NOTE 7 COMMITMENTS AND CONTINGENCIES On October 22, 2013, AIT entered into a patent license agreement with a third party, pursuant to which AIT agreed to pay to the third party a non-refundable upfront fee of $150 and is obligated to pay 5% royalties of any licensed product revenues, but at least $50 per annum during the royalty period as defined in the agreement. As of September 30, 2018, AIT did not record any revenues and therefore no royalties were paid or accrued. On September 7, 2016, AIT entered into an Option Agreement (the Option Agreement) with a third party whereby AIT acquired the Option to purchase certain intellectual property assets and rights (the Option) for $25 AIT issued to the third party a warrant (the Third Party Warrant) to purchase up to 178,570 ordinary shares of AIT at an exercise price of $4.80 for each share. This warrant was exchanged for a warrant to acquire the same number of shares of the Companys common stock upon consummation of the merger. On May 10, 2018, the Company issued to the third-party additional warrants to purchase up to 29,763 shares of the Company at an exercise price of $4.80 per share for each share of common stock. The warrant is exercisable, in whole or in part, until the seventh anniversary of the original issuance date of January 13, 2017. See warrants for the compensation expense recorded for this warrant issuance. Additionally, AIT is required to make certain one-time development and sales milestone payments to the third party, starting from the date on which AIT receives regulatory approval for the commercial sale of its first product candidate. On January 31, 2018 the Company entered into an agreement (Agreement) with NitricGen, Inc. (NitricGen) to acquire a global, exclusive, transferable license and associated assets including intellectual property, know-how, trade secrets and confidential information from NitricGen related to NO delivery systems (Delivery System). The Company agreed to pay NitricGen a total of $2,000 in several future payments depending on achieving certain milestones, as defined in the Agreement, and to pay NitricGen royalties on sales of the Delivery System . In addition, the Company agreed to grant to NitricGen warrants to purchase 100,000 shares of the Companys common stock at an exercise price of $6.90 per share. As of September 30, 2018, the Company has not achieved any of these milestones. On March 16, 2018, Empery Asset Master, Ltd., Empery Tax Efficient, LP and Empery Tax Efficient II, LP, (collectively, Empery), filed a complaint in the Supreme Court of the State of New York, relating to the notice of adjustment of both the exercise price of and the number of warrant shares issuable under warrants issued to Empery in January 2017. The Empery Suit alleges that, as a result of certain circumstances in connection with the February 2018 Offering, the January 2017 Warrants issued to Empery provide for adjustments to both the exercise price of the warrants and the number of warrant shares issuable upon such exercise. Empery seeks monetary damages and declaratory relief under theories of breach of contract or contract reformation predicated on mutual mistake. The Company intends to vigorously defend all claims. Given the early stage of the litigation, it is not possible to determine or assess the probability of any particular outcome. Certain officer agreements contain a change of control provision for payment of severance arrangements. In March and April, 2018, the Company entered into two new office lease agreements, which will expire on April 2021 and June 2023, respectively. Future minimum commitments for each of the fiscal years ending March 31, are as follows: Year Ended March 31, Operating Leases 2019 $ 40 2020 81 2021 83 2022 65 2023 65 2024 16 Total $ 350 Rent expense for the three months ended September 30, 2018 and 2017 was $23 and $21, respectively. Rent expense for the six months ended September 30, 2018 and 2017 was $50 and $18, respectively. On June 30, 2017 the Company recorded a credit $18 associated with rent for the Israeli facility.