Yeah, baby!
Entry into a Material Definitive
Confidential Settlement Agreement and Release in Litigation Involving Stein Riso Mantel McDonough, LLP, (now known as Mantel McDonough Riso, LLP)
Effective October 2, 2020, Applied Energetics, Inc. entered into a Confidential Settlement Agreement and Release in the litigation involving Stein Riso Mantel McDonough, LLP, (now known as Mantel McDonough Riso, LLP) (Stein Riso). Pursuant to the agreement, Stein Riso is to pay the company three million dollars ($3,000,000) and return to the company ten million (10,000,000) shares of the companys common stock, par value $0.001 per share. Stein Riso entered into the Settlement Agreement without any admission of liability. The parties will be filing a Stipulation of Dismissal with Prejudice as to all claims asserted or which could have been asserted in the lawsuit. The agreement also contains standard mutual general release and confidentiality provisions.
Item 8.01 Other Events
Update of Litigation Against Prior Management and Related Parties
The following provides an update on events concerning litigation involving Applied Energetics, Inc. Information regarding events occurring prior to the date of this Current Report on Form 8-K can be found in the companys prior Current, Annual and Quarterly Reports on Forms 8-K, 10-K and 10-Q on file with the Securities and Exchange Commission.
See Item 1.01 for information regarding the Settlement Agreement with Stein Riso.
As previously reported, the company has also settled its litigation with George Farley (Farley), its former CEO, and AnneMarieCo, LLC (AMC). To clarify prior reporting on that settlement, funds in the amount of $582,377.26, which were previously deposited by the company to secure a bond in favor of Farley and AMC in connection with the litigation, were released once the stipulated judgment was entered by the court. Per the settlement agreement, $500,000 of those funds were applied to the $1,500,000 purchase price for the companys purchase of Farley and AMCs 5 million shares of the companys common stock, par value $0.001 per share. The remaining funds were returned to the company.
1
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
APPLIED ENERGETICS, INC.
By:
/s/ Gregory J. Quarles,
Gregory J. Quarles,
Chief Executive Officer
Date
: October 5, 2020
