STOCK TITAN
  1. Home
  2. Sec-filings
  3. FKWL
  4. [8-K] FRANKLIN WIRELESS CORP Reports Material Event

Franklin Wireless (NASDAQ: FKWL) unit ordered to pay $3,673,336 plus interest

Filing Impact
(Moderate)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

Franklin Wireless Corp. reports that its South Korea-based subsidiary, Franklin Technology Inc. (FTI), received an adverse ruling from the Seoul Central District Court in a commercial contract dispute with Partron Co., Ltd. The court ordered FTI to pay damages of approximately $3,673,336 USD to Partron.

The judgment also includes accrued interest at 5% per annum from November 4, 2022 through July 16, 2026, and post-judgment interest at 12% per annum from July 17, 2026 until full payment is made. The dispute involves a contract for the development and production of devices. FTI and the company are reviewing the written decision with legal counsel and evaluating legal options, including a possible appeal, and state that they intend to vigorously defend their position.

Positive

  • None.

Negative

  • Court-ordered payment and interest: A South Korean court ordered Franklin Technology Inc. to pay approximately $3,673,336 in damages to Partron, plus 5% annual accrued interest from November 4, 2022 to July 16, 2026 and 12% annual post-judgment interest from July 17, 2026 until full payment.

Filing Explained

A court-ordered obligation remains unresolved; its approximately 3,673,336 US dollars compares with 9,305,157 US dollars of cash reported at March 31, 2026.

The ruling leaves Franklin Technology Inc. with a court-ordered damages obligation; the July 31 filing does not report payment or completion, so the disclosed state is an unresolved judgment rather than a settled cash outflow.

The approximately $3,673,336 order can be read against Franklin Wireless’s latest reported cash and equivalents of $9,305,157 as of March 31, 2026; the filing provides no additional liquidity sizing.

Item 8.01 Other Events Other
Voluntary disclosure of events the company deems important to shareholders but not covered by other items.
Damages Award $3,673,336 USD Amount the Seoul Central District Court ordered Franklin Technology Inc. to pay to Partron
Accrued Interest Rate 5% per annum Interest on damages from November 4, 2022 through July 16, 2026
Post-Judgment Interest Rate 12% per annum Ongoing interest from July 17, 2026 until full payment of judgment
Ruling Date July 28 Date the Seoul Central District Court issued its ruling against Franklin Technology Inc.
Report Date July 31, 2026 Date of the current report by Franklin Wireless Corp.
accrued interest financial
"plus accrued interest at a rate of 5% per annum from November 4, 2022"
Accrued interest is the amount of interest that has built up on a loan, bond, or similar investment since the last payment date but has not yet been paid. For investors this matters because when you buy or sell a fixed‑income security between payment dates you compensate the other party for that earned interest—think of it like buying a house mid‑month and reimbursing the seller for days of heating already used—so it affects the actual cash you pay, the yield you receive, and short‑term returns.
post-judgment interest financial
"and ongoing post-judgment interest at a rate of 12% per annum"
Post-judgment interest is the additional money that accrues on a court-ordered monetary award from the date the judgment is entered until it is paid, like a continuing late fee on an unpaid bill. It matters to investors because it increases the final payout or the liability tied to a legal dispute, affecting expected cash flows, valuation of claims or reserves, and the timing and size of recoveries in a way similar to interest on any overdue debt.
Emerging growth company regulatory
"or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company"
An emerging growth company is a recently public or smaller public firm that qualifies for temporary, lighter regulatory and disclosure rules to reduce the cost and effort of being public. For investors, it means the company may provide less historical financial detail and face fewer reporting requirements than larger firms, so it can grow more quickly but also carries higher uncertainty—like buying a promising early-stage product with fewer user reviews.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google
Add on Google
Understanding 8-K Material Events →

FAQ

How much must Franklin Technology Inc. pay Partron according to the ruling?
Franklin Technology Inc. was ordered to pay Partron approximately $3,673,336 USD in damages. This amount is in addition to accrued interest at 5% per annum for a defined past period and post-judgment interest at 12% per annum until full payment.

What interest rates apply to the Franklin Wireless (FKWL) judgment?
The judgment includes accrued interest at 5% per annum from November 4, 2022 through July 16, 2026, and post-judgment interest at 12% per annum from July 17, 2026 until the damages of $3,673,336 are fully paid to Partron.

What is the underlying dispute in the Franklin Wireless (FKWL) case with Partron?
The dispute between Franklin Technology Inc. and Partron Co., Ltd. arises from a commercial contract covering the development and production of devices. The Seoul Central District Court ruled against Franklin Technology Inc. and awarded damages and interest to Partron.

How is Franklin Wireless (FKWL) responding to the South Korean court ruling?
Franklin Wireless, through Franklin Technology Inc., is reviewing the written decision with legal counsel and evaluating all available legal options, including a potential appeal to a higher court. The company states it intends to vigorously defend its position.

Does the Franklin Wireless (FKWL) ruling include post-judgment interest?
Yes. The ruling provides for post-judgment interest at 12% per annum starting July 17, 2026 and continuing until the approximately $3,673,336 in damages and prior accrued interest owed to Partron are fully paid.
false 0000722572 0000722572 2026-07-31 2026-07-31 iso4217:USD xbrli:shares iso4217:USD xbrli:shares

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d) of

the Securities Exchange Act of 1934

 

Date of Report: July 31, 2026

 

Franklin Wireless Corp.

(Exact name of registrant as specified in its charter)

 

Nevada 001-14891 95-3733534
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)

 

3940 Ruffin Road, Suite C

San Diego, CA 92123

(Address of principal executive offices)

 

Registrant's telephone number, including area code:

(858) 623-0000

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock, par value $.001 per share FKWL NASDAQ Capital Market

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 

   

 

 

Item 8.01 Other Events

 

On July 28th, the Seoul Central District Court (62nd Civil Division) issued a ruling against Franklin Technology Inc. (“FTI”), a South Korea-based subsidiary of Franklin Wireless Corp. (the “Company”), in a legal proceeding brought by Partron Co., Ltd. (“Partron”).

 

The court ordered FTI to pay damages to Partron in the amount of approximately $3,673,336 USD, plus accrued interest at a rate of 5% per annum from November 4, 2022 through July 16, 2026, and ongoing post-judgment interest at a rate of 12% per annum from July 17, 2026 until full payment is made. The dispute relates to a commercial contract for the development and production of devices.

 

The Company, through FTI, is currently reviewing the court’s written decision with its legal counsel to evaluate all available legal options, including filing an appeal to a higher court. The Company intends to vigorously defend its position.

 

 

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

  FRANKLIN WIRELESS CORP.
     

Date: July 31, 2026

 By: /s/ OC Kim
          OC Kim, President
     

 

 

 

 

 

 

 

 2 

 

Source: View Original Filing on SEC EDGAR

Filing Exhibits & Attachments

3 documents

Other Documents