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Note 19 - Commitments and Contingencies
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12 Months Ended | |||||||||||||||||||||||||||||
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Jun. 30, 2012
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| Commitments and Contingencies Disclosure [Text Block] |
NOTE
19 – COMMITMENTS
AND CONTINGENCIES
The
Company’s headquarters is located in California in
approximately 7,210 rentable square feet and a rent of
$20,417 per month. The term of the lease is for five
years and five months and expires on August 31, 2017. A
security deposit of $23,821 was made and is included in
other current assets in the accompanying consolidated
financial statements.
The
Australia lease is a month to month lease and is rented
at the rate of $175 per month. The Beijing lease is a
three-year lease that expires in January 2014. The
monthly rent is approximately $10,242. The Bangkok lease
is a three years lease expiring in November 2013 with
monthly rent of approximately $8,140. The NetSol Europe
facilities, located in Horsham, United Kingdom, are
leased until June 23, 2021 for an annual rent of
approximately $109,319. VLS facilities, located in
London, United Kingdom, are leased until October 2015 for
an annual rent of approximately $54,660. NTNA relocated
to Alameda, California location. The Alameda lease is
about to end in November 2012. The monthly rent is
$7,148.
The
NetSol Connect Karachi lease is a one-year lease that
expires on December 2012 and currently is rented at the
rate of approximately $1,323 per month. The NetSol Pindi
office lease is a one year-lease that expires in April
2013 and currently is rented at the rate of approximately
$529 per month.
Upon
expiration of its leases, the Company does not anticipate
any difficulty in obtaining renewals or alternative
space. Rent expense amounted to $1,026,304 and $861,262
for the years ended June 30, 2012 and 2011,
respectively.
The
total annual lease commitment for the next five years is
as follows:
As
of June 30, 2012 and 2011, to the best knowledge of the
Company’s management and counsel, there is no
material litigation pending or threatened against the
Company.
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