Company: PTHS
Filing Date: 2025-05-27
Form Type: DEFM14C
Source: 0001140361-25-020509
Chunk: 86

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-27
Form: DEFM14C
Chunk 86
---
ed by the manufacture, use, sale, or importation of Channel’s products. The biotechnology and pharmaceutical industries are characterized by extensive and complex litigation regarding patents and other intellectual property rights. Channel’s competitors or other third parties may assert infringement claims against it, alleging that its therapeutics, manufacturing methods, formulations or administration methods are covered by their patents. Moreover, Channel may face patent infringement claims from non-practicing entities that have no relevant product revenue, and against whom its patent portfolio may therefore have no deterrent effect.

Third parties may initiate legal or administrative proceedings attacking the validity of Channel’s patents protecting CC8464, CT2000, CT3000 and future compounds the outcome of which would be uncertain and could have a material adverse effect on the success of its business.

Channel may in the future become party to, or be threatened with, adversarial proceedings or litigation regarding intellectual property rights with respect to CC8464, CT2000, CT3000 or any future compounds, or related technologies, including, for example, interference proceedings, post grant review challenges, and inter partes review before the U.S. Patent and Trademark Office (the “USPTO”). For example, a third party may bring an inter partes review challenging Channel’s patents and any future patent that may be granted to it. Such proceedings often are used as a tactic by defendants in a patent litigation suit to threaten a patentee’s patents, both asserted in the litigation and unasserted. Thus, a competitor, either in response to litigation initiated by Channel or in the ordinary course, may threaten the validity, enforceability, and breadth of Channel’s patents which could have a negative impact on our business and render our patents or other intellectual property rights ineffective or insufficient to prevent competition.**

<div align='center'>47</div>

#### TABLE OF CONTENTS
**Instituting and defending against patent and other types of intellectual property litigation and administrative proceedings could cause Channel to spend substantial resources, distract its personnel from their normal responsibilities, and have uncertain outcomes.

Patent and other types of intellectual property litigation and administrative proceedings can involve complex factual and legal questions, and their outcomes are uncertain. A finding of infringement could prevent Channel from manufacturing and commercializing its technologies, including CC8464, CT2000 and CT3000, or force it to cease some or all its business operations. If Channel is found or believe there is a risk that it may be found, to infringe a third party’s valid and enforceable intellectual property rights, it could be required (or