Company: SOS
Filing Date: 2025-07-02
Form Type: S-8
Source: 0001213900-25-061032
Chunk: 27

Company: SOS Ltd
Filing Date: 2025-07-02
Form: S-8
Chunk 27
---
cause the value of the securities to decline. You could lose all or part of your investment.

Risks Related to Doing Business in China

Uncertainties with respect to the PRC legal system could have a material adverse on us and the VIEs.

The PRC legal system
is a civil law system based on written statutes. Unlike the common law system, prior court decisions in a civil law system may be cited
as reference but have limited precedential value. Since 1979, newly introduced PRC laws and regulations have significantly enhanced the
protections of interest relating to foreign investments in mainland China. However, since these laws and regulations are relatively new
and the PRC legal system continues to evolve rapidly, the interpretations of such laws and regulations may not always be consistent, and
enforcement of these laws and regulations involves significant uncertainties, any of which could limit the available legal protections.

In addition, the PRC
administrative and judicial authorities have significant discretion in interpreting, implementing or enforcing statutory rules and contractual
terms, and it may be more difficult to predict the outcome of administrative and judicial proceedings and the level of legal protection
we and the VIEs may enjoy in the PRC than under some more developed legal systems. Furthermore, the PRC legal system is based in part
on government policies and internal rules (some of which are not published in a timely manner or at all) that may have retroactive effect.
These uncertainties may affect our decisions on the policies and actions to be taken to comply with PRC laws and regulations, and may
affect our and the VIEs’ ability to enforce our and their contractual or tort rights, respectively. In addition, the regulatory
uncertainties may be exploited through unmerited legal actions or threats in an attempt to extract payments or benefits from us or the
VIEs. Such uncertainties may therefore increase our and the VIEs’ operating expenses and costs, and materially and adversely affect
our and the VIEs’ business and results of operations.

The PRC government may exert, at any time, substantial intervention and influence over the manner of our operations, and the rules and regulations to which we are subject, including the ways they are enforced, may change rapidly and with little advance notice to us or our shareholders. Any such actions by the Chinese government, including any decision to intervene or influence the operations of our subsidiaries in mainland China or the VIEs or to exert control over any offering of securities conducted overseas and/or foreign investment in