Other Long-Term Liabilities

9 Months Ended

Sep. 30, 2020

Other Liabilities, Noncurrent [Abstract]

Other Long-Term Liabilities

Other Long-Term Liabilities

Other long-term liabilities consist of the following as of December 31, 2019 and September 30, 2020 (in thousands):

	December 31, 2019		September 30, 2020
Contract liabilities, net of current portion	$	30,925	$	32,116
Asset retirement obligations	1,961		1,984
Deferred payments related to acquisitions	4,963		637
Employee separation costs	1,838		—
Other	1,764		1,415
Other long-term liabilities	$	41,451	$	36,152

Contract Liabilities

As discussed in Note 4, in connection with its student tuition contracts, the Company has an obligation to provide free classes in the future should certain eligibility conditions be maintained (the Graduation Fund). Long-term contract liabilities represent the amount of revenue under these arrangements that the Company expects will be realized after one year.

Asset Retirement Obligations

Obligations related to lease agreements that require the leased premises to be returned in a predetermined condition.

Deferred Payments Related to Acquisitions

In connection with previous acquisitions, the Company acquired certain assets and entered into deferred payment arrangements with the sellers. The deferred payment arrangements are valued at approximately $2.2 million and $0.6 million as of December 31, 2019 and September 30, 2020, respectively. In addition, one of the sellers contributed $2.8 million to the Company representing the seller’s continuing interest in the assets acquired. In the third quarter of 2020, the $2.8 million liability offset the prepaid expense asset recognized in connection with the final one-time cash payment that the Company will make related to the JWMI perpetual license agreement (as discussed in Note 8) because the counterparty's continuing interest will terminate following the payment.

Employee Separation Costs

Severance and other employee separation costs to be paid after one year.