Item 1. Legal Proceedings
ITEM
1. LEGAL PROCEEDINGS.
On June 10, 2022, Copa Di Vino Corporation (“Copa”) filed a lawsuit
against the Company in Broward County, Florida. The complaint alleges that the Company still owes part of the final payment under the
December 24, 2020 Asset Purchase Agreement (“APA”) between Copa and the Company. Specifically, Copa maintains that 380,959
shares are owed. The parties are actively discussing amicable resolution on a framework both sides appear to be agreeable to. The Company
will vigorously defend the case if a settlement is not reached. The result of litigation is uncertain, however, and no particular result
can be assured.
ITEM
1A. RISK FACTORS
No
new risk factors noted since our Annual Report on Form 10-K for the year ended December 31, 2021.
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