Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 27

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 27
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 bodies’ regulations, which, when combined, results
in a highly regulated industry.

We are also subject to federal
and state regulations relating to employment, contractors, and compensation practices. Except for our employed Company agents, all agents
in our brokerage operations have been retained as independent contractors, either directly or indirectly through our franchisors. With
respect to these independent contractors, like most brokerage firms, we are subject to the Internal Revenue Service regulations and applicable
state law guidelines regarding independent contractor classification. These regulations and guidelines are subject to judicial and agency
interpretation.

Federal Regulation

The Real Estate Settlement
Procedures Act of 1974, as amended, became effective on June 20, 1975. RESPA requires lenders, mortgage agents, or servicers of home loans
to provide borrowers with pertinent and timely disclosures regarding the nature and costs of the real estate settlement process. RESPA
also protects borrowers against certain abusive practices, such as kickbacks, and places limitations upon the use of escrow accounts.
RESPA also requires detailed disclosures concerning the transfer, sale, or assignment of mortgage servicing, as well as disclosures for
mortgage escrow accounts. RESPA is administered and enforced by Consumer Financial Protection Bureau (the “CFPB”). We are
also subject to the Fair Housing Act of 1968 (the “FHA”) which prohibits discrimination in the purchase or sale of homes and
applies to real estate brokers and agents, among others. The FHA prohibits expressing any preference or discrimination based on race,
religion, sex, handicap, and certain other protected characteristics, and applies broadly to many forms of advertising and communications.
Other federal laws and regulations applicable to our business include (i) the Federal Truth in Lending Act of 1969; (ii) the Federal Equal
Credit Opportunity Act; (iii) the Federal Fair Credit Reporting Act; (iv) the Home Mortgage Disclosure Act; (v) the Gramm-Leach-Bliley
Act; (vi) the Consumer Financial Protection Act; (vii) the Fair and Accurate Credit Transactions Act; and (viii) the Do Not Call/Do Not
Fax Act and other federal and state laws pertaining to the privacy rights of consumers, our collection, use, and disclosure of data collected
from our website and mobile users, and the manner and circumstances under which we or third parties may market and advertise our services
to consumer which affects our opportunities to solicit new clients.

Our business is also subject
to various antitrust and competition