Company: ACTG
Filing Date: 2025-04-09
Form Type: DEF 14A
Source: 0000934549-25-000014
Chunk: 46

Company: ACACIA RESEARCH CORP
Filing Date: 2025-04-09
Form: DEF 14A
Chunk 46
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 definitions, terms and conditions of the transfer restrictions or to eliminate the transfer restrictions by adopting a written resolution that such action is reasonably necessary or advisable to preserve our NOLs or that the continuation of these restrictions is no longer reasonably necessary for such purpose, as applicable. Our stockholders will be notified of any such determination.

#### Implementation and Expiration
We intend to include a legend reflecting the transfer restrictions on certificates representing newly issued or transferred shares, to disclose such restrictions to persons holding our common stock in uncertificated form and to disclose such restrictions to the public generally.

The Existing Protective Provisions would expire on the earliest of (i) the close of business on the date that is the third anniversary of the filing of A&R Charter with the Secretary of State of the State of Delaware, (ii) our Board’s determination that the Existing Protective Provisions are no longer necessary for the preservation of our NOLs because of the repeal of Section 382 or any successor statute, (iii) the beginning of a taxable year to which our Board determines that none of our NOLs may be carried forward and (iv) such date as our Board otherwise determines that the Existing Protective Provisions are no longer necessary for the preservation of our NOLs. Our Board may also accelerate the expiration date of the Existing Protective Provisions in the event of a change in the law if our Board has determined that the continuation of the restrictions contained in the Existing Protective Provisions are no longer reasonably necessary for the preservation of our NOLs or such action is otherwise advisable.

#### Effectiveness and Enforceability
Although the Existing Protective Provisions are intended to reduce the likelihood of an ownership change, we cannot eliminate the possibility that an ownership change will occur given that: (i) The Board can permit transfers that would otherwise be a prohibited transfer if it determines that any such transfer is in our and our stockholders’ best interests or (ii) a court could find that part or all of the Existing Protective Provisions are unenforceable, either in general or as applied to a particular stockholder or fact situation. Even if the Existing Protective provisions are fully enforced and enforceable, there is a risk that, because of the complicated “constructive” ownership rules that apply in determining stock ownership as mentioned above, certain changes in relationships among stockholders or other events could cause an ownership change under Section 382. As a result of these and other factors, the Existing Protective Provisions are intended to reduce, but do not eliminate, the risk that we will undergo an