---
schema_version: "secwatch.filing_event.v1"
accession: "0001683168-22-000075"
form_type: "8-K"
ticker: "CDIX"
cik: "0000811222"
company_name: "Cardiff Lexington Corp"
filed_at: "2022-01-05T23:59:59+00:00"
generated_at: "2026-06-27T20:47:35.201751+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.85
calibrated_materiality_score: 0.85
confidence: "high"
source: SEC EDGAR
---

# Cardiff Lexington sells Key Tax subsidiary to management for $2.6M via stock swap

## Summary
- Sale of JM Enterprises1 (dba Key Tax) to managers Kelly Gibson and Ron Clere via exchange of Preferred "G" shares valued at $2,601,952.
- Employees resign effective Dec 31, 2021; company retains access to 2021 financials for SEC filings.
- Buyers agree to 3-year non-solicitation and confidentiality covenants; both parties release all claims.
- Preferred "G" shares have par $0.001 and stated value $4.00 per share; deal structured as tax-free exchange under IRC Section 368(a)(1)(B).

## SEC filing metadata
- accession: 0001683168-22-000075
- form_type: 8-K
- ticker: CDIX
- cik: 0000811222
- company_name: Cardiff Lexington Corp
- filed_at: 2022-01-05T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.85
- calibrated_materiality_score: 0.85
- confidence: high
- sec_items: 1.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/811222/000168316822000075/0001683168-22-000075-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/811222/000168316822000075/cardiff_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001683168-22-000075
- JSON: https://secwatch.observer/filing/0001683168-22-000075.json
- Plain text: https://secwatch.observer/filing/0001683168-22-000075.txt

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