Zerify Inc (ZRFY)

[dukeb]

In addition to what has been said by the other "Debbie Downers" check the 10-K for 2022 (the 10-K for 2023 was due earlier this week and is now late) and you will see that,

IN 2013, ZRFY (then SFOR) settled patent litigation with Microsoft on the out of band verification technology. At the time it was characterized as Microsoft doing away with a nuisance lawsuit by paying a few hundred thousand dollars to ZRFY.

In Note 8 of the 2022 10-K

On September 6, 2017, the Company entered into a litigation funding agreement with Therium Inc. (subsequently Therium Luxembourg) and VGL Capital, LLC (collectively the “Funders”) for financing of $1,500,000 from the Funders to allow the Company to pursue patent enforcement actions against alleged infringements of its patents. In exchange for the financing, the Funders are entitled to receive( after the payment of legal fees), the first $1,500,000 from the gross proceeds of any claims awarded, 10% of any additional claim proceeds until the Funders have received an additional $7,500,000, and 2.5% of any claim proceeds thereafter. The Funders are to be paid only if the Company achieves recoveries of claim proceeds. At December 31, 2022 and 2021, the Company has reflected the $1,500,000 received from the Funders as a contingent payment obligation to be paid only if patent enforced claim proceeds are recovered.

So:

a) The first $1.5 million of any infringement recovery goes to Therium following by an additional piece of any other patent recovery. That deal is almost 7 years old and Therium is still waiting for their money. What company is going to be foolish enough to front more litigation when the 7 year old litigation plan has not produced any recovery...and that new financier will have to wait until Therium gets their $ 1.5 million first.

b) The validity of the patents has never been demonstrated nor has ZRFY ever proven that anyone has violated those patents.

c) Mark Kay lies. Constantly. Always, really. If you believe what Mark says about patent litigation, about pending deals or even what he says about the sun coming out tomorrow you do so are your own peril.