Company: ILLRW
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001213900-25-006210
Chunk: 256

Company: Triller Group Inc.
Filing Date: 2025-01-24
Form: S-1
Chunk 256
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 labels, music publishers and performing rights organizations (collectively, “Rightsholders”) who have
licensed to us the right to use sound recordings and musical compositions in connection with the operation of the Triller app and other
aspects of our business. As of December 31, 2023, we have recorded liabilities in the amount of $27.3 million for unpaid amounts owed
under its music licenses. We are also involved in various legal proceedings and has received threats of litigation from Rightsholders.
We believe it may be or become liable to Rightsholders for additional amounts such as interest, penalty fees, attorneys’ fees, copyright
infringement damages and other amounts, but is currently unable to estimate the probability of loss associated with these actions or the
range or reasonably possible losses, if any, or the impact such losses may have on our results of operations, financial condition or cash
flows.

Fox Plaza Lease

On August 29, 2023, Fox Plaza, LLC initiated an
action against Proxima Media, LLC and Triller Platform Co. (erroneously sued as Triller, Inc.) in Los Angeles Superior Court alleging
breach of lease against Proxima Media, LLC and breach of guaranty against Triller Platform Co. as a result of defendants’ alleged
failure to pay rents owed under a commercial office lease. The plaintiff seeks damages in excess of $3.5 million, plus attorney’s
fees, costs of suit, and additional damages to be proven at trial. We intend to vigorously defend ourselves in this matter. A mediation
has been set for August 27, 2024. We have accrued a liability for this loss contingency in the amount of $1.0 million. It is reasonably
possible that the potential loss may exceed our accrued liability.

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Former Employee Claims

On September 27, 2022, a former employee, filed
a complaint against us, our former Chief Executive Officer, Mahi de Silva, and our former Chief Financial Officer, Paul Kahn, in the Superior
Court of California, County of Los Angeles alleging breach of employment contract and various claims under the California Labor Code arising
out of the termination of the Plaintiff’s employment with us in July 2022. On December 5, 2022, we filed a motion to compel arbitration,
and, on June 5, 2023, the court ruled in our favor. Plaintiff filed a demand for arbitration on June