Company: CERO
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032134
Chunk: 178

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 178
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 patients’ personal data could result
in significant liability under state, federal, and international law and may cause a material adverse impact to our reputation, affect
our ability to conduct our clinical trials and potentially disrupt our business.

Applicable data protection
laws, privacy policies and data protection obligations may require us to notify relevant stakeholders of security incidents or compromises.
Such disclosures are costly, and the disclosures or the failure to comply with such requirements could lead to adverse consequences. If
we (or a third party upon whom we rely) experience a security incident or are perceived to have experienced a security incident, we may
also experience adverse consequences. These consequences may include: government enforcement actions (for example, investigations, fines,
penalties, audits, and inspections); additional reporting requirements and/or oversight; restrictions on processing sensitive information
(including personal data); litigation (including class claims); indemnification obligations; negative publicity; reputational harm; monetary
fund diversions; interruptions in our operations (including availability of data); financial loss; and other similar harms.

Our contracts may not contain
limitations of liability, and even where they do, there can be no assurance that the limitations of liability in our contracts are sufficient
to protect us from liabilities, damages, or claims related to our data privacy and security obligations.

We cannot be sure that our
insurance coverage will be adequate or sufficient to protect us from or adequately mitigate liabilities arising out of our privacy and
security practices, or that such coverage will continue to be available on commercially reasonable terms or at all, or that such coverage
will pay future claims.

Disruptions at the FDA, the SEC and other
government agencies caused by reduction in staffing, funding shortages or global health concerns could hinder their ability to hire and
retain key leadership and other personnel, prevent new products and services from being developed or commercialized in a timely manner
or otherwise prevent those agencies from performing normal business functions on which the operation of our business may rely, which could
negatively impact our business.

The ability of the FDA to review
and approve new products can be affected by a variety of factors, including staffing levels, government budget and funding levels, ability
to hire and retain key personnel and accept the payment of user fees, and statutory, regulatory, and policy changes. Average review times
at the agency have fluctuated in recent years as a result. In addition, government funding of the SEC and other government agencies on
which our operations may rely, including those that fund R&D activities is subject to the political process,