APPLIED ENERGETICS, INC. (OTCMKTS:AERG) Files An 8-K Other Events
Item 8.01 – Other Events
Update of Litigation Against Prior Management and Related Parties
The following provides an update on events concerning litigation involving Applied Energetics, Inc. Information regarding events occurring prior to the date of this Current Report on Form 8-K can be found in the company’s prior Current, Annual and Quarterly Reports on Forms 8-K, 10-K and 10-Q on file with the Securities and Exchange Commission.
On May 31, 2020, in the company’s ongoing litigation against Stein Riso Mantel McDonough, LLP (“Stein Riso”), the United States District Court for the Southern District of New York issued an opinion and order denying in part and granting in part the motion of Stein Riso to dismiss the company’s complaint.
The court rejected Stein Riso’s arguments that the allegations in the company’s complaint did not adequately allege Stein Riso committed malpractice and aided and abetted breaches of fiduciary duties by George Farley, the company’s former CEO and the defendant in a related action in the Delaware Chancery Court. The court dismissed a separate cause of action which the company had pled for “rescission and restitution” for Stein Riso’s alleged violations of the New York Rules of Professional Conduct, finding it was “duplicative” of our professional malpractice cause of action. The court also dismissed the company’s cause of action against Stein Riso for securities fraud. The court scheduled an initial pre-trial conference for June 26, 2020.
On June 2, 2020, in our ongoing litigation against George Farley, the company’s former CEO, and AnneMarieCo, LLC, the Chancery Court of the State of Delaware issued a scheduling order setting dates for pre-trial motion practice, hearings and conferences leading up to a trial date of September 21-24, 2020.
The company cannot guaranty the outcome of any litigation but expects to provide further updates on the status of the litigation as circumstances warrant.
About APPLIED ENERGETICS, INC. (OTCMKTS:AERG)
Applied Energetics, Inc. is a shell company. The Company focuses on reactivating its previous business activities. The Company was engaged in the design, development and manufacture of applied energy systems for military and commercial applications and ultra-short pulse lasers and high voltage lasers for commercial applications. The Company is seeking to sell or license its technology. The Company is focusing on developing ultra-short pulse lasers (UPS). It is preparing for the next stage of laser guided energy (LGE) development that involves the development of USP laser technologies. These lasers will allow for LGE weapon systems to be mounted on mobile platforms for multiple anti-terrorist missions, including counter measures against drones and other hostile inbound objects, counter-improvised explosive devices (C-IED) and vehicle stopping, among others.