Company: ALCE
Filing Date: 2025-06-30
Form Type: 10-Q
Source: 0001213900-25-059349
Chunk: 148

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-30
Form: 10-Q
Item: Part I, Item 8
Chunk 148
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.0%) per annum. The Notes matured
on April 23, 2025. The Notes contain certain Events of Default, including but not limited to (i) the Company’s failure to pay any
amount of principal, interest, redemption price or other amounts due under the Notes or any other transaction document, (ii) any default
under, redemption of, or acceleration prior to maturity of any indebtedness of the Company, as such term is defined in the transaction
documents, (iii) bankruptcy of the Company or its subsidiaries, (iv) a final judgement or judgements for the payment of money in excess
of $250,000, which is not discharged or stayed pending appeal within 60 days, and (v) any breach or failure to comply with any provision
of the Note or any other transaction document. Upon the occurrence of any Event of Default and at any time thereafter, the Purchasers
shall have the right to exercise all of the remedies under the Notes.

Maxim
served as the placement agent in the Offering, pursuant to the terms of a Placement Agency Agreement and received 8% of the gross proceeds
of the Offering, and placement agent warrants to purchase up to 76,303 shares of common stock at $0.4059
per share (the “Placement Agent Warrants”) and reimbursement of the legal fees of its counsel of up to $50,000. The Placement
Agent Warrants will be exercisable on the six (6) month anniversary of issuance and will expire on the five (5) year anniversary of issuance.

18

12. Commitments and Contingencies

Litigation

The Company recognizes a liability
for loss contingencies when it believes it is probable a liability has occurred, and the amount can be reasonably estimated. If some amount
within a range of loss appears at the time to be a better estimate than any other amount within the range, the Company accrues that amount.
When no amount within the range is a better estimate than any other amount, the Company accrues the minimum amount in the range. The Company
has established an accrual for those legal proceedings and regulatory matters for which a loss is both probable and the amount can be
reasonably estimated.

On October 15, 2024 Sunrise
Development LLC (“Sunrise”) requested a hearing be scheduled in binding arbitration against the Company, two of its former indirect
wholly owned subsidiaries, ALT US 03 and ALT US 04, and a related party