Company: MRT
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001213900-25-036882
Chunk: 17

Company: Marti Technologies, Inc.
Filing Date: 2025-04-29
Form: 20-F
Item: Item 3
Chunk 17
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 increased regulatory or litigation exposure.

To protect against such risks, we have implemented
various programs to anticipate, identify, and address risk of these activities, such as background checks of drivers, in-app driver and
vehicle verification, live location sharing, GPS tracking of rides, panic button, implementing in-house security systems, IoT lock-equipped
vehicles and effective use of Closed-Circuit Televisions (“ CCTVs”) to reduce theft and vandalism, in-app messaging to outline
local regulations to riders, and credit card pre-authorization to confirm user identity and minimize payment fraud. These measures may
not adequately address or prevent all illegal, improper, or otherwise inappropriate activity by these parties from occurring in connection
with our products and services. Furthermore, if these measures are too restrictive and inadvertently prevent qualified drivers and riders
from using our products and services, or if we are unable to implement and communicate them fairly and transparently or are perceived
to have failed to do so, the growth and retention of the number of drivers and riders on our platform and their utilization of our platform
could be negatively impacted. Any of the foregoing risks could harm our business, financial condition, and results of operations.

Exposure to product liability in the event
of significant two-wheeled electric vehicles damage or reliability issues could harm our business, financial condition, and results of
operations.

We have product liability exposure from our business.
Injured riders may claim that our two-wheeled electric vehicles malfunctioned during the course of their ride. Product liability actions
can stem from, among other claims, allegations of defective design, defective manufacture, failure to warn of known defects, and improper
vehicle maintenance. In addition, the battery packs in our products use lithium-ion cells. On rare occasions, lithium-ion cells can rapidly
release the energy they contain by venting smoke and flames in a manner that can cause burns and other injuries or ignite nearby materials,
as well as other lithium-ion cells. We take certain precautions to reduce the risks of such events, but we cannot guarantee that such
events will not occur. While we carry general liability insurance to cover bodily injury and property damage caused by a two-wheeled electric
vehicle malfunction, these claims may ultimately damage our reputation, decrease vehicle usage, or decrease ridership, each of which could
materially impact our business, financial condition, and results of operations.

Our growth and performance metrics and estimates,
including the key metrics included in this Annual Report, are subject to inherent challenges in measurement, and real or perceived inaccuracies