{"url_path":"/sec/gwti/10-q/2026/item-3","section_key":"item-3","section_title":"Item 3 Defaults Upon Senior Securities.**","topic":"sec","document":{"doc_type":"10-Q","doc_date":"2026-05-20","source_url":"https://www.sec.gov/Archives/edgar/data/1572386/0001493152-26-024621-index.html","accession_number":"0001493152-26-024621","cik":"0001572386","ticker":"GWTI","issuer_name":"GREENWAY TECHNOLOGIES, INC. & SUBSIDIARIES","edgar_url":"https://www.sec.gov/Archives/edgar/data/1572386/0001493152-26-024621-index.html","primary_entity_key":"0001572386","primary_entity_name":"GREENWAY TECHNOLOGIES, INC. & SUBSIDIARIES"},"word_count":392,"has_tables":true,"body_markdown":"**Item 3. Defaults Upon Senior Securities.**\n\n \n\n**March 31, 2026**\n\n \n\nIn May 2022, the Company issued a note payable for\n$67,500, with an original issue debt discount of $37,500, resulting in net proceeds of $30,000. The note was due on September 30, 2022\nand at March 31, 2025 remains in default.\n\n \n\nOn December 20, 2017, the Company issued a convertible promissory note\nfor $166,667, fully payable by December 20, 2019. This loan was in default for breach of payment. By its terms, the cash interest payable\nincreased to 18% per annum on December 20, 2018 and continued at such rate until the note was settled in full in a legal settlement between\nthe parties on October 31, 2025.\n\n \n\nOn September 26, 2019, the Company entered into a\nSettlement Agreement with Southwest Capital Funding Ltd., as part of the consideration for an agreed stipulated judgment, we agreed to\nprovide Southwest a Promissory Note in the amount of $525,000, providing for a three-year term, at 7.7% simple interest only, payable\nsemi-annually, with interest due calculated on a 365-day year, default interest at 18%, with the principal amount due at maturity. Since\nthe note was issued, two semiannual payments of interest have been paid. The Company was in default of its semiannual interest payment\ndue on February 15, 2021. In May 2021, the Company made the semi-annual interest payment (including late fees) and cured the default.\nHowever, the Company again failed to make the required payments and at March 31, 2025 remains in default.\n\n \n\nOn September 14, 2018, the Company entered\ninto a Loan Agreement and a related Security Agreement with Mabert, LLC (“Mabert”). Under the Loan Agreement, up to $5,000,000\nof principal may be loaned to the Company. Under the related Security Agreement, Mabert has a security interest in all the assets of\nthe Company. This security interest is supported by a UCC-1 filed on September 28, 2023 and its scheduled lapse date is October 10, 2028.\nAs of March 31, 2025, the principal amount outstanding is $2,805,774 and accrued interest is $2,799,232. The loans were made by 8 individuals,\nconsisting of 25 loans. The interest rate varies from 10% to 18%, depending on the amount loaned. All of the loans made to the Company\nunder this Loan Agreement have maturities of one year. At March 31, 2026, all of these loans are in default."}