Item 3. Legal Proceedings
Item 3. Legal Proceedings.
Saracco Litigation
On May 18, 2026, Michael A. Saracco (“Saracco”) filed an action in the Circuit Court of the Ninth Judicial Circuit in and for Orange County, Florida, Case No. 2026-CA-005311-O, against us, certain of our officers and other parties alleging omissions concerning the status of a contract with Starlink and seeking damages. We deny the claims and are vigorously defending the action.
On September 3, 2026, we filed an action against Saracco in the Circuit Court of the Ninth Judicial Circuit in and for Orange County, Florida, Case No. 2026-CA-009471-O, asserting claims for economic extortion and defamation and seeking injunctive relief and damages. Saracco has moved to dismiss the action.
Later on September 3, 2026, Saracco filed an action against us and certain of our officers and directors in the Circuit Court of the Eighteenth Judicial Circuit in and for Brevard County, Florida, reasserting claims relating to an alleged term sheet that had been the subject of claims in prior litigation between us and Saracco that was dismissed with prejudice in December 2025. Saracco seeks damages in the action.
On September 6, 2026, Saracco filed an additional action in the Circuit Court of the Ninth Judicial Circuit in and for Orange County, Florida, Case No. 2026-CA-009539-O, against us, our independent registered public accounting firm and Nextelligence, Inc. The action asserts claims relating to an alleged $225,000 investment, certain warrants and the same alleged term sheet involved in the prior litigation that was dismissed with prejudice. Saracco seeks issuance of warrants, damages and injunctive relief.
We deny Saracco’s claims and intend to vigorously defend the pending actions. Based upon the information presently available to us, we believe the likelihood of an unfavorable outcome resulting in a loss to us with respect to the Saracco matters involving us is remote.
Item 4. Mine Safety Disclosures.
Not applicable.
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PART II
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.