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Patent Participation Fee
3 Months Ended
Mar. 31, 2015
Patent Participation Fee [Text Block]

Note 9 – Patent Participation Fee

     In 2003, HGI acquired a VoIP patent from a third party. Consideration provided was $100 plus a 35% residual payable to the third party relating to the net proceeds from future licensing and/or enforcement actions from the HGI VoIP Patent Portfolio. Net proceeds are defined as amounts collected from third parties net of the direct costs associated with putting the licensing or enforcement in place and related collection costs. The vendor of the VoIP Patent was also granted a first priority security interest in the patent in order to secure HGI’s obligations under the associated purchase agreement. The Company has not been required to make any payments since 2009.