Annual report pursuant to Section 13 and 15(d)

Commitments and Contingencies

v3.7.0.1
Commitments and Contingencies
12 Months Ended
Dec. 31, 2016
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
Commitments and Contingencies
 
Contractual Obligations
 
Future minimum lease payments under scheduled operating leases, which are primarily for buildings and equipment, having initial or remaining noncancelable terms in excess of one year are as follows (in thousands):
 
Year ended December 31:
 
2017
$
3,748

2018
3,749

2019
2,941

2020
2,832

2021
2,814

Thereafter
25,466

Minimum lease commitments
$
41,550


 
Rent expense for noncancelable operating leases for real property and equipment was $3,768,000, $3,383,000 and $3,230,000 for the years ended December 31, 2016, 2015 and 2014, respectively. Various lease arrangements contain options to extend terms and are subject to escalation clauses.
 
Legal

The Company is involved in litigation and similar claims incidental to the conduct of its business, including from time to time, contractual disputes, claims related to alleged security system failures and claims related to alleged violations of the U.S. Telephone Consumer Protection Act. Matters that are probable of unfavorable outcome to the Company and which can be reasonably estimated are accrued. Such accruals are based on information known about the matters, management's estimate of the outcomes of such matters and experience in contesting, litigating and settling similar matters.  In management's opinion, none of the pending actions is likely to have a material adverse impact on the Company's financial position or results of operations.  The Company accrues and expenses legal fees related to loss contingency matters as incurred.