What changed in this filing

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Item 1. Legal Proceedings

2026-05-15 compared with 2025-11-14 · 23 added, 36 removed, 2 unchanged (97% of the section changed)

Legal Proceedings

On June 6, 2023, a vendor

filed a complaint against the Company for breach of contract in the Central District of California.

The vendor alleged that the Company

improperly terminated an Intellectual Property License and Supply Agreement (“IPLSA”) and that the Company also defrauded

the vendor in connection with the IPLSA.

This matter was settled on October 16, 2023, and the Company agreed to pay the vendor $600,000

within 5 business days of the close of the date that the Company completes an IPO or March 31, 2024, whichever occurs first.

Company recognized this as a litigation settlement expense in the accompanying consolidated statement of operations for the year ended

December 31, 2023.

On March 31, 2024, the

vendor agreed to extend the payment until May 15, 2024 for payment of an additional $25,000.

The Company has not made the payment

as of October 28, 2024, and the settlement is payable on demand.

Such an amount is included in litigation settlement payable in the

accompanying consolidated balance sheet at December 31, 2024.

On July 25, 2024 the arbitrator granted the implementation of

interest at the statutory rate on the unpaid balance commencing May 15, 2024 until paid.

This is still outstanding at September 30,

On July 1, 2022, NeOnc

Technologies, Inc.

and Fox Infused, LLC, a Delaware limited liability company (“Fox Infused”), entered into an Intellectual

Property License and Supply Agreement effective July 1, 2022 (the “Agreement”) whereby NeOnc agreed to supply certain

products to Fox Infused and license certain of our patents.

We terminated the Agreement with Fox Infused on April 25, 2023.

2023, Fox Infused filed a complaint against NeOnc in the Central District of California alleging that the termination was improper (Civil

Fox Infused also filed an ex parte application for a temporary restraining order and an order to show cause on

a preliminary injunction against us seeking to have the court stop the termination of the contract.

Fox Infused’s temporary restraining

order application was denied and the case dismissed without prejudice.

Fox Infused refiled the case in arbitration before the American

Arbitration Association (Case No.

We may in the future be involved in actual and/or threatened legal proceedings, claims, investigations and government inquiries arising in the ordinary course of our business, including legal proceedings, claims, investigations and government inquiries involving intellectual property, data privacy and data protection, privacy and other torts, illegal or objectionable content, consumer protection, securities, employment, contractual rights, civil rights infringement, false or misleading advertising, or other legal claims relating to our business.

On November 8, 2013, the Company entered into a collaboration agreement (“Agreement”) with Orient EuroPharma Co., Ltd.

(“OEP”), pursuant to which the parties will develop certain licensed products defined in the Agreement.

NeOnc will license OEP the right to commercialize the Company’s drug NEO100, a highly purified form of perillyl alcoho l (“Licensed Product”), in the territories specified in the license agreement (“Territory”).

In 2023, the Company sent notice to OEP indicating their intent to terminate the Agreement with OEP, after which OEP threatened litigation.

On February 15, 2024, OEP and the Company entered into a settlement agreement whereas the Company and OEP terminated the Agreement in exchange for a payment in the amount of $4,000,000 payable by the Company to OEP within ten days of the date the Company completes its initial public offering.

The settlement agreement provides for interest accruing on the unpaid balance.

The Company had a litigation settlement payable of $4,304,110 and $4,170,000 in the accompanying condensed consolidated balance sheets as of March 31, 2026 and December 31, 2025, respectively.

As of the date of this filing, the Company has not paid the litigation settlement amount.

On July 1, 2022, NeOnc Technologies, Inc.

and Fox Infused, LLC, a Delaware limited liability company (“Fox Infused”), entered into an Intellectual Property License and Supply Agreement effective July 1, 2022 (the “Fox Infused Agreement”) whereby NeOnc agreed to supply certain products to Fox Infused and license certain of our patents.

The Company terminated the Fox Infused Agreement on April 25, 2023.

On June 6, 2023, Fox Infused filed a complaint against the Company in the Central District of California alleging that the termination was improper (Civil Action No.

Fox Infused also filed an ex parte application for a temporary restraining order and an order to show cause on a preliminary injunction against the Company seeking to have the court stop the termination of the contract.

Fox Infused’s temporary restraining order application was denied, and the case was dismissed without prejudice.

Fox Infused refiled the case in arbitration before the American Arbitration Association (Case No.

01-23-0002-5020).

The parties engaged in settlement discussions and agreed to settle the dispute for

a $600,000 payment by us to Fox Infused within 5 business days of the closing date of the Company’s initial public offering or

March 31, 2024.

The Company is currently in default under the terms of such a settlement agreement.

In addition to that set forth above, we are, from time to time, party to various claims and legal proceedings arising out of our ordinary course of business, but we do not believe that any of these claims or proceedings will have a material effect on our business, consolidated financial condition or results of operations.

On October 16, 2023, the parties engaged in settlement discussions and agreed to settle the dispute for a $600,000 payment by the Company to Fox Infused within 5 business days of the closing date of the Company’s initial public offering or March 31, 2024.

On March 31, 2024, Fox Infused agreed to extend the payment until May 15, 2024 in exchange for an additional $25,000 payable on demand.

The Company did not make the payment, and on July 25, 2024, the arbitrator granted interest at the statutory rate of 10% per annum on the unpaid balance commencing May 15, 2024.

The Company remained in default through December 31, 2025, with the total obligation, including accrued interest, included in litigation settlement payable in the accompanying condensed consolidated balance sheets at that date.

Fox Infused initiated default proceedings against the Company, which resulted in direct and indirect costs to the Company in defending and responding to such proceedings.

In February 2026, the Company satisfied this obligation in full by paying the settlement amount plus accrued interest, for a total payment of $737,921.

As of March 31, 2026, no remaining liability associated with this settlement was outstanding.

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-Q

Item 1. Legal Proceedings