Company: FWDI
Filing Date: 2025-06-10
Form Type: PRE 14A
Source: 0001683168-25-004370
Chunk: 42

Company: Forward Industries, Inc.
Filing Date: 2025-06-10
Form: PRE 14A
Chunk 42
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 greater protection to officers than New York law and (ii) broad indemnification for directors and officers.

With clearer corporation laws,
directors and officers should be able to carry out their duties with more assurance that they are acting properly. A more developed and
clearer corporation law should reduce the risk of liability and claims. Potential directors and officers can accept roles with the Company
with less concern for their own financial risk.

To date, no persons invited to
become a director or officer of the Company have declined because it was a New York corporation.

Anti-Takeover Provisions and Possible Effect on Takeover Offers

The Nevada laws and proposed Nevada
Articles of Incorporation contain provisions that may deter unsolicited acquisition proposals by making it more difficult to acquire control
of the Company without Board cooperation. The Board believes these provisions are in the shareholders’ best interests. However, they may
also discourage a third party from proposing a transaction you would approve if given the opportunity to vote on it.

Existing Defensive Measures

In the discharge of its fiduciary
obligations to our shareholders, the Board may consider in the future certain defensive strategies designed to enhance our ability to
negotiate with an unsolicited bidder. We do not currently have in place any defensive measures such as a rights plan other than under
normal New York law.

Proposed Defense Measures in the Nevada Articles of Incorporation and Nevada Bylaws

Like many other states, Nevada
permits a corporation to adopt measures designed to reduce its vulnerability to unsolicited takeover attempts. We are not proposing the
Nevada Reincorporation to prevent an unsolicited takeover attempt and are not aware of any present effort by any person to acquire control
of the company, obtain representation on the Board or take any action that would materially affect the governance of the company.

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Our proposed Nevada Articles of
Incorporation and Nevada Bylaws contain provisions which could operate to delay, defer, or prevent a change of control of the Company
or an extraordinary corporate transaction such as a merger, reorganization, tender offer or sale of all or substantially all of our assets.
These provisions and certain provisions of the proposed Nevada Articles of Incorporation and proposed Nevada Bylaws could make it more
difficult to acquire us by means of a tender offer, a proxy contest or otherwise, or to remove incumbent officers and directors. Specifically,
the following provisions may have anti-takeover effects:

| · | The Nevada Bylaws will require that stockholders seeking to nominate a person