Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 21

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 1
Chunk 21
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 from jurisdictions whose laws do not currently apply to our business, or the application of existing laws and regulations to the
internet and e-commerce generally could result in significant additional taxes on our business. Further, we could be subject to fines
or other payments for any past failures to comply with these requirements. The continued growth and demand for e-commerce is likely to
result in more laws and regulations that impose additional compliance burdens on e-commerce companies.

Laws and Regulations Relating to Data Privacy

In the ordinary course of our business, we might
collect and store in our internal and external data centers, cloud services and networks sensitive data, including our proprietary business
information and that of our customers, suppliers and business collaborators, as well as personal information of our customers and employees.
The secure processing, maintenance and transmission of this information is critical to our operations and business strategy. The number
and sophistication of attempted attacks and intrusions that companies have experienced from third parties has increased over the past
few years. Despite our security measures, it is impossible for us to eliminate this risk. 

14

A number of U.S. states have enacted data privacy
and security laws and regulations that govern the collection, use, disclosure, transfer, storage, disposal, and protection of personal
information, such as social security numbers, financial information and other sensitive personal information. For example, all 50 states
and several U.S. territories now have data breach laws that require timely notification to affected individuals, and at times regulators,
credit reporting agencies and other bodies, if a company has experienced the unauthorized access or acquisition of certain personal information.
Other state laws, particularly the California Consumer Privacy Act, as amended (“CCPA”), among other things, contain disclosure
obligations for businesses that collect personal information about residents in their state and affords those individuals new rights relating
to their personal information that may affect our ability to collect and/or use personal information. Moreover, on January 28, 2022, the
California Attorney General announced that certain consumer loyalty programs are subject to the CCPA, which may affect some of our customers
who use our loyalty program services if they are found not to comply with the CCPA’s requirements. Effective January 1, 2023, we
also became subject to the California Privacy Rights Act (the “CPRA”), which expands upon the consumer data use restrictions,
penalties and enforcement provisions under the California Consumer Privacy Act.

In addition to California, the following U.S.
states have enacted comprehensive consumer privacy protection