Ineo sends breach notice, drops reseller deal with Bon

Executive Summary

• Ineo Tech Corp.'s subsidiary, Ineo Solutions Inc., has issued a formal notice of material breach to Bon Intelligence Inc. for failing to meet payment and reporting obligations under their May 27, 2025 license agreement.
• Ineo Solutions has immediately terminated the reseller agreement with Bon Intelligence, effective immediately, revoking Bon's authority to market, sell, or distribute Ineo products or services.
• The company is assessing the accounting impact of these events, noting that $206,625 of revenue recognized in the quarter ended June 30, 2025, may be subject to write-off or adjustment.

Key Details

• Notice of Material Breach: Delivered to Bon Intelligence Inc. regarding the license agreement dated May 27, 2025.
• Specific Breaches: Failure to meet payment and reporting obligations.
• Cure Period: Ineo Solutions has demanded Bon remedy breaches within applicable contractual cure periods; failure to cure will result in termination of the license agreement and pursuit of legal remedies.
• Reseller Agreement Termination: The reseller agreement dated January 30, 2025, has been terminated effective immediately.
• Operational Impact: Bon Intelligence is no longer authorized to market, sell, distribute, or represent itself as a reseller, distributor, or agent for Ineo products or services.
• Financial Impact: $206,625 of revenue was recognized in the quarter ended June 30, 2025, in connection with the Bon agreement. This amount may be subject to write-off or other adjustment depending on the outcome of the company's review and auditor discussions.
• Assurance: There is no assurance that Bon will cure the breaches or that the license agreement will continue in effect.