Discontinued Operations

12 Months Ended

Dec. 31, 2019

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

3. Discontinued Operations

On December 21, 2018, the Company announced that its pre-clinical lab operations had successfully completed its objectives – namely, it has developed four lead compounds, LADR 7, LADR-8, LADR-9 and LADR 10 along with a companion diagnostic (ACDx). Accordingly, the Company terminated the contracts of all its employees at this location. For financial statement reporting purposes at December 31, 2018, the Company segregated $81,182 of current assets, and $324,853 of analytical equipment as long-term assets held for sale. In addition, the Company segregated $602,713 of liabilities related to these operations.

In March 2019, the Company sold its analytical equipment for proceeds of $500,142, and accordingly recognized a gain on sale of $186,691 during the year ended December 31, 2019. In addition, the Company was able to settle $601,403 of liabilities for payments of $447,006 and accordingly, reflected a recovery of $154,397.

The results of these discontinued operations are presented separately on the Company’s Consolidated Statement of Operations.

	Years Ended December 31,
	2019			2018
Current assets held for sale	$	—		$	81,182
Equipment and furnishings, net	$	—		$	313,452
Deposit		—			11,401
Non-current assets held for sale	$	—		$	324,853
Accounts payable	$	—		$	323,736
Accrued expenses and other current liabilities		—			278,977
Current liabilities for sale	$	—		$	602,713
Research and development (recovery)	$	(154,397	)	$	2,869,037
Loss on impairment of equipment and furnishings		7,100			207,662
Employee stock option expense (recovery)		(2,672	)		95,485
Gain on sale of equipment		(186,691	)		—
Other income		(23,473	)		2,519
Depreciation expense		—			459,506
Loss (gain) from discontinued operations	$	(360,133	)	$	3,634,209