Company: FLYE
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001213900-25-078571
Chunk: 151

Company: Fly-E Group, Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 8
Chunk 151
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 The GO FLY APP is fully completed and delivered on September 9, 2024. The ERP
system is fully completed and delivered on May 20, 2025.

We source a significant portion of our vehicle components from China
and the United States, and then assemble them into our vehicles in a facility located in Maspeth, New York. For the three months
ended June 30, 2025, we produced 1,236 E-motorcycles, 384 E-bikes and 88 E-scooters at the same facility.

33

Recent Developments

UL Litigation

On or about March 12, 2025, UL LLC (“UL”)
filed a complaint against the Company, along with the Company’s certain subsidiaries and certain individuals, in the Eastern District
of New York (the “Complaint”). The Complaint alleges that the Company improperly used UL’s trademark by claiming
certain products were certified by UL. The Complaint seeks $2,000,000 for each instance an allegedly counterfeit UL mark was used
and asserts claims for federal trademark infringement and counterfeiting, unfair competition and false designations of the origin and
false and misleading representations, common law unfair competition, common law unjust enrichment, and unlawful deceptive acts and practices.

On May 21, 2025, Company, along with its
certain subsidiaries and certain individuals, and UL entered into a settlement and release agreement (the “Settlement Agreement”)
on mutually acceptable settlement terms. Pursuant to the Settlement Agreement, the Company and the other defendants agreed to pay UL an
aggregate amount of $1,000,000 before November 30, 2025, and entered into a Consent Judgment and Permanent Injunction pursuant to
which the Company and the other defendants agreed not to offer for sale, sell, or distribute products with UL Marks that were not tested
and certified by UL. From May 28 to July 15, 2025, the Company paid $350,000 to UL.

The Settlement Agreement fully resolves all pending
litigation between UL and the Company, and each party fully releases the other party from any and all past or present claims, demands,
causes of action, obligations, damages, liabilities, expenses, or compensation of whatever kind or nature, that were or could have been
asserted in connection with the Company’s sales of products with a UL Mark which were not tested and certified by UL.

2025 Reverse Stock Split

On March