Company: XTIA
Filing Date: 2025-06-12
Form Type: S-1
Source: 0001213900-25-053928
Chunk: 22

Company: XTI Aerospace, Inc.
Filing Date: 2025-06-12
Form: S-1
Chunk 22
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 capital deployed by Xeriant in the design and development
of Legacy XTI’s TriFan 600 airplane yet has excluded Xeriant from the transaction involving the TriFan 600 technology in its merger
with us, which has resulted in a breach of the May 17 letter, in addition to the other aforementioned agreements. Xeriant, in the second
amended complaint, asserts the following causes of action: (1) breach of contract; (2) intentional fraud; (3) fraudulent concealment;
(4) quantum meruit; (5) unjust enrichment; (6) unfair competition/deceptive business practices; and (7) misappropriation of confidential
information, and seeks damages in excess of $500 million, injunctive relief enjoining us from engaging in any further misconduct, the
imposition of a royalty obligation, and such other relief as deemed appropriate by the Court. On March 13, 2024, Legacy XTI moved for
partial dismissal of the second amended complaint. On January 14, 2025, the Court denied Legacy XTI’s motion to dismiss the complaint.
On January 28, 2025, Legacy XTI filed an answer to the second amended complaint. On February 18, 2025, Legacy XTI filed an amended answer
and counterclaims against Xeriant. On March 18, 2025, Xeriant moved for dismissal of Legacy XTI’s counterclaims. On April 14, 2025,
Legacy XTI filed a second amended answer and amended counterclaims against Xeriant. The amended counterclaims assert that: (1) Xeriant
breached the Joint Venture Agreement by failing to make nearly $4.6 million in required capital contributions, as well as failing to provide
promised strategic support and intellectual property; (2) Xeriant breached its fiduciary duty to Legacy XTI by engaging in coercive and
self-dealing conduct—most notably, by conditioning a strategic introduction to a potential merger partner on Legacy XTI’s
agreement to issue Xeriant equity and assume its debt; and (3) Legacy XTI is entitled to a declaratory judgment confirming that the joint
venture has terminated, that all intellectual property developed through the joint venture belongs exclusively to Legacy XTI, and that
Xeriant has no further rights in the TriFan 600 technology or related assets. On April 28, 2025, Xeriant moved for dismissal of Legacy