NOTE 8 — COMMITMENTS AND CONTINGENCIES

Operating Leases

We primarily lease material handling equipment pursuant to agreements accounted for as operating leases. Rent expense aggregated under these operating leases was as follows for the last three fiscal years:


	Year ended June 28, 2018		Year ended June 29, 2017		Year ended June 30, 2016
Rent expense related to operating leases	$	1,988	$	1,880	$	1,775

Aggregate non-cancelable lease commitments under these operating leases with initial or remaining terms greater than one year are as follows:


Fiscal year ending
June 27, 2019	$	1,405
June 25, 2020		1,199
June 24, 2021		904
June 30, 2022		762
June 29, 2023		494
Thereafter		14

	$	4,778

Litigation

We are currently a party to various legal proceedings in the ordinary course of business. While management presently believes that the ultimate outcomes of these proceedings, individually and in the aggregate, will not materially affect our financial position, results of operations or cash flows, legal proceedings are subject to inherent uncertainties, and unfavorable outcomes could occur. Unfavorable outcomes could include substantial money damages in excess of any appropriate accruals which management has established. Were such unfavorable final outcomes to occur, there exists the possibility of a material adverse effect on our financial position, results of operations and cash flows.

We are subject to a class-action complaint for an employment related matter. In August 2017, we agreed in principle to a $1.2 million settlement for which we are fully reserved at June 28, 2018. The non-monetary components of the settlement including the notice and claims administration were finalized in June 2018. The motion for final approval is expected to be approved in mid-August 2018 and final payment is expected during the first quarter of fiscal 2019.