Company: WKSP
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000850
Chunk: 108

Company: Worksport Ltd
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1
Chunk 108
---
 countries throughout
the world would be prohibitively expensive. Competitors may use our technologies in jurisdictions where we have not obtained patent protection
to develop their own products and, further, may export otherwise infringing products to territories where we may obtain patent protection
but where patent enforcement is not as strong as that in the United States. These products may compete with our products in jurisdictions
where we do not have any issued or licensed patents, and any future patent claims or other intellectual property rights may not be effective
or sufficient to prevent them from so competing.

Many
companies have encountered significant problems in protecting and defending intellectual property rights in foreign jurisdictions. The
legal systems of certain countries, particularly certain developing countries, do not favor the enforcement of patents, trade secrets
and other intellectual property protection which could make it difficult for us to stop the infringement of our patents or marketing
of competing products in violation of our intellectual property and proprietary rights, generally. Proceedings to enforce our intellectual
property and proprietary rights in foreign jurisdictions could result in substantial costs and divert our efforts and attention from
other aspects of our business, could put our patents at risk of being invalidated or interpreted narrowly, could put our patent applications
at risk of not issuing, and could provoke third parties to assert claims against us. We may not prevail in any lawsuits that we initiate,
and the damages or other remedies awarded, if any, may not be commercially meaningful. Accordingly, our efforts to enforce our intellectual
property and proprietary rights around the world may be inadequate to obtain a significant commercial advantage from the intellectual
property that we develop or license.

Many
countries have compulsory licensing laws under which a patent owner may be compelled to grant licenses to third parties. In addition,
many countries limit the enforceability of patents against government agencies or government contractors. In these countries, the patent
owner may have limited remedies, which could materially diminish the value of such patent. If we or any of our licensors are forced to
grant a license to third parties with respect to any patents relevant to our business, our competitive position may be impaired, and
our business, financial condition, results of operations and prospects may be adversely affected.

Our
patents might not protect our technology from competitors, in which case we may not have any exclusionary advantage over competitors
in selling any products that we may develop.

Our
commercial success will depend in part on our ability to obtain additional patents and protect our existing patent position, as well
as our ability to maintain adequate intellectual property protection for our technologies, product candidates