Sec Form 4 Filing - Murray Novelette @ LIQUIDITY SERVICES INC - 2023-06-02

FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person Murray Novelette 2. Issuer Name and Ticker or Trading Symbol LIQUIDITY SERVICES INC [ LQDT] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner X __ Officer (give title below) _____ Other (specify below) Chief Human Resources Officer (Last) (First) (Middle) 6931 ARLINGTON ROAD SUITE 200 3. Date of Earliest Transaction (MM/DD/YY) 06/02/2023 (Street) BETHESDA, MD20814 4. If Amendment, Date Original Filed (MM/DD/YY) 6. Individual or Joint/Group Filing (Check Applicable Line) __ X __ Form filed by One Reporting Person _____ Form filed by More than One Reporting Person (City) (State) (Zip)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned 1.Title of Security (Instr. 3) 2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Common Stock 06/02/2023 M( 1 ) 1,757 A $ 6.69 44,930 D Common Stock 06/02/2023 S 1,757 D $ 16 43,173 D Common Stock 06/02/2023 M( 2 ) 767 A $ 9.46 43,940 D Common Stock 06/02/2023 S 767 D $ 16 43,173 D Common Stock 06/05/2023 M( 3 ) 400 A $ 9.46 43,573 D Common Stock 06/05/2023 S 400 D $ 16.06 43,173 D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned ( e.g. , puts, calls, warrants, options, convertible securities) 1. Title of Derivative Security (Instr. 3) 2. Conversion or Exercise P rice of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code (Instr. 8) 5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5) 6. Date Exercisable and Expiration Date (MM/DD/YY) 7. Title and Amount of Underlying Securities (Instr. 3 and 4) 8. Price of Derivative Security (Instr. 5) 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4) Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares Restricted Stock Unit Grant ( 4 ) ( 5 ) 01/01/2024 Common Stock 462 462 D Restricted Stock Unit Grant ( 4 ) ( 6 ) 01/01/2025 Common Stock 2,950 2,950 D Restricted Stock Unit Grant ( 4 ) ( 7 ) 10/01/2024 Common Stock 10,000 10,000 D Restricted Stock Unit Grant ( 4 ) ( 8 ) 01/01/2026 Common Stock 5,235 5,235 D Restricted Stock Unit Grant ( 4 ) ( 9 ) 01/01/2027 Common Stock 10,355 10,355 D Restricted Stock Unit Grant ( 4 ) ( 10 ) 01/01/2026 Common Stock 6,980 6,980 D Restricted Stock Unit Grant ( 4 ) ( 11 ) 01/01/2026 Common Stock 10,355 10,355 D Stock Option Grant $ 10.3 ( 12 ) 02/02/2027 Common Stock 1,054 1,054 D Stock Option Grant $ 6.69 06/02/2023 M( 13 ) 4,450 ( 14 ) 12/03/2029 Common Stock 4,450 $ 0 0 D Stock Option Grant $ 9.46 06/02/2023 M( 15 ) 3,807 ( 16 ) 12/01/2030 Common Stock 20,750 $ 0 16,943 D Stock Option Grant $ 22.2 ( 17 ) 12/07/2031 Common Stock 6,190 6,190 D Stock Option Grant $ 14 ( 18 ) 12/23/2032 Common Stock 8,320 8,320 D Stock Option Grant $ 10.3 ( 19 ) 02/02/2027 Common Stock 1,850 1,850 D Stock Option Grant $ 6.11 ( 20 ) 12/04/2028 Common Stock 1,344 1,344 D Stock Option Grant $ 6.69 ( 21 ) 12/03/2029 Common Stock 2,538 2,538 D Stock Option Grant $ 9.46 ( 22 ) 12/01/2030 Common Stock 28,296 28,296 D Stock Option Grant $ 22.2 ( 23 ) 12/07/2031 Common Stock 6,190 6,190 D Stock Option Grant $ 14 ( 24 ) 12/23/2032 Common Stock 8,320 8,320 D

Reporting Owners Reporting Owner Name / Address Relationships Director 10% Owner Officer Other Murray Novelette 6931 ARLINGTON ROAD SUITE 200 BETHESDA, MD20814 Chief Human Resources Officer Signatures /s/ Mark. A Shaffer, by power of attorney 06/06/2023 Signature of Reporting Person Date

Explanation of Responses:

( 1 )The reporting person exercised 4,450 stock options; 2,693 shares were withheld by the issuer to pay the cost of the options and taxes and theremaining 1,757 shares were acquired by the reporting person. ( 2 )The reporting person exercised 2,765 stock options; 1,998 shares were withheld by the issuer to pay the cost of the options and taxes and theremaining 767 shares were acquired by the reporting person. ( 3 )The reporting person exercised 1,042 stock options; 642 shares were withheld by the issuer to pay the cost of the options and taxes and the remaining 400 shares were acquired by the reporting person. ( 4 )Each restricted stock unit is the economic equivalent of one share of Liquidity Services, Inc. Common Stock. ( 5 )Twenty-five percent of this restricted stock unit grant vested on January 1, 2021 and thereafter, an additional 1/4th vests on each of January 1, 2022, January 1, 2023 and January 1, 2024. ( 6 )Twenty-five percent of this restricted stock unit grant vested on January 1, 2022 and thereafter, an additional 1/4th will vest on each of January 1, 2023, January 1, 2024 and January 1, 2025. ( 7 )Twenty-five percent of this restricted stock unit grant vested on October 1, 2021 and thereafter, an additional 1/4th will vest on each of October 1, 2022, October 1, 2023, and October 1, 2024. ( 8 )Twenty-five percent of this restricted stock unit grant vested on January 1, 2023 and thereafter, an additional 1/4th will vest on each of January 1, 2024, January 1, 2025 and January 1, 2026. ( 9 )Twenty-five percent of this restricted stock unit grant will vest on January 1, 2024 and thereafter, an additional 1/4th will vest on each of January 1, 2025, January 1, 2026 and January 1, 2027. ( 10 )These restricted stock units vest, if at all, based on the Issuer's achievement of certain stock price appreciation milestones. ( 11 )These restricted stock units will vest, if at all, based on the Issuer's achievement of certain financial milestones. ( 12 )These options become exercisable, if at all, based on the completion of the Issuer's strategic transformation as well as the Issuer's achievement of certain financial milestones. ( 13 )Represents the exercise of stock options. ( 14 )These options become exercisable, if at all, based on total shareholder return (TSR) milestones. TSR is calculated based on the change in theIssuer's stock price during the performance period, taking into account any dividends paid during that period, which are assumed to bereinvested in the stock. ( 15 )Represents the exercise of 2,765 stock options on June 2, 2023 and the excercise of 1,042 stock options on June 5, 2023. ( 16 )This option becomes excercisable, if at all, based on the Issuer's achievement of certain stock price appreciation milestones. ( 17 )12/48th of this option grant will vest on January 1, 2023 and thereafter, an additional 1/48th will vest each month for thirty-six months. ( 18 )These options become exercisable, if at all, based on the Issuer's achievement of certain financial milestones. ( 19 )15/48th of this option grant vested on January 1, 2018 and thereafter, an additional 1/48th vests each month for thirty-three months. ( 20 )12/48th of this option grant vested on January 1, 2020 and thereafter an additional 1/48th vests each month for thirty-six months. ( 21 )12/48th of this option grant vested on January 1, 2021 and thereafter, 1/48th will vest each month for thirty-six months. ( 22 )12/48th of this option grant vested on January 1, 2022 and thereafter, 1/48th will vest each month for thirty-six months. ( 23 )This option becomes exercisable, if at all, based on the Issuer's achievement of certain stock price appreciation milestones. ( 24 )12/48th of this option grant will vest on January 1, 2024 and thereafter, an additional 1/48th will vest each month for thirty-six months.

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).

** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).

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