Intangible Assets

12 Months Ended

Dec. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

Intangible assets and Goodwill consisted of the following at December 31:


	2020		2019

Product and license rights	$	38,543,542	$	37,400,742
Less: accumulated amortization	(14,709,824)		(11,499,141)
Total product and license rights	23,833,718		25,901,601
Patents	10,306,922		9,882,511
Less: accumulated amortization	(6,312,460)		(5,127,878)
Total patents	3,994,462		4,754,633
Trademarks	338,011		273,110
Less: accumulated amortization	(47,875)		(9,020)
Total trademarks	290,136		264,090
Total intangible assets	$	28,118,316	$	30,920,324

Goodwill	$	882,000	$	882,000

Product and license rights include assets associated with the Company's acquired products, including those discussed in Note 3, RediTrex and Vibativ. In November 2016, the Company acquired the U.S. rights to Nordic Group B.V.’s injectable methotrexate product line as an asset purchase. The agreement requires the Company to provide unvested restricted shares of Cumberland common stock and make a series of payments tied to the products’ FDA approval, launch and achievement of certain sales milestones. The payments are being treated as consideration for the assets acquired and are being capitalized and amortized over the expected useful life of the acquired asset. To date, the intangible assets related to the product include the $100,000 deposit paid at closing, the 180,000 restricted shares valued at $0.9 million that vested upon the November 2019 FDA approval, the additional $1.0 million paid to Nordic during 2020 based on the 2019 FDA approval and the $1.0 million owed to Nordic based on the 2020 product launch.

As discussed in Note 3, during November 2018, the Company acquired Vibativ from Theravance. This resulted in amortizable intangible assets related to the product rights of $11.8 million and goodwill of $0.9 million. The intangible assets are being amortized through November 2028, the expected useful life of the acquired asset. The $0.1 million increase in goodwill during 2019 was a result of changes in the purchase price allocation during the measurement period.

During 2020 and 2019, the Company recorded an additional $0.5 million and $0.7 million, respectively, in intangible assets for patents, trademarks and capitalized patent costs, including amounts incurred in the protection of the Company's intellectual property. These costs will be amortized over the remaining expected useful life of the associated patents.

Amortization expense related to product and license rights, trademarks and patents were as follows for the years ended December 31:


	2020		2019		2018

Amortization expense	$	4,434,120	$	4,134,557	$	2,769,466

The expected amortization expense for the Company's current balance of intangible assets are as follows:


Year ending December 31:
2021	$	4,338,247
2022	3,691,293
2023	3,629,001
2024	3,629,001
2025 and thereafter	12,830,774
	$	28,118,316