{"url_path":"/sec/drmaw/10-q/2026/item-1","section_key":"item-1","section_title":"Item 1 LEGAL PROCEEDINGS**","topic":"sec","document":{"doc_type":"10-Q","doc_date":"2026-05-13","source_url":"https://www.sec.gov/Archives/edgar/data/1853816/0001493152-26-022719-index.html","accession_number":"0001493152-26-022719","cik":"0001853816","ticker":"DRMA","issuer_name":"Dermata Therapeutics, Inc.","edgar_url":"https://www.sec.gov/Archives/edgar/data/1853816/0001493152-26-022719-index.html","primary_entity_key":"0001853816","primary_entity_name":"Dermata Therapeutics, Inc."},"word_count":259,"has_tables":true,"body_markdown":"**ITEM\n1: LEGAL PROCEEDINGS**\n\n \n\nOn\nApril 23, 2026, Dermata was served with a complaint filed by Villani, Inc. (“Villani”) in the U.S. District Court for\nthe Central District of California (“Lawsuit”). The Lawsuit alleges the Company made false or misleading advertising statements\nunder the Lanham Act 15 USC §1125, breach of contract, and conversion, and seeks injunctive relief. In connection with the Lawsuit,\non April 26, 2026, Villani filed a motion seeking a temporary restraining order (“TRO”) and a preliminary injunction. The\nCompany denies the allegations in the Lawsuit and is vigorously opposing Villani’s motion.\n\n \n\nOn\nMay 6, 2026, the court denied the TRO in part as related to Villani’s breach of contract and conversion claims, and granted the\nTRO in part as related to certain of Villani’s false or misleading advertising claims, which imposes certain temporary restrictions\non specific statements the Company can make, pending further proceedings. The preliminary injunction, if granted, could extend certain\nof the above restrictions. A hearing on the preliminary injunction is scheduled for July 14, 2026.\n\n \n\nAt\nthis time, the Company is unable to reasonably estimate the likelihood of an unfavorable outcome or the amount or range of potential\nloss, if any, that may result from this matter. The TRO and any potential preliminary injunction could have an adverse impact on the\nCompany’s operations, financial condition, and results of operations, particularly if the restrictions remain in place for an extended\nperiod or are expanded in scope.\n\n \n\nThe\nCompany will continue to monitor developments in this matter and will adjust its disclosures as appropriate."}