Company: INVUP
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001493152-25-022223
Chunk: 99

Company: Investview, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 99
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 of Chancery of the State of Delaware captioned Investview
et al., v. UIU Holdings, LLC et al., seeking to, among other things, compel the Defendants to fulfill the commitments that were made
to the Company’s customers under the TPP Program. At present, we are in the process of responding to certain procedural challenges
that have been raised by the Defendants in response to the Complaint, including motions to dismiss the Complaint that we are opposing.
To date, the court process has not yet addressed the substance of our claim. Due to the uncertainties and procedural delays associated
with matters of litigation, and in recognition of the early-stage of the proceedings, we cannot assure that the outcome of the legal
proceedings will be consistent with our objectives.

We
have instituted a legal proceeding instituted to collect significant balance owed by credit card processor and clearing bank

Our
financial statements as of September 30, 2025 reflect a receivables balance of $2.69 million. Of that balance, $2.13 million represents
receivables that arise out of credit card transactions generated by our iGenius subsidiary. The credit card transactions that arise out
of the ordinary course operations of our iGenius subsidiary are handled by credit card processors, in conjunction with their clearing
banks. Over time, the balance of credit card collections being held by one of our credit card processors and its clearing bank, which
are legally supposed to be held for our benefit, subject to coverage for chargebacks and other normal course collection issues, has increased
to approximately $1.87 million, an amount that has been generally confirmed by the credit card processor. As they had been unresponsive
to our repeated demands for payment, claiming that they were in the process of concluding their internal accounting of the amounts due
and evaluating any possible exposure to chargebacks and other normal course collection issues, in March 2024, we instituted a lawsuit
against this credit card processor and its clearing bank seeking, among other things, an accounting for and repayment of the withheld
funds. We continue to assert our rights of recovery in the due course of the litigation. Due to the inherent delays and uncertainty of
the litigation process, there can still be no assurances that we will be able to collect some or all of the funds owed to us. Should
we be unable to collect some or all of the funds owed, we will be caused to incur a corollary bad debt expense of up to the uncollected
amount which is