Document:

exv10w36

 

Exhibit 10.36

INDEMNITY AGREEMENT

      This Indemnity Agreement (the “Agreement”) is made and entered into this ___day of
                                        , 2006 by and between Veraz Networks, Inc., a Delaware corporation (the
“Corporation”), and                      (“Agent”).

Recitals

      Whereas, Agent has performed and performs a valuable service to the Corporation in
his capacity as                      of the Corporation;

      Whereas, the stockholders of the Corporation have adopted bylaws (the “Bylaws”)
providing for the indemnification of the directors, officers, employees and other agents of the
Corporation, including persons serving at the request of the Corporation in such capacities with
other corporations or enterprises, as authorized by the Delaware General Corporation Law, as
amended (the “Code”);

      Whereas, the Bylaws and the Code, by their non-exclusive nature, permit contracts
between the Corporation and its agents, officers, employees and other agents with respect to
indemnification of such persons;

      Whereas, the Corporation believes that it is reasonable, prudent and necessary for
the Corporation contractually to obligate itself to indemnify, and to advance expenses on behalf
of, such persons to the fullest extent permitted by applicable law so that they will serve or
continue to serve the Corporation free from undue concern that they will not be so indemnified; and

      Whereas, in consideration for Agent’s past service and in order to induce Agent to
continue to serve as                      of the Corporation, the Corporation has determined and agreed to
enter into this Agreement with Agent.

      Now, Therefore, in consideration of Agent’s past service and/or continued service as
                     after the date hereof, the parties hereto agree as follows:

Agreement

      1. Services to the Corporation. Agent will serve, at the will of the Corporation or under
separate contract, if any such contract exists, as                      of the Corporation or as a director,
officer or other fiduciary of an affiliate of the Corporation (including any employee benefit plan
of the Corporation) faithfully and to the best of his ability so long as he is duly elected and
qualified in accordance with the provisions of the Bylaws or other applicable charter documents of
the Corporation or such affiliate; provided, however, that Agent may at any time and for any reason
resign from such position (subject to any contractual obligation that Agent may have assumed apart
from this Agreement) and that the Corporation or any affiliate shall have no obligation under this
Agreement to continue Agent in any such position.

      2. Indemnity of Agent. The Corporation hereby agrees to hold harmless and indemnify Agent to
the fullest extent authorized or permitted by the provisions of the Bylaws and

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the Code, as the same may be amended from time to time (but, only to the extent that such
amendment permits the Corporation to provide broader indemnification rights than the Bylaws or the
Code permitted prior to adoption of such amendment).

      3. Additional Indemnity. In addition to and not in limitation of the indemnification
otherwise provided for herein, and subject only to the exclusions set forth in Section 4 hereof,
the Corporation hereby further agrees to hold harmless and indemnify Agent:

          (a) against any and all expenses (including attorneys’ fees); witness fees; damages;
judgments; fines; premiums and security for, and other costs relating to, any costs bond,
supersedes bond, or other appeal bond or its equivalent; any amounts paid in settlement and any
other amounts that Agent becomes legally obligated to pay because of any claim or claims made
against or by him in connection with any threatened, pending or completed action, suit, proceeding,
or any appeal of the foregoing, whether civil, criminal, arbitrational, administrative or
investigative (including an action by or in the right of the Corporation or in any instance that
Agent is asked to give or forced to give witness testimony where neither Agent nor the Corporation
is a party but in which the request is being made by virtue of Agent’s affiliation to the
Corporation), whether formal or informal, to which Agent is, was or at any time becomes a party, or
is threatened to be made a party, by reason of the fact that Agent is, was or at any time becomes a
director, officer, employee or other agent of Corporation, or is or was serving or at any time
serves at the request of the Corporation as a director, officer, employee or other agent of another
corporation, partnership, joint venture, trust, employee benefit plan or other enterprise; and

          (b) otherwise to the fullest extent as may be provided to Agent by the Corporation under the
non-exclusivity provisions of the Code and the Bylaws.

      4. Limitations on Additional Indemnity. No indemnity pursuant to Section 3 hereof shall be
paid by the Corporation:

          (a) on account of any claim against Agent solely for an accounting of profits made from the
purchase or sale by Agent of securities of the Corporation pursuant to the provisions of Section
16(b) of the Securities Exchange Act of 1934 and amendments thereto or similar provisions of any
federal, state or local statutory law;

          (b) on account of Agent’s conduct that is established by a final judgment as knowingly
fraudulent or deliberately dishonest or that constituted willful misconduct;

          (c) on account of Agent’s conduct that is established by a final judgment as constituting a
breach of Agent’s duty of loyalty to the Corporation or resulting in any personal profit or
advantage to which Agent was not legally entitled;

          (d) for which payment is actually made to Agent under a valid and collectible insurance policy
or under a valid and enforceable indemnity clause, bylaw or agreement, except in respect of any
excess beyond payment under such insurance, clause, bylaw or agreement;

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          (e) if indemnification is not lawful (and, in this respect, both the Corporation and Agent
have been advised that the Securities and Exchange Commission believes that indemnification for
liabilities arising under the federal securities laws is against public policy and is, therefore,
unenforceable and that claims for indemnification should be submitted to appropriate courts for
adjudication); or

          (f) in connection with any proceeding (or part thereof) initiated by Agent, or any proceeding
by Agent against the Corporation or its directors, officers, employees or other agents, unless (i)
such indemnification is expressly required to be made by law, (ii) the proceeding was authorized by
the Board of Directors of the Corporation, (iii) such indemnification is provided by the
Corporation, in its sole discretion, pursuant to the powers vested in the Corporation under the
Code, or (iv) the proceeding is initiated pursuant to Section 11 hereof.

      5. Liability Insurance. For the duration of Agent’s service as a director and/or officer of
the Corporation, and thereafter for so long as Agent shall be subject to any pending or possible
claim (as set forth in Section 3), the Corporation shall use commercially reasonable efforts
(taking into account the scope and amount of coverage available relative to the cost thereof) to
cause to be maintained in effect policies of directors’ and officers’ liability insurance providing
coverage for directors and/or officers of the Corporation that is at least substantially comparable
in scope and amount to that provided by the Corporation’s current policies of directors’ and
officers’ liability insurance. The minimum AM Best rating for the insurance carriers of such
insurance carrier shall be not less than A- VI.

      6. Continuation of Indemnity.

          (a) All agreements and obligations of the Corporation contained herein shall continue during
the period Agent is a director, officer, employee or other agent of the Corporation (or is or was
serving at the request of the Corporation as a director, officer, employee or other agent of
another corporation, partnership, joint venture, trust, employee benefit plan or other enterprise)
and shall continue thereafter so long as Agent shall be subject to any possible claim or
threatened, pending or completed action, suit or proceeding, whether civil, criminal,
arbitrational, administrative or investigative, by reason of the fact that Agent was serving in the
capacity referred to herein.

          (b) The Corporation shall require any successor to the Corporation (whether direct or
indirect, by purchase, merger, consolidation or otherwise) to all, substantially all, or a
substantial part of the business or assets of the Corporation, by written agreement in form and
substance reasonably satisfactory to the Corporation, expressly to assume and agree to perform this
Agreement in the same manner and to the same extent that the Corporation would be required to
perform if no such succession had taken place.

      7. Partial Indemnification. Agent shall be entitled under this Agreement to indemnification
by the Corporation for a portion of the expenses (including attorneys’ fees), witness fees,
damages, judgments, fines and amounts paid in settlement and any other amounts that Agent becomes
legally obligated to pay in connection with any action, suit or proceeding referred to in Section 3
hereof even if not entitled hereunder to indemnification for the total

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amount thereof, and the Corporation shall indemnify Agent for the portion thereof to which
Agent is entitled.

      8. Notification and Defense of Claim. Not later than thirty (30) days after receipt by Agent
of notice of the commencement of any action, suit or proceeding, Agent will, if a claim in respect
thereof is to be made against the Corporation under this Agreement, notify the Corporation of the
commencement thereof; but the omission so to notify the Corporation will not relieve it from any
liability which it may have to Agent otherwise than under this Agreement. With respect to any such
action, suit or proceeding as to which Agent notifies the Corporation of the commencement thereof:

          (a) the Corporation will be entitled to participate therein at its own expense;

          (b) except as otherwise provided below, the Corporation may, at its option and jointly with
any other indemnifying party similarly notified and electing to assume such defense, assume the
defense thereof, with counsel reasonably satisfactory to Agent. After notice from the Corporation
to Agent of its election to assume the defense thereof, the Corporation will not be liable to Agent
under this Agreement for any legal or other expenses subsequently incurred by Agent in connection
with the defense thereof except for reasonable costs of investigation or otherwise as provided
below. Agent shall have the right to employ separate counsel in such action, suit or proceeding
but the fees and expenses of such counsel incurred after notice from the Corporation of its
assumption of the defense thereof shall be at the expense of Agent unless (i) the employment of
counsel by Agent has been authorized by the Corporation, (ii) Agent shall have reasonably
concluded, and so notified the Corporation, that there is an actual conflict of interest between
the Corporation and Agent in the conduct of the defense of such action or (iii) the Corporation
shall not in fact have employed counsel to assume the defense of such action, in each of which
cases the fees and expenses of Agent’s separate counsel shall be at the expense of the Corporation.
The Corporation shall not be entitled to assume the defense of any action, suit or proceeding
brought by or on behalf of the Corporation or as to which Agent shall have made the conclusion
provided for in clause (ii) above; and

          (c) the Corporation shall not be liable to indemnify Agent under this Agreement for any
amounts paid in settlement of any action or claim effected without its written consent, which shall
not be unreasonably withheld. The Corporation shall be permitted to settle any action except that
it shall not settle any action or claim in any manner which would impose any penalty or limitation
on Agent without Agent’s written consent, which may be given or withheld in Agent’s sole
discretion.

      9. Expenses. To the extent not prohibited by law, the Corporation shall advance the expenses
incurred by Agent in connection with any proceeding, and such advancement shall be made within ten
(10) business days after the receipt by the Corporation of a statement or statements requesting
such advances (which shall include invoices received by Agent in connection with such expenses but,
in the case of invoices in connection with legal services, any references to legal work performed
or to expenditures made that would cause Agent to waive any privilege accorded by applicable law
shall not be included with the invoice) from time to time, whether prior to or after final
disposition of any proceeding. Advances shall be unsecured,

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interest free and without regard to Agent’s ability to repay the expenses. Advances shall be
made without regard to Agent’s ultimate entitlement to indemnification under the other provisions
of this Agreement. Advances shall include any and all expenses actually and reasonably incurred by
Agent pursuing an action to enforce his right to indemnification under this Agreement, or otherwise
and this right of advancement, including expenses incurred preparing and forwarding statements to
the Corporation to support the advances claimed. The Agent shall qualify for advances upon the
execution and delivery to the Corporation of this Agreement which shall constitute an undertaking
providing that the Agent shall, to the fullest extent required by law, repay the advance if and to
the extent that it is ultimately determined by a court of competent jurisdiction in a final
judgment, not subject to appeal, that Agent is not entitled to be indemnified by the Corporation.
The payment of advances pursuant to this Section 9 shall include any and all reasonable expenses
incurred pursuing an action to enforce the rights herein, including expenses incurred preparing and
forwarding statements to the Corporation to support the advances claimed. The right to advances
under this Section shall continue until final disposition of any proceeding, including any appeal
therein. This Section 9 shall not apply to any claim made by Agent for which indemnity is excluded
pursuant to Section 4(f).

      10. Presumptions Regarding Agent’s Conduct.

          (a) With respect to Section 3 hereof, the Agent shall be conclusively presumed to have acted
in good faith and in a manner Agent reasonably believed to be in, or not opposed to, the best
interests of the Corporation, and, with respect to any criminal proceeding to have had no
reasonable cause to believe Agent’s conduct was unlawful, unless a determination is made that the
Agent has not acted in accordance with the standards set forth above: (i) by the Board of Directors
by a majority vote of a quorum thereof consisting of Directors who were not parties to the
proceeding the basis of which a claim is made under this Agreement; (ii) by the stockholders of the
Corporation by a majority vote of stockholders who were not parties to such a proceeding; or (iii)
in a written opinion of independent counsel, selection of whom has been approved by the Agent in
writing.

          (b) In making a determination with respect to entitlement to indemnification hereunder, the
Directors, stockholders and independent legal counsel making such determination shall presume that
Agent is entitled to indemnification under this Agreement if Agent has submitted a request for
indemnification in accordance with the terms of this Agreement, and the Corporation shall have the
burden of proof, by clear and convincing evidence, to overcome that presumption. For the purposes
of any determination of good faith, Agent shall be deemed to have acted in good faith if Agent’s
action is based on the records or books of account, including financial statements of the
Corporation or any subsidiary, or on information supplied to Agent by the officers, and employees
of the Corporation or any subsidiary, in the course of their duties, or on the advice of legal
counsel for the Corporation or any subsidiary, or for the Board of Directors or counsel selected by
any committee of the Board of Directors or on information or records given or reports made to the
Corporation or any subsidiary, by an independent certified public accountant or by an appraiser,
investment banker or other expert selected by the Corporation or the Board of Directors or any
committee thereof. The knowledge and/or actions, or failure to act, of any director, officer,
agent or employee of the Corporation or any subsidiary shall not be imputed to Agent for purposes
of determining Agent’s right to indemnification under this

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Agreement. The provisions of this Section 10 shall not be exclusive or limit in any way the
other circumstances in which the Agent may be deemed to have met the requisite standard of conduct
set forth in this Agreement.

      11. Enforcement. Any right to indemnification or advances granted by this Agreement to Agent
shall be enforceable by or on behalf of Agent in any court of competent jurisdiction if (i) the
claim for indemnification or advances is denied, in whole or in part, or (ii) no disposition of
such claim is made within ninety (90) days of request therefor. Agent, in such enforcement action,
if successful in whole or in part, shall be entitled to be paid also the expense of prosecuting his
claim. It shall be a defense to any action for which a claim for indemnification is made under
Section 3 hereof (other than an action brought to enforce a claim for expenses pursuant to Section
9 hereof, provided that the required undertaking has been tendered to the Corporation) that Agent
is not entitled to indemnification because of the limitations set forth in Section 4 hereof.
Neither the failure of the Corporation (including its Board of Directors or its stockholders) to
have made a determination prior to the commencement of such enforcement action that indemnification
of Agent is proper in the circumstances, nor an actual determination by the Corporation (including
its Board of Directors or its stockholders) that such indemnification is improper shall be a
defense to the action or create a presumption that Agent is not entitled to indemnification under
this Agreement or otherwise.

      12. Sharing of Information. In the event Agent is the subject of, or is implicated in any way
during, an investigation, whether formal or informal, the Corporation shall share with Agent any
information it has turned over to any third parties concerning such investigation.

      13. Subrogation. In the event of payment under this Agreement, the Corporation shall be
subrogated to the extent of such payment to all of the rights of recovery of Agent, who shall
execute all documents required and shall do all acts that may be necessary to secure such rights
and to enable the Corporation effectively to bring suit to enforce such rights.

      14. No Imputation. The knowledge and/or actions, or failure to act, of any director, officer,
agent or employee of the Corporation or the Corporation itself shall not be imputed to Agent for
purposes of determining the right to indemnification under this Agreement.

      15. Non-Exclusivity of Rights. The rights conferred on Agent by this Agreement shall not be
exclusive of any other right which Agent may have or hereafter acquire under any statute, provision
of the Corporation’s Certificate of Incorporation or Bylaws, agreement, vote of stockholders or
directors, or otherwise, both as to action in his official capacity and as to action in another
capacity while holding office.

      16. Survival of Rights.

          (a) The rights conferred on Agent by this Agreement shall continue after Agent has ceased to
be a director, officer, employee or other agent of the Corporation or to serve at the request of
the Corporation as a director, officer, employee or other agent of another corporation,
partnership, joint venture, trust, employee benefit plan or other enterprise and shall inure to the
benefit of Agent’s heirs, executors and administrators.

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          (b) The Corporation shall require any successor (whether direct or indirect, by purchase,
merger, consolidation or otherwise) to all or substantially all of the business or assets of the
Corporation, expressly to assume and agree to perform this Agreement in the same manner and to the
same extent that the Corporation would be required to perform if no such succession had taken
place.

      17. Separability. Each of the provisions of this Agreement is a separate and distinct
agreement and independent of the others, so that if any provision hereof shall be held to be
invalid for any reason, such invalidity or unenforceability shall not affect the validity or
enforceability of the other provisions hereof. Furthermore, if this Agreement shall be invalidated
in its entirety on any ground, then the Corporation shall nevertheless indemnify Agent to the
fullest extent provided by the Bylaws, the Code or any other applicable law.

      18. Governing Law. This Agreement shall be interpreted and enforced in accordance with the
laws of the State of Delaware.

      19. Amendment and Termination. No amendment, modification, termination or cancellation of
this Agreement shall be effective unless in writing signed by both parties hereto.

      20. Identical Counterparts. This Agreement may be executed in one or more counterparts, each
of which shall for all purposes be deemed to be an original but all of which together shall
constitute but one and the same Agreement. Only one such counterpart need be produced to evidence
the existence of this Agreement.

      21. Headings. The headings of the sections of this Agreement are inserted for convenience
only and shall not be deemed to constitute part of this Agreement or to affect the construction
hereof.

      22. Notices. All notices, requests, demands and other communications hereunder shall be in
writing and shall be deemed to have been duly given (i) upon delivery if delivered by hand to the
party to whom such communication was directed or (ii) upon the third business day after the date on
which such communication was mailed if mailed by certified or registered mail with postage prepaid:

          (a) If to Agent, at the address indicated on the signature page hereof.

          (b) If to the Corporation, to:

Veraz Networks, Inc.

926 Rock Avenue

Suite 20

San Jose, CA 95131

or to such other address as may have been furnished to Agent by the Corporation.

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      In Witness Whereof, the parties hereto have executed this Indemnity Agreement on and
as of the day and year first above written.

	 	 	 	 	 
	 	Veraz Networks, Inc.

	 
	 	By:  	 	 
	 	 	 	 
	 	 	 	 
	 
	 	Agent

	 
	 	By:  	 	 
	 	 	 	 
	 	 	Name: 	 	 
	 	 	 	 
	 	 	Address: 	 	 
	 	 	 	 
	 	 	 	 	 
	 

8.exv10w1

 

Exhibit 10.1

PURCHASE AGREEMENT AND ESCROW INSTRUCTIONS

     THIS PURCHASE AGREEMENT AND ESCROW INSTRUCTIONS (“Agreement”) is made and effective as of the
date Seller executes this Agreement (“Effective Date”), by and between NNN 3500 Maple VF 2003,
LLC, a Delaware limited liability company (“Seller”), and NNN 3500 Maple, LLC, a Delaware limited
liability company (“Buyer”), with reference to the facts set forth below. All terms with initial
capital letters not otherwise defined herein shall have the meanings set forth in the Defined Terms
attached hereto as Exhibit “B” and incorporated herein.

RECITALS

     A. Seller purchased an undivided tenant in common interest in that certain real property,
commonly known as 3500 Maple located in Dallas, Texas, as more particularly described in Exhibit
“A” attached hereto and incorporated herein and all the improvements situated thereon (“Property”).

     B. Seller desires to sell an undivided interest in the Property to Buyer, and Buyer desires to
buy an undivided interest in the Property from Seller, on the terms and conditions set forth in
this Agreement.

     C. The Property is subject to the Deed of Trust and the other Loan Documents. Buyer shall
assume or acquire the Property subject to the Deed of Trust and the other Loan Documents.

     NOW, THEREFORE, in consideration of the mutual agreements set forth herein and for other
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties
agree as set forth below.

     1. Agreement of Purchase and Sale.

          1.1 Purchase, Sale and Purchase Price. In consideration of the covenants herein
contained, Seller hereby agrees to sell, and Buyer hereby agrees to purchase, a 53.748% undivided
tenancy in common interest in the Property (the “Interest”) at a purchase price (“Purchase Price”)
equal to $36,011,160, of which $10,749,600 shall be Cash paid into Escrow and $25,261,560 shall be
assumption of the Loan on a joint and several basis (based on a total Purchase Price of $670,000,
being $200,000 of equity and $470,000 of assumed debt for each one percent (1%) undivided interest
in the Property to be acquired).

	 	 	 	 	 	 	 
	 
	 	/s/RH
	 	/s/LR
	 	 
	 
	 	 
	 	 	 	 
	 
	 	Seller’s Initials
	 	Buyer’s Initials	 	 

          1.2 Payment. Buyer shall pay the Purchase Price as follows:

               1.2.1 Buyer’s Deposit. Buyer will be required, within five (5) days of executing and
returning the Purchase Agreement and Escrow Instructions, to submit $1.00 of Buyer’s equity
investment (“Buyers Deposit”). Upon Opening of Escrow, Buyer’s Deposit shall be placed by Escrow
Agent in a non-interest bearing account. However, Buyer’s Deposit may be retained by the Manager
(together with interest accrued thereon) as liquidated damages in accordance with Section 6.1.
Buyer shall not receive any interest on Buyer’s Deposit unless and until Seller accepts Buyer’s
offer and the Opening of Escrow occurs.

               1.2.2 Cash Portion of the Purchase Price. Buyer shall deposit into Escrow the cash
portion of the Purchase Price (“Cash Portion”), plus the amount, if any, required of Buyer under
Section 4 or any other provision of this Agreement, at least five (5) Business Days before the
Close of Escrow.

               1.2.3 Note and Deed of Trust. With respect to the remaining balance of the Purchase
Price (“Loan Portion”), Buyer shall assume or take the Interest subject to the Deed of Trust and
the other Loan Documents pursuant to the Loan Assumption Documents. In the event Buyer takes title
subject to the loan, Buyer and Seller are aware that terms and conditions contained in said
existing loan of record may provide for payment in

B-1

 

full and/or modification of terms and conditions therein in the event of sale or transfer of
subject property to another entity, and therefore the parties do jointly and individually, hold
escrow holder free of any and all liability whatsoever with respect to these instructions if any
controversy regarding same should arise at any future date. Within five (5) days after Seller’s
request, Buyer shall submit applications, financial information and other items required by the
Lender in connection with Buyer’s assumption of the Loan Documents.

          1.3 Buyer’s Deliveries. Concurrently with delivery of Buyer’s Deposit or as soon
thereafter as requested by Seller, Buyer shall execute, acknowledge (where appropriate) and deposit
into Escrow such other documents as may be required by the Transaction Documents or requested by
the Lender or Escrow Agent.

     2. Opening and Close of Escrow.

          2.1 Opening of Escrow. Upon execution of this Agreement by Seller, Buyer and Seller
shall open Escrow by depositing with Escrow Agent a fully executed original of this Agreement for
use as escrow instructions. Escrow Agent shall execute the Consent of Escrow Agent at the end of
this Agreement and deliver a fully executed consent to Buyer and Seller. If there is any
inconsistency between the provisions of the General Conditions and this Agreement, the provisions
of this Agreement shall control. Buyer and Seller agree to execute additional escrow instructions
not inconsistent with the terms of this Agreement if reasonably required by Escrow Agent.

          2.2 Seller’s Deliveries. Prior to the Close of Escrow, Seller shall execute,
acknowledge (where appropriate) and deposit into Escrow applicable certificates regarding federal
and state withholding taxes, a grant deed (“Grant Deed”) in the appropriate form conveying the
Interest to Buyer and a general assignment (the “General Assignment”) of all leases, contracts,
and, if applicable, any personal property and intangibles.

          2.3 Close of Escrow. Escrow shall close on or before October 16, 2006 by: (i) filing
for record the Grant Deed, the Loan Assumption Documents and such other documents as may be
necessary to procure Buyer’s Title Policy (as defined below) and (ii) delivering funds, the General
Assignment and other documents as set forth in Section 5 IF AND ONLY IF (a) all funds and
instruments required pursuant to Sections 1 and 2 have been delivered to Escrow Agent; and (b) each
of the conditions precedent set forth in Section 3 has been, or upon such closing shall be,
satisfied or waived as provided in Section 3. Escrow Agent is instructed to insert the Closing
Date as the date of the Grant Deed and the other Transaction Documents.

          2.4 Latest Closing. If Escrow has not closed by 5:00 p.m. on the Business Day after
the Closing Date, for any reason other than the default of either Buyer or Seller under this
Agreement, either party who is not then in default may terminate Escrow and this Agreement by
written notice to the other party and to Escrow Agent. If this Agreement is so terminated for any
reason other than the default of Buyer or Seller hereunder, (i) Buyer and Seller shall promptly
execute and deliver any cancellation instructions reasonably requested by Escrow Agent; (ii) Escrow
Agent shall return Buyer’s Deposit (and all interest accrued thereon) to Buyer; and (iii) Buyer and
Seller shall be released from their obligations under this Agreement, other than any obligations of
Buyer that survive termination of this Agreement. If all conditions to the Close of Escrow have
been satisfied or waived by the Closing Date and Buyer fails to close Escrow, Seller shall, in
addition to any other rights or remedies which Seller may have, be entitled to retain Buyer’s
Deposit pursuant to Section 6 and to terminate this Agreement and, upon such termination, Seller
shall be released from all obligations under this Agreement.

     3. Conditions to Closing.

          3.1 Closing Conditions. This Agreement and the obligations of the parties hereunder
are subject to satisfaction or waiver (by the party in whose favor the condition precedent has been
established) of all the conditions precedent set forth below.

               3.1.1 Review of Preliminary Report. Prior to the date hereof, Seller has reviewed on
behalf of the Buyer and approved the Preliminary Report, the Permitted Exceptions and copies of all
recorded documents described in the Preliminary Report. If any new exceptions to title appear of
record prior to the Closing Date, Escrow Agent shall deliver to Seller and Buyer a supplemental
preliminary report (“Supplemental Report”)

B-2

 

issued by Title Company, together with legible copies of all recorded documents. Buyer shall
have three (3) Business Days to review and deliver to Seller and Escrow Agent notice of approval or
disapproval of any Supplemental Report; provided, however, that Buyer shall not unreasonably
withhold its approval of any items, including, without limitation, easements, rights-of-way and
other matters which do not have a material and adverse impact on the value of the Interest.
Buyer’s failure to deliver notice of disapproval shall be deemed to be Buyer’s approval of any
Supplemental Report. If Buyer delivers notice of disapproval and Seller elects in its sole
discretion to do so, within five (5) Business Days of the delivery of Buyer’s notice, Seller may
elect by written notice to Buyer to remove (or otherwise cure in a manner reasonably satisfactory
to Buyer) any disapproved items at or prior to the Closing Date. If Seller does not deliver such
written notice to Buyer, Seller shall be deemed to have elected not to remove (or otherwise cure)
the disapproved items. If Seller elects not to remove any such item(s), Buyer may either waive its
prior disapproval or terminate this Agreement by delivering a written notice of termination to
Seller within three (3) Business Days after Seller’s election. If Buyer does not elect to
terminate this Agreement as provided above, Buyer shall be deemed to have waived its disapproval.
If Buyer so delivers notice of its election to terminate this Agreement, then this Agreement shall
terminate as provided in Section 2.4 above.

               3.1.2 Title Insurance. The Title Company shall be unconditionally committed to issue,
immediately following recording of the Grant Deed, a customary policy of title insurance (“Title
Policy”), with liability in the amount of the Purchase Price and insuring fee title to the Interest
vested in Buyer. Buyer shall take title to the Interest subject to the Permitted Exceptions.

               3.1.3 Intentionally deleted. 

          3.2 Failure of Conditions Precedent. Sections 3.1.1 and 3.1.2 are for Buyer’s benefit
and may only be waived by Buyer. Section 3.1.3 is for the mutual benefit of the parties and may
only be waived by both Seller and Buyer. If any of the foregoing conditions precedent are neither
satisfied nor waived by the Closing Date, then either party, if not then in default hereunder, may
terminate the Escrow and this Agreement in accordance with Section 2.4.

          3.3 Rescission Rights. Buyer may terminate this Agreement and obtain a return of
Buyer’s Deposit if he receives from the Manager, subsequent to the date hereof, an environmental
assessment, an engineering report, or Loan Documents for the Property or modifications or
amendments of any of the Transaction Documents that, in Buyer’s sole reasonable discretion,
contains information that shows that the purchase of Interests is not appropriate for Buyer. Any
such termination notice shall be given within three (3) days after receipt of the applicable
document or will be deemed waived.

     4. Prorations, Fees and Costs.

          4.1 Prorations. There shall be no prorations of taxes, rental payments or other
expenses between Seller and Buyer.

          4.2 Buyer’s Fees and Costs. Buyer will pay: (a) Escrow Agent’s Escrow fee for the
sale of the Interest, (b) all document-drafting and recording charges, (c) a loan fee in the amount
of one percent (1%) of the Loan Portion of the Purchase Price (the “Loan Fee”) and other lender
related charges, including processing and legal fees, if any, (d) the cost of the Title Policy and
any title endorsements Buyer requests from the Title Company, and (e) City/County Documentary
Transfer Tax or similar charges in the amount Escrow Agent determines to be required by law. In
addition, Buyer will credit Seller for other costs incurred by Seller. The total fees, costs and
credit from Buyer will be approximately $868,000 and are to be determined on the Closing Date. Any
final True Up between Buyer and Seller will take place after the Closing Date and outside of
escrow.

          4.3 Escrow Cancellation and Title Charges. If Escrow fails to close due to Buyer’s
default under this Agreement, Buyer shall pay all escrow cancellation and title charges. If Escrow
fails to close for any other reason other than the foregoing, Seller shall pay any escrow
cancellation and title charges.

B-3

 

     5. Distribution of Funds and Documents.

          5.1 Deposit of Funds. After the Opening of Escrow, all cash, if any, received
hereunder by Escrow Agent shall, until the Close of Escrow, be kept on deposit with other escrow
funds in Escrow Agent’s general escrow account(s), in any state or national bank, and may be
transferred to any other such general escrow account(s).

          5.2 Disbursements. Escrow Agent at the Close of Escrow will hold for personal pickup,
or if requested, wire transfer to an account designated by the party receiving such funds, the
following: (i) to Seller, or order, the Cash Portion of the Purchase Price, plus any proration or
other credits to which Seller will be entitled less any appropriate proration or other charges due
Buyer, (ii) to Seller or Lender, the Loan Fee and (iii) to Buyer, or order, Buyer’s Deposit and any
excess funds previously delivered to Escrow Agent by Buyer. All other disbursements by Escrow
Agent shall be made by checks of Escrow Agent.

          5.3 Recorded Documents. Escrow Agent will cause the County or City Recorder to mail
the Grant Deed (and each other document which is herein expressed to be, or by general usage is,
recorded) after recordation, to the grantee, beneficiary or person (i) acquiring rights under said
document or (ii) for whose benefit the document was acquired. At the Close of Escrow, Escrow Agent
will deliver to Seller a copy (conformed to show recording date) of the Grant Deed and each
document recorded to place title in the condition required by this Agreement.

          5.4 Unrecorded Documents. At the Close of Escrow, Escrow Agent will deliver by United
States mail (or will hold for personal pickup, if requested) each nonrecorded document received
hereunder by Escrow Agent to the payee or person acquiring rights under said document or for whose
benefit said document was acquired.

     6. Default.

          6.1 LIQUIDATED DAMAGES. IF ESCROW FAILS TO CLOSE DUE TO BUYER’S DEFAULT, IT IS AGREED
THAT THE AMOUNT OF BUYER’S DEPOSIT (TOGETHER WITH INTEREST THEREON) SHALL BE RETAINED AND ACCEPTED
BY MANAGER AS LIQUIDATED DAMAGES AND NOT AS A PENALTY AND SELLER SHALL BE RELEASED FROM ITS
OBLIGATION OF SELLING THE INTEREST TO BUYER. IT IS AGREED THAT SAID AMOUNT CONSTITUTES A
REASONABLE ESTIMATE OF THE DAMAGES TO SELLER PURSUANT TO CALIFORNIA CIVIL CODE SECTION 1671 ET SEQ.
THE PARTIES FURTHER ACKNOWLEDGE AND AGREE THAT THE AMOUNT OF LIQUIDATED DAMAGES IS FAIR AND
REASONABLE CONSIDERING ALL OF THE FACTS AND CIRCUMSTANCES EXISTING ON THE DATE OF THIS AGREEMENT,
INCLUDING THE RELATIONSHIP OF SUCH AMOUNT TO THE RANGE OF HARM TO SELLER THAT COULD BE ANTICIPATED,
AND THE ANTICIPATION THAT PROOF OF CAUSATION, FORESEEABILITY AND ACTUAL DAMAGES WOULD BE COSTLY
AND/OR IMPRACTICAL. BUYER AND SELLER AGREE THAT IT IS IMPOSSIBLE OR IMPRACTICAL TO PRESENTLY
PREDICT WHAT MONETARY DAMAGES WOULD BE SUFFERED IN SUCH EVENT. BUYER DESIRES TO LIMIT THE MONETARY
DAMAGES FOR WHICH BUYER MIGHT BE LIABLE HEREUNDER AND BUYER AND SELLER AND MANAGER DESIRE TO AVOID
THE COSTS AND DELAYS THEY WOULD INCUR IF A LAWSUIT WERE COMMENCED TO COLLECT DAMAGES AND THEREFORE
AGREE THAT SUCH LIQUIDATED DAMAGES SHALL CONSTITUTE THEIR SOLE AND EXCLUSIVE REMEDY IF ESCROW FAILS
TO CLOSE DUE TO BUYER’S DEFAULT. BY INITIALING THIS PROVISION BELOW, THE PARTIES SPECIFICALLY
CONFIRM THE ACCURACY OF SUCH FACTS, THE FACT THAT THEY POSSESS APPROXIMATELY EQUAL BARGAINING
STRENGTH AND SOPHISTICATION AND THE FACT THAT EACH OF THEM WAS REPRESENTED BY COUNSEL WHEN ENTERING
INTO THIS AGREEMENT, WHICH COUNSEL EXPLAINED THE CONSEQUENCES OF THIS SECTION TO THEM AT THE TIME
THIS AGREEMENT WAS MADE. NOTHING CONTAINED HEREIN SHALL BE DEEMED TO LIMIT ANY OBLIGATIONS OF
BUYER OTHER THAN A DEFAULT CAUSING ESCROW TO FAIL TO CLOSE THAT SURVIVE THE CLOSE OF ESCROW OR
EARLY TERMINATION OF THIS AGREEMENT AND SELLER SHALL HAVE THE RIGHT TO PURSUE ANY CAUSE OF ACTION
IT MAY HAVE AGAINST BUYER FOR BUYER’S FAILURE TO PERFORM ANY OTHER COVENANT UNDER THE TRANSACTION
DOCUMENTS OR UNDER THIS AGREEMENT AFTER THE CLOSE OF ESCROW

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OR EARLIER TERMINATION OF THIS AGREEMENT. BY THE ACT OF AN AUTHORIZED REPRESENTATIVE OF EACH
PARTY AFFIXING HIS OR HER INITIALS HEREIN, EACH PARTY SPECIFICALLY CONFIRMS THE ACCURACY OF THE
ABOVE STATEMENTS AND ITS AGREEMENT WITH THEM.

	 	 	 	 	 	 	 
	 
	 	/s/RH
	 	/s/LR
	 	 
	 
	 	 
	 	 	 	 
	 
	 	Seller’s Initials
	 	Buyer’s Initials	 	 

     7. Buyer Representations and Warranties.

          7.1 No Concern of Escrow Agent. Escrow Agent shall have no concern with, or liability
or responsibility for, this Section.

          7.2 PURCHASE AS-IS. AS FURTHER PROVIDED IN THE MEMORANDUM, BUYER REPRESENTS AND
WARRANTS THAT IT IS RELYING SOLELY UPON ITS OWN INSPECTIONS, INVESTIGATIONS AND ANALYSES OF THE
PROPERTY IN ENTERING INTO THIS AGREEMENT AND BUYER IS NOT RELYING IN ANY WAY UPON ANY
REPRESENTATIONS, STATEMENTS, AGREEMENTS, WARRANTIES, STUDIES, REPORTS, DESCRIPTIONS, GUIDELINES OR
OTHER INFORMATION OR MATERIAL FURNISHED BY SELLER OR ITS REPRESENTATIVES, WHETHER ORAL OR WRITTEN,
EXPRESS OR IMPLIED, OF ANY NATURE WHATSOEVER REGARDING ANY SUCH MATTERS AND IS PURCHASING THE
INTEREST IN AN “AS-IS” CONDITION. BUYER IS A SOPHISTICATED AND EXPERIENCED REAL ESTATE INVESTOR
AND WILL RELY ENTIRELY UPON ITS OWN INDEPENDENT INVESTIGATION AND REVIEW OF THE PROPERTY. BUYER
ACKNOWLEDGES THAT, PRIOR TO THE DATE OF THIS AGREEMENT, BUYER HAS HAD THE OPPORTUNITY TO CONDUCT
ANY AND ALL PHYSICAL INSPECTIONS OF THE PROPERTY AS BUYER DEEMS NECESSARY, TO REVIEW AND APPROVE
EACH OF THE TRANSACTION DOCUMENTS, TO REVIEW AND APPROVE (I) THE OPERATING STATEMENTS FOR THE
PROPERTY FOR THE MOST RECENT 12 MONTHS, (II) A CURRENT TENANT RENT ROLL, AND (III) THE MOST RECENT
PROPERTY TAX BILLS, AND TO CONDUCT SUCH OTHER TESTS, INVESTIGATIONS AND REVIEW AS BUYER DEEMS
NECESSARY. BUYER ACKNOWLEDGES THAT SELLER ONLY RECENTLY ACQUIRED THE PROPERTY AND HAS LIMITED
KNOWLEDGE REGARDING THE CONDITION OF THE PROPERTY.

          7.3 NO TAX REPRESENTATIONS. AS FURTHER PROVIDED IN THE ADDENDUM, BUYER REPRESENTS AND
WARRANTS THAT IT IS NOT RELYING UPON ANY ADVICE OR ANY INFORMATION OR MATERIAL FURNISHED BY SELLER
OR ITS REPRESENTATIVES, WHETHER ORAL OR WRITTEN, EXPRESSED OR IMPLIED, OF ANY NATURE WHATSOEVER
REGARDING ANY TAX MATTERS, INCLUDING WITHOUT LIMITATION, A DECISION BY BUYER TO EFFECT A
TAX-DEFERRED EXCHANGE UNDER INTERNAL REVENUE CODE SECTION 1031, AS AMENDED. BUYER FURTHER
REPRESENTS AND WARRANTS THAT IT HAS INDEPENDENTLY OBTAINED ADVICE FROM ITS OWN INDEPENDENT LEGAL
COUNSEL AND/OR TAX ACCOUNTANT REGARDING ANY SUCH TAX-DEFERRED EXCHANGE, INCLUDING, WITHOUT
LIMITATION, WHETHER THE ACQUISITION OF THE INTEREST PURSUANT TO THIS AGREEMENT MAY QUALIFY AS PART
OF A TAX-DEFERRED EXCHANGE, AND BUYER IS RELYING SOLELY ON SUCH ADVICE.

          7.4 Commissions. The parties mutually warrant and covenant that no brokerage
commissions, finder’s fees or similar commissions or fees shall be due or payable on account of
this transaction. Each party shall indemnify, protect, defend (with legal counsel acceptable to
the other) and hold the other harmless from the claims for such commission or finder’s fees or
similar commissions or fees arising out of the actions of the indemnifying party, including,
without limitation, attorneys’ fees and costs, incurred in connection therewith or to enforce this
indemnity, which indemnities shall survive the Close of Escrow.

          7.5 Intentionally deleted.

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     8. General Provisions.

          8.1 Interpretation. The use herein of (i) one gender includes the masculine and the
feminine, (ii) the singular number includes the plural, whenever the context so requires and (iii)
the words I and me include we and us if Buyer is more than one person. Captions in this Agreement
are inserted for convenience of reference only and do not define, describe or limit the scope or
the intent of this Agreement or any of the terms hereof. All exhibits referred to herein and
attached hereto are incorporated by reference. This Agreement together with the other Transaction
Documents contain the entire agreement between the parties relating to the transactions
contemplated hereby, and all prior or contemporaneous agreements, understandings, representations
and statements, oral or written, are merged herein.

          8.2 Modification. No modification, waiver, amendment, discharge or change of this
Agreement shall be valid unless the same is in writing and signed by the party against which the
enforcement thereof is or may be sought.

          8.3 Cooperation. Buyer and Seller acknowledge that it may be necessary to execute
documents other than those specifically referred to herein to complete the acquisition of the
Interest as provided herein. Buyer and Seller agree to cooperate with each other in good faith by
executing such other documents or taking such other action as may be reasonably necessary to
complete this transaction in accordance with the parties’ intent evidenced in this Agreement.

          8.4 Assignment. Buyer shall not assign its rights under this Agreement except for
Accommodator without first obtaining Seller’s written consent, which consent may be withheld in
Seller’s sole and absolute discretion. No such assignment shall operate to release the assignor
from the obligation to perform all obligations of Buyer hereunder. Seller shall have the absolute
right to assign its rights and obligations under this Agreement.

          8.5 Notices. Unless otherwise specifically provided herein, all notices, demands or
other communications given hereunder shall be in writing and shall be addressed as follows:

If to Seller, to:

Triple Net Properties, LLC, Manager

1551 N. Tustin Avenue, Suite 200

Santa Ana, California 92705

Attn: Anthony W. Thompson, Chairman and Chief Executive Officer

If to Buyer, to Buyer’s Address. Either party may change such address by written notice to Escrow
Agent and the other party. Unless otherwise specifically provided for herein, all notices,
payments, demands or other communications given hereunder shall be deemed to have been duly given
and received: (i) upon personal delivery, or (ii) as of the third business day after mailing by
United States registered or certified mail, return receipt requested, postage prepaid, addressed as
set forth above, or (iii) the immediately succeeding Business Day after deposit with Federal
Express or other similar overnight delivery system.

          8.6 Eminent Domain. If, prior to the Close of Escrow, all of the Property is taken or
appropriated by any public or quasi-public authority under the power of eminent domain or Seller
receives actual notice of any pending or threatened condemnation proceedings affecting all of the
Property, then Buyer may terminate this Agreement without further liability hereunder and the
parties shall proceed in accordance with Section 2.4. In the event of a partial taking of the
Property or the threatened partial taking of the Property with respect to which Seller has received
actual notice that materially and adversely affects the ability to operate the Property for the
purposes it is currently operated, then Buyer can elect to either (a) terminate this Agreement in
accordance with Section 2.4, or (b) purchase the Interest with a reduction in the Purchase Price in
an amount equal to condemnation award received from the condemning authority with respect to the
Interest. In the event of a threatened taking or a lack of finality of any proceedings to
determine the award in an actual taking, Escrow shall close and Seller shall assign to Buyer its
interest in any condemnation award with respect to the Interest made by the governmental entity.

B-6

 

          8.7 Loss or Damage. Buyer shall have no right to terminate this Agreement in the
event of any loss or damage to the Property, provided that Buyer shall have the right to receive an
assignment of any insurance proceeds received by Seller with respect to such loss upon the Close of
Escrow. The parties acknowledge and agree in no event shall the Close of Escrow be extended due to
any such loss or damage. Notwithstanding the foregoing, the assignment of any insurance proceeds
as provided herein shall not include any proceeds received for items not related to the physical
condition of the Property, such as proceeds from Seller’s business interruption insurance, if any.

          8.8 Periods of Time. All time periods referred to in this Agreement include all
Saturdays, Sundays and state or United States holidays, unless Business Days are specified,
provided that if the date or last date to perform any act or give any notice with respect to this
Agreement falls on a Saturday, Sunday or state or national holiday, such act or notice may be
timely performed or given on the next succeeding Business Day.

          8.9 Counterparts. This Agreement may be executed in counterparts, all of which when
taken together shall be deemed fully executed originals.

          8.10 Attorneys’ Fees. If either party commences litigation for the judicial
interpretation, enforcement, termination, cancellation or rescission hereof, or for damages
(including liquidated damages) for the breach hereof against the other party, then, in addition to
any or all other relief awarded in such litigation, the substantially prevailing party therein
shall be entitled to a judgment against the other for an amount equal to reasonable attorneys’ fees
and court and other costs incurred.

          8.11 Joint and Several Liability. If any party consists of more than one person or
entity, the liability of each such person or entity signing this Agreement shall be joint and
several.

          8.12 Choice of Law. This Agreement shall be construed and enforced in accordance with
the laws of the State where the Property is located, without regard to its conflicts of laws
principles.

          8.13 Time. Time is of the essence with respect to all dates set forth in this
Agreement.

          8.14 Third Party Beneficiaries. Buyer and Seller do not intend to benefit any party
(including any other Tenants in Common) that is not a party to this Agreement and no such party
shall be deemed to be a third party beneficiary of this Agreement or any provision hereof.

          8.15 Severability. If any term, covenant, condition, provision or agreement herein
contained is held to be invalid, void or otherwise unenforceable by any court of competent
jurisdiction, such fact shall in no way affect the validity or enforceability of the other portions
of this Agreement.

          8.16 Election to Effect an Internal Revenue Code Section 1031 Exchange. In the event
Buyer so elects, Seller agrees to accommodate Buyer in effecting a tax-deferred exchange under
Internal Revenue Code Section 1031, as amended. Buyer shall have the right to elect a tax-deferred
exchange at any time prior to the Closing Date. If Buyer elects to effect a tax-deferred exchange,
Seller agrees to execute revised or additional escrow instructions, documents, agreements, or
instruments to effect the exchange, provided that Seller shall incur no additional costs, expenses,
fees or liabilities, nor shall the closing be delayed, as a result of the exchange. Buyer may
assign this Agreement to an accommodator in order to effect such exchange and, thereafter, such
assignee will perform Buyer’s obligations under this Agreement.

          8.17 Binding Agreement. Subject to any limitation on assignment set forth herein, all
terms of this Agreement shall be binding upon, inure to the benefit of and be enforceable by the
parties hereto and their respective legal representatives, successors and assigns.

          8.18 ARBITRATION OF DISPUTES.

               8.18.1 ALL CLAIMS SUBJECT TO ARBITRATION. ANY DISPUTE, CONTROVERSY OR OTHER CLAIM
ARISING UNDER, OUT OF OR RELATING TO THIS AGREEMENT OR ANY OF THE TRANSACTIONS CONTEMPLATED HEREBY,
OR ANY AMENDMENT THEREOF, OR

B-7

 

THE BREACH OR INTERPRETATION HEREOF OR THEREOF, SHALL BE DETERMINED AND SETTLED BY BINDING
ARBITRATION IN THE COUNTY OF ORANGE, STATE OF CALIFORNIA, IN ACCORDANCE WITH TITLE 9 OF THE
CALIFORNIA CIVIL CODE AND THE CODE OF CIVIL PROCEDURE, INCLUDING SPECIFICALLY CALIFORNIA CODE OF
CIVIL PROCEDURE SECTIONS 1283.05 AND 1283.1, AND THE RULES AND PROCEDURES OF THE AMERICAN
ARBITRATION ASSOCIATION. THE SUBSTANTIALLY PREVAILING PARTY SHALL BE ENTITLED TO AN AWARD OF ITS
REASONABLE COSTS AND EXPENSES INCLUDING BUT NOT LIMITED TO ATTORNEY’S FEES AND COSTS. ANY AWARD
RENDERED THEREIN SHALL BE FINAL AND BINDING ON EACH AND ALL OF THE PARTIES THERETO AND THEIR
PERSONAL REPRESENTATIVES, AND JUDGMENT MAY BE ENTERED THEREON IN ANY COURT OF COMPETENT
JURISDICTION.

               8.18.2 WAIVER OF LEGAL RIGHTS. BY INITIALING IN THE SPACE BELOW, THE PARTIES
ACKNOWLEDGE AND AGREE TO HAVE ANY DISPUTE ARISING OUT OF THE MATTERS INCLUDED IN THIS ARTICLE
DECIDED BY NEUTRAL ARBITRATION AS PROVIDED UNDER CALIFORNIA LAW AND THAT THEY ARE WAIVING ANY
RIGHTS THEY MAY POSSESS TO HAVE THE DISPUTE LITIGATED IN A COURT OR BY JURY TRIAL. THE PARTIES
FURTHER ACKNOWLEDGE AND AGREE THAT THEY ARE WAIVING THEIR JUDICIAL RIGHTS TO DISCOVERY AND APPEAL
EXCEPT TO THE EXTENT SUCH RIGHTS ARE SPECIFICALLY INCLUDED IN THIS ARTICLE. IF EITHER PARTY
REFUSES TO SUBMIT TO ARBITRATION AFTER EXECUTION OF THIS AGREEMENT AND INITIALING BELOW, SUCH PARTY
MAY BE COMPELLED TO ARBITRATE UNDER THE AUTHORITY OF THE CALIFORNIA CODE OF CIVIL PROCEDURE. EACH
PARTY’S AGREEMENT TO THIS ARTICLE IS VOLUNTARY. THE PARTIES HAVE READ AND UNDERSTAND THE FOREGOING
AND AGREE TO SUBMIT DISPUTES ARISING OUT OF THE MATTERS INCLUDED IN THIS ARTICLE TO NEUTRAL
ARBITRATION.

	 	 	 	 	 	 	 
	 
	 	/s/RH
	 	/s/LR
	 	 
	 
	 	 
	 	 	 	 
	 
	 	Seller’s Initials
	 	Buyer’s Initials	 	 

          8.19 ACCEPTANCE OR REJECTION OF BUYER’S OFFER. THIS AGREEMENT DOES NOT CONSTITUTE AN
OFFER OF ANY KIND BY SELLER AND SHALL NOT BIND SELLER UNLESS DULY EXECUTED AND DELIVERED BY SELLER.
TO SUBMIT AN OFFER, BUYER SHALL DELIVER TO ESCROW AGENT (1) THREE COMPLETED AND EXECUTED ORIGINALS
OF THIS AGREEMENT (2) CASH IN THE AMOUNT OF BUYER’S DEPOSIT AND (3) THE PURCHASER QUESTIONNAIRE.
SELLER SHALL HAVE 15 DAYS TO EITHER ACCEPT OR REJECT BUYER’S OFFER. IF SELLER DOES NOT ACCEPT
BUYER’S OFFER WITHIN SUCH 15-DAY PERIOD, THE OFFER SHALL BE DEEMED REJECTED. IN THE EVENT THE
OFFER IS REJECTED, BUYER’S DEPOSIT SHALL BE RETURNED TO BUYER WITHOUT INTEREST AND THIS AGREEMENT
SHALL NOT BECOME EFFECTIVE.

[BALANCE OF PAGE INTENTIONALLY BLANK]

B-8

 

     IN WITNESS WHEREOF, this Agreement has been executed as of the Effective Date.

	 	 	 	 	 	 	 
	SELLER:	 	 
	 
	 	 	 	 	 	 
	NNN 3500 Maple VF 2003, LLC,	 	 
	a Delaware limited liability company,	 	 
	 
	 	 	 	 	 	 
	By:	 	Triple Net Properties, LLC,	 	 
	 	 	a Virginia limited liability company,	 	 
	 	 	Manager	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Richard T. Hutton	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Richard Hutton	 	 
	 

	 	Title:
	 	Executive Vice President	 	 
	 
	 	 	 	 	 	 
	Dated:	 	10/16, 2006	 	 
	 
	 	 	 	 	 	 
	BUYER:	 	 
	 
	 	 	 	 	 	 
	NNN 3500 Maple, LLC,	 	 
	a Delaware limited liability company,	 	 
	 
	 	 	 	 	 	 
	By:	 	Triple Net Properties, LLC,	 	 
	 	 	a Virginia limited liability company,	 	 
	 	 	Manager	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Louis Rogers	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Louis Rogers	 	 
	 

	 	Title:
	 	President	 	 
	 
	 	 	 	 	 	 
	Dated:	 	10/16, 2006	 	 

PARTIES MUST ALSO INITIAL SECTIONS 6.1 AND 8.18.2

BUYER MUST ALSO INITIAL FRONT PAGE

B-9

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