Company: CPMV
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001683168-25-002584
Chunk: 638

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 5
Chunk 638
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, if any, related to unrecognized tax benefits are recorded in income tax expense. Interest
and penalties relating to underpayment of income taxes are recorded in general and administrative expense. As of December 31, 2024, we
are subject to U.S. Federal income tax examinations for the tax years May 31, 2019 through December 31, 2024, and we are subject to state
and local income tax examinations for the tax years May 31, 2021 through December 31, 2024 due to the carryover of net operating losses.

     F-21 

    Mosaic ImmunoEngineering, Inc.

    Notes to Consolidated Financial Statements
    For the Years Ended December 31, 2024 and 2023 (continued)

We have no liability relating to unrecognized tax
benefits under the authoritative guidance for the year ended December 31, 2024 and 2023.

Our continuing practice is to recognize accrued interest
and penalties related to unrecognized tax benefits as a component of tax expense. We do not expect our unrecognized tax benefits to change
significantly over the next twelve months.

11.        Commitments and Contingencies

Legal Matters 

While the Company is not involved in any litigation
as of December 31, 2024, the Company may be involved in various lawsuits and claims arising in the ordinary course of business, including
actions with respect to intellectual property, employment, and contractual matters. Any litigation could have a material adverse effect
on the Company’s business, financial condition, results of operations, and/or cash flows in the period in which the unfavorable
outcome occurs or becomes probable, and potentially in future periods.

Indemnification

We have made certain guarantees and indemnities, under
which we may be required to make payments to a guaranteed or indemnified party. We indemnify our directors, officers, employees, and agents
to the maximum extent permitted under the laws of the State of Delaware. The duration of the guarantees and indemnities varies, and in
many cases is indefinite. These guarantees and indemnities do not provide for any limitation of the maximum potential future payments
we could be obligated to make. Historically, we have not been obligated to make any payments for these obligations and no liabilities
have been recorded for these guarantees and indemnities in the accompanying consolidated balance sheets.

Escrow Shares

On August 31, 2009, we gave notice to the former shareholders
of Crossflo and Union