Nurix Therapeutics, Inc.NRIX
Nurix Therapeutics, Inc. Commitments Disclosure
Commitments and Contingencies
Legal Proceedings
From time to time, the Company may be involved in legal proceedings in the ordinary course of business. The Company accrues a liability for such matters when it is probable that future expenditures will be made and that such expenditures can be reasonably estimated. Significant judgment is required to determine both probability and the estimated amount. Legal fees and other costs associated with such actions are expensed as incurred. As of November 30, 2025, the Company was not a party to any material legal proceedings.
Indemnifications
In the ordinary course of business, the Company often includes standard indemnification provisions in its arrangements with its partners, suppliers and vendors, among others. Pursuant to these provisions, the Company may be obligated to indemnify such parties for losses or claims suffered or incurred in connection with its service, breach of representations or covenants, intellectual property infringement or other claims made against such parties. These provisions may limit the time within which an indemnification claim can be made. It is not possible to determine the maximum potential amount under these indemnification obligations due to the limited history of prior indemnification claims and the unique facts and circumstances involved in each particular agreement. The Company has not incurred any material costs as a result of such indemnifications and has not accrued any liabilities related to such obligations in these financial statements.
In addition, the Company has entered into indemnification agreements with directors and certain officers and employees that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors, officers or employees. No demands have been made upon the Company to provide indemnification under such agreements, and thus, there are no claims that the Company is aware of that could have a material effect on the financial statements. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is not specified in the agreements. However, the Company currently has directors’ and officers’ insurance that reduces its exposure and may enable the Company to recover a portion of any future amounts paid.
Operating Leases
The Company leases office and laboratory facilities totaling approximately 57,902 square feet within the same building in San Francisco, California under several lease agreements. These lease agreements were originally scheduled to expire in April 2025. In September 2024, the leases were amended to extend the lease term through October 2025, and in October 2025, a second amendment extended the term through December 2025. The minimum rent payable by the Company pursuant to the lease amendments is approximately $0.3 million per month. The lease amendments did not have a material impact on the Company’s financial statements.
In July 2021, the Company entered into a lease agreement for the lease of approximately 19,320 square feet of office space in a different building in San Francisco, California (the Mission Bay Lease). The lease commenced in December 2021 and was originally scheduled to expire in June 2024. The Mission Bay Lease was amended in March 2024 to extend the term through April 2025, it was amended in September 2024 to extend the term through October 2025, and it was amended in October 2025 to extend the term through December 2025. The minimum rent payable by the Company is approximately $0.1 million per month under each amendment. The Mission Bay Lease amendments did not have a material impact on the Company’s financial statements.
In March 2022, the Company entered into a lease agreement for the lease of approximately 46,434 square feet of office space in The Woodlands, Texas. In August 2023, the lease agreement was amended to increase the square footage of the leased premise to 50,094 square feet. The amendment had no impact on the accounting for the lease. The Company has an option to renew for two additional terms of five years each, and the renewal terms have not been included in the lease term used to calculate the ROU asset and lease liability as it is not reasonably certain that the Company will exercise the option. The lease commenced in September 2023 when the underlying assets became available for use.
In February 2025, the Company entered into a lease agreement (the Brisbane Lease) for the lease of approximately 159,959 square feet of office space located at 1600 Sierra Point Parkway, Brisbane, California for a research and development laboratory and office space. The lease commenced in March 2025 when the underlying assets became available for use and the Company recorded a $26.7 million ROU asset and lease liability on the balance sheet. A security deposit of $2.4 million was also recorded in other assets, non-current on the balance sheet. In addition, the lease provides for a tenant improvement allowance of approximately $8.0 million, which is expected to be fully utilized.
In May 2025, the Brisbane Lease was amended to include an additional 35,929 square feet of office space located at 1400 Sierra Point Parkway, Brisbane, California. The lease for the additional space commenced in June 2025 when the underlying assets became available for use and the Company recorded a $5.8 million ROU asset and lease liability on the balance sheet. A security deposit of $0.5 million was also recorded in other assets, non-current on the balance sheet. The Brisbane Lease, as amended, will expire on September 30, 2031, unless terminated earlier. Future minimum lease payments under the Brisbane Lease, as amended, total $52.3 million, which does not include the payment of additional rent to cover the Company’s share of annual operating and tax expenses and utilities costs for the building.
The Company is required to pay base rent plus its proportionate share of operating expenses, as defined in the applicable lease agreement on all of its leases. Variable lease payments related to operating expenses including utilities, maintenance costs and real estate taxes were $6.9 million, $7.0 million and $6.2 million for the years ended November 30, 2025, 2024 and 2023, respectively.
Operating lease expenses, excluding variable lease payments, were $13.3 million, $9.0 million and $6.8 million for the years ended November 30, 2025, 2024 and 2023, respectively. Short-term lease expense was not material for the periods presented. As of November 30, 2025, the weighted average remaining lease term was 7.2 years and the weighted average discount rate was 6.91%.
Other information related to leases were as follows (in thousands):
| Year Ended November 30, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| Cash paid for amounts included in the measurement of lease liabilities: | |||||||||||||||||
| Cash flows from operating leases | $ | 8,240 | $ | 8,320 | $ | 6,973 | |||||||||||
The undiscounted future non-cancellable lease payments under the Company’s lease agreements as of November 30, 2025 were as follows (in thousands):
| Year ending November 30, | Operating Leases | |||||||
| 2026 | $ | 6,287 | ||||||
| 2027 | 9,176 | |||||||
| 2028 | 13,459 | |||||||
| 2029 | 14,248 | |||||||
| 2030 | 14,694 | |||||||
| 2030 to 2035 | 24,633 | |||||||
| Total undiscounted lease payments | 82,497 | |||||||
| Less: imputed interest | (18,769) | |||||||
| Less: tenant improvement allowance | $ | (7,998) | ||||||
| Total operating lease liabilities | $ | 55,730 | ||||||
| Operating lease liabilities, current | $ | 2,824 | ||||||
| Operating lease liabilities, net of current portion | 52,906 | |||||||
| Total operating lease liabilities | $ | 55,730 | ||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Jan 28, 2026 | Showing above |
| 2024 | Jan 28, 2025 | |
| 2023 | Feb 15, 2024 | |
| 2022 | Feb 9, 2023 | |
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.