Legal Proceedings.
−Removed: From time to time,
−Removed: we may become involved in various lawsuits and legal proceedings which arise in the ordinary course of business.
−Removed: However, litigation
−Removed: is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may harm
−Removed: our business.
−Removed: On August 7, 2018,
−Removed: we commenced an action against North Empire LLC, or North Empire, in the Supreme Court of the State of New York, County of New
−Removed: York for breach of a Securities Purchase Agreement or Agreement in which we are seeking damages in an amount to be determined at
−Removed: trial, but in no event less than $616,000.
−Removed: On August 2, 2018, North Empire filed a Summons with Notice against us, also in the
−Removed: same Court, in which they allege damages in an amount of $11.4 million arising from an alleged breach of the Agreement.
+Added: time to time, we may become involved in various lawsuits and legal proceedings which arise in the ordinary course of business.
+Added: litigation is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may
+Added: harm our business.
+Added: August 7, 2018, we commenced an action against North Empire LLC, or North Empire, in the Supreme Court of the State of New York, County
+Added: of New York for breach of a Securities Purchase Agreement or Agreement in which we are seeking damages in an amount to be determined
+Added: at trial, but in no event less than $616,000.
+Added: On August 2, 2018, North Empire filed a Summons with Notice against us, also in the same
+Added: Court, in which they allege damages in an amount of $11.4 million arising from an alleged breach of the Agreement.
+Added: On September 6, 2018,
North Empire filed a Notice of Discontinuance of the action it had filed on August 2, 2018.
−Removed: On September 27, 2018, North
−Removed: Empire filed an answer and asserted counterclaims in the action commenced by us against them, alleging that we failed to deliver
−Removed: stock certificates to North Empire causing damage to North Empire in the amount of $10,958,589.
−Removed: North Empire also filed a third-party
−Removed: complaint against our CEO and now former Chairman of the Board asserting similar claims against them in their individual capacities.
−Removed: On October 17, 2018, we filed a reply to North Empire’s counterclaims.
−Removed: On November 15, 2018, our CEO and now former Chairman
−Removed: of the Board filed a motion to dismiss North Empire’s third-party complaint.
−Removed: On January 6, 2020, the Court granted the motion
−Removed: and dismissed the third-party complaint.
−Removed: The parties are now engaging in discovery in connection with the claims and counterclaims.
−Removed: We intend to vigorously defend any claims made by North Empire.
−Removed: Risk Factors.
−Removed: Not required for a
−Removed: smaller reporting company.
−Removed: Unregistered Sales of Equity
−Removed: Securities and Use of Proceeds.
−Removed: Defaults Upon Senior Securities.
−Removed: Mine Safety Disclosures.
−Removed: Not applicable.
+Added: On September 27, 2018, North Empire filed
+Added: an answer and asserted counterclaims in the action commenced by us against them, alleging that we failed to deliver stock certificates
+Added: to North Empire causing damage to North Empire in the amount of $10,958,589.
+Added: North Empire also filed a third-party complaint against
+Added: our CEO and now former Chairman of the Board asserting similar claims against them in their individual capacities.
+Added: On October 17, 2018,
+Added: we filed a reply to North Empire’s counterclaims.
+Added: On November 15, 2018, our CEO and now former Chairman of the Board filed a motion
+Added: to dismiss North Empire’s third-party complaint.
+Added: On January 6, 2020, the Court granted the motion and dismissed the third-party
+Added: Discovery has been completed and both parties have filed motions for summary judgment in connection with the claims and counterclaims.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.