Note 10 - Legal Proceedings

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Legal Matters and Contingencies [Text Block]

Note 

1

0

 – Legal Proceedings

Qualstar is subject to a variety of claims and legal proceedings that arise from time to time in the ordinary course of our business. Although management currently believes that resolving claims against us, individually or in the aggregate, will

not

have a material adverse impact on our financial statements, these matters are subject to inherent uncertainties and management’s view of these matters

may

change in the future. We accrue loss contingencies in connection with our commitments and contingencies, including litigation, when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated.

No

accrual was necessary as of

December 31, 2019.

As of

December 31, 2018,

an amount of

$100,000

was accrued for fees and costs related to a threatened dispute.