Company: IPST
Filing Date: 2025-02-04
Form Type: 424B3
Source: 0001213900-25-010139
Chunk: 83

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-02-04
Form: 424B3
Chunk 83
---
 our common stock. The loss of such sales and revenue
could also negatively impact our operating plan as we would have less operating cash flow to work with, which could force us to alter
our growth and marketing plans. There is also a risk that a third-party delivery company that is delivering the product to a consumer
leaves the package where an individual under the age of 21 can gain access to it, or that such company delivers it to a location and fail
to verify the person’s age. In such case, a state or local enforcement entity could attempt to claim we are partially culpable in
the delivery to a person who is not 21 years of age. If that person were to consume the product and engage in an activity dangerous
to themselves or others that causes death or serious bodily injury, a claim could be made against us as being part of the transaction.
We could fail to successfully defend any such claims, in addition to paying monetary damages. Even if we are successful in defending against
such claims, litigation could result in substantial costs and be a distraction to management or negatively impact the reputation of our
company.

<div align='center'>48</div>

We are subject to state-specific regulatory risks related to our location in Eugene, Oregon.

There are several risks associated with our locations
in Eugene, Oregon, including but not limited to:

| ● | The legislature or voters in Oregon may elect to privatize                                                                                 
 the state’s current monopoly-owned retail and distribution system, which would likely materially alter the way in which spirits            
 are distributed and priced in the state and would also change the way we have to market to secure shelf space in stores and in restaurants 
 and bars in order to gain or maintain market share.                                                                                        |

| ● | The Oregon Liquor Control Commission (the “OLCC”)                                                                        
 may not approve some or all of our products for listing and sale in the state or in our tasting rooms located in Oregon. |

| ● | The OLCC could deny our request to open additional tasting                                                                            
 rooms in the state of Oregon, thereby stranding equipment and capital and materially impacting our plan to generate more retail sales 
 in our own locations.                                                                                                                 |

In the event we begin to acquire, accumulate, hold, store, sell, transfer or otherwise use any cryptocurrencies, there is a risk that rules or regulations could change, impacting the value of any such crypto currencies we hold and our ability to continue to use them or how we recognize, use and value them.

Even though federal and state policies