COMPLETION IN
THE FORM OF THE AMERICAN INSTITUTE OF ARCHITECTS DOCUMENT G704. LANDLORD SHALL
ACT IN A COMMERCIALLY REASONABLE MANNER IN ITS CONSTRUCTION OF THE LANDLORD
IMPROVEMENTS TO ACCOMMODATE TENANT'S CONSTRUCTION OF THE TENANT IMPROVEMENTS.
(C)
DELIVERY OF THE PREMISES. WHEN SUBSTANTIAL COMPLETION OF
LANDLORD'S WORK SHALL HAVE OCCURRED, SUBJECT TO THE REMAINING TERMS AND
PROVISIONS OF THIS SECTION 3(C), TENANT SHALL ACCEPT THE PREMISES. TENANT'S
TAKING POSSESSION AND ACCEPTANCE OF THE PREMISES SHALL NOT CONSTITUTE A WAIVER
OF:
(I) TENANT'S ABILITY TO REQUIRE LANDLORD TO CORRECT (A) ANY DEFECT IN
LANDLORD'S WORK, WHETHER OR NOT COVERED BY ANY WARRANTY WITH RESPECT TO
WORKMANSHIP (INCLUDING INSTALLATION OF EQUIPMENT) OR MATERIAL (EXCLUSIVE OF
EQUIPMENT PROVIDED DIRECTLY BY MANUFACTURERS), OR (B) ANY NON-COMPLIANCE OF
LANDLORD'S WORK WITH CODE, OR (II) ANY CLAIM THAT LANDLORD'S WORK WAS NOT
COMPLETED SUBSTANTIALLY IN ACCORDANCE WITH THE LI PLANS (SUBJECT TO MINOR
VARIATIONS AND SUCH OTHER CHANGES AS ARE PERMITTED HEREUNDER) (COLLECTIVELY, A
"CONSTRUCTION DEFECT"). TENANT SHALL HAVE ONE (1) YEAR AFTER SUBSTANTIAL
COMPLETION OF LANDLORD'S WORK WITHIN WHICH TO NOTIFY LANDLORD OF ANY SUCH
CONSTRUCTION DEFECT DISCOVERED BY TENANT WHICH LANDLORD IS REQUIRED TO CORRECT
(AT LANDLORD'S SOLE COST AND EXPENSE, AND NOT AS OPERATING EXPENSE) REGARDLESS
OF WHETHER SUCH DEFECT IS COVERED BY ANY WARRANTY, AND LANDLORD SHALL USE
REASONABLE EFFORTS TO REMEDY OR CAUSE THE RESPONSIBLE CONTRACTOR TO REMEDY ANY
SUCH CONSTRUCTION DEFECT WITHIN THIRTY (30) DAYS THEREAFTER. NOTWITHSTANDING THE
FOREGOING, LANDLORD SHALL NOT BE IN DEFAULT UNDER THE LEASE IF THE APPLICABLE
CONTRACTOR, DESPITE LANDLORD'S REASONABLE EFFORTS, FAILS TO REMEDY SUCH
CONSTRUCTION DEFECT WITHIN SUCH THIRTY (30) DAY PERIOD, BUT LANDLORD, WITHIN
THIRTY (30) DAYS THEREAFTER, COMMENCES AND DILIGENTLY AND CONTINUOUSLY
PROSECUTES SUCH REMEDIAL ACTION TO COMPLETION. IF LANDLORD FAILS TO TIMELY
PERFORM ANY REPAIR OR REPLACEMENT OF ANY CONSTRUCTION DEFECT WHICH WILL
IMMEDIATELY AND ADVERSELY AFFECT TENANT'S ABILITY TO CONDUCT ITS BUSINESS IN THE
PREMISES WITHIN THIRTY (30) DAYS AFTER DELIVERY OF TENANT'S NOTICE THAT SUCH
DEFECTIVE CONDITION EXISTS (OR SUCH LONGER PERIOD AS MAY BE REQUIRED IF LANDLORD
IS DILIGENTLY PURSUING REMEDIAL ACTION WITHIN SUCH 30-DAY PERIOD), TENANT SHALL
HAVE THE RIGHT TO REPLACE OR REPAIR SUCH CONSTRUCTION DEFECT IN ACCORDANCE WITH
THE REQUIREMENTS OF SECTION 31 OF THE LEASE. NOTWITHSTANDING THE FOREGOING, IF
LANDLORD DISPUTES AN ITEM IN QUESTION, ANY REIMBURSEMENT SHALL BE SUBJECT TO
RECONCILIATION FOLLOWING THE FINAL DETERMINATION OF THE DISPUTED ITEM.
(D)
CONSTRUCTION WARRANTIES. LANDLORD SHALL OBTAIN CUSTOMARY
WARRANTIES AND GUARANTIES FROM THE CONTRACTOR(S) PERFORMING THE LANDLORD'S WORK
AND/OR THE MANUFACTURERS OF EQUIPMENT INSTALLED AS PART OF THE LANDLORD'S WORK,
AND SHALL COOPERATE WITH TENANT IN OBTAINING ANY EXTENDED WARRANTIES REQUESTED
BY TENANT, BUT LANDLORD SHALL BE UNDER NO OBLIGATION TO INCUR ADDITIONAL EXPENSE
IN ORDER TO OBTAIN EXTENDED WARRANTIES. LANDLORD SHALL, UPON REQUEST BY TENANT,
USE ITS GOOD FAITH EFFORTS TO PURSUE ITS RIGHTS UNDER ANY SUCH WARRANTIES
OBTAINED BY LANDLORD FOR THE BENEFIT OF TENANT, AND UNLESS SUCH EFFORTS ARE
REQUIRED TO COMPLY WITH LANDLORD'S COMPLIANCE OBLIGATIONS UNDER SECTION 7(C) OR
ITS REPAIR OBLIGATIONS