Commitments and Contingencies Lease Obligations The Company leases office space and certain equipment under non-cancelable lease agreements. Pursuant to the Companys accounting policy and applicable guidance in ASC 842, Leases, the Company assesses all arrangements that convey the right to control the use of property, plant and equipment, at inception, to determine if each such arrangement is, or contains, a lease based on the unique facts and circumstances present in that arrangement. For those leases identified, the Company determines the lease classification, recognition, and measurement at the lease commencement date. For arrangements that contain a lease the Company: (i) identifies lease and non-lease components; (ii) determines the consideration in the contract; (iii) determines whether the lease is an operating or financing lease; and (iv) recognizes lease Right of Use (ROU) assets and corresponding lease liabilities. Lease liabilities are recorded based on the present value of lease payments over the expected lease term. The corresponding ROU asset is measured from the initial lease liability, adjusted by (i) accrued or prepaid rents; (ii) remaining unamortized initial direct costs and lease incentives; and (iii) any impairments of the ROU asset. The Company separates lease components (fixed rent payments) from non-lease components (common-area maintenance costs) on its real estate assets. Fixed lease payments on operating leases are recognized over the expected term of the lease on a straight-line basis. Variable lease expenses that are not considered fixed are expensed as incurred. Fixed and variable lease expense on operating leases is recognized within operating expenses within the Companys condensed consolidated statements of operations. The Company does not recognize an ROU asset or corresponding liability for lease arrangements with an original term of 12 months or less. The interest rate implicit in the Companys lease contracts is typically not readily determinable and as such, the Company uses its incremental borrowing rate based on the information available at the lease commencement date, which represents an internally developed rate that would be incurred to borrow, on a collateralized basis, over a similar term, an amount equal to the lease payments in a similar economic environment. The weighted average discount rate utilized on the Companys operating lease liabilities as of March 31, 2020 was 9.85% . The weighted average remaining lease term for the Companys operating leases as of March 31, 2020 was 6.25 years. Primary Facility Lease In August 2015, the Company entered into a lease agreement for approximately 51,000 rentable square feet of facility space in Morrisville, North Carolina, commencing in April 2016 (the Primary Facility Lease). The initial term of the Primary Facility Lease extends through June 30, 2026 . The Company has an option to extend the Primary Facility Lease by five years upon completion of the initial lease term; however, the renewal period was not included in the calculation of the lease obligation. Current contractual base rent payments are $95 per month, subject to a three percent increase annually over the term of the Primary Facility Lease. Rent expense, including both short-term and variable lease components associated with the primary facility lease, was $224 and $157 for the three months ended March 31, 2020 and 2019 , respectively. Contingencies From time to time, the Company may have certain contingent liabilities that arise in the ordinary course of business activities. The Company accrues a liability for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. See Legal Proceedings below for further discussion of pending legal claims. The Company has entered into, and expects to continue to enter into, contracts in the normal course of business with various third parties who support its clinical trials, preclinical research studies and other services related to its development activities. The scope of the services under these agreements can generally be modified at any time, and these agreements can generally be terminated by either party after a period of notice and receipt of written notice. There have been no material contract terminations as of March 31, 2020 . See Note 3Research and Development Licenses regarding the Companys research and development license agreements. See Note 6Research and Development Arrangements regarding the Purchase Agreement with Reedy Creek and the Funding Agreement with Ligand. See Note 9Stockholders Equity (Deficit) regarding outstanding warrants relating to the January 2018 Public Offering, the March 2020 Public Offering and the March 2020 Registered Direct Offering. Legal Proceedings The Company is not currently a party to any material legal proceedings and is not aware of any claims or actions pending or threatened against the Company that the Company believes could have a material adverse effect on the Companys business, operating results, cash flows or financial statements. In the future, the Company might from time to time become involved in litigation relating to claims arising from its ordinary course of business. Compensatory Obligations In conjunction with the departures of two former Company officers in 2019, the Company entered into separation and general release agreements that included separation benefits consistent with the Companys obligations under their previously existing employment agreements for separation from service for good reason. The Company recognized related severance expense of $0 and $878 , during the three months ended March 31, 2020 and 2019 , respectively. The accrued severance obligation in respect of the two former officers was $33 as of December 31, 2019 and was fully paid as of March 31, 2020 . As part of a strategic objective to reduce the Companys costs related to internal resources, facilities, and infrastructure capabilities, the Company took actions in February 2020 to reduce the Companys internal resources. Employee severance costs associated with this action were $59 , which were expensed during the first quarter of 2020. As of March 31, 2020, severance costs of $ 50 were accrued in the accompanying condensed consolidated balance sheet. See Note 10Share-Based Compensation regarding the Stock Appreciation Rights granted in January 2020. See Note 11Tangible Stockholder Return Plan regarding the Tangible Stockholder Return Plan adopted in August 2018.