Company: VPLM
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006777
Chunk: 51

Company: Voip-pal.com Inc
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 2
Chunk 51
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.

In
connection with the assessment described above, management identified the following control deficiencies that represent material weaknesses
as of December 31, 2024:

    -
    No
    formal codes of conduct.

    -
    Lack
    of proper controls over financial reporting of unusual and complex transactions.

Based
on this evaluation, our management, including our Chief Executive Officer and Chief Financial Officer, concluded that, as of December
31, 2024, our disclosure controls and procedures were not effective due to the material weaknesses in our internal control over financial
reporting, relating to no formal codes of conduct and the lack of proper controls over financial reporting of unusual and complex transactions.

Remediation

In
response to the material weakness described above, the Company will be implementing a remediation plan to address the material weaknesses
which will include measures to enhance its documentation of a formal code of conduct. The management is in progress to establish a regular
review process with clearly defined roles and responsibilities and implement reconciliation tools to ensure timely and accurate comparisons
of financial data. Management will also implement additional controls over financial reporting of unusual and complex transactions including
but not limited to engaging financial reporting consultants to evaluate the accounting implications of complex issues.

The
Company will continue to monitor and evaluate the effectiveness of the Company’s internal control over financial reporting on an
ongoing basis and if the remediation plan is not sufficient to eliminate the material weakness, the Company will consider what additional
actions would be required.

24

PART
II—OTHER INFORMATION

    Item
    1.
    Legal
    Proceedings.

The
Company is party to the following legal proceedings:

Patent
Litigation 

The
Company is party to patent and patent-related litigation cases as follows:

i.VoIP-Pal.com
                                            Inc. v. Amazon.com, Inc. et al. Case No. 6-20-cv-00272 in the U.S. District Court, Western
                                            District of Texas.

In
April 2020, the Company filed a lawsuit in the United States District Court, Western District of Texas, against Amazon.com, Inc. and
certain related entities, alleging infringement of U.S. Patent No. 10,218,606. The case is pending.

ii.VoIP-Pal.com,
                                            Inc. v. Verizon Comms., Inc. et al. Case No. 6-21-cv-672 in the U.S. District Court, Western
                                            District of Texas

On
September