Company: LRHC
Filing Date: 2025-05-29
Form Type: 10-Q
Source: 0001213900-25-048370
Chunk: 144

Company: La Rosa Holdings Corp.
Filing Date: 2025-05-29
Form: 10-Q
Item: Item 8
Chunk 144
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 dismissed without prejudice pending completion of the settlement terms. 

As previously disclosed, on July 19, 2024, LPT
Realty, LLC commenced a civil action in the Ninth Judicial Circuit in Orange County, Florida against La Rosa Holdings Corp; Joseph La
Rosa a/k/a Joe La Rosa; La Rosa Realty Lake Nona, Inc. n/k/a Nona Legacy Powered By La Rosa Realty, Inc.; & La Rosa Realty, LLC, seeking
damages, reasonable royalty of all real estate transactions conducted by all the La Rosa defendants and injunctive relief for misappropriation
of trade secrets as to all the defendants. The case was voluntarily dismissed on March 26, 2025.

As previously disclosed, on March 5, 2025, Joshua
Epstein, our former employee and Chief Strategy Officer, filed a civil lawsuit in Osceola County, Florida Circuit Court alleging claims
for breach of contract, promissory estoppel, conversion, unjust enrichment, breach of good faith and fair dealings, fraud in the inducement,
and to recover alleged unpaid compensation in the amount of $$100,000 from the Company. The Company strongly opposed and denied these
claims. The Company intends to file a dispositive motion seeking judgment against Mr. Epstein.

The Company believes that the above claims are
without merit, and it will vigorously defend against such claims. Moreover, these claims, in the aggregate, would not have a material
adverse effect on the Company’s financial condition, business, or results of operations, should the Company’s defense not
be successful in whole or in part. Except as stated herein, there is no other action, suit, proceeding, inquiry or investigation before
or by any court, public board, government agency, self-regulatory organization or body pending or, to the knowledge of our executive
officers, threatened against or affecting our Company or our officers or directors in their capacities as such.

ITEM 1A. RISK FACTORS. 

There have been no material changes to the risk
factors previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2024 filed with the SEC on April 15, 2025.

34

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES,
USE OF PROCEEDS, AND ISSUER PURCHASES OF EQUITY SECURITIES

(a) In addition to the issuances of unregistered
securities described in