Gitlab Inc

ITEM 1. LEGAL PROCEEDINGS

GitLab Securities Class Action

On September 4, 2024, a putative class action was filed in the United States District Court for the Northern District of California against us and certain of our current officers and directors. The complaint purports to assert claims under Section 10(b) of the Securities Exchange Act of 1934, as amended, or the Exchange Act, SEC Rule 10b-5, and Section 20(a) of the Exchange Act, on behalf of persons and entities who acquired our Class A common stock between June 6, 2023 and March 4, 2024, or the Class Period. Plaintiff alleges that, during the Class Period, defendants made material misrepresentations or omissions regarding our use of AI features and ability to monetize our AI capabilities that artificially inflated our stock price. Plaintiff seeks, among other things, damages in an unspecified amount, as well as fees and costs. The action is in the preliminary stage and a lead plaintiff has not yet been appointed. The time for defendants to respond to the complaint has not yet passed and we intend to move to dismiss the complaint at the appropriate time. Based on the preliminary nature of the proceedings in this action, the outcome remains uncertain and we cannot estimate the potential impact, if any, on its business or financial statements at this time.

In addition to the matter described above, we are, and from time to time may become involved in legal proceedings or be subject to claims arising in the ordinary course of its business. We are not presently a party to any legal proceedings that in the opinion of management, if determined adversely to us, would individually or taken together have a material adverse effect on our business, financial condition or operating results.

Defending such proceedings is costly and can impose a significant burden on management and team members. The results of any current or future litigation cannot be predicted with certainty, and regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources and other factors.