Annual report pursuant to Section 13 and 15(d)

9. Commitments and Contingencies

9. Commitments and Contingencies
12 Months Ended
Dec. 31, 2019
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

9. Commitments and Contingencies


We are involved in certain legal proceedings that arise from time to time in the ordinary course of our business. Except for income tax contingencies, we record accruals for contingencies to the extent that our management concludes that the occurrence is probable and that the related amounts of loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. There is no current or pending litigation of any significance with the exception of the matters that have arisen under, and are being handled in, the normal course of business.


Contractual Commitments


The Company’s contractual commitments for future periods, licensing agreements and minimum guaranteed compensation payments as described in the following table and associated footnotes:


Year ending December 31,   License
Agreements (1)
Agreements (2)
2020   $ 187,500     $ 207,000     $ 395,500  
2021     187,500             187,500  
2022     187,500             187,500  
2023     187,500             187,500  
2024     187,500               187,500  
Total    $ 937,500     $ 207,000     $ 1,145,500  


  (1) Consists of license maintenance fees to Temple University in the amount of $187,500 paid annually through the life of the underlying patents or until otherwise terminated by either party.
  (2) Consists of certain contractually provided benefits to a former executive officer pursuant to a severance agreement. As of December 31, 2019, $207,000 was payable under this agreement and was included as part of Accounts payable and accrued expenses in the accompanying consolidated balance sheet.