This excerpt taken from the OXPS 10-K filed Mar 1, 2007.
In the ordinary course of business, the Companys is subject to lawsuits, arbitrations, claims and other legal proceedings. Management cannot predict with certainty the outcome of pending legal proceedings. A substantial adverse judgment or other resolution regarding the proceedings could have a material adverse effect on the Companys financial condition, results of operations and cash flows. However, in the opinion of management, after consultation with legal counsel, the outcome of any pending proceedings is not likely to have a material adverse effect on the financial condition, results of operations or cash flows of the Company.
The Company has entered into a three-year agreement with the manager of the third party money market fund that is offered to our customers. As of December 31, 2006, the provisions of this agreement require the Company to pay a $1,500 termination fee if it is terminated before September 2009.
optionsXpress Holdings, Inc.
Notes to Consolidated Financial Statements (Continued)