7.2, TENANT'S OBLIGATIONS TO CARRY LIABILITY INSURANCE
PROVIDED FOR HEREIN MAY BE BROUGHT WITHIN THE COVERAGE OF A BLANKET POLICY OR
POLICIES OF INSURANCE CARRIED AND MAINTAINED BY TENANT; PROVIDED, HOWEVER,
LANDLORD, LANDLORD'S LENDER AND THE OTHER PARTIES DESIGNATED BY LANDLORD SHALL
BE NAMED AS ADDITIONAL INSUREDS THEREUNDER, THE COVERAGE AFFORDED LANDLORD AND
THE OTHER NAMED INSUREDS WILL NOT BE REDUCED OR DIMINISHED BY REASON OF THE USE
OF SUCH BLANKET POLICY OF INSURANCE AND SAID POLICY OF INSURANCE OTHERWISE SHALL
SATISFY THE REQUIREMENTS OF THIS SECTION 7.2 APPLICABLE TO LIABILITY INSURANCE.
24
(I)
TENANT SHALL NOT USE, OR CONDUCT ANY
ACTIVITY ON, THE PREMISES, WHICH MAY BE PROHIBITED BY THE ALL RISK INSURANCE.
(J)
IF TENANT SHALL FAIL TO TIMELY PROCURE
ANY POLICY REQUIRED TO BE MAINTAINED BY TENANT HEREUNDER, OR RENEWAL THEREOF, OR
TO EVIDENCE THE PROCUREMENT OR RENEWAL THEREOF BY DELIVERY OF THE CERTIFICATES
OR RENEWAL NOTIFICATIONS REQUIRED BY THIS SECTION 7.2, LANDLORD MAY (BUT IT IS
NOT REQUIRED TO), AFTER HAVING GIVEN NOT LESS THAN THREE (3) DAYS' PRIOR WRITTEN
NOTICE TO TENANT, PROCURE SUCH INSURANCE AND CHARGE THE COST THEREOF TO TENANT
AS ADDITIONAL RENTAL PAYABLE IN FULL ON THE NEXT RENT PAYMENT DATE.
(K)
TENANT SHALL NOT DO OR PERMIT TO BE DONE
ANYTHING WHICH SHALL INVALIDATE THE INSURANCE POLICIES TO BE MAINTAINED BY
TENANT HEREUNDER.
(L)
ALL POLICIES OF INSURANCE TO BE PROVIDED
FOR BY TENANT PURSUANT TO THIS SECTION SHALL BE ISSUED BY COMPANIES WITH A
BEST'S RATING OF A-IX OR BETTER OR, IF BEST'S GUIDE IS NO LONGER PUBLISHED, SUCH
POLICIES SHALL BE ISSUED BY COMPANIES WITH A SUBSTANTIALLY SIMILAR OR BETTER
RATING IN ANY COMPARABLE GUIDE AND THAT ALL SUCH INSURANCE COMPANIES ARE
QUALIFIED TO TRANSACT BUSINESS IN THE STATE OF CALIFORNIA.
(M)
LANDLORD SHALL NOT BE LIABLE FOR AND TENANT
HEREBY WAIVES ANY AND ALL CLAIMS OR CAUSES OF ACTION AGAINST LANDLORD FOR
DAMAGES TO THE BUILDING OR OTHER IMPROVEMENTS AND/OR ANY PROPERTY UPON THE
PREMISES RESULTING FROM A CASUALTY OF THE TYPE TO BE COVERED BY THE INSURANCE TO
BE PROVIDED; PROVIDED, HOWEVER, THAT THE TERMS OF THIS SUBSECTION (M) SHALL NOT
AFFECT TENANT'S RIGHTS TO TERMINATE THIS LEASE PURSUANT TO THE TERMS OF ARTICLE
11 BELOW.
(N)
ALL INSURANCE TO BE PROVIDED UNDER THIS
SECTION, AND THE PREMIUMS THEREFOR, SHALL BE DEEMED ADDITIONAL RENT.
7.3
Landlord's Insurance.
During construction
of the Building and other Improvements, Landlord shall purchase and maintain,
subject to reimbursement by Tenant for the cost thereof pursuant to Section 5.8
hereof, Builder's Risk coverage with an admitted carrier with a Best's rating of
A-IX or better.
The property insurance shall be written in the amount of
initial contract sum, plus value of subsequent contract modifications and cost
of materials supplied or installed by others, comprising total value for the
entire project at the site on a replacement cost basis and subject to a maximum
deductible of Twenty-Five Thousand Dollars ($25,000.00).
Such insurance should
also include coverage for property in transit and property at