Green Dot 2010 Annual Report Download - page 94

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Note 13 — Commitments and Contingencies (continued)
At December 31, 2010, the minimum aggregate rental commitment under all non-cancelable oper-
ating leases was:
Year Ending December 31, (In thousands)
2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,212
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,324
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 239
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 160
Thereafter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 311
4,246
We have various agreements with vendors and retail distributors that include future minimum annual
payments. At December 31, 2010, the minimum aggregate commitment under these agreements was:
Year Ending December 31, (In thousands)
2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27,201
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,457
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,408
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —
Thereafter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —
36,066
In the event we terminate our processing services agreement for convenience, we are required to pay
a single lump sum equal to any minimum payments remaining on the date of termination.
We have retained outside regulatory counsel to survey and monitor the laws of all 50 states to identify
state laws or regulations that apply to prepaid debit cards and other stored value products. Many state laws
do not specifically address stored value products and what, if any, legal or regulatory requirements
(including licensing) apply to the sale of these products. We have obtained money transmitter licenses (or
similar such licenses) where applicable, based on advice of counsel or when we have been requested to do
so. If we were found to be in violation of any laws and regulations governing banking, money transmitters,
electronic fund transfers, or money laundering in the United States or abroad, we could be subject to
penalties or could be forced to change our business practices.
In the ordinary course of business, we are a party to various legal proceedings. We review these
actions on an ongoing basis to determine whether it is probable that a loss has occurred and use that
information when making accrual and disclosure decisions. We have not established reserves or possible
ranges of losses related to these proceedings because, at this time in the proceedings, the matters do not
relate to a probable loss and/or the amounts are not reasonably estimable.
From time to time we enter into contracts containing provisions that contingently require us to
indemnify various parties against claims from third parties. These contracts primarily relate to (i) contracts
with our card issuing banks, under which we are responsible to them for any unrecovered overdrafts on
cardholders’ accounts; (ii) certain real estate leases, under which we may be required to indemnify
property owners for environmental and other liabilities, and other claims arising from our use of the
premises, (iii) certain agreements with our officers, directors, and employees, under which we may be
required to indemnify these persons for liabilities arising out of their relationship with us, (iv) contracts
under which we may be required to indemnify our retail distributors, suppliers, vendors and other parties
85
GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)