A lawsuit has been filed by Strategy and Execution, Inc. (SEI) against Black Rifle Coffee Company LLC (BRCC) for breach and anticipatory breach of contract and declaratory relief. SEI alleges that BRCC has not paid them royalties and other payments due from a written Consulting Agreement and subsequent contracts for payment of agent expenses. SEI is also seeking a declaratory judgment that BRCC does not have intellectual property rights in the ingredients, composition, and/or formulas for the Ready-to-Drink (RTD) coffee line of beverages developed through SEI's efforts. The lawsuit was filed in the United States District Court for the Western District of Texas, San Antonio Division. The dispute involves post-termination royalties for products developed and manufactured during the initial term of their Consulting Agreement. SEI is seeking hundreds of thousands of dollars in currently unpaid, past-due royalties, tens of millions of dollars in future royalties, and other amounts owed to it under the Consulting Agreement.