Company: ZCARW
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001213900-25-059675
Chunk: 1215

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 3
Chunk 1215
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 the interim order vacated. In addition,
Zoomcar India filed an application in the former employee’s suit, seeking that IOAC be deleted from the array of parties in the
suit, inter alia since (i) IOAC is neither a necessary nor a proper party to the suit; (ii) no reliefs have been sought by the former
employee from IOAC; and (iii) there is no cause of action against IOAC.

Litigation with the Founder and Former CEO

On September 26, 2024, we
received a copy of a complaint filed with the United States District Court for the District of Delaware wherein our founder and former
CEO Greg Moran has challenged the Company’s termination of his employment for cause, effective as of June 18, 2024. Mr. Moran has
contested the facts leading up to the grounds on which his termination was based and has also claimed that this alleged wrongful termination
has deprived him of his vested right to 8% of the Company’s outstanding equity that he claims was owed to him under his Employment
Agreement. He has also claimed that in connection with his termination he is entitled to the payment of certain amounts for unused paid
leave during his employment with Zoomcar, along with certain other compensation he claims to be owed under the terms of his Employment
Agreement, including “Owed Severance” equal to approximately $72,000.  In total, Mr. Moran seeks damages of at least
$238,000 plus damages associated with the 8% of shares.  He also seeks damages under the New York Labor Law, under which he seeks
liquidated damages equal to 100% of any unpaid wages.  He claims that all of the above constitute wages under New York Labor Law.

Zoomcar believes that the
termination of Mr. Moran’s employment for cause was proper in accordance with the terms of his Employment Agreement. Mr. Moran’s
case in the District Court was dismissed on account of Mr. Moran’s stated intention to refile the case in Delaware Superior Court.
Mr. Moran refiled his lawsuit in the Superior Court of the State of Delaware on November 1, 2024. On November 27, 2024, the Company filed
a motion to dismiss certain of the causes of action for failure to state a cause of action, and the briefing on that motion was filed
on January 7, 2025.  Mr. Moran filed opposition to Zoomcar’s motion on February 5,