Company: JUNS
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001261
Chunk: 475

Company: JUPITER NEUROSCIENCES, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 11
Chunk 475
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 evidence.
This evidence includes, but is not limited to, prior earnings history, expected future earnings, carry-back and carry-forward periods
and the feasibility of ongoing tax strategies that could potentially enhance the likelihood of the realization of a deferred tax asset.
The weight given to the positive and negative evidence is commensurate with the extent the evidence may be objectively verified. As such,
it is generally difficult for positive evidence regarding projected future taxable income, exclusive of reversing taxable temporary differences,
to outweigh objective negative evidence of recent financial reporting losses. Based on these criteria and the relative weighting of both
the positive and negative evidence available, management continues to maintain a full valuation allowance against its net deferred tax
assets.

    F-22

JUPITER
NEUROSCIENCES, INC.

NOTES
TO FINANCIAL STATEMENTS

December
31, 2024 and 2023

Note
8 – Commitments and Contingencies

Legal
Matters

From
time to time, claims are made against the Company in the ordinary course of business, which could result in litigation. Claims and associated
litigation are subject to inherent uncertainties and unfavorable outcomes could occur, such as monetary damages, fines, penalties or
injunctions prohibiting the Company from selling one or more products or engaging in other activities. The occurrence of an unfavorable
outcome in any specific period could have a material adverse effect on the Company’s results of operations for that period or future
periods.

On
July 19, 2022, Tiberend Strategic Advisors (“Tiberend”), an entity that the Company had previously engaged as a communications
and investor relations firm, filed a summons for civil action in the District Court of Southern Florida against the Company alleging
non-payment by the Company under a services agreement (the “Services Agreement”) with Tiberend in the amount of $130,400.
The Company and Tiberend entered into a full settlement and release agreement in exchange for a $150,000 convertible promissory note
in March 2023. As of December 31, 2024, the note was fully repaid. See Note 5 – Convertible Debt and Derivative Liability –
Convertible Debt III for details associated with the note issuance.

Office
Lease

On
May 1, 2021, the Company entered into a 61-month operating lease for office space for a base rent of $3,783 subject to a 3% yearly escalation.
The Company adopted ASC Topic 842, Le