What changed in this filing

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Item 3. Legal Proceedings

2025-03-27 compared with 2024-04-01 · 43 added, 40 removed, 6 unchanged (93% of the section changed)

3 unchanged sentences

harm our business.

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 of New York for breach of a Securities Purchase Agreement or Agreement in which we are seeking damages in an amount to be

determined at trial, but in no event less than $616,000.

On August 2, 2018, North Empire filed a Summons with Notice against us,

also in the same Court, in which they allege damages in an amount of $11.4 million arising from an alleged breach of the Agreement.

On September 6, 2018, North Empire filed a Notice of Discontinuance of the action it had filed on August 2, 2018.

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

of New York for breach of a Securities Purchase Agreement or Agreement in which we are seeking damages in an amount to be determined

at trial, but in no event less than $616,000.

On August 2, 2018, North Empire filed a Summons with Notice against us, also in the same

Court, in which they allege damages in an amount of $11.4 million arising from an alleged breach of the Agreement.

On September 6, 2018,

2018, North Empire filed an answer and asserted counterclaims in the action commenced by us against them, alleging that we failed to

deliver stock certificates to North Empire causing damage to North Empire in the amount of $10,958,589.

North Empire also filed a

third-party complaint against our CEO and now former Chairman of the Board asserting similar claims against them in their individual

On October 17, 2018, we filed a reply to North Empire’s counterclaims.

On November 15, 2018, our CEO and now

former Chairman of the Board filed a motion to dismiss North Empire’s third-party complaint.

On January 6, 2020, the Court

granted the motion and dismissed the third-party complaint.

Discovery has been completed and both parties have filed motions for

summary judgment in connection with the claims and counterclaims.

On December 30, 2021, the Court denied both My Size and North

Empire’s motions for summary judgment, arguing there were factual issues to be determined at trial.

On January 26, 2022, the

Company filed a notice of appeal of the summary judgment decision.

On February 3, 2022, the Company filed a motion to reargue the

Court’s decision denying the Company’s motion for summary judgment.

On or about September 12, 2022, the Court issued its

Decision and Order denying the Company’s motion to reargue.

North Empire filed its opposing brief on December 7, 2022.

sides were given an opportunity to file a reply brief.

We filed our reply brief on January 4, 2023 and North Empire filed its reply

brief on January 13, 2023.

Oral argument was held before the Appellate Court on February 7, 2023.

On or about February 28, 2023, the

Appellate Court filed its Decision and Order, which affirmed the lower court’s decisions regarding both My Size and North

Empire’s motions for summary judgment and sent the case back to the Supreme Court.

On or about March 13, 2023, the Supreme

Court referred the case to its Alternative Dispute Program and ordered the cases to mediate.

The mediation was held on July 26, 2023 and various settlement options were explored but the mediation did not lead to settlement.

On December 21, 2023, a conference with the Court was held and the parties were given dates for various pre-trial filings.

pre-trial conference is scheduled to be held on May 31, 2024, at which point the Court will schedule the matter for trial on the ultimate

We intend to vigorously defend any claims made by North Empire.

believe it is more likely than not that the counterclaims will be denied.

North Empire filed a Notice of Discontinuance of the action it had filed on August 2, 2018.

On September 27, 2018, North Empire filed

an answer and asserted counterclaims in the action commenced by us against them, alleging that we failed to deliver stock certificates

to North Empire causing damage to North Empire in the amount of $10,958,589.

North Empire also filed a third-party complaint against

our CEO and now former Chairman of the Board asserting similar claims against them in their individual capacities.

On October 17, 2018,

we filed a reply to North Empire’s counterclaims.

On November 15, 2018, our CEO and now former Chairman of the Board filed a motion

to dismiss North Empire’s third-party complaint.

On January 6, 2020, the Court granted the motion and dismissed the third-party

Discovery has been completed and both parties have filed motions for summary judgment in connection with the claims and counterclaims.

On December 30, 2021, the Court denied both My Size and North Empire’s motions for summary judgment, arguing there were factual

issues to be determined at trial.

On January 26, 2022, the Company filed a notice of appeal of the summary judgment decision.

3, 2022, the Company filed a motion to reargue the Court’s decision denying the Company’s motion for summary judgment.

or about September 12, 2022, the Court issued its Decision and Order denying the Company’s motion to reargue.

North Empire filed

its opposing brief on December 7, 2022.

On or about March 13, 2023, the Supreme Court referred the case to its Alternative Dispute Program

and ordered the cases to mediate.

The mediation was held on July 26, 2023 and various settlement options were explored but the mediation

did not lead to settlement.

On December 21, 2023, a conference with the Court was held and the parties were given dates for various pre-trial

The parties agreed on settlement terms, including a global settlement with a third party with related claims.

On November 19,

2024, the settlement agreement was executed and on December 2, 2024, the parties filed the Stipulation of Discontinuance with the Court

and the action was dismissed.

July 2024, we were served with a legal complaint filed by Shimon Shukron in the Magistrate’s Court in Herzliya for a monetary award

in an amount of NIS 1,895,345 (approximately $510,000).

The plaintiff alleges that due to the fire that broke out at Orgad’s warehouse

in January 2023, the fire spread to the plaintiff’s business and caused heavy damage to the structure and contents, inventory of

the business and loss of profits.

We filed our statement of defense in September 2024.

At this preliminary stage, the plaintiff did not

provide sufficient documents to support his claims regarding the extent of the alleged damage.

The Company is working on its damage evaluation

As such, we cannot evaluate the chances of the claim to succeed.

MINE SAFETY DISCLOSURES

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.

What changed 10-K

Item 3. Legal Proceedings