Greenpro Capital Corp. Commitments Disclosure
NOTE 15 - COMMITMENTS AND CONTINGENCIES
The Company’s subsidiary leased an office in Hong Kong under a non-cancellable operating lease that expires in April 2021. In addition, the Company’s subsidiaries lease certain office premises in the PRC under a non-cancellable operating lease that expired in December 2018. The aggregate lease expense for the years ended December 31, 2018 and 2017 were $386,359 and $474,741, respectively.
As of December 31, 2018, the Company has future minimum rental payments for office premises due under non-cancellable operating leases are as follows:
| Year ending December 31: | |||||
| 2019 | $ | 277,596 | |||
| 2020 | 260,645 | ||||
| 2021 | 87,742 | ||||
| Thereafter | - | ||||
| Total | $ | 625,983 | |||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2018 | Apr 2, 2019 | Showing above |
| 2017 | Apr 13, 2018 | |
| 2016 | Mar 27, 2017 | |
About Commitments Disclosures
Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.
Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.