Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 3

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 1
Chunk 3
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4.
The rental service, now available in New York City, Toronto, and Los Angeles via the Go Fly rental service mobile app and select
Fly E-Bike stores, provides users with a flexible and affordable e-bike rental option. As part of our growth strategy, we plan to expand
the rental service to Miami in the near term.

Trade-in Program

In January 2025, the New York
City Department of Transportation (“NYC DOT”) launched a $2 million trade-in program, allowing eligible food delivery workers
to replace their unsafe e-bikes, e-mobility devices, and batteries with high-quality versions. Our Fly-11 PRO was chosen as the official
model of NYC DOT and participates in this program. From January 2025 to June 2025, we participated in this program and
completed the delivery of Fly-11 Pro models to our retail partner participating in the program.

Increase in Authorized Shares

In March 2025, we amended
our amended and restated certificate of incorporation to increase the authorized shares of common stock from 100,000,000 shares to
300,000,000 shares.

UL Litigation

On or about March 12,
2025, UL LLC (“UL”) filed a complaint against the Company, along with the Company’s certain subsidiaries and certain
individuals, in the Eastern District of New York (the “Complaint”). The Complaint alleges that the Company improperly
used UL’s trademark by claiming certain products were certified by UL. The Complaint seeks $2,000,000 for each instance an
allegedly counterfeit UL mark was used and asserts claims for federal trademark infringement and counterfeiting, unfair competition and
false designations of the origin and false and misleading representations, common law unfair competition, common law unjust enrichment,
and unlawful deceptive acts and practices.

On May 21, 2025, Company,
along with its certain subsidiaries and certain individuals, and UL entered into a settlement and release agreement (the “Settlement
Agreement”) on mutually acceptable settlement terms. Pursuant to the Settlement Agreement, the Company and the other defendants
agreed to pay UL an aggregate amount of $1,000,000 before November 30, 2025, and entered into a Consent Judgment and Permanent Injunction
pursuant to which the Company and the other defendants agreed not to offer for sale, sell, or distribute products with UL Marks that were
not tested and certified by UL. From May 28 to