17. Commitments and Contingencies

12 Months Ended

Dec. 31, 2014

Commitments and Contingencies Disclosure [Abstract]

17. Commitments and Contingencies

17. Commitments and Contingencies

The Company is committed under a non-cancellable operating lease agreements for rental of premises for the rental of premises operated by Greenestone Clinic Muskoka Inc. which expires March 2019.

Future minimum annual payment requirements are as follows:

2015	$	288,488
2016		322,857
2017		329,312
2018		83,975
2019		251,926
	$	1,276,557

From time to time, the Company and its subsidiaries enter into legal disputes in the ordinary course of business. The Company believes there are no material legal or administrative matters pending that are likely to have, individually or in the aggregate, a material adverse effect on its business or results of operations.

Contingency related to outstanding payroll tax liabilities:

The Company is delinquent in filing its payroll tax returns resulting in taxes, interest and penalties payable at December 31, 2014 and 2013. As of December 31, 2014 and 2013 as part of Taxes Payable, the Company has payroll tax liabilities of approximately $2,065,000 and $1,778,000, respectively due to various taxing authorities on the consolidated balance sheets. If the Company does not satisfy these liabilities, the taxing authorities may place liens on its bank accounts which would have a negative impact on its ability to operate. Further, the actual liability may be higher due to interest or penalties assessed by same taxing authorities.