Company: TRUE
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001327318-25-000016
Chunk: 168

Company: TrueCar, Inc.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 1
Chunk 168
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 31, 2024Computer equipment and internally developed software$88,437 $86,255 Furniture and fixtures962 962 Leasehold improvements4,917 4,917  94,316 92,134 Less: Accumulated depreciation(78,982)(76,399)Total property and equipment, net$15,334 $15,735 Included in the table above are property and equipment of $1.2 million and $1.0 million at March 31, 2025 and December 31, 2024, respectively, which are capitalizable but had not yet been placed in service. These balances were comprised primarily of capitalized software not ready for its intended use.Total depreciation and amortization expense of property and equipment was $2.7 million and $3.0 million for the three months ended March 31, 2025 and 2024, respectively.Amortization of internal use capitalized software development costs was $2.6 million and $2.8 million for the three months ended March 31, 2025 and 2024, respectively.

5.    Commitments and Contingencies

Legal ProceedingsFrom time to time, the Company may become subject to legal proceedings, claims and litigation arising in the ordinary course of business. When the Company becomes aware of a claim or potential claim, it assesses the likelihood of any loss or exposure. In accordance with authoritative guidance, the Company records loss contingencies in its financial statements only for matters in which losses are probable and can be reasonably estimated. Where a range of loss can be reasonably estimated with no best estimate in the range, the Company records the minimum estimated liability. If the loss is not probable or the amount of the loss cannot be reasonably estimated, the Company discloses the nature of the specific claim if the likelihood of a potential loss is reasonably possible and the amount involved is material. The Company continuously assesses the potential liability related to the Company’s pending litigation and revises its estimates when additional information becomes available.On April 10, 2024, the Company notified Mani Brothers Portofino Plaza (DE), LLC, a Delaware limited liability company (the “Landlord”) that the Company was exercising its right to terminate a lease for office space (the “Lease”) located at 1401 Ocean Avenue, Santa Monica, California (the “Premises”) effective immediately, following the Landlord's breach of the Lease and related conduct by the Landlord