20. LEASE COMMITMENTS AND CONTINGENCIES
 
Commitments
In September 2014, the Company entered into a non-cancelable lease for office space which commenced in July 2014 and expires in September 2025. The lease expense for each of the years ended December 31, 2018, 2017, and 2016 was $3.0 million, $3.1 million and $3.1 million. The Company’s aggregate future minimum lease payments total $25.6 million. The following table details the future lease payments:
 
Lease Commitments
Years ended December 31,
(dollars in thousands)
2019
$
3,565

2020
3,652

2021
3,862

2022
3,862

2023
3,862

Later years
6,756

Total
$
25,559


Contingencies
From time to time, the Company is involved in various claims and legal actions arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material effect on the Company’s consolidated financial statements. There were no material contingencies at December 31, 2018 and 2017.

Historical Timeline

Fiscal YearFiled
2018Feb 15, 2019Showing above
2017Feb 16, 2018
2016Feb 23, 2017
2015Feb 26, 2016

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.