Commitments and Contingencies

9 Months Ended

Sep. 30, 2011

Commitments and Contingencies [Abstract]

COMMITMENTS AND CONTINGENCIES

5. COMMITMENTS AND CONTINGENCIES

From time to time and in the ordinary course of business, the Company may be subject to various claims, charges, investigations and litigation. At September 30, 2011 and December 31, 2010, the Company did not have any pending claims, charges, investigations or litigation.

The Company has agreed to indemnify certain customers in connection with its revenue arrangements. These indemnifications require the Company to defend and satisfy any losses incurred by the customer arising from the delivery of the Company’s services arising from a violation of the law. In October 2011, the Company received a notice from a customer requesting indemnification in connection with a class action lawsuit that asserts the customer violated certain federal telecommunication laws as the result, in part, of mobile termination text messages sent using the Company’s service. The Company is evaluating this matter but, currently is unable to estimate the amount of losses, if any, for which the Company may be responsible under its indemnification obligations to the customer. The Company maintains insurance that, subject to deductibles, may be available to cover all or a portion of losses that might arise as the result of such indemnification.