Company: MNTR
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010157
Chunk: 7

Company: Mentor Capital, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Item 1
Chunk 7
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 against the G Farma Settlors for (1) $494,450,
the remaining amount of the $500,000 settlement amount, which has not yet been paid by the G Farma Settlors plus $2,000,000 and all accrued
unpaid interest, (2) the Company’s incurred costs, and (3) attorneys’ fees paid by the Company to obtain the judgment.

On July 11, 2023, the Court entered judgment against
the G Farma Settlors and in favor of Mentor and Partner I in the amount of $2,539,597, which is comprised of $2,494,450 in principal (calculated
as the aggregate settlement amount, less payments made by the G Farma Settlors, plus the default addition) plus accrued and unpaid interest
of $40,219, costs of $1,643, and attorneys’ fees of $3,285 incurred by Mentor and Mentor Partner I in connection with obtaining
the judgment. The judgment also accrues post-judgment interest at the rate of 10% from July 11, 2023 until such time as the judgment is
paid in full.

    -9-

Note 1 - Nature of operations (continued)

The Company has retained the full reserve on the unpaid
notes receivable balance and collections of the unpaid lease receivable balance due to the  history of uncertain payments from G Farma
and the G Farma Settlors. Payments from G Farma and G Farma Settlors will be recognized in Other Income as they are received. Recovery
payments of $3,550 and $2,000 were included in other income in the consolidated financial statements for the year ended December 31, 2022
and 2021, respectively. The last recovery payment was received on October 11, 2022. The $2,539,597 judgment and interest receivable of
$437,646 for the three months ended March 31, 2025 is fully reserved pending the outcome of the Company’s collection process. See
Notes 8 and 16.

On November 22, 2017 and October 31, 2018, the Company
purchased convertible notes in principal face value of $50,000 and $25,000, respectively, from NeuCourt, Inc. (“NeuCourt”)
that each bore interest at 5% per annum. On November 7, 2019, October 28,