Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q/A
Source: 0001731122-25-000250
Chunk: 89

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q/A
Chunk 89
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2023.

On December
4, 2023, in lieu of opposing the motion to dismiss, Plaintiffs filed a Verified First Amended Complaint (“FAC”). In the FAC,
Plaintiffs assert claims against the Company and others for purported breaches of the Investor Rights Agreement, fraud, tortious interference
with a contract, and several other torts. Plaintiffs seek compensatory, exemplary, and punitive damages, as well as certain declaratory
relief, specific performance, and pre- and post-judgment interest, costs, and attorneys’ fees. The Company filed a motion to dismiss
the FAC on December 18, 2023. The Company denies Plaintiffs’ allegations and intends to vigorously defend against the claims.

On August 24, 2023, counsel on behalf of Weird Science,
Wittekind, individually, and Wittekind, as trustee of the Trusts served a demand to inspect the Company’s books and records (the
“Demand”) pursuant to Delaware General Corporation Law, § 220 (“Section 220”). The Demand seeks the
Company’s books and records in connection with various issues identified in the Demand. The Company takes its obligations under
Section 220 seriously and, to the extent that the requests are proper under Section 220, intends to comply with those obligations.

On January
23, 2024, Weird Science and Wittekind filed a shareholder derivative action in the United States District Court for the Central District
of California against certain officers, directors, and investors of the Company, as well as other defendants. The Verified Stockholder
Derivative Complaint (“Derivative Complaint”) alleges, among other claims, violations of Section 13(d) and 14(a) and Rules
10b-5(a), 10b-5(c) and 14a-9 of the Exchange Act of 1934. The Derivative Complaint also includes claims of breach of fiduciary duty, corporate
waste, unjust enrichment, and contribution/indemnification. Weird Science and Wittekind seek unspecified compensatory, exemplary and punitive
damages and certain injunctive relief. Simultaneously with the Derivative Complaint, Weird Science and Wittekind filed an emergency Ex Parte Application for Temporary Restraining Order (“Application”) asking the Court to enjoin a special meeting of the
Company’s stockholders noticed for January 25, 2024. As the basis for the Application, Weird Science and Wittekind recited many
of the same