Document:

December 15, 1995

Exhibit 10.12

 

 

 

 

October 10, 2001

 

 

Mr. J. John Gelp

1448 Clippership Bay

Woodbury, MN 55125

 

 

Dear John:

 

Welcome to Zomax!  It is my pleasure to make you the following

offer of employment:

 

	

  Position Title:

  	

   

  	

  Executive Vice

  President and Chief Financial Officer

  
	

  Location:

  	

   

  	

  Plymouth, MN

  
	

  Status:

  	

   

  	

  Regular Full Time,

  Exempt 

  
	

  Start Date:

  	

   

  	

  October 22, 2001

  
	

  Reporting To:

  	

   

  	

  Jim Anderson, Chairman

  and CEO

  
	

  Pay Rate:

  	

   

  	

  $200,000.00 Annually

  
	

  Bonus:

  	

   

  	

  You will be eligible to

  participate in the Zomax executive compensation plan in 2002.

  
	

  Group Insurance:

  	

   

  	

  You become eligible to

  participate in the Zomax medical, dental and life plans effective the first

  day of the month following your start date. 

  
	

  Paid Time Off (PTO):

  	

   

  	

  Initially you will

  accrue PTO at the rate of 5.23 hours per pay period. (26 pay periods per

  year)

  
	

  401 (k):

  	

   

  	

  You become eligible to

  participate in the Zomax 401 (k) plan effective the beginning of the calendar

  quarter following the 60th day of employment.

  
	

  Stock Options:

  	

   

  	

  You will receive

  Non-Qualified Stock Options of 75,000 shares priced at the market price on

  the first trading day of the month following your start date.  Share options vest at 20% annually over 5

  years beginning one year from the grant date. 

  
	

  Stock Purchase Plan:

  	

   

  	

  On either January 1 or July

  1 following the 60th day of employment you will be eligible to

  join the Zomax Stock Purchase Plan which will allow you to purchase Zomax

  stock at a discount.

  
	

  Introductory Period:

  	

   

  	

  As a new regular

  employee you will be subject to an Introductory Period of ninety (90) days.

  

 

 

1

 

	

  Change of Control:

  	

   

  	

  If Executive is

  terminated from his employment, has a substantial reduction in the nature or

  status of his responsibilities, or the company’s principal office is

  relocated more than 50 miles from executive’s home for any reason within one

  (1) year after a Change of Control, Executive shall be entitled to receive

  the following from the Company:  

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  (i)

  	

  Executive shall receive

  from the Company within sixty (60) days after such termination or resignation

  an amount equal to 12 months Base Salary, 12 months of bonus paid at the

  targeted rate and all accrued PTO time as in effect on the effective date of

  such termination.  The Company shall

  be entitled to deduct or withhold all taxes and charges which the Company may

  be required to deduct or withhold therefrom. 

  

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  (ii)

  	

  With respect to any

  stock options, SARs, restricted stock awards or performance share awards

  granted to Executive and outstanding immediately prior to such termination,

  all restrictions on all shares of restricted stock awards shall lapse

  immediately, all outstanding options and SARs will become exercisable

  immediately, and all performance share objectives shall be deemed to be met.  

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  Date of Termination or

  Resignation.  The date of termination of Executive’s

  employment by the Company under this section shall be one (1) month after

  receipt of written notice of termination. 

  

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  Limitation on Change of

  Control Compensation.  In the event that Executive

  is a “disqualified individual” within the meaning of Section 280G of the

  Code, the parties expressly agree that the payments described in this Section

  6 shall be considered together with all Change of Control Payments so that,

  with respect to Executive, all Change of Control Payments are collectively

  subject to an overall maximum limit. 

  Such maximum limit shall be One Dollar ($1.00) less than the largest

  amount under which no portion of the Change of Control Payments is considered

  a “parachute payment” within the meaning of Section 280G of the Code.  Accordingly, to the extent that the Change

  of Control Payments would be considered a “parachute payment” with respect to

  Executive, then the portions of such Change of Control payments shall be

  reduced or eliminated in the following order until the remaining Change of

  Control Payments with respect to Executive is One Dollar ($1.00) less than

  the maximum allowable which would not be considered a “parachute payment”

  under the Internal Revenue Code:   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  (i)

  	

  First, any cash payment

  to Executive; 

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  (ii)

  	

  Second, any Change of

  Control Payments not described in this Agreement; and 

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  (iii)

  	

  Third, any forgiveness

  of indebtedness of Executive to the Company.

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  Executive expressly and

  irrevocably waives any and all rights to receive and Change of Control

  payments which would be considered a "parachute payment" under the

  Code.

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

  A Change of Control shall be

  deemed to have occurred if (1) any “person” (as such term is used in Section

  13(d) and 14(d) of the Exchange Act) is or becomes the “beneficial owner” (as

  defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of

  securities of the Company representing 40% or more of the combined voting

  power (with respect to the election of directors) of the Company’s then

  outstanding securities; (2) the consummation of a merger or consolidation of

  the Company with or into any other corporation, other than a merger or

  consolidation which would result in the voting securities of the Company

  outstanding immediately prior thereto continuing to represent (either by

  remaining outstanding or by being converted into voting securities of the

  surviving entity) more than 60% of the combined voting power (with respect to

  the election of directors) of the securities of the Company or of such

  surviving entity outstanding immediately after such merger or consolidation;

  or (3) the consummation of a plan of complete liquidation of the Company or

  of an agreement for the sale or disposition by the Company of all or

  substantially all of the Company’s business or assets.

  

 

 

 

2

 

In consideration of and

as a condition of your employment, you must sign the enclosed

Non-Solicitation/Confidentiality Agreement and a Non Compete Agreement and

return to Zomax with your acceptance of this offer.

 

This

offer is contingent based upon the successful completion of a background

investigation and your ability to comply with federal law requiring you to show

proof of your ability to work in the United States on your first day of

employment.  If you are currently employed, I urge you to

await our call with the investigation results prior to resigning from your

current position.   This typically takes

3 to 4 business days from our receipt of your signed acceptance.

 

While we look forward to

a mutually beneficial employment relationship with you it is important that you

understand this letter is not an employment contract.  Employment with our company is at will, with the right for either

party to terminate employment at any time, for any reason, with or without

notice.  No prior promises,

representations, or understandings relative to any terms or conditions of your

employment are to be considered as part of this letter unless expressed in

writing in this letter.  Any future agreements, regarding employment or

compensation are binding only with the prior authorization of the Chief

Executive Officer of Zomax Incorporated . Compensation and benefit plans

referenced in this letter are offered with the understanding that they operate

under the plan documents as currently stated. 

These compensation and benefit plans may be changed, amended or

cancelled for any reason and/or at any time in the future.

 

 

3

 

This

is to confirm that you have no existing agreements with other parties that

prevent you from being hired by us or fully executing your new duties.  If this is not correct, prior to signing

this letter, please notify me immediately.

 

 

Please

sign the original copies of this offer letter and return to us immediately

signifying your acceptance of this offer. 

I have enclosed copies for your files.

 

This offer is valid for 2

business days from the date of this letter.

 

I

look forward to working with you and am confident your talents match our needs

and will be well utilized.  Should you

have questions please contact me at 763-577-3523.

 

Sincerely,

 

 

	

  /s/James T. Anderson

  	

   

  
	

  James

  T. Anderson

  	

   

  
	

  Chairman

  and CEO

  	

   

  
	

  Zomax,

  Incorporated

  	

   

  

 

 

 

Enclosures:

                  

Confidentiality or Non-Solicitation/Confidentiality Agreement

                   Non-Compete

Agreement

 

I

acknowledge, understand, and agree to employment with Zomax under the terms and

conditions outlined above.  My start

date will be October 22, 2001.

 

	

  /s/J.

  John Gelp

  	

         Date: October 12, 2001

  
	

  J.

  John Gelp

  	

   

  
	

   

  	

   

  

 

41767﷓D00112 A12

Exhibit 10.13

 

LAND REGISTRY

 

	

  COUNTY DUBLIN

  	

   

  	

  FOLIO 92314L (Part)

  

 

This Indenture of Lease made

the 24th day of April, 2001 between THE

SCOTTISH PROVIDENT INSTITUTION having its registered office at 6 St.

Andrews Square, Edinburgh, Scotland (hereinafter called “the Landlord” which expression shall where the

context so admits or requires include and be deemed to include the owner for

the time being of the immediate reversion of the premises hereby demised

expectant on the expiry of the term hereby granted) of the First part;

 

ZOMAX

LIMITED having its registered office at Cloverhill

Industrial Estate, Clondalkin, Dublin 22 (hereinafter called the “Tenant” which expression shall include

where the context so admits include the successors in title and permitted assigns

of the Tenant and if the Tenant for the time being is more than one person then

it includes each of them and the Tenant’s covenants shall in such case be

construed as made by such persons jointly and severally) of the Second Part;

and

 

ZOMAX

INC. having its registered office at 5353 Nathan Lane,

Plymouth, Minnesota 554422 United States of America (hereinafter called “the

Guarantor” which expression shall include and be deemed to include its

successors) of the Third Part; and

 

WOODFORD

BUSINESS PARK MANAGEMENT LIMITED having its registered

office at 15 Clanwilliam Terrace, Dublin 2 (hereinafter called “the Management

Company” which expression shall include any party which shall undertake the

obligations relating to the management of the Estate and the provision of

Services as herein undertaken by the Management Company and be deemed to

include its successors and assigns) of the fourth part.

 

Witnesseth as follows:

 

Definitions.

 

1.             In this Lease,

unless the context otherwise requires:

 

1.1           “the Estate” means Woodford Business Park,

Santry in the City of Dublin and includes any additions or extensions thereto

and any reductions or variations thereof which may be made, without in any way

being prevented from so doing by the Tenant PROVIDED the Landlord has obtained

all necessary planning permissions and approvals together with any Utilities,

Conduits and Machinery (each of which is hereinafter defined) other than any

which exclusively serve a Lettable Area (as hereinafter defined), and any

structures required for or housing same located in the Estate for the use or

benefit of the Estate or any part or parts thereof and any Utilities, Conduits

and Machinery and structures which the Management Company in its reasonable

discretion shall from time to time install or construct in addition to or in

substitution therefor.

 

 

1.2           “Plans” means

the plan or plans attached hereto.

 

1.3           “the Demised Premises” means the premises

demised and referred to more particularly in Part 1 of the First Schedule and

includes all buildings constructed or to be constructed thereon and where more

than one premises is demised the singular shall include the plural.

 

1.4           “Lettable Parts” means the parts of the

Estate which are let or presently intended or at any time or time hereafter intended

to be let.

 

1.5           “the Common Areas” means those parts of the

Estate designated and allocated for the time being by the Management Company or

designated for the common use benefit and enjoyment of tenants of Lettable

Parts, their invitees and licensees within the Estate and for persons using or

visiting the Estate (including without prejudice to the generality of the

foregoing) common car-parking areas, landscaped areas, estate roadways and

estate boundary fencing.

 

1.6           “the Utilities” means water, water tanks,

septic tanks, soils, and waste of all kinds, gas, oil, electricity, television,

fire fighting and fire prevention systems and equipment, waste disposal systems

telephone and data systems, and other services of all kinds (including plant,

machinery, apparatus and equipment to operate or required for the Utilities)

 

1.7           “the Conduits” means the gutters, gullies,

pipes, drains, sewers, watercourses, channels, trunks, ducts, flues, wires,

cables and other conducting media of all kinds

 

1.8           “the Machinery” means all plant, machinery,

apparatus and equipment required from time to time for the purposes of the

Estate or any part thereof.

 

1.9           “the Landlords Service Charge” means the

service charges payable by the Landlord to the Management Company pursuant to

its obligation in that regard in the Superior Lease.

 

1.10         “month”

throughout means calendar month.

 

1.11         “Surveyor” shall include Architect where not

separately specified.

 

1.12         “Insured Risks” means loss or damage by

fire, explosion, lightning, impact, earthquake, aircraft and other aerial

devices and articles dropped therefrom, flood, storm and tempest, riot, civil

commotion, malicious damage, bursting or overflowing of water tanks, apparatus

or pipes, accidental damage and

Landlord’s public liability insurance in such sums as the Landlord shall

require from time to time, together with insurance against such additional

risks as the Landlord shall reasonably require and which would be normal for a

property similar to the Demised Premises.

 

1.13         “Tenants Proportion” means the proportion

which the Gross Internal Floor Area of the Demised Premises (measured in

accordance with the guidance notes of the Society of Chartered Surveyors)

represents of the Gross Internal Floor Area of all buildings from

 

2

 

time to time

constructed in Block 3 appropriately amended in the event of the Gross Internal

Floor Area of the buildings in Block 3 being increased or decreased and at the

date of this Lease calculated at 67.71%.

 

1.14         “the Superior Lease” means Indenture of

Lease of the 22nd  day of

July 1999 made between Salesa Trading Limited of the first part Woodford

Developments Limited of the second part the Management Company of the third

part Lombard and Ulster Banking Limited of the fourth part and the Landlord of

the fifth part.

 

1.15         “Block 3” means that part of the Estate as

consists of adjoining units and surrounding common areas more particularly

shown on map 2 attached hereto and thereon edged with a red verge line.

 

1.16         “the Internal Common Areas” means those

parts of Block 3 shown coloured green on map 2 attached hereto.

 

1.17         “the Block 3 Service Charge” means the

aggregate reasonable costs expenses and outgoings paid incurred or borne by the

Landlord in providing the Services for the benefit of the Internal Common

Areas, in discharging the obligations executing the works and providing the

services amenities and facilities specified in the fourth schedule hereto or

all or any of them pursuant to the Landlord’s covenant in that regard contained

at clause 5.4 of this Lease.

 

1.18         “the Services” means the services set out in

the Fourth Schedule hereto to be supplied by the Landlord to Block 3.

 

1.19         “the Units” means each of the units 3.2 and

3.3 (including with either Unit (at the Tenant’s discretion) the building

linking Unit 3.2 to 3.3 together with an appropriate number of car spaces for

that Unit (as reasonably determined by the Tenant).

 

The

Demise

 

2.             In consideration of

the rent hereby reserved and of the covenants on the part of the Tenant and on

the part of the Guarantor hereinafter contained the Landlord as beneficial

owner hereby demises, and the Management Company hereby confirms unto the

Tenant ALL THAT the Demised Premises TOGETHER with the rights specified in Part

II of the First Schedule therein EXCEPTING AND RESERVING as set out in the

Second Schedule hereto for the persons mentioned therein TO HOLD the same UNTO

the Tenant for the term of 25 years from the ____ day of ________, 2001

YIELDING AND PAYING THEREFOR unto the Landlord yearly during the said term and

so in proportion for any less period than a year the clear rent of

IR£536,687.90 (or such increased rent as may be payable in accordance with the

provisions of Clause 3 hereof) such rent(s) to be paid by equal quarterly

payments in advance on the First day of January, the First day of April, the

First day of July and the First day of October (hereinafter called “the quarter

days”) in every year without any deduction save as required by law the first

payment (which shall be the rent for the period from the date of commencement

hereof to the next

 

3

 

quarter day)

to be made on the date hereof AND ALSO YIELDING AND PAYING as rent unto the

Landlord:

 

(a)           Every amount payable

by the Tenant under clause 4.2., in respect of insurances.

 

(b)           Every amount payable

by the Tenant under clause 4.4 in respect of contribution to, the Landlords

Service Charge.

 

(c)           Every amount payable

by the Tenant under clause 4.34 in respect of contribution to the Block 3

Service Charge.

 

(d)           If the Tenant shall

fail to pay the rent hereinbefore reserved or all or any of the said amounts

hereinbefore reserved and made payable within fourteen days of the day and in

the manner herein prescribed for payment of same, interest from and including

the fifteenth day after the day or days on which same shall have become due to

the date of actual payment shall be payable by the Tenant at a rate which shall

exceed the rate from time to time payable on arrears of tax under Section 1080

of the Taxes Consolidation Act 1997 or at the option of the Landlord at the

rate of 15%.

 

Rent Review

 

3.1.          In this Clause

unless the context otherwise requires.

 

3.1.1.       “Review Date” shall

mean the last day of the fifth year and the last day of each subsequent fifth

year of the term hereby granted.

 

3.1.2        For the purpose of

this clause it is hereby agreed that the expression “open market” means the

full annual rent which might be expected to be paid in respect of the Demised

Premises let as a whole as between a willing landlord and a willing tenant

(which expression shall for the avoidance of doubt include the Tenant) in the

open market without any fine or premium for a term of years certain commencing

on the relevant Review Date equal to the term of this Lease with full vacant

possession at the commencement of such term and on the supposition (if not a

fact) that the Tenant has complied with all obligations herein imposed on it

(without prejudice to any of their rights or remedies in regard thereto) such

lease being on the same terms and conditions (other than as to amount of rent

but including provision for reviews as contained in this clause) as this

present Lease and disregarding (so far as may be permitted by law) all

restrictions whatsoever relating to the recovery of rent contained in any

statute or orders rules or regulations thereunder and any directions thereby

given relating to any method of determination of rent AND assuming:

 

(a)           that the Demised

Premises are completed to the standard set out in the Specification and

Drawings listed in the Sixth Schedule available with all necessary services

outlets and connections and are ready

and fit for immediate occupation and use and for the avoidance of any

doubt disregarding all fit-out

 

4

 

works carried

out by, for or on behalf of the Tenant and any works which the Tenant is

entitled to have disregarded pursuant to clause 3.1.3 (b),

 

(b)           in the event that

the Demised Premises or any part thereof have been destroyed or damaged by the

Insured Risks that the same have been fully restored and made good,

 

(c)           that the benefit of

any planning or other consent current at the relevant review date is available

also for such willing tenant,

 

(d)           that the willing

tenant would commence paying rent immediately upon the relevant review date and

that such rent would not be discounted to reflect the absence of any rent

concession then being offered by landlords to tenants upon the grant with

vacant possession of leases in the open market of premises comparable with the

Demised Premises because the Tenant is by this sub-clause assumed to have been

entitled to the benefit of the Demised Premises before the relevant review date

for a period the length of which would reflect the value of any such rent

concession,

 

(e)           that no work has

been carried out to the Demised Premises which has diminished its rental value.

 

3.1.3        But disregarding:-

 

(a)           any affect on rent

of the occupation of the Demised Premises by the Tenant and any goodwill

attaching thereto on,

 

(b)           any affect on rent

of any works on the Demised Premises carried out by for or on behalf of the

Tenant at the Demised Premises (including the variations and fit out works

carried out at the Tenant’s cost prior to the grant of this lease) other than

works carried out by for and on behalf of the Tenant in pursuance of an

obligation to the Landlord (under this Lease) other than in pursuance of an

obligation to comply with statutes or directions of local authorities or other

bodies exercising powers under statute), (and for the purposes of this clause

the Tenant shall include any predecessors of the Tenant or any party lawfully

occupying the Demised Premises)

 

3.2           The Rent payable

under this Lease shall be reviewed as at the Review Dates to the open market

rent of the Demised Premises and the Rent payable from each respective Review

Date shall be either the Rent payable immediately preceding such Review Date

(whether the same be fully recoverable or not as a result of any statute or

orders rules or regulations relating to the control of rent) or the open market

rent of the Demised Premises as at such Review Date and in each case whichever

is the higher.

 

3.3           If by a date one

month before the particular Review Date or such extended period as may be

agreed by the Landlord and Tenant the Landlord and the Tenant shall not have

agreed

 

5

 

the open

market rent as at the particular Review Date then in that event the Landlord or

the Tenant may at any time thereafter (and after as well as before the

particular Review Date) require the rent to be determined on the basis

aforesaid by a Chartered Surveyor to be appointed in accordance with sub-clause

6.4 hereof.

 

3.4           The Surveyor shall

act as an arbitrator and the arbitration shall be conducted in accordance with

and shall be deemed to be a reference to arbitration within the meaning of the

Arbitration Acts 1954 to 1980 or any statutory rule or order extending,

amending, modifying or replacing same from time to time.

 

3.5           The Surveyor shall

be entitled to have cognizance of all evidence of rents for comparable premises

including (for the avoidance of doubt) evidence of such rents determined or

agreed at any time (even after the particular rent review but in respect of a

rent commencement or review date not later than the relevant review date under

this Lease) before the determination of the Surveyor is published.

 

3.6           In the event of the

open market rent of the Demised Premises not having been agreed or determined

prior to any Review Date for any reason whatsoever then in respect of the

period of time (hereinafter called “the interval”) beginning with that Review

Date and ending on the gale day immediately following the date of such

agreement or determination the Tenant shall pay to the Landlord in manner

hereinbefore provided rent at the yearly rate payable immediately before that

Review Date PROVIDED THAT at the expiration of seven days immediately following

such agreement or determination there shall be due as a debt payable by the

Tenant to the Landlord a sum of money equal to the amount whereby the Rent at

the yearly rate so agreed or determined (duly apportioned on a daily basis) for

the period of the interval shall exceed the Rent paid in respect of the said

interval together with interest on that further sum,

 

(a)           computed on so much

of that sum as would have been payable on the relevant Review Date if the

revised rent as at the relevant Review Date had then been agreed or determined

for the period from the relevant Review Date until the date of such payment,

and

 

(b)           computed on so much

(if any) of that sum as would have been payable on any gale day subsequent to

the relevant Review Date if the revised rent as at such relevant review had

then been agreed or determined for the period from such gale day until the date

of such payment in each case,

 

such interest

to be computed on a day to day basis and to be assessed at such a rate as shall

be equivalent to the yield (at issue and before deduction of tax if any) on the

security of the Government last issued before the commencement of the current

period (allowance having been made in the calculation of the said yield for any

profit or loss which may occur on the redemption of the security).  For the purpose of this paragraph the

revised rent shall be deemed to have been ascertained on the date when the same

shall have been agreed between the parties or as the case may be on the date of

the notification to the Tenant of the award of the arbitrator.

 

6

 

3.7           If there should be

in force at the commencement or during the currency of any particular relevant

period any Statute or Order (directly or indirectly) prohibiting or restricting

an increase of rent in respect of the Demised Premises the provisions of this

clause 3 and of the within lease may nevertheless be invoked or reinvoked to

determine the rent which would but for the said prohibition or restriction be

payable during such relevant period but (if appropriate) the further

implementation thereof shall be suspended in effect for such period as may be

required by law.

 

3.8           When and so often as

the revised rent shall have been ascertained pursuant to the provisions of this

Lease, memoranda recording the same shall thereupon be signed by or on behalf

of the Landlord and the Tenant and shall be annexed to this Lease and its

counterpart and the Tenant shall be responsible for and shall pay to the

Landlord the stamp duty (if any) payable on such memoranda and any counterpart

thereof but the parties shall bear their own costs in relation to the

preparation and completion of such memoranda.

 

Tenants’ Covenants

 

4.             The Tenant HEREBY

COVENANTS with the Landlord and where so expressed the Management Company as

follows:

 

To pay rent

and interest

 

4.1.1.       To pay the reserved

yearly rent and/or increases in same by reason of the review thereof and any

additional sums payable hereunder in the manner aforesaid.

 

4.1.2.       To pay the reserved

interest on the rent and the amounts or monies as herein reserved and made

payable PROVIDED that all sums due and payable under the provisions of this

clause are paid by the Tenant to the Landlord without any deduction or

abatement whatsoever (save as required by law).

 

Insurances

 

4.2.1.       To pay to the

Landlord from time to time on demand without any deduction or abatement

whatsoever (save as required by law) by way of further or additional rent the

Tenant’s Proportion of the reasonable and proper costs as shall from time to

time be expended by the Landlord in insuring Block 3 against the Insured Risks.

 

4.2.2.       To re-imburse to the

Landlord within 7 days of demand the Tenant’s Proportion of all reasonable

costs payable by the Landlord under the Superior Lease in respect of any

insurances put in place by the Superior Landlord in respect of the Common

Areas, to include any insurances put in place covering loss of service charge.

 

7

 

4.2.3        Subject to clause 4.2.4

below not to knowingly do or omit to be done anything that would cause any

policy of insurance in respect of or covering the Demised Premises to become

void or voidable wholly or in part, nor (without agreeing with the Landlord to

pay any associated costs) to do anything whereby any additional or abnormal or

loaded premium may become payable and, on demand, to pay to the Landlord all

expenses incurred by the Landlord in renewing any such policy or on account of

any breach of this covenant.

 

4.2.4        Subject to the

Landlord furnishing to the Tenant a copy of any policy of insurance effected

under clause 5.2. hereof, to comply, at the Tenant’s own expense, with all the

requirements of the Landlords’ insurers relating to the Demised Premises.

 

4.2.5        To give notice to the

Landlord forthwith upon the happening of any event or thing which might affect

any insurance policy relating to the Demised Premises.

 

4.2.6.       In the event of the

Demised Premises or any part thereof being damaged or destroyed by any of the

Insured Risks and the insurance money under any insurance policy against the

same effected by the Landlord being wholly or partly irrecoverable by reason

wholly or in part of any act or default of the Tenant then and in every such

case the Tenant will forthwith (in addition to the said rent) pay to the

Landlord the whole or (as the case may require) a fair proportion of the costs

of completely rebuilding, repairing, and re-instating the Demised Premises.

 

To pay rates/and other outgoings

 

4.3.1.       To

pay and discharge all rates taxes assessments outgoings and impositions

whatsoever (whether parliamentary parochial or otherwise and whether or not of

a capital or non recurring nature) which are now or which at anytime during the

term shall become payable in respect of the Demised Premises either by the

owner or occupier thereof (excepting Landlords capital and income taxes) and to

indemnify and keep indemnified the Landlord against the same or any expenses

(legal or otherwise) arising out of or in connection therewith.

 

4.3.2.       To pay all charges

for electricity, gas, (if any) water or other services consumed in the Demised

Premises including any connection and hiring charges and meter rents and to

perform and observe all present and future regulations or requirements of the

electricity, gas or water supply authorities or boards in respect of the supply

and consumption of electricity, gas and water on the Demised Premises and to

keep the Landlord indemnified against any breach thereof.

 

To Contribute to Landlord’s Service Charge

 

4.4           Within 7 days of

demand in that regard from the Landlord, (of which there shall be four such

demands in each year of the term hereof) to pay to the Landlord by way of

further or additional rent the Tenants’ Proportion of the Landlords’

 

8

 

Service Charge

payable by the Landlord to the Management Company in accordance with the

Landlord’s covenant in that regard in the Superior Lease.

 

To Repair and Decorate Externally and

Internally

 

4.5.1.       To keep clean and

tidy and to keep in good order repair and condition the Demised Premises and

every part thereof and all buildings thereon and all boundary walls, and other

structures and all additions and improvements thereto and the fixtures and

fittings therein and all appurtenances to the Demised Premises but excluding

the car park spaces forming part of the Demised Premises (damage by any of the

Insured Risks excepted provided the Tenant has not invalidated the insurance

policies effected by the Landlord).

 

4.5.2.       When so often as

necessary but not less often than once in every third year of the term to paint

and re-decorate and treat in a good and workmanlike manner all external parts

of the Demised Premises as are normally so painted or treated and if upon such

re-decoration the Tenant wishes to change the colour scheme of the external

parts of the Demised Premises the Tenant shall prior to so doing consult with

the Landlord and obtain its approval to such changed colour scheme which

approval shall not be unreasonably withheld or delayed.

 

4.5.3.       When and as necessary

to clean all external parts of the Demised Premises so as to ensure a neat and

attractive appearance at all times.

 

4.5.4.       To paint all the

inside wood, metal and other parts of the Demised Premises previously or

usually painted or which ought to be painted and all new buildings which may at

any time during the said term be erected on and all additions to the Demised

Premises with two coats at least of good oil paint in a proper and workmanlike

manner once in every fifth year of the said tern and also during the last year

thereof (however determined) and at the same time and with every such painting

to paper whitewash distemper colour and decorate the parts of the interior of

the Demised Premises which are usually so dealt with.

 

4.5.5.       To clean on a regular

basis, but not less than once in every 2 months, the interior and exterior of

the windows of the Demised Premises and to keep all such windows in good order

repair and condition.

 

Not To Damage

 

4.6.          Not to cause or

permit or suffer any damage to be done to any part of the Estate by any person

over whom the Tenant has control and if any damage is so caused or permitted or

suffered in contravention of this covenant to pay to the Landlord, or the

Management Company as appropriate on demand the entire reasonable cost incurred

in repairing such damage and in re-instating the Estate to its former state

together with any loss and expense sustained by the Landlord by reason of such

damage.

 

9

 

To comply with Statutory Provisions

 

4.7.          At all times during

the said term and at the Tenant’s own expense to observe and comply in all

respects with the provisions and requirements of any and every enactment (which

expression in this sub-clause includes as well any and every Act already passed

or hereafter to be passed and any order regulation and bye-law already or

hereafter to be made under or in pursuance of any such Act) whether imposed

upon the Landlord or the Tenant so far as they relate to or affect the Demised

Premises or any additions or improvements thereto or the user thereof or the

employment therein of any person or persons or the use of any fixtures

machinery plant or chattels for the time being affixed therein and thereupon

and to execute all works and provide and maintain all arrangements which (by or

under any enactment or by any government department local authority or other

public authority or duly authorised Officer of Court of competent jurisdiction

acting under or in pursuance of any enactment) are or may be directed or

required to be executed provided and maintained at any time during the said

term upon or in respect of the Demised Premises or any additions or

improvements thereto or in respect of any such employment therein of any person

or persons or users thereof or of any fixtures machinery plant or chattels as

aforesaid whether by the owner or occupier thereof and to indemnify the

Landlord at all times against all costs charges and expenses of or incidental

to the execution of any work or the provision or maintenance of any arrangement

so directed or required as aforesaid and not at any time during the said term

to do or omit or suffer to be done or omitted on or about the Demised Premises

any act or thing by reason of which the Landlord may under any enactment incur

or have imposed upon it or become liable to pay any penalty damages

compensation costs levy charges or expenses.

 

Notices

 

4.8.          Within seven days of

the receipt of notice of the same to give full particulars to the Landlord of

any permission notice order made given or issued to the Tenant by any

government department or local or public authority and if so required by the

Landlord to produce to it such permission notice or order or proposal of a

notice or order insofar as it is the Tenant’s responsibility to do so under

this Lease AND ALSO without delay to take all reasonable or necessary steps to

comply with any such notice or order and, at the request of the Landlord but at

the cost of the Tenant (if it is reasonable for the Landlord to so require the

Tenant) to make or join with the Landlord in making such objection or

representation against or in respect of any such notice or order as the

Landlord shall reasonably deem expedient.

 

Planning

 

4.9.1.       To comply with the

Planning Acts (which expression shall include the local Government (Planning

and Development) Acts, 1963  –

1998 and the Building Control Act 1990 (and any Regulations or Orders made

thereunder) and all other related legislation and any enactment extension or

modification thereto together with all licences approvals consents and

permissions made thereunder or relating thereto (save in respect of any

breaches

 

10

 

thereof which

existed prior to the granting of this Lease other than due to the act or

default of the Tenant).

 

4.9.2.       Not to do or omit or

permit to be done or omitted anything on to or in connection with the Demised

Premises the doing of which shall be a contravention of the Planning Acts, the

Building Control Act or any other statutory provisions affecting the Demised

Premises or the user thereof and of any notices orders licences consents

permissions and conditions (if any) served made granted or imposed thereunder

or under any enactment repealed thereby and to indemnify and to keep

indemnified the Landlord (as well after the expiration of the term hereof by

effluxion of time or otherwise as during its continuance) against all actions

proceedings damages penalties costs charges claims and demands in respect of

such acts omissions or any of them and against the cost of any application for

planning permission, commencement notices, fire safety certificates and the works and things done in

pursuance thereof.

 

4.9.3.       In the event of the

Landlord giving written consent to any of the matters in respect of which the

Landlord’s consent shall be required under the provisions of this Lease or

otherwise (which consent whether so expressed or not shall be conditional on

the Tenant obtaining all necessary approvals, permissions, consents or

licences) and in the event of permission from any authority under the Planning

Acts or the Building Control Act being necessary for any addition alteration or

change in or to the Demised Premises or for the change of user thereof the

Tenant shall apply at its own expense to the relevant authorities for all the

consents permissions licences approvals or fire safety certificates which may

be required in connection wherewith and shall give notice to the Landlord of

the granting or refusal (as the case may be) of all such consents and

permissions forthwith on the receipt thereof and to carry out such works at the

Tenant’s own expense in substantial compliance with the same and in a good and

workmanlike manner to the reasonable satisfaction of the Landlord.

 

4.9.4.       To give notice

forthwith to the Landlord of any notice order or proposal for a notice or order

served on the Tenant under the Planning Acts Building Control Acts or otherwise

and if so required by the Landlord to produce the same and at the request of

the Landlord and cost of the Tenant to make or join in making such objection or

representations in respect of any proposal as the Landlord may require (save in

respect of any breaches which existed prior to the grant of this Lease other

than due to the act or default of the Tenant).

 

4.9.5.       To comply at its own

cost with any notice or order served on the Tenant under the provisions of the

Planning Acts and/or the Building Control Act.

 

4.9.6.       If and when called

upon so to do to produce to the Landlord or it agent architect or surveyor all

such plans documents and other evidence as the Landlord may reasonably require

in order to satisfy itself that the provisions of this sub-clause has been complied

with in all respects.

 

11

 

To Permit

Entrv

 

4.10         To permit the

Landlord and its Surveyors or agents and all persons permitted or authorised by

the Superior Lease at all reasonable times with or without workmen or others on

seven days prior notice in writing being given (or at any time without prior

notice in an emergency) to enter the Demised Premises or any part thereof to

view the same and examine the state and condition thereof or to make any inspections

which may reasonably be required for the purpose of ensuring that the Tenant is

complying in full with the terms of this Lease and to permit the same persons

and (with the previous authority of the Landlord) the tenants and occupiers

their servants and agents of any other Lettable Part of the Estate or any

adjoining premises and their respective agents contractors or workmen likewise

to enter the Demised Premises as aforesaid for the purpose of executing repairs

or alterations to or upon any adjoining premises or emptying cleansing,

renewing, repairing or testing or maintaining any Conduits, Utilities and

Machinery which cannot otherwise reasonably be executed as often as occasion

shall require the Landlord procuring that persons exercising such rights shall

cause as little inconvenience as possible to the Tenant and in accordance with

the Tenant’s reasonable requirements as to the times the works are carried out

and having regard to the security safety and confidentiality requirements of

the Tenant and to make good to the Tenant in a reasonable manner all damage

thereby occasioned to the Demised Premises.

 

To Remedy Breach

 

4.11         To repair and make

good to the satisfaction of the Landlord’s Surveyor all breaches of covenant

defects and wants of reparation for which the Tenant may be liable under the

covenant herein contained of which notice shall have been given by the Landlord

to the Tenant within two calendar months after the giving of such notice or

sooner if requisite.

 

Right of Entry

 

4.12         That if the Tenant

shall at any time make default in the performance of any of the covenants

herein contained in relation to the repair decoration cleansing or condition of

the Demised Premises or any part thereof of which notice has been given as

aforesaid and which default has not been rectified within a reasonable time

(not less than 2 months except in case of emergency) it shall be lawful for the

Landlord and or its agents and workmen and all persons permitted or authorised

by the Superior Lease (but without prejudice to the right of re-entry herein

contained) to enter upon the Demised Premises or any part thereof and at the

expense of the Tenant to carry out such repairs cleansing or decoration as may

be necessary in accordance with the covenants and provisions herein contained

and the reasonable costs and expenses thereof (including any surveyors’ or

agents’ or legal fees) shall be paid by the Tenant to the Landlord on demand.

 

12

 

Fire Precautions

 

4.13         At all times during

the said term to comply with the provisions of the Fire Services Act 1981 and

all statutory amendments thereto and all statutory instruments, regulations and

requirements made thereunder in relation to the Demised Premises, and not to

obstruct the access to or means of working any fire fighting apparatus for the

time being installed in the Demised Premises or the means of escape for fire

and other emergency purposes and to comply with all requirements of the Fire

Officer and the Insurers of the Demised Premises.

 

Not to Alter

 

4.14.1      Not without the

previous consent in writing of the Landlord (which must not be unreasonably

withheld or delayed) to make any erection addition or alteration whatsoever

structural or otherwise to the external parts of the Demised Premises or to

carry out any development as defined by the Planning Acts as previously defined

in or to the Demised Premises or to any part thereof or to alter or to change

any of the materials or architectural decorations or decorative scheme of the

Demised Premises.

 

4.14.2      Not to alter, divide,

cut, maim, injure or remove any of the principle or load bearing walls, floor

beams or columns of the Demised Premises nor to make any other alterations or

additions of a structural nature to the Demised Premises without obtaining the

previous consent in writing of the Landlord.

 

4.14.3      Not to make (other

than the erection and removal of demountable partitions) any internal

non-structural alterations to the Demised Premises without the consent of the

Landlord which consent shall not be unreasonably withheld or delayed.

 

4.14.4      The Landlord may as a

condition of giving consent under this clause require the Tenant to enter into

reasonable covenants or undertakings as to the carrying out and insurance of

the additions or alterations to the Demised Premises and as to their

re-instatement to their original state at the expiration or sooner

determination of the term hereof.

 

4.14.5      To pay all reasonable

and proper costs and expenses incurred by the Landlord (including legal and

surveyors fees) of or in connection with the grant of any licence or consent

under this clause.

 

PROVIDED ALWAYS that

notwithstanding anything herein contained and otherwise than as provided at

clause 4.19 hereof the Landlord’s consent shall be not required for the

blocking up of any openings so as to create two separate buildings out of the

Demised Premises (it being the intention of the parties that on such

sub-division the link building between Units 3.2 and 3.3 may be included with

either Unit 3.2 or 3.3 at the Tenant’s absolute discretion).  All such works as shall be required for the

purpose of creating two separate buildings out of the Demised Premises shall

comply with all statutory requirements and the Tenant shall furnish evidence of

such compliance by way of Architect’s Certificates of Compliance on completion

of the works.

 

13

 

Not to Alter

Utilities

 

4.15         Not without the

previous consent in writing of the Landlord (which shall not be unreasonably

withheld or delayed) at any time during the said term to install or make any

alteration or addition to or alter or interfere with the Utilities Conduits and

Machinery (save as may be necessary to create two separate units as referred to

at clause 4.14 and that any such works shall comply with the reasonable

requirements of the Landlord).

 

No Auctions

 

4.16         Not to permit or

suffer any sale by auction to be held within or upon the Demised Premises.

 

Nuisance

 

4.17         Not to do nor permit

nor suffer to be done in or upon the Demised Premises or any part thereof or

any part of the Estate anything which shall or may be or become or cause a

nuisance damage annoyance material inconvenience disturbance injury or danger

to the Landlord or the owners, tenants or occupiers of any other part of the

Estate or any premises in the neighbourhood and not to permit suffer or allow

any odours vapours steam water vibrations noises or other undesirable effects

to emanate from the Demised Premises or from any equipment or installation

therein into other portions of the Estate and to keep the Landlord fully and

effectually indemnified against all actions proceedings costs damages expenses

claims and demands whatsoever arising out of or in consequence of any breach or

non-observance of this covenant.

 

Unauthorised User

 

4.18.1      Not at any time to use

the Demised Premises or any part thereof or allow the came to be used for any

public meeting exhibition or entertainment or for any illegal or immoral

purpose or for any noisy or offensive trade or business or occupation or for

residential purposes or for any purpose which shall not be fully authorised

under the Planning Acts.

 

4.18.2      Not to use the Demised

Premises or any part thereof for gambling, betting, gaming or wagering or as a

betting house, or as a club or for the sale of beer, wines and spirits and not

to play or use any musical instrument record player, loud speaker or similar

apparatus in such a manner as to be audible outside the Demised Premises.

 

4.18.3      Not to keep in or on

the Demised Premises any article or thing which is dangerous, offensive, unduly

combustible or inflammable, radioactive or explosive or which unduly increases

the risk of fire or explosion.

 

Assignment

 

4.19.1      Not to assign,

transfer, underlet, charge, hold on trust for another or part with the

possession or occupation of the Demised Premises or any part thereof or suffer

any

 

14

 

person to

occupy the Demised Premises or any part thereof as a licensee or as concessionaire BUT SO THAT NOTWITHSTANDING the foregoing the Landlord shall

(subject to compliance with the provisions of Clause

6.7) not unreasonably withhold its consent to:

 

(a)           an assignment or

transfer or underletting of the entire of the Demised Premises; and

 

(b)           an assignment,

transfer or underletting of a Unit individually

 

(c)           (other than as

provided for at sub-clause (b) above) underlettings or licensing of the entire

or parts of the Demised Premises PROVIDED that no underlessee of part only of

the Demised Premises shall acquire renewal rights.

 

On the occasion of the

assignment of the first Unit separately the Tenant, the Landlord and the

assignee of the Unit shall enter into a Deed providing that on the assignment

the covenants and conditions herein contained shall apply separately to each

Unit and that each Unit shall be deemed to be held under a separate Lease in

which all references to the Demised Premises will be references to that Unit

and the rent payable hereunder and all other sums hereby reserved shall be

apportioned between the Units on a pro rata basis (based on the gross internal

floor area of each Unit and the number of car spaces allocated to the Unit).

 

4.19.2      In the following Clauses (a), (b), (c) and (d) the word

“assignment” shall include any assignment, transfer, under-letting, parting

with the possession or occupation or the suffering of any person to occupy the

Demised Premises or any part thereof as a licensee or concessionaire and the

word “assignee” shall be construed accordingly:

 

(a)           the Landlord and the

Tenant agree that in the case of an assignment to a limited liability company

which would not be an acceptable tenant on its own to a landlord acting

reasonably it shall be reasonable for the Landlord to require that an adequate

surety (or if necessary sureties) of standing satisfactory to the Landlord

shall join in such consent as aforesaid as guarantor or guarantors for such

company in order to covenant (if more than one jointly and severally) with the

Landlord as guarantor or sureties that such company will pay the rent and the

perform and observe the said covenants and indemnify and save harmless

the-Landlord against all loss damage costs and expenses arising by reason of

any default by the Tenant and such covenant shall further provide in the usual

form that any neglect or forbearance of the Landlord shall not release or

exonerate the guarantor or guarantors and shall further provide that if there

should be a disclaimer of these presents by the company or on its behalf or a

dissolution of the company then if so required by the Landlord within three

months of such disclaimer or dissolution the guarantor or guarantors shall

accept a new Lease of the Demised Premises for the residue then un-expired of

the term hereby granted and at the rent payable and subject to the same

tenant’s covenants and to the same provisos and conditions as those in force

immediately before such disclaimer or dissolution and such guarantee to be

granted at the cost of the guarantor or 

 

15

 

guarantors in

exchange for a counterpart duly executed by the guarantor or guarantors as the

case may be;

 

(b)           the Tenant shall

prior to any assignment apply in writing to the Landlord for consent thereto and

give all reasonable information concerning the proposed assignee as the

Landlord may require;

 

(c)           the Landlord’s

consent to any such assignment shall be given in writing either under the hand

of an officer of the Landlord or under its seal;

 

(d)           in the case of an

under-lease of the Demised Premises such under-lease shall reserve the full

rack rent then payable (not being less than the level of rent payable under

this Lease) of the Demised Premises and if required by the Landlord the

under-lessee shall enter into a direct covenant with the Landlord to perform

and observe all the covenants (other than that for payment of the rent and

other sums hereby reserved ) and conditions herein contained insofar as they

relate to the premises sub-demised and every such under-lease shall also be

subject to the following conditions, that is to say that it shall contain:

 

(i)            an unqualified

covenant on the part of the under-lessee not to assign under lessee or part

with or share the possession of part only of the premises thereby demised;

 

(ii)           a covenant on the

part of the under-lessee not to assign under-let or part with, or share the

possession of the whole of the premises thereby demised without obtaining the

previous consent in writing of the Landlord which consent shall not be

unreasonably withheld or delayed.

 

(iii)          the rent payable

under any sub-leases shall be disregarded for the purposes of review of the

rent under this Lease.

 

(iv)          a covenant that any

under-leases granted out of such under-lease whether immediately or immediately

shall contain provisions similar to those hereinbefore in this sub-clause 4.19.2(d) contained; and

 

(v)           covenants and

conditions in the same terms as nearly as circumstances admit as those

contained in this Lease,

 

AND it is hereby

declared that in this sub-clause 4.19.2(d)

the expression “under lease” shall include an under-letting as well (in an

appropriate case) as a sufferance of any person to occupy the Demised Premises

or any part thereof as licensee or as concessionaire and the expression

“under-lessee” shall be construed accordingly;

 

(f)            within fourteen

days of every such assignment or underletting the Tenant shall give notice

thereof in writing with particulars to the Landlord’s Solicitors or

 

16

 

Managing

Agents and shall furnish them with a certified copy of such instrument or other

evidence of devolution of title and shall pay to the Landlord’s Solicitors

their reasonable costs in connection with such assignment;

 

Change of Use

 

4.20         Not without the prior

consent in writing of the Landlord or its Agent thereunto lawfully authorised

(which consent shall not be unreasonably withheld or delayed) to use or permit

or suffer or allow the Demised Premises or any part or parts thereof to be used

for any purpose other than that as set out in Part III of the First Schedule

hereto PROVIDED ALWAYS AND IT IS HEREBY AGREED AND DECLARED that upon any

application by the Tenant or any under-tenant of the Tenant for liberty to

alter or change the aforesaid permitted user of the Demised Premises the

Landlord shall not unreasonably withhold or delay its consent to such proposed

change of user.

 

Signs and Posters

 

4.21         Not without the

previous consent (which consent shall not be unreasonably withheld or delayed)

in writing of the Landlord and only then in such location upon the Demised

Premises as shall have previously been agreed with the Landlord to affix or

locate such signage as the Landlord shall have previously approved strictly

subject to the Tenant having obtained all necessary planning permissions and

consents in respect thereof.  The Tenant

shall keep all signage erected upon the Demised Premises in good order, repair

and condition clean neat, tidy and properly lighted and shall without delay make

good any damage thereto.

 

Not to Obstruct or

Damage the Common Areas

 

4.22.1      Not under any

circumstances to obstruct or permit any obstruction to be placed upon the

Common Areas and not to store leave or deposit any goods or refuse in the

Common Areas.

 

4.22.2      Not under any

circumstances to use the Common Areas or any part thereof for the purpose of

loading or unloading vehicles and not to park or permit to be parked any

vehicle in the Common Areas.

 

4.22.3      To ensure that all

persons coming to the Demised Premises park their vehicles within the confines

of the Demised Premises and not on any part of the Common Areas other than

those parts specifically designated for car parking.

 

4.22.4      Not to damage or to

permit any damage to be done to any part of the Common Areas by any tenant,

occupier, agent, invitee, servant, employee, supplier or other person availing

of the Demised Premises and should any damage be done to the Common Areas

attributable to any act, default, neglect or omission on the part of any of the

aforesaid resulting from the breach of the provisions of this covenant then the

Tenant shall be wholly responsible for all reasonable and proper costs and

expenses incurred by the

 

17

 

Landlord or

the Management Company in making good any damage to the Common Areas.

 

4.22.5      Not to discharge into

any Conduits any oil or grease or any noxious or deleterious effluent or

substance whatsoever which may cause an obstruction or is a source of damage or

which injures the Conduits or the drainage system of the Demised Premises or

the Estate.

 

Dangerous Materials

 

4.23         To observe all

statutory provisions contained in any regulations made by any duly constituted

authority or reasonable regulation made by the Landlord or contained in any

policy of insurance relating to the Demised Premises with regard to the storage

and use of petrol gas and other explosive or inflammable oils or substances.

 

Indemnity

 

4.24.1      Fully and effectually

to indemnify the Landlord from and against the breach non performance and

non-observance by the Tenant of any of the covenants and conditions on the

Tenant’s part or the provisos or stipulations herein contained and intended to

be performed or observed by the Tenant and against the breach non-performance

and non observance of any of the reasonable rules and regulations made pursuant

to the provisions of this Lease and against all actions costs claims and

expenses and demand whatsoever or howsoever arising in respect of or in

consequence (whether direct or indirect) of any such breach non-performance or

non-observance as aforesaid.

 

4.24.2      To indemnify and keep

indemnified the Landlord from and against all and any actions expenses cost

claims demands and damages and other liabilities whatsoever in respect of

injury or death of any person or damage to any property arising directly or

indirectly out of,

 

(a)           the state of repair

or condition of the Demised Premises insofar as it is the Tenant’s

responsibility under this Lease to repair same.

 

(b)           the making or

existence of any alterations to the Demised Premises by or for the Tenant or

the state or repair or condition of such alteration.

 

(c)           the user of the

Demised Premises.

 

(d)           any work carried out

or in the course of being carried out on the Demised Premises by or for the

Tenant.

 

(e)           anything now or

hereafter attached to or projecting from the Demised Premises (other than items

attached by the Landlord or other parties).

 

18

 

(f)            any act omission or

negligence of the Tenant or any person in or about the Demised Premises

expressly or impliedly with the Tenants’ authority.

 

4.24.3      The Tenant shall

effect and maintain in force during the term of this Lease such policy or

policies of insurance as shall provide adequate insurance cover in respect of

the indemnities covenanted for by the Tenant in sub-clause 4.24.2 of this

Lease.  The Tenant shall furnish when

and as requested and within a reasonable period of time of such request copies

of all up-to-date insurance policies effected by the Tenant pursuant to the

provisions of this clause together with evidence that the premium in respect

thereof has been discharged up-to-date.

 

Stamp Duty and V.A.T.

 

4.25         The Tenant shall pay

on the execution hereof any Value Added Tax payable or exigible on the

execution or delivery of this Lease and all other sums payable by the Tenant

hereunder (on receipt of a valid VAT invoice) and shall discharge the stamp

duty payable thereon and on a

Counterpart and all registration fees.

 

Storage of refuse

 

4.26         The Tenant shall

store all domestic and industrial refuse as may emanate from its user of the

Demised Premises in sealed refuse containers of a standard to be acceptable to

the Landlord such standards to be dependent upon the refuse emanating from the

user of the Demised Premises.  The

Tenant shall store such containers in such part of the Demised Premises or the

Common Areas as the Landlord may reasonably require and shall in addition provide

such fencing around such containers as the Landlord may reasonably require

should the Landlord be of the opinion (held reasonably) that the contents of

such containers should be securely stored so as to avoid theft thereof.  The Tenant shall also provide decorative

fencing around such containers to maintain a neat and tidy appearance.  The Tenant shall also on a regular basis to

be determined from tithe to time by the Landlord (again having regard to the

volume and type of waste produced) cause to be removed by a reputable refuse

collectors, all refuse stored in such containers.  The Tenant shall not under any circumstances store refuse loosely

outside buildings on any part of the Demised Premises.

 

Indemnity re. Breach of the Superior Lease

 

4.27         The Tenant agrees to

indemnify and to keep indemnified the Landlord from and against all actions,

costs, damages, claims or expenses which may be incurred or borne by the

Landlord resulting from the Landlord being placed in breach of the Superior

Lease such breach resulting directly from the breach by the Tenant of any of

the covenants and conditions on the Tenants part herein contained to be

observed and performed.

 

19

 

Conveyancing Act

 

4.28.1      To pay to the Landlord

all reasonable and properly incurred costs charges and expenses (including

legal costs and fees payable to a Solicitor, Surveyor, Architect or other

agent) which may be incurred or payable by the Landlord:-

 

4.28.1.1        In any proceedings

relating to the Demised Premises under Section 14 of the Conveyancing and Law

of Property Act 1881 or any section or sections of any amending of substituted

enactment (whether or not any right of re-entry or forfeiture has been waived

by the Landlord or the Tenant has been relieved under the provisions of the

said Act) or in connection with or in contemplation of any application to any

planning or other relevant authority or of any other application to the

Landlord for any consent pursuant to the covenants herein contained (whether

such consent is granted or not) and to keep the Landlord fully and effectually

indemnified against all costs, expenses, claims and demands whatsoever in

respect of the said applications, consents and proceedings or,

 

4.28.1.2        In relation to the

preparation and service of all notices and schedules relating to the wants of

repair for which the Tenant is liable whether served during or after the term

hereof (but relating in all cases only to such wants of repair that accrued not

later than the expiration or sooner determination of the term hereof) or in

connection with the recovery or attempted recovery of arrears of rent or other

sums payable under this Lease or in procuring the remedying of any breach of

covenant by the Tenant or in relation to any other action taken at the request

of the Tenant.

 

To Yield Up

 

4.29         At the expiration or

sooner determination of the said term peaceably and quietly to yield up the

Demised Premises (and if so required by the Landlord the Tenant shall reinstate

the Demised Premises to its state and condition as set out in the specification

and drawings listed in the Sixth Schedule) together with all additions and

improvements made thereto and in such state and condition as shall in all

respects be consistent with a full and due performance by the Tenant of the covenants

contained in this Lease and any licence or consent granted pursuant to the

provisions hereof, together with all fixtures and fittings (other than trade or

tenant fixtures and fittings) affixed by the Tenant which during the said term

may be affixed or fastened to or upon the Demised Premises (tenants or trade

fixtures and fittings only excepted) and making good any damage or defects or

wants of decoration resulting from the removal of the Tenants fixtures and

fittings to the Landlord’s reasonable satisfaction, and in case any of the

Landlord’s fixtures and fittings shall be missing broken damaged or destroyed,

to forthwith replace them with others of a similar kind and of equal value and

if reasonably so required by the Landlord to remove and make good to the

original prevailing condition all alterations or additions made to the Demised

Premises by the Tenant without the consent of the Landlord.

 

20

 

Right to affix re-letting Notices

 

4.30         To permit the

Landlord or its agents at any time within six calendar months before the

expiration or sooner determination of the said term (PROVIDED the Tenant has

not served notice of intention to claim renewal rights) to enter upon the

Demised Premises and to affix and retain without interference upon any suitable

part or parts thereof a notice board or bill for re-letting or selling the same

and that the Tenant will not remove or obscure the same and will permit all

persons authorised in writing by the Landlord or its agents to view the Demised

Premises at all reasonable hours in the day time without interruption

 

Reversionary Interest

 

4.31         To permit the

Landlord or any superior Landlord or its or their agents at all reasonable

times by prior appointment during the term of this Lease upon giving reasonable

notice in writing to enter the Demised Premises with prospective purchasers

their agents and advisers of its reversionary interest to enable prospective

purchasers to view the same.

 

Notice of Damage

 

4.32         In the event of the

Demised Premises or any part thereof being damaged or destroyed by any of the

Insured Risks to give immediate notice to the Landlord.

 

Not to suspend or overload

 

4.33         Not to suspend or

permit or suffer to be suspended any heavy load from the ceilings or main

structure of the Demised Premises nor to load nor to use nor to permit or

suffer to be loaded or used the floor or structure of the Demised Premises in

any manner which would in any way impose a weight or strain in excess of that

specified from time to time by the Landlord (acting reasonably) with due margin

for safety or which would in any way strain or interfere with the supports of

the Demised Premises.

 

To pay the Block 3 Service Charge

 

4.34         To pay to the

Landlord by way of further or additional rent the Tenant’s Proportion of the

Block 3 Service Charge for the Services and other matters provided for and

undertaken by the Landlord as set out in the Fourth Schedule as relate to the

Internal Common Areas in accordance with the provisions of the Fifth Schedule

hereto without any deductions or abatements whatsoever (save as required by

law) together with VAT payable thereon.

 

21

 

5.             THE LANDLORD HEREBY COVENANT’S WITH THE TENANT AS FOLLOWS:

 

Quiet Enjoyment:

 

5.1           That so long as the

Tenant pays the rent and other sums hereby reserved and made payable and

observes/and performs the Tenant’s covenants and the conditions of this Lease

the Tenant may hold and enjoy the Demised Premises and the rights hereby

granted peaceably during the term of this Lease without any interruption by the

Landlord or any person lawfully claiming under or in trust for the Landlord;

 

Insurance:

 

5.2.1        To maintain or cause

to be maintained insurance in respect of the Demised Premises and , Block 3

including fixtures and fittings (other than tenant’s and trade fixtures) in an

insurance office of repute against loss or damage by the Insured Risks in the

full reinstatement cost thereof including:-

 

•                          architects,

surveyors, consultants and other professional fees (including VAT thereon);

 

•                          the

costs of shoring up, demolishing, site clearing and similar expenses;

 

•                          all

stamp duty and other taxes or duties exigible on any building or like contract

as may be entered into and all other incidental expenses relative to the

reconstruction reinstatement or repair of the Demised Premises and Block 3.

 

•                          such

provision for inflation as the Landlord in its reasonable discretion shall

consider appropriate.

 

•                          property

owners, employers and other liability of the Landlord arising out of and in

relation to the Demised Premises and Block 3.

 

•                          such

other insurances as the Landlord may in its reasonable opinion from time to

time, deem necessary to effect:-

 

•                          the loss

of rent and service charges (including those payable in respect of the Superior

Lease) from time to time payable under this Lease following loss or damage to

the Demised Premises by the Insured Risks for 3 years.

 

5.2.2        In case of loss or

damage to the Demised Premises or any part of Block 3 by or from any of the

Insured Risks to cause all insurance money (other than for loss of rent or in

respect of property owner’s liability) received by the Landlord to be applied

in reinstating the Demised Premises and the rest of Block 3 as-‘quickly as

reasonably practicable in substantially the same form as it was prior to such

damage or destruction with such changes thereto which the Landlord may be

obliged to make but the Landlord shall use all reasonable endeavours to

reconstruct the premises of quality and size at least equal to that which

existed before the damage or destruction (and, in the event of the Demised

Premises as constructed is smaller, the rent will be reduced pro-rata), and in

the event that the insurance proceeds are insufficient for the purposes of such

reinstatement to make up any shortfall from the Landlords’ own monies.

 

22

 

Provided however that the Landlord shall not be obliged to reinstate

the Demised Premises under this sub-clause if the policy or policies of

insurance has or have been vitiated or avoided or where the

insurance monies have been withheld in part or in whole because of acts neglect

or defaults of the Tenant its servants or agents or those whom the Tenant allows

to come on to the Demised Premises unless the Tenant has complied with its

obligation pursuant to clause 4.2.6:

 

Provided

further that in the event of the Landlord being unable to so reinstate the

Demised Premises due to refusal of planning or other approvals consents or

licences the Tenant agrees to surrender this Lease when called upon by the

Landlord so to do;

 

5.3           To produce to the

Tenant when reasonably requested relevant particulars or an insurance

certificate in respect of the policy relating to any insurance effected under Clause 5.2.1

and a copy of the receipt or other evidence of payment for the

current premium and procure that at all times, either the insurers have issued

a subrogation waiver in favour of the Tenant or (only if a subrogation waiver

is not available in the market) the Tenant’s interest is noted on the insurance

policy (but with a note that all monies will be payable to the Landlord) and

that the policy contains a tenant’s non-invalidation clause.

 

To Provide Services

 

5.4           Subject to payment

by the Tenant of its due proportion of the Block 3 Service Charge attributable

to the Demised Premises calculated in accordance with the provisions of the

Fifth Schedule, at all time throughout the term of this Lease and so far as the

Landlord considers necessary to execute provide or make available the Services

in an efficient manner in accordance with the principles of good estate

management at a reasonable and competitive price PROVIDED ALWAYS that in

performing its obligations hereunder the Landlord shall be entitled in its

discretion to employ Agents, Contractors (including Independent Contractors) or

such other persons as the Landlord may reasonably from time to time think fit

to provide any one or more of its obligations hereunder PROVIDED FURTHER:-

 

5.4.1        That the Landlord

shall be entitled to cease to provide any Service as set forth in the Fourth

Schedule hereto if any Service shall in the reasonable opinion of the Landlord

after consultation with the Tenant cease to be for the benefit of the Tenant or

Block 3, or has become due to technological change obsolete or redundant.

 

5.4.2        That the Landlord

shall not be liable for any loss or damage arising from any failure or delay

due to war, civil commotion, strike, lock-out, labour, dispute, shortage of

labour or materials, inclement weather or other reasonable cause or causes

beyond the control of the Landlord and, PROVIDED that the Landlord has taken

all reasonable preventative measures and measures to minimise the affect of

same and uses all reasonable endeavours to reinstate the Services as soon as

possible.

 

23

 

5.4.3        If the Landlord shall

fail to provide the Services as hereinbefore provided the Tenant’s sole remedy

shall be an action to compel the Landlord to do so and the Landlord shall not

be liable to the Tenant in respect of any loss or consequential loss, which the

Tenant shall sustain as a result of the failure of the Landlord to provide such

Service (except for any loss covered by public liability or other policies of

insurance effected by the Landlord or which the Landlord is obliged to effect

and for any damage to property injury to any person or death or disease),

unless the Tenant shall notify the Landlord in writing specifying the failure

of which the Tenant complains and the Landlord shall after the expiration of

twenty one days from the date of receipt of such notice (or sooner if it is

appropriate), continue to neglect to provide said Services in respect of which

notice has been given by the Tenant.

 

To perform and observe covenants in the

Superior Lease

 

5.5           To perform and

observe the covenants on the tenant’s part contained in the Superior Lease and

to procure the performance and observance by the other parties to the Superior

Lease of their obligations and to keep the Tenant indemnified against the

consequences of any breach thereof.

 

5.6           Landlord’s and

Management Company’s Covenants

 

The Management Company and the

Landlord each covenant with the Tenant that, notwithstanding anything else

herein contained;

 

5.6.1        The service charges

payable pursuant to the Superior Lease or this Lease shall not include the cost

of collection of rents;

 

5.6.2        Where costs or

expenses are recoverable under any policy of insurance effected or to be

effected pursuant to this Lease or the Superior Lease, to use all reasonable

endeavours to make recovery under those policies and credit any sums recovered

to the service charges.

 

5.6.3        To pursue whatever

rights it or they may have against any party or parties in respect of any

damage caused by such parties to any property, plant or equipment to which the

service charges relate and to credit any sums recovered to the service charges

Provided that any reasonable costs incurred in complying with this covenant

shall he recoverable byway of service charge.

 

5.6.4        To pursue all rights

which it or they may have in respect of any defects (structural, design or

otherwise) which may arise in respect of any part of the Estate or Block 3 (but

not the Demised Premises) including the Common Areas, the Internal Common

Areas, the Machinery, the Conduits and the Utilities and where any costs or

expenses in respect of such defects have been included in the service charges

to credit any amounts recovered in respect of such defects to the relevant

service charge (less any reasonable costs and expenses incurred in pursuing

such rights).  The Landlord, covenants

that it has Collateral Warranties from the building contractor, design team and

all appropriate sub-contractors and suppliers in respect of the design and

construction of the Internal Common Areas, the

 

24

 

Machinery, the

Conduits and the Utilities on terms at least as favourable as those which have

been provided to the Tenant Provided that any reasonable costs incurred in

complying with this covenant shall be recoverable by way of service charge.

 

5.6.5        That all monies

collected for any sinking, reserve or expenditure equalisation funds shall be

retained separately in an interest bearing account and all interest earned on

same shall be added to the funds and that such funds shall only be drawn on for

the purposes for which they are established, and that statements of the amounts

in any such funds shall be furnished on request and on any disposal of the

property to which the funds relate the entire amount of the funds will be

passed to the purchaser of the property.

 

6.             IT IS HEREBY MUTUALLY AGREED BY AND BETWEEN THE PARTIES

HERETO AS FOLLOWS:-

 

Suspension of Rent

 

6.1           If the Demised

Premises or any part thereof or the Estate or any part of Block 3 shall at any

time be destroyed or damaged by any of the Insured Risks so as to render the

Demised Premises or part thereof unfit for occupation or use or inaccessible

and the relative policy or policies of insurance effected by the Landlord shall

not have been vitiated or payment of the policy monies refused in whole or in

part in consequence of , any act neglect or default on the part of or suffered

by the Tenant then rent and other sums hereby reserved or payable for a fair

and just proportion thereof according to the nature and extent of the damage

sustained and the Tenant’s repair obligations shall be suspended and cease to

be payable until a date three years after the date any damage was first

sustained or until such time as appropriate reinstatement shall have taken

place (whichever is the earlier) and in case of dispute as to the proportion or

period of such abatement the same shall be referred to arbitration by the

Surveyor and the arbitration shall be conducted in accordance with the

Arbitration Acts 1954 to 1980 and such reference shall be deemed to be a

reference to arbitration within the meaning of the said Acts.

 

Re-Entry

 

6.2           Notwithstanding and

without prejudice to any other remedies and powers herein contained or

otherwise available to the Landlord if the rent hereby reserved or any part

thereof shall be unpaid for twenty one days after becoming payable (whether

formally demanded or not) or if any covenant on the Tenant’s part herein

contained shall not be performed or observed or if the Tenant being a company

shall be dissolved or enter into liquidation whether compulsory or voluntary

(save for the purpose of reconstruction or amalgamation) or being an individual

or more than one individual any one of them shall become bankrupt or shall

enter into composition with his or their creditors or if the Tenant shall

suffer any distress or execution to be levied on its goods then and in any of

the said cases it shall be lawful for the Landlord at any time thereafter to

re-enter the Demised Premises or any part thereof in the name of the whole and

thereupon this demise

 

25

 

shall

absolutely determine but without prejudice to any right of action or remedy of

either party in respect of any breach of the other party’s covenants herein

contained.

 

Notices

 

6.3           In addition to any

other prescribed mode of service any notices requiring to be served hereunder

shall be validly served if in the case of the Tenant they are left addressed or

sent by post to the Tenant (or if there shall be more than one of them to any

one or more of them) at the Demised Premises (provided this Lease has not

terminated or the Tenant has not sub-let the entire) or sent to the Tenant by

post or left at the Tenant’s last known address or addresses in the Republic of

Ireland and in the case of the Landlord or the Management Company being a

company they are left at or posted to the registered office of the Landlord or

the Management Company (as the case may be) and otherwise to be sent to the

Landlord or the Management Company by post or left at the Landlord’s last known

address in the Republic of Ireland.

 

6.4           Appointment of the Surveyor for Purpose of Rent Review

Clause

 

6.4.1        Should it become

necessary to appoint a surveyor to determine the rent upon a review thereof

then he shall be nominated by agreement between the Landlord and the Tenant as

soon as is reasonably practicable or in default of agreement within fourteen days

of one party first giving to the other notice of its nomination he shall be

appointed on the written application of either party by the Chairman for the

time being of the Society of Chartered Surveyors in the Republic of Ireland.

 

6.4.2        If the Surveyor shall

fail or refuse to accept his appointment or shall fail to give notice in,

writing of his decision within four months of his appointment or shall die or

otherwise become incapable of acting or if it shall become apparent that for

any reason he will be unable unfit or unsuited (including because of bias or

conflict of interest) to complete his duties the Landlord or the Tenant if they

fail to agree on a substitute appointment within four weeks of attempting so to

do may apply to the Chairman for the time being of the Society of Chartered

Surveyors in the Republic of Ireland for such a substitute to be appointed AND such procedure may be repeated as many

times as necessary (but subject in the case of any arbitrator to the provisions

of the said Arbitration Acts).

 

6.4.3        Where the appointment

of the Surveyor is to be by the Chairman for the time being of the Society of

Chartered Surveyors in the Republic of Ireland THEN if the said Chairman shall for any reason not be

available or be unable to make such appointment at the time of application

therefor the appointment may be made by his duly appointed deputy or any person

authorised by him to make appointments on his behalf and if no such person

shall be available then the appointment shall be made by the Vice Chairman or

next senior officer of the said Society then available and able to make such

appointment AND if no such officer

of the Society shall be so available and able to make such appointment then the

appointment will be made by the President for the time being of the Law Society

of Ireland.

 

26

 

6.4.4        Either party shall be

at liberty to pay the entire of the fees and expenses of the Surveyor in which

event the party so paying shall be entitled to be reimbursed by and to recover

from the other on demand the proportion so paid on behalf of the other.

 

Disputes

 

6.5.1        In the event of there

being a dispute or difference between the Landlord and the Tenant or between

the Tenant and the Management Company in respect of any matter arising under

the provisions of this Lease other than questions of law, questions relating to

any consent or approval required from the Landlord, or the interpretation of

this Lease and the dispute not having been resolved between the relevant

parties within a period of 28 business days from the date of its arising, and

in the event of there not being any other provisions in any clauses of this

Lease dealing with dispute resolution then, the parties shall be entitled to

have the dispute referred to an arbitrator for determination such arbitrator to

be an arbitrator either as agreed between the disputing parties or in default

of agreement to be appointed upon the application of either party by the

President for the time being of the Law Society of Ireland.  The provisions of the Arbitration Acts

1954/1980 together with any statutory modifications or amendments thereto shall

apply in full to such reference to arbitration.

 

6.5.2        Should the arbitrator

so appointed be unwilling or unable to hand down his decision within 3 months

of the date of his appointment or if he shall relinquish his appointment or

become incapacitated so that he cannot adjudicate upon the dispute or become

unfit or unsuited (including because of bias or conflict of interest) then any

of the parties to the dispute shall be entitled to re-apply to the President

for the time being of the Law Society of Ireland to have another arbitrator

appointed in his stead.  The costs of

the previous arbitrator shall be borne equally between the parties.

 

No Warranty

 

6.6           It is hereby

acknowledged that the Landlord does not give any warranty or confirmation that

the permitted user is a user which is permitted to be carried on in the Demised

Premises or any part thereof by the Planning Acts or under any other statutory

or local requirements.

 

Consents

 

6.7           Any provisions

requiring the Landlord’s or the Management Company’s consent may be given

conditional on the Tenant observing or fulfilling the requirements of any

statutory or local authority, or the order of any Minister or statutory

instrument relating to the subject matter of the consent.

 

Waiver

 

6.8           Failure of the

Landlord or the Management Company to exercise any of its rights hereunder or

to insist upon compliance by the Tenant with its covenants and conditions

 

27

 

herein shall

not constitute a general waiver of any of the Landlords or the Management

Company’s rights herein.

 

Deasy’s Act

 

6.9           In case the Demised

Premises or any part thereof shall be destroyed or become ruinous or

un-inhabitable or incapable of beneficial occupational or enjoyment by the

Insured Risks the Tenant hereby absolutely waives and abandons its rights (if

any) to surrender this Lease under the provisions of Section 40 of the Landlord

and Tenant Law Amendment Act Ireland 1860.

 

Determination in case of damage or destruction by

Insured Risks

 

6.10         If the Demised

Premises or the accesses or services thereto are destroyed or damaged by any of

the Insured Risks and the Demised Premises and all accesses and services

thereto necessary for the full use of same have not been rebuilt and reinstated

within three years of such damage or destruction the Tenant may, at any time

after the said three years (provided such reinstatement or rebuilding has not

been completed prior to the service of such notice) serve notice on the

Landlord terminating this Lease and on the service of such notice this Lease

shall absolutely cease and determine.

 

No implied

easements

 

7.             Nothing in this

Lease shall impliedly confer upon or grant to the Tenant any easement right or

privilege other than those expressly granted (if any) herein.

 

Management Company’s Covenants

 

8.             The Management

Company hereby covenants with the Tenant to comply with, perform and observe

all the covenants, conditions and obligations on its part contained in the

Superior Lease to procure the performance by any other parties thereto (other

than the Landlord) of their obligations under the Superior Lease and to provide

all services to be provided in an efficient manner at competitive prices and to

ensure that it is not struck off liquidated or ceases to exist.

 

Covenants by the

Guarantor with the Landlord

 

9.             The Guarantor

hereby covenants and agrees with the Landlord in the manner set out in the

Third Schedule hereof.

 

Interpretation

 

10.           Where the context so

requires or admits the masculine includes the feminine and neuter and the

singular includes the plural and vice versa.

 

28

 

Headings

 

11.           The headings shall not affect in any way the construction

of this Lease.

 

12            Jurisdiction

 

12.1         This Lease shall be

governed by and construed according to the laws of the Republic of Ireland

applicable to contracts made wholly to be performed in the Republic of Ireland.

 

12.2         The Landlord, the

Management Company, the Tenant and the Guarantor submit to the jurisdiction of

the Courts of the Republic of Ireland for all the purposes of this Lease and

each acknowledge that this agreement as to jurisdiction is incorporated for the

benefit of each of the other parties.

 

12.3         The Tenant and the

Guarantor consent to the service of any legal proceedings on it or them at the

Demised Premises PROVIDED this Lease has not terminated and the Tenant has not

sub-let the entire of the Demised Premises.

 

Termination

 

13            The Tenant (in this

clause meaning the original Tenant and any successor or assigns shall have the

right to terminate this Lease as of the expiration of the 10th year

of the Term (the “Relevant Date”) subject to the following terms and

conditions:-

 

13.1         The Tenant shall

serve on the Landlord a Notice in writing exercising the said right (the

“Notice”) on or before the expiration of the 9d’ year of the Term (and in this

respect time shall be of the essence).

 

13.2         The Tenant shall on

the Relevant Date have materially complied with all prior notices served by the

Landlord on the Tenant not less than six months before the Relevant Date in

respect of material breaches of the covenants and conditions binding on the

Tenant’s part contained in this Lease.

 

13.3         The Tenant shall pay

to the Landlord on or before the Relevant Date a bank draft for a sum equal to

12 months then current rent (payable under this Lease which for the avoidance

of any doubt is the principal rent only and does not include any service

charges, insurance premium, rates or any other sums reserved as rents).

 

13.4         The Tenant shall give

vacant possession of the Demised Premises at the Relevant Date.

 

13.5         Notwithstanding the

Notice the Tenant shall continue to be responsible for rent and all other

outgoings payable on foot of this Lease up to the Relevant Date.

 

13.6         If so required by the

Landlord the Tenant shall reinstate the Demised Premises to its state and

condition as set out in the Specification and Drawings listed in the Sixth

Schedule and shall redecorate the interior and exterior of the Demised Premises

immediately prior

 

29

 

to vacating

same and shall also make good any damage caused to the Demised Premises or to

the Landlord’s fittings therein.

 

13.7         The Tenant shall

prior to vacating the Demised Premises deliver to the Landlord the original of

this Lease (or if the Lease has been lost a declaration confirming that it has

been irretrievably lost) and shall thereafter procure a cancellation of its

registration in the Land Registry or alternatively furnish to the Landlords’

Solicitors such documentation as may he required to effect such cancellation.

 

13.8         Any such termination

shall be without prejudice to any antecedent breach by either the Landlord or

the Tenant of any of their respective covenants herein contained.

 

13.9         In the event of any

permitted under-tenant being in the Demised Premises at the date of service of

the Notice, the Notice shall only be effective if the Tenant procures that any

such under-tenant also vacates the Demised Premises on or before the Relevant

Date unless the Landlord permits otherwise.

 

Assent to

registration

 

14.           The Landlord hereby

assents to the registration of this Lease and the easements rights and

privileges hereby granted as a burden on Folio 92314L of the Register of

Leaseholders County of Dublin and to the opening by the Tenant of a leasehold

folio in respect of the Demised Premises and to the use of the Land Certificate

(if any) for the Landlord’s folio for the purpose of such registration.

 

IT IS HEREBY

CERTIFIED by the Parties hereto as follows:-

 

1.             That the premises

hereby demised are premises situate in the County Borough of Fingal.

 

2.             That Section 53 of

the Stamp Duties Consolidation Act 1999 does not apply to this instrument.

 

3.             That the

consideration (other than rent) for the Lease is wholly attributable to

property which is not residential property.

 

4.             That the Landlord

has obtained consent under Section 12 of the Land Act 1965 for the sub-division

of the property and that all conditions of such consent has been complied with.

 

5.             That the

transaction hereby effected is not prohibited by Section 29 or 31 of the

Companies Act, 1990.

 

30

 

THE FIRST SCHEDULE

 

PART 1

 

(The Demised Premises)

 

ALL

THAT AND THOSE the premises known as Units 3.2 and 3.3

Woodford Business Park, Santry in the City of Dublin being part of the lands

comprised in Folio 92314L County Dublin shown edged red on Map I attached

hereto (the walls or structures separating the Demised Premises from an

adjoining Lettable Area shall be party walls and maintained as such) the agreed

floor area of which at the date of grant of this Lease is 2,963 square metres.

 

PART II

 

(Rights granted to

the Demised Premises and the Tenant)

 

1.             The benefit of all

Conduits Utilities and Machinery situate on over or under the Demised Premises

which do not exclusively serve the Demised Premises.

 

2.             The right to the

free and un-interrupted passage of the Utilities (in common with the rights of

the Landlord and the tenants of other Lettable Parts and all other persons

entitled thereto) through the appropriate Conduits laid in or over under or

through any other parts of the Estate or other contiguous or adjacent land and

premises of the Landlord.

 

3.             The right at all

times by day or by night on foot and with vehicles, to pass and repass over and

along those parts of the Common Areas and the Internal Common Areas as provide

access for the Demised Premises to and from the public road.

 

4.             The right at all

times during the term of this Lease to use the Common Areas and the Internal

Common Areas for the purposes of which same are intended for use from time to time.

 

5.             The right to

connect up to the Conduits abutting Block 3 for the purpose of availing thereof

for the supply of the Utilities and the right to enter on any part of Block 3

and carry out all necessary works including excavations and the laying of new

Conduits on or in any part of Block 3 not built upon.

 

6.             The right on giving

reasonable notice to occupiers thereof to enter on any other parts of Block 3

for the purposes of carrying out any repairs, alterations or works to the

Demised Premises which cannot otherwise be carried out and making good all

damage caused to such other parts of Block 3.

 

7.             The right to erect

and maintain plant equipment aerials and associated cabling and Conduits on the

roof of the Demised Premises.

 

31

 

The above rights are subject to

the proviso that the Tenant shall not interfere with the free and uninterrupted

passage of utilities to and from any other part of the Estate and shall cause

as little inconvenience to the Landlord and the Management Company as possible

and shall make good to the Landlord and the Management Company all damage done

to the Common Areas and/or the Internal Common Areas as a result of.  the exercise of any of the said rights and

shall comply with any reasonable requirements of the Landlord including how the

works are carried out, the time the works are carried out, and the security

safety and confidentiality requirements of the Landlord.

 

PART III

 

User of the Demised Premises.

 

OFFICES (which includes for the

avoidance of any doubt and without prejudice to the generality of the foregoing

any or all of the following:

 

Call Centre, telemarketing,

training centre, Data processing, software development, medical and related

consultants, telesales, services and support, administrative office, commercial

laboratory, research and development, professional offices, financial services

and ancillary canteen/kitchen facilities).

 

THE SECOND SCHEDULE

 

Easements, Rights and

Privileges excepted and reserved out of and over the Demised Premises by the

Landlord for the benefit of the Landlord and the Estate and where appropriate

for the benefit of the Management Company, and all other persons authorised by

them or entitled thereto.

 

1.             The right to the

uninterrupted passage of the Utilities through the Conduits for the time being

belonging to or running over under or through the Demised Premises or any land

and premises over which the Tenant is hereby granted any access rights.

 

2.             The full right and

liberty for the Landlord and other persons authorised by the Landlord or as

authorised under this Lease to enter the Demised Premises for the purposes of

inspecting generally and for the purposes of and subject to the conditions

specified in the clauses of this Lease.

 

3.             The full right and

liberty at all reasonable times (but in case of an emergency at any time) to

enter upon the Demised Premises with workmen and others to execute repairs and

maintenance which can only be executed from the Demised Premises.

 

4.             The right to repair

maintain and renew, alter re-construct and re-design the Machinery Utilities

and Conduits PROVIDED that same does not interfere with the free and

uninterrupted passage of Utilities to the Demised Premises.

 

32

 

5.             The right for the

Management Company from time to time to make reasonable and proper rules and

regulations and to make additions and amendments thereto or revisions thereof

for the orderly convenient and proper operation management and maintenance of

the Common Areas, all of which rules and regulations shall be deemed to be and

form part of this Lease.  WITHOUT PREJUDICE to the generality

of the foregoing the Management Company may make reasonable rules and

regulations:

 

5.1.          For the storage and

removal or disposal of waste.

 

5.2.          In relation to the

erecting and maintaining of signs notices and regulations as may be appropriate

in any part or parts of the Estate.

 

5.3.          For the security of

the Estate as a whole or in respect of any part or parts thereof.

 

5.4.          For closing

temporarily at any time any part or parts of the Common Areas for the purposes

of repairing cleaning and maintaining the same.  Provided that the Tenant has at all times reasonable alternative

vehicular and pedestrian access to the Demised Premises and there is no

interference with or interruption of passage of Utilities to the Demised

Premises.

 

5.5.          The Management

Company shall be entitled in its absolute discretion to employ, management

agents for the purposes of regulating the control and maintenance of the

Estate, and such management company shall be empowered to make reasonable and

proper regulations additions amendments to and revisions of the rules in

respect of the Common Areas and any such rules regulations amendments or revisions

so made shall have the same force and effect as if made by the Management

Company itself and shall bind the Tenant accordingly.

 

7.             Such additional

easements rights and privileges as are reserved out of the Demised Premises

under the Superior Lease.

 

The easements,

rights and privileges referred to above are subject to the proviso that the

person exercising should not interfere with the free and uninterrupted passage

of Utilities to and from the Demised Premises and shall cause as little

inconvenience to the Tenant as possible and shall make good to the Tenant all

damage done to the Demised Premises as a result of the exercise of any of the

said rights and shall comply with any reasonable requirements of the Tenant

including the times of carrying out the works how the works are carried out and

all security, safety and confidentiality requirements of the Tenant.

 

THE THIRD SCHEDULE.

 

Covenants by the Guarantor with the Landlord.

 

1.             In consideration of

the Landlord at the request of the Guarantor granting the within Lease the

Guarantor in the case of a body corporate for itself and its successors or in

the case of

 

33

 

an individual

for himself and his legal personal representative or some one or more of them

as a primary obligation HEREBY COVENANTS AND GUARANTEES to the Landlord its

successors and assigns during the term of the within Lease (including any

extension or renewal thereof) AS FOLLOWS:-

 

1.1           That the Tenant as

within defined or the Guarantor will pay the rents and other sums thereby

reserved and made payable in the manner and at the respective times therein

appointed for the payment thereof and will duly observe and perform all the

covenants on the part of the Tenant and conditions therein contained.

 

1.2           That the Guarantor

will pay and make good to the Landlord within 21 days of demand all losses,

costs, damages and expenses occasioned to it by the non-payment of the said rents and other sums or any part thereof

or the breach or non-observance of any of the said covenants and

conditions on the part of the Tenant.

 

1.3           That none of the

following or any combination thereof shall release, discharge or in any way

affect the liability of the Guarantor under this guarantee as principal debtor

under the within Lease or otherwise prejudice or affect the right of the

Landlord to recover from the Guarantor to the full extent of this Guarantee:-

 

1.             Any neglect delay

or forbearance of the Landlord in endeavouring to obtain payments of the rents

or any other sums required to be paid by the Tenant or enforcing the

performance and observance of any of the obligations of the Tenant under the

within Lease.

 

2.             Any extension of

time given by the Landlord to the Tenant.

 

3.             Any variation of

the terms of the within Lease (including any reviews of the rent payable under

the within Lease) or the transfer of the Landlord’s reversion or an assignment

of the within Lease.

 

4.             Any change in the

structure or powers of either the Tenant, the Guarantor or the Landlord or the liquidation

or bankruptcy (as the case maybe) of either the Tenant or the Guarantor.

 

5.             Any legal

disability or incapacity of the Tenant or the Guarantor (whether or not known

to the Landlord) or the fact that any dealings with the Landlord by the Tenant or

the Guarantor may be outside or in excess of the powers of the Tenant or the

Guarantor.

 

6.             Any other act,

omission, matter or thing whatsoever whereby but for this provision the

Guarantor would be exonerated either wholly or in part (other than a release in

writing given by or on behalf of the Landlord or a determination pursuant to

Clause 1.9 below).

 

34

 

1.4           The Guarantor

covenants with the Landlord that the Guarantor shall not claim in any

liquidation, bankruptcy, composition or arrangement of the Tenant in

competition with the Landlord and shall remit to the Landlord the proceeds of

all judgments and all distributions it may receive from any liquidator or

trustee in bankruptcy of the Tenant insofar as is necessary to satisfy any

liability owed to the Landlord and shall hold for the benefit of the Landlord

all security and rights the Guarantor may have over assets of the Tenant so

long as the liabilities of the Tenant or the Guarantor to the Landlord remain

outstanding.  The Guarantor acknowledges

that it shall not be entitled to participate in any security held by the

Landlord in respect of the Tenant’s obligations to the Landlord under the

within Lease or to stand in the place of the Landlord in respect of any such

security until all the obligations of the Tenant or the Guarantor to the

Landlord under the within Lease have been performed and discharged.

 

1.5           If the Tenant for

the time being, being a Corporation, shall enter into liquidation or being an individual

shall become a bankrupt and the said Lease shall be disclaimed by a Liquidator

or by an Assignee in bankruptcy or if the within Lease shall be forfeit or if a

Tenant shall cease to exist (provided that if the Tenant has ceased to exist

because it has been struck off the

Register of Companies by virtue of breach of statutory requirement to make annual returns and the Company

is reinstated within 2 months of being struck off this shall not apply) or if a

receiver is appointed over any part of the Tenant’s assets then the Guarantor

HEREBY COVENANTS with the Landlord that if such disclaimer or other event

occurs within the said term (or any extension or renewal thereof) the Guarantor

shall accept from and execute and deliver to the Landlord (if the Landlord so

requires) a new Lease of the Demised Premises for a term commencing on the date

of such disclaimer or other event and continuing for the residue then remaining

un-expired of the term of the within Lease or any renewal or extension thereof,

such Lease to be at the cost of the Guarantor and to reserve the like rents and

other sums as are therein reserved and made payable and subject to the same

covenants conditions and provisions as are contained in the within Lease.

 

1.6           That if the Landlord

shall not require the Guarantor to take a lease of the Demised Premise$

pursuant to clause 1.5 above the Guarantor shall nevertheless upon demand

pay to the Landlord a sum equal to the rent and all other sums that would have

been payable by the Tenant under this Lease but for the disclaimer surrender or

dissolution in respect of the period from the date of such disclaimer surrender

or dissolution until the expiration of six months therefrom or until the

Demised Premises shall have been re-let by the Landlord whichever shall first

occur.

 

1.7           The Guarantor agrees

that the benefit of this Guarantee shall enure for the benefit of the

successors and assigns of the Landlord without the requirement for any

assignment by the Landlord of the benefit of this Guarantee.

 

1.8           The Guarantor agrees

that if the foregoing Guarantee is given by two or more persons all the

respective covenants by the Guarantor shall be deemed to be given by such

persons jointly and severally and reference to the masculine gender shall

include reference to the feminine gender and reference to the singular shall

include reference to the plural.

 

35

 

1.9           This Guarantee shall

automatically cease and determine on the assignment of this Lease with the

Landlord’s consent or on an assignment where it has been determined by any

court or other duly appointed arbiter that the Landlord is or has unreasonably

withheld consent to the assignment.

 

THE FOURTH SCHEDULE

 

General provisions relating to

the Services and the Block 3 Service Charge.

 

(a)           Contained in this

schedule are details of the Services to be provided or made available for Block

3 by the Landlord subject to proportionate reimbursement by the Tenant as

provided by Clause4.4, of this Lease.

 

(b)           The Landlord shall

be entitled to employ and pay managing agents for the purposes of implementing

its obligations under Clause 5.4 of this Lease and specified in this Schedule

and shall be entitled to enter into preventative maintenance contracts

including plant replacement and to pay all charges in relation to same.

 

The Services

 

1.             Repairing and

(where reasonably necessary)renewing decorating maintaining, lighting,

cleansing, landscaping and managing the Internal Common Areas and all Conduits

Utilities or Machinery therein or in Block 3 not exclusively serving a

particular Lettable Area and all carparking areas within Block 3

notwithstanding that said spaces may be included in the demise of Lettable

Areas of Block 3 and all boundaries thereto.

 

2.             The payment of all

rates taxes local or other assessments and outgoings from time to time payable

in respect of the Internal Common Areas.

 

3.             Hiring (other than

for the initial provision thereof), operating, repairing, maintaining and when

necessary renewing, the Utilities, Conduits, and Machinery situate within Block

3 in so far as they are not the liability of any tenant or occupant of Block 3.

 

4.             Maintaining

facilities for staff and personnel and the cost of plant and equipment used in

providing management and services for Block 3.

 

5.             The reasonable

amount of salaries and wages of all staff employed by the Landlord for the

purposes of the provision of the Services and all professional fees in

connection with professionals engaged for the purposes of the provision of the

Services and other persons required to fulfil from time to time the Landlord’s

obligations hereunder and under this Lease provided same do not include any

fees for the collection of rents.

 

6.             Providing traffic

control to and from and within Block 3 including providing maintaining and

replacing signs signals and other equipment as necessary in connection

therewith.

 

36

 

7.             The provision of

periodic refuse collection in respect of the Internal Common Areas at

frequencies appropriate for a development of this nature.

 

8.             Periodic payments

in respect of Social Welfare Payments pensions industrial training charges

redundancy and similar or ancillary payments required by statute to be made by

the Landlord in respect of all persons from time to time employed by it for the

purposes connected with Block 3 and any insurance in respect of employees which

the Landlord considers desirable or prudent.

 

9.             If the Landlord

does not engage managing agents to manage Block 3, the Landlord’s management

charge being a yearly sum equivalent to open market management fees (excluding

rent collection) for Block 3 but not exceeding 12 1/2% per centum of the

aggregate amount of the service charge costs then currently incurred by the Landlord

in providing the Services.

 

10.           After consultation

with all of the Tenants of Block 3 the provision of such other services or the

undertaking of such additional expenses as the Landlord shall reasonably

consider ought properly and reasonably to be provided or incurred for the

benefit of Block 3 or for the proper maintenance and servicing of any part or

parts thereof to include putting in place any additional insurance policies

which the Landlord reasonably considers necessary.

 

11.           The provision of security

arrangements to a level appropriate to Block 3 having regard to the security

provided by the Management Company for the Estate.

 

12.           Complying with all

statutory requirements in respect of the Internal Common Areas in so far as the

same are not the responsibility of any individual tenant of the Lettable Parts

of Block 3.

 

13.           The cost or

provision at the Landlord’s option of such sinking or reserve fund as it shall

deem fit for the renewal and replacement of Utilities, Conduits, and Machinery

and with the right annually or at such other intervals as the Landlord may

determine, to review the cost or prospective cost of such replacements and

renewals with a view to allowing for all such additional further costs and

expenditures as may be attributable to the differential in the value of money

or inflation and/or other like trends as between one date and another, and to

allow for all such amounts as may be determined on review in computing the

contribution from time to time to the sinking or reserve fund provided however

that this clause shall not impose upon the Landlord any obligation to provide

for, such sinking or reserve fund.

 

14.           Subject to the

Landlord being able to effect insurance it shall at its sole discretion be

entitled (but not obliged) to insure against the renewal and replacement costs

of such Machinery, Utilities and Conduits in Block 3 as it considers necessary.

 

37

 

15.           The Landlord shall

be entitled to include in the Block 3 Service Charge any payments made in

respect of any loss or damage sustained by the same in or about the Internal

Common Areas to the extent that such claims are not recoverable under any

policy or policies effected by the Landlord on either of the following

grounds:-

 

(a)           By reason of the

fact that the amount claimed by a party falls within the excess amount

stipulated in the relevant insurance policy, or

 

(b)           By reason of the

fact that the costs (in terms of any consequential increase for the future in

the premium payable on foot of the relevant policy) of recovering any such

payments from the relevant insurance company, would in the reasonable opinion

of the Landlord exceed the amount necessary to settle such claims.

 

16.           The Landlord shall

be entitled to effect such additional insurance policies as it deems necessary

covering such liabilities as it shall from time to time consider prudent or

desirable.

 

17.           The cost and expense

of the provision of the foregoing repairs management and services shall be

calculated and apportioned in accordance with the Sixth Schedule hereto.

 

THE FIFTH SCHEDULE

 

1.1.          To pay to the

Landlord from time to time the Tenant’s proportion of the aggregate cost and

expense of the Block 3 Service Charge to be determined by the Landlord’s

Auditors as hereinafter provided.

 

2.             The amounts from

time to time to be paid by the Tenant in respect of the Demised Premises under

this Schedule shall be assessed and paid according to the following provisions:

 

2.1.          The Tenant shall pay

the Tenant’s Proportion of the Block 3 Service Charge as provided for at clause

1.1 above to the Landlord in four equal instalments on the quarter days as set

out in this Lease.  The Tenant shall pay

such VAT as may be exigible on the Block 3 Service Charge.

 

2.2.          Unless prevented by

causes beyond the Landlord’s control not later than the 1st day of April of

each year of the said term the Landlord will prepare and deliver or post to the

Tenant, a statement prepared by the Landlord’s Auditors of the actual charges

for the year ending on the immediately preceding the 31st day of December, and

of the sum determined by the Landlord’s Auditors to be payable by the Tenant as

being the Tenant’s Proportion of the said charges attributable to the Demised

Premises for that year and the Tenant will on the quarter day next following

the delivery or posting to the Tenant of such statements pay to the Landlord

any balance shown by such statement to be due from the Tenant as being in

excess of the aggregate amount of the quarterly instalments paid by the Tenant

during the year (or lesser period if appropriate) ending on the preceding the

 

38

 

31st day of

December and in the event of the aggregate amount so paid by the Tenant

exceeding the proportion of the said charges properly attributable to the

Demised Premises for the year when the actual charges are ascertained and

certified the Landlord shall credit the amount of the excess by way of set-off

against the next instalments of said charges due from the Tenant and if this

Lease has terminated refund same.

 

2.4.          A certificate of the

Landlord’s Auditors as to the actual amount of the Block 3 Service Charge and

the Tenant’s Proportion shall (save in the case of manifest error or fraud) be

final and binding upon the parties hereto.

 

2.5.          The Landlord will

prior to the 1st day of January in each year of the said term make and notify

in writing to the Tenant an estimate (having regard to the general provisions

of the Third Schedule and the economic conditions then prevailing) of the Block

3 Service Charge during the twelve months ending on the following 31st day of

December and the amounts and proportion thereof attributable to the Demised

Premises and the Tenant shall pay same by four equal instalments on the said

four gale days in each year.

 

SIXTH SCHEDULE

 

Specification of the

Demised Premises

 

39

 

IN

WITNESS whereof the Landlord, the Tenant, the Guarantor and the Management

Company have hereunto caused their Common Seals to be affixed the

day and year first hereinbefore written.

 

	

  PRESENT when the common seal 

  of THE SCOTTISH PROVIDENT

  INSTITUTION was affixed hereto:-

  	

   

  	

   

  	

  /s/

  [Illegible]

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

  /s/

  [Illegible]

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

  PRESENT when the common seal of 

  ZOMAX LIMITED

  was affixed hereto:-

  	

   

  	

   

  	

  /s/ Patrick

  Burke

  	

   

  
	

   

  	

   

  	

  Director

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

  /s/

  [Illegible]

  	

   

  
	

   

  	

   

  	

  Goodbody

  Secretarial Limited

  
	

   

  	

   

  	

  Secretary

  
	

   

  	

   

  	

   

  	

   

  
	

  PRESENT when the common seal

  of WOODFORD BUSINESS PARK

  MANAGEMENT LIMITED

  was affixed hereto:-

  	

   

  	

   

  	

  /s/

  [Illegible]

  	

   

  
	

   

  	

   

  	

  Director

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

  /s/

  [Illegible]

  	

   

  
	

   

  	

   

  	

  Director

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

  PRESENT when the common

  seal of

  ZOMAX INC.

  was affixed hereto:-

  	

   

  	

   

  	

  /s/ James E.

  Flaherty

  	

   

  
	

   

  	

   

  	

  Chief

  Financial Officer

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

  /s/

  [Illegible]

  	

   

  
	

   

  	

   

  	

  Goodbody

  Secretarial Limited

  
	

   

  	

   

  	

  Secretary

  

 

40

 

	

  Dated this 

  	

   

  	

  day of

  	

   

  	

  , 2001

  
	

   

  
	

  THE SCOTTISH PROVIDENT INSTITUTION

  
	

   

  
	

  First Part

  
	

   

  
	

  ZOMAX LIMITED

  
	

   

  
	

  Second Part

  
	

   

  
	

  ZOMAX INC.

  
	

   

  
	

  Third Part

  
	

   

  
	

  WOODFORD BUSINESS PARK

  
	

  MANAGEMENT LIMITED

  
	

   

  
	

  Fourth Part

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  LEASE

  
	

   

  	

   

  
	

   

  	

  UNITS 3.2 and 3.3

  
	

   

  	

  WOODFORD BUSINESS PARK

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  John Shiel

  
	

   

  	

  Solicitors

  
	

   

  	

  15

  Clanwilliam Terrace

  
	

   

  	

  Dublin 2

  
						

 

41

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