Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 126

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 1
Chunk 126
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ability to attract and retain students.

For
our campuses, the performance and reliability of program infrastructure is critical to their operations, reputation and ability to attract
and retain students. Any computer system error or failure, significant increase in traffic on our computer networks, or any significant
failure or unavailability of our computer networks, including, but not limited to, those as a result of natural disasters and network
and telecommunications failures could materially disrupt our delivery of these programs. Any interruption to our institutions’
computer systems or operations could have a material adverse effect on our total student enrollment, our business, financial condition,
results of operations and cash flows.

Our
computer networks may also be vulnerable to unauthorized access, computer hackers, computer viruses and other security threats. A user
who circumvents security measures could misappropriate proprietary information or cause interruptions or malfunctions in our operations.
Due to the sensitive nature of the information contained on our networks hackers may target our networks. We may be required to expend
significant resources to protect against the threat of these security breaches or to alleviate problems caused by these breaches. We
cannot ensure that these efforts will protect our computer networks against security breaches despite our regular monitoring of our technology
infrastructure security.

Any
general decline in Internet use for any reason, including security or privacy concerns, cost of Internet service or changes in government
regulation, could result in less demand for online educational services and inhibit growth in our online programs.

We
may incur liability for the unauthorized duplication or distribution of class materials posted online for class discussions.

In
some instances our faculty members or our students may post various articles or other third-party content on class discussion boards
or download third-party content to personal computers. We may incur claims or liability for the unauthorized duplication or distribution
of this material. Any such claims could subject us to costly litigation and could impose a strain on our financial resources and management
personnel regardless of whether the claims have merit.

We
rely on proprietary rights and intellectual property in conducting our business, which may not be adequately protected under current
laws, and we may encounter disputes from time to time relating to our use of intellectual property of third parties.

Our
success depends in part on our ability to protect our proprietary rights. We rely on a combination of copyrights, trademarks, service
marks, trade secrets, domain names and agreements to protect our proprietary rights. We may also rely upon service mark and trademark
protection in the United States to protect our rights to our marks as well as distinctive logos and other marks