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Commitments and Contingencies
 12 Months Ended
Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 9. Commitments and Contingencies

 

We lease office space under a non-cancelable operating lease which expires on March 31, 2023. We incurred lease expense of $79,267 and $82,194 for the years ended December 31, 2021 and 2020, respectively. As of December 31, 2021, our right of use asset and related liability was $87,391 and $94,996, respectively.

 

 

Barfresh food Group Inc.

Notes to Consolidated Financial Statements

 

In determining the present value of our operating lease right-of-use asset and liability, we used a 10% discount rate (which approximates our borrowing rate). The remaining term on the lease is 1.25 years.

 

The following table presents the future operating lease payment as of December 31, 2021:

 

      
2022  $80,361 
2023   20,238 
Total lease payments  $100,599 
Less:imputed interest   (5,603)
Total lease liability  $94,996 

 

From time to time, various lawsuits and legal proceedings may arise in the ordinary course of business. However, litigation is subject to inherent uncertainties and an adverse result in these or other matters may arise from time to time that may harm our business. We are currently the defendant in one legal proceeding for an amount less than $100,000. Our legal counsel and management believe a material unfavorable outcome to be remote.