---
schema_version: "secwatch.filing_event.v1"
accession: "0001171843-26-002591"
form_type: "8-K"
ticker: "AGAE"
cik: "0001708341"
company_name: "Allied Gaming & Entertainment Inc."
filed_at: "2026-04-21T23:59:59+00:00"
generated_at: "2026-05-15T05:07:41.442307+00:00"
event_type: "litigation"
sentiment: "neutral"
materiality_score: 0.8
calibrated_materiality_score: 0.8
confidence: "high"
source: SEC EDGAR
---

# Allied Gaming settles litigation with Knighted for ~$5.94M paid over 3 months; CEO Li personally guarantees payment

## Summary
- Payment of $5,936,738 fee award to Knighted in three installments: $1M by May 7, $2M by June 30, $2.937M by July 31, 2026.
- Interest at 8.75% p.a. from April 8, 2026; late payment interest at 10% compounded daily; CEO Li and company jointly and severally guarantee.
- Federal litigation against Knighted dismissed with prejudice; mutual non-disparagement and standstill for two years.
- Upon full payment, mutual general releases; Knighted pays its own negotiation costs; no admission of liability.

## SEC filing metadata
- accession: 0001171843-26-002591
- form_type: 8-K
- ticker: AGAE
- cik: 0001708341
- company_name: Allied Gaming & Entertainment Inc.
- filed_at: 2026-04-21T23:59:59+00:00
- event_type: litigation
- sentiment: neutral
- materiality_score: 0.8
- calibrated_materiality_score: 0.8
- confidence: high
- sec_items: 1.01, 5.02, 8.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1708341/000117184326002591/0001171843-26-002591-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1708341/000117184326002591/f8k_042026.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001171843-26-002591
- JSON: https://secwatch.observer/filing/0001171843-26-002591.json
- Plain text: https://secwatch.observer/filing/0001171843-26-002591.txt

## Source-grounded claims
- claim_id: 25e9b26bc1240ad26f762aeccded18646d0f32f3
  claim: Allied Gaming & Entertainment Inc. entered into Term Sheet for Global Resolution with Knighted Pastures, LLC and Roy Choi valued at $5,936,738.36 (effective 2026-04-10).
  evidence_excerpt: On April 10, 2026, Allied Gaming & Entertainment Inc. (the “Company”) and Yangyang Li, its Chief Executive Officer and Chairman, in his personal capacity (“Mr. Li”, and together with the Company, the “Allied Parties”) entered into a binding Term Sheet for Global Resolution (the “Term Sheet”) with Knighted Pastures, LLC (“Knighted”) and Roy Choi, in his personal capacity (“Mr. Choi”, and together with Knighted, the “Knighted Parties”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/1708341/000117184326002591/0001171843-26-002591-index.htm
- claim_id: 6ac881eb9657492f83b7b747084a8a9336b8c0cc
  claim: Allied Gaming & Entertainment Inc. entered into Guaranty with Knighted Pastures, LLC (effective 2026-04-10).
  evidence_excerpt: the Company and Mr. Li, as guarantors, entered into a Guaranty, dated as of April 10, 2026 (the “Guaranty”), pursuant to which the Company and Mr. Li jointly and severally guaranteed to Knighted the payment of the Fee Award, together with all accrued interest.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1708341/000117184326002591/0001171843-26-002591-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.