Quarterly report pursuant to Section 13 or 15(d)

Commitments and Contingencies

Commitments and Contingencies
6 Months Ended
Jun. 30, 2021
Commitments and Contingencies  
Note 4. Commitments and Contingencies

Note 4. Commitments and Contingencies




Operating Leases


The Company leases office space for a 12-month term with a monthly payment of approximately $11,000. The Company entered into a new lease on January 1, 2021 through December 31, 2021.


The future minimum lease payments required under the Company's non-cancellable operating leases for 2021 total approximately $0.1 million. Total rent expense for the six months ended June 30, 2021 and 2020 was $0.1 million for both periods.



Settlement of Arbitration


On February 11, 2021, the Company entered into a settlement agreement (the "Settlement Agreement") with Framatome SAS and Framatome Inc. (together, "Framatome"), resolving the pending claims and counterclaims between the parties in arbitration and judicial proceedings related to the parties' inactive joint venture, Enfission, LLC. Under the terms of the Settlement Agreement, all joint venture agreements were terminated and the joint venture was dissolved on March 23, 2021. The Company accrued $4.2 million related to the Settlement Agreement at December 31, 2020. The Company paid Framatome approximately $4.2 million for outstanding invoices for work performed by Framatome and other expenses incurred by Framatome on March 15, 2021. Additionally, the Company recorded an approximate $34,000 foreign currency transaction gain related to the settlement payment for the six months ended June 30, 2021. The Company expects to receive approximately a $110,000 distribution relating to the dissolution and wind-down of Enfission, which is included in other receivables on the condensed consolidated balance sheet at June 30, 2021.


Mediation Settlement


A former Chief Financial Officer of the Company filed a complaint against the Company with the US Occupational Safety and Health Administration ("OSHA") on March 9, 2015. This complaint was dismissed by OSHA in January 2018 without any findings against the Company. On March 14, 2018, an appeal was filed with the U.S Department of Labor Office of Administrative Law Judges ("OALJ"). On September 6, 2019, the Company filed a motion for summary decision seeking a decision in its favor as a matter of law. The motion for summary judgement was denied on September 30, 2020. The complaint was mediated on May 13, 2021 and the parties subsequently reached an agreement to resolve all claims for the total monetary sum of approximately $675,000 in exchange for a dismissal of the pending litigation, full release of all claims against the Company, and other conditions. On July 13, 2021, the settlement agreement was finalized by both parties and the Company applied for court approval by the OALJ assigned to this matter. The settlement was approved by the OALJ on July 22, 2021. The Company will issue the settlement payment and the insurers will reimburse the Company for the $675,000 settlement payment. The settlement sum was authorized and approved by the Company's insurers. This reimbursement amount of $675,000 is recorded in other receivables and the settlement amount of $675,000 is accrued as legal settlement costs on the condensed consolidated balance sheet at June 30, 2021.


As of June 30, 2021 and December 31, 2020, legal fees of approximately $27,000 and $13,000 were owed in connection with the mediation, and are expected to be paid in full by the Company's insurance carriers.