Company: BLNE
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004793
Chunk: 57

Company: Beeline Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 57
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 requires
lenders to make certain disclosures to mortgage loan borrowers regarding their settlement costs and affiliate relationships with
other settlement service providers, and prohibits kickbacks, referral fees, and unearned fees associated with settlement service business.
RESPA-related risk arises, for example, to the extent that certain services provided by one of Beeline’s affiliates or third-party
partners are considered to be settlement services, consumers are not able to choose whether such services are provided by the affiliate
or Beeline, and consumers are deemed to pay a charge attributable to such services, or if loans are deemed not purchased in the secondary
market at fair market value. Additionally, it is important that Beeline comply with TILA and other applicable federal and state laws.
Risks related to such laws arise, for example, if points and fees for a transaction exceed certain applicable thresholds, loan originator
compensation requirements (including incentive compensation requirements) are not satisfied, and/or TRID or other required disclosures
are determined to be noncompliant, and these laws are subject to interpretational complexities in the co-branded mortgage broker context.
In addition, Beeline’s lead generation and advertising activities and strategic relationships carry RESPA-related risk depending
on certain factors, such as whether a third-party endorses or refers business to Beeline, whether any payments between the parties constitute
fair market value, and any potential direct or indirect benefit to Beeline’s third-party partners in addition to benefits provided
directly to consumers. Federal and state regulators or courts could adopt interpretations of laws and regulations-including with respect
to RESPA and its governance over affiliated business arrangements, bona fide joint ventures and marketing services arrangements, TILA’s
provisions applicable to transactions involving mortgage brokers, and other disclosure requirements-that could increase the regulatory
risk and scrutiny of Beeline’s affiliate and third-party strategic relationships, raise licensing/registration questions, require
restructuring of these relationships (as well as suspend its operations in a given jurisdiction pending such restructuring), result in
financial liabilities (including indemnification, repurchase demands or financial penalties), carry litigation risk (including, potentially,
false claim-related risk), and/or diminish the value of these relationships.

If Beeline fails to comply with
employment and labor laws and regulations could materially and adversely affect its business, financial condition, and results of operations.

Beeline is subject to a variety
of federal and state employment and labor laws and regulations, including the Americans with Disabilities Act, the Federal Fair Labor
Standards Act, and other laws related