Note

. Commitments and Contingencies

Operating Leases

The Company leases space for operations in the United States, Spain, Japan and France. Future minimum lease commitments under the Company’s facility operating leases were as follows (in thousands):

Year Ending December 31	Amount
2018	$	1,494
2019		2,971
2020		2,913
2021		2,525
2022		2,495
2023 and beyond		214
Total future minimum lease payments	$	12,612

In addition to the above facility leases, the Company also routinely leases automobiles for certain sales and field service employees under capital leases. The remaining committed lease payments as of

June 30, 2018

was

$1.15

million.

Contingencies

The Company is named from time to time as a party to other legal proceeds product liability, commercial disputes, employee disputes, and contractual lawsuits in the normal course of business. A liability and related charge are recorded to earnings in the Company’s consolidated financial statements for legal contingencies when the loss is considered probable and the amount can be reasonably estimated. The assessment is re-evaluated each accounting period and is based on all available information, including discussion with outside legal counsel. If a reasonable estimate of a known or probable loss cannot be made, but a range of probable losses can be estimated, the low-end of the range of losses is recognized if

amount within the range is a better estimate than any other. If a material loss is reasonably possible, but

not

probable and can be reasonably estimated, the estimated loss or range of loss is disclosed in the notes to the consolidated financial statements. The Company expenses legal fees as incurred.

As of

June 30, 2018

and

December 31, 2017,

the Company had accrued

$137,000

and

$91,000,

respectively related to various pending contractual and product liability lawsuits. The Company does

not

believe that a material loss in excess of accrued amounts is reasonably possible.