Company: IXHL
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001213900-25-092837
Chunk: 337

Company: Incannex Healthcare Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1A
Chunk 337
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, the opinions they express may be based on distortions
or omissions of actual facts or, in some cases, fabrications of facts. Short attacks have, in the past, led to selling of shares in the
market, on occasion in large scale and broad base. Issuers who have limited trading volumes and are susceptible to higher volatility levels
than large-cap stocks, can be particularly vulnerable to such short seller attacks. Significant short selling of a company’s stock
creates an incentive for market participants to reduce the value of that company’s common stock. Short selling may lead to the placement
of sell orders by short sellers without commensurate buy orders because the shares borrowed by short sellers do not have to be returned
by any fixed period of time. If a significant market for short selling our common stock develops, the market price of our common stock
could be significantly depressed.

80

Claims for indemnification by our directors and officers may
reduce our available funds to satisfy successful third-party claims against us and may reduce the amount of money available to us.

Our amended and restated bylaws provide that we
will indemnify our directors and officers, in each case to the fullest extent permitted by Delaware law.

In addition, as permitted by Section 145 of the
Delaware General Corporation Law, our amended and restated bylaws and our indemnification agreements that we have entered into with our
directors and executive officers provide that:

●We will indemnify our directors and executive officers for serving
                                            us in those capacities or for serving other related business enterprises at our request,
                                            to the fullest extent permitted by Delaware law. Delaware law provides that a corporation
                                            may indemnify such person if such person acted in good faith and in a manner such person
                                            reasonably believed to be in or not opposed to the best interests of the registrant and,
                                            with respect to any criminal proceeding, had no reasonable cause to believe such person’s
                                            conduct was unlawful.

●We may, in our discretion, indemnify employees and agents in
                                            those circumstances where indemnification is permitted by applicable law.

●We are required to advance expenses, as incurred, to our directors
                                            and officers in connection with defending a proceeding, except that such directors or officers
                                            shall undertake to repay such advances if it is ultimately determined that such person is
                                            not entitled to indemnification.

●The rights conferred in our amended and restated bylaws are not
                                            exclusive, and we are authorized to enter into indemnification agreements with our