Document:

Exhibit 10.83A

 

Exhibit 10.83a

ASSIGNMENT AND ASSUMPTION OF LEASE

     THIS ASSIGNMENT AND ASSUMPTION OF LEASE (the “Agreement”), is made as of
the 1st day of March, 2004 (the “Effective Date”), by and between Mr. Tire,
Inc., a Maryland corporation having an address of 23 Walker Avenue, Baltimore,
Maryland (“Assignor”) and Monro Muffler Brake, Inc., a New York Corporation
having a principal address of 200 Holleder Parkway, Rochester, New York
(“Assignee”).

RECITALS

     WHEREAS, Assignor as tenant, and The Three Marques, as landlord, entered
into a lease, dated January 1, 1997 (the “Lease”) relating to real property
known as 118 Back River Neck Road located in Essex, Baltimore County, Maryland
(the “Premises”); and

     WHEREAS, Assignor and Assignee entered into a certain Asset Purchase
Agreement dated as of February 9, 2004, as clarified by that certain Side
Letter Agreement dated as of February 9, 2004, as same may be further amended
and clarified (“Asset Purchase Agreement”), pursuant to which Assignor agreed
to assign to Assignee all of Assignor’s right, title and interest as tenant
under the Lease and Assignee agreed to assume all of Assignor’s obligations
under the Lease.

     NOW THEREFORE, pursuant to and in consideration of the Asset Purchase
Agreement:

     1. Assignor hereby assigns and transfers all of its right, title, and
interest in the Lease to Assignee to have and to hold the same from and after
the date hereof for the remainder of the term of the Lease.

     2. Assignee hereby assumes and agrees to perform all obligations of
Assignor pursuant to the Lease which accrue from the date hereof through the
remainder of the term of the Lease. Assignor will remain liable for all of its
obligations which accrued prior to the date hereof.

     3. The representations and warranties set forth in the Asset Purchase
Agreement with respect to the Lease assigned hereby, specifically, but not
limited to, those set forth in Section 3.10 are incorporated in this Assignment
as though set forth in full herein.

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     IN WITNESS WHEREOF, this Assignment has been duly executed by the parties
as of the Effective Date.

	 	 	 
	MR. TIRE, INC.
	 
	 	 
	By:

	 	/s/ Lonnie L. Swiger
	

	 	
 
	

	 	        Lonnie L. Swiger, Vice President
	 
	 	 
	

	 	    MONRO MUFFLER BRAKE, INC.
	 
	 	 
	By:

	 	/s/ Robert G. Gross
	

	 	
 
	

	 	        Robert G. Gross, President & CEO

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STATE OF MARYLAND

COUNTY OF HOWARD     SS.:

     On the 26th day of February, 2004, before me, personally appeared Lonnie
L. Swiger personally known to me or proved to me on the basis of satisfactory
evidence to be the individual(s) whose name(s) is (are) subscribed to the
within instrument and acknowledged to me that he/she/they executed the same in
his/her/their capacity(ies), and that by his/her/their signature(s) on the
instrument, the individual(s), or the person upon behalf of which the
individual(s) acted, executed the instrument.

	 
	/s/ Rachel V. Castranova

	
 

	Rachel V. Casstranova commissioned as Rachel V. Flad

	Notary Public

STATE OF NEW YORK

COUNTY OF MONROE       SS.:

     On the 1st day of March, 2004, before me, personally appeared Robert G.
Gross personally known to me or proved to me on the basis of satisfactory
evidence to be the individual(s) whose name(s) is (are) subscribed to the
within instrument and acknowledged to me that he/she/they executed the same in
his/her/their capacity(ies), and that by his/her/their signature(s) on the
instrument, the individual(s), or the person upon behalf of which the
individual(s) acted, executed the instrument.

	 
	/s/ Mindi S. Collom

	
 

	Mindi S. Collom

	Notary Public

138Exhibit 10.83B

 

Exhibit 10.83b

LANDLORD’S CONSENT AND ESTOPPEL CERTIFICATE

     The Three Marquees, the person, firm or corporation identified as the
landlord on Schedule “A” attached hereto (“Landlord”), DOES HEREBY CERTIFY
THAT:

     1. Landlord has entered into a certain lease which is more particularly
described in said Schedule (the “Lease”) covering a portion of certain real
property located at 118 Back River Neck Road in Essex, Baltimore County,
Maryland (the “Premises”).

     2. The Lease is valid, in full force and effect on the date hereof and
enforceable in accordance with its terms and has not been modified or amended
from the date of its execution to the date hereof, except as may otherwise be
indicated on said Schedule “A.”

     3. The term of the Lease commenced on the date of commencement shown on
Schedule “A” and will terminate, unless renewed or extended in accordance with
its terms, on the date of termination shown on Schedule “A”.

     4. All conditions precedent to the commencement of the term of the Lease
and to the payment of the basic rent, additional rent, percentage rent (if any)
and all other charges specified therein have been satisfied or waived by
Landlord.

     5. Landlord has delivered and Tenant has accepted and is in possession of
the Premises and is paying the basic rent, additional rent, percentage rent (if
any) and all other charges specified therein.

     6. The Premises and the use and occupancy thereof by Tenant comply with
the terms of the Lease.

     7. Neither the Landlord under the Lease nor, to the best of Landlords
knowledge, Tenant is in default with respect to the performance or observance
of any of their respective covenants or obligations under the terms of the
Lease nor has any event occurred with which the giving of notice or the passage
of time would constitute a default under the Lease.

     8. Landlord has not received any prepayment of any basic rent due under
the Lease, other than the current month’s rent.

     9. There are no rights of offset, abatement or reduction of basic rent
presently accruing to Tenant by reason of any provision of the Lease or
otherwise.

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          This Certificate is being given to and may be relied upon by Monro Muffler
Brake, Inc. (“Monro”) their successors and/or assigns, to induce Monro to
acquire Tenant’s leasehold interest under the Lease pursuant to an Asset
Purchase Agreement between Atlantic Automotive Corp., its wholly-owned
subsidiary, Mr. Tire, Inc. and Monro Muffler Brake, Inc. dated February 9,
2004.

     Landlord hereby acknowledges that its consent to the assignment of
Tenant’s interest pursuant to the provisions of the Lease has been requested
and consents to the assignment by Mr. Tire, Inc. to Monro Muffler Brake, Inc.
of the Tenant’s leasehold interest.

     IN WITNESS WHEREOF, Landlord has caused this Consent and Estoppel
Certificate to be duly executed this 27th day of February, 2004.

	 	 	 	 	 
	

	 	 	 	LANDLORD
	 
	 	 	 	 
	

	 	By:
	 	/s/ Fredric A. Tomarchio
	

	 	 	 	
 
	

	 	Name:
	 	Fredric A. Tomarchio
	

	 	Title:
	 	Member

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SCHEDULE “A”

	 	 	 
	Name of Landlord:

	 	The Three Marquees
	 

	 	 
	Name of Tenant:

	 	Mr. Tire, Inc.
	 

	 	 
	Date of Lease:

	 	January 1, 1997
	 

	 	 
	Leased Premises:

	 	118 Back River Neck Road
	 

	 	 
	

	 	Essex, MD 21221

	 	 	 
	Date(s) of amendment(s) to Lease (if any):

	 	None

	 	 	 	 	 
	Term of Lease:

	 	Commencement:
	 	January 1, 1997
	 

	 	 
	

	 	Termination:
	 	December 31, 2006
	 

	 	 
	

	 	Option Terms (if any):
	 	2 Ten (10) Year Terms

141Exhibit 10.84

 

Exhibit 10.84

LEASE AGREEMENT

     THIS
LEASE AGREEMENT is made this 2nd day of September, 1999, by and
between LPR ASSOCIATES, a Maryland Partnership, having an office at 1312 South
Main Street, Suite 2, Mt. Airy, Maryland 21771 (hereinafter called “Landlord”)
and MR. TIRE, INC., a Maryland corporation with office at 23 Walker Avenue,
Baltimore, Maryland 21208 (hereinafter called “Tenant”).

     WITNESSETH: That in consideration of the rents, covenant and agreements
herein contained, Landlord leases to Tenant, and Tenant rents from Landlord,
the hereinafter described store premises (hereinafter called the “premises”).

	 	 	 
	Premises:

	 	6,156 square feet of floor space as shown on the plan
attached hereto as Exhibit “A” together with the right to use,
in common with Landlord, other tenants of the Center and their
patrons, the common areas of the Center.
	 
	 	 
	Center:

	 	The Food Lion Shopping Center on South Main Street in the
Town of Mt. Airy, Frederick County, Maryland.
	 
	 	 
	Minimum Annual Rent:
	 	 
	 
	 	 
	Initial Term:

	 	Years 1-5 - $101,568.00; $8,464.00 per month
	

	 	Years 6-10 - $116,840.88; $9,736.74 per month
	 
	 	 
	Renewal Terms:

	 	Years 11-15 - $134,323.92; $11,193.66 per month
	

	 	Years 16-20 - $154,454.04; $12,871.17 per month
	

	 	Years 21-25 - $177,662.16; $14,805.18 per month
	

	 	Years 26-30 - $204,317.64; $17,026.47 per month
	

	 	Years 31-35 - $234,974.52; $19,581.21 per month
	

	 	Years 36-40 - $270,186.84; $22,515.57 per month
	 
	 	 
	Taxes, Maintenance
	 	 
	Expenses and
	 	 
	Insurance:

	 	Tenant shall reimburse Landlord for its share 7% of the
annual real property taxes, common area expenses and insurance
premiums for the Center.
	 
	 	 

	 	 	 	 	 
	Security Deposit:

	 	$8,464.00	 	 

ARTICLE I

THE PREMISES

Section 1.1. Landlord shall perform all of the work set forth in Exhibit “B”;
provided, however, if the cost thereof exceeds One Hundred Eighty-Eight Thousand
Dollars ($188,000.00), Tenant shall, promptly, upon demand, pay the excess to
Landlord. Tenant shall perform any other work necessary for it to conduct the
business allowed by this Lease; provided, however, Tenant shall submit to
Landlord, for its prior approval, plans for its work.

ARTICLE II

TERM

Section 2.1. Commencement Date and Length of Initial Term. The initial term of
this Lease shall begin on the earlier to occur of (i) thirty (30) days from the
date Landlord’s architect notifies Tenant that it has

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completed its work in the premises as set forth in Exhibit B in a manner
sufficient to allow Tenant to obtain a certificate of use and occupancy after
Tenant completes its work in the Premises or (ii) the day on which Tenant opens
for business in the premises; and end ten (10) years after the first day of the
first full calendar month of the term.

Section 2.2. Renewal Term. Tenant shall have the option to renew the term of
this Lease for six (6) additional, successive terms of five (5) years each,
provided that this Lease is in full force and effect and free of defaults by
Tenant on the day a renewal option is exercised and on the day a renewal term
begins. The renewal terms shall be on the same terms, covenants and conditions
as the initial term, except that the rent shall be as hereinabove set forth,
and there shall be no further right of renewal after the last renewal term
provided for herein. Each right of renewal must be exercised by delivery to
Landlord of an unequivocal written notice of election to renew at least twelve
(12) months prior to the end of the initial term, or the then renewal term, as
the case may be and upon the giving of notice and without any further
instrument, this Lease shall be renewed.

ARTICLE III

QUIET ENJOYMENT, SUBORDINATION,

COMMENCEMENT AND ESTOPPEL CERTIFICATES

Section 3.1. Quiet Enjoyment. So long as Tenant complies with the terms,
covenants and conditions of this Lease on Tenant’s part, Tenant shall have the
peaceful and quiet use of the premises, subject to the terms, covenants and
conditions of this Lease, without interference by Landlord or anyone claiming
by, through or under Landlord.

Section 3.2. Mortgage Subordination and Seniority. The holder of any mortgage
or deed of trust hereafter placed upon the Center shall have the right to
elect, at any time, whether this Lease shall be subordinate to the operation
and effect of the mortgage or deed of trust. Tenant shall, upon request,
execute a subordination agreement in form satisfactory to the holder; provided
that the Agreement stipulates that Tenant’s possession shall not be disturbed
so long as it is not in default of its obligations hereunder.

Section 3.3. Commencement and Estoppel Certificates. When the term begins,
Tenant shall promptly enter into a written agreement with Landlord stipulating
the beginning and ending dates of the initial term. Within three (3) days
after a written request from time to time made by Landlord, Tenant shall
deliver to Landlord a signed and acknowledged statement setting forth: (i)
that this Lease is unmodified, in full force and effect, free of existing
defaults of landlord and free of defenses against enforceability (or if there
have been modifications or defaults, or if Tenant claims defenses against the
enforceability hereof, then stating the modifications, defaults and/or
defenses), (ii) the dates to which rent and additional rent have been paid, and
the amount of any advance rentals paid, (iii) the beginning and ending dates of
the initial term, (iv) whether Tenant has given notice exercising the right to
renew this Lease, and if so, the renewal terms so opted, (v) that Tenant has no
outstanding claims against Landlord (or if there are any claims, then stating
the nature and amount of such claims) and (vi) the status of any other
obligation of either party under or with respect to this Lease; it being
intended that any such statement may be relied upon by any purchaser or
mortgagee of Landlord’s interest in the premises, or any prospective purchaser
or mortgagee.

ARTICLE IV

RENT

Section 4.1. Minimum Rent. The minimum rent shall be paid in advance, on the
first day of each calendar month.

Section 4.2. Additional Rent. Whenever under the terms of this Lease any sum
is required to be paid by Tenant in addition to minimum rent, whether or not
such sum is herein designated as “additional rent” or provision is made for
collection additional rent, it shall, nevertheless, be deemed to be
additional rent, and shall be collectible as rent. All minimum rent and
additional rent shall be paid without set off, abatement, deduction or
recoupment, except as expressly set forth in this Lease. Any payment by Tenant
of a lesser amount

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of minimum or additional rental than is then due shall be applied to such
category of arrearage as Landlord may designate irrespective of any contrary
designation by Tenant and to the oldest, most recent or other portion of the
sum due as Landlord may determine; and Landlord’s acceptance of any partial
payment shall not be deemed an accord and satisfaction and shall be without
prejudice to Landlord’s right to pursue other remedies.

Section 4.3. Payment. All rent payable and all statements due by Tenant to
Landlord shall be paid and mailed to Landlord at P. O. Box 128, Mt. Airy,
Maryland 21771 or at such other address as Landlord may designate in writing to
Tenant.

Section 4.4. Net Rent. The rent reserved hereunder shall be net, net, net to
Landlord and all costs, charges, expense and obligations of every kind relating
to the premises and its use and occupancy, which may arise or become due during
the term of this Lease, shall be paid by Tenant.

ARTICLE V

SECURITY DEPOSIT

Section 5.1. Landlord hereby acknowledges receipt from Tenant of Eight Thousand
Four Hundred Sixty-Four Dollars ($8,464.00) to be held by Landlord as security
for the payment of rent and the performance of Tenant’s other obligations under
this Lease. This deposit shall be returned to Tenant at the end of the
tenancy, so long as all rent and additional rent payable to that date has been
received by Landlord and Tenant is not otherwise in default of any of its
obligations hereunder. If Tenant defaults in the payment of rent or in the
performance or observance of any other obligation its part under this Lease,
Landlord may apply the deposit to payment of the rent in default or other money
arrearage and/or to the damages and costs incurred by Landlord as a result of
any default, and/or to costs incurred by Landlord in rectifying any default,
and/or to the prepayment of minimum rent for any subsequent period of the term
and/or to any amount to which Landlord may be entitled under this Lease; and
Tenant shall promptly thereafter restore the deposit to the original amount.
The right of Landlord to apply the security deposit as above specified shall
not be construed as a limitation upon Landlord’s right to invoke any other
remedy available under this Lease or at law or equity for breach of this Lease,
or to collect the full amount of damages owing by Tenant on account of any
breach.

ARTICLE VI

PERMITTED USE AND CONTINUED OCCUPANCY

Section 6.1. (a) Permitted Use. The premises shall be used and occupied solely
as an auto service center and Allstate Rent-A-Car. The premises may not be
used for any other purpose.

     (b) Special Restrictions. Without any intention to diminish the efficacy
of Section 6.1(a), but in order to specify particular uses and practices which,
if engaged in by Tenant, would be in violation of other leases, or recorded
agreements pertaining to the Center, or of exclusive use privileges which
Landlord has, will or may desire to grant or which constitute businesses or
practices which Landlord may desire to prohibit or control, Tenant shall not,
at any time: operate a second hand store, general merchandise or discount
department store, “Army Navy” or “surplus” store, nor may the premises be
utilized for the sale of health and/or beauty aids, automobiles, trucks,
trailers, or other motor vehicles, pornographic materials or merchandise
normally used or associated with illegal or unlawful activities, nor may the
premises be used as a food supermarket, dairy store, ice cream store, hardware
store, convenience store, drug store or pharmacy, or as a pool hall, bowling
alley, funeral parlor, movies or live theater or peep show, arcade (for video
games, pinball machines, or other amusement devices), massage parlor, cocktail
lounge, tavern, bar, flea market, health spa, child center, skating rink,
establishment which sells alcoholic beverages for on-premises consumption or
other health, recreational or entertainment type activity. No vending machines
may be placed anywhere outside of the premises.

Section 6.3. Permitted Name. Tenant shall conduct business on the premises in
the name of “MR. TIRE-Allstate Rent-A-Car” and under no other name or trade
name unless the use of another name is approved in writing by Landlord.

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Section 6.4. Restrictions on Landlord. So long as Tenant is continuously
conducting its automotive service business in the premises, Landlord
shall not lease any space in the Center (other than the premises) for
the primary purpose of operating an automotive service center. In order to satisfy the
requirements hereof, leases of space in the Shopping Center hereafter made may
require the lessee thereunder to covenant either that it will not use its
premises for the aforesaid prohibited purpose or that such lessee shall use its
premises only for some specific purpose or purposes specified in such lease
(and not prohibited hereby). Landlord shall not be liable in damages or
otherwise if any lessee in the Center violates any such covenant in the lease
between Landlord and such lessee; and Tenant shall not be entitled to cancel
this Lease by reason of other lessee’s violation of any such covenant. Tenant
may, however, at its expense, bring an action at law or in equity in its own
name or in Landlord’s name, against any lessee to enforce any such covenant or
to enjoin the violation thereof; Tenant shall save Landlord harmless from any
liability or expense that Landlord might suffer or incur by reason of the
filing of such action by Tenant in Landlord’s name.

     The parties acknowledge that the foregoing restriction has been imposed at
the request of Tenant and for the sole benefit of Tenant. Accordingly, Tenant
agrees to indemnify and hold Landlord harmless from all damages, costs, and
liabilities whatever, including but not limited to Landlord’s attorneys’ fees
and any award of damages incurred by Landlord as a result of legal proceedings,
either threatened or instituted, as a result of the imposition of the foregoing
restrictions.

     The foregoing restriction shall not apply to the premises presently
occupied by “Food Lion” and “Southern States”; and shall be subject to right of
the hardware store in the Center to sell any or all of items that Tenant may
sell from the premises.

ARTICLE VII

COMMON AREAS

Section 7.1. (a) Tenant’s Right to Use Common Areas. Tenant and its customers
shall be entitled to the non-exclusive use, free of charge, but in common with
others, of (1) the automobile parking areas (herein called “parking areas”)
from time to time made available by Landlord in the Center, for parking of
vehicle only; (2) the entrances and exits thereto and the driveways thereon,
for vehicular and pedestrian ingress and egress only (which parking areas,
entrances, exits thereto and the driveways thereon, for vehicular and
pedestrian ingress and egress only (which parking areas, entrances, exits and
driveways are sometimes herein collectively called “vehicle areas”); and (3)
the pedestrian walkways in the Center, for pedestrian ingress and egress only.
All of the facilities described in (1), (2) and (3) are herein sometimes
collectively called “common areas”. Tenant and its contractors, agents (other
than premises employees), licensees, invitees and suppliers may use any of the
vehicle areas for ingress and egress and may use the parking areas for parking
of noncommercial vehicles and may load and unload commercial vehicles in the
parking area at the service door to the premises and shall thereafter promptly
remove such vehicles; and may use any delivery driveway designated by Landlord
for access to the premises for deliveries, pickups and other services to the
premises, but no other driveways. All such uses shall be subject to rules and
regulations prescribed from time to time by Landlord; and Landlord shall have
exclusive management and control over the common areas. The common areas shall
only be used as herein set forth. The storage or placing of tires or any other
items or the sale of any item, or the placement of vending machines outside the
premises or anywhere in the common areas or in the corridor or loading area is
prohibited. Parking in any driveway or other area of the Center not
specifically designed for parking is prohibited.

     (b) Employee Parking. Tenant and its employees shall have the right, in
common with others, to park vehicles in the areas that Landlord designates as
employee parking areas and in no other areas and may use the other vehicle
areas for ingress and egress only. Tenant shall promptly furnish to Landlord,
on request, license numbers of vehicles used by Tenant and its employees. If
for employee of Tenant parks a vehicle in an area other than that designated
for parking of employees, Tenant shall pay Landlord Ten Dollars ($10.00) per
day or partial day for each vehicle so parked, and Landlord shall have the
right to remove such vehicle to the designate employee parking area at Tenant’s
expense, if Landlord gives the manager of the premises oral or written notice
of such employee’s current or past parking violations at least two (2) days
prior to removal. Tenant shall defend, indemnify and save Landlord harmless
from any claims for damages which may be made against Landlord by any employee
of Tenant on account of or arising out of removal of a vehicle belonging to an
employee of Tenant.

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     (c) Control of Parking Areas. In order to preserve the parking areas for
the use of patrons of the Center, Landlord may exact parking charges (by meters
or otherwise) provided that provision is made for free parking ticket
validation for Tenant’s customers, may close temporarily all or any portion of
the common areas as may be required for proper maintenance and/or repair or to
avoid areas as may be required for proper maintenance and/or repair or to avoid
deduction to public use, and take such other action as it deems advisable in
its business judgment in order to secure or improve the convenience and use
thereof by the tenants of the Center and their customers. Landlord may from
time to time change the location, layout and arrangement of the parking areas,
driveways and walkways and erect buildings or other temporary or permanent
structures or improvements thereon, provided that Landlord maintains sufficient
automobile parking facilities for the Center to comply with legal requirements,
and does not deprive Tenant of access to the premises.

     (d) No Public Use. Nothing herein contained shall be deemed to be a
dedication of the common areas to public use, it being Landlord’s intention
that the common areas may be used only by Tenant and the other permitted users
mentioned in this Section, and then only for the limited purposes specified as
to each user.

Section 7.2. Maintenance of Common Areas. Landlord shall provide illumination
of the common areas during such after dark hours as Landlord shall determine,
and shall keep the common areas in reasonable repair, substantially clear of
ice and snow to allow substantial use thereof for the intended purpose, with
reasonable diligence under the circumstances.

Section 7.3. Maintenance Contribution. As a contribution to Landlord’s costs
of operating and maintaining the common areas and the facilities thereon,
Tenant shall pay Landlord, beginning on the commencement date, 7% of the cost
of maintaining and operating the common areas and facilities of the Center.
Tenant shall be billed quarterly for its contribution to Common Area Costs.
This year, Tenant’s quarterly contribution would be $525.00. Contributions
shall be adjusted within thirty (30) days after Landlord determines its actual
costs for any fiscal period to reflect Tenant’s actual share of costs, at which
time Landlord shall provide Tenant with detailed breakdown of the costs and
expenses, and, if requested, copies of bills for items included thereon.
Tenant shall pay any balance owing for the period, or shall be refunded any
excess, as the case may be, and the monthly payments shall also be adjusted to
conform to the cost projection adopted by Landlord.

ARTICLE VIII

ASSIGNMENT AND SUBLETTING

Section 8.1. Restrictions on Assignment. Tenant shall not assign this Lease or
sublease any of the premises, without Landlord’s prior written consent, which
consent shall not be unreasonably withheld or delayed. Any assignment by
operation of law, attachment or assignment for the benefit of creditors shall
constitute a default hereunder.

Section 8.2. No Waiver. If Landlord consents to any assignment or sublease as
defined in and prohibited by Section 8.1, any rent in excess of the rent
reserved herein shall be paid to Landlord and, in addition to any other
consideration that may pass between the parties in connection therewith, Tenant
and any assignee or sublessee shall be deemed to have covenanted not to make any
further assignment or sublease contrary to the provisions of Section 8.1. and
such covenant shall be deemed to have been made as of the date of consent and
shall take effect prospectively from the date thereof.

ARTICLE IX

REPAIRS

Section 9.1. Tenant shall make all necessary repairs to the sprinkler system,
heating, ventilating and air conditioning systems and all other machinery,
equipment, facilities and systems in and servicing the premises and Tenant
shall keep the premises, including the store front, windows, doors and signs,
in good condition and repair, and shall make all replacements required to
maintain said status of repair. Tenant shall maintain a service

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contract for the heating, ventilating and air conditioning systems servicing
the premises with companies acceptable to Landlord. At the beginning of the
term of copy of the contract shall be given to Landlord and copies of renewals
thereof given to Landlord prior to expiration. Tenant shall also keep in good
condition and repair the common areas within fifteen feet of the wall of the
premises service door, and Tenant shall keep said area clean. Landlord shall
maintain and repair the roof, walls and other structural portions, excluding
the overhead doors and adjacent areas of the premises. All repairs and
replacements shall be equal in quality to original construction.

ARTICLE X

UTILITIES

Section 10.1. Payment for Utilities. Beginning on the date Tenant enters the
premises, Tenant shall pay all charges for water and sewer service furnished to
the premises based on the usage shown by utility company meters exclusively for
the premises. Tenant shall also pay, when due, all consumption
charges for all other services furnished to the premises, including, but without limitation,
heat, air conditioning, electricity and telephone. Charges billed by utility
companies shall be paid by Tenant directly to the companies.

     Landlord shall not be liable to Tenant for damages because of any
interruption in utility services, and Tenant shall not be entitled to claim a
constructive eviction due to such interruption, but Landlord shall proceed with
reasonable diligence to restore such service to the extent that it is within
Landlord’s control.

ARTICLE XI

TENANT’S OPERATIONS, ALTERATIONS, MACHINES, SIGNS AND COMPLIANCE

Section 11.1. Rules and Regulations. Tenant shall comply with the rules and
regulations set forth on Exhibit “C” attached hereto, and with any additions
and modifications adopted from time to time by Landlord, and each rule and
regulation shall be deemed a covenant of this Lease to be performed and
observed by Tenant.

Section 11.2. Garbage Collection Service. Landlord has provided a dumpster
near the rear of the premises in which Tenant shall place all garbage and trash
generated on site. Tenant may not, however, place any tires, lubricants or any
other hazardous materials therein. Tenant shall provide for removal of such
items. Tenant may not, however, place any garbage or trash generated off site
and all such refuse may not be brought to the Center. Tenant shall insure that
all of its refuse is placed in the dumpster and that the area surrounding the
dumpster is clean and neat.

Section 11.3. Alterations. Tenant shall not make any alterations, additions or
improvements to the store front of the premises or any alterations, additions
or improvements affecting structural or support elements of or in the building
of which premises are a part, or affecting any utility system servicing the
which the premises or other parts of the Center. Any alterations, additions or
improvements by Tenant which are permitted hereunder or hereafter approved by
Landlord shall immediately become the property of Landlord and remain upon the
premises at the end of the term unless Landlord notifies Tenant to restore the
premises to its original condition, in which event Tenant shall comply with
such requirement prior to the expiration of the term. Tenant shall not cut or
drill into, or secure any fixtures, apparatus or equipment of any kind to, any
part of the premises without Landlord’s prior written consent; and if Tenant
shall cut through or pierce the roof or exterior walls of the premises,
Landlord’s repair obligations respecting the roof or exterior walls (as the
case may be) under Section 9.1 hereof shall thereupon terminate. Before
undertaking any alterations permitted hereunder or consented to by Landlord,
Tenant shall obtain and furnish to Landlord an endorsement to the public
liability insurance policy required to be carried by Tenant under Section 14.02
hereof to cover liabilities incurred in connection with any work undertaken by
Tenant.

Section 11.4. Signs. Tenant may, at its expense, pursuant to applicable
permits, install a single face sign on the front and side of the premises and,
a sign panel in place of the Rite-Aid panel on the existing free standing sign
facing Ridge Ville Boulevard. The design of each shall be approved by Landlord
prior to installation. Tenant shall not place, suffer to be placed or maintain
any other sign, billboard, marquee, awning, decoration,

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placard, lettering, advertising matter or other thing of any kind, permanent or
temporary, on the exterior of the premises, or in or on any window, or door of
the premises.

Section 11.5. Compliance with Laws and Insurance Requirements. Tenant shall
promptly comply with all laws, rules, regulations, requirements and
recommendations of governmental bodies and public authorities and of the
Insurance Service Office for the area in which the premises are situated and of
Landlord’s insurers, pertaining to the premises and the use and occupancy
thereof, and to fire preventive, warning and extinguishing apparatus. Tenant
shall not do or suffer to be done, or keep or suffer to be kept anything in or
about the premises which will contravene any of Landlord’s insurance policies
on the Center or any part thereof (including, without limitation fire,
casualty, liability, and rent insurance) or which will prevent Landlord from
procuring policies in companies reasonably acceptable to Landlord, or which
will impair Landlord’s rights to collect on any insurance policy; and if
anything done, omitted to be done or suffered to be done by Tenant (including,
without limitation, failure to occupy the premises) or kept, or suffered by
Tenant to be kept in or about the premises shall cause the rate of
any insurance on
the premises or on any other part of the Center to be increased above the rate
applicable to the least hazardous type of retail occupancy permitted in the
Center or shall cause any policy of Landlord’s to be canceled or result in the
disturbance of an insurance recovery, then Tenant will pay the increase in
premium promptly upon Landlord’s demand or indemnify Landlord for any loss to
the extent that insurance proceeds are insufficient to fully cover such loss,
as the case may be.

ARTICLE XII

MECHANIC’S LIENS AND OTHER LIENS

Section 12.1. Mechanic’s and Materialmen’s Liens. If any mechanic’s or other
lien is filed against any part of the Center by reason of any labor, material
or service furnished or alleged to have been furnished to Tenant or for any
change, alteration, addition or repair to the premises made by Tenant, Tenant
shall cause such lien to be released of record by payment, bond or otherwise as
allowed by law, at Tenant’s expense, within thirty (30) days after the filing
thereof; and Tenant shall, at its expense, defend any proceeding for the
enforcement of any such lien, discharge any judgment thereon and save Landlord
harmless from all losses and expenses resulting therefrom, including counsel
fees and other expenses incurred by Landlord if it elects to defend or
participate in the defense of such proceeding.

Section 12.2. Other Liens. Tenant shall not permit the premises to be subjected
to any statutory lien by reason of any act or omission of Tenant or its
concessionaires, licensees or subtenants or their respective agents, employees
or contractors; and in the event that any such lien attaches to the premises or
the Center, Tenant shall discharge the same promptly by payment, bond or
otherwise as allowed by law, at its expense, within thirty (30) days after the
filing thereof.

ARTICLE XIII

ROOF, WALLS AND INTERIOR

Section 13.1. Use of Roof and Walls by Landlord. Landlord reserves the
exclusive rights to the use of all or any part of the roof of the premises, air
space there above, and the rear and side walls of the premises, for support or
other purposes.

Section 13.2. Pipes and Conduits. Landlord reserves the right to install and
maintain pipes, conduits, wires and ducts in and through the premises to serve
other part of the Center, so long as any visible installation does not
unreasonably interfere with the use or appearance of the premises.

ARTICLE XIV

PUBLIC LIABILITY AND INSURANCE

Section 14.1. Damage to Landlord’s Property. Tenant shall indemnify Landlord
for any damage to any property of Landlord in the Center caused by or arising
out of or in connection with any act or omission of

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Tenant, its employees, agents or contractors, or Tenant’s occupancy or use of
the premises, or any thing, matter or condition of, on or pertaining to the
premises, or any breach by Tenant of any term, covenant or condition of this
Lease to be performed or observed By Tenant.

Section 14.2. (a) Indemnity of Landlord. Tenant shall defend, indemnify and
save Landlord harmless from and against any and all claims, actions, demands,
damages, liability and expenses (including counsel fees) for injury to the
property of others and injury or death of persons, which is caused by or arises
out of or in connection with Tenant’s use or occupancy of the premises or the
common areas, or any thing, matter or condition of, on or pertaining to the
premises, or any act or omission of Tenant, its agents, employees, or
contractors, or out of breach by Tenant of any term, covenant or condition of
this Lease to be performed or observed By Tenant.

     (b) Liability Insurance. Tenant shall, at its expense, maintain
Commercial General Liability Insurance, and sprinkler damage liability
insurance, if applicable, covering personal injury and property damage, which
shall include Landlord and Tenant as named insureds, and shall include
contractual indemnity coverage for Tenant’s liability hereunder with combined
minimum liability limits of Two Million Dollars ($2,000,000.00) written on an
occurrence basis. The foregoing limits shall be increased every five (5) years
to an amount equal to that then carried by similar businesses in The Baltimore
Metropolitan Area.

     (c) Plate Glass Insurance. Tenant shall, at its expense, maintain plate
glass insurance for the full replacement value of all plate glass in the
premises.

     (d) Carrier. All insurance required by this Lease shall be written with
insurance companies licensed to do business in Maryland and shall contain an
endorsement requiring thirty (30) days prior written notice to Landlord of any
modification, cancellation or surrender.

     (e) Delivery of Policies. Prior to the beginning of the term Tenant shall
deliver to Landlord the original insurance policies required by this Article
bearing a notation by the insurer or its agent that the premium is paid; and
renewal certificates of each policy shall be delivered to Landlord at least
thirty (30) days prior to the expiration of any policy term bearing a notation
that the renewal premium has been paid.

ARTICLE XV

REAL ESTATE TAXES

Section 15.1. Payment of Real Estate Taxes. Tenant shall pay to Landlord,
promptly upon demand, its share of all real estate taxes, assessments and other
governmental charges levied against the Center. Tenant’s share is 7% of the
total payable for the Center. Tenant shall pay all real estate or other taxes
attributable to improvements to the premises made by Tenant. When Tenant makes
any leasehold improvements to the premises, it shall promptly furnish Landlord
with a certified statement of the cost; and the taxes attributable thereto
shall be paid by Tenant. Tenant’s obligation to pay taxes and other charges
shall be apportioned with respect to the tax years in which the term begins and
ends, and Tenant shall pay to Landlord, at the beginning of the term, its
apportioned share for the balance of the tax year in which the term begins.
Taxes are paid in July and Tenant’s share for the current year would be
$4,000.00. Upon request, Landlord shall provide Tenant with a copy of the
bill, Tenants share of taxes shall be apportioned for the year in which the
term begins and ends, if appropriate.

Section 15.2. Licenses and Permits. Tenant shall obtain all permits respecting
Tenant’s use and occupancy of the premises, and shall pay all minor privilege
charges, occupancy permit fees, license fees or other charges or taxes which
are imposed on or with respect to the premises and the use and occupancy
thereof.

ARTICLE XVI

TENANT’S PROPERTY

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Section 16.1. Trade Fixtures. Trade fixtures and equipment (called “fixtures”
in this Article) installed by Tenant in the premises shall be owned, leased or
financed in the name of Tenant only. Promptly upon request, Tenant shall
furnish Landlord with evidence of the nature of its interest in the fixtures.
The fixtures shall be maintained by Tenant in attractive condition and in good
repair, and shall remain the property of Tenant. Fixtures shall be removable
at the expiration of the term if Tenant is not then in default under this
Lease, and shall be removed by Tenant at the end of the term upon Landlord’s
demand; and upon removal Tenant shall repair any damage to the premises caused
by installation or removal of fixtures and any wear and tear caused by the
presence or use of the fixtures.

Section 16.2. Negligence of Landlord and Acts of Other Tenants. Tenant shall
carry a standard business owners insurance policy on Tenant improvement and
its trade fixtures, merchandise and other personal property in the premises for
their full replacement value, and Landlord shall be named as an additional
insured. Landlord shall not be liable to Tenant for any damage to any such
property or to any property required to be insured by Tenant, from any cause,
unless (i) the damage is due to Landlord’s negligence and (ii) the damage is
caused by an occurrence which is not an insured hazard under the standard
business owners policy available for insuring property of Tenant at the time
of the loss; it being understood that it is not the intention of the parties
that Landlord be relieved from liability to Tenant for negligence contrary to
any statute or public policy of the State of Maryland, but rather that Tenant
avail itself of available insurance coverage without subjecting Landlord to
liability for losses that could have been insured, and without subjecting
Landlord to subrogation claims of any insurer.

ARTICLE XVII

LANDLORD’S ENTRY ON PREMISES

Section 17.1. Landlord and its representatives may enter the premises at
reasonable times to inspect the premises, to enforce the provisions of this
Lease, to make repairs required of it hereunder, to rectify defaults of Tenant
pursuant to the rights granted to Landlord hereunder, to make repairs to other
premises in the Center, to check the temperature in the premises and to repair
any utility lines or system or systems servicing other parts of the Center or
to rectify any condition in the premises adversely affecting other occupants of
the Center. Landlord may bring upon the premises all things necessary to
perform any work done in the premises pursuant to this Section. Nothing herein
contained shall be deemed or construed to impose upon Landlord any obligation
or responsibility whatsoever for the care, maintenance or repair of the
premises, except as otherwise specifically provided in this Lease. Any work
performed by Landlord hereunder shall be performed with reasonable care and
completed expeditiously, subject to excusable delays under Section 9.01.

ARTICLE XVIII

FIRE OR OTHER CASUALTY

Section 18.1. Repair and Restoration. If the premises are damaged or destroyed
by fire, or other casualty included in the standard extended coverage
endorsement to fire insurance policies used in Maryland, Landlord shall, with
reasonable diligence, but subject to delays in adjusting the insurance loss and
excusable delays, repair the damage to (or replace) those parts of the premises
and the facilities therein which were originally constructed and/or installed
by Landlord. Tenant shall with reasonable diligence repair the damage to (or
replace) those parts of the premises and the facilities therein which were
originally constructed and/or installed by Tenant, and all other leasehold
improvements made by Tenant. Notwithstanding the foregoing, if as a result of
any casualty the premises is substantially destroyed, or the building in which
the premises are located is substantially destroyed or damaged (irrespective of
damage to the premises), then Landlord may, by notice to Tenant within one
month after such occurrence, elect to terminate this Lease, in which event this
Lease shall terminate on the date specified in such notice and all obligations
of the parties hereunder shall be adjusted as of such date. Except as
otherwise provided in this Section, this Lease shall not terminate as a result
of any damage or destruction to the premises. If the premises are rendered
untenantable, in whole or in part, because of such casualty, the minimum rent
payable by Tenant shall abate proportionately to Tenant’s loss of use until the
damage has been repaired.

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Section 18.2. Payment of Insurance Premiums. Landlord shall maintain all risk
hazard insurance and rental loss insurance on the Center, including the
premises, in such amounts as it may desire or which may be required by any
mortgage lender. Tenant shall pay to Landlord, promptly upon demand, Tenant’s
share of the premiums for this insurance. Tenant’s share is 7% of the total
premiums for the Center. At the beginning of the term, Tenant shall pay
Landlord its share of the premium for the balance of the premium year.
Insurance premiums are paid in September and Tenant’s share for the current
year would be $425.00. Upon request, Landlord shall provide Tenant with a copy
of the bill, Tenants share of insurance shall be apportioned for the years in
which the term begins and ends, if appropriate.

ARTICLE XIX

EMINENT DOMAIN

Section 19.1. Effect of Total or Partial Condemnation. If the premises are
condemned in whole or part under power of eminent domain, this Lease shall
terminate on the date title or possession vests in the condemning authority,
whichever is first. Rent, Additional Rent and other changes payable hereunder
shall be apportioned as of the date of termination.

Section 19.2. Other Condemnation in the Center. If the building in which the
premises is located or if other buildings in the Center are condemned under the
power of eminent domain, or if the nature, location or extent of any proposed
condemnation affecting the Center is such that Landlord elects in good faith to
demolish all or substantially all of the building in which the premises is
located, then Landlord may terminate this Lease by giving written notice of
termination to Tenant at any time after such condemnation, and this Lease shall
terminate on the date specified in such notice.

Section 19.3. Condemnation Awards. In the event of any condemnation of all or
part of the premises or the Center, Tenant shall not be entitled to share in
any part of the condemnation award (including consequential damages) for the
taking, either for its leasehold estate or for its rights to use any of the
common areas of the Center, whether or not this Lease is terminated under the
provisions of this Article by reason of condemnation. Tenant shall, however,
be entitled to retain any separate award obtained from the condemning authority
for moving expenses and loss of trade fixtures to the extent compensable
without diminution of Landlord’s award.

Section 19.4. Definitions. As used herein, the terms “condemned” and
“condemnation” include sale by Landlord to a condemning authority under threat
of condemnation. Landlord shall have the power and authority to convey the
entire fee simple title in all or any part of the premises or the Center to the
condemning authority without Tenant’s joinder, and any such conveyance by
Landlord alone shall be deemed free and clear of any leasehold or other
interest of Tenant therein, and any condemning authority shall be entitled to
rely upon the provisions of this sentence in accepting a deed from Landlord
alone. As use herein the term “condemnation award” includes the proceeds from
any sale to a condemning authority under threat of condemnation.

ARTICLE XX

BANKRUPTCY OR INSOLVENCY

Section 20.1. If any transfer of Tenant’s interest in the premises is made
under execution or similar legal process, or if a petition is filed by or
against Tenant to adjudicate Tenant a bankrupt or insolvent under any federal
or state law, or if a receiver or trustee is appointed for Tenant’s business or
property and such appointment is not vacated within thirty (30) days, or if a
petition is filed by or against Tenant under any provision of federal or state
law for a corporate reorganization of Tenant or an arrangement with creditors,
or if Tenant makes an assignment or deed of trust for the benefit of its
creditors, or if in any other manner Tenant’s interest under this Lease shall
pass to another by operation of law, then, Tenant shall be deemed to have
committed a material breach of this Lease, and Landlord may, at its option,
terminate this Lease and reenter the premises; but, notwithstanding such
termination. Tenant shall remain liable for all rent and damages which may be
due at the time of termination and for the liquidated damages set
forth in Section 21.3 of this Lease. Nothing contained in this Lease
shall be deemed to
preclude Landlord from obtaining the maximum amount recoverable from Tenant
under law in any proceeding referred to in this Section; and Tenant hereby
covenants that in the event of a termination or reentry under this Section,
Tenant shall be liable to

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Landlord for the maximum amount recoverable from Tenant under the law
pertaining to proceeding resulting in reentry or termination by Landlord.

ARTICLE XXI

DEFAULTS AND REMEDIES

Section 21.1. Abatement of Tenant’s Defaults. If Tenant fails to maintain any
insurance required to be maintained by it under this Lease, or fails to furnish
evidence of insurance renewals at the times in this Lease required, or allows
such insurance to lapse or be canceled, Landlord may obtain such insurance for
Tenant without notice. If Tenant defaults in the performance or observance of
any other non-monetary term, covenant or condition to be performed or observed
by it under this Lease, and such default continues for more than fifteen (15)
days after written notice thereof, Landlord may take action to rectify such
default on Tenant’s behalf and Landlord may rectify such default
on Tenant’s behalf immediately and without such notice if immediate
action is reasonably believed to be required in order to avoid injury or damage
to other persons or property (including Landlord’s property).
Landlord may enter the premises to rectify such defaults.

     All money advanced and costs and expenses incurred by Landlord in
rectifying any default (including Landlord’s reasonable legal fees) together
with interest thereon at the rate of twelve percent per annum from the date
advanced until paid, shall be repaid by Tenant to Landlord on demand.

Section 21.2. Distraint and Default Rent. If any payments of rent or
additional rent are in arrears for more than ten (10) days after written notice
of non-payment, (a) Landlord may distrain therefore, and shall be entitled to
the benefit of all laws pertaining to distraint or actions in the nature of
distraint; and (b) beginning on the 11th day of arrearage and continuing until
such arrearage is paid, Tenant shall be liable to Landlord for payment of
additional rent (herein called “arrearage rent” for the purpose of this
Section) for the period of such arrearage at a daily rate equal to one percent
(1%) of such arrearage for each of the first ten (10) days thereof, and an
annual rate of fifteen percent (15%) of such arrearage thereafter. Any
payments by Tenant to Landlord made after the accrual of arrearage rent may be
applied by Landlord to such arrearage rent irrespective of the obligation for
which Tenant may earmark such payment.

Section 21.3. Termination and/or Reletting for Default: Liquidated Damages. If
Tenant defaults in the payment of rent or additional rent payable under this
Lease, and such default continues for more than ten (10) days after written
notice of non-payment; or if Tenant defaults in the performance or observance
of any term, covenant or condition to be performed by it hereunder which may be
performed merely by the payment of money and such default is not rectified
within five (5) days after written notice thereof; if Tenant shall allow any
insurance policy required to be carried by it hereunder to lapse or to be
canceled; of if Tenant defaults in the performance or observance of any other
term, covenant or condition of this Lease on its part to be performed or
observed and does not commence to rectify such default within fifteen (15) days
after written notice thereof or does not thereafter diligently complete the
rectification thereof; if Tenant vacates or abandons the premises; then, in
any of such events, Landlord may, at its option, (i) terminate this Lease and
reenter the premises; or (ii) reenter the premises without terminating this
Lease, and assume custody and control thereof for the purpose of protecting the
premises and/or for reletting the premises as agent for Tenant, if Landlord
elects to relet, and such agency shall be deemed as a power coupled with an
interest and shall be irrevocable; and in either such event Landlord shall be
entitled to the benefit of all provisions of the public general laws of
Maryland and the public local laws and ordinances of the locality in which the
premises is located respecting the summary eviction of tenants in default or
tenants holding over, or respecting proceedings in forcible entry and detainer.
Notwithstanding the foregoing:

     (a) Tenant shall remain liable for any rent and damages which may be due
or sustained prior thereto, and shall pay Landlord for all costs and expenses,
including, but not limited to, attorneys’ and brokers’ fees and expenses, paid
or incurred by Landlord in connection with: (i) obtaining possession of the
premises; (ii) removal and storage of Tenant’s or other occupant’s property;
(iii) care, maintenance and repair of the premises while vacant; (iv) reletting
the whole or any part of the premises; and (v) repairing, altering, renovating,
partitioning, enlarging, remodeling or otherwise putting the premises, either
separately or as part of larger premises, into condition acceptable to, and
reasonably necessary to obtain new tenants.

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     (b) In the event this Lease is terminated pursuant to the above, Tenant
shall further be liable to Landlord for liquidated damages to be calculated and
payable as follows: the monthly rent and additional rent payable by Tenant
hereunder, shall be payable when due for the balance of the term, less the
rent, if any, received by Landlord from others to whom the premises may be
rented on such terms and conditions and at such rentals as Landlord, in its
sole discretion, shall deem proper; provided, however, if Tenant fails to pay
any such amount when due, Landlord shall be entitled to receive a lump sum
payment equal to the difference between the annual rent and additional rent
payable for the balance of the term (including annual taxes and insurance
premiums), and the fair rental value of the premises for the balance of the
term: provided, however, that if Landlord relets the premises for all or a part

of the balance of the term then Landlord may, at its option, designate the
monthly fair rental value of the premises for the balance of the term as being
equal to the average monthly rent payable by the new tenant.

ARTICLE XXII

CUMULATIVE REMEDIES AND GOVERNING LAW

Section 22.1. Remedies Cumulative. Mention in this Lease of any specific right
or remedy shall not preclude Landlord from exercising any other right or remedy
available at law or in equity; and the failure of Landlord to insist in any one
or more instances upon a strict or prompt performance of any obligation of
Tenant under this Lease or to exercise any option, right or remedy herein
contained or available at law or equity shall not be construed as a waiver or
relinquishment thereof, unless expressly waived in writing by Landlord. The
waiver by Landlord of any breach of this Lease shall not constitute a waiver of
the covenant, term or condition breached or of any subsequent breach of the
same or any other covenant, term or condition of this Lease; and the acceptance
by Landlord of rent during the continuance of any breach of this Lease by
Tenant shall not constitute a waiver of such breach. Whenever any provision of
this Lease require Landlord’s consent to any act or conduct of Tenant, such
provision shall be construed to mean Landlord’s written consent; and knowledge
of, or acquiescence by Landlord in, any act or conduct shall not be deemed a
waiver of the requirement for written consent. Exercise by Landlord, or the
beginning of the exercise by Landlord, of any one or more of the rights or
remedies provided for in this Lease or now or hereafter existing at law or in
equity or by statute or otherwise shall not be construed as an election of
remedies so as to preclude the simultaneous or subsequent exercise by Landlord
of any other right or remedy for such breach. If Landlord obtains a judgment
against Tenant arising out of any default by Tenant under this Lease, then
Tenant shall pay Landlord reasonable counsel fees incurred by Landlord in
connection therewith.

Section 22.2. Governing Laws. This Lease shall be construed under the laws of
the State of Maryland. The parties acknowledge that this Lease has been
drafted, negotiated, made, delivered and consummated in the State of Maryland.

Section 22.3. No Trial by Jury. Landlord and Tenant hereby mutually waive trial
by jury in any action, proceeding or counterclaim brought by either of the
parties hereto against the other with respect to any matter arising out of or
in any way connected with this Lease or the use and occupancy of the premises.

ARTICLE XXIII

RECORDING; NO REDEMPTION OR MERGER

Section 23.1. Recording. Either party may, at its expense, record a memorandum
of this Lease among the Land Records of the political subdivision in which the
premises are located.

Section 23.2. Waiver of Redemption. The parties stipulate that the premises is
leased exclusively for commercial purposes within the meaning of Section
8-110(a) of the Real Property Article of the Annotated Code of Maryland, and
that the provisions of Section 8-110(b) of said Article (or of any future
statute) pertaining to redemption of reversionary interests under leases shall
be inapplicable to this Lease.

ARTICLE XXIV

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NOTICES

Section 24.1. All notices from either party to the other under this Lease shall
be sent by registered or certified U.S. mail, return receipt requested or by
private courier service or hand delivered with signed receipt. Whenever in
this Lease reference is made to a notice to be given, such notice shall be
deemed to be given when mailed, wired or hand delivered to the proper notice
address of the party to be notified.

     Notices to Landlord shall be addressed to it at P.O.Box 128, Mt. Airy,
Maryland 21771. Notices to Tenant shall be addressed to it at the premises or
23 Walker Avenue, Baltimore, Maryland 21208, with a copy to John R. Wise,
Esquire, Suite 1100, 100 Light Street, Baltimore, Maryland 21202. Either
party may, from time to time, designate a different address for receiving
notices, by giving the other party notice of the change of address in the
manner above specified.

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ARTICLE XXV

MISCELLANEOUS PROVISIONS

Section 25.1. Successors and Assigns. This Lease and the covenants, terms and
conditions herein contained shall inure to the benefit of and be binding upon
Landlord, its successors and assigns, and shall be binding upon and inure to
the benefit of Tenant and its permitted successors and assigns. As used herein
the term “Tenant” includes its permitted successors and assigns, and the term
“Landlord” includes its successors and assigns.

     If Landlord transfers its estate in the premises, or if Landlord further
leases the premises subject to this Lease, Landlord shall thereafter be
relieved of all obligations of Landlord expressed in this Lease or implied by
law.

     If Tenant obtains a money judgment against Landlord, any partner of
Landlord or Landlord’s successors or assigns under any provisions of, or with
respect to this Lease or on account of any matter, condition or circumstance
arising out of the relationship of the parties under this Lease, Tenant’s
occupancy of the premises or Landlord’s ownership of the Center, Tenant shall
be entitled to have execution upon such judgment only upon Landlord’s fee
simple estate in the Center and not out of any other assets of Landlord, any
partner of Landlord, or Landlord’s successors or assigns; and Landlord shall be
entitled to have any judgment so qualified to constitute a lien only on said
estate, subject to any liens antedating such judgment.

Section 25.3. Entire Agreement. This Lease contains the final agreement between
the parties hereto. Landlord shall not have any obligation not expressly set
forth herein; and neither party shall be bound by any promises or
representations prior to the date hereof which are not expressly set forth
herein.

Section 25.4. Captions: Deletions: Definitions. The headings and captions used
in this Lease are for convenience only and are not a part of this Lease. If any
printed provision of this Lease is deleted by the parties, such deletion may
not be utilized in interpreting the rights of the parties hereunder: but each
party shall have all rights which it would have had, at law or otherwise, if
such deleted provision has never been printed herein.

Section 25.5. Floor Plan. Nothing shown on Exhibit A shall be deemed to be a
representation by Landlord as to any matter respecting the Center or as a
condition of this Lease, unless such representation or condition is expressly
set forth herein, Exhibit A is attached only for the purpose of showing the
size and location of the Premises.

Section 25.6. Obligations Surviving Termination. If this Lease is terminated
for any reason other than default of Tenant, all liabilities of the parties
shall be adjusted as of the effective date of termination. Any termination by
reason of a default of Tenant shall not affect any obligation or liability of
Tenant under this Lease which accrued prior to the effective date of
termination, and all such obligations and liabilities of Tenant shall survive
termination.

Section 25.7. Genders. The use of the masculine, feminine or neuter gender here
in shall be deemed to mean the correct gender applicable, and the use of the
singular shall include the plural, or conversely, as the context may require.

Section 25.8. Partial Invalidity. If any term, covenant or condition of this
Lease or the application thereof to any person or circumstance shall, to any
extent, be invalid or unenforceable, the remainder of this Lease, or the
application of such term, covenant or condition to persons or circumstances
other than those as to which it is held invalid or unenforceable, shall not be
affected thereby and every other term, covenant or condition of this Lease
shall be valid and be enforced to the fullest extent permitted by law.

Section 25.9. Brokers. Tenant represents and warrants that it has not dealt
with any broker or realtor in respect of this Lease except Donald J. Dietz, H&R
Retail, Inc. and agrees to defend, indemnify and save Landlord harmless against
all demands, claims and liabilities arising out of any dealings between Tenant
and any other broker or realtor.

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Section 25.10. No Partnership. By executing this Lease, Landlord does not, in
any way or for any purpose, become a partner or joint venturer of Tenant in the
conduct of Tenant’s business, or otherwise. Any provisions of this Lease
regarding the use of the premises or operation of Tenant’s business are
included solely for the purpose of maintaining an orderly shopping center.

Section 25.11. Surrender of Premises. At the expiration of the tenancy hereby
created, or upon any reentry by Landlord pursuant to this Lease, Tenant shall,
without notice to quit, which Tenant hereby waives, surrender the premises in
the same condition as the premises were upon the commencement of the initial
term, reasonable wear and tear excepted, and shall deliver all keys for the
premises to Landlord at the place then fixed for the payment of rent, and shall
inform Landlord of all combinations on locks, safes and vaults, if any, in the
premises. Tenant shall remove all of its trade fixtures and inventory and any
alterations, additions or improvements which Landlord requires to be removed
before surrendering the premises as aforesaid, and shall repair any damage to
the premises caused by removal. Tenant’s obligation to observe or perform this
covenant shall survive the expiration or other termination of this Lease.

     IN WITNESS WHEREOF, the parties have executed this Lease under their
respective hands and seals as of the day and year first above written:

	 	 	 	 	 
	WITNESS:	 	LANDLORD: LPR ASSOCIATES
	 
	 	 	 	 
	/s/
H. Virgil Porter

	 	By:
	 	/s/ James W. Linton, Jr. (SEAL)
	

	 	 	 	

	

	 	 	 	James W. Linton, Jr., General Partner
	 
	 	 	 	 
	 	 	TENANT: MR. TIRE, INC.
	 
	 	 	 	 
	/s/ H. Virgil Porter

	 	By:
	 	/s/ Fredric Tomarchio (SEAL)
	

	 	 	 	

	

	 	 	 	Fredric Tomarchio, President

156

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