Document_and_Entity_Informatio
| Document and Entity Information | 9 Months Ended | |
| Sep. 30, 2013 | Nov. 07, 2013 | |
| Document and Entity Information [Abstract] | ' | ' |
| Entity Registrant Name | 'BIOSPECIFICS TECHNOLOGIES CORP | ' |
| Entity Central Index Key | '0000875622 | ' |
| Current Fiscal Year End Date | '--12-31 | ' |
| Entity Well-known Seasoned Issuer | 'No | ' |
| Entity Voluntary Filers | 'No | ' |
| Entity Current Reporting Status | 'Yes | ' |
| Entity Filer Category | 'Accelerated Filer | ' |
| Entity Common Stock, Shares Outstanding | ' | 6,337,968 |
| Document Fiscal Year Focus | '2013 | ' |
| Document Fiscal Period Focus | 'Q3 | ' |
| Document Type | '10-Q | ' |
| Amendment Flag | 'false | ' |
| Document Period End Date | 30-Sep-13 | ' |
Consolidated_Balance_Sheets_un
| Consolidated Balance Sheets (unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
| Current assets: | ' | ' |
| Cash and cash equivalents | $4,606,978 | $3,383,737 |
| Short-term investments | 6,726,964 | 5,120,000 |
| Accounts receivable, net | 5,044,682 | 5,082,360 |
| Income tax receivable | 51,070 | 51,070 |
| Deferred tax assets | 83,785 | 88,910 |
| Prepaid expenses and other current assets | 444,440 | 149,724 |
| Total current assets | 16,957,919 | 13,875,801 |
| Deferred royalty buy-down | 2,750,000 | 2,750,000 |
| Deferred tax assets - long term | 1,412,870 | 1,484,141 |
| Patent costs, net | 232,080 | 280,322 |
| Total assets | 21,352,869 | 18,390,264 |
| Current liabilities: | ' | ' |
| Accounts payable and accrued expenses | 538,870 | 512,866 |
| Deferred tax liability | 60,200 | 0 |
| Deferred revenue | 69,130 | 133,524 |
| Accrued liabilities of discontinued operations | 78,138 | 78,138 |
| Total current liabilities | 746,338 | 724,528 |
| Long-term deferred revenue | 155,543 | 207,390 |
| Stockholders' equity: | ' | ' |
| Series A Preferred stock, $.50 par value, 700,000 shares authorized; none outstanding | 0 | 0 |
| Common stock, $.001 par value; 10,000,000 shares authorized ; 6,635,168 and 6,625,168 shares issued at September 30, 2013 and December 31, 2012, respectively | 6,635 | 6,625 |
| Additional paid-in capital | 20,729,345 | 20,688,706 |
| Retained earnings (deficit) | 3,249,216 | -310,829 |
| Treasury stock, 297,200 and 260,632 shares at cost at September 30, 2013 and December 31, 2012, respectively | -3,534,208 | -2,926,156 |
| Total stockholders' equity | 20,450,988 | 17,458,346 |
| Total liabilities and stockholders' equity | $21,352,869 | $18,390,264 |
Consolidated_Balance_Sheets_un1
| Consolidated Balance Sheets (unaudited) (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
| Stockholders' equity: | ' | ' |
| Series A Preferred stock, par value (in dollars per share) | $0.50 | $0.50 |
| Series A Preferred stock, authorized (in shares) | 700,000 | 700,000 |
| Series A Preferred stock, outstanding (in shares) | 0 | 0 |
| Common stock, par value (in dollars per share) | $0.00 | $0.00 |
| Common stock, authorized (in shares) | 10,000,000 | 10,000,000 |
| Common stock, issued (in shares) | 6,635,168 | 6,625,168 |
| Treasury stock, shares (in shares) | 297,200 | 260,632 |
Consolidated_Statements_of_Ope
| Consolidated Statements of Operations (unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
| Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
| Revenues: | ' | ' | ' | ' |
| Net sales | $2,651 | $3,378 | $32,394 | $12,128 |
| Royalties | 3,087,491 | 2,307,073 | 9,717,994 | 6,698,355 |
| Licensing revenues | 54,981 | 137,774 | 644,742 | 926,324 |
| Total Revenues | 3,145,123 | 2,448,225 | 10,395,130 | 7,636,807 |
| Costs and expenses: | ' | ' | ' | ' |
| Research and development | 346,768 | 293,221 | 1,111,686 | 947,119 |
| General and administrative | 1,059,854 | 1,375,477 | 3,914,590 | 3,614,125 |
| Total Cost and Expenses | 1,406,622 | 1,668,698 | 5,026,276 | 4,561,244 |
| Operating income | 1,738,501 | 779,527 | 5,368,854 | 3,075,563 |
| Other income (expense): | ' | ' | ' | ' |
| Interest income | 7,134 | 8,292 | 19,510 | 27,556 |
| Income before expense for income tax | 1,745,635 | 787,819 | 5,388,364 | 3,103,119 |
| Income tax benefit (expense) | -566,860 | -316,772 | -1,828,319 | -1,223,000 |
| Net income | $1,178,775 | $471,047 | $3,560,045 | $1,880,119 |
| Basic net income per share (in dollars per share) | $0.19 | $0.07 | $0.56 | $0.30 |
| Diluted net income per share (in dollars per share) | $0.17 | $0.07 | $0.51 | $0.27 |
| Shares used in computation of basic net income per share (in shares) | 6,338,901 | 6,343,210 | 6,346,978 | 6,341,031 |
| Shares used in computation of diluted net income per share (in shares) | 6,924,363 | 6,961,652 | 69,164,485 | 6,985,290 |
Consolidated_Statements_of_Com
| Consolidated Statements of Comprehensive Income (unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
| Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
| Consolidated Statements of Comprehensive Income (unaudited) [Abstract] | ' | ' | ' | ' |
| Net income | $1,178,775 | $471,047 | $3,560,045 | $1,880,119 |
| Other comprehensive income (loss) | 0 | 0 | 0 | 0 |
| Comprehensive income | $1,178,775 | $471,047 | $3,560,045 | $1,880,119 |
Consolidated_Statements_of_Cas
| Consolidated Statements of Cash Flows (unaudited) (USD $) | 9 Months Ended | |
| Sep. 30, 2013 | Sep. 30, 2012 | |
| Cash flows from operating activities: | ' | ' |
| Net income | $3,560,045 | $1,880,119 |
| Adjustments to reconcile net income to net cash provided By operating activities: | ' | ' |
| Depreciation and amortization | 48,242 | 43,529 |
| Stock-based compensation expense | 106,621 | 202,085 |
| Deferred tax assets | 424 | 619,410 |
| Changes in operating assets and liabilities: | ' | ' |
| Accounts receivable | 37,678 | 31,523 |
| Prepaid expenses and other current assets | -294,715 | 110,655 |
| Accounts payable and accrued expenses | 86,204 | 15,607 |
| Deferred revenue | -116,242 | -327,824 |
| Net cash provided by operating activities | 3,428,257 | 2,575,104 |
| Cash flows from investing activities: | ' | ' |
| Maturity of marketable investments | 7,790,000 | 5,000,000 |
| Purchases of marketable investments | -9,396,964 | -5,190,000 |
| Payment for royalty buy down | 0 | -1,500,000 |
| Net cash used in investing activities | -1,606,964 | -1,690,000 |
| Cash flows from financing activities: | ' | ' |
| Proceeds from stock option exercises | 10,000 | 148,425 |
| Payments for repurchase of common stock | -608,052 | -674,501 |
| Excess tax benefits from share-based payment arrangements | 0 | 268,001 |
| Net cash used in financing activities | -598,052 | -258,075 |
| Increase in cash and cash equivalents | 1,223,241 | 627,029 |
| Cash and cash equivalents at beginning of year | 3,383,737 | 3,196,831 |
| Cash and cash equivalents at end of period | 4,606,978 | 3,823,860 |
| Cash paid during the year for: | ' | ' |
| Interest | 0 | 0 |
| Taxes | $1,778,500 | $162,000 |
Consolidated_Statements_of_Cas1
| Consolidated Statements of Cash Flows (unaudited) (Parenthetical) (USD $) | 9 Months Ended | |
| Sep. 30, 2013 | Sep. 30, 2012 | |
| Supplemental disclosures of non-cash transactions: | ' | ' |
| Patent costs accrued from Auxilium | $45,000 | $64,000 |
| Patent amortization expenses | 48,000 | 44,000 |
| Decrease in deferred tax assets and additional paid in capital | $75,000 | ' |
| Stock options cancelled (in shares) | 15,000 | ' |
ORGANIZATION_AND_DESCRIPTION_O
| ORGANIZATION AND DESCRIPTION OF BUSINESS | 9 Months Ended |
| Sep. 30, 2013 | |
| ORGANIZATION AND DESCRIPTION OF BUSINESS [Abstract] | ' |
| ORGANIZATION AND DESCRIPTION OF BUSINESS | ' |
| 1. ORGANIZATION AND DESCRIPTION OF BUSINESS | |
| We are a biopharmaceutical company involved in the development of an injectable collagenase for multiple indications. We have a development and license agreement with Auxilium Pharmaceuticals, Inc. ("Auxilium") for injectable collagenase (which Auxilium has named XIAFLEX® (collagenase clostridium histolyticum or "CCH")) for clinical indications in Dupuytren's contracture, Peyronie's disease, frozen shoulder (adhesive capsulitis) and cellulite (edematous fibrosclerotic panniculopathy) (the "Auxilium Agreement"). Auxilium has an option to acquire additional indications that we may pursue, including human and canine lipoma. XIAFLEX is currently marketed in the U.S. for the treatment of adult Dupuytren's contracture with a palpable cord in the palm by Auxilium and marketed in Europe and approved in Canada. Swedish Orphan Biovitrum AB ("Sobi") has marketing rights for XIAPEX® (the EU trade name for CCH) for the treatment of Dupuytren's contracture and Peyronie's disease in 71 Eurasian and African countries. In addition, Auxilium has an agreement with Asahi Kasei Pharma Corporation ("Asahi") pursuant to which Asahi has the right to commercialize XIAFLEX for the treatment of Dupuytren's contracture and Peyronie's disease in Japan. Auxilium also has an agreement with Actelion Pharmaceuticals Ltd. ("Actelion") pursuant to which Actelion has the right to commercialize XIAFLEX for the treatment of Dupuytren's contracture and Peyronie's disease in Canada, Australia, Brazil and Mexico. | |
| Pursuant to a March 2006 agreement (the "DFB Agreement") between the Company and DFB Biotech, Inc. ("DFB"), we had the right to receive earn-out payments based on the sales of Santyl. This right to receive payments on Santyl sales expired in August 2013. | |
| Operational Highlights | |
| On October 23, 2013, we announced that our partner Auxilium had dosed the first patient in its Phase 2a study of XIAFLEX for the treatment of cellulite (edematous fibrosclerotic panniculopathy). Topline results from the study are expected in the first quarter of 2015. As reported by Auxilium, the phase 2a study is a randomized, double-blind multiple-dose study expected to enroll approximately 144 women between the ages of 18 and 45 in the U.S. Patients will be evaluated for treatment efficacy by investigator and patient assessments, as well as 3-D photographic imaging techniques. The study will be conducted in two stages and safety will be evaluated through the collection of adverse events. If the safety and local tolerability profile from the first stage has been found to be acceptable, subjects will be enrolled in stage 2. There are currently no FDA approved pharmaceutical therapies indicated for cellulite. XIAFLEX treatment is intended to target and lyse, or break, those collagen tethers that cause the skin dimpling associated with cellulite with the goal of releasing the dimpling and potentially resulting in smoothing of the skin. | |
| On October 7, 2013, we announced that data from multiple trials evaluating the use of XIAFLEX in adult patients with Dupuytren's contracture with a palpable cord were presented by our partner Auxilium at the 68th Annual Meeting of the American Society for Surgery of the Hand ("ASSH") that took place in San Francisco, California, on October 3 – 5, 2013. Auxilium presented results at ASSH from Year 4 of the Collagenase Optimal Reduction of Dupuytren's - Long-term Evaluation of Success Study ("CORDLESS"). CORDLESS is a five-year observational study designed to assess the rates of recurrence following treatment with XIAFLEX, as well as long-term safety and progression of disease in patients from earlier Auxilium studies. These data indicated that 57.9 percent of patients previously successfully treated with XIAFLEX did not experience disease recurrence based on the study's definition of recurrence, which is a 20 degree change of contracture with a palpable cord, or the joint undergoing medical or surgical intervention. Of the 623 joints assessed, only 12.8 percent of those joints received medical or surgical intervention through Year 4 and of these patients, most were retreated with XIAFLEX. The data also reveal no new long-term adverse events. Of the 86 serious AEs reported through four years of follow-up, only one was considered related to XIAFLEX (decrease in ring finger circumference due to Dupuytren's contracture resolution). | |
| On August 28, 2013, Auxilium announced that the U.S. Food and Drug Administration ("FDA") had notified Auxilium that the FDA was extending the Prescription Drug User Fee Act ("PDUFA") goal date for Auxilium's supplemental biologics license application for XIAFLEX for the treatment of Peyronie's disease from September 6, 2013 to December 6, 2013. During the course of recent product label discussions, Auxilium submitted revisions regarding its proposed Risk Evaluation and Mitigation Strategy (REMS) program and other aspects related to the proposed label. The FDA determined that this submission qualified as a major amendment filed during the final three months of the review and extended the PDUFA goal date to December 6, 2013. The FDA has not requested that any additional clinical studies be performed prior to the revised PDUFA action date. | |
| On July 23, 2013 we presented a poster titled "Biomechanical Evaluation of Human Uterine Fibroids after Exposure to Purified Clostridial Collagenase" at the Society for the Study of Reproduction 46th Annual Meeting in Montreal, Quebec, Canada. The poster provided data which showed that highly purified collagenase can reduce the stiffness of human uterine fibroid tissue in laboratory experiments. Increased tissue rigidity has been implicated as a cause of the morbidity associated with uterine fibroids. The results of this ex vivo study show that treatment of fibroids with determined doses of purified collagenase caused a statistically significant decrease in the stiffness of the tissue. This hypothesis was tested in fibroid tissue obtained after hysterectomy or myomectomy surgery from patients. Tissues were injected with collagenase and compared to control-injected tissue. | |
| On July 16, 2013, Auxilium announced that it has entered into a long-term collaboration with Sobi for the development, supply and commercialization of XIAPEX for the treatment of Dupuytren's contracture. In addition, Auxilium stated that work is on-going to file for approval of XIAPEX for the treatment of Peyronie's disease in the EU. Under the terms of the collaboration agreement, Sobi will receive exclusive rights to commercialize XIAPEX for Dupuytren's contracture and Peyronie's disease, subject to applicable regulatory approvals, in 28 EU member countries, Switzerland, Norway, Iceland, 18 Central Eastern Europe/Commonwealth of Independent countries, including Russia and Turkey, and 22 Middle Eastern & North African countries. Since 2011, XIAPEX has been approved for the treatment of Dupuytren's contracture in 28 EU member countries, Switzerland, and Norway. Sobi, via its Partner Products business unit, will be primarily responsible for the applicable regulatory, clinical and commercialization activities for XIAPEX in Dupuytren's contracture and Peyronie's disease in these countries. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended | ||||||||||||||||
| Sep. 30, 2013 | |||||||||||||||||
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||||||
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||||||||||
| 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||||||||||||||||
| Basis of Presentation | |||||||||||||||||
| The accompanying consolidated financial statements are unaudited, but include all adjustments (consisting only of normal, recurring adjustments) which we consider necessary for a fair presentation of our financial position at such dates and the operating results and cash flows for those periods. Although we believe that the disclosures in our financial statements are adequate to make the information presented not misleading, certain information normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") has been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") for quarterly reporting. | |||||||||||||||||
| The information included in this Report should be read in conjunction with our Quarterly Reports on Form 10-Q for the quarters ended June 30, 2013 and March 31, 2013 and our Annual Report on Form 10-K for the year ended December 31, 2012 filed with the SEC. | |||||||||||||||||
| Principles of Consolidation | |||||||||||||||||
| The audited consolidated financial statements include the accounts of the Company and its subsidiary, Advance Biofactures Corp. ("ABC-NY"). | |||||||||||||||||
| Critical Accounting Policies, Estimates and Assumptions | |||||||||||||||||
| The preparation of consolidated financial statements in conformity with U.S. GAAP requires the use of management's estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. | |||||||||||||||||
| Cash, Cash Equivalents and Short-term Investments | |||||||||||||||||
| Cash, cash equivalents and short-term investments are stated at market value. Cash equivalents include only securities having a maturity of three months or less at the time of purchase. The Company limits its credit risk associated with cash, cash equivalents and short-term investments by placing its investments with banks it believes are highly creditworthy and with highly rated money market funds, U.S. government securities, or short-term commercial paper. | |||||||||||||||||
| Fair Value Measurements | |||||||||||||||||
| Management believes that the carrying amounts of the Company's financial instruments, including cash, cash equivalents, short-term investments, accounts receivable, accounts payable and accrued expenses approximate fair value due to the short-term nature of those instruments. | |||||||||||||||||
| Concentration of Credit Risk and Major Customers | |||||||||||||||||
| The Company maintains bank account balances, which, at times, may exceed insured limits. The Company has not experienced any losses with these accounts and believes that it is not exposed to any significant credit risk on cash. | |||||||||||||||||
| The Company maintains its investment in FDIC insured certificates of deposits with several banks. | |||||||||||||||||
| At September 30, 2013, the accounts receivable balance of $5.0 million was primarily from two customers, comprised of $3.5 million (70% of total) from DFB and $1.5 million (30% of total) from Auxilium. | |||||||||||||||||
| The Company has been dependent in each year on two customers who generate almost all its revenues. In the quarter ended September 30, 2013, the licensing and royalty revenues from Auxilium were $2.1 million (68% of total) and royalty revenues from DFB were $1.0 million (32% of total). | |||||||||||||||||
| Revenue Recognition | |||||||||||||||||
| We currently recognize revenues resulting from product sales, the licensing and sublicensing of the use of our technology and from services we sometimes perform in connection with the licensed technology under the guidance of Accounting Standards Codification 605, Revenue Recognition ("ASC 605"). | |||||||||||||||||
| If we determine that separate elements exist in a revenue arrangement under ASC 605, we recognize revenue for delivered elements only when the fair values of undelivered elements are known, when the associated earnings process is complete, when payment is reasonably assured and, to the extent the milestone amount relates to our performance obligation, when our customer confirms that we have met the requirements under the terms of the agreement. | |||||||||||||||||
| Revenues, and their respective treatment for financial reporting purposes, are as follows: | |||||||||||||||||
| Product Sales | |||||||||||||||||
| We recognize revenue from product sales when there is persuasive evidence that an arrangement exists, title passes, the price is fixed or determinable and collectability is reasonably assured. No right of return exists for our products except in the case of damaged goods. To date, we have not experienced any significant returns of our products. | |||||||||||||||||
| Net sales include the sales of the collagenase for laboratory use that are recognized at the time the product is shipped to customers for laboratory use. | |||||||||||||||||
| Royalty/Mark-Up on Cost of Goods Sold / Earn-Out Revenue | |||||||||||||||||
| For those arrangements for which royalty, mark-up on cost of goods sold or earn-out payment information becomes available and collectability is reasonably assured, we recognize revenue during the applicable period earned. For interim quarterly reporting purposes, when collectability is reasonably assured but a reasonable estimate of royalty, mark-up on cost of goods sold or earn-out payment revenues cannot be made, the royalty, mark-up on cost of goods sold or earn-out payment revenues are generally recognized in the quarter that the applicable licensee provides the written report and related information to us. | |||||||||||||||||
| Under the Auxilium Agreement, we do not participate in the selling, marketing or manufacturing of products for which we receive royalties and a mark-up of the cost of goods sold revenues. The royalty and mark-up on cost of goods sold revenues will generally be recognized in the quarter that Auxilium provides the written reports and related information to us, that is, royalty and mark-up on cost of goods sold revenues are generally recognized one quarter following the quarter in which the underlying sales by Auxilium occurred. The royalties payable by Auxilium to us are subject to set-off for certain patent costs. | |||||||||||||||||
| Under the DFB Agreement, pursuant to which we sold our topical collagenase business to DFB, we had the right to receive earn-out payments in the future based on sales of certain products. This right to receive payments on Santyl sales expired in August 2013. Generally, under the DFB Agreement we would receive payments and a report within ninety (90) days from the end of each calendar year after DFB has sold the royalty-bearing product. | |||||||||||||||||
| Licensing Revenue | |||||||||||||||||
| We include revenue recognized from upfront licensing, sublicensing and milestone payments in "License Revenues" in our consolidated statements of operations in this Report. | |||||||||||||||||
| Upfront License and Sublicensing Fees | |||||||||||||||||
| We generally recognize revenue from upfront licensing and sublicensing fees when the agreement is signed, we have completed the earnings process and we have no ongoing performance obligation with respect to the arrangement. Nonrefundable upfront technology license for product candidates for which we are providing continuing services related to product development are deferred and recognized as revenue over the development period. | |||||||||||||||||
| Milestones | |||||||||||||||||
| Milestones, in the form of additional license fees, typically represent nonrefundable payments to be received in conjunction with the achievement of a specific event identified in the contract, such as completion of specified development activities and/or regulatory submissions and/or approvals. We believe that a milestone represents the culmination of a distinct earnings process when it is not associated with ongoing research, development or other performance on our part. We recognize such milestones as revenue when they become due and collection is reasonably assured. When a milestone does not represent the culmination of a distinct earnings process, we recognize revenue in a manner similar to that of an upfront license fee. | |||||||||||||||||
| The timing and amount of revenue that we recognize from licenses of technology, either from upfront fees or milestones where we are providing continuing services related to product development, is primarily dependent upon our estimates of the development period. We define the development period as the point from which research activities commence up to regulatory approval of either our, or our partners' submission assuming no further research is necessary. As product candidates move through the development process, it is necessary to revise these estimates to consider changes to the product development cycle, such as changes in the clinical development plan, regulatory requirements, or various other factors, many of which may be outside of our control. Should the FDA or other regulatory agencies require additional data or information, we would adjust our development period estimates accordingly. The impact on revenue of changes in our estimates and the timing thereof is recognized prospectively over the remaining estimated product development period. | |||||||||||||||||
| Treasury Stock | |||||||||||||||||
| The Company accounts for treasury stock under the cost method and includes treasury stock as a component of stockholders' equity. | |||||||||||||||||
| Receivables, Deferred Revenue and Allowance for Doubtful Accounts | |||||||||||||||||
| Trade accounts receivable are stated at the amount the Company expects to collect. We maintain allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. We consider the following factors when determining the collectability of specific customer accounts: customer credit-worthiness, past transaction history with the customer, current economic industry trends, and changes in customer payment terms. Our accounts receivable balance is typically due from our two large pharmaceutical customers. These companies have historically paid timely and have been financially stable organizations. Due to the nature of the accounts receivable balance, we believe the risk of doubtful accounts is minimal. If the financial condition of our customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. We provide for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances that remain outstanding after we have used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. | |||||||||||||||||
| At September 30, 2013, the accounts receivable balance of $5.0 million was primarily from two customers, comprised of $3.5 million from DFB and $1.5 million from Auxilium. | |||||||||||||||||
| Deferred revenue of $0.2 million consists of licensing fees related to the cash payments received under the Auxilium Agreement in prior years and amortized over the expected development period of certain indications for XIAFLEX. | |||||||||||||||||
| We recorded no material bad debt expense in each of the last three years. The allowance for doubtful accounts balance was approximately $30,000 at September 30, 2013 and 2012. | |||||||||||||||||
| Reimbursable Third Party Development Costs | |||||||||||||||||
| We accrue patent expenses for research and development that are reimbursable by us under the Auxilium Agreement. We capitalize certain patent costs related to estimated third party development costs that are reimbursable under the Auxilium Agreement. As of September 30, 2013 our net reimbursable third party patent costs accrual was approximately $45,000. | |||||||||||||||||
| Royalty Buy-Down | |||||||||||||||||
| On March 31, 2012, we entered into an amendment to our existing agreement with Dr. Martin K. Gelbard, dated August 27, 2008, related to our future royalty obligations for Peyronie's disease. The amendment enables us to buy down a portion of our future royalty obligations in exchange for an initial cash payment of $1.5 million and five additional cash payments payable upon the occurrence of a milestone event. | |||||||||||||||||
| As of September 30, 2013, we have capitalized $2.75 million related to this agreement which will be amortized over approximately five years beginning on the date of the first commercial sale of XIAFLEX for the treatment of Peyronie's disease, which represents the period estimated to be benefited using the straight-line method. In accordance with Accounting Standards Codification 350, Intangibles, Goodwill and Other, the Company amortizes intangible assets with finite lives in a manner that reflects the pattern in which the economic benefits of the assets are consumed or otherwise used up. If that pattern cannot be reliably determined, the assets are amortized using the straight-line method. | |||||||||||||||||
| Research and Development Expenses | |||||||||||||||||
| Research and development ("R&D") expenses include, but are not limited to, internal costs, such as salaries and benefits, costs of materials, lab expense, facility costs and overhead. R&D expenses also consist of third party costs, such as medical professional fees, product costs used in clinical trials, consulting fees and costs associated with clinical study arrangements. We may fund R&D at medical research institutions under agreements that are generally cancelable. All of these costs are charged to R&D as incurred, which may be measured by percentage of completion, contract milestones, patient enrollment, or the passage of time. | |||||||||||||||||
| Clinical Trial Expenses | |||||||||||||||||
| Our cost accruals for clinical trials are based on estimates of the services received and efforts expended pursuant to contracts with various clinical trial centers and clinical research organizations. In the normal course of business we contract with third parties to perform various clinical trial activities in the ongoing development of potential drugs. The financial terms of these agreements are subject to negotiation and vary from contract to contract and may result in uneven payment flows. Payments under the contracts depend on factors such as the achievement of certain events, the successful enrollment of patients, the completion of portions of the clinical trial, or similar conditions. The objective of our accrual policy is to match the recording of expenses in our financial statements to the actual cost of services received and efforts expended. As such, expenses related to each patient enrolled in a clinical trial are recognized ratably beginning upon entry into the trial and over the course of the patient's continued participation in the trial. In the event of early termination of a clinical trial, we accrue an amount based on our estimate of the remaining non-cancelable obligations associated with the winding down of the clinical trial. Our estimates and assumptions could differ significantly from the amounts that may actually be incurred. | |||||||||||||||||
| Stock-Based Compensation | |||||||||||||||||
| The Company has two stock-based compensation plans in effect. Accounting Standards Codification 718, Compensation - Stock Compensation ("ASC 718"), requires the recognition of compensation expense, using a fair-value based method, for costs related to all share-based awards including stock options and common stock issued to our employees and directors under our stock plans. It requires companies to estimate the fair value of share-based awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as expense on a straight-line basis over the requisite service periods in our consolidated statements of operations. | |||||||||||||||||
| Under the ASC 718, we estimate the fair value of our employee stock awards at the date of grant using the Black-Scholes option-pricing model, which requires the use of certain subjective assumptions. The most significant of these assumptions are our estimates of the expected volatility of the market price of our stock and the expected term of an award. When establishing an estimate of the expected term of an award, we consider the vesting period for the award, our recent historical experience of employee stock option exercises (including forfeitures) and the expected volatility. When there is uncertainty in the factors used to determine the expected term of an award, we use the simplified method. As required under the accounting rules, we review our valuation assumptions at each grant date and, as a result, our valuation assumptions used to value employee stock-based awards granted in future periods may change. We granted to one of the members of our Board of Directors 15,000 stock options, valued at approximately $78,000, during the three month period ended September 30, 2013. We used the Black-Scholes valuation model to estimate the value of options using 33% volatility, a risk free rate of 1.73% and average exercise period of five years. | |||||||||||||||||
| Further, ASC 718 requires that employee stock-based compensation costs be recognized over the requisite service period, or the vesting period, in a manner similar to all other forms of compensation paid to employees. The allocation of employee stock-based compensation costs to each operating expense line are estimated based on specific employee headcount information at each grant date and estimated stock option forfeiture rates and revised, if necessary, in future periods if actual employee headcount information or forfeitures differ materially from those estimates. As a result, the amount of employee stock-based compensation costs we recognize in each operating expense category in future periods may differ significantly from what we have recorded in the current period. | |||||||||||||||||
| Stock-based compensation expense recognized under ASC 718 was as follows: | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| September 30, | September 30, | ||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | ||||||||||||||
| Research and development | $ | - | $ | 13,200 | $ | 92,249 | $ | 158,017 | |||||||||
| General and administrative | 1,172 | 13,200 | 14,372 | 44,068 | |||||||||||||
| Total stock-based compensation expense | $ | 1,172 | $ | 26,400 | $ | 106,622 | $ | 202,085 | |||||||||
| Stock Option Activity | |||||||||||||||||
| A summary of our stock option activity during the nine months ended September 30, 2013 is presented below: | |||||||||||||||||
| Total Number | Weighted-Average | ||||||||||||||||
| Options | of Shares | Exercise Price | |||||||||||||||
| Outstanding as of December 31, 2012 | 1,182,000 | $ | 8.9 | ||||||||||||||
| Granted | 30,000 | 16.88 | |||||||||||||||
| Forfeited | (15,000 | ) | 30.79 | ||||||||||||||
| Exercised | (10,000 | ) | 1 | ||||||||||||||
| Expired | - | - | |||||||||||||||
| Outstanding as of September 30, 2013 | 1,187,000 | $ | 8.89 | ||||||||||||||
| Exercisable as of September 30, 2013 | 1,152,000 | $ | 8.42 | ||||||||||||||
| During the nine months ended September 30, 2013 and 2012, $10,000 and $148,425, respectively, were received from stock options exercised by option holders. | |||||||||||||||||
| The aggregate intrinsic value of options outstanding and exercisable as of September 30, 2013 was approximately $8.2 million. Aggregate intrinsic value represents the total pre-tax intrinsic value based on the closing price of our common stock of $19.47 on September 30, 2013, which would have been received by the option holders had all option holders exercised their options as of that date. We have approximately $77,000 in unrecognized compensation cost related to stock options outstanding as of September 30, 2013. | |||||||||||||||||
| Property, Plant and Equipment | |||||||||||||||||
| Property, plant and equipment are stated at cost, less accumulated depreciation. Machinery and equipment, furniture and fixtures, and autos are depreciated on the straight-line basis over their estimated useful lives of 5 to 10 years. Leasehold improvements are amortized over the lesser of their estimated useful lives or the remaining life of the lease. | |||||||||||||||||
| Provision for Income Taxes | |||||||||||||||||
| Deferred tax assets and liabilities are recognized based on the expected future tax consequences, using current tax rates, of temporary differences between the financial statement carrying amounts and the income tax basis of assets and liabilities. A valuation allowance is applied against any net deferred tax asset if, based on the weighted available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. | |||||||||||||||||
| We use the asset and liability method of accounting for income taxes, as set forth in Accounting Standards Codification 740-10-25-2. Under this method, deferred income taxes, when required, are provided on the basis of the difference between the financial reporting and income tax basis of assets and liabilities at the statutory rates enacted for future periods. In accordance with Accounting Standards Codification 740-10-45-25, Income Statement Classification of Interest and Penalties, we classify interest associated with income taxes under interest expense and tax penalties under other. | |||||||||||||||||
NET_INCOME_LOSS_PER_SHARE
| NET INCOME (LOSS) PER SHARE | 9 Months Ended | ||||||||||||||||
| Sep. 30, 2013 | |||||||||||||||||
| NET INCOME (LOSS) PER SHARE [Abstract] | ' | ||||||||||||||||
| NET INCOME (LOSS) PER SHARE | ' | ||||||||||||||||
| 3. NET INCOME (LOSS) PER SHARE | |||||||||||||||||
| In accordance with Accounting Standards Codification 260, Earnings Per Share, basic net income (loss) per share amount is computed using the weighted-average number of shares of common stock outstanding during the periods presented, while diluted net income (loss) per share is computed using the sum of the weighted-average number of common and common equivalent shares outstanding. Common equivalent shares used in the computation of diluted earnings per share result from the assumed exercise of stock options using the converted method. | |||||||||||||||||
| The following table summarizes the number of common equivalent shares that were included for the calculation of diluted net income purposes from continuing operations reported in the consolidated statement of operations. | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| September 30, | September 30, | ||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | ||||||||||||||
| Stock options | 585,462 | 618,442 | 569,507 | 644,259 | |||||||||||||
COMPREHENSIVE_INCOME_LOSS
| COMPREHENSIVE INCOME (LOSS) | 9 Months Ended |
| Sep. 30, 2013 | |
| COMPREHENSIVE INCOME (LOSS) [Abstract] | ' |
| COMPREHENSIVE INCOME (LOSS) | ' |
| 4. COMPREHENSIVE INCOME (LOSS) | |
| For the three and nine months ended September 30, 2013 and 2012, we had no components of other comprehensive income or loss other than net income itself. |
ACCOUNTS_PAYABLE_AND_ACCRUED_E
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES | 9 Months Ended | ||||||||
| Sep. 30, 2013 | |||||||||
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES [Abstract] | ' | ||||||||
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES | ' | ||||||||
| 5. ACCOUNTS PAYABLE AND ACCRUED EXPENSES | |||||||||
| Accounts payable and accrued expenses consisted of the following: | |||||||||
| September 30, | December 31, | ||||||||
| 2013 | 2012 | ||||||||
| Trade accounts payable and accrued expenses | $ | 300,683 | $ | $304,635 | |||||
| Accrued legal and other professional fees | 74,904 | 61,147 | |||||||
| Accrued payroll and related costs | 163,283 | 147,084 | |||||||
| Total | $ | 538,870 | $ | 512,866 | |||||
PATENT_COSTS
| PATENT COSTS | 9 Months Ended | ||||||||
| Sep. 30, 2013 | |||||||||
| PATENT COSTS [Abstract] | ' | ||||||||
| PATENT COSTS | ' | ||||||||
| 6. PATENT COSTS | |||||||||
| We amortize intangible assets with definite lives on a straight-line basis over their estimated useful lives, ranging from 2 to 14 years, and review for impairment on a quarterly basis and when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. | |||||||||
| As of September 30, 2013, the Company's capitalized costs related to certain patent costs paid by Auxilium on behalf of the Company, which are reimbursable to Auxilium under the Auxilium Agreement. These patent costs are creditable against future royalty revenues. For each period presented below net patent costs consisted of: | |||||||||
| September 30, | December 31, | ||||||||
| 2013 | 2012 | ||||||||
| Patents | $ | 472,375 | $ | 472,375 | |||||
| Accumulated Amortization | (240,295 | ) | (192,053 | ) | |||||
| $ | 232,080 | $ | 280,322 | ||||||
| The amortization expense for patents for the nine months ended September 30, 2013 was approximately $48,000. In the comparable period of 2012, the amortization expense for patents was approximately $44,000. The estimated aggregate amortization expense for each of the next five years is approximately as follows: | |||||||||
| 2014 | $ | 53,000 | |||||||
| 2015 | 25,000 | ||||||||
| 2016 | 20,000 | ||||||||
| 2017 | 20,000 | ||||||||
| 2018 | 20,000 | ||||||||
PROVISION_FOR_INCOME_TAXES
| PROVISION FOR INCOME TAXES | 9 Months Ended |
| Sep. 30, 2013 | |
| PROVISION FOR INCOME TAXES [Abstract] | ' |
| PROVISION FOR INCOME TAXES | ' |
| 7. PROVISION FOR INCOME TAXES | |
| In determining our provision for income taxes, we consider all available information, including operating results, ongoing tax planning, and forecasts of future taxable income. The significant components of the Company's deferred tax assets pursuant to Accounting Standards Codification 740-10-50 consist of stock-based compensation and deferred revenues. For the nine month period ended September 30, 2013, the provision for income taxes was $1.8 million. For the nine month period ended September 30, 2013, the valuation allowance with respect to the Company's net deferred tax assets remained unchanged. As of September 30, 2013, our remaining deferred tax assets were approximately $1.5 million. | |
| For the nine month period ended September 30, 2012 net income tax expense was $1.2 million, primarily a non-cash charge. For the nine month period ended September 30, 2012, the valuation allowance with respect to the company's net deferred tax assets remained unchanged. Our remaining deferred tax assets decreased by $0.6 million to approximately $2.4 million, primarily because we used our Orphan Drug Tax Credit to reduce our taxes payable, during nine months ended September 30, 2012. |
RELATED_PARTY_TRANSACTIONS
| RELATED PARTY TRANSACTIONS | 9 Months Ended |
| Sep. 30, 2013 | |
| RELATED PARTY TRANSACTIONS [Abstract] | ' |
| RELATED PARTY TRANSACTIONS | ' |
| 8. RELATED PARTY TRANSACTIONS | |
| Our corporate headquarters are currently located at 35 Wilbur St., Lynbrook, NY 11563. As previously reported, our previous lease for our headquarters terminated on June 30, 2010. Our subsidiary, ABC-NY (together with the Company, the "Tenant") and Wilbur St. Corp. (the "Landlord") were parties to a lease agreement initially dated as of January 30, 1998 and modified as of June 24, 2009 (the "Lease Agreement"), pursuant to which the Landlord leased to the Tenant the premises located at 35 Wilbur Street, Lynbrook, NY 11563 (the "Premises") until June 30, 2010 and for a monthly rental price of $11,250 plus utilities and real estate taxes. Following the expiration of the Lease Agreement, the Tenant continued to lease the Premises from the Landlord on a month-to-month basis. We notified the Landlord of our termination of the Lease Agreement effective March 31, 2011, but have continued to hold over in the Premises. |
SUBSEQUENT_EVENTS
| SUBSEQUENT EVENTS | 9 Months Ended |
| Sep. 30, 2013 | |
| SUBSEQUENT EVENTS [Abstract] | ' |
| SUBSEQUENT EVENTS | ' |
| 9. SUBSEQUENT EVENTS | |
| We have evaluated subsequent events for recognition or disclosure through the time of filing these consolidated financial statements on Form 10-Q with the SEC on November 12, 2013. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended | ||||||||||||||||
| Sep. 30, 2013 | |||||||||||||||||
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||||||
| Basis of Presentation | ' | ||||||||||||||||
| Basis of Presentation | |||||||||||||||||
| The accompanying consolidated financial statements are unaudited, but include all adjustments (consisting only of normal, recurring adjustments) which we consider necessary for a fair presentation of our financial position at such dates and the operating results and cash flows for those periods. Although we believe that the disclosures in our financial statements are adequate to make the information presented not misleading, certain information normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") has been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") for quarterly reporting. | |||||||||||||||||
| The information included in this Report should be read in conjunction with our Quarterly Reports on Form 10-Q for the quarters ended June 30, 2013 and March 31, 2013 and our Annual Report on Form 10-K for the year ended December 31, 2012 filed with the SEC. | |||||||||||||||||
| Principles of Consolidation | ' | ||||||||||||||||
| Principles of Consolidation | |||||||||||||||||
| The audited consolidated financial statements include the accounts of the Company and its subsidiary, Advance Biofactures Corp. ("ABC-NY"). | |||||||||||||||||
| Critical Accounting Policies, Estimates and Assumptions | ' | ||||||||||||||||
| Critical Accounting Policies, Estimates and Assumptions | |||||||||||||||||
| The preparation of consolidated financial statements in conformity with U.S. GAAP requires the use of management's estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. | |||||||||||||||||
| Cash, Cash Equivalents and Short-term Investments | ' | ||||||||||||||||
| Cash, Cash Equivalents and Short-term Investments | |||||||||||||||||
| Cash, cash equivalents and short-term investments are stated at market value. Cash equivalents include only securities having a maturity of three months or less at the time of purchase. The Company limits its credit risk associated with cash, cash equivalents and short-term investments by placing its investments with banks it believes are highly creditworthy and with highly rated money market funds, U.S. government securities, or short-term commercial paper. | |||||||||||||||||
| Fair Value Measurements | ' | ||||||||||||||||
| Fair Value Measurements | |||||||||||||||||
| Management believes that the carrying amounts of the Company's financial instruments, including cash, cash equivalents, short-term investments, accounts receivable, accounts payable and accrued expenses approximate fair value due to the short-term nature of those instruments. | |||||||||||||||||
| Concentration of Credit Risk and Major Customers | ' | ||||||||||||||||
| Concentration of Credit Risk and Major Customers | |||||||||||||||||
| The Company maintains bank account balances, which, at times, may exceed insured limits. The Company has not experienced any losses with these accounts and believes that it is not exposed to any significant credit risk on cash. | |||||||||||||||||
| The Company maintains its investment in FDIC insured certificates of deposits with several banks. | |||||||||||||||||
| At September 30, 2013, the accounts receivable balance of $5.0 million was primarily from two customers, comprised of $3.5 million (70% of total) from DFB and $1.5 million (30% of total) from Auxilium. | |||||||||||||||||
| The Company has been dependent in each year on two customers who generate almost all its revenues. In the quarter ended September 30, 2013, the licensing and royalty revenues from Auxilium were $2.1 million (68% of total) and royalty revenues from DFB were $1.0 million (32% of total). | |||||||||||||||||
| Revenue Recognition | ' | ||||||||||||||||
| Revenue Recognition | |||||||||||||||||
| We currently recognize revenues resulting from product sales, the licensing and sublicensing of the use of our technology and from services we sometimes perform in connection with the licensed technology under the guidance of Accounting Standards Codification 605, Revenue Recognition ("ASC 605"). | |||||||||||||||||
| If we determine that separate elements exist in a revenue arrangement under ASC 605, we recognize revenue for delivered elements only when the fair values of undelivered elements are known, when the associated earnings process is complete, when payment is reasonably assured and, to the extent the milestone amount relates to our performance obligation, when our customer confirms that we have met the requirements under the terms of the agreement. | |||||||||||||||||
| Revenues, and their respective treatment for financial reporting purposes, are as follows: | |||||||||||||||||
| Product Sales | |||||||||||||||||
| We recognize revenue from product sales when there is persuasive evidence that an arrangement exists, title passes, the price is fixed or determinable and collectability is reasonably assured. No right of return exists for our products except in the case of damaged goods. To date, we have not experienced any significant returns of our products. | |||||||||||||||||
| Net sales include the sales of the collagenase for laboratory use that are recognized at the time the product is shipped to customers for laboratory use. | |||||||||||||||||
| Royalty/Mark-Up on Cost of Goods Sold / Earn-Out Revenue | |||||||||||||||||
| For those arrangements for which royalty, mark-up on cost of goods sold or earn-out payment information becomes available and collectability is reasonably assured, we recognize revenue during the applicable period earned. For interim quarterly reporting purposes, when collectability is reasonably assured but a reasonable estimate of royalty, mark-up on cost of goods sold or earn-out payment revenues cannot be made, the royalty, mark-up on cost of goods sold or earn-out payment revenues are generally recognized in the quarter that the applicable licensee provides the written report and related information to us. | |||||||||||||||||
| Under the Auxilium Agreement, we do not participate in the selling, marketing or manufacturing of products for which we receive royalties and a mark-up of the cost of goods sold revenues. The royalty and mark-up on cost of goods sold revenues will generally be recognized in the quarter that Auxilium provides the written reports and related information to us, that is, royalty and mark-up on cost of goods sold revenues are generally recognized one quarter following the quarter in which the underlying sales by Auxilium occurred. The royalties payable by Auxilium to us are subject to set-off for certain patent costs. | |||||||||||||||||
| Under the DFB Agreement, pursuant to which we sold our topical collagenase business to DFB, we had the right to receive earn-out payments in the future based on sales of certain products. This right to receive payments on Santyl sales expired in August 2013. Generally, under the DFB Agreement we would receive payments and a report within ninety (90) days from the end of each calendar year after DFB has sold the royalty-bearing product. | |||||||||||||||||
| Licensing Revenue | |||||||||||||||||
| We include revenue recognized from upfront licensing, sublicensing and milestone payments in "License Revenues" in our consolidated statements of operations in this Report. | |||||||||||||||||
| Upfront License and Sublicensing Fees | |||||||||||||||||
| We generally recognize revenue from upfront licensing and sublicensing fees when the agreement is signed, we have completed the earnings process and we have no ongoing performance obligation with respect to the arrangement. Nonrefundable upfront technology license for product candidates for which we are providing continuing services related to product development are deferred and recognized as revenue over the development period. | |||||||||||||||||
| Milestones | |||||||||||||||||
| Milestones, in the form of additional license fees, typically represent nonrefundable payments to be received in conjunction with the achievement of a specific event identified in the contract, such as completion of specified development activities and/or regulatory submissions and/or approvals. We believe that a milestone represents the culmination of a distinct earnings process when it is not associated with ongoing research, development or other performance on our part. We recognize such milestones as revenue when they become due and collection is reasonably assured. When a milestone does not represent the culmination of a distinct earnings process, we recognize revenue in a manner similar to that of an upfront license fee. | |||||||||||||||||
| The timing and amount of revenue that we recognize from licenses of technology, either from upfront fees or milestones where we are providing continuing services related to product development, is primarily dependent upon our estimates of the development period. We define the development period as the point from which research activities commence up to regulatory approval of either our, or our partners' submission assuming no further research is necessary. As product candidates move through the development process, it is necessary to revise these estimates to consider changes to the product development cycle, such as changes in the clinical development plan, regulatory requirements, or various other factors, many of which may be outside of our control. Should the FDA or other regulatory agencies require additional data or information, we would adjust our development period estimates accordingly. The impact on revenue of changes in our estimates and the timing thereof is recognized prospectively over the remaining estimated product development period. | |||||||||||||||||
| Treasury Stock | ' | ||||||||||||||||
| Treasury Stock | |||||||||||||||||
| The Company accounts for treasury stock under the cost method and includes treasury stock as a component of stockholders' equity. | |||||||||||||||||
| Receivables, Deferred Revenue and Allowance for Doubtful Accounts | ' | ||||||||||||||||
| Receivables, Deferred Revenue and Allowance for Doubtful Accounts | |||||||||||||||||
| Trade accounts receivable are stated at the amount the Company expects to collect. We maintain allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. We consider the following factors when determining the collectability of specific customer accounts: customer credit-worthiness, past transaction history with the customer, current economic industry trends, and changes in customer payment terms. Our accounts receivable balance is typically due from our two large pharmaceutical customers. These companies have historically paid timely and have been financially stable organizations. Due to the nature of the accounts receivable balance, we believe the risk of doubtful accounts is minimal. If the financial condition of our customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. We provide for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances that remain outstanding after we have used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. | |||||||||||||||||
| At September 30, 2013, the accounts receivable balance of $5.0 million was primarily from two customers, comprised of $3.5 million from DFB and $1.5 million from Auxilium. | |||||||||||||||||
| Deferred revenue of $0.2 million consists of licensing fees related to the cash payments received under the Auxilium Agreement in prior years and amortized over the expected development period of certain indications for XIAFLEX. | |||||||||||||||||
| We recorded no material bad debt expense in each of the last three years. The allowance for doubtful accounts balance was approximately $30,000 at September 30, 2013 and 2012. | |||||||||||||||||
| Reimbursable Third Party Development Costs | ' | ||||||||||||||||
| Reimbursable Third Party Development Costs | |||||||||||||||||
| We accrue patent expenses for research and development that are reimbursable by us under the Auxilium Agreement. We capitalize certain patent costs related to estimated third party development costs that are reimbursable under the Auxilium Agreement. As of September 30, 2013 our net reimbursable third party patent costs accrual was approximately $45,000. | |||||||||||||||||
| Royalty Buy-Down | ' | ||||||||||||||||
| Royalty Buy-Down | |||||||||||||||||
| On March 31, 2012, we entered into an amendment to our existing agreement with Dr. Martin K. Gelbard, dated August 27, 2008, related to our future royalty obligations for Peyronie's disease. The amendment enables us to buy down a portion of our future royalty obligations in exchange for an initial cash payment of $1.5 million and five additional cash payments payable upon the occurrence of a milestone event. | |||||||||||||||||
| As of September 30, 2013, we have capitalized $2.75 million related to this agreement which will be amortized over approximately five years beginning on the date of the first commercial sale of XIAFLEX for the treatment of Peyronie's disease, which represents the period estimated to be benefited using the straight-line method. In accordance with Accounting Standards Codification 350, Intangibles, Goodwill and Other, the Company amortizes intangible assets with finite lives in a manner that reflects the pattern in which the economic benefits of the assets are consumed or otherwise used up. If that pattern cannot be reliably determined, the assets are amortized using the straight-line method. | |||||||||||||||||
| Research and Development Expenses | ' | ||||||||||||||||
| Research and Development Expenses | |||||||||||||||||
| Research and development ("R&D") expenses include, but are not limited to, internal costs, such as salaries and benefits, costs of materials, lab expense, facility costs and overhead. R&D expenses also consist of third party costs, such as medical professional fees, product costs used in clinical trials, consulting fees and costs associated with clinical study arrangements. We may fund R&D at medical research institutions under agreements that are generally cancelable. All of these costs are charged to R&D as incurred, which may be measured by percentage of completion, contract milestones, patient enrollment, or the passage of time. | |||||||||||||||||
| Clinical Trial Expenses | ' | ||||||||||||||||
| Clinical Trial Expenses | |||||||||||||||||
| Our cost accruals for clinical trials are based on estimates of the services received and efforts expended pursuant to contracts with various clinical trial centers and clinical research organizations. In the normal course of business we contract with third parties to perform various clinical trial activities in the ongoing development of potential drugs. The financial terms of these agreements are subject to negotiation and vary from contract to contract and may result in uneven payment flows. Payments under the contracts depend on factors such as the achievement of certain events, the successful enrollment of patients, the completion of portions of the clinical trial, or similar conditions. The objective of our accrual policy is to match the recording of expenses in our financial statements to the actual cost of services received and efforts expended. As such, expenses related to each patient enrolled in a clinical trial are recognized ratably beginning upon entry into the trial and over the course of the patient's continued participation in the trial. In the event of early termination of a clinical trial, we accrue an amount based on our estimate of the remaining non-cancelable obligations associated with the winding down of the clinical trial. Our estimates and assumptions could differ significantly from the amounts that may actually be incurred. | |||||||||||||||||
| Stock-Based Compensation | ' | ||||||||||||||||
| Stock-Based Compensation | |||||||||||||||||
| The Company has two stock-based compensation plans in effect. Accounting Standards Codification 718, Compensation - Stock Compensation ("ASC 718"), requires the recognition of compensation expense, using a fair-value based method, for costs related to all share-based awards including stock options and common stock issued to our employees and directors under our stock plans. It requires companies to estimate the fair value of share-based awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as expense on a straight-line basis over the requisite service periods in our consolidated statements of operations. | |||||||||||||||||
| Under the ASC 718, we estimate the fair value of our employee stock awards at the date of grant using the Black-Scholes option-pricing model, which requires the use of certain subjective assumptions. The most significant of these assumptions are our estimates of the expected volatility of the market price of our stock and the expected term of an award. When establishing an estimate of the expected term of an award, we consider the vesting period for the award, our recent historical experience of employee stock option exercises (including forfeitures) and the expected volatility. When there is uncertainty in the factors used to determine the expected term of an award, we use the simplified method. As required under the accounting rules, we review our valuation assumptions at each grant date and, as a result, our valuation assumptions used to value employee stock-based awards granted in future periods may change. We granted to one of the members of our Board of Directors 15,000 stock options, valued at approximately $78,000, during the three month period ended September 30, 2013. We used the Black-Scholes valuation model to estimate the value of options using 33% volatility, a risk free rate of 1.73% and average exercise period of five years. | |||||||||||||||||
| Further, ASC 718 requires that employee stock-based compensation costs be recognized over the requisite service period, or the vesting period, in a manner similar to all other forms of compensation paid to employees. The allocation of employee stock-based compensation costs to each operating expense line are estimated based on specific employee headcount information at each grant date and estimated stock option forfeiture rates and revised, if necessary, in future periods if actual employee headcount information or forfeitures differ materially from those estimates. As a result, the amount of employee stock-based compensation costs we recognize in each operating expense category in future periods may differ significantly from what we have recorded in the current period. | |||||||||||||||||
| Stock-based compensation expense recognized under ASC 718 was as follows: | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| September 30, | September 30, | ||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | ||||||||||||||
| Research and development | $ | - | $ | 13,200 | $ | 92,249 | $ | 158,017 | |||||||||
| General and administrative | 1,172 | 13,200 | 14,372 | 44,068 | |||||||||||||
| Total stock-based compensation expense | $ | 1,172 | $ | 26,400 | $ | 106,622 | $ | 202,085 | |||||||||
| Stock Option Activity | |||||||||||||||||
| A summary of our stock option activity during the nine months ended September 30, 2013 is presented below: | |||||||||||||||||
| Total Number | Weighted-Average | ||||||||||||||||
| Options | of Shares | Exercise Price | |||||||||||||||
| Outstanding as of December 31, 2012 | 1,182,000 | $ | 8.9 | ||||||||||||||
| Granted | 30,000 | 16.88 | |||||||||||||||
| Forfeited | (15,000 | ) | 30.79 | ||||||||||||||
| Exercised | (10,000 | ) | 1 | ||||||||||||||
| Expired | - | - | |||||||||||||||
| Outstanding as of September 30, 2013 | 1,187,000 | $ | 8.89 | ||||||||||||||
| Exercisable as of September 30, 2013 | 1,152,000 | $ | 8.42 | ||||||||||||||
| During the nine months ended September 30, 2013 and 2012, $10,000 and $148,425, respectively, were received from stock options exercised by option holders. | |||||||||||||||||
| The aggregate intrinsic value of options outstanding and exercisable as of September 30, 2013 was approximately $8.2 million. Aggregate intrinsic value represents the total pre-tax intrinsic value based on the closing price of our common stock of $19.47 on September 30, 2013, which would have been received by the option holders had all option holders exercised their options as of that date. We have approximately $77,000 in unrecognized compensation cost related to stock options outstanding as of September 30, 2013. | |||||||||||||||||
| Property, Plant and Equipment | ' | ||||||||||||||||
| Property, Plant and Equipment | |||||||||||||||||
| Property, plant and equipment are stated at cost, less accumulated depreciation. Machinery and equipment, furniture and fixtures, and autos are depreciated on the straight-line basis over their estimated useful lives of 5 to 10 years. Leasehold improvements are amortized over the lesser of their estimated useful lives or the remaining life of the lease. | |||||||||||||||||
| Provision for Income Taxes | ' | ||||||||||||||||
| Provision for Income Taxes | |||||||||||||||||
| Deferred tax assets and liabilities are recognized based on the expected future tax consequences, using current tax rates, of temporary differences between the financial statement carrying amounts and the income tax basis of assets and liabilities. A valuation allowance is applied against any net deferred tax asset if, based on the weighted available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. | |||||||||||||||||
| We use the asset and liability method of accounting for income taxes, as set forth in Accounting Standards Codification 740-10-25-2. Under this method, deferred income taxes, when required, are provided on the basis of the difference between the financial reporting and income tax basis of assets and liabilities at the statutory rates enacted for future periods. In accordance with Accounting Standards Codification 740-10-45-25, Income Statement Classification of Interest and Penalties, we classify interest associated with income taxes under interest expense and tax penalties under other. | |||||||||||||||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended | ||||||||||||||||
| Sep. 30, 2013 | |||||||||||||||||
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||||||
| Stock-Based Compensation Expense | ' | ||||||||||||||||
| Stock-based compensation expense recognized under ASC 718 was as follows: | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| September 30, | September 30, | ||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | ||||||||||||||
| Research and development | $ | - | $ | 13,200 | $ | 92,249 | $ | 158,017 | |||||||||
| General and administrative | 1,172 | 13,200 | 14,372 | 44,068 | |||||||||||||
| Total stock-based compensation expense | $ | 1,172 | $ | 26,400 | $ | 106,622 | $ | 202,085 | |||||||||
| Summary of Stock Option Activity | ' | ||||||||||||||||
| A summary of our stock option activity during the nine months ended September 30, 2013 is presented below: | |||||||||||||||||
| Total Number | Weighted-Average | ||||||||||||||||
| Options | of Shares | Exercise Price | |||||||||||||||
| Outstanding as of December 31, 2012 | 1,182,000 | $ | 8.9 | ||||||||||||||
| Granted | 30,000 | 16.88 | |||||||||||||||
| Forfeited | (15,000 | ) | 30.79 | ||||||||||||||
| Exercised | (10,000 | ) | 1 | ||||||||||||||
| Expired | - | - | |||||||||||||||
| Outstanding as of September 30, 2013 | 1,187,000 | $ | 8.89 | ||||||||||||||
| Exercisable as of September 30, 2013 | 1,152,000 | $ | 8.42 | ||||||||||||||
NET_INCOME_LOSS_PER_SHARE_Tabl
| NET INCOME (LOSS) PER SHARE (Tables) | 9 Months Ended | ||||||||||||||||
| Sep. 30, 2013 | |||||||||||||||||
| NET INCOME (LOSS) PER SHARE [Abstract] | ' | ||||||||||||||||
| Number of Common Equivalent Shares Included for the Calculation of Diluted Net Income | ' | ||||||||||||||||
| The following table summarizes the number of common equivalent shares that were included for the calculation of diluted net income purposes from continuing operations reported in the consolidated statement of operations. | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| September 30, | September 30, | ||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | ||||||||||||||
| Stock options | 585,462 | 618,442 | 569,507 | 644,259 | |||||||||||||
ACCOUNTS_PAYABLE_AND_ACCRUED_E1
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables) | 9 Months Ended | ||||||||
| Sep. 30, 2013 | |||||||||
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES [Abstract] | ' | ||||||||
| Accounts Payable and Accrued Expenses | ' | ||||||||
| Accounts payable and accrued expenses consisted of the following: | |||||||||
| September 30, | December 31, | ||||||||
| 2013 | 2012 | ||||||||
| Trade accounts payable and accrued expenses | $ | 300,683 | $ | $304,635 | |||||
| Accrued legal and other professional fees | 74,904 | 61,147 | |||||||
| Accrued payroll and related costs | 163,283 | 147,084 | |||||||
| Total | $ | 538,870 | $ | 512,866 | |||||
PATENT_COSTS_Tables
| PATENT COSTS (Tables) | 9 Months Ended | ||||||||
| Sep. 30, 2013 | |||||||||
| PATENT COSTS [Abstract] | ' | ||||||||
| Net Patent Costs | ' | ||||||||
| For each period presented below net patent costs consisted of: | |||||||||
| September 30, | December 31, | ||||||||
| 2013 | 2012 | ||||||||
| Patents | $ | 472,375 | $ | 472,375 | |||||
| Accumulated Amortization | (240,295 | ) | (192,053 | ) | |||||
| $ | 232,080 | $ | 280,322 | ||||||
| Estimated Aggregate Future Amortization Expense | ' | ||||||||
| The estimated aggregate amortization expense for each of the next five years is approximately as follows: | |||||||||
| 2014 | $ | 53,000 | |||||||
| 2015 | 25,000 | ||||||||
| 2016 | 20,000 | ||||||||
| 2017 | 20,000 | ||||||||
| 2018 | 20,000 | ||||||||
ORGANIZATION_AND_DESCRIPTION_O1
| ORGANIZATION AND DESCRIPTION OF BUSINESS (Details) | Sep. 30, 2013 | Oct. 23, 2013 | Oct. 07, 2013 | Oct. 23, 2013 | Oct. 23, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
| Country | Subsequent Event [Member] | Subsequent Event [Member] | Minimum [Member] | Maximum [Member] | Central Eastern Europe Countries [Member] | Middle Eastern & North African Countries [Member] | Eurasian and African countries [Member] | |
| Patient | Joint | Subsequent Event [Member] | Subsequent Event [Member] | Country | Country | Country | ||
| Stage | Event | |||||||
| Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
| Number of countries in which marketing rights of XIAFLEX held | ' | ' | ' | ' | ' | ' | ' | 71 |
| Number of women patients expected to enroll in Double-blind multiple-dose study | ' | 144 | ' | ' | ' | ' | ' | ' |
| Age of women patients expected to enroll in Double-blind multiple-dose study | ' | ' | ' | '18 years | '45 years | ' | ' | ' |
| Number of stages for Phase2a study | ' | 2 | ' | ' | ' | ' | ' | ' |
| Period for long-term evaluation of success study | ' | ' | '5 years | ' | ' | ' | ' | ' |
| Percentage of patients previously successfully treated not experienced disease recurrence (in hundredths) | ' | ' | 57.90% | ' | ' | ' | ' | ' |
| Number of joints assessed | ' | ' | 623 | ' | ' | ' | ' | ' |
| Percentage of joints received medical surgical intervention through year four (in hundredths) | ' | ' | 12.80% | ' | ' | ' | ' | ' |
| Number of serious AEs reported | ' | ' | 86 | ' | ' | ' | ' | ' |
| Period of follow up for serious AEs reported | ' | ' | '4 years | ' | ' | ' | ' | ' |
| Number of serious AEs reported related to XIAFLEX | ' | ' | 1 | ' | ' | ' | ' | ' |
| Number of countries under the collaboration agreement | 28 | ' | ' | ' | ' | 18 | 22 | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||
| Sep. 30, 2013 | Sep. 30, 2012 | Mar. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
| Customer | Payment | Quarter | ||||
| Customer | ||||||
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Accounts receivable | $5,044,682 | ' | ' | $5,044,682 | ' | $5,082,360 |
| Number of customers | 2 | ' | ' | 2 | ' | ' |
| Royalty revenue | 3,087,491 | 2,307,073 | ' | 9,717,994 | 6,698,355 | ' |
| Royalty / Mark-up on Cost of Goods Sold / Earn-Out Revenue [Abstract] | ' | ' | ' | ' | ' | ' |
| Number of quarters after which revenue is recognized (in quarters) | ' | ' | ' | 1 | ' | ' |
| Number of days after calendar year, after which payments and report are received | ' | ' | ' | '90 days | ' | ' |
| Number of years for which bad debt expense not recorded | ' | ' | ' | '3 years | ' | ' |
| Allowance for doubtful accounts | 30,000 | 30,000 | ' | 30,000 | 30,000 | ' |
| Reimbursable Third Party Development Costs [Abstract] | ' | ' | ' | ' | ' | ' |
| Accrued patent costs | 45,000 | ' | ' | 45,000 | ' | ' |
| Royalty Buy-Down [Abstract] | ' | ' | ' | ' | ' | ' |
| Initial payment for royalty buy down | ' | ' | 1,500,000 | 0 | 1,500,000 | ' |
| Number of additional cash payments for royalty buy down | ' | ' | 5 | ' | ' | ' |
| Deferred royalty buy-down | 2,750,000 | ' | ' | 2,750,000 | ' | 2,750,000 |
| Deferred costs, amortization period | ' | ' | ' | '5 years | ' | ' |
| Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ' | ' |
| Expected volatility rate (in hundredths) | ' | ' | ' | 33.00% | ' | ' |
| Risk free interest rate (in hundredths) | ' | ' | ' | 1.73% | ' | ' |
| Average exercise period | ' | ' | ' | '5 years | ' | ' |
| Stock-based compensation expense | 1,172 | 26,400 | ' | 106,622 | 202,085 | ' |
| Total number of shares | ' | ' | ' | ' | ' | ' |
| Outstanding, beginning of period (in shares) | ' | ' | ' | 1,182,000 | ' | ' |
| Granted (in shares) | ' | ' | ' | 30,000 | ' | ' |
| Forfeited (in shares) | ' | ' | ' | -15,000 | ' | ' |
| Exercised (in shares) | ' | ' | ' | -10,000 | ' | ' |
| Expired (in shares) | ' | ' | ' | 0 | ' | ' |
| Outstanding, end of period (in shares) | 1,187,000 | ' | ' | 1,187,000 | ' | ' |
| Exercisable, end of period (in shares) | 1,152,000 | ' | ' | 1,152,000 | ' | ' |
| Weighted-Average Exercise Price | ' | ' | ' | ' | ' | ' |
| Outstanding, beginning of period (in dollars per share) | ' | ' | ' | $8.90 | ' | ' |
| Granted (in dollars per share) | ' | ' | ' | $16.88 | ' | ' |
| Forfeited (in dollars per share) | ' | ' | ' | $30.79 | ' | ' |
| Exercised (in dollars per share) | ' | ' | ' | $1 | ' | ' |
| Expired (in dollars per share) | ' | ' | ' | $0 | ' | ' |
| Outstanding, end of period (in dollars per share) | $8.89 | ' | ' | $8.89 | ' | ' |
| Exercisable, end of period (in dollars per share) | $8.42 | ' | ' | $8.42 | ' | ' |
| Proceeds from stock option exercises | ' | ' | ' | 10,000 | 148,425 | ' |
| Aggregate intrinsic value of options outstanding and exercisable | 8,200,000 | ' | ' | 8,200,000 | ' | ' |
| Closing price of Company stock (in dollars per share) | $19.47 | ' | ' | $19.47 | ' | ' |
| Unrecognized compensation cost related to non-vested stock options outstanding | 77,000 | ' | ' | 77,000 | ' | ' |
| Minimum [Member] | ' | ' | ' | ' | ' | ' |
| Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' |
| Estimated useful life of property, plant and equipment | ' | ' | ' | '5 years | ' | ' |
| Maximum [Member] | ' | ' | ' | ' | ' | ' |
| Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' |
| Estimated useful life of property, plant and equipment | ' | ' | ' | '10 years | ' | ' |
| Director [Member] | ' | ' | ' | ' | ' | ' |
| Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ' | ' |
| Stock granted during period, value of stock options | 78,000 | ' | ' | ' | ' | ' |
| Total number of shares | ' | ' | ' | ' | ' | ' |
| Granted (in shares) | 15,000 | ' | ' | ' | ' | ' |
| Research and Development [Member] | ' | ' | ' | ' | ' | ' |
| Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ' | ' |
| Stock-based compensation expense | 0 | 13,200 | ' | 92,249 | 158,017 | ' |
| General and Administrative [Member] | ' | ' | ' | ' | ' | ' |
| Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ' | ' |
| Stock-based compensation expense | 1,172 | 13,200 | ' | 14,372 | 44,068 | ' |
| Auxilium [Member] | ' | ' | ' | ' | ' | ' |
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Accounts receivable | 1,500,000 | ' | ' | 1,500,000 | ' | ' |
| Royalty revenue | 2,100,000 | ' | ' | ' | ' | ' |
| Deferred revenue | 200,000 | ' | ' | 200,000 | ' | ' |
| Auxilium [Member] | Accounts Receivable [Member] | ' | ' | ' | ' | ' | ' |
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Concentration risk percentage (in hundredths) | ' | ' | ' | 30.00% | ' | ' |
| Auxilium [Member] | Licensing, Consulting And Royalty Revenue [Member] | ' | ' | ' | ' | ' | ' |
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Concentration risk percentage (in hundredths) | 68.00% | ' | ' | ' | ' | ' |
| DFB Biotech Inc. [Member] | ' | ' | ' | ' | ' | ' |
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Accounts receivable | 3,500,000 | ' | ' | 3,500,000 | ' | ' |
| Royalty revenue | $1,000,000 | ' | ' | ' | ' | ' |
| DFB Biotech Inc. [Member] | Accounts Receivable [Member] | ' | ' | ' | ' | ' | ' |
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Concentration risk percentage (in hundredths) | ' | ' | ' | 70.00% | ' | ' |
| DFB Biotech Inc. [Member] | Licensing, Consulting And Royalty Revenue [Member] | ' | ' | ' | ' | ' | ' |
| Concentration of Credit Risk and Major Customers [Abstract] | ' | ' | ' | ' | ' | ' |
| Concentration risk percentage (in hundredths) | 32.00% | ' | ' | ' | ' | ' |
NET_INCOME_LOSS_PER_SHARE_Deta
| NET INCOME (LOSS) PER SHARE (Details) | 3 Months Ended | 9 Months Ended | ||
| Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
| Number of common equivalent shares included for the calculation of diluted net income [Abstract] | ' | ' | ' | ' |
| Stock options (in shares) | 585,462 | 618,442 | 569,507 | 644,259 |
ACCOUNTS_PAYABLE_AND_ACCRUED_E2
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
| Accounts payable and accrued expenses [Abstract] | ' | ' |
| Trade accounts payable and accrued expenses | $300,683 | $304,635 |
| Accrued legal and other professional fees | 74,904 | 61,147 |
| Accrued payroll and related costs | 163,283 | 147,084 |
| Total | $538,870 | $512,866 |
PATENT_COSTS_Details
| PATENT COSTS (Details) (USD $) | 9 Months Ended | ||
| Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
| Net Patent Costs [Abstract] | ' | ' | ' |
| Net patent costs | $232,080 | ' | $280,322 |
| Amortization expense for patents | 48,000 | 44,000 | ' |
| Estimated amortization expense [Abstract] | ' | ' | ' |
| 2014 | 53,000 | ' | ' |
| 2015 | 25,000 | ' | ' |
| 2016 | 20,000 | ' | ' |
| 2017 | 20,000 | ' | ' |
| 2018 | 20,000 | ' | ' |
| Patents [Member] | ' | ' | ' |
| Net Patent Costs [Abstract] | ' | ' | ' |
| Patents | 472,375 | ' | 472,375 |
| Accumulated Amortization | -240,295 | ' | -192,053 |
| Net patent costs | 232,080 | ' | 280,322 |
| Amortization expense for patents | $48,000 | $44,000 | ' |
| Patents [Member] | Minimum [Member] | ' | ' | ' |
| Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
| Estimated useful lives | '2 years | ' | ' |
| Patents [Member] | Maximum [Member] | ' | ' | ' |
| Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
| Estimated useful lives | '14 years | ' | ' |
PROVISION_FOR_INCOME_TAXES_Det
| PROVISION FOR INCOME TAXES (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
| Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
| PROVISION FOR INCOME TAXES [Abstract] | ' | ' | ' | ' |
| Net income tax expense (benefit) | $566,860 | $316,772 | $1,828,319 | $1,223,000 |
| Decrease in deferred tax assets | ' | ' | 424 | 619,410 |
| Deferred tax assets | $1,500,000 | $2,400,000 | $1,500,000 | $2,400,000 |
RELATED_PARTY_TRANSACTIONS_Det
| RELATED PARTY TRANSACTIONS (Details) (ABC-NY [Member], USD $) | 9 Months Ended |
| Sep. 30, 2013 | |
| ABC-NY [Member] | ' |
| Related Party Transaction [Line Items] | ' |
| Monthly rental price | $11,250 |
| Termination of Lease Agreement | 31-Mar-11 |