Company: VYND
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001079973-25-001679
Chunk: 22

Company: Vynleads, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part II, Item 1
Chunk 22
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ITEM 1. LEGAL PROCEEDINGS

In 2016 we engaged a third party to
provide certain promotional services to us in connection with our business, including the use of his name and appearance, under the terms
of a five-year agreement. As compensation, we agreed to use our commercially reasonable efforts to promote and sell a book authored by
him and to pay him, as a royalty, a percentage of the sales of the book, after deductions for all direct costs of fulfilling such sales.
During 2017 the third party initiated a series of informal claims and filed unauthorized uniform commercial code (UCC) financing statements
in several states against us and certain of our officers, directors, and founders, alleging non-payment of the royalty amounts. We dispute
all claims by the third party and believe that all royalty amounts due him have been paid in full. We are no longer selling the book authored
by him. We have succeeded in removing certain of the UCC liens and we are pursuing actions to remove the remaining unauthorized UCC lien.

ITEM 1A. RISK FACTORS