SHALL BE PAYABLE WITHOUT
COUNTERCLAIM, SET-OFF OR DEDUCTIONS.
SECTION 2.03.
IT IS INTENDED THAT THE RENT PROVIDED FOR IN THIS LEASE
SHALL BE ABSOLUTELY NET TO LESSOR THROUGHOUT THE DEMISED TERM, FREE OF ANY TAXES
(EXCEPT AS PROVIDED IN SECTION 3.07) COSTS, EXPENSES, LIABILITIES, CHARGES OR
OTHER DEDUCTIONS WHATSOEVER WITH RESPECT TO THE DEMISED PREMISES OR IMPROVEMENTS
AND/OR THE OWNERSHIP, LEASING, OPERATION, MAINTENANCE, REPAIR, REBUILDING, USE
OR OCCUPATION THEREOF, OR WITH RESPECT TO ANY INTEREST OF LESSOR THEREIN, IT
BEING THE INTENTION OF THE PARTIES HERETO THAT BY THE EXECUTION AND DELIVERY OF
THIS LEASE, LESSEE SHALL ASSUME, AND TIMELY PAY, WITH RESPECT TO THE DEMISED
PREMISES EVERY OBLIGATION RELATING THERETO WHICH THE OWNERSHIP THEREOF ENTAILS
AND WHICH, BUT FOR THIS LEASE, WOULD BE BORNE BY LESSOR.
SECTION 2.04.
ALL INSTALLMENTS OF RENT WHICH SHALL NOT BE PAID WITHIN
TEN DAYS AFTER THE SAME SHALL HAVE BECOME DUE AND PAYABLE SHALL EARN INTEREST AT
2% ABOVE THE PRIME RATE THEN IN EFFECT OF CITIBANK, N.A., OR ITS SUCCESSORS BUT
IN NO EVENT MORE THAN THE MAXIMUM LEGAL RATE OF THE JURISDICTION IN WHICH THE
DEMISED PREMISES ARE LOCATED FOR AN ENTITY OF THE CHARACTER OF THE LESSEE (THE
"INVOLUNTARY RATE"), FROM THE DATES THAT THE SAME BECOME DUE AND PAYABLE UNTIL
PAID, WHETHER OR NOT DEMAND BE MADE THEREFOR.
SECTION 2.05.
LESSEE SHALL DEPOSIT WITH LESSOR UPON EXECUTION HEREOF,
THE SUM OF SEVENTY-FIVE THOUSAND ($75,000.00) DOLLARS AS SECURITY FOR LESSEE'S
FAITHFUL PERFORMANCE OF LESSEE'S OBLIGATIONS HEREUNDER (THE "DEPOSIT"). LESSEE
SHALL NOT MORTGAGE, PLEDGE, ENCUMBER OR ASSIGN THE DEPOSIT OR ANY RIGHTS IN OR
TO THE DEPOSIT. IF LESSEE FAILS TO PAY RENT DUE HEREUNDER, OR OTHERWISE DEFAULTS
WITH RESPECT TO ANY PROVISION OF THIS LEASE, LESSOR MAY USE, APPLY OR RETAIN ALL
OR ANY PORTION OF THE DEPOSIT FOR THE PAYMENT OF ANY RENT OR FOR THE PAYMENT OF
ANY OTHER SUMS TO WHICH LESSEE IS OBLIGATED BY REASON OF ITS DEFAULT. IF LESSOR
SO USES OR APPLIES ALL OR ANY PORTION OF THE DEPOSIT, LESSEE SHALL WITHIN TEN
(10) DAYS AFTER WRITTEN DEMAND THEREFORE DEPOSIT CASH WITH LESSOR IN AN AMOUNT
SUFFICIENT TO RESTORE THE DEPOSIT TO THE FULL AMOUNT.
THE DEPOSIT SHALL BEAR
INTEREST AT THE RATE OF 2% PER ANNUM WHICH SHALL BE PAYABLE ANNUALLY TO LESSEE.
IF LESSEE PERFORMS ALL OF LESSEE'S OBLIGATIONS HEREUNDER, THE DEPOSIT SHALL BE
RETURNED TO LESSEE WITHOUT PAYMENT OF INTEREST OR OTHER INCREMENT FOR ITS USE AT
THE EXPIRATION OF THE TERM HEREOF, AND ONLY AFTER LESSEE HAS VACATED THE DEMISED
PREMISES, PAID ALL SUMS DUE TO LESSOR AND FULFILLED ALL OF LESSEE'S OBLIGATIONS
UNDER THIS LEASE.
ARTICLE THREE
EXPENSES, TAXES AND OTHER CHARGES AND OBLIGATIONS
SECTION 3.01.
LESSEE AGREES THAT IT WILL PAY AND DISCHARGE, AS
ADDITIONAL RENT, PUNCTUALLY AS AND WHEN THE SAME SHALL BECOME DUE AND PAYABLE,
EACH AND EVERY COST AND EXPENSE OF EVERY KIND AND NATURE WHATSOEVER, FOR THE
PAYMENT OF WHICH LESSOR IS, OR SHALL OR MAY BE OR BECOME, LIABLE BY REASON OF
ANY