Company: CLOQ
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001641172-25-009976
Chunk: 17

Company: CYBERLOQ TECHNOLOGIES, INC.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 17
---
 capital markets. In light of management’s efforts,
there are no assurances that the Company will be successful in this or any of its endeavors or become financially viable and continue
as a going concern.

NOTE 4 – SERVICES
AGREEMENT

On September 25, 2023,
the Company entered into a Services Agreement with QRails, Inc to integrate the features of CyberloQ® and its multi-factor security
protocol into QRails’ processing platform. As a result of the integration, anyone who has their card processing services through
QRails will have the option to utilize the features of CyberloQ in conjunction with their card programs. The agreement also includes the
integration of CyberloQ into the card network of XTM, Inc. Under the terms of the Agreement, the Company will pay $100,000 to QRails
for scoping and planning, and integration payable in two installments. The first installment was paid at signing in the amount of $50,000 and
was capitalized on the balance sheet. The second installment was paid on October 15, 2023 in the amount of $50,000. Additionally, QRails
will pay a monthly API licensing fee in the amount of $5,000 beginning October 30, 2023 and ending on April 30, 2024. During the
period ended June 30, 2024, it was determined that QRails had not and was not going to pay the $5,000 monthly fee, as a result $25,000 in
bad debt was recognized.

NOTE 5 – SETTLEMENT
AGREEMENT

On February 28, 2022,
the Company signed a Separation and Release of Claims Agreement with an employee, officer and director of the Company. The terms of the
agreement are as follows:

    ●
    The employee resigned from the Company’s Board of Directors

    ●
    The employee resigned his position as an officer of the Company, and his employment agreement was terminated

    ●
    The employee assigned and transferred 10,000 shares of preferred stock to be canceled and extinguished by the Company. A loss of $10 was recorded

    ●
    The Company will pay the $50,000 as a severance payment. This was paid on the date of the agreement and a loss of $18,076 was recorded

    ●
    The Company and the employee entered into a Common Stock Redemption