Commitments and Contingencies

3 Months Ended

Mar. 31, 2014

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

9. Commitments and Contingencies

Technology License – Related Party - The Company has negotiated exclusive licenses from the MD Anderson Cancer Center to develop drug delivery technology for antisense and siRNA drug products. These licenses require, among other things, the Company to reimburse MD Anderson for ongoing patent expense. Related party accrued license payments attributable to the License Agreement totaling $50,000 are included in Current Liabilities as of March 31, 2014. Related party accrued expense totaling $52,050 as of March 31, 2014 represents hospital costs for the clinical trial and are not related to the License Agreement. As of March 31, 2014, the Company estimates reimbursable past patent expenses will total approximately $75,000 for the License Agreement. The Company will be required to pay when invoiced the past patent expenses at the rate of $25,000 per quarter. In addition, the Company decided to discontinue development of its siRNA technology and subsequently canceled its siRNA license in June of 2012 (See Note 1).

Drug Supplier Project Plan – In fourth quarter of 2013, Bio-Path entered into two project plan agreements with the Company’s drug substance manufacturer and its final drug product manufacturer for the manufacture and delivery of final drug product for expected delivery in the first quarter of 2014. Subsequent scheduling now has this drug product arriving mid-second quarter 2014. The project plans required the Company to pay approximately $270,000 in various stages as the drug substance and final product are manufactured and delivered to the Company. Of this amount, $51,364 has been paid for by the Company, which was carried on the Balance Sheet as Prepaid Drug Product for Testing as of December 31, 2013. Subsequently, in the first quarter of 2014, the Company made additional payments to its drug substance and drug product suppliers as manufacturing progressed. As a result, as of March 31, 2014, $249,056 is carried on the Balance Sheet as of March 31, 2014 as Prepaid Drug Product for Testing. The drug product is anticipated to be delivered to the Company in the second quarter of 2014 and the Balance Sheet item Prepaid Drug Product for Testing totaling $249,056 will be expensed when received.