
          discharge each of the Company, as well as its respective officers, employees, and agents, and their respective subsidiaries, heirs, personal representatives, successors and assigns (collectively "Releasees"), jointly and severally, from any and
          all actions, charges, causes of action or claims of any kind (collectively "Claims"), known or unknown, which you, your heirs, agents, successors or assigns ever had, now have or hereafter may have against Releasees (or any of them) arising at
          any time heretofore out of any matter, occurrence or event existing or occurring prior to the execution hereof, including, without limitation:

      

      

    

    
      i. any and all claims related in any way to your employment with the Company and the termination of your employment
          with the Company;

      

      

      ii. any and all rights, interests, and claims under the Company’s policies, procedures, manuals and handbooks;

      

      

      iii. any and all claims for wages and benefits (including without limitation salary, vacation pay, severance pay,
          expenses, incentive pay, disability pay, pay differential, pay continuation, health and welfare benefits and bonuses);

      

      

      iv. any and all claims under state, federal or municipal or local law, including but not limited to the
          Pennsylvania Wage Payment and Collection Law, the Pennsylvania Wage and Hour Law, the U.S. Fair Labor Standards Act, the Federal Equal Pay Act, the Uniform Services Employment and Reemployment Rights Act, the National Labor Relations Act, the
          Consolidated Omnibus Budget Reconciliation Act of 1985, and all claims for retaliation thereunder;

      

      

      v. any and all claims for alleged discrimination or harassment on the basis of age, race, religion, sex, national
          origin, color, creed, citizenship, sexual orientation and/or disability, in violation of any federal, state or local statute, ordinance, judicial precedent or executive order, including but not limited to claims under common law, the Age
          Discrimination in Employment Act, as amended, the Older Workers Benefit Protection Act, Title VII of the U.S. Civil Rights Act of 1964, the U.S. Civil Rights Act of 1991, the U.S. Americans with Disabilities Act, the Pennsylvania Human Relations
          Act, the Uniform Services Employment and Reemployment Rights Act,  the National Labor Relations Act, and all claims for retaliation thereunder;

      

      

      vi. any and all claims under any federal or state statute relating to employee benefits or pensions, including, but
          not limited to, claims under the Employee Retirement Income Security Act of 1974 (“ERISA”);

      

      

      vii. any and all claims under the Family and Medical Leave Act of 1993, as amended, and/or any other similar state
          or local laws;

      

      

      viii. any and all claims under the Worker Adjustment and Retraining Notification Act and/or any other similar state
          or local laws;

      

      

      
        
          

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          Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

        

        

      

    

    
      ix. any and all claims for breach of contract;

      

      

      x. any and all claims in tort (including, but not limited to, any claims for defamation; libel; slander;
          misrepresentation; invasion of privacy; intentional or negligent infliction of emotional distress; assault and battery; negligent hiring, retention, and/or supervision; interference with contract or prospective economic advantage; wrongful
          termination or constructive discharge; breach of covenant of good faith and fair dealing; fraud; promissory or equitable estoppel; violation of public policy; unfair dismissal; or any other common law claim now or hereafter recognized);

      

      

      xi. any and all claims for equitable relief, including reinstatement or injunctive relief;

      

      

      xii. any and all claims for any type of damages, including but not limited to back pay, front pay, compensatory
          damages and punitive damages; and

      

      

      xiii. any and all claims for attorney’s fees and costs.

      

      

    

    
      Notwithstanding the foregoing, nothing contained in the Agreement shall be deemed to release, acquit or discharge any of the Releasees
          from: (a) any claims which cannot be released, acquitted, or discharged as a matter of law; (b) any claims to enforce the Agreement; (c) any claims to rights of defense, indemnification, or coverage under the Company’s directors and officers
          liability insurance or Company rights of indemnification or claims of contribution or advancement of expenses; or (d) any future conduct.

      

      

    

    
      b.          By the Company.   In consideration for your releases and other undertakings set forth herein, the Company agrees,
            intending to be legally bound, to voluntarily and forever release and discharge you from any and all Claims, known or unknown, which the Company, and its directors, agents, successors or assigns ever had, now have or hereafter may have against
            you arising at any time heretofore out of any matter, occurrence or event existing or occurring prior to the execution hereof. Provided, however, notwithstanding anything contained herein to the contrary, such release shall not release or
            otherwise diminish any Claims, known or unknown, of any kind or nature whatsoever that the Company or any other person or entity may have: (a) arising under the Agreement; (b) arising out of any future conduct; (c) which cannot be
          released, acquitted, or discharged as a matter of law; (d) in connection with any derivative action which may be brought on behalf of the Company under applicable law;  (e) in connection with, related to, identified in, or referred to in any
          report, recommendation or finding whatsoever made by the Special Litigation Committee of the Board of Directors of the Company (described in the Form 12b-25 filed by the Company with the Securities and Exchange Commission (the “SEC”) on  February
          11, 2019), or made by any other special litigation committee appointed by the Board of Directors of the Company in connection with or related to any demand made by a shareholder of the Company, or that any special litigation committee may
          recommend be brought against you; or (f) to recover the Overpayment.

      

      

    

    
      
        

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          Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

        

      

    

    
      

      

    

    
      
        
          	8.	
                  Wage Claims. You represent that, as of the effective date of the Agreement, you
                      are not aware of any facts or circumstances on which a claim under an applicable workers’ compensation act, the Fair Labor Standards Act, or any other similar state or local statute providing for fees in wage actions, or under
                      applicable state minimum wage or wage payment laws, could be brought against the Company or any of the Releasees.  You acknowledge that, upon receipt of the payment of your regular wages from the date of the last Company payroll
                      thorough the Separation Date,  you have been paid all wages due for hours actually worked.  You acknowledge that there are no other monies due or owing to you as of the date of the Agreement, and that you will not seek any further
                      compensation from the Company or the Releasees.

                

        

      

      

      

      
        
          	9.	
                  FMLA. You represent that, as of the effective date of the Agreement, you have
                      received all leave under the Family Medical Leave Act, as amended (“FMLA”), and any other similar state or local statute, to which you believe you are entitled, and you are not aware of any facts on which a claim under the FMLA could
                      be brought against the Company or any of the Releasees.

                

        

      

      

      

      
        
          	10.	
                  Return of Company Property. As a condition precedent to the execution of the
                      Agreement, except to the extent needed to perform the services set forth in Paragraph 3 above, you agree that you have returned to the Company all of its property either issued to you or now in your possession, including but not
                      limited to, any Company credit cards, pagers and keys and access cards to the Company’s office, and shall immediately surrender to the Company any and all materials, documents, software, manuals or other records, in your possession or
                      control, which include or contain any confidential information of or concerning the business or policies of the Company, and you will not retain or use any copies or summaries thereof (collectively “Company Property”). Upon completion
                      of the services set forth in Paragraph 3 above, you agree to return any and all remaining Company Property in your possession, except for the actual phone number associated with the Company phone you will be returning to the Company,
                      which mobile number (610-212-4476) the Company agrees it will transfer to you.

                

        

      

      
        
          	11.	
                  Future Actions:

                

        

      

      

      

    

    
      a.          Subject to the provisions of
          Paragraph 25 below, from and after the date hereof, you agree not to take any actions which are specifically intended to damage the business interests of the Company, or which reflect negatively on the Company, or their respective employees,
          directors, shareholders or agents, or use documents or other data obtained while in the employ of the Company, in a manner that interferes with or damages the Company’s reputation, purpose or employee relations.

      

      

      
        
          

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              Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

            

          

        

      

      

    

    
      b.          Subject to the provisions of
          Paragraph 25 below, you agree that you will not express, orally or in writing, any disparaging or unfavorable remarks, comments or criticisms with regard to the Company and/or each of its respective directors, officers, executives, shareholders,
          management, employees, agents, and representatives concerning any action taken or statement made by any of them prior to the date of the Agreement. You further agree that you will refrain from engaging in any publicity or any other activity that
          damages or impairs, or could damage or impair, the business, goodwill or reputation of the Company and each of its respective directors, officers, executives, shareholders, management, employees, agents, or representatives concerning any action
          taken or statement made by any of them prior to the date of the Agreement. Your obligations under this sub-paragraph shall not apply to and nothing in this sub-paragraph shall restrict you from making, expressing, releasing, or encouraging any
          such statements in: (i) any legal action, claim, or proceeding, including but not limited to, any arbitration, audit, hearing, investigation, litigation or suit (whether civil, criminal, administrative, judicial or investigative, whether formal
          or informal, whether public or private) commenced, brought, conducted, or heard by or before, or otherwise involving, any federal, state or local court or governmental agency, department, board, body or arbitrator, or similar panel or body, (ii)
          any Special Litigation Committee for the Company; or (iii) compliance with or observance of any rule, law, regulation, decree, or order.

       

        

      c.          Subject to the
          provisions of Paragraph 25 below, you covenant and agree that you shall not unlawfully (i) disrupt or (ii) interfere with the Company’s existing or prospective business relationships.

    

    
      

      

      d.         From and after the date
          hereof, the Company agrees that it will not express, orally or in writing, any disparaging or unfavorable remarks, comments or criticisms with regard to you concerning any action taken or statement made by you prior to the date of the Agreement. 
          The Company further agrees that it will refrain from engaging in any publicity or any other activity that damages or impairs, or could damage or impair, your business, goodwill or reputation concerning any action taken or statement made by you
          prior to the date of the Agreement. However, nothing precludes the Company from making statements about you in connection with: (i) any legal action, claim, or proceeding, including but not limited to, any arbitration, audit, hearing,
          investigation, litigation or suit (whether civil, criminal, administrative, judicial or investigative, whether formal or informal, whether public or private) commenced, brought, conducted, or heard by or before, or otherwise involving, any
          federal, state or local court or governmental agency, department, board, body or arbitrator, or similar panel or body;  (ii) any special litigation committee  that is appointed by the Board of Directors of the Company; (iii) any internal
          investigation that is commenced or conducted by the Company or by its Board of Directors or by any committee thereof; or (iv) compliance with or observance of any rule, law, regulation, decree, or order. For purposes of this Sub-paragraph 11(d),
          the Company shall refer to the executive officers of the Company.

      

      

    

    
      
        

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                  Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

                

              

            

          

           

          

          	12.	
                  Cooperation.  On and after the Separation Date, you agree that you will
                      reasonably cooperate with the Company,: (a) concerning requests for information about the business of the Company or its subsidiaries or affiliates or your involvement and participation therein; (b) in connection with any
                      investigation or review by the Company or any federal, state or local regulatory, quasi-regulatory or self-governing authority, as any such investigation or review relates to events or occurrences that transpired while you were
                      employed by the Company; (c) with respect to transition and succession matters; and (d) with respect to any threatened or pending litigation against or involving
                      the Company and/or its Officers and Directors, including making yourself available for interviews with attorneys and for depositions, searching for, identifying and producing documents, electronic media and information, providing
                      truthful testimony as a witness or in affidavits and participating in legal discovery at the request of the Company or its attorneys without the necessity of subpoenas or formal legal process. Your cooperation shall also include, but
                      not be limited to, being available to meet and speak with officers or employees of the Company and/or the Company’s counsel at reasonable times and locations, executing accurate and truthful documents and taking such other actions as
                      may reasonably be requested by the Company and/or the Company’s counsel to effectuate the foregoing.  You shall be entitled to reimbursement, upon receipt by the Company of suitable documentation, for reasonable and necessary travel
                      expenses, but not attorneys fees, which you may incur at the specific request of the Company and as approved by the Company in advance and in accordance with its policies and procedures established from time to time.

                

           

          

        

      

      
        
          	13.	
                  Standstill Agreement.  You will not do any of the following, directly or
                      indirectly, without the prior written consent of the Company’s Board of Directors (“the Board”) for a period commencing on the Separation Date hereof and for two (2) years thereafter:

                

        

      

      

      

    

    
      a.          acquire or seek to acquire, in
          the aggregate, more than ten percent (10%) of the then outstanding shares of either the common stock or preferred stock (the “Voting Securities”) of the Company;

      

      

      b.          solicit proxies (or written
          consents), become a “participant” in a “solicitation,” as such terms are defined in Instruction 3 of Item 4 of Schedule 14A and Rule 14a-1 of Regulation 14A, respectively, under the Securities Exchange Act of 1934 (the “Exchange Act”) or join in
          or participate in any “group” (within the meaning of Section 13(d)(3) of the Exchange Act) soliciting proxies (or written consents) in each case with respect to any Voting Securities of the Company in opposition to the recommendation or proposal
          of the Board with respect to (i) the election of directors to the Board, (ii) any Section 14a-8 shareholder proposals to be voted on at an annual or special meeting of shareholders, or (iii) the amendment of any provision of the Company’s
          Articles of Incorporation or By-laws;

      

      

      c.          nominate persons for election to, or seek to remove any person from, the Board or propose any other business at any annual or special meeting of shareholders, or solicit written consents to take any action that
            would require that notice to the Company be provided pursuant to Section 3.02 of the Company’s By-laws;

      

      

      d.          seek to initiate or join in,
          directly or indirectly, any merger, consolidation, recapitalization, liquidation or other business combination that would be in opposition to the recommendation or proposal of the Board with respect thereto;

      

      

      e.          seek to become an officer, a
          director or the Chairman of the Board of the Company or seek to remove any officer, director or general counsel of the Company;

      

      

      
        
          

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                Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

              

            

          

        

      

    

    

    
      f.           commence, encourage or support
          any derivative action in the name of the Company or any class action against the Company with respect to any facts or events relating to your resignation or the reasons therefor;

      

      

      g.          knowingly take any action to (i) advise, assist, encourage or finance any person in connection with any of the foregoing, (ii) publicly suggest or announce a desire to engage in a transaction that would result
            in any of the foregoing, or (iii) waive, modify or amend any provision of this Paragraph 13; or

      

      

      h.          make any comment on any bulletin
          board or other public medium in furtherance of any of the actions or matters referred to in subsections a. through g. above,  or encourage any other person to make any comment on any bulletin board or other public medium in furtherance of any of
          the actions or matters referred to in subsections a. through g. above.

      

      

    

    
      Notwithstanding the foregoing, nothing in the Agreement shall prohibit or restrict you from: (i) voting any or all of your Voting
          Securities of the Company in your discretion;  (ii) complying with any disclosure or other obligations under the rules and regulations of the SEC or other securities laws; selling your shares of the Company’s stock.

      

      

    

    
      
        
          	14.	
                  Remedies.  You acknowledge that any breach by you of the obligations set forth
                      in Paragraph 6 hereof, and/or Sections 5 and 6 of the Employment Agreement, would substantially and materially impair and irreparably harm the Company’s business and goodwill; that such impairment and harm would be difficult to
                      measure; and, therefore, total compensation in solely monetary terms would be inadequate. Consequently, you agree that in the event of any breach or any threatened breach by you of any of the provisions of Paragraph 6 hereof, and/or Sections 5 and 6 of the Employment Agreement, then the Company shall be entitled, in addition to monetary damages or other remedies, to equitable relief,
                      including injunctive relief.  The remedies granted to the Company in the Agreement are cumulative and are in addition to remedies otherwise available to the Company at law or in equity.  You agree to waive any requirement for the
                      security or posting of any bond in connection with such remedy. In the event that an action to enforce the Agreement or the Employment Agreement, or for the breach of any of the terms of the Agreement or the Employment Agreement, is brought by either party, it is agreed that the prevailing party shall be entitled to reimbursement of its reasonable attorneys' fees and costs associated with
                      the action. The parties further agree to submit to the jurisdiction of the Court of Common Pleas of Chester County, Pennsylvania, and the United States District Court for the Eastern District of Pennsylvania, and that venue in both of
                      those courts is appropriate.

                

           

          

        

      

      
        
          	15.	
                  No Admission.  The Agreement is not intended, and shall not be construed, as an
                      admission that either you or the Company have violated any federal, state or local law (statutory or decisional), ordinance or regulation, breached any contract or committed any wrong whatsoever.

                

        

      

      

      

    

    
      
        

      Page 11

    

    
      
        
          
            
              
                
                  
                    Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

                  

                

              

            

          

           

          

          	16.	
                  Waiver of Breach.  The waiver by the Company of a breach of any provision of the
                      Agreement by you shall not operate or be construed as a waiver of any other or subsequent breach by you of such or any other provision.

                

        

      

      

      

      
        
          	17.	
                  Severability. Should any provision of the Agreement be held invalid or illegal,
                      such illegality shall not invalidate the whole of the Agreement but rather, the Agreement shall be construed as if it did not contain the invalid or illegal part, and the rights and obligations of the parties shall be construed and
                      enforced accordingly.

                

        

      

      

      

      
        
          	18.	
                  Merger Clause and Effect. The Agreement embodies the complete understanding and
                      agreement between the parties hereto concerning termination of your employment and supersedes any and all prior agreements, understandings, negotiations and discussions between the parties, oral or written, express or implied relating
                      to wages and benefits and the terms of your separation from employment. Nothing in the Agreement abrogates your duties, obligations and restrictions under any prior agreement with the Company, or as set forth in the Company’s Employee
                      Manual. The Agreement shall be binding upon and inure to the benefit of our respective heirs, assigns, successors, and personal representatives. Except to the extent expressly preserved herein, the provisions of the Employment
                      Agreement are no longer binding on the Company and are hereby deemed null and void subsequent to the date hereof.

                

        

      

      

      

      
        
          	19.	
                  Taxes.  Notwithstanding any provision of the Agreement to the contrary, the
                      Company, its affiliates, subsidiaries, successors, and each of their respective officers, directors, employees and representatives, neither represent nor warrant the tax treatment under any federal, state, local, or foreign laws or
                      regulations thereunder (individually and collectively referred to as the “Tax Laws”) of any payment or benefits contemplated by the Agreement including, but not limited to, when and to what extent such payments or benefits may be
                      subject to tax, penalties and interest under the Tax Laws.

                

        

      

      

      

      
        
          	20.	
                  Choice of Law. The Agreement shall be construed in accordance with the laws of
                      the Commonwealth of Pennsylvania without regard to its conflict of law rules.

                

        

      

      

      

      
        
          	21.	
                  Consultation with Attorney.  This will confirm that the Company has advised you
                      to consult with an attorney prior to your execution of the Agreement.

                

        

      

      

      

      
        
          	22.	
                  Future Causes of Action. You understand that you do not waive rights or claims
                      that may arise after the date the Agreement is executed.

                

        

      

      

      

      
        
          	23.	
                  Legal Proceedings.  You represent and warrant that as of the date of the
                      Agreement, you have no complaints, charges or grievances filed or pending internally with any court or governmental entity in which the Company is named, including, but not limited to, any complaint with the Department of Labor,
                      Securities and Exchange Commission, Internal Revenue Service, Department of Justice, Equal Employment Opportunity Commission, the Pennsylvania Human Relations Commission, alleging violations of any anti-discrimination statute, the
                      Sarbanes Oxley Act, or any other securities or tax laws or any professional ethics rules, or asserting any claims released herein.

                

        

      

      

      

    

    
      
        

      Page 12

    

    
      
        
          
            
              
                
                  
                    Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

                  

                

              

            

          

           

          

          	24.	
                  No Prior Assignment.  You represent and warrant that you have not assigned or
                      otherwise transferred any interest in any claim that you may have against the Company or any of the Releasees.

                

        

      

      

      

      
        
          	25.	
                  Government Agencies and Legal Proceedings Brought by Others. Nothing in the
                      Agreement prohibits or prevents you from filing a charge with or participating, testifying, or assisting in any investigation, hearing, or other proceeding before any federal, state, or local government agency. You further agree and
                      covenant that should you or any person, organization, or other entity file, charge, claim, sue, or cause or permit to be filed any civil action, suit or legal proceedings against the Company, its successors, assigns, trustees,
                      directors, officers, employees and agents involving any matter occurring at any time in the past, you will not seek or accept any personal relief in such civil action, suit or proceeding. You further understand that the Agreement does
                      not limit your ability to make any disclosures that are protected under the whistleblower provisions of federal law or regulation. The Agreement does not limit your right to receive an award for information provided to any Government
                      Agencies. In the event that you exercise these rights, you shall request that any involved agency refrain from making the Company’s confidential and/or proprietary information publicly available.

                

        

      

      

      

      
        
          	26.	
                  Indemnification of You.  The Company hereby agrees that you are entitled to use
                      any applicable directors and officers liability insurance or Company rights of indemnification or claims of contribution or advancement of expenses, subject to the Company’s rights to reimbursement thereunder or therefor if you are
                      found liable in a manner foreclosing insurance coverage or requiring the reimbursement of advanced expenses.

                

        

      

      

      

      
        
          	27.	
                  Effective Date.  You have twenty-one (21) days from the date of the receipt of
                      the Agreement to sign. If you choose not to accept the offer within such period, it is automatically withdrawn and of no further force or effect. If you choose to sign it, you will have an additional seven (7) days following the date
                      of your signature to revoke the Agreement, and the Agreement shall not become effective or enforceable until the revocation period has expired. To revoke the Agreement, you must send a certified letter to the attention of Amy
                      Goldberg, USA Technologies, Inc., 100 Deerfield Lane, Suite 300, Malvern, PA 19355, along with a fax to her attention (610-989-0771). The letter must be postmarked and faxed within seven (7) days of your execution of this letter. If
                      the Agreement is revoked, its provisions are of no force and effect, however, your employment will have previously been terminated effective the Separation Date. On the eighth (8th) day after the date of your signature, the Agreement
                      is final and not revocable.  If you do not timely sign this letter, or if you sign and subsequently timely revoke this letter, you will not receive the payments and benefits described in Paragraph 2 hereof.

                

        

      

      

      

      
        
          	28.	
                  Successors and Assigns.  All the terms and provisions of the Agreement and shall
                      inure to the benefit of, and shall be enforceable by and binding upon, the heirs, personal representatives, successors and assigns of each of the parties hereto.  You may not assign either the Agreement or any of its rights, interest
                      or obligations hereunder without the prior written approval of the Company. The Company may assign the Agreement.

                

        

      

      

      

    

    
      
        

      Page 13

    

    
      
        
          
            
              
                
                  
                    Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

                  

                

              

            

          

           

          

          	29.	
                  Headings.  The paragraph headings contained in the Agreement are for reference
                      purposes only and shall not affect in any way the meaning or interpretation of the Agreement.

                

        

      

      

      

      
        
          	30.	
                  Notices.  All notices, demands and other communications to be given or delivered
                      under, or by reason of, the provisions of the Agreement shall be in writing and shall be deemed to have been given when delivered by: email; and delivered either via (a) hand delivery (with written confirmation of receipt), or (b) one
                      (1) day after being sent by a nationally recognized overnight carrier to the addresses set forth below (with written confirmation of receipt):

                

        

      

      

      

    

    
      If to the Company:

       

        

    

    
      USA Technologies, Inc.

      Suite 300

      100 Deerfield Lane

      Malvern, PA 19355

    

    
      Attn: Stephen P. Herbert, Chief Executive Officer

      Email: sherbert@usatech.com

      

      

    

    
      with a copy to:

      Douglas M. Lurio, Esquire

      Lurio & Associates, P.C.

      Suite 3120, One Commerce Square

      2005 Market Street

      Philadelphia, PA 19103

      Email: dlurio@luriolaw.com

      

      

    

    
      If to you:

      

      

    

    
      Michael K. Lawlor

      131 Lisa Drive

      Paoli, PA 19031

      Email: mklawlor61@gmail.com

      

      

      with a copy to:

      Julie Merritt Pacaro, Esquire

      Andrew Moore & Associates, LLC

      1132 Old York Road

      Abington, PA 19001

      Email:    jpacaro@moore4law.com

      

      

    

    
      in each case, or to such other address as the person to whom notice is given may have previously furnished to the others in writing in the manner set
          forth in this paragraph.

      

      

    

    
      
        

      Page 14

    

    
      
        
          
            
              
                
                  
                    Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

                  

                

              

            

          

           

          

          	31.	
                  Execution of Agreement. The Agreement may be executed and delivered (including
                      by facsimile, .pdf or similar electronic transmission) in one or more counterparts, and by the different parties hereto in separate counterparts, each of which when executed shall be deemed to be an original, but all of which taken
                      together shall constitute one and the same agreement.

                

        

      

      

      

    

    
      This will confirm that the Company intends to publicly disclose this Agreement and intends to file a Form 8-K with the SEC which would report the
          entering into this Agreement (and attach a copy of this Agreement as an exhibit thereto) within four (4) business days following the execution and delivery of this Agreement.

      

      

      If you agree with the terms as set forth above, please sign below, indicating your understanding and agreement.

      

      

    

    
      SIGNATURE PAGE FOLLOWS

      

      

      
        
          

        Page 15

      

      
        
          
            
              
                
                  Separation Agreement, Release and Consulting Services Agreement between Michael K. Lawlor and USA Technologies, Inc.

                

              

            

          

        

        

      

    

    
      UNDERSTOOD AND AGREED TO BY:

      

      

    

    	
            USA Technologies, Inc.

          	 
	 	 
	
            By:  /s/ Stephen P. Herbert

          	
            /s/ Michael K. Lawlor       / 3/25/19

          
	
                   Stephen P. Herbert,

          	
            Michael K. Lawlor           / Date

          
	
                   Chief Executive Officer

          	 
	 	 
	 	
            /s/ Jennifer Weber Whitaker    / 3/25/19

          
	 	
            Witness to Lawlor Signing     / Date

          
	 	 
	 	
            Jennifer Weber Whitaker

          
	 	
            (Witness Printed Name)

          

    
      

      

      
        
          

      

    

    
      Exhibit A

      

      

      Resignation Letter

      

      

    

    
      Mr. Michael K. Lawlor

      131 Lisa Drive

      Paoli, PA 19031

    

    
      

      

    

    
      March 22, 2019

      

      

    

    
      USA Technologies, Inc.

      100 Deerfield Lane

      Suite 300

      Malvern, PA 19355

    

    
      

      

      To the Corporate Secretary of USA Technologies, Inc.:

      

      

    

    
      I hereby resign from all positions held by me in USA Technologies, Inc. (the “Company”) and each and every subsidiary or affiliate
          thereof,  effective on March __, 2019. This will confirm that (i) I have not served as Chief Services Officer of the Company since January 13, 2019, and (ii) I am not resigning as a result of any disagreement with the Company, its management, or
          its Directors on any matter relating to the operations, policies, or practices of the Company.

      

      

    

    	 	
            Sincerely,

          	 
	 	 	 
	 	
            Michael K. LawlorCOMMON
STOCK PURCHASE WARRANT

 

VERB
TECHNOLOGY COMPANY, INC.

 

	Warrant
    Shares: _______	Original
    Issue Date: __________ __, 2019

 

This
COMMON STOCK PURCHASE WARRANT (the “Warrant”) certifies that, for value received, ____________________
or [his][her][its] assigns (the “Holder”) is entitled, upon the terms and subject to the limitations on exercise
and the conditions hereinafter set forth, at any time on or after [•], 2019 (the “Original Issuance Date”)
and on or prior to the Expiration Date (as defined in Section 2(a)(ii), below) but not thereafter, to subscribe for and
purchase from VERB TECHNOLOGY COMPANY, INC., a Nevada corporation (the “Company”), up to ___________ shares
(as subject to adjustment hereunder, the “Warrant Shares”) of Common Stock. The purchase price of one share
of Common Stock under this Warrant shall be equal to the Exercise Price (as defined in Section 2(a)(i), below). This Warrant
shall initially be issued and maintained in the form of a security held in book-entry form (the “Book-Entry Warrant”)
and The Depository Trust Company or its nominee (“DTC”) shall initially be the sole registered holder of this
Warrant, subject to a Holder’s right to elect to receive a Warrant in certificated form pursuant to the terms of the Warrant
Agent Agreement, in which case this sentence shall not apply.

 

Section
1. Definitions. In addition to the terms defined elsewhere in this Warrant, the following terms have the meanings indicated
in this Section 1:

 

“Affiliate”
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common
control with a Person, as such terms are used in and construed under Rule 405 under the Securities Act.

 

“Business
Day” means any day except any Saturday, any Sunday, any day that is a federal legal holiday in the United States of
America or any day on which banking institutions in the State of New York are authorized or required by law or other governmental
action to close.

 

“Commission”
means the United States Securities and Exchange Commission.

 

“Common
Stock” means the common stock, par value $0.0001 per share, of the Company.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 

“Person”
means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability
company, joint stock company, government (or an agency or subdivision thereof), or other entity of any kind.

 

“Securities
Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

 

“Trading
Day” means a day on which the principal Trading Market is open for trading.

 

“Transfer
Agent” means VStock Transfer, LLC, the current transfer agent of the Company, with a mailing address of 18 Lafayette
Place, Woodmere, New York 11598, and any successor transfer agent of the Company.

 

“Underwriting
Agreement” means that certain agreement to be entered into by and between the Company and A.G.P./Alliance Global Partners,
dated April [●], 2019, in connection with that certain underwritten public offering of Units by A.G.P./Alliance Global
Partners.

 

“Units”
each consisting of one (1) share of Common Stock and one (1) Warrant to purchase one (1) share of Common Stock

 

    	 	 	 

     

    

 

“Warrant
Agent Agreement” means that certain warrant agent agreement relating to the Warrant, dated on or about the Original
Issuance Date, between the Company and the Warrant Agent.

 

“Warrant
Agent” means VStock Transfer, LLC, the current transfer agent of the Company, with a mailing address of 18 Lafayette
Place, Woodmere, New York 11598, and any successor warrant agent of the Company.

 

Section
2. Terms and Exercise of this Warrant.

 

(a)
Exercise Price and Duration.

 

(i)
Exercise Price. This Warrant shall entitle the Holder thereof, subject to the provisions herein, to purchase from the Company
the number of shares of Common Stock stated therein, at the price of $ [●] per whole share, subject to the subsequent
adjustments provided in Section 3 hereof. [125% OF THE PUBLIC OFFERING PRICE OF THE UNITS] The term “Exercise
Price” as used in this Warrant refers to the price per share at which Common Stock may be purchased at the time this
Warrant is exercised.

 

(ii)
Duration of Warrant. This Warrant may be exercised only during the period (the “Exercise Period”) commencing
on the Original Issuance Date and terminating at 5:00 P.M., New York City time (the “close of business”) on
________, 20[●] [THE DATE FIVE YEARS FOLLOWING THE ORIGINAL ISSUANCE DATE] (the “Expiration Date”).
If this Warrant is not exercised on or before the Expiration Date it shall become void, and all rights hereunder shall cease at
the close of business on the Expiration Date.

 

(b)
Exercise of Warrant and Payment. Subject to the provisions of this Warrant, the Holder may exercise this Warrant by delivering,
not later than 5:00 P.M., New York City time, on any Business Day during the Exercise Period (the “Exercise Date”)
to the office of the Warrant Agent, or at the office of its successor as Warrant Agent, and to the Company at its office designated
for such purpose (or such other office or agency of the Company as it may designate by notice in writing to the Holder at the
address of the Holder appearing on the books of the Company) of a duly executed facsimile copy (or .pdf copy via e-mail attachment)
of the Notice of Exercise in the form annexed hereto as Exhibit A (the “Notice of Exercise”). Within
the three (3) Trading Days following the date of exercise as aforesaid, the Holder shall deliver the unpaid portion of the aggregate
Exercise Price for the Warrant Shares specified in the applicable Notice of Exercise by wire transfer or cashier’s check
drawn on a federally chartered United States bank unless the cashless exercise procedure specified in Section 2(c), below,
is specified in the applicable Notice of Exercise. No ink-original Notice of Exercise shall be required, nor shall any medallion
guarantee (or other type of guarantee or notarization) of any Notice of Exercise be required. Notwithstanding anything herein
to the contrary, the Holder shall not be required to physically surrender this Warrant to the Company until the Holder has purchased
all of the Warrant Shares available hereunder and the Warrant has been exercised in full, in which case, the Holder shall surrender
this Warrant to the Company for cancellation within three (3) Trading Days of the date on which the final Notice of Exercise is
delivered to the Company. Partial exercises of this Warrant resulting in purchases of a portion of the total number of Warrant
Shares available hereunder shall have the effect of lowering the outstanding number of Warrant Shares purchasable hereunder in
an amount equal to the applicable number of Warrant Shares purchased. The Holder and the Company shall maintain records showing
the number of Warrant Shares purchased and the date of such purchases. The Company shall deliver any objection to any Notice of
Exercise within one (1) Business Day of receipt of such notice. The Holder and any assignee, by acceptance of this Warrant, acknowledge
and agree that, by reason of the provisions of this paragraph, following the purchase of a portion of the Warrant Shares hereunder,
the number of Warrant Shares available for purchase hereunder at any given time may be less than the amount stated on the face
hereof.

 

If
any of (A) the Warrant, (B) the executed Notice of Exercise, or (C) the Exercise Price therefor, and all applicable taxes and
charges due in connection therewith, is received by the Company after 5:00 P.M., New York City time, on any date, or on a date
that is not a Business Day, the Warrant with respect thereto will be deemed to have been received and exercised on the Business
Day next succeeding such date. For the avoidance of doubt, the “Exercise Date” will be the date the materials in the
foregoing sentence are received by the Company (if by 5:00 P.M., New York City time), or the following Business Day (if after
5:00 P.M., New York City time), regardless of any earlier date written on the materials. If the Warrant is received or deemed
to be received after the Expiration Date, the exercise thereof will be null and void and any funds delivered to the Company will
be returned to the Holder as soon as practicable. In no event will interest accrue on any funds delivered to the Company in respect
of an exercise or attempted exercise of Warrants. The validity of any exercise of any Warrant will be determined by the Company
in its sole discretion and such determination will be final and binding upon the Holder. The Company shall not have any obligation
to inform a Holder of the invalidity of any exercise of Warrants.

 

    	 	2	 

     

    

 

Notwithstanding
the foregoing in this Section 2(b), a Holder whose interest in this Warrant is a beneficial interest in certificate(s) representing
this Warrant held in book-entry form through DTC (or another established clearing corporation performing similar functions), shall
effect exercises made pursuant to this Section 2(b) by delivering to DTC (or such other clearing corporation, as applicable) the
appropriate instruction form for exercise, complying with the procedures to effect exercise that are required by DTC (or such
other clearing corporation, as applicable), subject to a Holder’s right to elect to receive a Warrant in certificated form
pursuant to the terms of the Warrant Agent Agreement, in which case this sentence shall not apply.

 

(c)
Cashless Exercise Under Certain Circumstances.

 

(i)
The Company shall provide to the Holder of this Warrant prompt written notice at any time that the Company is unable to issue
the Warrant Shares via The DTC transfer or otherwise (without restrictive legend), because (A) the Commission has issued a stop
order with respect to any registration statement registering the Warrant Shares (the “Registration Statement”),
(B) the Commission otherwise has suspended or withdrawn the effectiveness of the Registration Statement, either temporarily or
permanently, (C) the Company has suspended or withdrawn the effectiveness of the Registration Statement, either temporarily or
permanently, or (D) otherwise (each, a “Restrictive Legend Event”). If a Restrictive Legend Event occurs after
the Holder has exercised this Warrant in accordance with the terms of the Warrant but prior to the delivery of the Warrant Shares,
the Company shall, at the election of the Holder, which shall be given within five (5) days of receipt of such notice of the Restrictive
Legend Event, either (A) rescind the previously submitted Notice of Exercise and the Company shall return all consideration paid
by the Holder for such shares upon such rescission or (B) treat the attempted exercise as a cashless exercise as described in
the next paragraph and refund the cash portion of the exercise price to the Holder.

 

(ii)
If a Restrictive Legend Event has occurred and no exemption from the registration requirements is available, the Warrant shall
only be exercisable on a cashless basis. Notwithstanding anything herein to the contrary, the Company shall not be required to
make any cash payments or net cash settlement to the Holder in lieu of issuance of the Warrant Shares. Upon a “cashless
exercise,” the Holder shall be entitled to receive the number of Warrant Shares equal to the quotient obtained by dividing
[(A-B) (X)] by (A), where:

 

	 	(A)	=
    	the
    VWAP on the Trading Day immediately preceding the Exercise Date;
	 	 	 	 
	 	(B)	=	the
    Exercise Price of the Warrant; and
	 	 	 	 
	 	(X)	=	the
    number of Warrant Shares that would be issuable upon exercise of the Warrant in full in accordance with the terms of the Warrant
    if such exercise were by means of a cash exercise rather than a cashless exercise.

 

Upon
receipt of a Notice of Exercise for a cashless exercise, the Company will promptly confirm the number of Warrant Shares issuable
in connection with the cashless exercise. In addition, if Warrant Shares are issued in such a cashless exercise where no commission
or other remuneration is paid or given directly or indirectly for soliciting such cashless exercise, the parties acknowledge and
agree that in accordance with Section 3(a)(9) of the Securities Act, the Warrant Shares shall take on the registered characteristics
of the Warrant being exercised. The Company agrees not to take any position contrary to this Section 2(c).

 

“VWAP”
means, for any date, the price determined by the first of the following clauses that applies: (a) if the Common Stock is then
listed or quoted on the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the New York Stock Exchange,
or the NYSE American (each, a “Trading Market”), the daily volume weighted average price of the Common Stock
for such date (or the nearest preceding date) on the Trading Market on which the Common Stock is then listed or quoted as reported
by Bloomberg L.P. (based on a Trading Day from 9:30 a.m. (New York City time) to 4:02 p.m. (New York City time)), (b) the volume
weighted average price of the Common Stock for such date (or the nearest preceding date) on the OTCQB® Venture Market or the
OTCQX® Best Market, (c) if the Common Stock is not then quoted on the OTCQB or the OTCQX and if prices for the Common Stock
are then reported in the OTC Pink Open Market maintained by OTC Markets Group Inc. (or a similar organization or agency succeeding
to its functions of reporting prices), the most recent bid price per share of the Common Stock so reported, or (d) in all other
cases, the fair market value of a share of Common Stock as determined by an independent appraiser selected in good faith by the
holders of a majority in interest of the Warrants then outstanding and reasonably acceptable to the Company, the fees and expenses
of which shall be paid by the Company.

 

    	 	3	 

     

    

 

(iii)
Disputes. In the case of a dispute as
to the determination of the Exercise Price or the arithmetic calculation of the Warrant Shares, the Company shall promptly issue
to the Holder the number of Warrant Shares that are not disputed.

 

(d)
Mechanics of Exercise.

 

(i)
Delivery of Warrant Shares Upon Exercise. The Company shall cause the Warrant Shares purchased hereunder to be transmitted
by the Transfer Agent to the Holder by crediting the account of the Holder’s or its designee’s balance account with
DTC through its Deposit or Withdrawal at Custodian system (“DWAC”) if the Company is then a participant in
such system and either (A) there is an effective registration statement permitting the issuance of the Warrant Shares to or resale
of the Warrant Shares by Holder or (B) this Warrant is being exercised via cashless exercise, and otherwise by physical delivery
of a certificate, registered in the Company’s share register in the name of the Holder or its designee, for the number of
Warrant Shares to which the Holder is entitled pursuant to such exercise to the address specified by the Holder in the Notice
of Exercise within three (3) Trading Days after the delivery to the Company of the Notice of Exercise (such date, the “Warrant
Share Delivery Date”). Notwithstanding the foregoing, with respect to any Notice(s) of Exercise delivered by 12:00 noon
(New York City time) on an Exercise Date, the Company agrees to deliver the Warrant Shares subject to such notice(s) by 4:00 p.m.
(New York City time) on the second Trading Day thereafter. Upon delivery of the Notice of Exercise, the Holder shall be deemed
for all corporate purposes to have become the holder of record of the Warrant Shares with respect to which this Warrant has been
exercised, irrespective of the date of delivery of the Warrant Shares, provided that payment of the aggregate Exercise Price (other
than in the case of a cashless exercise) is received within the three (3) Trading Days following delivery of the Notice of Exercise.
Notwithstanding the foregoing, with respect to any Notice(s) of Exercise delivered by 12:00 noon (New York City time) on the Original
Issuance Date, the Company agrees to deliver the Warrant Shares subject to such notice(s) by 4:00 p.m. (New York City time) on
the Original Issuance Date.

 

(ii)
Delivery of New Warrants Upon Exercise. If this Warrant shall have been exercised in part, the Company or the Warrant Agent
shall, at the request of a Holder and upon surrender of this Warrant certificate, at the time of delivery of the Warrant Shares,
deliver to the Holder a new Warrant evidencing the rights of the Holder to purchase the unpurchased Warrant Shares called for
by this Warrant, which new Warrant shall in all other respects be identical with this Warrant.

 

(iii)
Rescission Rights. If the Company fails to cause the Transfer Agent to transmit to the Holder the Warrant Shares pursuant
to Section 2(d)(i), above, by the Warrant Share Delivery Date, then the Holder will have the right to rescind such exercise.

 

(iv)
Valid Issuance. All shares of Common Stock issued by the Company through the Transfer Agent upon the proper exercise of
this Warrant in conformity with this Warrant shall be validly issued, fully paid and non-assessable.

 

(v)
No Fractional Exercise. This Warrant may be exercised only in whole numbers of Warrant Shares. No fractional Warrant Shares
are to be issued upon the exercise of the Warrant, but rather the number of Warrant Shares to be issued shall be rounded up or
down, as applicable, to the nearest whole number. If fewer than all of the Warrants evidenced by this Warrant are exercised, a
notation shall be made to the records maintained by the Company evidencing the balance of the Warrants remaining after such exercise.

 

(vi)
No Transfer Taxes. The Company shall not be required to pay any stamp or other tax or charge required to be paid in connection
with any transfer involved in the issue of the Warrant Shares upon the exercise of Warrants; and in the event that any such transfer
is involved, neither the Company nor the Warrant Agent shall be required to issue or deliver any Warrant Shares until such tax
or other charge shall have been paid or it has been established to the Company’s satisfaction that no such tax or other
charge is due.

 

    	 	4	 

     

    

 

(vii)
Date of Issuance. Each person in whose name any such shares of Common Stock is issued shall for all purposes be deemed
to have become the Holder of record of such shares on the date on which the Warrant was validly exercised and payment of the Exercise
Price was made, irrespective of the date of delivery of such Notice of Exercise, except that, if the date of such Notice of Exercise
and payment is a date when the stock transfer books of the Company are closed, such person shall be deemed to have become the
Holder of such shares at the close of business on the next succeeding date on which the stock transfer books are open.

 

Section
3. Adjustments.

 

(a)
Adjustment upon Subdivision or Combination of Common Stock. If the Company at any time after the Original Issuance Date
subdivides (by any stock split, stock dividend, recapitalization, reorganization, scheme, arrangement or otherwise) its outstanding
shares of Common Stock into a greater number of shares, the Exercise Price in effect immediately prior to such subdivision will
be proportionately reduced and the number of Warrant Shares will be proportionately increased. If the Company at any time after
the Original Issuance Date combines (by any stock split, stock dividend, recapitalization, reorganization, scheme, arrangement,
or otherwise) its outstanding shares of Common Stock into a smaller number of shares, the Exercise Price in effect immediately
prior to such combination will be proportionately increased and the number of Warrant Shares will be proportionately decreased.
Any adjustment under this Section 3(a) shall become effective at the close of business on the date the subdivision or combination
becomes effective.

 

(b)
Adjustment for Other Distributions. In the event the Company shall fix a record date for the making of a dividend or distribution
to all holders of Common Stock of any evidences of indebtedness or assets or subscription rights or warrants (excluding those
referred to in Section 3(a), above, or other dividends paid out of retained earnings), then in each such case the Holder
will, upon the exercise of this Warrant, be entitled to receive, in addition to the number of shares of Common Stock issuable
thereupon, and without payment of any additional consideration therefor, the amount of such dividend or distribution, as applicable,
which such Holder would hold on the date of such exercise had such Holder been the holder of record of such Common Stock as of
the date on which holders of Common Stock received or became entitled to receive such dividend or distribution. Such adjustment
shall be made whenever any such distribution is made and shall become effective immediately after the record date mentioned above.

 

(c)
Reclassification, Consolidation, Purchase, Combination, Sale, or Conveyance. If, at any time while this Warrant is outstanding,
(i) the Company, directly or indirectly, in one or more related transactions effects any merger or consolidation of the Company
with or into another person, (ii) the Company, directly or indirectly, effects any sale, lease, license, assignment, transfer,
conveyance, or other disposition of all or substantially all of its assets in one or a series of related transactions, (iii) any,
direct or indirect, purchase offer, tender offer or exchange offer (whether by the Company or another person) is completed pursuant
to which holders of Common Stock are permitted to sell, tender or exchange their shares for other securities, cash or property
and has been accepted by the holders of 50% or more of the outstanding Common Stock, (iv) the Company, directly or indirectly,
in one or more related transactions effects any reclassification, reorganization or recapitalization of the Common Stock or any
compulsory share exchange pursuant to which the Common Stock is effectively converted into or exchanged for other securities,
cash or property, (v) the Company, directly or indirectly, in one or more related transactions consummates a stock or share purchase
agreement or other business combination (including, without limitation, a reorganization, recapitalization, spin-off or scheme
of arrangement) with another person whereby such other person acquires more than 50% of the outstanding shares of Common Stock
(not including any shares of Common Stock held by the other person or other persons making or party to, or associated or affiliated
with the other persons making or party to, such stock or share purchase agreement or other business combination) (each, a “Fundamental
Transaction”), then, upon any subsequent exercise of this Warrant, the Holder shall have the right to receive, for each
Warrant Share that would have been issuable upon such exercise immediately prior to the occurrence of such Fundamental Transaction,
the number of shares of Common Stock, if any, of the successor or acquiring corporation or of the Company, if it is the surviving
corporation, and any additional consideration (the “Alternate Consideration”) receivable as a result of such
Fundamental Transaction by a holder of the number of shares of Common Stock for which this Warrant is exercisable immediately
prior to such Fundamental Transaction. For purposes of any such exercise, the determination of the Exercise Price shall be appropriately
adjusted to apply to such Alternate Consideration based on the amount of Alternate Consideration issuable in respect of one share
of Common Stock in such Fundamental Transaction, and the Company shall apportion the Exercise Price among the Alternate Consideration
in a reasonable manner reflecting the relative value of any different components of the Alternate Consideration. If holders of
Common Stock are given any choice as to the securities, cash, or property to be received in a Fundamental Transaction, then the
Holder shall be given the same choice as to the Alternate Consideration it receives upon any exercise of this Warrant following
such Fundamental Transaction. The Company shall cause any successor entity in a Fundamental Transaction in which the Company is
not the survivor (the “Successor Entity”) and for which stockholders received any equity securities of the
Successor Entity, to assume in writing all of the obligations of the Company under this Warrant Agreement in accordance with the
provisions of this Section 4(c) pursuant to written agreements and shall, upon the written request of the Holder of this
Warrant, deliver to the Holder in exchange for this Warrant created by this Warrant Agreement a security of the Successor Entity
evidenced by a written instrument substantially similar in form and substance to the Warrant that is exercisable for a corresponding
number of shares of capital stock of such Successor Entity (or its parent entity), if any, plus any Alternate Consideration, receivable
as a result of such Fundamental Transaction by a holder of the number of shares of Common Stock for which the Warrant is exercisable
immediately prior to such Fundamental Transaction, and with an exercise price that applies the Exercise Price hereunder to such
shares of capital stock, if any, plus any Alternate Consideration (but taking into account the relative value of the shares of
Common Stock pursuant to such Fundamental Transaction and the value of such shares of capital stock, such number of shares of
capital stock and such exercise price being for the purpose of protecting the economic value of such Warrant immediately prior
to the consummation of such Fundamental Transaction). Upon the occurrence of any such Fundamental Transaction the Successor Entity
shall succeed to, and be substituted for (so that from and after the date of such Fundamental Transaction, the provisions of this
Warrant Agreement and the Warrant referring to the “Company” shall refer instead to the Successor Entity), and may
exercise every right and power of the Company and shall assume all of the obligations of the Company under this Warrant Agreement
and the Warrant with the same effect as if such Successor Entity had been named as the Company herein.

 

    	 	5	 

     

    

 

Any
supplemented or amended agreement entered by the successor corporation or transferee shall provide for adjustments, which shall
be as nearly equivalent as may be practicable to the adjustments provided for in Section 3. The provisions of this Section
3(c) shall similarly apply to successive reclassifications, changes, consolidations, mergers, sales, and conveyances of the
kind described above.

 

(d)
Other Events. If any event occurs of the type contemplated by the provisions of Section 3(a), 3(b), or 3(c),
above, but not expressly provided for by such provisions (including, without limitation, the granting of stock appreciation rights,
phantom stock rights, or other rights with equity features to all holders of Common Stock for no consideration), then the Company’s
Board of Directors will, at its discretion and in good faith, make an adjustment in the Exercise Price and the number of Warrant
Shares or designate such additional consideration to be deemed issuable upon exercise of this Warrant, so as to protect the rights
of the Holder.

 

(e)
Notices of Changes in Warrant. Upon every adjustment of the Exercise Price or the number of shares issuable upon exercise
of this Warrant, the Company shall give written notice thereof to the Holder, at the last address set forth for such holder in
the Warrant Register, of the record date or the effective date of the event. Failure to give such notice, or any defect therein,
shall not affect the legality or validity of such event.

 

(f)
Notice to Allow Exercise by Holder. If (A) the Company shall declare a dividend (or any other distribution in whatever
form) on the Common Stock, (B) the Company shall declare a special nonrecurring cash dividend on or a redemption of the Common
Stock, (C) the Company shall authorize the granting to all holders of the Common Stock rights or warrants to subscribe for or
purchase any shares of capital stock of any class or of any rights, (D) the approval of any stockholders of the Company shall
be required in connection with any reclassification of the Common Stock, any consolidation or merger to which the Company is a
party, any sale or transfer of all or substantially all of the assets of the Company, or any compulsory share exchange whereby
the Common Stock is converted into other securities, cash or property, or (E) the Company shall authorize the voluntary or involuntary
dissolution, liquidation or winding up of the affairs of the Company, then, in each case, the Company shall cause to be mailed
to the Holder at its last address as it shall appear upon the Warrant Register of the Company, at least 10 calendar days prior
to the applicable record or effective date hereinafter specified, a notice stating (i) the date on which a record is to be taken
for the purpose of such dividend, distribution, redemption, rights, or warrants, or if a record is not to be taken, the date as
of which the holders of the Common Stock of record to be entitled to such dividend, distributions, redemption, rights or warrants
are to be determined or (ii) the date on which such reclassification, consolidation, merger, sale, transfer, or share exchange
is expected to become effective or close, and the date as of which it is expected that holders of the Common Stock of record shall
be entitled to exchange their shares of the Common Stock for securities, cash or other property deliverable upon such reclassification,
consolidation, merger, sale, transfer, or share exchange; provided, that the failure to mail such notice or any defect
therein or in the mailing thereof shall not affect the validity of the corporate action required to be specified in such notice.
To the extent that any notice provided hereunder constitutes, or contains, material, non-public information regarding the Company
or any of its subsidiaries, the Company shall simultaneously file such notice with the Commission pursuant to a Current Report
on Form 8-K. The Holder shall remain entitled to exercise this Warrant during the period commencing on the date of such notice
to the effective date of the event triggering such notice except as may otherwise be expressly set forth herein.

 

    	 	6	 

     

    

 

Section
4. Transfer of Warrant.

 

(a)
Transferability. This Warrant and all rights hereunder are transferable, in whole or in part, upon surrender of this Warrant
at the principal office of the Company or its designated agent, together with a written assignment of this Warrant substantially
in the form annexed hereto as Exhibit B duly executed by the Holder or its agent or attorney-in-fact and funds sufficient
to pay any transfer taxes payable upon the making of such transfer, accompanied by reasonable evidence of authority of the party
making such request that may be required by the Warrant Agent, including, but not limited to, the signature guarantee of a guarantor
institution that is a participant in a signature guarantee program approved by the Securities Transfer Association. Upon such
surrender and, if required, such payment, the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee
or assignees, as applicable, and in the denomination or denominations specified in such instrument of assignment, and shall issue
to the assignor a new Warrant evidencing the portion of this Warrant not so assigned, and this Warrant shall promptly be cancelled.
Notwithstanding anything herein to the contrary, the Holder shall be required to surrender this Warrant to the Company physically
in order to assign or transfer any portion of this Warrant. The Holder shall surrender this Warrant to the Company within two
(2) Trading Days of the date on which the Holder delivers an assignment form to the Company assigning this Warrant in full. This
Warrant, if properly assigned in accordance herewith, may be exercised by a new holder for the purchase of Warrant Shares without
having a new Warrant issued.

 

(b)
New Warrants. This Warrant may be divided or combined with other Warrants upon presentation hereof at the aforesaid office
of the Company, together with a written notice specifying the names and denominations in which new Warrants are to be issued,
signed by the Holder or its agent or attorney. Subject to compliance with Section 4(a), as to any transfer that may be
involved in such division or combination, the Company shall execute and deliver a new Warrant or Warrants in exchange for the
Warrant or Warrants to be divided or combined in accordance with such notice. All Warrants issued on transfers or exchanges shall
be dated the Issue Date of this Warrant and shall be identical with this Warrant except as to the number of Warrant Shares issuable
pursuant thereto.

 

(c)
Warrant Register. The Company (or its Warrant Agent) shall register this Warrant, upon records to be maintained by the
Company for that purpose (the “Warrant Register”), in the name of the record Holder hereof from time to time.
The Company may deem and treat the Holder of this Warrant as the absolute owner hereof for the purpose of any exercise hereof
or any distribution to the Holder, and for all other purposes, absent actual notice to the contrary. To the extent this Warrant
is DTC eligible, this Warrant shall be represented by one of more Book-Entry Warrants deposited with DTC and registered in the
name of Cede & Co., a nominee of DTC. Ownership of beneficial interests in Book-Entry Warrants shall be shown on, and the
transfer of such ownership shall be effected through, records maintained (i) by DTC or its nominee for each Book-Entry Warrant;
(ii) by institutions that have accounts with DTC (such institution, with respect to a Warrant in its account, a “Participant”);
or (iii) directly on the book-entry records of the Warrant Agent with respect only to owners of beneficial interests that represent
such direct registration. If the Warrants are not DTC eligible as of the Original Issuance Date or DTC subsequently ceases to
make its book-entry settlement system available for this Warrant, the Company may instruct the Warrant Agent in writing regarding
making other arrangements for book-entry settlement within ten (10) days after the DTC ceases to make its book-entry settlement
available. In the event that the Company does not make alternative arrangements for book-entry settlement within ten (10) days
or this Warrant is not eligible for, or it is no longer necessary to have this Warrant available in, book-entry form, the Warrant
Agent shall provide written instructions to DTC to deliver to the Warrant Agent for cancellation each Book-Entry Warrant, and
the Company shall instruct the Warrant Agent to deliver to DTC definitive certificates in physical form evidencing such Warrant.

 

    	 	7	 

     

    

 

(d)
Fractional Warrants. The Company shall not be required to effect any registration of transfer or exchange that will result
in the issuance of a Warrant for a fraction of this Warrant.

 

Section
5. Limitations on Exercise. The Company shall not effect any exercise of this Warrant, and a Holder shall not have
the right to exercise any portion of this Warrant, to the extent that after giving effect to the issuance of shares of Common
Stock after exercise as set forth on the applicable Notice of Exercise, the Holder (together with such Holder’s Affiliates
(as defined in Rule 405 under the Securities Act), and any other persons acting as a group together with the Holder or any of
the Holder’s Affiliates), would beneficially own in excess of 4.99% of the Common Stock (the percentage limitation, the
“Beneficial Ownership Limitation”). For purposes of the foregoing sentence, the number of shares of Common
Stock beneficially owned by the Holder and its Affiliates shall include the number of shares of Common Stock issuable upon exercise
of the Warrant with respect to which such determination is being made, but shall exclude the number of shares of Common Stock
that would be issuable upon exercise of the remaining, non-exercised portion of any Warrant beneficially owned by the Holder or
any of its Affiliates. Except as set forth in the preceding sentence, for purposes of this Section 5, beneficial ownership
shall be calculated in accordance with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder,
it being acknowledged by the Holder that the Company is not representing to the Holder that such calculation is in compliance
with Section 13(d) of the Exchange Act and the Holder is solely responsible for any schedules required to be filed in accordance
therewith. To the extent that the limitation contained in this Section 5 applies, the determination of whether this Warrant
is exercisable (in relation to other securities owned by the Holder together with any Affiliates) and of which portion of this
Warrant is exercisable shall be in the sole discretion of the Holder, and the submission of a Notice of Exercise shall be deemed
to be the Holder’s determination of whether such Warrant is exercisable (in relation to other securities owned by the Holder
together with any Affiliates) and of which portion of this Warrant is exercisable, and the Company shall not have any obligation
to verify or confirm the accuracy of such determination and neither of them shall have any liability for any error made by the
Holder. In addition, a determination as to any group status as contemplated above shall be determined in accordance with Section
13(d) of the Exchange Act and the rules and regulations promulgated thereunder. For purposes of this Section 5 , in determining
the number of outstanding shares of Common Stock, a Holder may rely on the number of outstanding shares of Common Stock as reflected
in (A) the Company’s most recent periodic or annual report filed with the Securities and Exchange Commission, as the case
may be, (B) a more recent public announcement by the Company, or (C) a more recent written notice by the Company or the Company’s
transfer agent setting forth the number of shares of Common Stock outstanding. The provisions of this Section 5 shall be
construed and implemented in a manner otherwise than in strict conformity with the terms of this Section 5 to correct this
subsection (or any portion hereof) that may be defective or inconsistent with the intended beneficial ownership limitation herein
contained or to make changes or supplements necessary or desirable to properly give effect to such limitation. The Holder, upon
not less than 61 days’ prior notice to the Company, may increase or decrease the Beneficial Ownership Limitation provisions
of this Section 5. In the event of a Holder’s election to increase the Beneficial Ownership Limitation, such increase
will not be effective until the 61st day after such notice is delivered to the Company. The limitations contained in this Section
5 shall apply to a successor holder of this Warrant.

 

Section
6. Miscellaneous.

 

(a)
No Rights as Stockholder. Except as otherwise specifically provided herein, a Holder, solely in its capacity as a holder
of this Warrant, shall not be entitled to vote or receive dividends or be deemed the holder of share capital of the Company for
any purpose, nor shall anything contained in this Warrant be construed to confer upon a registered holder, solely in its capacity
as the Holder of this Warrant, any of the rights of a stockholder of the Company or any right to vote, give or withhold consent
to any corporate action (whether any reorganization, issue of stock, reclassification of stock, consolidation, merger, conveyance,
or otherwise), receive notice of meetings, receive dividends or subscription rights, or otherwise, prior to the issuance to the
Holder of the Warrant Shares that it is then entitled to receive upon the due exercise of this Warrant. This Warrant does not
entitle the registered holder thereof to any of the rights of a stockholder of the Company.

 

(b)
Reservation of Common Stock. The Company shall always reserve and keep available out of its authorized but unissued shares
of Common Stock that number of shares that will be sufficient to permit the exercise in full of this Warrant.

 

    	 	8	 

     

    

 

(c)
Loss, Theft, Destruction, or Mutilation of Warrant. The Company covenants that, upon receipt by the Company of evidence
reasonably satisfactory to it of the loss, theft, destruction, or mutilation of this Warrant or any stock certificate relating
to the Warrant Shares and, in case of loss, theft, or destruction, of indemnity or security reasonably satisfactory to it and
the Warrant Agent (that, in the case of the Warrant, shall include the posting of a bond), and upon surrender and cancellation
of such Warrant or stock certificate, if mutilated, the Company will make and deliver a new Warrant or stock certificate of like
tenor and dated as of such cancellation, in lieu of such Warrant or stock certificate.

 

(d)
Saturdays, Sundays, Holidays, etc. If the last or appointed day for the taking of any action or the expiration of any right
required or granted herein shall not be a Business Day, then, such action may be taken or such right may be exercised on the next
succeeding Business Day.

 

(e)
Jurisdiction. All questions concerning the construction, validity, enforcement, and interpretation of this Warrant shall
be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the
principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations, enforcement
and defense of the transactions contemplated by this Warrant (whether brought against a party hereto or their respective affiliates,
directors, officers, stockholders, partners, members, employees, or agents) shall be commenced exclusively in the state and federal
courts sitting in the City of New York. Each party hereby irrevocably submits to the exclusive jurisdiction of the state and federal
courts sitting in the City of New York, Borough of Manhattan, for the adjudication of any dispute hereunder or in connection herewith
or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert in any
suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit,
action or proceeding is improper or is an inconvenient venue for such proceeding. Each party hereby irrevocably waives personal
service of process and consents to process being served in any such suit, action, or proceeding by mailing a copy thereof via
registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices
to it under this Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof.
Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner permitted by law.
If either party shall commence an action, suit or proceeding to enforce any provisions of this Warrant, the prevailing party in
such action, suit or proceeding shall be reimbursed by the other party for their reasonable attorneys’ fees and other costs
and expenses incurred with the investigation, preparation and prosecution of such action or proceeding.

 

(f)
Restrictions. The Holder acknowledges that the Warrant Shares acquired upon the exercise of this Warrant, if not registered
and the Holder does not utilize cashless exercise, will have restrictions upon resale imposed by state and federal securities
laws.

 

(g)
Nonwaiver and Expenses. No course of dealing or any delay or failure to exercise any right hereunder on the part of Holder
shall operate as a waiver of such right or otherwise prejudice the Holder’s rights, powers, or remedies. Without limiting
any other provision of this Warrant, if the Company willfully and knowingly fails to comply with any provision of this Warrant,
which results in any material damages to the Holder, the Company shall pay to the Holder such amounts as shall be sufficient to
cover any costs and expenses including, but not limited to, reasonable attorneys’ fees, including those of appellate proceedings,
incurred by the Holder in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers or remedies
hereunder.

 

(h)
Notices. Any notices, consents, waivers or other document or communications required or permitted to be given or delivered
under the terms of this Warrant must be in writing and will be deemed to have been delivered: (i) upon receipt, if delivered personally;
(ii) when sent, if sent by facsimile (provided confirmation of transmission is mechanically or electronically generated and kept
on file by the sending party); (iii) if sent by overnight courier service, one (1) Trading Day after deposit with an overnight
courier service with next day delivery specified, and (iv) if sent by certified mail or private courier service within five (5)
Trading Days after deposit of such notice, in each case, properly addressed to the party to receive the same. The addresses and
facsimile numbers for such communications shall be:

 

If
to the Holder:

 

_______________________

_______________________

_______________________

Fax
No.: ____________

 

    	 	9	 

     

    

 

If
to the Company:

 

Verb
Technology Company, Inc.

344
South Hauser Blvd., Suite 414

Los
Angeles, California 90036

Attn:
Rory J. Cutaia, President and Chief Executive Officer

Fax
No.: ____________

 

with
a copy (which shall not constitute notice) to:

 

Baker
& Hostetler LLP

600
Anton Blvd., Suite 900

Costa
Mesa, California 92626

Attn:
Randolf W. Katz, Esq.

Fax
No: 714-966-8802

 

If
to a Holder, to its address, facsimile number or e-mail address set forth herein or on the books and records of the Company.

 

(i)
Limitation of Liability. No provision hereof, in the absence of any affirmative action by the Holder to exercise this Warrant
to purchase Warrant Shares, and no enumeration herein of the rights or privileges of the Holder, shall give rise to any liability
of the Holder for the purchase price of any Common Stock or as a stockholder of the Company, whether such liability is asserted
by the Company or by creditors of the Company.

 

(j)
Remedies. The Holder, in addition to being entitled to exercise all rights granted by law, including recovery of damages,
will be entitled to specific performance of its rights under this Warrant. The Company agrees that monetary damages would not
be adequate compensation for any loss incurred by reason of a breach by it of the provisions of this Warrant and hereby agrees
to waive and not to assert the defense in any action for specific performance that a remedy at law would be adequate.

 

(k)
Successors and Assigns. Subject to applicable securities laws, this Warrant and the rights and obligations evidenced hereby
shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted
assigns of Holder. The provisions of this Warrant are intended to be for the benefit of any Holder from time to time of this Warrant
and shall be enforceable by the Holder or holder of Warrant Shares.

 

(l)
Amendment. This Warrant may be modified or amended, including any amendment to increase the Exercise Price or shorten the
Exercise Period, and the provisions hereof may be waived, in each case with the written consent of the Company, A.G.P./Alliance
Global Partners (“A.G.P.”), and the registered holders of a majority of the then outstanding Warrants issued
by the Company pursuant to the Underwriting Agreement.

 

(m)
Severability. Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective
and valid under applicable law, but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such
provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of such provisions
or the remaining provisions of this Warrant.

 

(n)
Effect of Headings. The Section headings herein are for convenience only and are not part of this Warrant and shall not
affect the interpretation thereof.

 

(o)
Warrant Agent Agreement. This Warrant is issued subject to the Warrant Agent Agreement. To the extent any provision of
this Warrant conflicts with the express provisions of the Warrant Agent Agreement, the provisions of this Warrant shall govern
and be controlling; provided, however, that all provisions with respect to the rights, duties, obligations, protections,
immunities, and liability of the Warrant Agent only shall be determined and interpreted solely by the provisions of the Warrant
Agent Agreement.

 

********************

 

(Signature
Page Follows)

 

    	 	10	 

     

    

 

IN
WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officer thereunto duly authorized as of the date first
above indicated.

 

	VERB
    TECHNOLOGY COMPANY, INC.	 
	 	 	 
	By:	 	 
	 	Rory J. Cutaia, President
    and Chief Executive Officer	 

 

	VSTOCK
    TRANSFER, LLC, as warrant agent	 
	 	 	 
	By:	              	 
	Name:	 	 
	Its:	 	 

 

    	 	11	 

     

    

 

Exhibit
A

 

NOTICE
OF EXERCISE

 

TO:
VERB TECHNOLOGY COMPANY, INC.

 

(1)
The undersigned hereby elects to purchase ________ Warrant Shares of the Company pursuant to the terms of the attached Warrant
and tenders herewith payment of the exercise price in full, together with all applicable transfer taxes, if any.

 

(2)
Payment shall take the form of (check applicable box):

 

	 	[  ]	in
    lawful money of the United States by wire transfer or cashier’s check drawn on a United States bank; or
	 	 	 
	 	[  ]	if
    permitted by the terms of the Warrant, the cancellation of such number of Warrant Shares as is necessary, in accordance with
    the formula set forth in subsection 2(c), to exercise this Warrant with respect to the maximum number of Warrant Shares purchasable
    pursuant to the cashless exercise procedure set forth in subsection 2(c).

 

(3)
Please issue said Warrant Shares in the name of the undersigned or in such other name as is specified below:

 

	 	 
	 	 
	The Warrant Shares
    shall be delivered to the following DWAC Account Number:	 
	 	 
	 	 
	 	 
	 	 
	[SIGNATURE OF HOLDER]	 

 

	Name of
    Investing Entity:	 
	 	 
	 	 
	 	 
	Signature of Authorized
    Signatory of Investing Entity:	 
	 	 
	 	 
	 	 
	Name of Authorized
    Signatory:	 
	 	 
	 	 
	 	 
	Title of Authorized
    Signatory:	 
	 	 
	 	 
	 	 

 

	Date:	 	 

 

    	 	12	 

     

    

 

Exhibit
B

 

ASSIGNMENT
FORM

 

(To
assign the attached Warrant, execute this form and supply required information.

Do
not use this form to exercise the Warrant.)

 

FOR
VALUE RECEIVED, [____] all of or [_______] shares of the attached Warrant and all rights evidenced thereby are hereby assigned
to:

 

_______________________________________________,
whose address is

 

_______________________________________________________________

 

_______________________________________________________________

 

	 	Date:
    ______________, _______	 
	 	 	 
	Holder’s Signature:
    	 	 
	 	 	 
	Holder’s Address:
    	 	 
	 	 	 

 

NOTE:
The signature to this Assignment Form must correspond with the name as it appears on the face of the Warrant, without alteration
or enlargement or any change whatsoever. Officers of corporations and those acting in a fiduciary or other representative capacity
should file proper evidence of authority to assign the foregoing Warrant.

 

    	 	13

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