{"url_path":"/sec/cik-0001816937/10-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/1816937/0001493152-26-023568-index.html","accession_number":"0001493152-26-023568","cik":"0001816937","ticker":null,"issuer_name":"BOXABL Inc.","edgar_url":"https://www.sec.gov/Archives/edgar/data/1816937/0001493152-26-023568-index.html","primary_entity_key":"0001816937","primary_entity_name":"BOXABL Inc."},"word_count":332,"has_tables":true,"body_markdown":"**Item\n1 Legal Proceedings.**\n\n \n\nThe\nCompany is party to various legal proceedings and claims from time-to-time. There are no legal proceedings which the Company believes will have a material adverse effect on the Company’s\nfinancial position. However, litigation is inherently\nuncertain, and it is not possible to predict the ultimate disposition of these proceedings.\n\n \n\nPlease refer to “Item 3. Legal Proceedings” in our Annual Report on Form 10-K for the year ended\nDecember 31, 2025 for a discussion of our ongoing matters. No new legal proceedings have arisen, and no material development have occurred\nin any pending legal proceedings, since December 31, 2025, other than as set forth below. We know of no other existing or pending legal\nproceedings against the Company, nor are we involved as a plaintiff in any other proceeding or pending litigation.\n\n \n\nThere are no proceedings in which any of our directors,\nofficers, beneficial owner of 5% of more of our voting stock or any of their respective affiliates is an adverse party or has a material\ninterest adverse to the Company.\n\n \n\nOn\nor about October 5, 2023, Leader Capital High Quality Income Fund, a series of Leader Funds Trust, a Delaware Statutory Trust, commenced\nan action against the Company and other defendants in the District Court for Nevada, asserting claims for breach of duty to register\na transfer of a security (NRS 104.8401), Conversion, and Intentional Interference with a Prospective Economic Advantage. Plaintiff claimed\nthat it requested the removal of a restrictive legend to shares held by Plaintiff and that the Company refused and/or delayed approval\nof the removal and caused Plaintiff to suffer damages. The Company agreed to provide a defense to Transfer Online Inc., its former transfer\nagent. After the Company filed its motion for summary judgment, Leader dismissed all claims against the Company. In February 2026, the Court granted the Company’s motion for attorneys’ fees awarding the Company\napproximately $260,000 in fees and costs. Leader has until May 15, 2026, to file an appeal."}