TOTAL NUMBER OF DAYS
IN SUCH YEAR.
WITHOUT LIMITATION ON OTHER OBLIGATIONS OF TENANT WHICH SHALL
SURVIVE THE EXPIRATION OF THE TERM, THE OBLIGATIONS OF TENANT TO PAY RENT
ADJUSTMENT SHALL SURVIVE THE EXPIRATION OF THE TERM.
(D)
NET LEASE.
LANDLORD AND TENANT INTEND THAT
THIS LEASE SHALL BE DEEMED AND CONSTRUED TO BE A "NET LEASE" AND BASE RENT, RENT
ADJUSTMENT PAYMENTS AND ALL OTHER CHARGES, COSTS AND SUMS TO BE PAID BY TENANT
HEREUNDER SHALL BE PAID TO LANDLORD ABSOLUTELY NET AND WITHOUT ANY CHARGES,
ASSESSMENTS, IMPOSITIONS, EXPENSES OR DEDUCTIONS OF ANY KIND OR NATURE
WHATSOEVER.
(E)
SERVICE CHARGE.
TENANT'S FAILURE TO MAKE
ANY MONETARY PAYMENT REQUIRED OF TENANT HEREUNDER WITHIN FIVE (5) BUSINESS DAYS
OF THE DUE DATE THEREFORE SHALL RESULT IN THE IMPOSITION OF A SERVICE CHARGE FOR
SUCH LATE PAYMENT IN THE AMOUNT OF TEN PERCENT (10%) OF THE AMOUNT DUE.
IN
ADDITION, ANY SUM NOT PAID WITHIN THIRTY (30) DAYS OF THE DUE DATE THEREFORE
SHALL BEAR INTEREST AT A RATE EQUAL TO THE GREATER OF EIGHTEEN PERCENT (18%) OR
THE PRIME RATE PLUS TWO PERCENT (2%) PER ANNUM (OR SUCH LESSER PERCENTAGE AS MAY
BE THE MAXIMUM AMOUNT PERMITTED BY LAW) FROM THE FIRST DAY OF THE FIRST MONTH
FOLLOWING THE DATE DUE UNTIL PAID.
4.
SECURITY DEPOSIT
(A)
LANDLORD INITIALLY WAIVES
THE REQUIREMENT THAT TENANT PAY A SECURITY DEPOSIT TO LANDLORD.
IF AT ANY TIME
DURING THE TERM, TENANT FAILS TO PAY ANY INSTALLMENT OF RENT OR ANY OTHER
CHARGES REQUIRED TO BE PAID TO LANDLORD HEREUNDER AND SUCH FAILURE CONTINUES
BEYOND THE PERIOD GIVEN TO CURE SUCH DEFAULT AS SET FORTH IN PARAGRAPH 19(A)
HEREOF, LANDLORD MAY BY NOTICE TO TENANT REQUIRE THE IMMEDIATE DEPOSIT AS A
SECURITY DEPOSIT OF A SUM EQUAL TO ONE (1) MONTH OF THE THEN GROSS RENT FOR THE
PREMISES (THE "SECURITY DEPOSIT").
SUCH DEPOSIT SHALL BE HELD AS SECURITY FOR
THE PERFORMANCE AND OBSERVANCE BY TENANT OF ALL OF ITS OBLIGATIONS UNDER THE
TERMS, CONDITIONS AND COVENANTS OF THIS LEASE THROUGHOUT THE TERM OF THIS
LEASE.
IF TENANT PERFORMS AND OBSERVES ALL OF THE TERMS, CONDITIONS AND
COVENANTS OF THIS LEASE WHICH ARE REQUIRED TO BE PERFORMED AND OBSERVED BY IT,
LANDLORD SHALL RETURN THE SECURITY DEPOSIT, OR BALANCE THEREOF THEN HELD BY
LANDLORD, TO TENANT (WITHIN THIRTY (30) DAYS) AFTER THE EXPIRATION DATE OR AFTER
TENANT SURRENDERS POSSESSION OF THE PREMISES, WHICHEVER IS LATER.
IN THE EVENT
OF A DEFAULT BY TENANT IN THE PAYMENT OF RENT OR THE PERFORMANCE OR OBSERVANCE
OF ANY OF THE OTHER TERMS, CONDITIONS OR COVENANTS OF THIS LEASE WHICH DEFAULT
CONTINUES BEYOND ANY APPLICABLE GRACE, NOTICE AND/OR CURE PERIOD AVAILABLE TO
TENANT HEREUNDER, THEN LANDLORD MAY, AT ITS OPTION AND AFTER NOTICE, APPLY ALL
OR ANY PART OF THE SECURITY DEPOSIT IN PAYMENT OF SUCH RENT OR TO CURE ANY OTHER
SUCH DEFAULT; AND IF LANDLORD DOES SO, TENANT SHALL, UPON REQUEST, DEPOSIT WITH
LANDLORD THE AMOUNT SO APPLIED SO THAT LANDLORD WILL HAVE ON HAND AT ALL