Company: INMB
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001013762-25-003354
Chunk: 71

Company: Inmune Bio, Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1
Chunk 71
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 may
significantly delay or prevent the achievement of our research, development or business objectives and could materially adversely affect
our business, financial condition and results of operations.

Our ability to manage growth
effectively will require us to continue to implement and improve our management systems and to recruit and train new employees. There
can be no assurance that we will be able to successfully attract and retain skilled and experienced personnel.

Product liability lawsuits against us could
divert our resources, cause us to incur substantial liabilities and limit commercialization of any products that we may develop.

We face an inherent risk of
product liability claims as a result of the clinical testing of our product candidate despite obtaining appropriate informed consent from
our clinical trial participants. We will face an even greater risk if we commercially sell any product that we may develop. For example,
we may be sued if any product we develop allegedly causes injury or is found to be otherwise unsuitable during clinical testing, manufacturing,
marketing or sale. Any such product liability claims may include allegations of defects in manufacturing, defects in design, a failure
to warn of dangers inherent in the product, negligence, strict liability or a breach of warranties. Claims could also be asserted under
state consumer protection acts. If we cannot successfully defend ourselves against product liability claims, we may incur substantial
liabilities or be required to limit commercialization of our product candidate. Regardless of the merits or eventual outcome, liability
claims may result in:

    ●
    decreased demand for our product candidate or products that we may develop;

    ●
    injury to our reputation and significant negative media attention;

    ●
    withdrawal of clinical trial participants;

    ●
    significant costs to defend resulting litigation;

    ●
    substantial monetary awards to trial participants or patients;

    ●
    loss of revenue;

    ●
    reduced resources of our management to pursue our business strategy; and

    ●
    the inability to commercialize any products that we may develop.

Although we plan to maintain
general liability insurance, this insurance may not fully cover potential liabilities that we may incur. The cost of any product liability
litigation or other proceeding, even if resolved in our favor, could be substantial. In addition, insurance coverage is becoming increasingly
expensive. If we are unable to obtain or maintain sufficient insurance coverage at an acceptable cost or to otherwise protect against
potential product liability claims, it could prevent or inhibit the development and commercial production and sale of our product candidate,
which could adversely affect our business, financial condition, results of