SafeSpace Global Corp

As previously reported, on September 18, 2023, Apex Funding Source, LLC (“Apex”) filed a lawsuit in the Supreme Court of the State of New York, County of New York, alleging breach by Blue Earth Resources, Inc. (“BERI”) of a loan agreement and alleged failure to pay $4,705,900 in principal and interest to Apex when due. The suit names Scott M. Boruff, our CEO and Chairman of the Company’s Board of Directors, “Grasshopper Staffing, Inc.,” and “Indeliving Holdings, Inc.,” as defendants in the suit. Apex alleges that Grasshopper Staffing, Inc. and IndeLiving Holdings, Inc. are each guarantors of the loan to BERI, which is an entity that has common management personnel with our Company. Our Company ceased using the Grasshopper Staffing, Inc. name years before the facts underlying the dispute arose, and IndeLiving Holdings, Inc. was a wholly-owned subsidiary of our Company that has been administratively dissolved.

On April 18, 2024, Apex filed a motion seeking partial summary judgment against BERI and Mr. Boruff in the amount of $4,705,900, plus their actual and reasonable attorneys’ fees. Neither Grasshopper Staffing, Inc. nor IndeLiving Holdings, Inc. was included in the order granting partial summary judgment.

In the event Apex attempts to enforce the alleged guarantees against our Company, which is not itself a named party to the proceedings , we believe we have valid defenses. In the judgment of the Company’s management, even if the remaining actions were adversely determined, they would not be reasonably likely to have a direct or indirect material adverse effect on the Company because no remaining subsidiaries exist. Based on the disposition of the claims against BERI and Mr. Boruff summarized above, we do not expect to provide any further updates on this matter.

Other than the foregoing, there are no material pending legal proceedings, other than ordinary routine litigation incidental to our business, to which we or any of our subsidiaries are a part or of which any of our property is the subject.