9. Commitments and Contingencies Leases The Company has three operating leases for real estate in California and Maryland:  Carlsbad, California  corporate offices with a term date of February 2020 and leased from a related party (see also Note 7),  Oceanside, California  primary research facility and laboratory space with a term date of December 2021 with the Companys option to terminate the lease on January 1, 2020 upon a six-month advanced notice,  Frederick, Maryland  mixed laboratory and administrative space with a term date of November 2025. These operating leases are included in "right-of-use assets" on the Company's September 30, 2019 balance sheet and represent the Companys right to use the underlying asset for the lease term. The Companys obligation to make lease payments is included in operating lease liabilities, current and operating lease liabilities, net of current portion on the Company's September 30, 2019 balance sheet. Operating lease right-of-use assets and liabilities commencing after January 1, 2019 are recognized at commencement date based on the present value of lease payments over the lease term. As of September 30, 2019, total right-of-use assets and operating lease liabilities were approximately $784,000 and $1,165,000, respectively. All operating lease expense is recognized on a straight-line basis over the lease term. As most of the Companys operating leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The incremental borrowing rate is the rate of interest that the Company would expect to pay to borrow on a collateralized and fully amortizing basis over a similar term an amount equal to the lease payments in a similar economic environment. Information related to the Company's right-of-use assets and related lease liabilities were as follows (in thousands): Three months ended September 30, 2019 Nine months ended September 30, 2019 Operating lease costs $ 117 $ 370 Cash paid for operating lease liabilities 124 360 Right-of-use assets obtained in exchange for new operating lease obligations  1,389 Weighted-average remaining lease term (years) 4.99 Weighted average discount rate 17.55 % Maturities of lease liabilities as of September 30, 2019 were as follows : 2019 (remaining months) $ 125 2020 368 2021 347 2022 220 2023 226 Thereafter 473 1,759 Less: present value adjustments (594 ) Total lease liabilities $ 1,165 Current operating lease liabilities $ 236 Non-current operating lease liabilities 929 Total operating lease liabilities $ 1,165 Future minimum lease payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year as of December 31, 2018, are as follows (in thousands): Amount 2019 $ 491 2020 368 2021 347 2022 220 2023 227 Thereafter 454 Total $ 2,107 Licensed Patents The Company has a minimum annual license fee of $75,000 payable in two installments per year to Astellas Pharma pursuant to the amended UMass IP license agreement and is noncancelable. Customer Concentration During the nine months ended September 30, 2019 for the biomedical market segment, two customers accounted for 39% and 13%, respectively, of consolidated revenues. During the nine months ended September 30, 2018 for the biomedical market segment, two customers accounted for 33% and 27%, respectively, of consolidated revenues. No other single customer accounted for more than 10% of revenues for any period presented. Vendor Concentration During the nine months ended September 30, 2019, no single vendor accounted for more than 10% of consolidated purchases, while during the same periods in 2018 one vendor accounted for approximately 25% of consolidated purchases.