Operating Leases

The Company leases office space under an operating lease agreement which expired on May 31, 2017 and was amended to a month-to-month lease.

Rent expense for the years ended December 31, 2019 and 2018 was approximately $349,000 and $329,000, respectively, and is included in general and administrative expenses in the accompanying statements of operations. Rental payments are expensed in the statements of operations in the period to which they relate. Scheduled rent increases, if any, are amortized on a straight-line basis over the lease term.

Related Party Transactions

In May 2018, the Company entered into a consulting agreement with a member of the Company's Board of Directors, pursuant to which the board member provides the Company with strategic advice and planning services for which he receives a cash payment of $7,500 per month from the Company. The Consulting Agreement has an initial term that runs until December 31, 2019, but may be extended upon mutual agreement of the board member and the Company.