{"url_path":"/sec/cbdy/10-q/2026/item-1","section_key":"item-1","section_title":"Item 1 LEGAL PROCEEDINGS","topic":"sec","document":{"doc_type":"10-Q","doc_date":"2026-05-15","source_url":"https://www.sec.gov/Archives/edgar/data/1586554/0001104659-26-062758-index.html","accession_number":"0001104659-26-062758","cik":"0001586554","ticker":"CBDY","issuer_name":"Target Group Inc.","edgar_url":"https://www.sec.gov/Archives/edgar/data/1586554/0001104659-26-062758-index.html","primary_entity_key":"0001586554","primary_entity_name":"Target Group Inc."},"word_count":208,"has_tables":true,"body_markdown":"ITEM 1. LEGAL PROCEEDINGS\n\nDuring the year ended December 31, 2019, a terminated employee of Canary filed a lawsuit against the Company amounting to approximately USD $1,529,837 (alleged damages of CAD $2,100,000) in Ontario, Canada. Currently, the Company is defending its position and believes that the ultimate decision will be in favor of the Company.\n\nA complaint for damages of USD $150,000 was filed against CannaKorp by the former Chief Financial Officer of CannaKorp for outstanding professional fees. No claim has been registered. The management is of the view that no material losses will arise in respect of the legal claim at the date of this report.\n\nDuring the year ended December 31, 2020, a claim for damages of approximately USD $95,271 (alleged damages of CAD $130,778) was filed against Canary by a vendor for breach of contract. The management is of the view that no material losses will arise in respect of the legal claim at the date of this report. As of December 31, 2025, $100,795 (CAD 138,150) has been recorded in the Canary’s payable based on past accruals. Due to the uncertainty of timing and the amount of estimated future cash flows, if any, relating to this claim, no further amount has been recognized.\n\n​"}