SUBSEQUENT EVENTS

3 Months Ended

Mar. 31, 2022

SUBSEQUENT EVENTS

NOTE 22 - SUBSEQUENT EVENTS

NOTE 22 – SUBSEQUENT EVENTS

Subsequent events were evaluated through the filing date of this Quarterly Report, May 16, 2022.

On April 12, 2022, the Company filed a civil action in the California Super Court for the County of Ventura against the Investor referenced in Note 14, alleging that the Investor entered into the Purchase Agreement as an unregistered securities dealer and unlicensed finance lender in violation of California law. The Company’s complaint seeks rescission of the Purchase Agreement, damages, attorneys’ fees and other relief. As of the filing date of this report, the Investor has not responded to the complaint.

On April 27, 2022, the Company received $0.5 million from an investment company in exchange for promissory notes. Both the Company and the investment company agreed to negotiate the terms of the promissory note and as of the filing date of this report, the Company and Investor are still negotiating the terms of the promissory note.