Company: LTRYW
Filing Date: 2025-11-20
Form Type: 10-Q
Source: 0001493152-25-024384
Chunk: 353

Company: Lottery.com Inc.
Filing Date: 2025-11-20
Form: 10-Q
Item: Part I, Item 4
Chunk 353
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 Ryan Dickinson, Zeljeko Ranogajec a/k/a John Wilson,
White Swan Data Limited, and Bernard Marantelli, in the Business Court of Texas, Third Division.

The
matter was subsequently removed to the 353rd Judicial District Court of Travis County, Texas and assigned Case No. D-1-GN-25-002446.
Plaintiff seeks to recover funds that he contends were wrongfully excluded from the Lotto Texas jackpot he purportedly won on May
17, 2023.

 21 

Item
1A. Risk Factors.

As
of the date of this Report, there have been no material changes to the risk factors disclosed in the Company’s Annual Report, other
than as set forth below. In addition, we may disclose additional changes to such factors or disclose additional factors from time to
time in our future filings with the SEC. Any of these factors could result in a significant or material adverse effect on our results
of operations or financial condition. Additional risk factors not presently known to us or that we currently deem immaterial may also
impair our business or results of operations.

Our
business model and the conduct of our operations may have to vary in each U.S. jurisdiction where we do business to address the unique
features of applicable law to ensure we remain in compliance with that jurisdiction’s laws. Our failure to adequately do so may
have an adverse impact on our business, financial condition, and results of operations.

Lottery
laws vary among U.S. jurisdictions. This means that our business model and the conduct of our operations may have to vary in each jurisdiction
where we do business to ensure we remain in compliance with applicable laws. For example, some jurisdictions prohibit lottery ticket
courier services, while some jurisdictions in the U.S. prohibit charging certain fees to the user, and further still, some jurisdictions
require us to be licensed or registered, which will require us to incur certain costs in connection with the licensing or registration
process. In each U.S. jurisdiction, we may be required to structure our business model and conduct our operations differently to address
the unique features of applicable law.

Many
of the U.S. jurisdictions in which we have historically done business or anticipate doing business in the future require that lottery
game tickets be sold only by licensed retailers and prohibit sale or resale of lottery tickets at prices in excess of the purchase price
designated by the applicable regulatory authority. Because lottery tickets are typically considered bearer instruments, we can purchase