Commitments and Contingencies

12 Months Ended

Jan. 31, 2020

Commitments and Contingencies Disclosure [Abstract]

Letters of Credit

In conjunction with the execution of certain office space operating leases, letters of credit in the aggregate amount of $11.9 million and $12.7 million were issued and outstanding as of January 31, 2020 and 2019, respectively. No draws have been made under such letters of credit.

Purchase Obligations

As of January 31, 2020, future minimum purchase obligations, such as data center operations and sales and marketing activities, were as follows (in thousands):



	Purchase Obligations
2021	$	56,413
2022	39,110
2023	30,398
2024	30,000
Total contractual obligations	$	155,921

Legal Matters

From time to time in the normal course of business, the Company may be subject to various legal matters such as threatened or pending claims or proceedings. There were no such material matters as of January 31, 2020 and 2019.

Warranties and Indemnification

The Company’s subscription services are generally warranted to perform materially in accordance with the Company’s online help documentation under normal use and circumstances. Additionally, the Company’s arrangements generally include provisions for indemnifying customers against liabilities if its subscription services infringe a third party’s intellectual property rights. Furthermore, the Company may also incur liabilities if it breaches the security or confidentiality obligations in its arrangements. To date, the Company has not incurred significant costs and has not accrued a liability in the accompanying consolidated financial statements as a result of these obligations.

The Company has entered into service-level agreements with a majority of its customers defining levels of uptime reliability and performance and permitting those customers to receive credits for prepaid amounts related to unused subscription services if the Company fails to meet the defined levels of uptime. In very limited instances, the Company allows customers to early terminate their agreements in the event that the Company fails to meet those levels as they may constitute a breach of contract. If the customer did terminate, they would receive a refund of prepaid unused subscription fees. To date, the Company has not experienced any significant failures to meet defined levels of uptime reliability and performance as a result of those agreements and, as a result, the Company has not accrued any liabilities related to these agreements in the consolidated financial statements.