Restructuring Costs

3 Months Ended

Mar. 31, 2023

Restructuring and Related Activities [Abstract]

Restructuring Costs

(17) Restructuring Costs

In June 2017, the Board approved a comprehensive plan to increase operating performance (the “2017 Plan”). The 2017 Plan was substantially completed by the end of the Company’s fiscal year ended December 31, 2017, and when combined with previous workforce reductions in the second quarter of fiscal 2017 reduced the Company’s workforce to approximately 86 employees at December 31, 2018. In making these changes, the Company prioritized customer support and development while consolidating operations and streamlining direct sales resources, allowing the Company to focus on the install base and develop alternate channels to the market. As part of this consolidation effort, the Company vacated a portion of its former Melville, NY office space during the three months ended June 30, 2018. During the fiscal year ended December 31, 2021, the Company incurred lease disposal-related costs for this property of $833,313. The Melville, NY lease which ended on April 30, 2021 with a gross annualized rental cost of $1.5 million, will not be replaced. The Company expects the remaining accrued severance-related costs of $55,747 as of March 31, 2023 to be paid once final settlement litigation is completed. Such litigation stems from termination of several employees in France and office closure; all expected to be settled by December 31, 2023.

The following table summarizes the activity during 2022 through March 31, 2023 related to restructuring liabilities recorded in connection with the 2017, 2019 and 2020 Plans:

	Severance Related Costs			Facility and Other Costs			Total
Balance at January 1, 2022	$	134,663		$	—		$	134,663
Provisions/Additions		—			744			744
Translation Adjustment		(2,534	)		—			(2,534	)
Balance at March 31, 2022	$	132,129		$	744		$	132,873
Provisions/Additions		—			(744	)		(744	)
Translation Adjustment		(8,112	)		—			(8,112	)
Balance at June 30, 2022	$	124,017		$	—		$	124,017
Translation Adjustment		(7,518	)		—			(7,518	)
Balance at September 30, 2022	$	116,499		$	—		$	116,499
Provisions/Additions		—			—			—
Translation Adjustment		10,976			—			10,976
Balance at December 31, 2022	$	127,475		$	—		$	127,475
Provisions/Additions		—			—			—
Payments		(72,639	)		—			(72,639	)
Translation Adjustment		911			—			911
Balance at March 31, 2023	$	55,747		$	—		$	55,747

The severance and facility related liabilities are included within “accrued expenses” in the accompanying condensed consolidated balance sheets. The expenses under the 2017 Plan are included within “restructuring costs” in the accompanying condensed consolidated statements of operations.