Commitments and Contingencies

12 Months Ended

Dec. 31, 2015

Commitments and Contingencies Disclosure [Abstract]

15.

Commitments and Contingencies

Operating Leases

The Company is obligated to make future minimum payments under three operating leases for 80,273 square feet of space used for general office, laboratory, manufacturing, operations, and research and development purposes in Seattle. The leases expire in 2026 and include options to renew at the then current fair market rental for each of the facilities. The lease agreements contain rent abatement periods, scheduled rent increases and provide for tenant improvement allowances. Accordingly, the Company has recorded a deferred rent liability of $4.3 million and $1.5 million as of December 31, 2015 and 2014, respectively. This deferred rent liability is amortized over the term of the related lease.

Rent expense totaled approximately $3.2 million, $1.4 million and $1.2 million for the years ended December 31, 2015, 2014 and 2013, respectively.

Future minimum lease payments under noncancelable operating leases as of December 31, 2015 were as follows (in thousands):


2016	$	3,282
2017		3,776
2018		3,884
2019		3,993
2020		4,106
Thereafter		22,453

	$	41,494

Purchase Commitments

The Company has non-cancellable purchase obligations totaling $9.2 million at December 31, 2015 related to binding commitments to purchase inventory.

Contingencies

From time to time, the Company may become involved in litigation relating to claims arising from the ordinary course of business. Management believes that there are no claims or actions pending against the Company currently, the ultimate disposition of which would have a material adverse effect on the Company’s consolidated results of operation, financial condition or cash flows.