SETTLEMENT AGREEMENT

6 Months Ended

Jun. 30, 2025

NOTE 5 – SETTLEMENT AGREEMENT

On February 28, 2022, the Company signed a Separation and Release of Claims Agreement with an employee, officer and director of the Company. The terms of the agreement are as follows:

	●	The employee resigned from the Company’s Board of Directors
	●	The employee resigned his position as an officer of the Company, and his employment agreement was terminated
	●	The employee assigned and transferred 10,000 shares of preferred stock to be canceled and extinguished by the Company. A loss of $10 was recorded
	●	The Company will pay the $50,000 as a severance payment. This was paid on the date of the agreement and a loss of $18,076 was recorded
	●	The Company and the employee entered into a Common Stock Redemption Agreement by which the Company will purchase 5,400,000 shares of the Company’s common stock owned by the employee at $0.10 per share for a total of $540,000. The Company repurchased 500,000 for $50,000 at the date of the agreement and recorded a settlement liability of $490,000.

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Payments under the Common Stock Redemption Agreement are as follows:

SCHEDULE OF COMMON STOCK REDEMPTION

Date	Amount			Shares Redeemed
02/28/22	$	50,000			500,000
09/01/22		163,333			1,633,333
03/01/23		163,333			1,633,333
09/01/23		163,333			1,633,334
9/13/22 Termination of Agreement	$	(540,000	)		(5,400,000	)
Balance as of 9/30/22		—

CyberloQ Technologies, Inc.

NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (unaudited)

For the Three Months Ended March 31, 2025

On September 1, 2022, the Company failed to make the stock redemption payment of $163,333 due under the agreement. Thereafter on September 13, 2022, as provided for by the agreement, the employee elected to declare the agreement terminated and null and void. As a result of the termination, all of the not-yet-redeemed shares became immediately freely transferable by the employee without restriction. The Company then released the restriction on the shares and eliminated the liabilities and shares to be redeemed on the balance sheet. On February 13, 2024, the Superior Court of New Jersey entered an order granting the request of CyberloQ Technologies, Inc., a Nevada corporation (the “Company”) to dismiss the matter of Mark Carten v. CyberloQ Technologies, Inc. (UNN-L-3456-22) which was related to the Separation and Release of Claims Agreement. On February 13, 2024, the litigation was dismissed without prejudice and is no longer pending.