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Chairman and CEO Stockholder Letter: Unanimous Supreme Court Ruling Builds the Case for Pre-Escalation and Widespread BolaWrap Adoption

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Wrap Technologies (NASDAQ: WRAP) CEO Scot Cohen addresses stockholders regarding the impact of the Supreme Court's Barnes v. Felix ruling on law enforcement liability and the strategic positioning of their BolaWrap 150 device. The ruling expands officer liability to include pre-escalation actions, requiring a 'totality of circumstances' evaluation in use-of-force incidents. WRAP has filed trademarks for 'Pre-Escalation' and 'WrapWindow' concepts, positioning BolaWrap 150 as a non-lethal, non-pain-based compliance tool for early intervention. The company emphasizes that in agencies with full BolaWrap integration, it has become the most-used tool, particularly effective during the critical pre-escalation period. WRAP is preparing for widespread adoption through enhanced support programs including WrapPlus, WrapTactics training, and WrapReady solutions.
Il CEO di Wrap Technologies (NASDAQ: WRAP), Scot Cohen, si rivolge agli azionisti per discutere l'impatto della sentenza Barnes v. Felix della Corte Suprema sulla responsabilità delle forze dell'ordine e sulla posizione strategica del loro dispositivo BolaWrap 150. La sentenza estende la responsabilità degli agenti anche alle azioni precedenti all'escalation, richiedendo una valutazione basata sulla 'totalità delle circostanze' negli episodi di uso della forza. WRAP ha registrato i marchi 'Pre-Escalation' e 'WrapWindow', posizionando il BolaWrap 150 come uno strumento di conformità non letale e non doloroso per un intervento precoce. L'azienda sottolinea che, nelle agenzie con piena integrazione di BolaWrap, questo è diventato lo strumento più utilizzato, risultando particolarmente efficace nel periodo critico prima dell'escalation. WRAP si sta preparando per un'adozione diffusa attraverso programmi di supporto potenziati, tra cui WrapPlus, formazione WrapTactics e soluzioni WrapReady.
El CEO de Wrap Technologies (NASDAQ: WRAP), Scot Cohen, se dirige a los accionistas para abordar el impacto del fallo Barnes v. Felix de la Corte Suprema sobre la responsabilidad policial y la posición estratégica de su dispositivo BolaWrap 150. La sentencia amplía la responsabilidad de los agentes para incluir acciones previas a la escalada, exigiendo una evaluación de la 'totalidad de las circunstancias' en incidentes de uso de la fuerza. WRAP ha registrado las marcas 'Pre-Escalation' y 'WrapWindow', posicionando el BolaWrap 150 como una herramienta de cumplimiento no letal y sin dolor para la intervención temprana. La compañía enfatiza que, en las agencias con integración completa de BolaWrap, este se ha convertido en la herramienta más utilizada, siendo especialmente efectivo durante el período crítico previo a la escalada. WRAP se está preparando para una adopción generalizada mediante programas de apoyo mejorados, incluyendo WrapPlus, capacitación WrapTactics y soluciones WrapReady.
Wrap Technologies(NASDAQ: WRAP)의 CEO 스콧 코헨은 주주들에게 대법원의 Barnes v. Felix 판결이 법 집행 책임에 미치는 영향과 BolaWrap 150 장치의 전략적 위치에 대해 설명합니다. 이 판결은 경찰관의 책임 범위를 확대하여 갈등 고조 전(pre-escalation) 행동까지 포함하며, 무력 사용 사건에서 '전체 상황(totality of circumstances)' 평가를 요구합니다. WRAP은 'Pre-Escalation'과 'WrapWindow' 개념에 대한 상표를 출원하여 BolaWrap 150을 비치명적이고 고통을 주지 않는 조기 개입용 준수 도구로 자리매김하고 있습니다. 회사는 BolaWrap이 완전히 통합된 기관에서 가장 많이 사용되는 도구가 되었으며, 특히 갈등 고조 전 중요한 시기에 매우 효과적임을 강조합니다. WRAP은 WrapPlus, WrapTactics 교육, WrapReady 솔루션 등 강화된 지원 프로그램을 통해 광범위한 도입을 준비하고 있습니다.
Le PDG de Wrap Technologies (NASDAQ : WRAP), Scot Cohen, s'adresse aux actionnaires concernant l'impact de la décision Barnes v. Felix de la Cour suprême sur la responsabilité des forces de l'ordre et le positionnement stratégique de leur dispositif BolaWrap 150. Cette décision étend la responsabilité des officiers aux actions précédant l'escalade, exigeant une évaluation de la 'totalité des circonstances' dans les cas d'usage de la force. WRAP a déposé les marques 'Pre-Escalation' et 'WrapWindow', positionnant le BolaWrap 150 comme un outil de conformité non létal et indolore pour une intervention précoce. L'entreprise souligne que dans les agences ayant intégré pleinement BolaWrap, cet outil est devenu le plus utilisé, particulièrement efficace durant la période critique précédant l'escalade. WRAP se prépare à une adoption large grâce à des programmes de soutien renforcés incluant WrapPlus, la formation WrapTactics et les solutions WrapReady.
Der CEO von Wrap Technologies (NASDAQ: WRAP), Scot Cohen, spricht zu den Aktionären über die Auswirkungen des Urteils Barnes v. Felix des Obersten Gerichtshofs auf die Haftung der Strafverfolgungsbehörden und die strategische Positionierung ihres Geräts BolaWrap 150. Das Urteil erweitert die Haftung der Beamten auf Handlungen vor der Eskalation und verlangt eine Bewertung der 'Gesamtheit der Umstände' bei Fällen von Gewaltanwendung. WRAP hat die Marken 'Pre-Escalation' und 'WrapWindow' angemeldet und positioniert den BolaWrap 150 als ein nicht-tödliches, schmerzfreies Compliance-Werkzeug für frühzeitige Interventionen. Das Unternehmen betont, dass BolaWrap in Agenturen mit vollständiger Integration zum meistgenutzten Werkzeug geworden ist und besonders in der kritischen Phase vor der Eskalation wirksam ist. WRAP bereitet sich auf eine breite Einführung durch verbesserte Unterstützungsprogramme wie WrapPlus, WrapTactics-Schulungen und WrapReady-Lösungen vor.
Positive
  • Supreme Court ruling potentially increases demand for non-lethal pre-escalation tools like BolaWrap
  • BolaWrap has become the most-used tool in agencies with full integration
  • Company has filed strategic trademark applications for 'Pre-Escalation' and 'WrapWindow' concepts
  • Expanding product ecosystem with WrapPlus, WrapTactics training, and WrapReady solutions
Negative
  • Increased legal scrutiny and liability risks for law enforcement may slow adoption process
  • Success depends on proper training and policy integration by agencies
  • Product effectiveness limited to specific time window during pre-escalation period

Insights

Supreme Court ruling expands police liability, positioning Wrap's BolaWrap as a critical pre-escalation tool for law enforcement.

The Supreme Court's Barnes v. Felix ruling represents a significant shift in police liability assessment, expanding evaluation beyond the moment force is applied to include the "totality of circumstances" during pre-escalation. This legal development fundamentally alters how use-of-force incidents will be evaluated under federal civil rights law.

Wrap Technologies has strategically positioned its BolaWrap 150 to address this exact liability gap. Unlike traditional tools that rely on pain compliance (tasers, pepper spray), BolaWrap offers a non-pain-based restraint option that can be deployed earlier in confrontations - precisely in what the company has trademarked as the "WrapWindow" and "Pre-Escalation" period.

The timing of this ruling creates a compelling adoption case for law enforcement agencies. Departments without adequate pre-escalation tools now face increased litigation risk, particularly in confrontations involving mental health crises. This aligns perfectly with Wrap's ecosystem approach that includes their hardware, WrapPlus, WrapTactics training, and WrapReady programs.

The company's claim that BolaWrap becomes "the most-used tool on the belt" in fully-integrated departments suggests strong product-market fit where deployed. The expanded liability window created by Barnes v. Felix provides a significant catalyst for accelerated adoption, as departments will likely need to demonstrate they've implemented appropriate pre-escalation options to mitigate liability exposure.

The Court's acknowledgment that officers must exhaust de-escalation tactics before using potentially lethal force creates a legal framework that directly supports Wrap's product positioning as the tool for the critical gap between verbal commands and traditional use-of-force options.

Barnes v. Felix expands window of liability to include the totality of circumstances—renewing focus on officer’s actions during the pre-escalation period.

MIAMI, June 02, 2025 (GLOBE NEWSWIRE) -- Wrap Technologies, Inc, (NASDAQ: WRAP) (“Wrap” or, the “Company”), a global leader in innovative public safety technologies and non-lethal tools, today issues a letter to stockholders from Founder and CEO, Scot Cohen.

Chairman and CEO Letter to Stockholders

Fellow Stockholders,

Law-enforcement tools, technologies, and tactics are under constant scrutiny—not just for their effectiveness, but for how they’re viewed by the public we serve. As public perception and the legal landscape evolves, law enforcement officers and leaders are challenged to keep up, balancing their constitutional oath to protect and the reality of operational readiness against growing public expectations. As a result, law enforcement landscape of liability is evolving rapidly, shaped by new legal rulings, heightened public expectations, and new technologies.

Wrap’s BolaWrap was designed to fill the critical gap between verbal commands and use-of-force options (e.g. guns, tasers, pepper spray, baton)—a space where too many incidents often escalate quickly. After hundreds of conversations with law enforcement leaders and thousands of hours of body worn camera reviews, we believe one thing is clear: in agencies that have fully integrated the BolaWrap 150 with proper training and policy, it has become the most-used tool on the belt. We believe it reliably and predictably shines and excels where liability is highest and safer alternatives are most needed.

Supreme Court Ruling: The Case for Pre-Escalation

The recent Supreme Court decision in Barnes v. Felix will likely have a seismic shift in how use-of-force incidents will be evaluated under federal civil rights law moving forward, which has the potential to change the way officers approach a scene. By expanding the analysis and calculus of the courts to include a new “totality of the circumstances” test, the decision broadens the scope of officer accountability beyond just the moment force is applied.

This shift affirms what Wrap has believed since day one: that the best way to improve public safety, reduce liability, and drive better outcomes is to prevent escalation before it begins.

In this new legal landscape, officers may be found liable not for how they used force, but for their actions in the pre-escalation period. Departments that lack pre-escalation tools, training, or tactics may face increased litigation risk, consent decrees, and community backlash. This may be especially true in cases where force is used against individuals experiencing mental or behavioral health crises. In its opinion, the Supreme Court acknowledged the growing legal and societal expectation that officers must exhaust de-escalation tactics before resorting to potentially lethal force. This ruling doesn’t merely challenge historical doctrine—it potentially redefines it.

Aligning BolaWrap in a Post Barnes World

We believe BolaWrap is uniquely positioned to meet this moment because we are one of the only non-lethal, non-pain-based-compliance device that can be rapidly deployed at the earliest stages of subject non-compliance —defining a new standard in “Pre-Escalation” policing. We believe the BolaWrap 150 offers officers a safer, more consistent, and constitutionally sound primary plan, especially as courts now evaluate individual officer liability based on the totality of circumstances.

Building upon our product differentiation, we’ve filed federal trademark applications for two key public safety concepts: “Pre-Escalation” and the “WrapWindow.”

  • Pre-Escalation represents a newly defined phase in the use-of-force continuum—marking the period of time and opportunity for officers to act before a subject can escalate the event to greater conflict and risk.
  • The WrapWindow exists within the Pre-Escalation Period and defines a narrow but crucial time frame where an officer has the legal constitutional authority to place a subject into handcuffs and when verbal commands and presence are not effective. It’s in this WrapWindow of pre-escalation opportunity that we believe our flagship device, the BolaWrap 150, excels and has the opportunity to deliver a non-pain-based intervention at the most effective time with the least amount of risk to the officer or subject.

While the BolaWrap™ 150 can be successfully deployed during other phases of a critical incident, included in conjunction with backup and lethal cover, its most effective use case is within the WrapWindow of the Pre-Escalation Period.

These core principles form the foundation for the next generation of policing—defining and setting a new standard that aligns with the Supreme Court’s decision and the goal of law enforcement today. We intend to lay a roadmap of tools, technology, and tactical training within a public safety ecosystem to adopt and operationalize “Pre-Escalation” as the new standard in use-of-force decision-making.

Ready for Widespread Adoption

We are ready, with people and programs to meet the demand and accelerate our growth both domestically and abroad. Make no mistake, Wrap is entering a defining era. Defining “Pre-Escalation” and the “WrapWindow,” paired with our new ecosystem of solutions—WrapPlus, WrapTactics training, and WrapReady—we are positioned to scale. Delivering and defining exactly what today’s law enforcement environment demands: proactive, adaptive, and predictable tools. By aligning with the evolving legal liability landscape and expanding access through flexible pricing and agile deployment, we’re not just adapting to the future—we’re leading it. Existing BolaWrap programs will have priority access to this enhanced level of support which we believe will drive deployments to solidify its place as the most actively utilized tool in public safety.

To our employees, partners, investors, and the officers who serve with courage and integrity: thank you for being part of the fastest-growing movement in public safety.

Sincerely,

Scot Cohen
Founder, Chairman and CEO, WRAP Technologies, Inc.

About Wrap Technologies, Inc.

Wrap Technologies, Inc. (Nasdaq: WRAP) is a global leader in public safety solutions, bringing together cutting-edge technology with exceptional people to address the complex, modern day challenges facing public safety organizations.

Wrap’s BolaWrap® solution is a safer way to gain compliance—without pain.

This innovative, patented device deploys light, sound, and a Kevlar® tether to safely restrain individuals from a distance, giving officers critical time and space to manage non-compliant situations before resorting to higher-force options. The BolaWrap 150 does not shoot, strike, shock, or incapacitate—instead, it helps officers operate lower on the force continuum, reducing the risk of injury to both officers and subjects. Used by over 1,000 agencies across the U.S. and in 60 countries, BolaWrap® is backed by training certified by the International Association of Directors of Law Enforcement Standards and Training (IADLEST), reinforcing Wrap’s commitment to public safety through cutting-edge technology and expert training.

Wrap Reality™ VR is a fully immersive training simulator to enhance decision-making under pressure.

As a comprehensive public safety training platform, it provides first responders with realistic, interactive scenarios that reflect the evolving challenges of modern law enforcement. By offering a growing library of real-world situations, Wrap Reality™ equips officers with the skills and confidence to navigate high stakes encounters effectively, leading to safer outcomes for both responders and the communities they serve.

Wrap Intrensic is an advanced body-worn camera and evidence management system built for efficiency.

Designed for efficiency, security, and transparency to meet the rigorous demands of modern law enforcement, Intrensic seamlessly captures, stores, and manages digital evidence, ensuring integrity and full chain-of-custody compliance. With automated workflows, secure cloud storage, and intuitive case management tools, it streamlines operations, reduces administrative burden, and enhances courtroom credibility.

Trademark Information

Wrap, the Wrap logo, BolaWrap®, Wrap Reality™ and Wrap Training Academy are trademarks of Wrap Technologies, Inc., some of which are registered in the U.S. and abroad. All other trade names used herein are either trademarks or registered trademarks of the respective holders.

Cautionary Note on Forward-Looking Statements

Safe Harbor Statement This release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Words such as “expect,” “anticipate,” “should”, “believe”, “target”, “project”, “goals”, “estimate”, “potential”, “predict”, “may”, “will”, “could”, “intend”, and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Moreover, forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the Company’s control. The Company’s actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: the expected benefits of the acquisition of W1 Global, LLC, the Company’s ability to maintain compliance with the Nasdaq Capital Market’s listing standards; the Company’s ability to successfully implement training programs for the use of its products; the Company’s ability to manufacture and produce products for its customers; the Company’s ability to develop sales for its products; the market acceptance of existing and future products; the availability of funding to continue to finance operations; the complexity, expense and time associated with sales to law enforcement and government entities; the lengthy evaluation and sales cycle for the Company’s product solutions; product defects; litigation risks from alleged product-related injuries; risks of government regulations; the business impact of health crises or outbreaks of disease, such as epidemics or pandemics; the impact resulting from geopolitical conflicts and any resulting sanctions; the ability to obtain export licenses for counties outside of the United States; the ability to obtain patents and defend intellectual property against competitors; the impact of competitive products and solutions; and the Company’s ability to maintain and enhance its brand, as well as other risk factors mentioned in the Company’s most recent annual report on Form 10-K, subsequent quarterly reports on Form 10-Q, and other Securities and Exchange Commission filings. These forward-looking statements are made as of the date of this release and were based on current expectations, estimates, forecasts, and projections as well as the beliefs and assumptions of management. Except as required by law, the Company undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in its expectations.

Investor Relations Contact:
(800) 583-2652
ir@wrap.com


FAQ

What impact does the Barnes v. Felix Supreme Court ruling have on WRAP stock?

The ruling potentially increases demand for WRAP's BolaWrap device by expanding officer liability to include pre-escalation actions, making non-lethal intervention tools more crucial for law enforcement.

What is the BolaWrap 150 device and how does it work?

BolaWrap 150 is a non-lethal, non-pain-based compliance device designed for early intervention in law enforcement situations, filling the gap between verbal commands and traditional use-of-force options.

What are WRAP's new trademark applications for law enforcement?

WRAP has filed federal trademark applications for 'Pre-Escalation' and 'WrapWindow' concepts, defining new standards in use-of-force continuum and intervention timing.

How is WRAP Technologies expanding its product ecosystem?

WRAP is expanding through WrapPlus, WrapTactics training, and WrapReady solutions, offering enhanced support programs for law enforcement agencies.

What is the adoption rate of BolaWrap in law enforcement agencies?

According to the company, BolaWrap has become the most-used tool in agencies that have fully integrated it with proper training and policy.
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