TearLab (TEAR) 10-Q 13 Nov 13 2013 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Sep. 30, 2013	Nov. 05, 2013
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'TearLab Corp	'
Document Type	'10-Q	'
Current Fiscal Year End Date	'--12-31	'
Entity Common Stock, Shares Outstanding	'	33,113,340
Amendment Flag	'false	'
Entity Central Index Key	'0001299139	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Well-known Seasoned Issuer	'No	'
Document Period End Date	30-Sep-13	'
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (current period unaudited) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Current assets	'	'
Cash	$41,974	$15,437
Accounts receivable, net	3,401	889
Inventory	959	1,863
Prepaid expenses and other current assets	446	447
Total current assets	46,780	18,636
Fixed assets, net	2,747	630
Patents and trademarks, net	115	136
Intangible assets, net	3,799	4,709
Other non-current assets	40	28
Total assets	53,481	24,139
Current liabilities	'	'
Accounts payable	905	1,067
Accrued liabilities	3,313	1,989
Obligations under warrants	8,355	6,239
Total current liabilities	12,573	9,295
Capital stock	'	'
Preferred Stock, $0.001 par value, authorized 10,000,000, none outstanding	0	0
Common stock, $0.001 par value, 65,000,000 authorized, 32,912,949 and 28,741,653 issued and outstanding at September 30, 2013 and December 31, 2012, respectively	33	29
Additional paid-in capital	472,559	421,662
Accumulated deficit	-431,684	-406,847
Total stockholders’ equity	40,908	14,844
Total liabilities and stockholders’ equity	$53,481	$24,139

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (current period unaudited) (Parentheticals) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Preferred stock par value (in Dollars per share)	$0.00	$0.00
Preferred stock, authorized	10,000,000	10,000,000
Preferred stock, outstanding	0	0
Common stock, par value (in Dollars per share)	$0.00	$0.00
Common stock, authorized	65,000,000	65,000,000
Common stock, issued	32,912,949	28,741,653
Common stock, outstanding	32,912,949	28,741,653

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Revenue	$4,207,000	$1,211,000	$10,207,000	$2,349,000
Cost of goods sold (excluding amortization of intangible assets)	2,277,000	692,000	5,822,000	1,364,000
Gross profit	1,930,000	519,000	4,385,000	985,000
Operating expenses	'	'	'	'
General and administrative	1,859,000	1,404,000	5,922,000	3,629,000
Clinical, regulatory and research & development	255,000	728,000	685,000	1,624,000
Sales and marketing	3,341,000	1,756,000	9,136,000	3,529,000
Amortization of intangible assets	304,000	304,000	911,000	911,000
Total operating expenses	5,759,000	4,192,000	16,654,000	9,693,000
Loss from operations	-3,829,000	-3,673,000	-12,269,000	-8,708,000
Other income (expense)	'	'	'	'
Interest income	11,000	15,000	21,000	23,000
Changes in fair value of warrant obligations	-382,000	-929,000	-12,520,000	-6,966,000
Other, net	-40,000	'	-69,000	-9,000
Total other income (expense)	-411,000	-914,000	-12,568,000	-6,952,000
Net loss and comprehensive loss	($4,240,000)	($4,587,000)	($24,837,000)	($15,660,000)
Weighted average shares outstanding - basic and diluted (in Shares)	31,913,521	27,703,310	29,960,835	24,443,595
Net loss per share – basic and diluted (in Dollars per share)	($0.13)	($0.17)	($0.83)	($0.64)

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
OPERATING ACTIVITIES	'	'
Net loss for the period	($24,837,000)	($15,660,000)
Stock-based compensation	2,505,000	1,242,000
Depreciation of fixed assets	373,000	91,000
Amortization of patents and trademarks	21,000	21,000
Amortization of intangible assets	911,000	911,000
Non-cash bonuses paid to management in common stock	'	1,181,000
Changes in fair value of warrant obligations	12,520,000	6,966,000
Net change in working capital and non-current asset balances related to operations	-459,000	-806,000
Cash used in operating activities	-8,966,000	-6,054,000
INVESTING ACTIVITIES	'	'
Additions to fixed assets, net of proceeds	-2,490,000	-324,000
Cash used in investing activities	-2,490,000	-324,000
FINANCING ACTIVITIES	'	'
Proceeds from warrants exercised	387,000	3,262,000
Proceeds from the exercise of options	296,000	41,000
Costs of issuance of shares and warrants in an underwritten public offering	-3,055,000	-1,718,000
Cash provided by financing activities	37,993,000	21,930,000
Net increase in cash and cash equivalents during the period	26,537,000	15,552,000
Cash, beginning of period	15,437,000	2,807,000
Cash, end of period	41,974,000	18,359,000
Public Offering [Member]	'	'
FINANCING ACTIVITIES	'	'
Proceeds from debt and equity securities	40,365,000	12,420,000
Underwritten Registered Financing [Member]	'	'
FINANCING ACTIVITIES	'	'
Proceeds from debt and equity securities	'	$7,925,000

Note_1_Basis_of_Presentation

Note 1 - Basis of Presentation	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	1.      BASIS OF PRESENTATION
	Nature of Operations
	TearLab Corporation (formerly OccuLogix, Inc.) ("TearLab" or the "Company"), a Delaware corporation, is an ophthalmic device company that is commercializing a proprietary in vitro diagnostic tear testing platform, the TearLab® test for dry eye disease, or DED, which enables eye care practitioners to test for highly sensitive and specific biomarkers using nanoliters of tear film at the point-of-care.
	The accompanying condensed consolidated financial statements include the accounts of the Company and all of its wholly owned subsidiaries. Intercompany accounts and transactions have been eliminated on consolidation.
	The consolidated balance sheet at December 31, 2012 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements.
	The accompanying condensed consolidated financial statements have been prepared on the going concern basis, which assumes that the Company will continue to operate as a going concern and which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. However, the Company has sustained substantial losses of $24.8 million for the nine months ended September 30, 2013 and $19.3 million and $8.8 million for the years ended December 31, 2012 and 2011, respectively. The Company's working capital surplus at September 30, 2013 is $34.2 million. Based on the Company’s annual operating plan approved by the Board of Directors, management believes the Company’s existing cash and cash equivalents of $42.0 million at September 30, 2013 combined with anticipated cash flows provided by sales of its products in 2013 will be sufficient to fund its cash requirements through at least September 30, 2014.
	A successful transition to attaining profitable operations is dependent upon obtaining sufficient financing to fund the Company’s planned expenses and achieving a level of revenues adequate to support the Company’s cost structure. The Company may be required to seek additional debt or equity financing to support its operations until it becomes cash flow positive. There can be no assurances that there will be adequate financing available to the Company on acceptable terms or at all. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts classified as liabilities that might be necessary should the Company be forced to take any such actions.

Note_2_Significant_Accounting_

Note 2 - Significant Accounting Policies	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
Significant Accounting Policies [Text Block]	'
	2. SIGNIFICANT ACCOUNTING POLICIES
	These unaudited interim condensed consolidated financial statements have been prepared using significant accounting policies that are consistent with the policies used in preparing the Company’s audited consolidated financial statements for the year ended December 31, 2012. Management believes that all adjustments necessary for the fair presentation of results, consisting of normally recurring items, have been included in the unaudited consolidated financial statements for the interim periods presented. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The principal areas of judgment relate to revenue and inventory reserves, impairment of long-lived and intangible assets, and the fair value of stock options and warrants.
	Revenue recognition
	Revenue is recognized when all four of the following criteria are met: (i) persuasive evidence that an arrangement exists; (ii) delivery of the products has occurred; (iii) the selling price is fixed or determinable; and (iv) collectability is reasonably assured. The Company’s timing of revenue recognition is impacted by factors such as passage of title, payments and customer acceptance. Amounts received in excess of revenue recognizable are deferred.
	The Company enters into contracts where revenue is derived from multiple deliverables containing a mix of products, which generally includes either the sale or the right to use a TearLab Osmolarity System and sales of a fixed number of test cards. The Company has multiple revenue programs, in which it either sells readers and test cards as a combined unit with no future commitments on behalf of the client, provides the use of readers to large practices with an expectation of purchasing certain levels of test cards or allows the customer to use the readers with a commitment to fulfill a minimum purchase obligation, typically over a three year period. Revenue recognition for contracts with multiple deliverables is based on the individual units of accounting determined to exist in the contract. A delivered item is considered a separate unit of accounting when the delivered item has value to the customer on a stand-alone basis. Items are considered to have stand-alone value when they are sold separately by any vendor or when the customer could resell the item on a stand-alone basis. Considering that test cards are essential to the operation of a TearLab reader, there is no alternative vendor for the test cards and no indication that a secondary market for the TearLab readers is established, the deliverables under the contracts entered into during 2013 and 2012 do not meet criteria for separation under the multiple-element arrangements guidance. Consideration is allocated at the inception of the contract to all deliverables based on their relative selling price. The relative selling price for each deliverable is determined using vendor specific objective evidence (VSOE) of selling price or third-party evidence of selling price if VSOE does not exist. If neither VSOE nor third-party evidence exists, the Company uses its best estimate of the selling price for the deliverable. The Company recognizes revenue for each of the elements only when it determines that all applicable recognition criteria have been met.
	The TearLab® Osmolarity System for Dry Eye Disease (“DED”) consists of hardware and related disposable test cards. In 2012 and 2013, the Company’s revenues have been derived primarily from programs where customers are given the use of a TearLab Osmolarity System in exchange for various programs to purchase test cards. The Company’s sales are currently direct to customers in the United States, Canada and the United Kingdom and to distributors in Europe and Asia. The Company records revenue when all of its obligations are completed which is generally upon shipment of the Company’s products.
	Although the Company typically has a no return policy for its products, the Company has established a return reserve for product sales that contain an implicit right of return. The Company reserves for estimated returns or refunds by reducing revenues at the time of shipment based on historical experience. The reserve of $221,000 and $71,000 as of September 30, 2013 and December 31, 2012, respectively, has reduced revenue and is included in accounts receivable.
	Warrant liabilities
	The Company issued several rounds of warrants related to various debt and equity transactions which occurred in 2011. The Company accounts for its warrants issued in accordance with the US GAAP accounting guidance under Accounting Standards Codification (ASC) 815 applicable to derivative instruments, which requires every derivative instrument within its scope to be recorded on the balance sheet as either an asset or liability measured at its fair value, with changes in fair value recognized in earnings.  Based on this guidance, the Company determined that the Company's warrants do not meet the criteria for classification as equity.  Accordingly, the Company classified the warrants as current liabilities. The warrants are subject to re-measurement at each balance sheet date, with any change in fair value recognized as a component of other income (expense), net in the statements of operations and comprehensive loss. The Company estimated the fair value of these warrants at the respective balance sheet dates using the Black-Scholes option-pricing model, based on the market value of the underlying common stock at the valuation measurement date, the remaining contractual term of the warrant, risk-free interest rates and expected dividends on and expected volatility of the price of the underlying common stock. There is a degree of subjectivity involved when using option pricing models to estimate warrant liability and the assumptions used in the Black-Scholes option-pricing model are judgmental.
	Recent Accounting Pronouncements
	Effective January 1, 2013, the Company adopted the FASB's requirements for presentation of reclassifications out of accumulated other comprehensive income (AOCI). The guidance requires companies to report, in one place, information about reclassifications out of AOCI and to present reclassifications by component when reporting changes in AOCI balances. The adoption of this authoritative guidance did not have an impact on the Company's financial position or results of operations.
	In July 2013, the FASB issued Accounting Standards Update, or ASU, No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. ASU 2013-11 provides explicit guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The guidance is effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013, with an option for early adoption. We intend to adopt this guidance at the beginning of our first quarter of fiscal year 2014 and do not believe the adoption of this standard will have a material impact on our financial position, results of operations or related financial statement disclosures.

Note_3_Balance_Sheet_Details

Note 3 - Balance Sheet Details	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block Supplement [Abstract]	'
Supplemental Balance Sheet Disclosures [Text Block]	'
	3. BALANCE SHEET DETAILS
	Accounts receivable
	(in thousands)	September 30,			December 31,
		2013			2012
	Trade receivables	$	3,663		$	910
	Due from related parties		3			15
	Allowance for doubtful accounts		(265	)		(36	)
		$	3,401		$	889
	Inventory
	Inventory is recorded at the lower of cost or market and consists of finished goods. Inventory is accounted for on a first-in, first-out basis.
	(in thousands)	September 30,			December 31,
		2013			2012
	Finished goods	$	959		$	1,863
	Inventory reserves		—			—
		$	959		$	1,863
	The Company evaluates inventory for estimated excess quantities and obsolescence, based on expected future sales levels and projections of future demand, and establishes inventory reserves for obsolete and excess inventories. In addition, the Company assesses the impact of changing technology and market conditions. The Company has entered into a long term purchase commitment to purchase the test cards from a third-party supplier (Note 11). The purchase commitment contains required minimum annual purchases. As part of its analysis of excess or obsolete inventories, the Company considers future annual minimum purchases, estimated future usage and the expiry dating of the cards to determine if any inventory reserve needed. The usage of the minimum purchase commitments is predicated upon significant increases in market demand for TearLab products as compared to 2012 and prior years.
	Prepaid Expenses and Other Current Assets
	(in thousands)
		September 30,			December 31,
		2013			2012
	Prepaid trade shows	$	143		$	159
	Prepaid insurance		77			131
	Prepaid regulatory fees		38			9
	Prepaid deposits and other fees		163			88
	Other current assets		25			60
		$	446		$	447
	Fixed Assets
	(in thousands)	September 30,			December 31,
		2013			2012
	Furniture and office equipment	$	208		$	115
	Leasehold improvements		47			—
	Computer equipment and software		373			203
	Capitalized TearLab equipment readers		2,735			582
	Medical equipment		400			373
			3,763			1,273
	Less accumulated depreciation		(1,016	)		(643	)
		$	2,747		$	630
	Depreciation expense was $373,000 and $91,000 during the nine months ended September 30, 2013 and 2012, respectively, and $190,000 and $39,000 during the three months ended September 30, 2013 and 2012, respectively.
	Patents and trademarks
	(in thousands)	September 30,			December 31,
		2013			2012
	Patents	$	236		$	236
	Trademarks		32			32
			268			268
	Accumulated amortization		(153	)		(132	)
		$	115		$	136
	Amortization expense of patents and trademarks was $21,000 and $21,000 during the nine months ended September 30, 2013 and 2012, respectively, and $7,000 and $7,000 during the three months ended September 30, 2013 and 2012, respectively.
	Accrued liabilities
	(in thousands)
		September 30,			December 31,
		2013			2012
	Due to professionals	$	371		$	258
	Due to employees and directors		1,413			1,052
	Goods received but not yet invoiced		227			17
	State sales and use tax liabilities		450			99
	Product warranties		172			108
	Royalty liability		259			122
	In transit inventory		107			-
	Other		314			333
		$	3,313		$	1,989

Note_4_Intangible_Assets

Note 4 - Intangible Assets	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block [Abstract]	'
Intangible Assets Disclosure [Text Block]	'
	4. INTANGIBLE ASSETS
	The Company's intangible assets consist of the value of TearLab® Technology acquired in the acquisition of TearLab Research.  The TearLab Technology consists of a disposable lab card and card reader, supported by an array of patents and patent applications that are either held or in-licensed by the Company.  The TearLab Technology is being amortized using the straight-line method over an estimated useful life of 10 years. Amortization expense for the three months and nine months ended September 30, 2013 and 2012 was $304,000, $911,000, $304,000 and $911,000, respectively.
	Intangible assets subject to amortization consist of the following:
		30-Sep-13				31-Dec-12
		Cost		Accumulated Amortization		Cost		Accumulated Amortization
	TearLab® technology	$	12,172	$	8,373	$	12,172	$	7,462
	The estimated amortization expense for the intangible assets for the remainder of 2013 and each of the remaining three years is as follows:
		Amortization of
		intangible assets
		($ 000’s)
	Remainder of 2013	$	304
	2014		1,215
	2015		1,215
	2016		1,065
		$	3,799

Note_5_Related_Party_Transacti

Note 5 - Related Party Transactions	9 Months Ended
	Sep. 30, 2013
Related Party Transactions [Abstract]	'
Related Party Transactions Disclosure [Text Block]	'
	5. RELATED PARTY TRANSACTIONS
	On August 20, 2009, the Company entered into a distribution agreement with Science with Vision Inc., pursuant to which Science with Vision obtained exclusive Canadian distribution rights with respect to the Company’s products.  The Company began selling products through the Canadian distributor in 2010. The Company’s chairman of the board of directors and chief executive officer has a material financial interest in Science with Vision. Sales to this distributor for the three months and nine months ended September 30, 2013 and 2012 were $0, $22,000, $0 and $45,000, respectively, and the outstanding accounts receivable balances due at September 30, 2013 and December 31, 2012 were $0 and $15,000, respectively.
	On September 3, 2013, the Company and Science with Vision Inc. agreed to terminate the distribution agreement including exclusive distribution rights of TearLab products in Canada. In consideration of the termination agreement, the Company agreed to a one-time payment to Science with Vision Inc. of $200,000 Canadian dollars and a royalty on all sales in Canada of products for which Science with Vision Inc. had exclusive distribution rights. The one-time payment resulted in a charge of $190,000 USD during the quarter ended September 30, 2013 and is recorded within sales and marketing expense. Royalties are recorded as cost of goods sold in the income statement in the period in which revenue is recognized for the associated products sold. The Company’s chairman of the board of directors and chief executive officer has a material financial interest in Science with Vision.

Note_6_Fair_Value_Measurements

Note 6 - Fair Value Measurements	9 Months Ended
	Sep. 30, 2013
Fair Value Disclosures [Abstract]	'
Fair Value Disclosures [Text Block]	'
	6.       FAIR VALUE MEASUREMENTS
	The Company measures certain assets and liabilities in accordance with authoritative guidance which requires fair value measurements be classified and disclosed in one of the following three categories:
		●	Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities.
		●	Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data.
		●	Level 3: Unobservable inputs are used when little or no market data is available.
	Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. The Company reviews the fair value hierarchy classification on a quarterly basis. Changes in the ability to observe valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. The Company did not have any assets or liabilities in Level 1 and Level 2 and no transfers to or from Level 3 of the fair value measurement hierarchy during the nine months ended September 30, 2013.
	At September 30, 2013, the Company has a liability for warrants to purchase 889,412 shares of common stock at an exercise price of $1.86 per share valued at $8,355,000 (Note 7). The warrant liability is classified as a Level 3 fair value measurement.
	The following table provides a reconciliation for the warrant liability measured at fair value using significant unobservable inputs (Level 3) for the nine months ended September 30, 2013 (in thousands):
			Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Balance of warrant liability at January 1, 2013		$	6,239
	Warrant exercises			(10,404	)
	Change in fair value of warrant liability included in other (income) / expense			12,520
	Balance of warrant liability at September 30, 2013		$	8,355

Note_7_Stockholders_Equity

Note 7 - Stockholders' Equity	9 Months Ended
	Sep. 30, 2013
Stockholders' Equity Note [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	7.        STOCKHOLDERS’ EQUITY
	(a)       Authorized share capital
	The total number of authorized shares of common stock of the Company is 65,000,000. Each share of common stock has a par value of $0.001 per share. The total number of authorized shares of preferred stock of the Company is 10,000,000. Each share of preferred stock has a par value of $0.001 per share.
	(b)       Common stock
	On April 16, 2012, the Company closed an underwritten public offering of 3.45 million shares of its common stock at a price to the public of $3.60 per share. The Company received gross proceeds of $12,420,000, with associated costs of $1,194,000.
	On July 18, 2012, the Company closed an underwritten registered direct financing of 2.5 million shares of its common stock at a price of $3.17 per share. The Company received gross proceeds of $7,925,000, with associated costs of $524,000.
	On September 17, 2012 the Company issued 316,779 shares of restricted stock units to its management team as settlement of an outstanding liability for previously accrued bonuses related to achievement of CLIA waiver status. The costs basis of the shares granted was $3.72, the closing price of the Company’s stock on the date of grant, for a total value of $1,181,000. The shares were issued in accordance with the Company’s amended 2002 Stock Incentive Plan and were fully vested on the date of grant.
	On July 30, 2013, the Company closed an underwritten public offering of 2.99 million shares of its common stock at a price to the public of $13.50 per share. The Company received gross proceeds of $40,365,000, with associated costs of $3,055,000.
	(c)       Stock Option Plan
	The Company has a stock option plan, the 2002 Stock Incentive Plan (the "Stock Incentive Plan"), which was most recently amended on June 7, 2013 in order to increase the shares reserved under the Stock Option Plan by 1,000,000. Under the Stock Incentive Plan, up to 5,200,000 options are available for grant to employees, directors and consultants. Options granted under the Stock Incentive Plan may be either incentive stock options or non-statutory stock options. Under the terms of the Stock Incentive Plan, the exercise price per share for an incentive stock option shall not be less than the fair market value of a share of stock on the effective date of grant and the exercise price per share for non-statutory stock options shall not be less than 85% of the fair market value of a share of stock on the date of grant. No option granted to a holder of more than 10% of the Company's common stock shall have an exercise price per share less than 110% of the fair market value of a share of stock on the effective date of grant.
	Options granted are typically service-based options. Generally, options expire 10 years after the date of grant. No incentive stock options granted to a 10% owner optionee shall be exercisable after the expiration of five years after the effective date of grant of such option, no option granted to a prospective employee, prospective consultant or prospective director may become exercisable prior to the date on which such person commences service, and with the exception of an option granted to an officer, director or consultant, no option shall become exercisable at a rate less than 20% per annum over a period of five years from the effective date of grant of such option unless otherwise approved by the Board.
	The Company accounts for stock-based compensation under the authoritative guidance which requires that share-based payment transactions with employees be recognized in the financial statements based on their fair value and recognized as compensation expense over the vesting period. The amount of expense recognized during the period is affected by subjective assumptions, including: estimates of the Company’s future volatility, the expected term for its stock options, option exercise behavior, the number of options expected to ultimately vest, and the timing of vesting for the Company’s share-based awards.
	The following table sets forth the total stock-based compensation expense resulting from stock options included in the Company's condensed consolidated statements of operations and comprehensive loss (in thousands):
		Three months ended					Nine months ended
		September 30,					September 30,
		2013			2012		2013		2012
	General and administrative	$	189		$	101	$	1,239	$	510
	Clinical, regulatory and research and development		37			102		66		326
	Sales and marketing		521			150		1,200		406
	Stock-based compensation expense before income taxes	$	747		$	353	$	2,505	$	1,242
	(d)       Warrants
	On February 6, 2007, the Company issued warrants to investors and a transaction advisor (“2007 Warrants”). The 2007 Warrants were exercisable immediately into an aggregate of 131,497 shares of the Company's common stock at $46.25 per common share. These warrants expired during the first quarter of 2012 with no warrants having been exercised.
	On June 13, 2011, the Company issued 1,629,539 shares of its common stock as well as warrants (“Financing Warrants”) to purchase 109,375 shares of its common stock in consideration of conversion and retirement of the Company’s outstanding July and August 2009 debt obligations in the aggregate amount of $2,149,000 with associated costs of $41,000. The exercise price of the Financing Warrants is $1.60 per common share representing the price per share equal to the closing bid price per share of the Company’s common stock on the NASDAQ stock market on July 15, 2009. In the nine months ended September 30, 2013, 12,813 warrants were exercised (1,875 via cashless exercise) for gross proceeds of $18,000. In the period ended September 30, 2012, 22,499 warrants were exercised (18,749 via cashless exercise) for gross proceeds of $6,000.
	On June 30, 2011, the Company closed a private placement financing in which 3,846,154 shares of common stock and warrants (“2011 Warrants”) to purchase 3,846,154 shares of common stock for gross proceeds of approximately $7,000,000 were issued. The investors purchased the shares and warrants for $1.82 per unit (each unit consisting of one share and one warrant to purchase shares of common stock). The exercise price of the warrants is $1.86 per share. The warrants are exercisable at any time from the date of issuance until June 30, 2016. The Company accounts for the 2011 Warrants in accordance with applicable guidance to derivatives. The Company’s estimated the fair value of the warrants at the date of issuance using the Black Scholes option model with a 101% volatility, 5.0 years expected life and a risk-free interest rate of 1.76%. The 2011 warrants initial fair value of $5,518,000 was classified as a current liability as the Company determined that these warrants do not meet the criteria for classification as equity. In the nine months ended September 30, 2013, 1,206,273 warrants were exercised (1,007,921 via cashless exercise) for gross proceeds of $369,000. In the nine months ended September 30, 2012, 1,750,469 warrants were exercised (none via cashless exercise) for gross proceeds of $3,256,000.
	The estimated fair value of the 2011 Warrants at September 30, 2013 was determined using the Black-Scholes option-pricing model with the following assumptions:
	Volatility		75	%
	Expected life of Warrants (in years)	2.75
	Risk-free interest rate		0.56	%
	Dividend yield		0	%
	The fair value of the 2011 warrants is highly sensitive to the changes in the Company’s stock price and stock price volatility.
	During the three and nine months ended September 30, 2013 certain holders of 2011 Warrants exercised 0 and 1,206,273 warrants, respectively. The Company received $0 and $369,000 in proceeds from these exercises during the three and nine month periods ended September 30, 2013, respectively. The Company is required to record the outstanding warrants at fair value at the time of exercise, before moving the fair value into additional paid-in capital, resulting in an adjustment to the warrant obligations, with any gain or loss recorded in earnings of the applicable reporting period. The Company, therefore, estimated the fair value of the exercised 2011 Warrants at their respective exercise dates to be $10,404,000, an increase in value of $0 and $6,813,000 from the previous values at June 30, 2013 and December 31, 2012, respectively. This increase was recorded as an expense in other income (expense) in the condensed consolidated statement of operations and comprehensive loss for the three and nine months ended September 30, 2013.
	During the three and nine months ended September 30, 2012 certain holders of 2011 Warrants exercised 0 and 1,750,469 warrants, respectively. The Company received $0 and $3,256,000 in proceeds from these exercises for the three and nine month periods ended September 30, 2012, respectively. The Company, estimated the fair value of the exercised 2011 Warrants at their respective exercise dates to be $4,014,000, an increase of $0 and $1,940,000 from the previous values at June 30, 2012 and December 31, 2011, respectively. This increase was recorded as an expense in other expense in the condensed consolidated statement of operations and comprehensive loss for the three and nine months ended September 30, 2012.
	The Company is also required to record the outstanding warrants at fair value at the end of each reporting period, resulting in an adjustment to the warrant obligations, with any gain or loss recorded in earnings of the applicable reporting period. The Company, therefore, estimated the fair value of the remaining warrants as of September 30, 2013 to be $8,355,000, an increase of $5,707,000 from the previous value at December 31, 2012, including an increase of $2,295,000 for the three months ended March 31, 2013, an increase of $3,030,000 for the three months ended June 30, 2013 and an increase of $382,000 for the three months ended September 30, 2013. This amount was recorded as a charge to other income (expense) in the condensed consolidated statement of operations and comprehensive loss for the three and nine months ended September 30, 2013.
	The Company, estimated the fair value of the remaining warrants as of September 30, 2012 to be $5,909,000, an increase of $929,000 from the previous value at June 30, 2012, and $5,026,000 from the previous value at December 31, 2011. These amounts were recorded as a charge to other income (expense) in the consolidated statement of operations and comprehensive income for the three and nine months ended September 30, 2012.
	On June 13, 2011, in connection with the conversion of the notes payable and accrued interest, the Company issued warrants with a life of five years to purchase 109,375 shares of common stock. The exercise price of these warrants is $1.60 per common share representing the price per share equal to the closing bid price per share of the Company’s common stock on the NASDAQ stock market on July 15, 2009. The Company recorded $163,000 representing the fair value of the warrants, calculated using the Black-Scholes value model, at the date of the Financing in additional paid-in capital. The value of the warrants was accreted over the term of the Notes until their conversion in June 2011. During the year ended December 31, 2012 certain holders of these warrants exercised 22,499 warrants, with $6,000 in proceeds received from these exercised warrants. During the nine months ended September 30, 2012 certain holders of these warrants exercised 22,499 warrants, with $6,000 in proceeds received from these exercised warrants.   There were no similar warrant exercises for the three months ended September 30, 2012. As the estimated fair value of these warrants had been previously accreted over the term on the related Notes, no further accounting of these warrants is required.
	The following table provides activity for the Warrants outstanding through September 30, 2013 (in thousands, except weighted average exercise prices):
		Number of warrants outstanding			Weighted average exercise price
	Outstanding, December 31, 2012		2,183		$	1.85
	Exercised		(1,219	)		1.86
	Expired		—			—
	Outstanding, September 30, 2013		964		$	1.84

Note_8_Comprehensive_Loss

Note 8 - Comprehensive Loss	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block [Abstract]	'
Comprehensive Income (Loss) Note [Text Block]	'
	8.         COMPREHENSIVE LOSS
	For the three and nine months ended September 30, 2013 and 2012, comprehensive loss was equal to net loss for each period.

Note_9_Net_Loss_Per_Share

Note 9 - Net Loss Per Share	9 Months Ended
	Sep. 30, 2013
Earnings Per Share [Abstract]	'
Earnings Per Share [Text Block]	'
	9.         NET LOSS PER SHARE
	Basic income (loss) per share is calculated by dividing net income (loss) by the weighted average number of common shares and vested restricted stock units outstanding. Diluted income (loss) per share is computed by dividing net income (loss), less any dilutive amounts recorded during the period for the change in fair value of warrant liabilities, by the weighted average number of common shares and vested restricted stock units outstanding and the weighted average number of dilutive common stock equivalents, from stock options, warrants, and non-vested restricted stock units. Common stock equivalents are only included in the diluted earnings per share calculation when their effect is dilutive.
	The following outstanding common stock equivalents were not included in the calculation of net loss per share because their effects were anti-dilutive (in thousands):
		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2013		2012		2013		2012
	Stock options		5,018		3,995		5,018		3,995
	Warrants		964		2,182		964		2,182
	Total		5,982		6,177		5,982		6,177

Note_10_Condensed_Consolidated

Note 10 - Condensed Consolidated Statements of Cash Flows	9 Months Ended
	Sep. 30, 2013
Supplemental Cash Flow Elements [Abstract]	'
Cash Flow, Supplemental Disclosures [Text Block]	'
	10.       CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
	The net change in working capital and non-current asset balances related to operations consists of the following:
		Nine months ended
		September 30,
		($ 000’s)
		2013			2012
	Accounts receivable, net	$	(2,512	)	$	(413	)
	Inventory		903			(844	)
	Prepaid expenses and other assets		(12	)		(11	)
	Accounts payable		(162	)		245
	Accrued liabilities		1,324			217
		$	(459	)	$	(806	)
	The following table lists those items that have been excluded from the condensed consolidated statements of cash flows as they relate to non-cash transactions and additional cash flow information:
		Nine months ended
		September 30,
		($ 000’s)
		2013			2012
	Non-cash financing activities
	Exercise of warrant accounted for in warrant liabilities		10,404			4,014

Note_11_Commitments_and_Contin

Note 11 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure [Text Block]	'
	11.       COMMITMENTS AND CONTINGENCIES
	On August 1, 2011, the Company, through its subsidiary, TearLab Research, Inc., entered into a manufacturing and development agreement, or the Manufacturing Agreement, with MiniFAB (Aust) Pty Ltd, or MiniFAB. Pursuant to the terms of the Manufacturing Agreement, MiniFAB will manufacture and supply test cards for the Company. The Manufacturing Agreement specifies minimum order quantities that will require the Company to purchase approximately $23.4 million (AUD$25.1 million) in test cards from MiniFAB for the years from 2013 through the end of 2015. The Company is also subject to annual minimum order commitments under the Manufacturing Agreement. The Manufacturing Agreement has a ten year initial term and may be terminated by either party if the other party is in breach or becomes insolvent. If terminated for any reason other than default by MiniFAB, the Company will be obligated to pay a termination fee based on the cost of products manufactured by MiniFAB, but not yet invoiced, repayment of capital invested by MiniFAB, less depreciation calculated in accordance with Australian accounting standards, and the expected profit to MiniFAB had the remaining minimum order quantities been purchased by the Company.
	The Company has evaluated its 2013 outstanding purchase commitment with MiniFab to determine the potential amount of liability the Company may be obligated to pay if it doesn’t meet its annual order commitment. Having reviewed the submitted orders for test cards to MiniFAB for the nine months ended September 30, 2013, if the Company does not: 1) order the sufficient additional test cards to meet the 2013 minimum order commitment under the agreement or 2) seek to modify the existing minimum order quantity with MiniFab, the Company will be subject to liquidated damages estimated at $1.5 million (AUD $1.7 million).

Accounting_Policies_by_Policy_

Accounting Policies, by Policy (Policies)	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
Revenue Recognition, Policy [Policy Text Block]	'
	Revenue recognition
	Revenue is recognized when all four of the following criteria are met: (i) persuasive evidence that an arrangement exists; (ii) delivery of the products has occurred; (iii) the selling price is fixed or determinable; and (iv) collectability is reasonably assured. The Company’s timing of revenue recognition is impacted by factors such as passage of title, payments and customer acceptance. Amounts received in excess of revenue recognizable are deferred.
	The Company enters into contracts where revenue is derived from multiple deliverables containing a mix of products, which generally includes either the sale or the right to use a TearLab Osmolarity System and sales of a fixed number of test cards. The Company has multiple revenue programs, in which it either sells readers and test cards as a combined unit with no future commitments on behalf of the client, provides the use of readers to large practices with an expectation of purchasing certain levels of test cards or allows the customer to use the readers with a commitment to fulfill a minimum purchase obligation, typically over a three year period. Revenue recognition for contracts with multiple deliverables is based on the individual units of accounting determined to exist in the contract. A delivered item is considered a separate unit of accounting when the delivered item has value to the customer on a stand-alone basis. Items are considered to have stand-alone value when they are sold separately by any vendor or when the customer could resell the item on a stand-alone basis. Considering that test cards are essential to the operation of a TearLab reader, there is no alternative vendor for the test cards and no indication that a secondary market for the TearLab readers is established, the deliverables under the contracts entered into during 2013 and 2012 do not meet criteria for separation under the multiple-element arrangements guidance. Consideration is allocated at the inception of the contract to all deliverables based on their relative selling price. The relative selling price for each deliverable is determined using vendor specific objective evidence (VSOE) of selling price or third-party evidence of selling price if VSOE does not exist. If neither VSOE nor third-party evidence exists, the Company uses its best estimate of the selling price for the deliverable. The Company recognizes revenue for each of the elements only when it determines that all applicable recognition criteria have been met.
	The TearLab® Osmolarity System for Dry Eye Disease (“DED”) consists of hardware and related disposable test cards. In 2012 and 2013, the Company’s revenues have been derived primarily from programs where customers are given the use of a TearLab Osmolarity System in exchange for various programs to purchase test cards. The Company’s sales are currently direct to customers in the United States, Canada and the United Kingdom and to distributors in Europe and Asia. The Company records revenue when all of its obligations are completed which is generally upon shipment of the Company’s products.
	Although the Company typically has a no return policy for its products, the Company has established a return reserve for product sales that contain an implicit right of return. The Company reserves for estimated returns or refunds by reducing revenues at the time of shipment based on historical experience. The reserve of $221,000 and $71,000 as of September 30, 2013 and December 31, 2012, respectively, has reduced revenue and is included in accounts receivable.
Derivatives, Policy [Policy Text Block]	'
	Warrant liabilities
	The Company issued several rounds of warrants related to various debt and equity transactions which occurred in 2011. The Company accounts for its warrants issued in accordance with the US GAAP accounting guidance under Accounting Standards Codification (ASC) 815 applicable to derivative instruments, which requires every derivative instrument within its scope to be recorded on the balance sheet as either an asset or liability measured at its fair value, with changes in fair value recognized in earnings.  Based on this guidance, the Company determined that the Company's warrants do not meet the criteria for classification as equity.  Accordingly, the Company classified the warrants as current liabilities. The warrants are subject to re-measurement at each balance sheet date, with any change in fair value recognized as a component of other income (expense), net in the statements of operations and comprehensive loss. The Company estimated the fair value of these warrants at the respective balance sheet dates using the Black-Scholes option-pricing model, based on the market value of the underlying common stock at the valuation measurement date, the remaining contractual term of the warrant, risk-free interest rates and expected dividends on and expected volatility of the price of the underlying common stock. There is a degree of subjectivity involved when using option pricing models to estimate warrant liability and the assumptions used in the Black-Scholes option-pricing model are judgmental.
New Accounting Pronouncements, Policy [Policy Text Block]	'
	Recent Accounting Pronouncements
	Effective January 1, 2013, the Company adopted the FASB's requirements for presentation of reclassifications out of accumulated other comprehensive income (AOCI). The guidance requires companies to report, in one place, information about reclassifications out of AOCI and to present reclassifications by component when reporting changes in AOCI balances. The adoption of this authoritative guidance did not have an impact on the Company's financial position or results of operations.
	In July 2013, the FASB issued Accounting Standards Update, or ASU, No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. ASU 2013-11 provides explicit guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The guidance is effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013, with an option for early adoption. We intend to adopt this guidance at the beginning of our first quarter of fiscal year 2014 and do not believe the adoption of this standard will have a material impact on our financial position, results of operations or related financial statement disclosures.

Note_3_Balance_Sheet_Details_T

Note 3 - Balance Sheet Details (Tables)	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block Supplement [Abstract]	'
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]	'
	(in thousands)	September 30,			December 31,
		2013			2012
	Trade receivables	$	3,663		$	910
	Due from related parties		3			15
	Allowance for doubtful accounts		(265	)		(36	)
		$	3,401		$	889
Schedule of Inventory, Current [Table Text Block]	'
	(in thousands)	September 30,			December 31,
		2013			2012
	Finished goods	$	959		$	1,863
	Inventory reserves		—			—
		$	959		$	1,863
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block]	'
		September 30,			December 31,
		2013			2012
	Prepaid trade shows	$	143		$	159
	Prepaid insurance		77			131
	Prepaid regulatory fees		38			9
	Prepaid deposits and other fees		163			88
	Other current assets		25			60
		$	446		$	447
Property, Plant and Equipment [Table Text Block]	'
	(in thousands)	September 30,			December 31,
		2013			2012
	Furniture and office equipment	$	208		$	115
	Leasehold improvements		47			—
	Computer equipment and software		373			203
	Capitalized TearLab equipment readers		2,735			582
	Medical equipment		400			373
			3,763			1,273
	Less accumulated depreciation		(1,016	)		(643	)
		$	2,747		$	630
Schedule of Finite-Lived Intangible Assets [Table Text Block]	'
	(in thousands)	September 30,			December 31,
		2013			2012
	Patents	$	236		$	236
	Trademarks		32			32
			268			268
	Accumulated amortization		(153	)		(132	)
		$	115		$	136
Schedule of Accrued Liabilities [Table Text Block]	'
		September 30,			December 31,
		2013			2012
	Due to professionals	$	371		$	258
	Due to employees and directors		1,413			1,052
	Goods received but not yet invoiced		227			17
	State sales and use tax liabilities		450			99
	Product warranties		172			108
	Royalty liability		259			122
	In transit inventory		107			-
	Other		314			333
		$	3,313		$	1,989

Note_4_Intangible_Assets_Table

Note 4 - Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block [Abstract]	'
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block]	'
		30-Sep-13				31-Dec-12
		Cost		Accumulated Amortization		Cost		Accumulated Amortization
	TearLab® technology	$	12,172	$	8,373	$	12,172	$	7,462
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	'
		Amortization of
		intangible assets
		($ 000’s)
	Remainder of 2013	$	304
	2014		1,215
	2015		1,215
	2016		1,065
		$	3,799

Note_6_Fair_Value_Measurements1

Note 6 - Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2013
Fair Value Disclosures [Abstract]	'
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	'
		Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Balance of warrant liability at January 1, 2013	$	6,239
	Warrant exercises		(10,404	)
	Change in fair value of warrant liability included in other (income) / expense		12,520
	Balance of warrant liability at September 30, 2013	$	8,355

Note_7_Stockholders_Equity_Tab

Note 7 - Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2013
Note 7 - Stockholders' Equity (Tables) [Line Items]	'
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	'
		Three months ended					Nine months ended
		September 30,					September 30,
		2013			2012		2013		2012
	General and administrative	$	189		$	101	$	1,239	$	510
	Clinical, regulatory and research and development		37			102		66		326
	Sales and marketing		521			150		1,200		406
	Stock-based compensation expense before income taxes	$	747		$	353	$	2,505	$	1,242
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	'
		Number of warrants outstanding			Weighted average exercise price
	Outstanding, December 31, 2012		2,183		$	1.85
	Exercised		(1,219	)		1.86
	Expired		—			—
	Outstanding, September 30, 2013		964		$	1.84
2007 Warrants [Member]	'
Note 7 - Stockholders' Equity (Tables) [Line Items]	'
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	'
	Volatility		75	%
	Expected life of Warrants (in years)	2.75
	Risk-free interest rate		0.56	%
	Dividend yield		0	%

Note_9_Net_Loss_Per_Share_Tabl

Note 9 - Net Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2013
Earnings Per Share [Abstract]	'
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	'
		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2013		2012		2013		2012
	Stock options		5,018		3,995		5,018		3,995
	Warrants		964		2,182		964		2,182
	Total		5,982		6,177		5,982		6,177

Note_10_Condensed_Consolidated1

Note 10 - Condensed Consolidated Statements of Cash Flows (Tables)	9 Months Ended
	Sep. 30, 2013
Supplemental Cash Flow Elements [Abstract]	'
Cash Flow, Operating Capital [Table Text Block]	'
		Nine months ended
		September 30,
		($ 000’s)
		2013			2012
	Accounts receivable, net	$	(2,512	)	$	(413	)
	Inventory		903			(844	)
	Prepaid expenses and other assets		(12	)		(11	)
	Accounts payable		(162	)		245
	Accrued liabilities		1,324			217
		$	(459	)	$	(806	)
Schedule of Other Significant Noncash Transactions [Table Text Block]	'
		Nine months ended
		September 30,
		($ 000’s)
		2013			2012
	Non-cash financing activities
	Exercise of warrant accounted for in warrant liabilities		10,404			4,014

Note_1_Basis_of_Presentation_D

Note 1 - Basis of Presentation (Details) (USD $)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012	Dec. 31, 2011
Disclosure Text Block [Abstract]	'	'	'	'	'	'
Net Income (Loss) Attributable to Parent	($4,240,000)	($4,587,000)	($24,837,000)	($15,660,000)	($19,300,000)	($8,800,000)
Working Capital	34,200,000	'	34,200,000	'	'	'
Cash and Cash Equivalents, at Carrying Value	$41,974,000	$18,359,000	$41,974,000	$18,359,000	$15,437,000	$2,807,000

Note_2_Significant_Accounting_1

Note 2 - Significant Accounting Policies (Details) (USD $)	3 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Accounting Policies [Abstract]	'	'
Revenue Recognition, Sales Returns, Reserve for Sales Returns (in Dollars)	$221,000	$71,000

Note_3_Balance_Sheet_Details_D

Note 3 - Balance Sheet Details (Details) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Note 3 - Balance Sheet Details (Details) [Line Items]	'	'	'	'
Depreciation	$190,000	$39,000	$373,000	$91,000
Amortization Of Patents And Trademarks	'	'	21,000	21,000
Patents and Trademarks [Member]	'	'	'	'
Note 3 - Balance Sheet Details (Details) [Line Items]	'	'	'	'
Amortization Of Patents And Trademarks	$7,000	$7,000	$21,000	$21,000

Note_3_Balance_Sheet_Details_D1

Note 3 - Balance Sheet Details (Details) - Accounts Receivable, Net (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Accounts Receivable, Net [Abstract]	'	'
Trade receivables	$3,663	$910
Due from related parties	3	15
Allowance for doubtful accounts	-265	-36
	$3,401	$889

Note_3_Balance_Sheet_Details_D2

Note 3 - Balance Sheet Details (Details) - Inventory (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Inventory [Abstract]	'	'
Finished goods	$959	$1,863
Inventory reserves	0	0
	$959	$1,863

Note_3_Balance_Sheet_Details_D3

Note 3 - Balance Sheet Details (Details) - Prepaid Expenses (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Prepaid Expenses [Abstract]	'	'
Prepaid trade shows	$143	$159
Prepaid insurance	77	131
Prepaid regulatory fees	38	9
Prepaid deposits and other fees	163	88
Other current assets	25	60
	$446	$447

Note_3_Balance_Sheet_Details_D4

Note 3 - Balance Sheet Details (Details) - Fixed Assets (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Property, Plant and Equipment [Line Items]	'	'
Property plant and equipment	$3,763	$1,273
Less accumulated depreciation	-1,016	-643
	2,747	630
Furniture and Fixtures [Member]	'	'
Property, Plant and Equipment [Line Items]	'	'
Property plant and equipment	208	115
Leasehold Improvements [Member]	'	'
Property, Plant and Equipment [Line Items]	'	'
Property plant and equipment	47	'
Computer Equipment and Software [Member]	'	'
Property, Plant and Equipment [Line Items]	'	'
Property plant and equipment	373	203
Capitalized TearLab Equipment [Member]	'	'
Property, Plant and Equipment [Line Items]	'	'
Property plant and equipment	2,735	582
Medical Equipment [Member]	'	'
Property, Plant and Equipment [Line Items]	'	'
Property plant and equipment	$400	$373

Note_3_Balance_Sheet_Details_D5

Note 3 - Balance Sheet Details (Details) - Patents and Trademarks (USD $)	Sep. 30, 2013	Dec. 31, 2012
Finite-Lived Intangible Assets [Line Items]	'	'
Finite-lived intangible assets	$268,000	$268,000
Accumulated amortization	-153,000	-132,000
	115,000	136,000
Patents [Member]	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Finite-lived intangible assets	236,000	236,000
Trademarks [Member]	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Finite-lived intangible assets	$32,000	$32,000

Note_3_Balance_Sheet_Details_D6

Note 3 - Balance Sheet Details (Details) - Accrued Liabilities (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Accrued Liabilities [Abstract]	'	'
Due to professionals	$371	$258
Due to employees and directors	1,413	1,052
Goods received but not yet invoiced	227	17
State sales and use tax liabilities	450	99
Product warranties	172	108
Royalty liability	259	122
In transit inventory	107	'
Other	314	333
	$3,313	$1,989

Note_4_Intangible_Assets_Detai

Note 4 - Intangible Assets (Details) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Disclosure Text Block [Abstract]	'	'	'	'
Finite-Lived Intangible Asset, Useful Life	'	'	'10 years	'
Amortization of Intangible Assets	$304,000	$304,000	$911,000	$911,000

Note_4_Intangible_Assets_Detai1

Note 4 - Intangible Assets (Details) - Intangible Assets Subject to Amortization (USD $)	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Acquired Finite-Lived Intangible Assets [Line Items]	'	'
TearLab® technology	$153,000	$132,000
TearLab Technology [Member]	'	'
Acquired Finite-Lived Intangible Assets [Line Items]	'	'
TearLab® technology	12,172	12,172
TearLab® technology	$8,373	$7,462

Note_4_Intangible_Assets_Detai2

Note 4 - Intangible Assets (Details) - Intangible Asset Estimated Future Amortization Expense (USD $)	Sep. 30, 2013
In Thousands, unless otherwise specified
Intangible Asset Estimated Future Amortization Expense [Abstract]	'
Remainder of 2013	$304
2014	1,215
2015	1,215
2016	1,065
	$3,799

Note_5_Related_Party_Transacti1

Note 5 - Related Party Transactions (Details) (Vision Canada [Member])	0 Months Ended		3 Months Ended		9 Months Ended
	Sep. 03, 2013	Sep. 03, 2013	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
	Termination Of Distribution Agreement [Member]	Termination Of Distribution Agreement [Member]	USD ($)	USD ($)	USD ($)	USD ($)	USD ($)
	USD ($)	CAD
Note 5 - Related Party Transactions (Details) [Line Items]	'	'	'	'	'	'	'
Revenue from Related Parties	'	'	$0	$22,000	$0	$45,000	'
Due from Related Parties, Current	'	'	0	'	0	'	15,000
Related Party Transaction, Expenses from Transactions with Related Party (in Dollars)	190,000	200,000	'	'	'	'	'
Related Party Transaction, Expenses from Transactions with Related Party	$190,000	200,000	'	'	'	'	'

Note_6_Fair_Value_Measurements2

Note 6 - Fair Value Measurements (Details) (USD $)	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013
			Warrants 1 [Member]
Note 6 - Fair Value Measurements (Details) [Line Items]	'	'	'
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in Shares)	'	'	889,412
Investment Warrants, Exercise Price (in Dollars per share)	'	'	$1.86
Warrants and Rights Outstanding (in Dollars)	$8,355,000	$5,909,000	$8,355,000

Note_6_Fair_Value_Measurements3

Note 6 - Fair Value Measurements (Details) - Reconciliation for All Liabilities Measured at Fair Value Using Significant Unobservable Inputs (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013
Reconciliation for All Liabilities Measured at Fair Value Using Significant Unobservable Inputs [Abstract]	'
Balance of warrant liability	$6,239
Warrant exercises	-10,404
Change in fair value of warrant liability included in other (income) / expense	12,520
Balance of warrant liability	$8,355

Note_7_Stockholders_Equity_Det

Note 7 - Stockholders' Equity (Details) (USD $)

0 Months Ended

1 Months Ended

0 Months Ended

3 Months Ended

6 Months Ended

9 Months Ended

12 Months Ended

6 Months Ended

9 Months Ended

9 Months Ended

6 Months Ended

9 Months Ended

12 Months Ended

0 Months Ended

9 Months Ended

1 Months Ended

3 Months Ended

6 Months Ended

9 Months Ended

12 Months Ended

9 Months Ended

Jul. 30, 2013

Sep. 17, 2012

Jul. 18, 2012

Apr. 16, 2012

Sep. 30, 2013

Jun. 30, 2013

Mar. 31, 2013

Jun. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Dec. 31, 2012

Dec. 31, 2011

Jun. 30, 2011

Jun. 30, 2011

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Jun. 07, 2013

Jun. 13, 2011

Sep. 30, 2012

Dec. 31, 2012

Feb. 06, 2007

Jun. 13, 2011

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Jun. 30, 2011

Jun. 30, 2011

Sep. 30, 2013

Sep. 30, 2012

Jun. 30, 2013

Jun. 30, 2012

Jun. 30, 2011

Sep. 30, 2013

Sep. 30, 2012

Dec. 31, 2012

Dec. 31, 2011

Sep. 30, 2013

Sep. 30, 2013

Sep. 30, 2013

Jun. 07, 2013

Combined Common Stock and Warrant Unit [Member]

Shares Per Unit [Member]

Exercised [Member]

Exercised [Member]

Cashless Exercise [Member]

Cashless Exercise [Member]

Cashless Exercise [Member]

Cashless Exercise [Member]

Increase in Shares Authorized [Member]

Conversion of Notes Payable and Accrued Interest, Warrants [Member]

Conversion of Notes Payable and Accrued Interest, Warrants [Member]

Conversion of Notes Payable and Accrued Interest, Warrants [Member]

2007 Warrants [Member]

Financing Warrants [Member]

Financing Warrants [Member]

Financing Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

Percentage of Fair Market Value [Member]

Percentage of Common Stock [Member]

Minimum Exercisable Rate [Member]

Employees Directors and Consultants Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

Financing Warrants [Member]

2011 Warrants [Member]

2011 Warrants [Member]

Financing Warrants [Member]

Private Placement Financing [Member]

Private Placement Financing [Member]

Private Placement Financing [Member]

Note 7 - Stockholders' Equity (Details) [Line Items]

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Common Stock, Shares Authorized (in Shares)

'

'

'

'

65,000,000

'

'

'

65,000,000

'

65,000,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Common Stock, Par or Stated Value Per Share (in Dollars per share)

'

'

'

'

$0.00

'

'

'

$0.00

'

$0.00

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Preferred Stock, Shares Authorized (in Shares)

'

'

'

'

10,000,000

'

'

'

10,000,000

'

10,000,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Temporary Equity, Par or Stated Value Per Share (in Dollars per share)

'

'

'

'

$0.00

'

'

'

$0.00

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Stock Issued During Period, Shares, New Issues (in Shares)

2,990,000

'

2,500,000

3,450,000

'

'

'

'

'

'

'

'

'

1

'

'

18,749

1,007,921

'

1,875

'

'

'

'

'

1,629,539

12,813

22,499

1,206,273

1,750,469

3,846,154

'

0

0

'

'

'

1,206,273

1,750,469

'

'

'

'

'

'

Sale of Stock, Price Per Share (in Dollars per share)

$13.50

'

$3.17

$3.60

'

'

'

'

'

'

'

'

$1.82

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Proceeds from Issuance of Common Stock

$40,365,000

'

$7,925,000

$12,420,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

$7,000,000

'

'

'

'

'

'

'

'

'

'

'

'

'

Payments of Stock Issuance Costs

3,055,000

'

524,000

1,194,000

'

'

'

'

3,055,000

1,718,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Stock Issued During Period, Shares, Restricted Stock Award, Gross (in Shares)

'

316,779

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Share Price (in Dollars per share)

'

$3.72

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Stock Issued During Period, Value, Restricted Stock Award, Gross

'

1,181,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares)

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

1,000,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in Shares)

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

5,200,000

Stock Option Plan Statutory Percentage

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

85.00%

10.00%

20.00%

'

Stock Option Plan, Minimum Exercise Price as a Percentage of Fair Value

'

'

'

'

110.00%

'

'

'

110.00%

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Stock Option Term

'

'

'

'

'10 years

'

'

'

'10 years

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period

'

'

'

'

'

'

'

'

'5 years

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in Shares)

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

109,375

'

'

131,497

109,375

'

'

'

'

3,846,154

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per Item)

'

'

'

'

1.84

'

'

'

1.84

'

1.85

'

'

'

'

'

'

'

'

'

'

1.6

'

'

46.25

1.6

'

'

'

'

'

1.86

'

'

'

'

1.86

'

'

'

'

'

'

'

'

Stock Issued During Period, Value, New Issues

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

2,149,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Payment of Financing and Stock Issuance Costs

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

41,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Proceeds from Warrant Exercises

'

'

'

'

'

'

'

'

387,000

3,262,000

'

'

'

'

369,000

'

'

'

3,256,000

'

'

'

6,000

6,000

'

'

18,000

6,000

'

'

'

'

0

0

'

'

'

369,000

3,256,000

'

'

'

'

'

'

Class of Warrant or Right, Outstanding (in Shares)

'

'

'

'

964,000

'

'

'

964,000

'

2,183,000

'

'

1

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Fair Value Assumptions, Expected Volatility Rate

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

101.00%

'

'

'

'

'

'

'

'

Fair Value Assumptions, Expected Term

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'5 years

'

'

'

'

'

'

'

'

Fair Value Assumptions, Risk Free Interest Rate

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

1.76%

'

'

'

'

'

'

'

'

Warrants and Rights Outstanding

'

'

'

'

8,355,000

'

'

'

8,355,000

5,909,000

'

'

'

'

10,404,000

4,014,000

'

'

'

'

'

163,000

'

'

'

'

'

'

'

'

'

5,518,000

'

'

'

'

5,518,000

'

'

'

'

'

'

'

'

Increase (Decrease) in Derivative Liabilities

'

'

'

'

$382,000

$3,030,000

$2,295,000

$929,000

'

'

$5,707,000

$5,026,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

$0

$0

'

'

'

$6,813,000

$1,940,000

'

'

'

'

Warrant Term

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'5 years

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period (in Shares)

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

22,499

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Debt Conversion, Converted Instrument, Shares Issued (in Shares)

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

22,499

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Note_7_Stockholders_Equity_Det1

Note 7 - Stockholders' Equity (Details) - Total Stock-Based Compensation Expense Resulting from Stock Options (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation expense	$747	$353	$2,505	$1,242
General and Administrative Expense [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation expense	189	101	1,239	510
Research and Development Expense [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation expense	37	102	66	326
Selling and Marketing Expense [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation expense	$521	$150	$1,200	$406

Note_7_Stockholders_Equity_Det2

Note 7 - Stockholders' Equity (Details) - Estimated Fair Value Assumptions of the 2007 Warrants and the Cowen Warrant	9 Months Ended
	Sep. 30, 2013
Estimated Fair Value Assumptions of the 2007 Warrants and the Cowen Warrant [Abstract]	'
Volatility	75.00%
Expected life of Warrants (in years)	'2 years 9 months
Risk-free interest rate	0.56%
Dividend yield	0.00%

Note_7_Stockholders_Equity_Det3

Note 7 - Stockholders' Equity (Details) - Activity for the Warrants Outstanding (USD $)	9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013
Activity for the Warrants Outstanding [Abstract]	'
Outstanding, December 31, 2012	2,183
Outstanding, December 31, 2012 (in Dollars per Item)	1.85
Exercised	-1,219
Exercised (in Dollars per share)	$1.86
Outstanding, September 30, 2013	964
Outstanding, September 30, 2013 (in Dollars per Item)	1.84

Note_9_Net_Loss_Per_Share_Deta

Note 9 - Net Loss Per Share (Details) - Outstanding Common Stock Equivalents Not Included in the Calculation of Net Income or Loss Per Share	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Antidilutive securities	5,982	6,177	5,982	6,177
Employee Stock Option [Member]	'	'	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Antidilutive securities	5,018	3,995	5,018	3,995
Warrant [Member]	'	'	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Antidilutive securities	964	2,182	964	2,182

Note_10_Condensed_Consolidated2

Note 10 - Condensed Consolidated Statements of Cash Flows (Details) - Net Change in Non-Cash Working Capital Balances Related to Operations (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Net Change in Non-Cash Working Capital Balances Related to Operations [Abstract]	'	'
Accounts receivable, net	($2,512)	($413)
Inventory	903	-844
Prepaid expenses and other assets	-12	-11
Accounts payable	-162	245
Accrued liabilities	1,324	217
	($459)	($806)

Note_10_Condensed_Consolidated3

Note 10 - Condensed Consolidated Statements of Cash Flows (Details) - Significant Non-Cash Transactions (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Significant Non-Cash Transactions [Abstract]	'	'
Exercise of warrant accounted for in warrant liabilities	$10,404	$4,014

Note_11_Commitments_and_Contin1

Note 11 - Commitments and Contingencies (Details)	120 Months Ended
In Millions, unless otherwise specified	Aug. 11, 2021	Sep. 30, 2013	Sep. 30, 2013	Sep. 30, 2013	Sep. 30, 2013
		USD ($)	AUD	MiniFab [Member]	MiniFab [Member]
				USD ($)	AUD
Note 11 - Commitments and Contingencies (Details) [Line Items]	'	'	'	'	'
Purchase Commitment, Remaining Minimum Amount Committed (in Dollars)	'	$23.40	25.1	'	'
Purchase Commitment, Remaining Minimum Amount Committed	'	23.4	25.1	'	'
Long-term Purchase Commitment, Time Period	'ten	'	'	'	'
Loss Contingency, Estimate of Possible Loss (in Dollars)	'	'	'	1.5	1.7
Loss Contingency, Estimate of Possible Loss	'	'	'	$1.50	1.7