13. COMMITMENTS AND CONTINGENCIES The Company has an employment agreement, renewed May 15, 2014, with the Chairman, Mr. Thompson amended on January 1, 2017 through December 31, 2021, whereby we provide for compensation of $25,000 per month. The Company has an employment agreement with the Chief Executive Officer, Mr. Cunningham, amended on January 1, 2017 through December 31, 2021, whereby we provide for compensation of $25,000 per month. The Company has an employment agreement with the Chief Operating Officer, Mr. Roberts, effective June 2016 through June 2020, whereby we provide for compensation of $10,000 per month. The Company has employment agreements for Chief Executives of subsidiaries Platinum Tax Defenders The agreement for Platinum Tax Defenders is a base salary of $20,000 per month, with additional annual bonuses and stock awards based on performance. There are no other stock option plans, retirement, pension, or profit-sharing plans for the benefit of our sole officers and directors other than as described above. Leases The Companys subsidiary Platinum Tax Defenders has an operating lease for an office sub-lease in Simi Valley, California with an initial term of 38 months. Base monthly rent is approximately $4,000 per month plus net operating expenses. A deposit equal to one-month rent was paid and the commencement of the lease. The lease can be extended for a two-year period at same amount of increase in the original lease (3%), at the option of the original lessee. The lease contains variable lease payments for non-rental occupancy expenses. These non-lease components were not included in the determination of the right of use asset and lease liability as part of the transition to ASC 842 due to the practical expedients elected by the Company. Additionally, the Companys subsidiary Romeo Pizza has an operating lease for its restaurant at Johns Creek, Georgia with an initial term of 65 months and renewed on January 1, 2019 for an additional 120 months. Base monthly rent is approximately $4,629 per month plus net operating expenses. A deposit of $6,000 was paid and the commencement of the lease. The current lease renewal does not currently contain an extension provision. The lease contains variable lease payments for non-rental occupancy expenses. These non-lease components were not included in the determination of the right of use asset and lease liability as part of the transition to ASC 842 due to the practical expedients elected by the Company. The Company utilizes the incremental borrowing rate in determining the present value of lease payments unless the implicit rate is readily determinable. The Company used an estimated incremental borrowing rate of 15% to estimate the present value of the right of use liability. The Company has right-of-use assets of $381,088, operating lease liabilities of $381,088 as of June 30, 2019. Operating lease expense for the six months ended June 30, 2019 was $25,886. The company had cash used in operating activities related to leases of $35,086 during the six months ended June 30, 2019. These leases have a remaining term of 2.5 years and 9.75 years. The following table provides the maturities of lease liabilities at June 30, 2019: Maturity of Lease Liabilities at June 30, 2019 2019 $ 51,773 2020 106,096 2021 108,705 2022 67,431 2023 60,124 2024 and thereafter 319,144 Total future undiscounted lease payments 713,272 Less: Interest (302,693 ) Present value of lease liabilities $ 381,088 The Companys other subsidiaries also maintain short-term lease agreements for office space. Total rent expense for these rentals was $78,161 for the six months ended June 30, 2019. Total rent expense for the six months ended June 30, 2018 was $71,274.