Commitments and Contingencies

12 Months Ended

Jun. 30, 2013

Commitments and Contingencies

Commitments and Contingencies

(9) Commitments and Contingencies

Operating Leases

        We lease certain facilities and various office equipment under non-cancellable operating leases with terms in excess of one year. Rental expense, including short term leases, maintenance charges and taxes on leased facilities, was approximately $6.7 million, $6.3 million and $6.7 million for fiscal years 2013, 2012 and 2011, respectively.

        Future minimum lease payments under these leases and scheduled sublease payments as of June 30, 2013 are as follows:

Year Ended June 30,	Gross Payments		Scheduled Sublease Payments		Net Payments
	(Dollars in Thousands)
2014	$	6,857	$	163	$	6,694
2015		5,038		163		4,875
2016		2,686		163		2,523
2017		461		14		447
Total	$	15,042	$	503	$	14,539

        Due to various restructuring activities (refer to Note 3) in past years we have vacated certain of our leased space and are subleasing a portion of this space. The scheduled sublease payments are included in the table above. We have issued a standby letter of credit for $0.5 million in connection with a certain facility lease that expires in fiscal 2017.

Legal Matters

        In the ordinary course of business, we from time to time pursue lawsuits and claims to enforce our intellectual property rights and to address other intellectual property, commercial and miscellaneous matters. In addition, we are also from time to time involved in other lawsuits, claims, investigations, proceedings and threats of litigation. These include an April 2004 claim by a customer for approximately $5.0 million that certain of our software products and implementation services failed to meet the customer's expectations.

        The results of litigation and claims cannot be predicted with certainty, and unfavorable resolutions are possible and could materially affect our results of operations, cash flows or financial position. In addition, regardless of the outcome, litigation could have an adverse impact on us because of litigation fees and costs, diversion of management resources and other factors.

        While the outcome of the proceedings and claims referenced above cannot be predicted with certainty, there are no such matters, as of June 30, 2013, that, in the opinion of management, might have a material adverse effect on our financial position, results of operations or cash flows. Liabilities, if applicable, related to the aforementioned matters discussed in this Note have been included in our accrued liabilities at June 30, 2013, and are not material to our financial position for the period then ended.

        As of June 30, 2013 we do not believe that there is a reasonable possibility of a loss exceeding the amounts already accrued for the proceedings or matters discussed above.