Company: IXHL
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001213900-25-092837
Chunk: 326

Company: Incannex Healthcare Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1A
Chunk 326
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, in addition to paying monetary damages, we may lose valuable intellectual property rights or personnel, which could adversely
impact our business. Even if we are successful at defending against such claims, litigation could result in substantial costs and be a
distraction to management and other employees.

Intellectual property rights do not address all potential threats
to our competitive advantage.

The degree of future protection afforded by our
intellectual property rights is uncertain because intellectual property rights have limitations, and may not adequately protect our business,
or permit us to maintain our competitive advantage. The following examples are illustrative:

●Others may be able to make products that are similar to ours but that are not covered by our intellectual property rights.

●Others may independently develop similar or alternative technologies or otherwise circumvent any of our technologies without infringing
our intellectual property rights.

●We or any of our collaboration partners might not have been the first to conceive and reduce to practice the inventions covered by
the patents or patent applications that we own, license or will own or license.

●We or any of our collaboration partners might not have been the first to file patent applications covering certain of the patents
or patent applications that we or they own or have obtained a license or will own or will have obtained a license.

●It is possible that any pending patent applications that we have filed, or will file, will not lead to issued patents.

●Issued patents that we own may not provide us with any competitive advantage, or may be held invalid or unenforceable, as a result
of legal challenges by our competitors.

●Our competitors might conduct R&D activities in countries where we do not have patent rights, or in countries where R&D safe
harbor laws exist, and then use the information learned from such activities to develop competitive products for sale in our major commercial
markets.

●Ownership of our patents or patent applications may be challenged by third parties.

●The patents of third parties or pending or future applications of third parties, if issued, may have an adverse effect on our business.

Changes in patent law could diminish the value of patents in
general, thereby impairing our ability to protect our drug candidates and any future drug candidates.

As is the case with other biotechnology and pharmaceutical
companies, our success is heavily dependent on intellectual property rights, particularly patents. Obtaining and enforcing patents in
the biopharmaceutical industry involves technological and legal complexity, and obtaining and enforcing biopharmaceutical patents is costly,
time-consuming and inherently uncertain. The U.S. Supreme Court