Our P2O processing machine technology is not patent protected.
The Company has not sought patent protection for its P2O processing technology. However, we intend to do so in the near future. A lack of patent protection could have a material adverse effect on our ability to gain a competitive advantage for our machines and may have a material adverse effect on our results of operations, especially on future sales or licensing of our machines.
Our future success is dependent upon our ability to protect our intellectual property.
The Company may not be able to protect unauthorized use of its intellectual property and take appropriate steps to enforce its rights. Although management does not believe that its services infringe on the intellectual rights of others, there is no assurance that the Company may not be the target of infringement or other claims. Such claims, even if not true, could result in significant legal and other associated costs and may be a distraction to management. We plan to rely on a combination of copyright, trade secret, trademark laws and non-disclosure and other contractual provisions to protect our proprietary rights. Because the policing of intellectual and intangible rights may be difficult and the ideas and other aspects underlying our business model may not in all cases be protectable under intellectual property laws, there can be no assurance that we can prevent competitors from marketing the same or similar products and services.
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