3. Balance Sheet Detail (in thousands)

Property and Equipment

Property and equipment consist of the following:


	As of
	September 30,		December 31,
	2020		2019
Research and development equipment	$	158	$	158
Office equipment		60		59
Total property and equipment		218		217
Less accumulated depreciation		(51)		(17)
Property and equipment, net	$	167	$	200

Depreciation expense was $12 and $5 for the three months ended September 30, 2020 and 2019, respectively, and $34 and $5 for the nine months ended September 30, 2020 and 2019, respectively.

Accrued liabilities

Accrued liabilities consist of the following as of:


	September 30,		December 31,
	2020		2019
External research and development expenses	$	2,072	$	915
Professional services		209		158
Payroll related		176		160
Other		34		189
Total	$	2,491	$	1,422

In the first quarter of 2020, the Company directed its contract research organization (“CRO”) partners and other vendors working on the Phase 3 clinical trials of NB-01 to cease all work and has terminated its existing contract arrangements with each of them. The Company incurred termination expenses of approximately $1,300 in connection with these terminations which are included in the external research and development expenses line item in the above table. In the third quarter of 2020, our previous dispute with one CRO relating to termination charges was settled for $700 and is included in the external research and development expenses line item in the above table.

During the three months ended March 31, 2020, the Company recorded adjustments to research and development expenses related to clinical trial expenses that were not correctly recorded in prior periods. The net adjustments resulted in an increase of $186 in the Company’s net loss for the nine month period ended September 30, 2020, which the Company considers immaterial to all periods.