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LICENSING AGREEMENT
6 Months Ended
Sep. 30, 2020
Disclosure Text Block [Abstract]  
Licensing Agreement

NOTE 3 – LICENSING AGREEMENTS

 

United Kingdom and the Republic of Ireland, the Channel Islands and the Isle of Man

 

In March 2014, the Company entered into an Exclusive Marketing Rights Agreement with an unrelated third party (the “Licensee”), that granted to the Licensee the exclusive right to market and promote the sugarBEATTM device and related patches under its own brand in the United Kingdom and the Republic of Ireland, the Channel Islands and the Isle of Man. The Company received a non-refundable, up-front cash payment of GBP 1,000,000 (approximately $1.292 million and $1.240 million as of September 30, 2020 and March 31, 2020, respectively), which is wholly non-refundable, upon signing the agreement.

 

The Company is in ongoing dialogue with the Licensee about the timing of its plans with respect to its product launch. The current expectation is for this to occur in the third quarter ending December 31, 2020. The upfront fees received from this agreement have been deferred and will be recorded as income over the term of the commercial licensing agreement. Consequently, approximately $97,000 and $93,000 of the deferred revenue has been classified as a current liability as of September 30, 2020 and March 31, 2020, respectively.