Quarterly report pursuant to Section 13 or 15(d)

Other Long-Term Liabilities

v3.7.0.1
Other Long-Term Liabilities
6 Months Ended
Jun. 30, 2017
Other Liabilities Disclosure [Abstract]  
Other Long-Term Liabilities
Other Long-Term Liabilities
 
Other long-term liabilities consist of the following as of:
 
June 30, 2017
 
December 31, 2016
Deferred rent
$
144,285

 
$
163,165

Capital leases, less current portion
35,791

 

Accrued taxes, less current portion
13,763

 
$
13,763

Contingent stock due for acquired domains, less current portion

 
147,029

Deferred Arkansas grant, less current portion

 
2,471

Total
$
193,839

 
$
326,428



On May 8, 2015, we purchased two domain websites with a fair value of $715,874 (see Note 4). The purchase consideration was our common stock and is contingent upon the seller attaining specific performance targets over three years. On May 8, 2016, the seller achieved the specific performance target for the first year and as a result, we issued 166,667 shares of common stock. The accrued contingent liability and the related intangible asset, domain websites, were adjusted by approximately $46 thousand to reflect the lower price paid as compared to the contingent liability recorded as a result of the change in the price of Inuvo stock from the date of acquisition to the first contingent release of shares. In March 2017, we determined that the seller would not meet the specific performance target for the second year and therefore, we adjusted the carrying value of the related intangible asset and contingent liability by $222,477.