Company: ARAI
Filing Date: 2025-07-15
Form Type: S-1/A
Source: 0001641172-25-019572
Chunk: 116

Company: Arrive AI Inc.
Filing Date: 2025-07-15
Form: S-1/A
Chunk 116
---
 Hollister
LLP as its external counsel to represent the company in this matter. The Company firmly believes there is no unpaid salary since there
was no written or oral contract of employment. The potential stock issue was never completed. Any partial vesting required a small purchase
which never happened in Ohrn’s case, therefore Ohrn held no stock upon termination. Even though plaintiff’s allegations amount
to approximately $29 million in total damages, plaintiff’s allegations have no merit, it is not possible at this time to ascertain
an exact figure upon the outcome of this litigation through a court’s final decision, or if any damages may be granted at all,
in the opinion of the company’s management and litigation counsel, such allegations may not proceed given the facts presented before
the court, such as the breach of the plaintiff’s obligations under the agreement and the termination of the agreement by the Company
for cause.

An initial Cease and Desist letter on Arrive
AI’s trademark from Arrive Logistics was received July 19, 2023. An open, positive discussion is ongoing between counsel.

Government Regulation

Arrive is subject to local, state, federal and
international laws, statutes, rules, policies, and regulations (collectively “Regulations”) that relate directly or indirectly
to Arrive AI’s operations. These include privacy and data protection regulations. Arrive AI’s business operations involve
the collection, transfer, use, disclosure, security, and disposal of personal or sensitive information. As a result, Arrive AI’s
business is subject to complex and evolving U.S. and international laws and regulations regarding privacy and data protection. Other
Regulations that Arrive is subject to, include the following: licensing, permitting, and zoning requirements for the operations of Arrive
AI’s offices and other facilities; health, safety, and sanitation requirements; the service of food; working conditions, labor,
minimum wage and hour, citizenship, immigration, visas, harassment and discrimination, and other labor and employments laws and regulations;
marketing activities; and environmental protection regulations. Arrive is also subject to common business and tax rules and regulations
pertaining to the operation of its business.

| 49 |

While Arrive does not operate AMRs, it’s
customers and partners do while utilizing Arrive MaaS. The United States does not have specific regulations governing autonomous mobile
robots (“AMRs”). However, AMRs are subject to a number of general safety regulations, including the following:

| ● | The Federal