Company: NCL
Filing Date: 2025-11-14
Form Type: 424B3
Source: 0001575872-25-000688
Chunk: 38

Company: Northann Corp.
Filing Date: 2025-11-14
Form: 424B3
Chunk 38
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. If we fail to complete such registrations or obtain such approvals, our ability to use the proceeds
we received or expect to receive from our offshore offerings and to capitalize or otherwise fund our PRC operations may be negatively
affected, which could materially and adversely affect the PRC subsidiaries’ business, including their liquidity and their ability
to fund and expand their business.

| 18 |

You may experience difficulties in effecting service of legal process, enforcing foreign judgments, or bringing actions in China against us or our PRC subsidiaries based on foreign laws. It may also be difficult for you or overseas regulators to conduct investigations or collect evidence within China.

Our subsidiaries conduct
a substantial amount of operations (including the manufacturing of most of our products) in China and most of our assets and equipment
are located in China. As a result, it may be difficult for you to effect service of process upon us or our PRC subsidiaries inside China.
In addition, there is uncertainty as to whether the PRC would recognize or enforce judgments of U.S. courts against us or our PRC subsidiaries
predicated upon the civil liability provisions of U.S. securities laws or those of any U.S. state.

The recognition and enforcement
of foreign judgments are provided for under the PRC Civil Procedures Law. PRC courts may recognize and enforce foreign judgments in accordance
with the requirements of the PRC Civil Procedures Law based either on treaties between China and the country where the judgment is made
or on principles of reciprocity between jurisdictions. China does not have any treaties or other forms of written arrangement with the
U.S. that provide for the reciprocal recognition and enforcement of foreign judgments. In addition, according to the PRC Civil Procedures
Law, the PRC courts will not enforce a foreign judgment against us or our directors and officers if they decide that the judgment violates
the basic principles of PRC laws or national sovereignty, security, or public interest. As a result, it is uncertain whether and on what
basis a PRC court would enforce a judgment rendered by a court in the United States.

It may also be difficult
for you or overseas regulators to conduct investigations or collect evidence within China. For example, in China, there are significant
legal and other obstacles to obtaining information needed for stockholder investigations or litigation outside China or otherwise with
respect to foreign entities. Although the authorities in China may establish a regulatory cooperation mechanism with its counterparts
of another country or region to monitor and oversee cross-border securities activities, such regulatory cooperation with the securities
reg