(III) AND (IV) OF
PARAGRAPH 16(A) AND PROCEEDS ATTRIBUTABLE TO THE GENERAL LIABILITY COVERAGE OF
BUILDER'S RISK INSURANCE UNDER CLAUSE (VI) OF PARAGRAPH 16(A) (ONLY IF CARRIED
BY TENANT AS OPPOSED TO A GENERAL CONTRACTOR OR SUBCONTRACTOR) AND
SHALL BE
PAYABLE TO THE PERSON ENTITLED TO RECEIVE SUCH PROCEEDS; AND
(II)
PROCEEDS OF INSURANCE REQUIRED UNDER CLAUSE (I) OF
PARAGRAPH 16(A) AND PROCEEDS ATTRIBUTABLE TO BUILDER'S RISK INSURANCE (OTHER
THAN ITS GENERAL LIABILITY COVERAGE PROVISIONS IF CARRIED BY TENANT) UNDER
CLAUSE (VI) OF PARAGRAPH 16(A) SHALL BE PAYABLE TO TENANT, LANDLORD, OR LENDER,
AS THE CASE MAY BE, AS PROVIDED IN PARAGRAPH 17 AND APPLIED AS SET FORTH IN
PARAGRAPH 17 OR, IF APPLICABLE, PARAGRAPH 18 OR PARAGRAPH 19.
TENANT SHALL
APPLY THE NET AWARD TO RESTORATION OF THE LEASED PREMISES IN ACCORDANCE WITH THE
APPLICABLE PROVISIONS OF THIS LEASE UNLESS A TERMINATION EVENT SHALL HAVE
OCCURRED AND TENANT HAS GIVEN A TERMINATION NOTICE.
31
(III)
THE PARTIES INTEND THAT THE TERMS OF THIS PARAGRAPH 16, AND THOSE
OF PARAGRAPHS 17 AND 19, CONSTITUTE AN "EXPRESS AGREEMENT TO THE CONTRARY" UNDER
SECTION 227 OF THE NEW YORK STATE REAL PROPERTY LAW.
(I)
IF AT ANY TIME DURING THE TERM ANY EVENT OF DEFAULT SHALL OCCUR
UNDER THE PROVISIONS OF PARAGRAPH 22(A)(XVIII), THEN LANDLORD SHALL HAVE RIGHT
(BUT NO LEGAL OBLIGATION HEREUNDER) TO PROCURE THE APPLICABLE INSURANCE POLICY
OR POLICIES AND TO CHARGE TENANT ALL COSTS ASSOCIATED WITH PROCURING SAME AS
ADDITIONAL RENT HEREUNDER.
17.
Casualty and Condemnation.
(A)
THE PROVISIONS OF THIS PARAGRAPH 17 SHALL, UNLESS OTHERWISE
EXPRESSLY STATED HEREIN TO THE CONTRARY, APPLY SOLELY WITH RESPECT TO A CASUALTY
OR CONDEMNATION AFFECTING THE LEASED PREMISES, IT BEING AGREED THAT THE RIGHTS
AND OBLIGATIONS OF TENANT OR THE CONDOMINIUM WITH RESPECT TO ANY CASUALTY OR
CONDEMNATION AFFECTING THE LAND OR BUILDING (BUT NOT THE LEASED PREMISES) SHALL
BE GOVERNED BY THE TERMS OF THE CONDOMINIUM DOCUMENTS.
IF ANY CASUALTY TO THE
LEASED PREMISES OCCURS, TENANT SHALL GIVE LANDLORD AND LENDER PROMPT NOTICE
THEREOF.
SO LONG AS NO EVENT OF DEFAULT EXISTS TENANT IS HEREBY AUTHORIZED TO
ADJUST, COLLECT AND COMPROMISE ALL CLAIMS UNDER ANY OF THE INSURANCE POLICIES
REQUIRED BY PARAGRAPH 16(A) (EXCEPT PUBLIC LIABILITY INSURANCE CLAIMS PAYABLE TO
A PERSON OTHER THAN TENANT, LANDLORD OR LENDER) AND TO EXECUTE AND DELIVER ON
BEHALF OF LANDLORD ALL NECESSARY PROOFS OF LOSS, RECEIPTS, VOUCHERS AND RELEASES
REQUIRED BY THE INSURERS AND LANDLORD SHALL HAVE THE RIGHT TO JOIN WITH TENANT
THEREIN; PROVIDED THAT, ANY FINAL ADJUSTMENT, SETTLEMENT OR COMPROMISE OF ANY
SUCH CLAIM IN EXCESS OF THE THRESHOLD AMOUNT SHALL BE SUBJECT TO THE PRIOR
WRITTEN APPROVAL OF LANDLORD, AND LANDLORD SHALL HAVE THE RIGHT TO PROSECUTE OR
CONTEST, OR TO REQUIRE TENANT TO PROSECUTE OR CONTEST, ANY SUCH CLAIM,
ADJUSTMENT, SETTLEMENT OR COMPROMISE.
IF AN EVENT OF DEFAULT EXISTS, TENANT
SHALL NOT BE ENTITLED TO ADJUST, COLLECT OR COMPROMISE ANY SUCH CLAIM OR TO
PARTICIPATE WITH LANDLORD IN ANY ADJUSTMENT, COLLECTION AND COMPROMISE OF THE
NET AWARD PAYABLE IN