Company: DDC
Filing Date: 2025-10-24
Form Type: F-1
Source: 0001213900-25-102214
Chunk: 349

Company: DDC Enterprise Ltd
Filing Date: 2025-10-24
Form: F-1
Chunk 349
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INGENCIES Lease Commitments As of December 31, 2024, the Company had total future minimum lease payments under non -cancellablemanagement fee with respect to the office are payable as follows:

|               |     |      Lease 
 Commitment |
| Within 1 year |     |    191,613 |

Litigation and contingencies The Company and its operations from time to time are, and in the future may be, parties to or targets of lawsuits, claims, investigations, and proceedings, including but not limited to acts of non -compliancewith respect to lease contracts, which are handled and defended in the ordinary course of business. The Company may be unable to estimate the reasonably possible loss or a range of reasonably possible losses until developments in such matters have provided sufficient information to support an assessment of the range of possible loss, such as quantification of a damage demand from plaintiffs, discovery from other parties and investigation of factual allegations, rulings by the court on motions or appeals, or the progress of settlement negotiations. The Company accrues a liability for such matters when it is probable that a liability has been incurred and the amount can be reasonably estimated. When a single amount cannot be reasonably estimated but the cost can be estimated within a range, the Company accrues the minimum amount. The Company expenses legal costs, including those expected to be incurred in connection with a loss contingency, as incurred. As of December 31, 2024, the Company was involved in various claims and legal actions arising in the ordinary course of business. The express service contract dispute between the Company and Yiwu YuanCang Express Co., Ltd. (“YuanCang”) had been mediated and concluded on July 17, 2024. According to the mediation agreement, the Company was required to pay a total of RMB0.4 million service fees to YuanCang. The Company was involved in a loan contract dispute case with an individual, Ms. Yin on June 13, 2024. Ms. Yin requested the Company to repay the loan principal of RMB1.0 million and the corresponding interest. The case was adjudicated on April 14, 2025 that the Company needs to repay all the principal and interest. The Company was involved in a loan contract dispute case with another individual, Ms. Pan and the case had been mediated and concluded on February 21, 2025. According to the mediation agreement, the Company was required to pay loan principal of RMB7.0 million and the corresponding interest. As