CareCloud, Inc.

Item 3. Defaults Upon Senior Securities*

On December 11, 2023, the Board of Directors suspended the monthly cash dividends for Series A Preferred Stock and Series B Preferred Stock beginning with the payment scheduled for December 15, 2023 together with the outstanding dividends that were declared. During this suspension, dividends continued to accumulate in arrears on the remaining Series A and Series B Preferred Stock. Effective in September 2024, there was a change in the dividend rate on the Series A Preferred Stock from 11.00% to 8.75%. Due to the conversion of the majority of the Series A Preferred Stock in March 2025, the dividend amount due on the converted shares resulting from the suspension was settled. During February 2025 and continuing monthly thereafter, the Company resumed payment of the dividends, paying one month of dividends in arrears each month based on the oldest dividend amount outstanding. Beginning in February 2026, the Company began making one additional dividend payment each month on the Series B Preferred Stock to begin to satisfy the dividend arrearage. Due to the redemption of all of the Series B Preferred Stock in May 2026, the dividend amount due on the redeemed Series B Preferred Stock shares resulting from the suspension was settled. The Company has approximately $2.7 million of dividends declared and accumulated on the Series A Preferred Stock due as of the filing date.