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NOTE 13. Commitments and Contingencies

Commitments

In addition to the future lease commitments discussed in Note 8, the USPTO is obligated for the purchase of goods and services that have been ordered, but not yet received. Total undelivered orders for all of the USPTO's activities were $214,546 thousand and $258,311 thousand as of September 30, 2004 and 2003, respectively. Of these amounts, $203,014 thousand and $230,079 thousand, respectively, were unpaid.

Contingencies

The USPTO is a party to various routine administrative proceedings, legal actions, and claims brought by or against it, including threatened or pending litigation involving labor relations claims, some of which may ultimately result in settlements or decisions against the federal government. As of September 30, 2004, management expects it is reasonably possible that approximately $10,200 thousand may be owed for awards or damages involving labor relations claims.

Additionally, the USPTO may be required to make contributions to the Judgment Fund. For the years ended September 30, 2004 and 2003, there were no payments made on the UPSPTO's behalf from the Judgment Fund.


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Last Modified: 7/4/2009 1:20:56 PM