Company: IPST
Filing Date: 2025-08-18
Form Type: PRE 14A
Source: 0001788230-25-000134
Chunk: 33

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-18
Form: PRE 14A
Chunk 33
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 of Incorporation, which is attached to this Proxy Statement as Appendix B and incorporated into this Proxy Statement by reference. We urge you to read carefully this proposed amendment to Section A, Article VII that is set forth in Appendix B in its entirety because this summary may not contain all the information about this amendment that is important to you.

### Background of Proposal
As part of the Board’s review of our corporate governance policies, the Nominating and Corporate Governance Committee of the Board and the Board as a whole considered the advantages and disadvantages of prohibitions against stockholder action by written consent similar to that currently found in Section A, Article VII of the Certificate of Incorporation. This type of prohibition generally is intended to facilitate corporate stability by requiring stockholder action to occur at a duly called and convened stockholder meeting. Voting limitations, such as those in Section A, Article VII of the Certificate of Incorporation prohibiting stockholder action by written consent, may also have the effect of providing anti-takeover protection to our Company. However, many investors and others view prohibitions against stockholder action by written consent as conflicting with principles of good corporate governance by preventing stockholders from fully exercising their voting rights as stockholders due to the need to convene at an annual or special meeting to effect change. Section 228 of the Delaware General Corporation Law (the “DGCL”) allows stockholders to act by written consent unless otherwise provided in the corporation’s certificate of incorporation. If the proposal is approved, amendments to our Certificate of Incorporation previously approved by our Board, subject to approval of the Stockholder Action Proposal, allowing stockholder action by written consent will become effective.

After considering the advantages and disadvantages of the prohibition on stockholder action by written consent set forth in Section A, Article VII of the Certificate of Incorporation, the Board has unanimously voted to propose to the stockholders that Section A, Article VII be amended to remove the prohibition, and instead allow stockholders to take actions as provided by law and our Bylaws. In reaching this determination to propose this amendment to our Certificate of Incorporation, the Board concluded that the benefits of prohibiting stockholder action by written consent were outweighed by the Board’s belief that removing the prohibition is a meaningful step towards achieving our goal of ensuring that our corporate governance policies conform to current best practices and maximizing the ability of our stockholders to appropriately participate in our affairs.

Text of the Amendment

The proposed amendment to the Certificate of Incorporation is set forth in Appendix B to this Proxy Statement. If this proposal is approved by our