Quarterly report pursuant to Section 13 or 15(d)

Commitments and Contingencies

v3.20.1
Commitments and Contingencies
3 Months Ended
Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and ContingenciesIn addition to the commitments and contingencies described elsewhere in these notes, see below for a discussion of our commitments and contingencies as of March 31, 2020.
Lease Obligations Payable

During the three months ended March 31, 2020, the Company did not enter into any lease arrangements requiring any additional right-of-use assets or liabilities to be recorded.

During the three months ended March 31, 2020, the Company recognized $29,000 of lease costs, $4,000 of expenses related to short-term leases and $7,000 of lease costs for variable lease payments. During the three months ended March 31, 2019, the Company recognized $8,000 of lease costs, $14,000 of expenses related to short-term leases and $5,000 of lease costs for variable lease payments. The Company recorded approximately $10,000 in sublease income from a related party for the three months ended March 31, 2020. Sublease income is recorded as other income, net on the Company's condensed consolidated statement of operations and comprehensive loss.

At March 31, 2020, the cash paid for the Company's operating leases and right-of-use assets was as follows (in thousands):
Three Months Ended March 31,
2020 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 33    $  
Right-of-use assets obtained in exchange for lease liabilities:
Operating leases $ —    $ 110   

At March 31, 2020, future minimum liabilities under ASC 842 for the Company's operating leases were as follows (in thousands):
Maturity of lease liabilities As of March 31, 2020
2020 (remaining nine months) $ 101   
2021 138   
2022 105   
2023 56   
2024 10   
2025 and thereafter —   
Total lease payments 410   
Less: imputed interest (55)  
Present value of operating lease liabilities $ 355   

Licenses

MD Anderson - Total expenses related to the Company's license agreements with MD Anderson were $61,000 and $60,000 for the three months ended March 31, 2020 and 2019, respectively.

HPI - On March 16, 2020, the Company entered into two agreements with a related party, Houston Pharmaceuticals, Inc.(HPI). The first agreement, which has a term of two years, continues a prior consulting arrangement with HPI on the Company's licensed molecules and requires payments for $43,500 per quarter to HPI. The second agreement, which can be cancelled with sixty days' notice by either party, allows the Company's employees access to laboratory equipment owned by HPI for a payment of $15,000 per quarter to HPI. Total expenses related to the Company's agreements with HPI were $207,500 and $75,000 for the three months ended March 31, 2020 and 2019, respectively.

Sponsored Research Agreements with MD Anderson - MBI entered into a Sponsored Laboratory Study Agreement with MD Anderson expiring in October 2021. The expenses recognized under this MD Anderson agreement with regards to the Sponsored Laboratory Study Agreement were $179,000 and $95,000 for the three months ended March 31, 2020 and 2019, respectively.