Company: XAIR
Filing Date: 2025-06-20
Form Type: 10-K
Source: 0001641172-25-015750
Chunk: 596

Company: Beyond Air, Inc.
Filing Date: 2025-06-20
Form: 10-K
Item: Item 1
Chunk 596
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Leahy-Smith Act”),
enacted on September 16, 2011, the U.S. moved to a first-to-file system. The Leahy-Smith Act also includes a number of significant changes
that affect the way patent applications will be prosecuted and may also affect patent litigation. The effects of these changes are currently
unclear as the USPTO must still implement various regulations, the courts have yet to address these provisions and the applicability of
the act and new regulations on specific patents discussed herein have not been determined and would need to be reviewed. In general, the
Leahy-Smith Act and its implementation could increase the uncertainties and costs surrounding the prosecution of our patent applications
and the enforcement or defense of our issued patents, all of which could have a material adverse effect on our business and financial
condition.

If we are unable to maintain effective proprietary
rights for our approved product, product candidates or any future product candidates, we may not be able to compete effectively in our
markets.

In addition to the protection
afforded by patents, we rely on trade secret protection and confidentiality agreements to protect proprietary know-how that is not patentable
or that we elect not to patent, processes for which patents are difficult to enforce and any other elements of our product candidate discovery
and development processes that involve proprietary know-how, information or technology that is not covered by patents. However, trade
secrets can be difficult to protect. We seek to protect our proprietary technology and processes, in part, by entering into confidentiality
agreements with our employees, consultants, scientific advisors, vendors, collaborators and contractors. We also seek to preserve the
integrity and confidentiality of our data and trade secrets by maintaining physical security of our premises and physical and electronic
security of our information technology systems. While we have confidence in these individuals, organizations and systems, agreements or
security measures may be breached, and we may not have adequate remedies for any breach. In addition, our trade secrets may otherwise
become known or be independently discovered by competitors.

61

All of our employees, consultants,
advisors and any third parties who have access to our proprietary know-how, information or technology enter into confidentiality agreements
and we expect they will assign all rights in their inventions to us pursuant to the terms of such agreements; however, we cannot provide
any assurances that all such agreements have been duly executed or that our trade secrets and other confidential proprietary information
will not be disclosed or that competitors will not otherwise gain access to our trade