Third Amendment to 894 Ross Drive lease dated January 17, 1997.

Exhibit 10.13

          This Third Amendment to Lease (the “Amendment”) is dated as of January
17, 1997, for reference purposes only, and is made between Ross Drive Investors,
a California general partnership (“Landlord”) and Verity, Inc., a Delaware
corporation (“Tenant”) with reference to the following facts and circumstances,
which are conclusively agreed between the parties:

 

          A.          Landlord and Tenant are parties to a Lease and First
Addendum to Lease dated for reference purposes as of January 22, 1996, as
modified by a First Amendment to Lease dated as of June 20, 1996 and a Second
Amendment to Lease dated as of November 5, 1996 (referred to collectively as the
“Lease”). All capitalized words having an assigned meaning in the Lease shall
continue to have such meaning in this Amendment unless explicitly modified.

 

 

 

          B.          Pursuant to the original Lease, Tenant leased from
Landlord 33,834 rentable square feet of space constituting Landlord’s premises
located at 894 Ross Drive, Sunnyvale, California (the “Premises”).

 

 

 

          C.          Pursuant to the First Addendum to Lease, Paragraph 5,
Tenant is obligated to lease certain spaces referred to in the lease as the
Expansion Space when they become available, and to execute an amendment to this
Lease including such spaces. The two spaces making up the Expansion Space are
Suites 203 and 205.

 

 

 

          D.          Pursuant to the First Amendment to Lease, it was
acknowledged that 150 rentable square feet of space, identified therein as the
“Storage Space”, was to have been delivered to Tenant with the rest of the
Premises under the original Lease, but that this did not occur and that the
delivery of such Storage Space would be delayed until delivery of Suite 205.
Accordingly, the parties acknowledged certain related changes in the rent
structure, and diminution of the size of the original Premises from 33,834
rentable square feet to 33,684 rentable square feet.

 

 

 

          E.           Suite 203 became available and has been delivered to
Tenant, pursuant to a Second Amendment to Lease dated as of November 5, 1996.

 

 

 

          F.          Landlord has delivered Suite 205 and the Storage Space to
Tenant. Suite 205 contains 5021 rentable square feet of space and the Storage
Space contains 150 rentable square feet of space, for a total of 5,171 rentable
square feet of space.

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

 

          G.          Landlord and Tenant wish to amend the Lease to provide for
Tenant’s additional lease of Suite 205 and the Storage Space as set forth below.

          Now, therefore, in consideration of all of the foregoing facts and
circumstances, and for good and valuable consideration, the receipt of which is
acknowledged by each party, Landlord and Tenant agree to and do amend the Lease
as follows:

1.       Demise Of Premises; Term

          Landlord hereby leases to Tenant, and Tenant hereby leases from
Landlord, that certain 5,171 rentable square feet of space located at 894 Ross
Drive, Suite 205, Sunnyvale, California, including the Storage Space
(collectively referred to in the remaining portions of this Amendment as “Suite
205), for a term which shall run from the Expansion Space Commencement Date to
the expiration or earlier termination of the Lease. The Expansion Space
Commencement Date for Suite 205 shall be December 10/1996. On the Expansion
Space Commencement Date for Suite 205, the total Premises leased to Tenant will
be 43,925 rentable square feet, and all references to the “Premises” shall mean
and include both the originally identified Premises, Suite 203, and Suite 205.

2.       Base Monthly Rent

          Beginning on the Expansion Space Commencement Date for Suite 205, the
Base Monthly Rent for Suite 205 and the Storage Space shall be $0.95 per
rentable square feet for a monthly total of $4,912.45 per month, which shall be
in addition to all other Base Monthly Rent provided under the Lease, and which
shall make the total Base Monthly Rent from and after the Expansion Space
Commencement Date for Suite 205 a total of $41,728.75 per month.

          Whenever, pursuant to Paragraph 3A of the First Amendment to Lease,
the rent for the Premises shall increase, the rent applicable to Suite 205 shall
also increase at the same rate. (For purposes of example, and not by way of
limitation, beginning in Month 25 of the Lease, the rent for Suite 205 shall
increase to $1.03 per rentable square foot, and thus shall increase the sums set
forth in Paragraph 3A of the First Amendment to Lease by said sum; beginning in
Months 61 and 85, further rent increases shall occur on the same basis.)

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

3.       Tenant’s Share

          Beginning on the Expansion Space Commencement Date for Suite 205, the
Tenant’s Share, as set forth in Paragraph G of the Summary of Basic Lease Terms,
shall be 100%.

4.       Parking

          Beginning on the Expansion Space Commencement Date for Suite 205, the
Tenant’s Allocated Parking Stalls, as set forth in Paragraph H of the Summary of
Basic Lease Terms, shall be increased to a total of 172 Tenant’s Allocated
Parking Stalls.

5.       Continuing Obligation: Incorporation

          Except as expressly set forth in this Amendment, all terms and
conditions of the Lease remain in full force and effect, and all terms and
conditions of the Lease are incorporated herein as though set forth at length
(including, but not limited to the provisions of Paragraph 5 of the First
Addendum to Lease, which remain in full force and effect).

6.       Effect of Amendment

          This Amendment modifies the Lease. In the event of any conflict or
discrepancy between the Lease and/or any other previous documents between the
parties and the provisions of this Amendment, then the provisions of this
Amendment shall control. Except as modified herein, the Lease shall remain in
full force and effect.

7.       Authority

          Each individual executing this Amendment on behalf of Tenant
represents and warrants that he or she is duly authorized to and does execute
and deliver this Amendment pursuant to express authority from Tenant pursuant to
and in accordance with the By-Laws and the other organic documents of the
corporation.

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

8.       Brokerage Commissions

          Neither party has been represented by a real estate broker in regard
to the transaction represented by this Amendment, and no brokerage commissions
or finder’s fees are due in regard to the transaction. Tenant will hold Landlord
harmless and indemnify Landlord against any claim, loss, or damage, including
reasonable attorney’s fees, in regard to a brokerage commission or finder’s fee
claim by a broker or finder under contract with or working with Tenant. Landlord
will hold Tenant harmless and indemnify Tenant against any claim, loss, or
damage, including reasonable attorney’s fees, in regard to a brokerage
commission or finder’s fee claim by a broker or finder under contract with or
working with Landlord.

9.       Entire Agreement

          The Lease, as modified by this Amendment, constitutes and contains the
entire agreement between the parties, and there are no binding agreements or
representations between the parties except as expressed herein. Tenant
acknowledges that neither Landlord nor Landlord’s Agents have made any legally
binding representations or warranties as to any matter except for such matters
which are expressly set forth herein, including any representations or
warranties relating to the condition of the suite 205, the Premises or the
improvements thereto or the suitability of the Suite 205, the Premises, or the
Project for Tenant’s business.

 

Dated: January 17, 1997

 

 

 

LANDLORD

 

 

 

 

 

Ross Drive Investors, a California general
partnership

 

 

 

Michael [michael.jpg]

 

 

--------------------------------------------------------------------------------

 

 

By:  Michael J. Biggar, Manager

 

 

 

Dated:  January 17, 1997

 

 

 

TENANT

 

 

 

Verity, Inc., a Delaware corporation

 

 

 

Donald [donald.jpg]

 

 

--------------------------------------------------------------------------------

 

 

By

          Donald C. Mc Cauley

 

 

--------------------------------------------------------------------------------

 

 

 

          VP + CFO

 

 

 

Dated: November 5, 1996

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------