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9. SUBSEQUENT EVENTS
12 Months Ended
Dec. 31, 2019
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS

9.       SUBSEQUENT EVENTS

 

In 2020, we issued to employees a total of 425,000 shares of common stock for vested stock grants and 10,000 shares for exercised options.

 

In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic, which continues to spread throughout the United States. While the disruption is currently expected to be temporary, there is uncertainty around the duration. We have not seen a negative impact to our business, results of operations, and financial position, however the related financial impact cannot be reasonably estimated at this time.

 

Following our press release on March 16, 2020, two putative class actions were filed in the United States District Court for the District of Nevada on behalf of a class of persons who acquired our common stock from March 12, 2019 through March 15, 2020, inclusive. The Complaints allege that the Company, Mark R. Newcomer, and Mark Attinger violated Section 10(b) of the Exchange Act, and Messrs. Newcomer and Attinger violated Section 20(a) of the Exchange Act, by making materially false or misleading statements, or failing to disclose material facts, regarding our internal control over financial reporting and our financial statements. The Complaints seek certification as a class action, compensatory damages, and attorney’s fees and costs. The Complaints are entitled Yilan Shi v. Paysign, Inc. et. al., which was filed March 19, 2020 and has not yet been served on the Company, and Lorna Chase v. Paysign, Inc. et. al., which was filed on March 25, 2020 and has not yet been served on the Company.