Company: MNTR
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010157
Chunk: 52

Company: Mentor Capital, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Item 1
Chunk 52
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 12, 2021, the parties filed
a Stipulation for Dismissal and Continued Jurisdiction with the Superior Court of California in the County of Marin. The Court ordered
that it retain jurisdiction over the parties under Section 664.6 of the California Code of Civil Procedure to enforce the Settlement Agreement
until the performance in full of its terms is met.

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In August 2022, September 2022, and October 2022,
the G Farma Settlors failed to make monthly payments and failed to cure each default within 10 days’ notice from the Company pursuant
to the Settlement Agreement. As a result, $2,000,000 was added to the amount payable by the G Farma Settlors in accordance with the terms
of the Settlement Agreement. The Company and Partner I sought entry of a stipulated judgment against the G Farma Settlors for (1) $494,450,
the remaining amount of the $500,000 settlement amount, which has not yet been paid by the G Farma Settlors plus $2,000,000 and all accrued
unpaid interest, (2) the Company’s incurred costs, and (3) attorneys’ fees paid by the Company to obtain the judgment.

On July
11, 2023, the Court entered judgment against the G Farma Settlers in favor of the Company and Mentor Partner I, LLC in the amount of
$2,539,597. The judgment also accrues post-judgment interest at the rate of 10% from July 11, 2023 until such time as the judgment is
paid in full. The judgment and interest receivable of $437,646 at March 31, 2025 is fully reserved pending the outcome of the Company’s
collection process. Payments from G Farma and G Farma guarantors will be recognized in Other Income as they are received. The Company
has retained the full reserve on the unpaid notes receivable balance and collections of the unpaid lease receivable balance due to the
history of uncertain payments from G Farma and the G Farma Settlors.

Mentor Partner I, LLC

Mentor Partner I, LLC (“Partner I”) was
reorganized under the laws of the State of Texas in February 2021. Partner I originally held the contractual rights to lease payments
from G Farma and now the related settlement and $2,539,591 judgment receivable plus interest rece