Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 234

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 234
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 use of the relevant vehicle. The execution
of such lease agreement is facilitated through the Zoomcar Platform in the form of a clickwrap agreement.

Given that Zoomcar operates
as a peer-to-peer carsharing marketplace which facilitates sharing of vehicles between the Hosts and Guests through its platform, the
responsibility and liability of Zoomcar under the T&Cs is limited to being a facilitator of such transaction and the obligations for
liabilities arising out of listing and/or use of the vehicle booked through the platform is on the Guests and the Hosts. The use of the
Zoomcar platform and sharing of vehicle through the platform is undertaken by the Host and Guests entirely at their own risk. Zoomcar’s
liability is further capped under the T&Cs at approximately $120 (across all jurisdictions) for any claims arising out of the use
of Zoomcar platform. However, Zoomcar, as part of the facilitation services to Hosts and Guests, also provides for trip-based vehicle
protection whereby Zoomcar collects and pools the “value-add” damage coverage fee to be applied to the costs of repairs or
other damage or loss of vehicle in the event a Host vehicle is involved in an incident, such as an accident, during a trip and this value-add
trip protection fee pool may not always help set off the damage claims. Therefore, Zoomcar often remains at a risk of residual claims
that it may have to absorb in absence of a third-party insurance. See the section titled “Risk Factors - Insurance Risks Related
to Our Business,” as our business is subject to certain risks in absence of third-party insurance cover that could have a material
impact on our business.

65

Item 1A.
Risk Factors 

An investment in our securities
involves a high degree of risk. You should carefully consider the risks described below before making an investment decision. Our business,
prospects, financial condition, or operating results could be harmed by any of these risks, as well as other risks not currently known
to us or that we currently consider immaterial. The trading price of our securities could decline due to any of these risks, and, as a
result, you may lose all or part of your investment.

In the course of conducting
our business operations, we are exposed to a variety of risks. Any of the risk factors we describe below have affected or could materially
adversely affect our business, financial condition, and results of operations. The market price of our securities could