Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 2953

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 2953
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 will be able to raise additional capital or generate funds from operations sufficient to meet our obligations. If we are unable to raise sufficient capital in the future, we may not be able to have the resources to continue our normal operations. The foregoing risks may have a material adverse effect on our Company and the trading price of our common stock.

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We expect to face competition from the illicit market as well as the psychoactive hemp-derived products industry

We expect to face competition from the illicit market as well as the psychoactive hemp-derived products industry. The competition presented by illicit cannabis businesses, and the inability or unwillingness of law enforcement authorities to enforce existing laws prohibiting the unlicensed or otherwise illegal cultivation and sale of cannabis, could result in the perpetuation of the illegal market for cannabis and/or have a material adverse effect on the perception of cannabis use. 

Psychoactive hemp-based products, which were legalized under the Farm Bill, are generally not subject to the intensive and costly state-level regulatory regimes that medical and adult-use cannabis are subject to. These products generally are not produced in adherence with the same laws, regulations, rules, tax regimes and other restrictions that are applicable to the sale and manufacture of cannabis; as a result, hemp product manufacturers have advantages over licensed cannabis manufacturers and sellers. In addition, although not subject to the same quality and health and safety regulations applicable to medical and adult-use cannabis businesses, if Farm Bill-compliant hemp products cause harm to their users, that could result in a material adverse effect on the perception of cannabis use and its legality.

The foregoing risks may have a material adverse effect on our Company and the trading price of our common stock.

We may face difficulties in enforcing our contracts

Because our contracts may involve cannabis and other activities that are not legal under federal law and in some state jurisdictions, we may face difficulties in enforcing our contracts in federal courts and certain state courts. We cannot be assured that we will have a remedy for breach of contract, which could have a material adverse effect on us. The foregoing risk may have a material adverse effect on our Company and the trading price of our common stock.

We have limited trademark protection

We may not able to register any federal trademarks for our cannabis products. Because producing, manufacturing, processing, possessing, distributing, selling and using cannabis is a crime under the CSA, the Patent and Trademark Office will not permit the registration of any trademark that identifies cannabis products. As a result, we likely will be unable to protect our cannabis product trademarks beyond the geographic areas in which