17.

CONTINGENT LIABILITIES AND COMMITMENTS

July 2011,

the Company executed a lease (the “Lease”) with Brandywine Operating Partnership, L.P. (Brandywine), a Delaware limited partnership for a

10,870

square foot premises located in Lawrenceville, New Jersey.

October 2011,

the Company relocated its offices to Lawrenceville, New Jersey from Columbia, Maryland. The lease has a term of

months and provides for

months of rent free, with the

first

monthly rent payment of approximately

$23,000

due and paid in

April 2012.

Also, as required by the Lease, the Company provided Brandywine with an irrevocable and unconditional standby letter of credit for

$250,000,

which the Company secured with an escrow deposit at its banking institution of this same amount. The standby letter of credit was reduced by

$50,000

on each of the

19th,

31st

and

43rd

months from the initial term, and the remaining

$100,000

amount was reduced when the Lease term expired in

April 2017.

In late

2015,

Lenox Drive Office Park LLC, purchased the real estate and office building and assumed the lease. This lease was set to expire on

April 30, 2017.

April 2017,

the Company and the landlord amended the Lease effective

May 1, 2017.

The Lease amendment extended the term of the agreement for an additional

months, reduced the premises to

7,565

square feet, reduced the monthly rent and provided

four

months free rent. The monthly rent will range from approximately

$18,900

in the

first

year to approximately

$20,500

in the final year of the amendment. The Company also has a

one

-time option to cancel the lease as of the

24th

month after the commencement date of the Lease amendment.

In connection with the EGEN Asset Purchase

Agreement in

June 2014,

the Company assumed the existing lease with another landlord for an

11,500

square foot premises located in Huntsville Alabama. This lease has a remaining term of

one

month with rent a payment of approximately

$23,200

per month. In

January 2018,

the Company and this landlord entered into a new

-month lease which reduced the premises to

9,049

square feet with rent payments of approximately

$18,100

per month.

The Company paid $

502,716

and

$575,516

in connection with these leases in

2017

and

2016,

respectively. Following is a summary of the future minimum payments required under leases that have initial or remaining lease terms of

one

year or more as of

December

31,

2017:

For the year ending December 31:	Operating Leases

2018	$	452,093
2019		450,430
2020		454,213
2021		457,995
2022		379,823
202 3 and beyond		18,098
Total minimum lease payments	$	2,212,652