PRIOR TO SUBSTANTIAL COMPLETION OF REPAIR OR
RESTORATION.
LAND LORD AND TENANT AGREE THAT THE OUTSIDE COMPLETION DATE SHALL
BE POSTPONED BY THE NUMBER OF DAYS THE REPAIR OR RESTRUCTURING WORK IS DELAYED
DUE TO FORCE MAJEUR AND SHALL TAKE INTO EFFECT ANY TENANT DELAYS.
AS USED
HEREIN "TENANT DELAY" SHALL MEAN ANY DELAYS RESULTING FROM THE ACTS OR OMISSIONS
OF TENANT, ITS EMPLOYEES, AGENTS AND CONTRACTORS OR THEIR RESPECTIVE CONTRACTORS
OR VENDORS, INCLUDING, WITHOUT LIMITATION, AND TENANT'S FAILURE TO COMPLY WITH
ANY OF ITS OBLIGATIONS UNDER THIS LEASE.
SECTION 10.3.
WHETHER OR NOT THIS LEASE IS TERMINATED AS PROVIDED HEREIN, UPON
NOTICE FROM LANDLORD, TENANT SHALL ASSIGN TO LANDLORD (OR TO ANY PARTY
DESIGNATED BY LANDLORD) ALL INSURANCE PROCEEDS PAYABLE TO TENANT UNDER TENANT'S
INSURANCE REQUIRED UNDER SECTION 9.1(A); PROVIDED IF THE ESTIMATED COST TO
REPAIR THE LEASED PREMISES EXCEEDS THE AMOUNT OF INSURANCE PROCEEDS RECEIVED BY
LANDLORD FROM TENANT'S INSURANCE CARRIER, THE EXCESS COST OF SUCH REPAIRS SHALL
BE PAID BY TENANT TO LANDLORD PRIOR TO LANDLORD'S COMMENCEMENT OF REPAIRS.
WITHIN 15 DAYS OF DEMAND, TENANT SHALL ALSO PAY LANDLORD FOR ANY ADDITIONAL
EXCESS COSTS THAT ARE DETERMINED DURING THE PERFORMANCE OF THE REPAIRS.
NO
REPAIR OR RESTORATION WORK SHALL BE UNDERTAKEN BY LANDLORD UNTIL SUCH DEFICIENCY
SHALL HAVE BEEN PAID TO LANDLORD OR UNTIL TENANT SHALL HAVE DELIVERED TO
LANDLORD A SURETY BOND IN FORM AND AMOUNT ISSUED BY A SURETY COMPANY OF
RECOGNIZED RESPONSIBILITY OR SUCH OTHER SECURITY, AS MAY BE SATISFACTORY TO
LANDLORD (FOR THE AMOUNT OF THE DEFICIENCY ONLY) CONDITIONED UPON AND SECURING
THE COMPLETION OF AND FULL PAYMENT FOR THE RESTORATION AND REPAIR WORK.
UPON
THE EXPIRATION OR SOONER TERMINATION OF THIS LEASE PURSUANT TO THIS ARTICLE, ALL
INSURANCE PROCEEDS THEN HELD BY LANDLORD AND ALL INSURANCE PROCEEDS PAYABLE BY
INSURANCE CARRIERS BUT STILL IN THE HANDS OF SUCH CARRIERS SHALL BECOME THE
PROPERTY OF LANDLORD.
HOWEVER, THE FOREGOING SHALL IN NO WAY LIMIT OR REDUCE
TENANT'S OBLIGATIONS ON ACCOUNT OF ANY DEFICIENCY WITH RESPECT THE AMOUNT OF
SUCH PROCEEDS REQUIRED TO SO RESTORE, REPLACE, REPAIR OR ALTER THE SAME.
SECTION 10.4.
ANY NET PROCEEDS OF INSURANCE UNDER THE POLICY REQUIRED UNDER
SECTION 9.1(A)(II) SHALL BE HELD BY LANDLORD AND APPLIED BY LANDLORD AGAINST
PAYMENT OF THE FIXED NET RENT AND ADDITIONAL RENT AS THEY BECOME DUE (ANY
DEFICIENCY TO BE PAID BY TENANT) UNTIL THE REPAIR AND RESTORATION WORK IS
COMPLETED AND FULLY PAID FOR, AT WHICH TIME THE BALANCE OF SUCH PROCEEDS, IF
ANY, REMAINING AFTER SUCH APPLICATION SHALL BE PAID TO TENANT, PROVIDED LANDLORD
HAS NOT GIVEN NOTICE OF DEFAULT UNDER THIS LEASE AND THE APPLICABLE GRACE
PERIOD, IF ANY,
13
EXPIRED AND PROVIDED FURTHER THAT SUCH EXCESS SHALL BE PAID TO TENANT IF AND
WHEN SUCH DEFAULT HAS BEEN CURED WITHIN SUCH APPLICABLE GRACE PERIOD.
SECTION 10.5.
NOTWITHSTANDING ANYTHING TO THE CONTRARY HEREIN SET FORTH, (A)
LANDLORD SHALL HAVE NO DUTY PURSUANT TO THIS ARTICLE 10 TO EXPEND FOR ANY REPAIR
OR RESTORATION AMOUNTS IN EXCESS OF INSURANCE