Document:

Document

        [Net Lease]
        LEASE 

THIS LEASE (this “Lease”) is made as of this _____ day of ________________, 2020, (the “Effective Date”) between DPIF2 CA 20 Christy Street, LLC, a Delaware limited liability company ("Landlord"), and the Tenant named below.

BASIC LEASE INFORMATION

Tenant: Bloom Energy Corporation, a Delaware corporation
Tenant's representative, 4353 No. First Street
address, and phone no.: San Jose, California  95134
        Attention:  General Counsel

Premises:   The Building (as hereinafter defined) and the Exterior Premises (as hereinafter defined) located on the parcel legally described on Exhibit A-1 attached hereto and depicted on Exhibit A-2 attached hereto.

Building: The building commonly known as 44370 Christy Street, Fremont California and containing approximately 89,336 square feet.

Tenant's Proportionate Share
of the Building: 100% 

Lease Term: The initial term of this Lease (the “Initial Term”) shall begin on the Commencement Date and end on the last day of the eighty-fourth (84th) full calendar month thereafter, subject to two (2) options to extend the Lease Term for the First Extension Term and Second Extension Term (as hereafter defined) pursuant to Addendum 5 - Renewal Options attached hereto and made a part hereof.  References in this Lease to the “Lease Term” shall mean the Initial Term as the same may be extended by the First Extension Term and the Second Extension Term, as applicable.

Commencement Date: The latest to occur of (i) November 1, 2020; (ii) Landlord’s delivery of the Premises to Tenant in the Required Condition (as defined in Paragraph 2(a) below; and (iii) and Substantial Completion of the Tenant Improvements, as defined in Paragraph 9(i) of Addendum 3 – Work Letter (the “Work Letter”) (the “Commencement Date”), but not later than January 1, 2021 (the “Outside Commencement Date”, as such date may delayed by Landlord Delays or Tenant Delays (as defined in the Work Letter) or Excused Delays, as defined in Paragraph 33 below).
.
Annual Base Rent:   $1,876,056.00 for the first twelve (12) months of the Term, subject to increases as provided in Addendum 1 - Base Rent Adjustments

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Abatement of Base Rent:                  As provided in Addendum 2 – Base Rent Abatement (the       “Rent Abatement Period”)

Initial Monthly Base Rent: $156,338.00

Initial Estimated Monthly Total Operating Expenses 
Operating Expense Payment: (which include Taxes and Insurance):          $35,375.50
(estimates only and subject 
to adjustment to actual costs   Taxes:  $19,356.13
and expenses according to the   
provisions of this Lease)   Insurance:  $5,589.64
            

Total of Initial Monthly Base Rent and
Estimated Operating Expense Payment: $191,713.50

Letter of Credit: Total Letter of Credit Amount: $500,000.00 (“Total L C  Amount”)
        Initial Letter of Credit Amount:  $200,000.00  (“Initial L C  Amount”) to be increased to $500,000.00 (“L C Amendment  Amount”)

Broker:    Jones Lang LaSalle, representing Landlord and Tenant in dual            agency
        4085 Campbell Ave., Suite 150
        Menlo Park, CA

Exhibits: A-1- Legal Description 
        A-2 - Site Plan
        B - Rules and Regulations
        C - Notice of Lease Term Dates
        D - -Form of Insurance Certificate
        E - List of Permitted Hazardous Materials

Addenda: Addendum 1 - Base Rent Adjustments
        Addendum 2 - Base Rent Abatement 
        Addendum 3 - Work Letter
        Addendum 4 – Move Out Conditions
        Addendum 5 - Renewal Options
        Addendum 6 – Form of Letter of Credit

1. Granting Clause.  In consideration of the obligation of Tenant to pay rent as herein provided and in consideration of the other terms, covenants, and conditions hereof, Landlord leases to Tenant, and Tenant takes from Landlord, the Premises, to have and to hold for the Lease Term, subject to the terms, covenants and conditions of this Lease.
2. Condition of Premises; Acceptance of Premises; Delay; Measurement of Premises; CASp.  
        (a) Condition of Premises.  On the Commencement Date, Landlord, at Landlord’s sole cost and expense, shall deliver the Premises to Tenant (i) with all Building Systems (as defined in 

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Paragraph 10 below) and the Building Structure (as defined in Paragraph 10 below) in good working order and repair; (ii) with all existing improvements and trade fixtures that were in place in the Premises on the Effective Date, including, without limitation, all process piping and the air compressor, in place and in good working order and repair; and (iii) with a TPO, welded seam, white reflective 60 mil roof replacement with a 20-year warranty (all of the foregoing, the “Landlord’s Work”).   In addition, not later than the Commencement Date, the Premises shall be in the condition required by the closure plan filed by the previous tenant, with such condition certified as compliant by the governmental authority with jurisdiction over the closure plan (the “Closure Condition”).  Provided that on or before the Commencement Date Landlord has delivered the Premises to Tenant with the Landlord’s Work completed and the Closure Condition satisfied (the “Required Condition”), subject to the correction of any punch list items with respect to the Landlord’s Work, Tenant shall accept the Premises in its condition as of the Commencement Date, subject to all applicable laws, ordinances, regulations, covenants and restrictions.  Landlord warrants that the Building Systems (as defined in Paragraph 11 below) will be in good working order and repair for six (6) months from the Commencement Date, and  Landlord, at Landlord’s sole cost and expense (without pass-through to Tenant), shall make any repairs to or replacements of the Building Systems during such six (6)- month period.
        (b) Delay in Delivery.  The Outside Commencement Date is January 1, 2021.  If for any reason other than due to the act or omission of Tenant, or an Excused Delay, the Premises have not been delivered by Landlord to Tenant in the Required Condition, then the Commencement Date shall be the date on which the Premises have been delivered to Tenant in the Required Condition, and for each day after January 1, 2021 until the Premises have been delivered to Tenant in the Required Condition,  Base Rent shall abate, which abatement shall be in addition to the abatement of Base Rent provided for in Addendum 2 – Base Rent Abatement.
        (c) Excused Delays.  For avoidance of doubt, the date of Landlord’s delivery of the Premises to Tenant in the Required Condition, the date of Substantial Completion of the Tenant Improvements, the Commencement Date (and Tenant’s obligation to pay Tenant’s Proportionate Share of Operating Expenses), the Outside Commencement Date and the commencement of the Rent Abatement Period (and Tenant’s obligation to pay Monthly Base Rent) each shall be extended one (1) day for each day of Excused Delay. 
        (d) Notice of Lease Term Dates.  Within ten (10) business days following the Commencement Date, Landlord and Tenant shall execute a Notice of Lease Term Dates memorandum in the form attached hereto as Exhibit C setting forth the Commencement Date and expiration date of the Lease (the “Notice of Lease Term Dates”).  Failure by either party to execute said notice within three (3) business days after receipt of written notice from the other party shall be deemed a default under the terms of this Lease.  Landlord has made no representation or warranty as to the suitability of the Premises for the conduct of Tenant's business, and Tenant waives any implied warranty that the Premises are suitable for Tenant's intended purposes.  Except as provided in Paragraph 10, Paragraph 15 and the Work Letter, in no event shall Landlord have any obligation for any defects in the Premises or for any limitation on its use.  Subject to the provisions of Paragraph 2(a) above, Tenant’s taking of possession of the Premises shall be conclusive evidence that Tenant accepts the Premises and that the Premises were in good condition at the time possession was taken except for items that are Landlord's responsibility under Paragraph 10 and any punchlist items agreed to in writing by Landlord and Tenant.
        (e) Measurement of the Premises.  For purposes of this Lease, prior to the Commencement Date Landlord’s architect shall measure the rentable square footage of the Premises and the Building pursuant to the Building Owners and Managers Association International Standard Method for Measuring Floor Area under ANSI/BOMA Z65.2-2012 Industrial Buildings Standard Methods of Measurement, Method B (the “BOMA Standard”).  Tenant shall have the right to verify the rentable square footage of the Premises and Building at any time prior to Commencement Date.  Tenant’s Architect, (as defined in 

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Addendum 3- Work Letter) shall consult with Landlord’s architect regarding such verification, and any discrepancy shall be resolved by Landlord’s architect and Tenant’s Architect, both acting reasonably, and their joint determination shall be conclusive and binding upon the parties.

        (f) CASp.  For purposes of Section 1938(a) of the California Civil Code, Landlord hereby discloses to Tenant, and Tenant hereby acknowledges, that the Premises have not undergone inspection by a Certified Access Specialist (CASp).  As required by Section 1938(e) of the California Civil Code, Landlord hereby states as follows:  "A Certified Access Specialist (CASp) can inspect the subject premises and determine whether the subject premises comply with all of the applicable construction-related accessibility standards under state law.  Although state law does not require a CASp inspection of the subject premises, the commercial property owner or lessor may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if requested by the lessee or tenant.  If Tenant requests a CASp inspection, the parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises.”  Any CASp inspection shall be conducted in compliance with reasonable rules in effect at the Premises with regard to such inspections and shall be subject to Landlord’s prior written consent.  
3. Use.  
        (a) Use of Premises.  The Premises shall be used for manufacturing, general warehouse, research & development, distribution, production, assembly, office and all other related legal uses (the “Permitted Uses”).  Tenant shall not use the Premises (i) to store or distribute or sell marijuana or (ii) for the storage of tires.  Tenant shall not conduct or give notice of any auction, liquidation, or going out of business sale on the Premises. Tenant shall have reasonable access to the Premises twenty-four (24) hours per day, seven (7) days per week. Tenant shall use the Premises in a careful, safe and proper manner and will not commit waste, overload the floor or structure of the Premises or subject the Premises to use that would damage the Premises.  Tenant shall not permit any objectionable or unpleasant odors, smoke, dust, gas, noise, or vibrations to emanate from the Premises, or take any other action that would constitute a nuisance or would unreasonably disturb, unreasonably interfere with, or endanger Landlord.  Outside storage, including without limitation, storage of trucks and other vehicles, is prohibited, except in the rear of the Building, subject to Tenant obtaining any necessary permits or approvals required by the local authorities and that certain First Amended and Restated Declaration of Covenants and Grants of Easements For The Opus Technology Center dated June 7, 2000 and recorded as Instrument No. 2000-185750 of the Official Records of Alameda County, California (“Declaration”). Tenant, at its sole expense, shall use and occupy the Premises in compliance with all laws, including, without limitation, the Americans with Disabilities Act, orders, judgments, ordinances, regulations, codes, directives, permits, licenses, covenants, restrictions, and matters of record and the Declaration (collectively, "Legal Requirements").  The Premises shall not be used as a place of public accommodation under the Americans with Disabilities Act or similar state statutes or local ordinances or any regulations promulgated thereunder, all as may be amended from time to time. Tenant shall, at its expense, make any alterations or modifications, within or without the Premises, that are required by Legal Requirements to the extent such alterations are required solely as a result of Tenant's particular and unique use or occupation of the Premises.  Tenant shall not use or permit the Premises to be used for any purpose or in any manner that would void Tenant's or Landlord's insurance or  increase the insurance risk.  If any increase in the cost of any insurance on the Premises is caused by Tenant's use or occupation of the Premises, or because Tenant vacates the Premises, then Tenant shall pay the amount of such increase to Landlord.
        (b) Compliance with Laws.  Notwithstanding anything to the contrary contained in this Lease, Tenant shall not be required to construct or pay the cost of complying with any conditions, 

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covenants and restriction, Legal Requirements or insurance underwriter’s requirements requiring construction of improvements to the Premises, the Exterior Premises (defined below) or to any other portion of the Property unless such compliance is necessitated solely because of Tenant’s particular and unique use of the Premises or the construction of the Tenant Improvements (as defined in the Work Letter) or any Tenant-Made Alterations to the Premises made and paid for by Tenant. 
        (c) Exterior Premises.  The term “Exterior Premises” shall mean all areas and facilities outside the Building, including, but not limited to driveways, loading and unloading areas, bathrooms, alleys, landscaping and grounds surrounding the Building, which are for the exclusive use by Landlord and Tenant, and their respective employees, suppliers, shippers, contractors, agents, invitees and customers.  Landlord grants to Tenant and the foregoing related parties the exclusive right to use, in common with Landlord, in accordance with the terms of this Lease, including, without limitation, all Exhibits and Addenda. Landlord shall have the right to make changes to the Exterior Premises and/or to close any or all of the Exterior Premises, provided Tenant still has reasonable access to and use of the  Building and the Exterior Premises.  Further, Landlord shall have the right to change the boundaries of the Exterior Premises; use the Exterior Premises during repairs, alterations to or expansion of the Building; and perform any other acts within the Exterior Premises that Landlord reasonably deems appropriate, so long as the exercise of the foregoing rights does not unreasonably interfere with Tenant’s use of or access to the Premises and Exterior Premises.  For the avoidance of doubt, nothing in this Paragraph 3(c) shall be deemed to limit Tenant’s rights to install in the Exterior Premises the Generator and Tenant’s Bloom Boxes pursuant to Paragraph 12 below.  In addition, Tenant shall have the right, at Tenant’s cost, to install perimeter fencing around the Premises, and to install lift gates, guard shacks and cameras on the Exterior Premises so long as such installations are in compliance with applicable Legal Requirements, subject to Landlord’s approval, which shall not be unreasonably withheld, conditioned or delayed.
4. Base Rent.  Tenant shall pay an annual Base Rent in the amount set forth above in the Basic Lease Information.  The Initial Monthly Base Rent for the third (3rd) month of the Term shall be due and payable within five (5) business days after Tenant’s execution of this Lease, and Tenant promises to pay to Landlord in advance, without demand, deduction or set-off (except as expressly permitted under this Lease), monthly installments of Base Rent on or before the first day of each calendar month commencing with the third calendar month succeeding the Commencement Date (as that date may be extended as provided in Paragraph 2(c)).  Payments of Base Rent for any fractional calendar month shall be prorated.  All payments required to be made by Tenant to Landlord hereunder (or to such other party as Landlord may from time to time specify in writing) shall be made by electronic funds transfer or bank wire transfer of immediately available federal funds at such place, within the continental United States, as Landlord may from time to time designate to Tenant in writing.  The obligation of Tenant to pay Base Rent and other sums to Landlord and the obligations of Landlord under this Lease are independent obligations.  Except as expressly set forth in this Lease, Tenant shall have no right at any time to abate, reduce, or set-off any rent due hereunder.  If Tenant is delinquent in any monthly installment of Base Rent or of estimated Operating Expenses (as defined below) for more than five (5) days, Tenant shall pay to Landlord on demand a late charge equal to six percent (6%) of such delinquent sum; provided, however, that, not more than once during any twelve (12)- month period during the Term (as extended), Tenant shall be entitled to written notice of non-receipt of Base Rent or estimated Operating Expenses from Landlord, and Tenant shall not be liable for any late charge with respect thereto if such installment of Base Rent or estimate Operating Expenses is received by Landlord within five (5) days after Tenant’s receipt of such notice.  The provision for such late charge shall be in addition to all of Landlord's other rights and remedies hereunder or at law and shall not be construed as a penalty.
5. Letter of Credit.  Tenant shall provide Landlord with (i) an initial Letter of Credit (the “Initial L C”) in the Initial L C amount, which Initial L C shall be delivered with seven (7) business days after Tenant’s execution of this Lease; and (ii) an amendment to the Initial L C (the “L C Amendment”) 

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in the L C Amendment Amount, which L C Amendment shall be delivered not later than the Commencement Date (as such date may be extended by Excused Delays).  The L C shall be an unconditional, irrevocable letter of credit in the initial amount provided on page 2 of this Lease and the form of Addendum 6 - Form of Letter of Credit attached hereto, and in accordance with the following provisions: 

i.Delivery of Letter of Credit; L C Draw Event.  Tenant shall deliver to Landlord the Initial L C and the L C Amendment (together with the Initial L C, the “L C”), which L C shall be issued by a money-center, solvent and nationally recognized bank (a bank which accepts deposits, maintains accounts, and whose deposits are insured by the FDIC) reasonably acceptable to Landlord (such approved, issuing bank being referred to herein as the “Bank”), which Bank must have a short term Fitch Rating which is not less than “F1”, and a long term Fitch Rating which is not less than “A” (or in the event such Fitch Ratings are no longer available, a comparable rating from Standard and Poor’s Professional Rating Service or Moody’s Professional Rating Service) (collectively, the “Bank’s Credit Rating Threshold”), and which L C shall be in the form of Addendum 6 or such other form reasonably approved by Landlord.  Tenant shall submit to Landlord a copy of the final draft of L C that Bank is prepared to execute prior to the Effective Date to provide Landlord an opportunity to confirm that such final draft is in the same form as Addendum 6. Notwithstanding the foregoing, Landlord hereby approves Wells Fargo Bank as the “Bank.”  Tenant shall pay all expenses, points and/or fees incurred by Tenant in obtaining each L C.  The L C shall (i) be payable at sight, irrevocable and unconditional, (ii) be maintained in effect for the period commencing on the date of delivery of the L C to Landlord and continuing until one hundred twenty (120) days after the expiration of Lease Term (the “L C Expiration Date”) and Tenant shall deliver a new L C or certificate of renewal or extension to Landlord at least thirty (30) days prior to the expiration of the L C then held by Landlord, without any action whatsoever on the part of Landlord, (iii) subject to applicable Laws, be fully assignable by Landlord, its successors and assigns at Landlord’s cost to an assignee of Landlord’s interest in this Lease, (iv) permit partial draws and multiple presentations and drawings, and (v) be otherwise subject to the International Standby Practices-ISP 98, International Chamber of Commerce Publication #590.  The L C shall contain an “evergreen” provision providing for automatic extensions.  Landlord, or its then managing agent, shall have the right to draw down an amount up to the face amount of the L C if any of the following shall have occurred or be applicable:  (A) Tenant has filed a voluntary petition under the U.S. Bankruptcy Code or any state bankruptcy code (collectively, “Bankruptcy Code”), or (B) an involuntary petition has been filed against Tenant under the Bankruptcy Code, or (C) the Lease has been rejected, or is deemed rejected, under Section 365 of the U.S. Bankruptcy Code, following the filing of a voluntary petition by Tenant under the Bankruptcy Code, or the filing of an involuntary petition against Tenant under the Bankruptcy Code, or (D) the Bank has notified Landlord that the L C will not be renewed or extended through the L C Expiration Date and Tenant has not delivered a replacement L C at least thirty (30) days prior to the then expiration date of the existing L C, or (E) Tenant is placed into receivership or conservatorship, or becomes subject to similar proceedings under Federal or State law, or (F) Tenant executes an assignment for the benefit of creditors, or (G) if any of the Bank's Fitch Ratings (or other comparable ratings to the extent the Fitch Ratings are no longer available) have been reduced below the Bank's Credit Rating Threshold, and Tenant has failed to provide Landlord with a replacement L C, conforming in all respects to the requirements of this Paragraph 5 (including, but not limited to, the requirements placed on the issuing Bank more particularly set forth in this Paragraph 5(i) above), in the amount of the applicable L C Amount, within thirty (30) days following receipt of Landlord’s written demand therefor (with no other notice or cure or grace period being applicable thereto, notwithstanding anything in this Lease to the contrary), or (H) Tenant fails to maintain the L C in the amount and in accordance with the terms set forth in this Paragraph 5 (each of the foregoing being an “L C Draw Event”).  In addition, Landlord may draw down against the L C such amounts as are necessary to compensate Landlord for any and all damages sustained by Landlord as a result of an Event of Default (beyond applicable notice and cure periods) under the terms and conditions of the Lease  (“Limited L C Draw Event”).  The L C shall be honored by the Bank regardless of whether Tenant disputes Landlord's right to 

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draw upon the L C.  In addition, in the event the Bank is placed into receivership or conservatorship by the Federal Deposit Insurance Corporation or any successor or similar entity, then, effective as of the date such receivership or conservatorship occurs, said L C shall be deemed to fail to meet the requirements of this Paragraph 5, and, within thirty (30) days following Landlord's notice to Tenant of such receivership or conservatorship (the “L C FDIC Replacement Notice”), Tenant shall replace such L C with a substitute letter of credit from a different issuer (which issuer shall meet or exceed the Bank's Credit Rating Threshold and shall otherwise be acceptable to Landlord in its reasonable discretion) and that complies in all respects with the requirements of this Paragraph 5.  If Tenant fails to replace such L Cs with cash or such conforming substitute letter of credit pursuant to the terms and conditions of this Paragraph 5, then, notwithstanding anything in this Lease to the contrary, Landlord shall have the right to declare Tenant in default of this Lease for which there shall be no notice of grace or cure periods being applicable thereto (other than the aforesaid thirty (30)- day period).  In the event of an assignment by Tenant of its interest in the Lease (and irrespective of whether Landlord's consent is required for such assignment), the acceptance of any replacement or substitute letter of credit by Landlord from the assignee shall be subject to Landlord's prior written approval, such approval not to be unreasonably withheld, conditioned, or delayed, so long as such replacement letter of credit meets the requirements of this Paragraph 5. Tenant shall pay to Landlord within thirty (30) days of receipt of billing, the reasonable attorneys’ fees incurred by Landlord in connection with its review of any replacement or substitute letter of credit.  
ii.Application of L C.  Tenant hereby acknowledges and agrees that Landlord is entering into this Lease in material reliance upon the ability of Landlord to draw upon the L C upon the occurrence of any L C Draw Event.  In the event of any L C Draw Event or Limited L C Draw Event, Landlord may, but without obligation to do so, and without notice to Tenant (except in connection with an L C Draw Event under Paragraph 5(i)(H) above or in connection with a Limited L C Draw Event), draw upon the L C so much of the LC as is necessary to cure any Event of Default and/or to otherwise compensate Landlord for any and all damages of any kind or nature sustained (or that Landlord reasonably estimates will be sustained) by Landlord resulting from such Event of Default or to exercise other rights or remedies with respect to such Event of Default or to compensate Landlord for any and all physical damages to the Premises arising out of, or incurred in connection with, the termination of this Lease following an Event of Default of Tenant.  The use, application or retention of the L C, or any portion thereof, by Landlord shall not prevent Landlord from exercising any other right or remedy provided by this Lease or by any applicable law, it being intended that Landlord shall not first be required to proceed against the L C, and such L C shall not operate as a limitation on any recovery to which Landlord may otherwise be entitled.  Tenant agrees not to interfere in any way with payment to Landlord of the proceeds of the L C, either prior to or following a “draw” by Landlord of any portion of the L C regardless of whether any dispute exists between Tenant and Landlord as to Landlord’s right to draw upon the L C.  No condition or term of this Lease shall be deemed to render the L C conditional to justify the issuer of the L C in failing to honor a drawing upon such L C in a timely manner. Tenant agrees and acknowledges that (i) the L C constitutes a separate and independent contract between Landlord and the Bank, (ii) Tenant is not a third party beneficiary of such contract, and (iii) Tenant has no property interest whatsoever in the L C or the proceeds thereof, and (iv) in the event Tenant becomes a debtor under any chapter of the Bankruptcy Code, Tenant is placed into receivership or conservatorship, and/or there is an event of a receivership, conservatorship or a bankruptcy filing by, or on behalf of, Tenant, neither Tenant, any trustee, nor Tenant's bankruptcy estate shall have any right to restrict or limit Landlord's claim and/or rights to the L C and/or the proceeds thereof by application of Section 502(b)(6) of the U.S. Bankruptcy Code or otherwise.  

iii.        L C Amount; Maintenance of L C by Tenant. 

1.L C Amount.  The initial L C Amount shall be equal to the amount set forth on page 2 of this Lease as the Security Deposit or Letter of Credit amount.  Provided no Event of Default (beyond the expiration of all applicable notice and cure periods) has occurred and is continuing, the L C Amount shall decrease on the fourth anniversary of the Commencement Date by $250,000.00. 

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The amount of $250,000.00 shall remain as the L C Amount under this Lease, subject to the terms and conditions set forth herein.

2.In General.  If, as a result of any drawing by Landlord of all or any portion of the L C  the amount of the L C shall be less than the applicable L C Amount, Tenant shall, within five (5) business days after receipt of written demand by Landlord, provide Landlord with additional letter(s) of credit in an amount equal to the deficiency, and any such additional letter(s) of credit shall comply with all of the provisions of this Paragraph 5, and if Tenant fails to comply with the foregoing, the same shall be deemed an Event of Default under this Lease without benefit of any additional notice and cure period and entitling Landlord to exercise any and all rights and remedies available to Landlord under this Lease, at law, and/or in equity.  Tenant further covenants and warrants that it will neither assign nor encumber the L C or any part thereof and that neither Landlord nor its successors or assigns will be bound by any such assignment, encumbrance, attempted assignment or attempted encumbrance.  Without limiting the generality of the foregoing, if the L C expires earlier than the L C Expiration Date, Landlord will accept a renewal thereof (such renewal letter of credit to be in effect and delivered to Landlord, as applicable, not later than thirty (30) days prior to the expiration of the L C), which shall be irrevocable and renewable as above provided through the L C Expiration Date upon the same terms as the expiring L C or such other terms as may be acceptable to Landlord in its reasonable discretion.  So long as no L C Draw Event or Limited L C Draw Event has occurred and is continuing, Landlord agrees to pay to Tenant within thirty (30) days after the L C Expiration Date the amount of any proceeds of the L C received by Landlord and not properly applied as the result of an L C Draw Event.

iv.Transfer and Encumbrance.  The L C shall also provide that Landlord may, at Landlord’s sole cost and expense, and at any time and without notice to Tenant and without first obtaining Tenant's consent thereto, transfer (one or more times) its interest in and to the L C to another party, person or entity, provided that such transfer is from or as a part of the assignment by Landlord of its rights and interests in and to this Lease.  In the event of a transfer of Landlord's interest in this Lease, Landlord shall transfer the L C to the transferee and, so long as such transferee agrees, in writing, to be bound as “Landlord” to the terms of this Lease, thereupon Landlord shall, without any further agreement between the parties, be released by Tenant from all liability for the L C, and it is agreed that the provisions hereof shall apply to every transfer or assignment of the whole of said L C to a new landlord.  In connection with any such transfer of the L C by Landlord, Tenant shall, upon Landlord’s notice of such transfer, execute and submit to the Bank such applications, documents and instruments as may be necessary to effectuate such transfer and, Landlord shall be responsible for paying the Bank's transfer and processing fees in connection therewith.

v.L C Not a Security Deposit.  Landlord and Tenant (1) acknowledge and agree that in no event or circumstance shall the L C or any renewal thereof or substitute therefor or any proceeds thereof be deemed to be or treated as a “security deposit” under any law applicable to security deposits in the commercial context (the "Security Deposit Laws"), (2) acknowledge and agree that the L C (including any renewal thereof or substitute therefor or any proceeds thereof) is not intended to serve as a security deposit, and the Security Deposit Laws shall have no applicability or relevancy thereto, and (3) waive any and all rights, duties and obligations that any such party may now, or in the future will, have relating to or arising from the Security Deposit Laws but only to the extent such waiver is allowed under applicable Laws; provided, however, that the application by Landlord of any L C Proceeds shall be governed by the terms and provisions of this Lease.  Tenant hereby irrevocably waives and relinquishes the provisions of law, now or hereafter in effect, which provide that a landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by a tenant or to clean the premises, it being agreed that Landlord may, in addition, claim those sums specified in this Paragraph 5 and/or those sums reasonably necessary to (a) compensate Landlord for any loss or damage caused by Tenant's breach of this Lease, including without limitation any damages Landlord suffers following termination of this Lease, and/or (b) compensate Landlord for any and all damages arising out of, or incurred in connection with, the termination of this Lease.

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vi.Non-Interference By Tenant.  Tenant agrees not to interfere in any way with any payment to Landlord of the proceeds of the L C, either prior to or following a "draw" by Landlord of all or any portion of the L C, regardless of whether any dispute exists between Tenant and Landlord as to Landlord's right to draw down all or any portion of the L C.  No condition or term of this Lease shall be deemed to render the L C conditional and thereby afford the Bank a justification for failing to honor a drawing upon such L C in a timely manner.  Tenant shall not request or instruct the Bank of any L C to refrain from paying sight draft(s) drawn under such L C. 

vii.Waiver of Certain Relief.  Tenant unconditionally and irrevocably waives (and as an independent covenant hereunder, covenants not to assert) any right to claim or obtain any of the following relief in connection with the L C:

1.A temporary restraining order, temporary injunction, permanent injunction, or other order that would prevent, restrain or restrict the presentment of sight drafts drawn under any L C or the Bank's honoring or payment of sight draft(s); or

2.Any attachment, garnishment, or levy in any manner upon either the proceeds of any L C or the obligations of the Bank (either before or after the presentment to the Bank of sight drafts drawn under such L C) based on any theory whatever.

viii.Remedy for Improper Drafts.  Tenant's sole remedy in connection with the presentment or payment of sight drafts drawn under any L C which are in violation of this Paragraph 5 shall be the right to obtain from Landlord a refund of the amount of any sight draft(s) that were improperly presented or the proceeds of which were misapplied and reasonable actual out-of-pocket attorneys' fees and bank charges.  Tenant acknowledges that the presentment of sight drafts drawn under any L C, or the Bank's payment of sight drafts drawn under such L C, could not under any circumstances cause Tenant injury that could not be remedied by an award of money damages, and that the recovery of money damages would be an adequate remedy therefor.

6. Operating Expense Payments.  During each month of the Lease Term, on the same date that Base Rent is due, Tenant shall pay Landlord an amount equal to 1/12 of the annual cost, as reasonably estimated by Landlord from time to time, of Tenant's Proportionate Share (hereinafter defined) of Operating Expenses (hereinafter defined) for the Exterior Premises and for the Building.  Payments thereof for any fractional calendar month shall be prorated.  The term "Operating Expenses" means all costs and expenses incurred by Landlord with respect to the ownership, maintenance, and operation of the Premises, but not limited to costs of: (i) Taxes (hereinafter defined) and fees payable to tax consultants and attorneys for consultation and contesting taxes; (ii) insurance; (iii) utilities; (iv) maintenance, repair and replacement of all portions of the Premises, including without limitation, paving and parking areas, roads, roofs (including without limitation the roof membrane), alleys, and driveways, mowing, landscaping, snow removal, exterior painting, utility lines, heating, ventilation and air conditioning systems, lighting, electrical systems and other mechanical and Building Systems; (v) amounts paid to contractors and subcontractors for work or services performed in connection with any of the foregoing; (vi) charges or assessments of any association or document of record to which the Premises is subject; (vii) property management fees payable to a property manager, including but not limited to any affiliate of Landlord at an amount equal to three percent (3%) of monthly Base Rent; (viii) security services, if any; (ix) trash collection, sweeping and removal; and (x) the cost of additions or alterations made by Landlord to the Premises in order to comply with Legal Requirements (other than those expressly required herein to be made by Tenant), and the cost of capital additions or alterations required by Legal Requirements and capital repairs to or replacements of the Building Systems, provided that such capital 

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costs shall be amortized on a straight line basis over a period equal to the useful life thereof in accordance with generally accepted real estate accounting principles, consistently applied, together with interest thereon if Landlord borrowed such funds (not to exceed eight percent (8%), and Tenant shall pay such amortized cost on a monthly basis until the earlier of the expiration or earlier termination of this Lease or the useful life thereof.
Operating Expenses do not include, and Tenant shall have no obligation to pay for, any of the following:   (i) costs, expenses, depreciation or amortization for capital repairs and capital replacements of the Building Structure which are the sole obligation of Landlord under Paragraph 10 of this Lease; (ii) the costs of repair, replacement, or restoration work occasioned by any casualty pursuant to Paragraph 15 below or condemnation pursuant to Paragraph 16 below; (iii) finance and debt service fees, principal and/or interest on debt or amortization payments on any mortgages executed by Landlord covering Landlord’s property, any other indebtedness of Landlord, and rental under any ground lease or leases for the Building and/or the Property; (iv) any depreciation allowance or expense, amortization (except as expressly permitted in the preceding paragraph), expense reserve and other non-cash items; (v) except for management fees, Landlord’s general overhead and any overhead or profit increment to any subsidiary or affiliate of Landlord for services on or to the Building and/or the Property to the extent that the cost of such service exceeds competitive costs for such services rendered by persons or entities of similar skill, competence and experience other than a subsidiary or affiliate of Landlord; (vi) any costs or expenses representing any amount paid for services and materials to a (personal or business) related person, firm, or entity to the extent such amount exceeds the amount that would have been paid for such service or materials at the then existing market rates in the absence of such relationship; (vii) compensation paid to any employee of Landlord above the grade of Property Manager/Building Superintendent, including officers and executives of Landlord; (viii) the costs and expenses incurred in resolving disputes with other occupants, or prospective occupants of the Building; (ix) insurance costs for coverage not customarily paid by tenants of similar projects in the vicinity of the Building, increases in insurance costs caused by the activities of another occupant of the Building, and co-insurance payments; (x) insurance deductibles (including, without limitation, deductibles for earthquake and flood insurance carried by Landlord) in excess of $25,000.00 per casualty unless such excess is amortized over the useful life of the improvements to be repaired or replaced (as determined in accordance with generally accepted real estate accounting principles, consistently applied), together with interest thereon at the rate charged to Landlord if Landlord borrowed such funds (not to exceed eight percent (8%) per annum, payable by Tenant on a monthly basis as an Operating Expense until the earlier of the expiration or earlier termination of this Lease or the expiration of the useful life of the improvements); (xi) costs incurred in connection with the presence of any Hazardous Materials, except to the extent stored, used, released or disposed of by Tenant, its agents, employees, contractors, invitees, sublessees and assignees; (xii) the costs and expenses attributable to the construction of the Building, including correcting defects in the construction of the Building or in the Building equipment; (xiii) intentionally deleted; (xiv) the costs of repairs or maintenance which are or would have been covered by warranties or service contracts in existence on the Commencement Date and to the extent such maintenance and repairs are made at no cost to Landlord; (xv) the costs of repairs, alterations, and general maintenance necessitated by the negligence or willful misconduct of Landlord or its agents, employees or contractors; (xvi) interest or penalties due to the late payment of taxes, utility bills (to the extent made the obligation of Landlord  hereunder) or other such costs payable by Landlord; (xvii) any amount payable by Landlord by way of indemnity or for damages or which constitute a fine or penalty; (xviii) any cost for overtime or other expenses to Landlord in curing defaults; (xix) the costs, including fines, penalties, and legal fees incurred, due to violations by Landlord, its employees, agents, contractors or assigns of building codes or any governmental rule or requirement; (xx) any of the following Taxes or assessment expenses: (a) estate, inheritance, transfer, gift or franchise taxes of Landlord or any federal, state or local income, sales or transfer tax, (b) penalties and interest, other than those attributable to Tenant’s failure to timely comply with its obligations pursuant to this Lease, (c) any Taxes in excess of the amount which would be payable if such tax or assessment expense were paid in installments over the longest possible term; and (xxi) any other cost or expense which, under 

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generally accepted accounting principles, consistently applied, would not be a normal maintenance or operating expense of the Building, including bad debt expenses and charitable contributions and donations.  Landlord agrees that (y) Landlord will not collect or be entitled to collect more than one hundred percent (100%) of the Operating Expenses actually paid by Landlord in connection with the operation of the Building in any calendar year; and (z) Landlord shall make no profit from Landlord’s collection of Operating Expenses.  

Within one hundred twenty (120) days after the end of each calendar year, Landlord shall furnish to Tenant a statement showing in reasonable detail the amount of Operating Expenses for the preceding calendar year.  If Tenant's total payments of Operating Expenses for any year are less than Tenant's Proportionate Share of actual Operating Expenses for such year, then Tenant shall pay the difference to Landlord within thirty (30) days after receipt of such annual statement, and if more, then Landlord shall pay the difference to Tenant together with delivery of such annual statement.  For purposes of calculating Tenant's Proportionate Share of Operating Expenses, a year shall mean a calendar year except the first year, which shall begin on the Commencement Date, and the last year, which shall end on the expiration or earlier termination of this Lease.  Notwithstanding the foregoing to the contrary, if Landlord fails to provide a statement to Tenant within twelve (12) months after the end of the calendar year at issue, Tenant shall not be obligated to pay Tenant’s Proportionate Share of Operating Expenses in excess of the estimated amounts actually paid by Tenant for such calendar year.  

Tenant's "Proportionate Share" is 100% of the Building.  The Initial Estimated Monthly Operating Expense Payment for the Premises set forth on the second page of this Lease is only an estimate, and Landlord makes no guaranty or warranty that such estimate is or will be accurate.  

Landlord shall retain all books and records related to Operating Expenses for a period of at least two (2) years.  Not more frequently than once in every 12-month period and within twelve (12) months after receiving the applicable Landlord’s statement of Operating Expenses, Tenant may, after at least twenty (20) days’ prior written notice to Landlord (“Review Notice”), notify Landlord that Tenant intends to review Landlord’s records of the Operating Expenses for the calendar year to which the statement applies as to whether the items on the statement were billed correctly in accordance with the Lease.  Within a reasonable time after receipt of the Review Notice (not to exceed forty-five (45) days), Landlord shall make all pertinent records available for inspection at the Premises that are reasonably necessary for Tenant to conduct its review.  If Tenant retains an agent to review Landlord’s records (which may include employees of Tenant), the agent must be licensed to do business in the state or commonwealth where the Premises is located and must not be paid any sum based in whole or in part on the reduction of the sums paid or to be paid by Tenant. Tenant together with any representative of Tenant shall be permitted to review and audit the books and records supporting the Operating Expenses.  If Tenant exercises its audit rights as provided above, Tenant shall conduct any inspection at a reasonable time and in a manner so as not to materially adversely disrupt the conduct of Landlord’s business.  Any such inspection by Tenant shall be for the sole purpose of verifying the Operating Expenses.  Tenant shall hold any information obtained during any such inspection in confidence, except that Tenant shall be permitted to disclose such information to its attorneys and advisors, provided Tenant informs such parties of the confidential nature of such information and uses good faith and diligent efforts to cause such parties to maintain such information as confidential.  Within sixty (60) days after Tenant has reviewed such books and records, Tenant shall have the right to give Landlord written notice (an “Objection Notice”) stating in reasonable detail any objection to Landlord’s statement of Operating Expenses for that year.  If Tenant fails to give Landlord an Objection Notice within the 60-day period or fails to provide Landlord with a Review Notice within the 12-month period described above, Tenant shall be deemed to have approved Landlord’s statement of Operating Expenses for such year.  If Tenant provides Landlord with a timely Objection Notice, Landlord and Tenant shall work together in good faith to resolve any issues raised in Tenant’s Objection Notice.  If the parties are unable to reach a resolution with within 

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thirty (30) days of Landlord’s receipt of an Objection Notice, Landlord and Tenant shall designate a Certified Public Accountant (the “Arbiter”) whose determination made in accordance with this Paragraph 6 shall be binding upon the parties.  If the determination of Arbiter shall substantially confirm the determination of Landlord, then Tenant shall pay the cost of the Arbiter.  If the Arbiter shall substantially confirm the determination of Tenant, then Landlord shall pay the cost of the Arbiter.  In all other events, the cost of the Arbiter shall be borne equally by Landlord and Tenant.  In the event that Landlord and Tenant shall be unable to agree upon the designation of the Arbiter within thirty (30) days after receipt of notice from the other party requesting agreement as to the designation of the Arbiter, which notice shall contain the names and addresses of two or more certified public accountants who are acceptable to the party sending such notice (any one of whom, if acceptable to the party receiving such notice as shall be evidenced by notice given by the receiving party to the other party within such 30-day period, shall be the agreed upon Arbiter), then either party shall have the right to request the AAA (or any organization which is the successor thereto) to designate as the Arbiter a certified public accountant whose determination made in accordance with this Paragraph 6 shall be conclusive and binding upon the parties, and the cost charged by the AAA (or any organization which is the successor thereto), for designating such Arbiter, shall be shared equally by Landlord and Tenant.  Any shortfall or excess revealed and verified by Tenant’s audit shall be paid to the applicable party within thirty (30) days after that party is notified in writing of the shortfall or excess to the extent such overage or shortfall has not previously been adjusted pursuant to this Lease.  All costs and expenses of the inspection shall be paid by Tenant unless the final determination in the audit is that Landlord overstated Operating Expenses by more than five percent (5%) for the year to which the audit relates, in which case Landlord shall pay all costs and expenses of the audit, not to exceed Five Thousand and 00/100 Dollars ($5,000.00).
7. Utilities.  Tenant shall pay for all water, gas, electricity, heat, light, power, telephone, sewer, sprinkler services, refuse and trash collection, and other utilities and services used on the Premises, all maintenance charges for such utilities, and any storm sewer charges or other similar charges for utilities imposed by any governmental entity or utility provider, together with any taxes, penalties, surcharges or the like pertaining to Tenant's use of the Premises.  
8. Taxes.  Landlord shall pay all taxes, assessments and governmental charges (paid by Landlord at the discount rate, if so offered by the taxing authority) (collectively referred to as "Taxes") that accrue against the Premises during the Lease Term, and such Taxes shall be included as part of the Operating Expenses charged to Tenant.  Taxes shall also include the following by way of illustration but not limitation:
i.any tax on Landlord's "right" to rent or "rights" to other income from the Premises or as against Landlord's business of leasing the Premises;
ii.any assessment, tax, fee, levy or charge in substitution, partially or totally, of any assessment, tax, fee, levy or charge previously included within the definition of real property tax, it being acknowledged by Tenant and Landlord that Proposition 13 was adopted by the voters of the State of California in the June, 1978 election and that assessments, taxes, fees, levies and charges may be imposed by governmental agencies for such services as fire protection, street, sidewalk and road maintenance, refuse removal and for other governmental services formerly provided without charge to property owners or occupants.  It is the intention of Tenant and Landlord that all such new and increased assessments, taxes, fees, levies and charges be included within the definition of "real property taxes" for the purposes of this Lease;
iii.any assessment, tax, fee, levy or charge allocable to or measured by the area of the Premises or other premises in the Building or the rent payable by Tenant hereunder or other tenants of the Building, including, without limitation, any gross receipts tax or excise tax levied by state, city or federal government, or any political subdivision thereof, with respect to the receipt of such rent, or upon or with 

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respect to the possession, leasing, operation, management, maintenance, alteration, repair, use or occupancy by Tenant of the Premises, or any portion thereof but not on Landlord's other operations;
iv.any assessment, tax, fee, levy or charge upon this transaction; and/or
v.any assessment, tax, fee, levy or charge by any governmental agency related to any transportation plan, fund or system (including assessment districts) instituted within the geographic area of which the Building is a part.
        At Tenant’s request, Landlord shall contest, at Tenant’s sole cost and expense, by appropriate legal proceedings the amount, validity, or application of any Taxes or liens thereof.  All capital levies or other taxes assessed or imposed on Landlord upon the rents payable to Landlord under this Lease and any franchise tax, any excise, transaction, sales or privilege tax, assessment, levy or charge measured by or based, in whole or in part, upon such rents from the Premises or any portion thereof shall be paid by Tenant to Landlord monthly in estimated installments or within thirty (30) days after receipt of written demand, at the option of Landlord, as additional rent; provided, however, in no event shall Tenant be liable for any Taxes excluded in subsection 6(xx) above.  If any Tax payable by Tenant hereunder is levied or assessed directly against Tenant, then Tenant shall be responsible for and shall pay the same at such times and in such manner as the taxing authority shall require.  Tenant shall be liable for all taxes levied or assessed against any personal property or fixtures placed in the Premises, whether levied or assessed against Landlord or Tenant.
9. Insurance.  Landlord shall maintain special form causes of loss property insurance covering the full replacement cost of the Building and Exterior Premises.  Landlord also shall carry Commercial General Liability insurance with limits of not less than $2,000,000.00 for each occurrence.  Landlord may, but is not obligated to, maintain such other insurance and additional coverages as it may deem necessary, including, but not limited to, commercial liability insurance and rent loss insurance.  All such insurance shall be included as part of the Operating Expenses charged to Tenant.  The Premises may be included in a blanket policy (in which case the cost of such insurance allocable to the Premises will be determined by Landlord based upon the insurer's cost calculations).  Tenant shall also reimburse Landlord for any increased premiums or additional insurance which Landlord reasonably deems necessary as a result of Tenant's use of the Premises.
Tenant, at its expense, shall obtain and maintain during the Lease Term insurance of the types and amounts as follows and issued by insurance companies that are reasonably acceptable to Landlord:  (i) special form commercial property insurance covering the full replacement cost of all property and improvements installed or placed in the Premises by Tenant at Tenant's expense, and such insurance shall (a) at a minimum, cover the perils insured under the ISO special causes of loss form (CP 10 30) and (b) eliminate any coinsurance requirement in the policy through the attachment of an agreed amount endorsement, the activation of an agreed value option, or as is otherwise appropriate under the particular policy form; and (ii) worker's compensation insurance with no less than the minimum limits required by law; and (iii) employer's liability insurance with limits not less than the greater of (A) $1,000,000 each accident for bodily injury by accident and $1,000,000 each employee for bodily injury by disease or (B) such limits as required by law, and Tenant hereby waives all rights against Landlord and its agents, officers, directors, and employees for recovery of damages to the extent these damages are covered by the workers compensation and employers liability or commercial umbrella liability insurance obtained by Tenant to this Lease, and Tenant shall obtain an endorsement equivalent to WC 00 03 13 to affect this waiver; and (iv) commercial general liability (“CGL”) insurance, and, if necessary, commercial umbrella insurance, with limits of not less than $2,000,000 each occurrence and not less than $4,000,000 in the aggregate for property damage, personal injuries, or deaths of persons occurring in or about the Premises; and (v) automobile liability and, if necessary, commercial umbrella liability insurance with a limit of not less than $1,000,000 each accident, and such insurance shall (I) cover liability arising 

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out of any auto (including owned, hired, and non-owned autos), (II) be written on ISO form CA 00 01, CA 00 05, CA 00 25, or a substitute form providing equivalent liability coverage, (III) include Landlord as an insured using ISO endorsement CA 20 01 or an equivalent form, and (IV) provide pollution liability coverage at least as broad as that provided under the ISO pollution liability-broadened coverage for covered autos endorsement (CA 99 48) and the Motor Carrier Act endorsement (MCS 90) shall be attached (if applicable), and Tenant waives all rights against Landlord and its agents, officers, directors and employees for recovery of damages to the extent any damages covered by this clause (v)  are covered by the automobile liability or commercial umbrella liability insurance obtained by Tenant pursuant to this Agreement. Landlord may from time to time require reasonable increases in any such limits.  Tenant shall purchase business income, business interruption, extra expense or similar coverage as part of its special form commercial property insurance, and in no event shall Landlord be liable for any business interruption or other consequential loss sustained by Tenant, whether or not it is insured, even if such loss is caused by the negligence of Landlord, its employees, officers, directors, or agents. Coverage provided by Tenant’s insurance shall not be limited to the liability assumed by Tenant under the indemnifications provisions of this Lease. 
Tenant’s CGL insurance shall be written on ISO occurrence form CG 00 01 04 13 (or a substitute form providing equivalent coverage) and shall cover liability arising from premises, operations, independent contractors, products-completed operations, personal injury and advertising injury, and liability assumed under an insured contract.  Landlord, and at Landlord’s request, any lender holding a mortgage lien against the Premises shall be included as an additional insured under Tenant’s CGL insurance, using ISO additional insured endorsement, CG 20 11 or a substitute providing equivalent coverage, and under Tenant’s commercial umbrella insurance, if any.  Tenant’s CGL insurance shall also insure on an occurrence and not a claims-made basis, and contain hostile fire coverage and contractual liability coverage.  Tenant’s CGL insurance shall apply as primary insurance with respect to any other insurance or self-insurance programs afforded to or maintained by Landlord.  There shall be no endorsement or modification of Tenant’s CGL insurance to make it excess over other available insurance; alternatively, if Tenant’s CGL insurance states that it is excess or pro rata, such policy shall be endorsed to be primary with respect to the additional insured or insureds, as the case may be.  Tenant waives all rights against Landlord and its agents, officers, directors and employees for recovery of damages to the extent these damages are covered by Tenant’s CGL insurance, and under Tenant’s commercial umbrella insurance, if any, maintained pursuant to this Paragraph 9.  
Prior to taking occupancy of the Premises, upon each renewal of said insurance, and upon the addition of any new additional insureds, Tenant shall furnish Landlord with a certificate, or certificates as the case may be, of the insurance required by this Paragraph (which shall be in the form of the standard ACORD certificate of insurance) as shown on Exhibit D attached hereto), executed by a duly authorized representative of each insurer and showing compliance with the insurance requirements set forth herein.  Certificates shall include copies of specific policy form or endorsement excerpts confirming additional insured and waiver of subrogation, as may be required by this Lease.  Tenant shall be responsible to provide written notice of cancellation or non-renewal to the Landlord promptly upon receipt, but in no event later than sixty (60) days prior to cancellation or non-renewal with an exception of ten (10) days for cancellation due to non-payment of premium.  Failure of Landlord to demand such certificate or certificates, or failure of Landlord to identify a deficiency from evidence that is provided, shall not be construed as a waiver of Tenant’s obligation to maintain such insurance.
Landlord and Tenant hereby waive any recovery of damages against each other (including their employees, officers, directors, agents, or representatives) for loss or damage to the Building, Tenant improvements and betterments, fixtures, equipment, and other personal property to the extent covered by the commercial property insurance or boiler and machinery insurance.  Neither party nor its officers, directors, employees, managers, agents, invitees or contractors shall be liable to the other for loss or damage caused by any risk coverable by commercial property insurance, and each party waives 

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any claims against the other party, and its officers, directors, employees, managers, agents, invitees and contractors for such loss or damage.  The failure of a party to insure its property shall not void this waiver.  Landlord and its agents, employees and contractors shall not be liable for, and Tenant hereby waives all claims against such parties for, business interruption and losses occasioned thereby sustained by Tenant or any person claiming through Tenant resulting from any accident or occurrence in or upon the Premises from any cause, including without limitation, damage caused in whole or in part, directly or indirectly, by the negligence of Landlord or its agents, employees or contractors, but explicitly excluding damage caused in whole or in part by the gross negligence of Landlord, its agents, employees or contractors.  By requiring insurance herein, Landlord does not represent that coverage and limits will necessarily be adequate to protect Tenant, and such coverage and limits shall not be deemed as a limitation on Tenant’s liability under the indemnities granted to Landlord pursuant to terms of this Lease.
10. Landlord's Repairs.  
        (a) Landlord’s Obligations.  Landlord, at Landlord’s sole cost and expense (which cost shall not be reimbursed as part of Operating Expenses nor made the obligation of Tenant hereunder), shall maintain, repair, and replace the exterior walls, roof structure, foundation, structural columns and structural beams of the Building (the “Building Structure”) in good condition and repair, reasonable wear and tear and uninsured losses and damages caused by Tenant, its agents and contractors excluded.  Landlord shall also, at Tenant’s sole cost and expense (which cost shall be reimbursed as part of Operating Expenses), maintain, repair, and replace the Exterior Premises and fire sprinklers and fire protection systems.  In addition, Landlord shall make capital repairs and replacements to the Building Systems, such costs to be amortized and charged to Tenant as provided in Paragraph 6.  The term "walls" as used in this Paragraph 10 shall not include windows, glass or plate glass, doors or overhead doors, special store fronts, dock bumpers, dock plates or levelers, or office entries.  Tenant shall promptly give Landlord written notice of any repair required by Landlord pursuant to this Paragraph 10, after which Landlord shall have a reasonable opportunity to repair.  Tenant expressly waives the benefit of any current or futures statute in effect which relate to Landlord repair obligations to the extent it is inconsistent with the terms of this Lease.  There shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant's business arising from the making of any repairs, alterations or improvements in or to any portion of the Premises or in or to fixtures, appurtenances and equipment therein.  Without limiting the foregoing, except as set forth in Paragraph 10(b) below, Tenant waives the right to make repairs at Landlord's expense under any law, statute or ordinance now or hereafter in effect (including the provisions of California Civil Code Section 1942 and any successive sections or statutes of a similar nature).
        (b) Tenant’s Self-Help Remedy.  If Landlord is in material default of any of its obligations to maintain, repair or replace the Building Structure or the Exterior Premises, or of its obligation to make capital repairs or replacements of the Building Systems (other than as a result of a casualty, which shall be governed solely by the provisions of Paragraph 15 of this Lease) (collectively referred to in this Paragraph 10(b) as "repairs"), and such default poses a material and imminent risk to the health or safety of persons or material interruption of Tenant’s business operations, then, notwithstanding anything to the contrary contained in this Lease, Tenant may perform such repairs subject to the following terms and conditions:
        (i) Tenant shall deliver thirty (30) days’ written notice to Landlord and any ground lessor or lender whose name and address has previously been furnished to Tenant in writing for such purpose notice (the "Self-Help Notice") of Tenant's intention to perform such repairs, which Self-Help Notice shall indicate Tenant's intention to exercise its self-help rights and to perform such repairs that are otherwise Landlord's responsibility hereunder.  If neither Landlord nor any ground lessor or lender commences to cure Landlord's failure to perform such repairs within twenty (20) days after receipt of the Self-Help Notice, then following an additional ten (10) business days’ notice stating in bold-faced 

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all capital letters:  "FAILURE TO PERFORM SUCH WORK IN TEN (10) BUSINESS DAYS SHALL RESULT IN TENANT'S EXERCISE OF SELF-HELP" and the failure of such maintenance or repairs to be commenced in such time, Tenant may take such action as is reasonably necessary to perform such repairs; 

         (ii) All repairs performed by Tenant or its agents pursuant to this Paragraph 10(b) must be performed in a good and workmanlike and lien-free manner in compliance with applicable Legal Requirements and covenants, conditions and restrictions, if any, recorded against the Property, or applicable part thereof, at a reasonable and competitive cost and rate, and shall not void any warranties or guarantees on the Premises or the Property of which Tenant has notice;
 
         (iii) In the event Landlord's failure relates to repairs that are bona fide emergency repairs (i.e., necessary to prevent or remediate a material and imminent threat to the health or safety of persons or material interruption of Tenant’s business operations), then, notwithstanding the provisions of Paragraph 10(b)(i) above, the Self-Help Notice shall be in the form and shall be given in such amount of time as is reasonable in the circumstances, and if Landlord, ground lessor or lender fails to respond within a time as is reasonable in the circumstances, Tenant may cause such emergency repairs to be made pursuant to the requirements set forth herein (and for the avoidance of doubt, specifically excluding the additional ten (10) business- day notice period above so long as the initial notice provides in bold-faced, all capital letters that:  "FAILURE TO ACT SHALL RESULT IN TENANT EXERCISING SELF-HELP"); and

         (iv) Except as otherwise provided in this Paragraph 10(b)(iv) below, Landlord shall reimburse Tenant for the reasonable out of pocket third-party costs of the performance of the repairs that are incurred in strict accordance with the terms of this Paragraph 10.(b) (the "Reimbursement Amount") within thirty (30) days after Tenant's submission to Landlord of Tenant's bill therefor, which bill shall be accompanied by receipted, itemized invoices (with reasonable supporting documentation) and conditional lien releases from all contractors, subcontractors, materialmen and suppliers that performed the work or provided the material or services reflected in the bill), provided, however, in no event shall the costs billed to Landlord for emergency repairs be unreasonable and in no event shall such emergency repairs exceed what is required to end the pending emergency (it being understood and agreed by Landlord that in the case of an emergency, depending upon the circumstances, overtime and/or premium time labor charges may be reasonable).  Tenant shall provide unconditional lien waivers to Landlord in connection with all such bills paid within ten (10) days of Landlord's payment of Tenant's bill, or as soon thereafter as reasonably practicable.  In the event Landlord fails to pay all or any portion of the Reimbursement Amount due Tenant under this Paragraph 10(b) within thirty (30) days after receipt of Tenant's bill therefore, together with the invoices therefor, supporting documentation and the conditional lien releases required by this Paragraph 10(b)(iv), Tenant may with ten (10) business days' prior notice to Landlord stating in bold-faced, all capital letters that:  "FAILURE TO REIMBURSE WITHIN TEN (10) BUSINESS DAYS SHALL RESULT IN TENANT'S EXERCISE OF OFFSET RIGHTS", offset such delinquent amount against fifty percent (50%) of the Base Rent due from Tenant until Tenant has been reimbursed in full (together with interest on such delinquent amount at the rate of eight percent (8%) per annum until such delinquent amount has been paid in full or fully credited), provided that Tenant shall provide Landlord with unconditional lien waivers in connection with the work relating to such amounts within ten (10) days of the date on which the amount has been fully paid or so offset, or as soon thereafter as reasonably practicable.  Notwithstanding the foregoing, if Landlord delivers to Tenant a good faith written objection notice within five (5) business days after receipt of Tenant's notice of intent to offset, setting forth with reasonable particularity Landlord's reasons for its claim that Landlord is not required to pay Tenant all or any specified portion of the Reimbursement Amount, then Tenant shall not be entitled to offset the disputed portion of the Reimbursement Amount.  In the event of a dispute between Landlord and Tenant regarding the Reimbursement Amount, the dispute shall be determined by binding arbitration before JAMS in San Jose, California.  The arbitration shall be 

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administered and conducted pursuant to the JAMS Streamlined Arbitration Rules & Procedures (the "Arbitration Rules").  Unless the parties otherwise agree, the arbitrator must be a retired judge of the Superior Court of the State of California.  The preceding to the contrary notwithstanding, if Tenant exercises its self-help right pursuant to this Paragraph (b), then Landlord shall not be obligated to pay to or reimburse Tenant for any portion of the costs incurred by Tenant in exercising its self-help right that are the responsibility of Tenant under the Lease.
11. Tenant's Repairs.  Subject to Landlord's obligations in Paragraph 2(a) and Paragraph 10, and subject to Paragraphs 9 and 15, Tenant, at its expense, shall repair, replace and maintain in good condition all portions of the Premises and all areas, improvements and systems exclusively serving the Premises including, without limitation, concrete floors, dock and loading areas together with all dock-related equipment including but not limited to dock bumpers, dock plates and/or levelers, and seals, truck doors, plumbing, water and sewer lines up to points of common connection, entries, doors, ceilings, windows, interior walls and the interior side of demising walls. Except to the extent made the obligation of Landlord pursuant to Paragraph 10(a) above, Tenant shall also repair, replace and maintain in good condition the mechanical, electrical, fire-life safety, plumbing, and HVAC systems installed or furnished by Landlord serving the Premises (collectively, the “Building Systems”).  Heating, ventilation and air conditioning systems and other Building Systems exclusively serving the Premises shall be maintained at Tenant's expense pursuant to maintenance service contracts entered into by Tenant.  The scope of services and contractors under such maintenance contracts shall be subject to Landlord’s prior reasonable approval.  Tenant shall also deliver to Landlord quarterly reports from such contractors with respect to Tenant’s maintenance obligations under this Lease. Upon Landlord’s request, Tenant shall deliver to Landlord a copy of any or all of the foregoing maintenance service contracts.]  If Tenant fails to perform any repair or replacement for which it is responsible, Landlord may perform such work and be reimbursed by Tenant within ten (10) days after receipt of written demand therefor.  Subject to Paragraphs 9 and 15, Tenant shall bear the full cost of any repair or replacement to any part of the Building or Exterior Premises that results from damage caused by Tenant, its agents, contractors, or invitees and any repair that benefits only the Premises.  
12. Tenant-Made Alterations and Trade Fixtures.  Any alterations, additions, or improvements made by or on behalf of Tenant to the Premises following the Commencement Date ("Tenant-Made Alterations") shall be subject to Landlord's prior written consent, which shall not be unreasonably withheld, conditioned or delayed.  Tenant shall cause, at its expense, all Tenant-Made Alterations to comply with insurance requirements and with Legal Requirements and shall construct at its expense any alteration or modification required by Legal Requirements as a result of any Tenant-Made Alterations.  All TenantMade Alterations shall be constructed in a good and workmanlike manner by contractors reasonably acceptable to Landlord and only good grades of materials shall be used.  All plans and specifications for any Tenant-Made Alterations shall be submitted to Landlord for its prior, written approval, which shall not be unreasonably withheld, conditioned or delayed, excluding those cosmetic improvements or alterations which are non-mechanical, non-structural and costs less than $100,000.00, provided however, Tenant shall send written notice to Landlord of such non-mechanical, non-structural cosmetic improvements or alterations.  Landlord may monitor construction of the Tenant-Made Alterations.  Landlord's right to review plans and specifications and to monitor construction shall be solely for its own benefit, and Landlord shall have no duty to see that such plans and specifications or construction comply with applicable laws, codes, rules and regulations.  Tenant shall provide Landlord with the identities and mailing addresses of all persons performing work or supplying materials, prior to beginning such construction, and Landlord may post on and about the Premises notices of nonresponsibility pursuant to applicable law.  Tenant shall provide certificates of insurance for worker's compensation and other coverage in amounts and from an insurance company reasonably satisfactory to Landlord protecting Landlord against liability for personal injury and property damage during construction.  Upon completion of any Tenant-Made Alterations, Tenant shall deliver to Landlord sworn statements setting forth the names of all contractors and subcontractors who did work on the Tenant-

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Made Alterations and final lien waivers from all such contractors and subcontractors.  Upon surrender of the Premises in accordance with Paragraph 21, all Tenant-Made Alterations and any leasehold improvements constructed by Landlord or Tenant shall remain on the Premises as Landlord's property, except to the extent that Landlord notifies Tenant in writing, at the time that Tenant requests Landlord’s consent to a Tenant-Made Alteration, that the Tenant-Made Alteration must be removed upon the expiration or earlier termination of this Lease.  Tenant shall repair any damage caused by such removal.  In no event shall Tenant be obligated to remove the Tenant Improvements upon the expiration or earlier termination of this Lease.
Tenant, at its own cost and expense and without Landlord's prior approval, may erect such shelves, bins, machinery and trade fixtures (collectively "Trade Fixtures") in the ordinary course of its business provided that such items do not alter the basic character of the Premises, do not overload or damage the Premises, and may be removed without injury to the Premises, and the construction, erection, and installation thereof complies with all Legal Requirements and with Landlord's requirements set forth above.  Upon its surrender or vacation of the Premises Tenant shall have removed its Trade Fixtures and shall have repaired any damage caused by such removal.
Tenant acknowledges that the supply systems owned by Praxair, Inc.(“Praxair”) are inside the Building. Tenant represents that Tenant and Praxair shall enter into a separate agreement with regard to  such supply systems prior to Tenant’s Early Occupancy.  Landlord shall have no responsibility with regard to such supply systems owned by Praxair. 
        Tenant shall have the right to install a generator in an area in the Exterior Premises reasonably acceptable to Landlord and Tenant (the “Generator”).  The installation of the Generator shall be a component of the Tenant Improvements or a Tenant-Made Alteration, expressly subject to all terms and conditions set forth herein or in the Work Letter, as applicable, including but not limited to Landlord’s approval of the plans therefor. Tenant shall also have the right to install its proprietary “Bloom Boxes” in areas in the Exterior Premises reasonably acceptable to Landlord and Tenant, subject to Landlord’s reasonable approval thereof and complying with all Legal Requirements and any documents of record. Such Bloom Boxes shall be a component of the Tenant Improvements or a Tenant-Made Alteration, expressly subject to all terms and conditions set forth herein or in the Work Letter, as applicable, including but not limited to Landlord’s approval of the plans therefor.

13. Signs.  Tenant shall not make any changes to the exterior of the Premises, install any exterior lights, decorations, balloons, flags, pennants, banners, or painting, or erect or install any signs, windows or door lettering, placards, decorations, or advertising media of any type which can be viewed from the exterior of the Premises, without Landlord's prior written consent, which shall not be unreasonably withheld, conditioned or delayed.  Upon surrender or vacation of the Premises, Tenant shall have removed all signs and repaired, painted, and/or replaced the building facia surface to which its signs are attached in accordance with Paragraph 21.  Tenant shall obtain all applicable governmental permits and approvals for sign and exterior treatments.  All signs, decorations, advertising media, blinds, draperies and other window treatment or bars or other security installations visible from outside the Premises shall be subject to Landlord's prior written approval and conform in all respects to Landlord's requirements.
			
	Tenant shall have the right to install, at Tenant’s sole cost and expense, Tenant’s sign on the exterior side of the Building facing Highway 880, using Tenant’s corporate logo and colors, provided the same complies with all Legal Requirements and is approved by all governmental agencies having jurisdiction over the same  (“Exterior Building Signage”).  Tenant shall not be charged Rent in connection with the Exterior Building Signage.

	
	Tenant shall have the right to install, at Tenant’s sole cost and expense, Tenant’s sign on any existing monument or existing pylon, provided (a) the same complies with all Legal Requirements and (b) is approved by all governmental agencies having jurisdiction over the same and (c) such signage, including the type, size, lettering and location of the signage, is approved in writing in advance by Landlord, which approval shall not be unreasonably withheld, conditioned or delayed (“Monument Signage”).  Tenant shall not be charged Rent in connection with the Monument Signage.

	

14. Parking.   Tenant shall be entitled to the non-exclusive use of the 279 parking spaces in the Exterior Premises.  Landlord shall not be responsible for enforcing Tenant's parking rights against any 

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third parties.  Tenant may install EV Stations in locations reasonably acceptable to Landlord and Tenant, subject to all Legal Requirements.
15. Restoration.  If at any time during the Lease Term the Premises are damaged by a fire or other casualty, Landlord shall notify Tenant within sixty (60) days after such damage as to the amount of time Landlord reasonably estimates it will take to restore the Premises.  If the restoration time is estimated to exceed twelve (12) months, either Landlord or Tenant may elect to terminate this Lease as of the date of the casualty upon notice to the other party given no later than thirty (30) days after Landlord's notice.  In no event shall Landlord have the right to terminate this Lease for insufficient insurance proceeds if Landlord failed to carry the insurance required by this Lease.  If neither party elects to terminate this Lease or if Landlord estimates that restoration will take twelve (12) months or less, then, subject to receipt of sufficient insurance proceeds, Landlord shall promptly restore the Premises, excluding the Tenant Improvements and any Tenant-Made Alterations installed by Tenant or by Landlord and paid for by Tenant, subject to delays arising from the collection of insurance proceeds or for up to ninety (90) days of Force Majeure Events (as defined in Paragraph 33 below).  Tenant at Tenant's expense shall promptly perform, subject to delays arising from the collection of insurance proceeds, or from up to ninety (90) days of Force Majeure Events, all repairs or restoration not required to be done by Landlord and shall promptly re-enter the Premises and commence doing business in accordance with this Lease.  Notwithstanding the foregoing, either party may terminate this Lease by written notice to the other as of the date of the casualty if the Premises are damaged during the last twelve (12) months of the Lease Term and Landlord reasonably estimates that it will take more than six (6) months to repair such damage.  If, however, Landlord elects to terminate this Lease pursuant to the preceding sentence, Tenant shall have the right to exercise its option to extend the Lease Term for the First Renewal Term or the Second Renewal Term, as applicable, in which case Landlord’s notice shall be of no force or effect and Landlord and Tenant shall complete the required restoration pursuant to the provisions of this Paragraph 15.  Rent (as defined in Paragraph 37(a) below) shall be abated for the period of repair and restoration in the proportion which the area of the Premises, if any, which is not usable by Tenant bears to the total area of the Premises.  Such abatement shall be the sole remedy of Tenant, and except as provided herein, Tenant waives any right to terminate the Lease by reason of damage or casualty loss.  This Lease sets forth the terms and conditions upon which this Lease may terminate in the event of any damage or destruction. Accordingly, the parties hereby waive the provisions of California Civil Code Section 1932, Subsection 2, and Section 1933, Subsection 4 (and any successor statutes thereof permitting the parties to terminate this Lease as a result of any damage or destruction).

16. Condemnation.  If the entirety of the Building or Exterior Premises are taken for any public or quasi-public use, this Lease shall terminate as of the date of the Taking (defined below).  If less than the entirety of the Building or Exterior Premises should be taken for any public or quasipublic use under governmental law, ordinance, or regulation, or by right of eminent domain, or by private purchase in lieu thereof (a "Taking" or "Taken"), and the Taking would prevent or materially interfere with Tenant's use of the Premises in Tenant’s sole judgment, or in Landlord's reasonable judgment the Taking would materially interfere with or impair its ownership or operation of the Premises, then upon written notice by Tenant or Landlord this Lease shall terminate and Rent shall be apportioned as of the date of such Taking.  If part of the Premises shall be Taken, and this Lease is not terminated as provided above, the Rent payable hereunder during the unexpired Lease Term shall be reduced to such extent as may be fair and reasonable under the circumstances.  In the event of any such Taking, Landlord shall be entitled to receive the entire price or award from any such Taking without any payment to Tenant, and Tenant hereby assigns to Landlord Tenant's interest, if any, in such award.  Tenant shall have the right, to the extent that same shall not diminish Landlord's award, to make a separate claim against the condemning authority (but not Landlord) for such compensation as may be separately awarded or recoverable by Tenant for moving , relocation costs and damage to Tenant's Trade Fixtures and Tenant Improvements if a separate award for such items is made to Tenant.  This Lease sets forth the terms and conditions upon 

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which this Lease may terminate in the event of a taking.  Accordingly, the parties waive the provisions of the California Code of Civil Procedure Section 1265.130 and any successor or similar statutes permitting the parties to terminate this Lease as a result of a taking.
17. Assignment and Subletting.  
        a. In General.  Without Landlord's prior written consent, which shall not be unreasonably withheld conditioned or delayed, Tenant shall not assign this Lease or sublease the Premises or any part thereof or mortgage, pledge, or hypothecate its leasehold interest or grant any concession or license within the Premises and any attempt to do any of the foregoing shall be void and of no effect.  It shall be reasonable for the Landlord to withhold, delay or condition its consent, where required, to any assignment or sublease in any of the following instances: (i) the assignee or sublessee is not a party of reasonable financial worth and financial stability, or either, in light of the responsibilities to be undertaken in connection with the assignment or sublease on the date the consent is requested; or (ii) occupancy of the Premises by the assignee or sublessee would, in Landlord's reasonable opinion, violate any agreement binding upon Landlord or the Building with regard to the identity of tenants, usage in the Building, or similar matters; or (iii) the identity or business reputation of the assignee or sublessee shall, in the good faith judgment of Landlord, damage the goodwill or reputation of the Building; or (iv) intentionally omitted;  or (v) the assignee or sublessee is a governmental agency or instrumentality thereof; or (vi) in the case of a sublease, the subtenant has not acknowledged that the Lease controls over any inconsistent provision in the sublease (except for the obligation to pay Rent); or (vii) the proposed use of the assignee or sublessee entails the presence of Hazardous Materials (as defined below) on the Premises, in which case it shall be reasonable for Landlord to condition its consent additional insurance requirements to be determined by Landlord in its reasonable discretion, including without limitation the provision of pollution legal liability insurance; or (viii) intentionally omitted; or (ix) in Landlord’s reasonable judgment, the use of the Premises by the proposed assignee or sublessee would entail alterations that would lessen the value of the tenant improvements in the Premises or would increase the burden on Building systems or equipment over the burden thereon prior to the proposed assignment.  The foregoing criteria shall not exclude any other reasonable basis for Landlord to refuse its consent to such assignment or sublease.  Any approved assignment or sublease shall be expressly subject to the terms and conditions of this Lease.  Tenant shall provide to Landlord all information concerning the assignee or sublessee as Landlord may reasonably request, including without limitation copies of the most recent annual and quarterly financial statements of such assignee or sublessee prepared by such assignee or sublessee or its accountants.  Landlord  For purposes of this paragraph, but subject to the provisions of Paragraph 17(b) below, a transfer of the ownership interests controlling Tenant shall be deemed an assignment of this Lease unless such ownership interests are publicly traded. Tenant shall reimburse Landlord for all of Landlord's reasonable expenses in connection with any assignment or sublease not to exceed One Thousand Five Hundred and No/100 Dollars ($1,500.00).  In no event shall Landlord have the right to recapture the Premises in the event of an assignment of this Lease or a sublease of all or any portion of the Premises.  Consent by Landlord to any transfer shall not constitute a waiver of the requirement for such consent to any subsequent transfer.
Notwithstanding any assignment or subletting, Tenant and any guarantor or surety of Tenant's obligations under this Lease shall at all times remain fully responsible and liable for the payment of the rent and for compliance with all of Tenant's other obligations under this Lease (regardless of whether Landlord's approval has been obtained for any such assignments or sublettings).  In the event that the rent due and payable by a sublessee or assignee (or a combination of the rental payable under such sublease or assignment plus any bonus or other consideration therefor or incident thereto) exceeds the rent payable under this Lease, then Tenant shall be bound and obligated to pay Landlord as additional rent hereunder all such excess rental and other excess consideration within ten (10) days following receipt thereof by Tenant, less (i) Tenant’s costs for brokerage commissions which shall be standard in the market of the Building,(ii)  actual attorneys’ fees paid by Tenant, not to exceed Seven Thousand Five 

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Hundred and 00/100 ($7,500.00),  and (iii) actual tenant allowances paid by Tenant, not to exceed Five and 00/100 Dollars per square foot of the assigned or sublet Premises. Written support of the costs set forth in (i), (ii) and (iii) set forth above must be provided to Landlord.
Landlord shall consent to an assignment or sublease, or withhold consent (with reasonable detail as to why consent is being withheld) within ten (10) business days after receipt of the documentation required by the first grammatical paragraph of this Paragraph 17. 
If this Lease be assigned or if the Premises be subleased (whether in whole or in part) or in the event of the mortgage, pledge, or hypothecation of Tenant's leasehold interest or grant of any concession or license within the Premises or if the Premises be occupied in whole or in part by anyone other than Tenant, then upon a default, beyond applicable notice and cure periods, by Tenant hereunder Landlord may collect rent from the assignee, sublessee, mortgagee, pledgee, party to whom the leasehold interest was hypothecated, concessionee or licensee or other occupant and, except to the extent set forth in the preceding paragraph, apply the amount collected to the next rent payable hereunder; and all such rentals collected by Tenant shall be held in trust for Landlord and immediately forwarded to Landlord.  No such transaction or collection of rent or application thereof by Landlord, however, shall be deemed a waiver of these provisions or a release of Tenant from the further performance by Tenant of its covenants, duties, or obligations hereunder.
b. Permitted Transfers.  Notwithstanding anything to the contrary contained in this Lease, Tenant, without Landlord's prior written consent, may sublet the Premises or assign this Lease to:  (i) a subsidiary, affiliate, franchisee, division, corporation or other entity controlling, controlled by or under common control with Tenant; (ii) a successor corporation or entity related to Tenant by merger, consolidation, non-bankruptcy reorganization or government action; or (iii) a purchaser of substantially all of Tenant's assets or stock (all of the foregoing hereinafter sometimes collectively shall be referred to as “Permitted Transfers”, and any person to whom any Permitted Transfer is made hereinafter sometimes shall be referred to as a “Permitted Transferee”).  For purposes of this Lease, a transfer or issuance of Tenant’s stock over the New York Stock Exchange, the American Stock Exchange, or NASDAQ or by virtue of a private placement with a venture capital firm or other equity investor wherein such venture capital firm or other equity investor receives stock in Tenant shall not be deemed an assignment, subletting or other transfer of this Lease or the Premises requiring Landlord's consent.  Any right of Landlord to receive excess rentals shall not apply to a Permitted Transfer.
18. Indemnification.  Except to the extent arising out of the gross negligence or willful misconduct of Landlord, its agents, employees or contractors, and to the extent permitted by law, Tenant agrees to indemnify and defend  Landlord, and Landlord's agents, employees and contractors, with respect to any and all losses, liabilities, damages, costs and expenses (including without limitation attorneys' fees) resulting from claims by third parties for injuries to any person and damage to or theft or misappropriation or loss of property occurring in or about the Premises and arising from the use and occupancy of the Premises or from any activity, work, or thing done, permitted or suffered by Tenant in or about the Premises or due to any other act or omission of Tenant, its subtenants, assignees, invitees, employees, contractors and agents.  The furnishing of insurance required hereunder shall not be deemed to limit Tenant's obligations under this Paragraph 18. 
19. Inspection and Access.  Upon reasonable prior notice and subject to Tenant’s security procedures, Landlord and its lenders, agents, representatives, and contractors may enter the Premises at any reasonable time to inspect the Premises and to make such repairs as may be required or permitted pursuant to this Lease and for any other business purpose.  Also upon reasonable prior notice and subject to Tenants security procedures, Landlord and Landlord's representatives may enter the Premises during business hours for the purpose of showing the Premises to prospective purchasers and, during the last nine (9) months of the Lease Term, to prospective tenants.  Landlord may erect a reasonable sign on the 

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Premises stating the Building is available to let or available for sale.  Landlord may grant easements, make public dedications, designate common areas and create restrictions on or about the Premises, provided that no such easement, dedication, designation or restriction materially interferes with Tenant's use or occupancy of or access to the Premises, increase Tenant’s obligations under this Lease or diminish Tenant’s rights under this Lease. Within ten (10) business days after receipt of Landlord's written request, Tenant shall execute such commercially reasonable instruments as may be necessary for such easements, dedications or restrictions.
20. Quiet Enjoyment.  If Tenant shall perform all of the covenants and agreements herein required to be performed by Tenant, Tenant shall, subject to the terms of this Lease, at all times during the Lease Term, have peaceful and quiet enjoyment of the Premises against any person claiming by, through or under Landlord.
21. Surrender.  Upon termination of the Lease Term or earlier termination of Tenant's right of possession, Tenant shall surrender the Premises to Landlord in the same condition as received, broom clean, ordinary wear and tear, Tenant-Made Alterations with respect to which Landlord has not required removal pursuant to Paragraph 11 above and casualty loss and condemnation covered by Paragraphs 15 and 16 excepted, but otherwise in accordance with Addendum 4 – Move-Out Conditions.  Any Trade Fixtures, Tenant-Made Alterations and property not so removed by Tenant as permitted or required herein shall be deemed abandoned and may be stored, removed, and disposed of by Landlord at Tenant's expense, and Tenant waives all claims against Landlord for any damages resulting from Landlord's retention and disposition of such property.  All obligations of Tenant hereunder not fully performed as of the termination of the Lease Term or earlier termination of Tenant’s right of possession shall survive the termination of the Lease Term, including without limitation, indemnity obligations, payment obligations with respect to Base Rent and Operating Expenses and obligations concerning the condition and repair of the Premises.
22. Holding Over.  If Tenant retains possession of the Premises after the termination of the Lease Term, unless otherwise agreed with Landlord in writing, such possession shall be subject to immediate termination by Landlord at any time, and all of the other terms and provisions of this Lease (excluding any expansion or renewal option or other similar right or option) shall be applicable during such holdover period, except that Tenant shall pay Landlord, as Base Rent for the holdover period, an amount equal to one hundred twenty-five percent (125%) of the Base Rent in effect on the termination date, computed on a per diem basis for the first month of such holding over, and one hundred fifty percent (150%) of such Base Rent for each month (computed on a per diem basis) or portion thereof thereafter.  All other payments shall continue under the terms of this Lease.  In addition, after the first thirty (30) days of any holding over by Tenant, Tenant shall be liable for all damages incurred by Landlord as a result of such holding over.  No holding over by Tenant, whether with or without consent of Landlord, shall operate to extend this Lease except as otherwise expressly provided, and this Paragraph 22 shall not be construed as consent for Tenant to retain possession of the Premises.
23. Events of Default.  Each of the following events shall be an event of default ("Event of Default") by Tenant under this Lease:
(a) Tenant shall fail to pay any installment of Base Rent or any other payment required herein when due, and such failure shall continue for a period of three (3) days after written notice from Landlord that such sum is past due.  
(b) Tenant or any guarantor or surety of Tenant's obligations hereunder shall (A) make a general assignment for the benefit of creditors; (B) commence any case, proceeding or other action seeking to have an order for relief entered on its behalf as a debtor or to adjudicate it a bankrupt or insolvent, or seeking reorganization, arrangement, adjustment, liquidation, 

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dissolution or composition of it or its debts or seeking appointment of a receiver, trustee, custodian or other similar official for it or for all or of any substantial part of its property (collectively a "proceeding for relief"); (C) become the subject of any proceeding for relief which is not dismissed within sixty (60) days of its filing or entry; or (D) die or suffer a legal disability (if Tenant, guarantor, or surety is an individual) or be dissolved or otherwise fail to maintain its legal existence (if Tenant, guarantor or surety is a corporation, partnership or other entity).
(c) Any insurance required to be maintained by Tenant pursuant to this Lease shall be cancelled or terminated or shall expire or shall be reduced or materially changed, except, in each case, as permitted in this Lease.
(d) In the event Tenant vacates the Premises and Tenant fails to provide written notice to Landlord within twenty-four (24) hours of such vacation. 
(e) Tenant shall attempt or there shall occur any assignment, subleasing or other transfer of Tenant's interest in or with respect to this Lease except as otherwise permitted in this Lease.
(f) Tenant shall fail to discharge any lien placed upon the Premises in violation of this Lease within fourteen (14) days after any such lien or encumbrance is filed against the Premises.
(g) Tenant shall fail to comply with any provision of this Lease other than those specifically referred to in this Paragraph 23, and except as otherwise expressly provided herein, such default shall continue for more than thirty (30) days after Landlord shall have given Tenant written notice of such default; provided that Tenant shall not be in default hereunder if Tenant commences the cure within the thirty (30) day period and thereafter diligently prosecutes the cure to completion.
24. Landlord's Remedies. In the event of any such Event of Default by Tenant, in addition to any other remedies available to Landlord under this Lease, at law or in equity, Landlord shall have the immediate option to terminate this Lease and all rights of Tenant hereunder.  In the event that Landlord shall elect to so terminate this Lease, then Landlord may recover from Tenant:
(a) the worth at the time of award of any unpaid rent which had been earned at the time of such termination; plus
(b) the worth at the time of the award of the amount by which the unpaid rent which would have been earned after termination until the time of award exceeds the amount of such rental loss that Tenant proves could have been reasonably avoided; plus
(c) the worth at the time of award of the amount by which the unpaid rent for the balance of the term after the time of award exceeds the amount of such rental loss that Tenant proves could be reasonably avoided; plus
(d) any other amount necessary to compensate Landlord for all the detriment proximately caused by Tenant's failure to perform its obligations under this Lease or which, in the ordinary course of things, would be likely to result therefrom including, but not limited to: unamortized Tenant Improvement costs; attorneys' fees; brokers' commissions; the costs of refurbishment, alterations, renovation and repair of the Premises; and removal (including the repair of any damage caused by such removal) and storage (or disposal) of Tenant's personal property, equipment, fixtures and any other items which Tenant is required under this Lease to remove but does not remove.  

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As used in Paragraphs 24(a) and 24(b) above, the "worth at the time of award" is computed by allowing interest at the Interest Rate set forth in Section 1.14 of the Summary.  As used in Paragraph 24(c) above, the "worth at the time of award" is computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of award plus one percent (1%).
In the event of any such default by Tenant, in addition to any other remedies available to Landlord under this Lease, at law or in equity, Landlord shall also have the right, with or without terminating this Lease, to re-enter the Premises and remove all persons and property from the Premises; such property may be removed, stored and/or disposed of pursuant to this Lease or any other procedures permitted by applicable law.  No re-entry or taking possession of the Premises by Landlord pursuant to this Paragraph 24, and no acceptance of surrender of the Premises or other action on Landlord's part, shall be construed as an election to terminate this Lease unless a written notice of such intention be given to Tenant or unless the termination thereof be decreed by a court of competent jurisdiction.  Landlord shall have the remedy described in California Civil Code Section 1951.4 (lessor may continue lease in effect after lessee's breach and abandonment and recover rent as it becomes due, if lessee has the right to sublet or assign, subject only to reasonable limitations).  Accordingly, if Landlord does not elect to terminate this Lease on account of any default by Tenant, Landlord may, from time to time, without terminating this Lease, enforce all of its rights and remedies under this Lease, including the right to recover all rent as it becomes due.  Except as specifically provided otherwise in this Lease, all covenants and agreements by Tenant under this Lease shall be performed by Tenant at Tenant's sole cost and expense and without any abatement or offset of rent.  If Tenant shall fail to pay any sum of money (other than Monthly Base Rent) or perform any other act on its part to be paid or performed hereunder and such failure shall continue for three (3) days with respect to monetary obligations (or ten (10) days with respect to non-monetary obligations, except in case of emergencies, in which such case, such shorter period of time as is reasonable under the circumstances) after Tenant's receipt of written notice thereof from Landlord, Landlord may, without waiving or releasing Tenant from any of Tenant's obligations, make such payment or perform such other act on behalf of Tenant.  All sums so paid by Landlord and all necessary incidental costs incurred by Landlord in performing such other acts shall be payable by Tenant to Landlord within five (5) days after demand therefor as additional rent.
If Landlord terminates Tenant's right of possession (but not this Lease), Landlord may, but shall be under no obligation to, relet the Premises for the account of Tenant for such rent and upon such terms as shall be satisfactory to Landlord without thereby releasing Tenant from any liability hereunder and without demand or notice of any kind to Tenant. For the purpose of such reletting Landlord is authorized to make any repairs, changes, alterations, or additions in or to the Premises as Landlord deems reasonably necessary or desirable.  If the Premises are not relet, then Tenant shall pay to Landlord as damages a sum equal to the amount of the rental reserved in this Lease for such period or periods, plus the cost of recovering possession of the Premises (including attorneys' fees and costs of suit), the unpaid Base Rent and other amounts accrued hereunder at the time of repossession, and the costs incurred in any attempt by Landlord to relet the Premises.  If the Premises are relet and a sufficient sum shall not be realized from such reletting [after first deducting therefrom, for retention by Landlord, the unpaid Base Rent and other amounts accrued hereunder at the time of reletting, the cost of recovering possession (including without limitation attorneys' fees and costs of suit), all of the costs and expense of repairs, changes, alterations, and additions, the expense of such reletting (including without limitation brokerage fees and leasing commissions) and the cost of collection of the rent accruing therefrom] to satisfy the rent provided for in this Lease to be paid, then Tenant shall immediately satisfy and pay any such deficiency.  Any such payments due Landlord shall be made upon demand therefor from time to time and Tenant agrees that Landlord may file suit to recover any sums falling due from time to time.  Notwithstanding any such reletting without termination, Landlord may at any time thereafter elect in writing to terminate this Lease for such previous breach. 
Exercise by Landlord of any one or more remedies hereunder granted or otherwise available shall not be deemed to be an acceptance of surrender of the Premises and/or a termination of this 

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Lease by Landlord, whether by agreement or by operation of law, it being understood that such surrender and/or termination can be effected only by the written agreement of Landlord and Tenant.  Any law, usage, or custom to the contrary notwithstanding, Landlord shall have the right at all times to enforce the provisions of this Lease in strict accordance with the terms hereof; and the failure of Landlord at any time to enforce its rights under this Lease strictly in accordance with same shall not be construed as having created a custom in any way or manner contrary to the specific terms, provisions, and covenants of this Lease or as having modified the same.  Tenant and Landlord further agree that forbearance or waiver by Landlord to enforce its rights pursuant to this Lease or at law or in equity shall not be a waiver of Landlord's right to enforce one or more of its rights in connection with any subsequent default.  A receipt by Landlord of rent or other payment with knowledge of the breach of any covenant hereof shall not be deemed a waiver of such breach, and no waiver by Landlord of any provision of this Lease shall be deemed to have been made unless expressed in writing and signed by Landlord.  To the greatest extent permitted by law, Tenant waives the service of notice of Landlord's intention to re-enter as provided for in any statute, or to institute legal proceedings to that end, and also waives all right of redemption in case Tenant shall be dispossessed by a judgment or by warrant of any court or judge.  The terms "enter," "re-enter," "entry" or "re-entry," as used in this Lease, are not restricted to their technical legal meanings.  Any reletting of the Premises shall be on such terms and conditions as Landlord in its sole discretion may determine (including without limitation a term different than the remaining Lease Term, rental concessions, alterations and repair of the Premises, lease of less than the entire Premises to any tenant).  Landlord shall not be liable, nor shall Tenant's obligations hereunder be diminished because of, Landlord's failure to relet the Premises or collect rent due in respect of such reletting.
25. Tenant's Remedies/Limitation of Liability.  Landlord shall not be in default hereunder unless Landlord fails to perform any of its obligations hereunder within thirty (30) days after written notice from Tenant specifying such failure (unless such performance will, due to the nature of the obligation, require a period of time in excess of thirty (30) days, then after such period of time as is reasonably necessary), or such shorter period as is reasonable in the event of an emergency. All obligations of Landlord hereunder shall be construed as covenants, not conditions; and, except as may be otherwise expressly provided in this Lease, Tenant may not terminate this Lease for breach of Landlord's obligations hereunder.  Nothing herein shall be deemed to restrict Tenant’s rights to self-help set forth in Paragraph 10(b) above or Tenant’s set-off rights set forth in the Work Letter.  All obligations of Landlord under this Lease will be binding upon Landlord only during the period of its ownership of the Premises and not thereafter.  The term "Landlord" in this Lease shall mean only the owner, for the time being of the Premises, and in the event of the transfer by such owner of its interest in the Premises, such owner shall thereupon be released and discharged from all obligations of Landlord thereafter accruing, but such obligations shall be binding during the Lease Term upon each new owner for the duration of such owner's ownership.  Any liability of Landlord under this Lease shall be limited solely to its interest in the Building and the Property, and the rents, incomes and profits (including net sales proceeds) therefrom, and in no event shall any personal liability be asserted against Landlord in connection with this Lease nor shall any recourse be had to any other property or assets of Landlord.  In no event shall Tenant ever seek, nor shall Landlord be liable for any consequential, exemplary, special or punitive damages in connection with or as a result of any default by Landlord hereunder.
26. Waiver of Jury Trial.  TENANT AND LANDLORD WAIVE ANY RIGHT TO TRIAL BY JURY OR TO HAVE A JURY PARTICIPATE IN RESOLVING ANY DISPUTE, WHETHER SOUNDING IN CONTRACT, TORT, OR OTHERWISE, BETWEEN LANDLORD AND TENANT ARISING OUT OF THIS LEASE OR ANY OTHER INSTRUMENT, DOCUMENT, OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH OR THE TRANSACTIONS RELATED HERETO.
27. Subordination.  This Lease and Tenant's interest and rights hereunder are and shall be subject and subordinate at all times to the lien of any first mortgage, now existing or hereafter created on 

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or against the Premises, and all amendments, restatements, renewals, modifications, consolidations, refinancing, assignments and extensions thereof, without the necessity of any further instrument or act on the part of Tenant except as set forth herein.  Tenant agrees, at the election of the holder of any such mortgage, to attorn to any such holder.  Tenant agrees within ten (10) business days after receipt of written demand to execute, acknowledge and deliver such commercially reasonable instruments, confirming such subordination and such instruments of attornment as shall be requested by any such holder.  Notwithstanding the foregoing, any such holder may at any time subordinate its mortgage to this Lease, without Tenant's consent, by notice in writing to Tenant, and thereupon this Lease shall be deemed prior to such mortgage without regard to their respective dates of execution, delivery or recording and in that event such holder shall have the same rights with respect to this Lease as though this Lease had been executed prior to the execution, delivery and recording of such mortgage and had been assigned to such holder.  The term "mortgage" whenever used in this Lease shall be deemed to include deeds of trust, security assignments and any other encumbrances, and any reference to the "holder" of a mortgage shall be deemed to include the beneficiary under a deed of trust.  Within ten (10) business days after receipt of written request of Landlord and opportunity for Tenant to review and request reasonable modifications, Tenant agrees to execute any lease amendment not materially altering the terms of this Lease, or increasing Tenant’s obligations or diminishing Tenant’s rights hereunder, if required by a mortgagee or beneficiary of a deed of trust encumbering real property of which the Premises constitute a part incident to the financing of the real property or Landlord’s leasehold interest in the real property of which the Premises constitute a part. Notwithstanding anything to the contrary contained in this Lease, as a condition to the effectiveness of this Lease and Tenant’s obligations hereunder, not later than the date of full execution of this Lease by Landlord and Tenant, Landlord shall provide Tenant with a commercially reasonable subordination, non-disturbance and attornment agreement from the holder of any current mortgage providing for the recognition of Tenant’s rights, interests and options under this Lease (including Tenant’s self-help and set-off rights provided in this Lease) in the event of a foreclosure, deed given in lieu of foreclosure or sale under the mortgage, so long as Tenant is not in default under this Lease beyond applicable notice and cure periods (“SNDA”).  Tenant’s obligation to subordinate this Lease to any future mortgage shall be conditioned upon receiving an SNDA from the holder of such future mortgage.
28. Mechanic's Liens.  Tenant has no express or implied authority to create or place any lien or encumbrance of any kind upon, or in any manner to bind the interest of Landlord or Tenant in the Premises or to charge the rentals payable hereunder for any claim in favor of any person dealing with Tenant, including without limitation those who may furnish materials or perform labor for any construction or repairs. Tenant covenants and agrees that it will pay or cause to be paid all sums legally due and payable by it on account of any labor performed or materials furnished in connection with any work performed on the Premises and that it will indemnify and defend Landlord from all loss, cost or expense based on or arising out of asserted claims or liens against the leasehold estate or against the interest of Landlord in the Premises or under this Lease.  Tenant shall give Landlord immediate written notice of the placing of any lien or encumbrance against the Premises and cause such lien or encumbrance to be discharged within fourteen (14) days of the filing or recording thereof; provided, however, Tenant may contest such liens or encumbrances as long as such contest prevents foreclosure of the lien or encumbrance and Tenant causes such lien or encumbrance to be bonded or insured over in a manner reasonably satisfactory to Landlord within such fourteen (14)- day period. 
29. Estoppel Certificates.  Tenant agrees, from time to time, within ten (10) business days after request of Landlord, to execute and deliver to Landlord, or Landlord's designee, any estoppel certificate requested by Landlord, stating that this Lease is in full force and effect, the date to which rent has been paid, that Landlord is not in default hereunder (or specifying in detail the nature of Landlord's default), the termination date of this Lease and such other matters pertaining to this Lease as may be requested by Landlord.  Tenant's obligation to furnish each estoppel certificate in a timely fashion is a material inducement for Landlord's execution of this Lease.  No cure or grace period provided in this 

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Lease shall apply to Tenant's obligations to timely deliver an estoppel certificate if Tenant fails to provide the estoppel certificate within three (3) business days after receipt of Landlord’s second notice.  Tenant hereby irrevocably appoints Landlord as its attorney in fact to execute on its behalf and in its name any such estoppel certificate if Tenant fails to execute and deliver the estoppel certificate within three (3) days after receipt of Landlord’s second written request thereof.  
30. Environmental Requirements.  Except for Hazardous Materials (hereinafter defined) contained in products used by Tenant in de minimis quantities for ordinary cleaning and office purposes, and except for those types and quantities of Hazardous Materials used by Tenant in connection with the Permitted Uses, as more particularly described on Exhibit E attached hereto and incorporated by reference herein (collectively, the “Permitted Hazardous Materials”), which Permitted Hazardous Materials shall be stored, used and disposed of by Tenant in compliance with all Environmental Requirements (hereinafter defined), Tenant shall not permit or cause any party to bring any Hazardous Material upon the Premises or transport, store, use, generate, manufacture or release any Hazardous Material in or about the Premises without Landlord's prior written consent, which shall not be unreasonably withheld, conditioned or delayed. Upon the Commencement Date or prior thereto, Tenant shall contact Landlord to initiate the permit process for the storage of Permitted Hazardous Materials and to complete a Hazardous Materials Business Plan (HMBPs).  Landlord may request from time to time, and Tenant shall then promptly provide, a certification of, and all MSDS sheets with respect to, all Hazardous Substances transported, stored, used, generated, or manufactured in or about the Premises.  Tenant, at its sole cost and expense, shall operate its business in the Premises in strict compliance with all Environmental Requirements and shall remediate in a manner reasonably satisfactory to Landlord any Hazardous Materials released on or from the Building by Tenant, its agents, employees, contractors, subtenants or invitees.  Tenant shall notify Landlord immediately of any such release of Hazardous Material and also of all orders to comply, notices of violation, and similar documentation, including without limitation written correspondence by, to or from any governmental authority pertaining to environmental matters.  Tenant shall complete and certify disclosure statements as reasonably requested by Landlord from time to time relating to Tenant's transportation, storage, use, generation, manufacture or release of Hazardous Materials on the Premises.  The term "Environmental Requirements" means all applicable present and future statutes, regulations, ordinances, rules, codes, judgments, orders or other similar enactments of any governmental authority or agency regulating or relating to health, safety, or environmental conditions on, under, or about the Premises or the environment, including without limitation, the following:  the Comprehensive Environmental Response, Compensation and Liability Act; the Resource Conservation and Recovery Act; and all state and local counterparts thereto, and any regulations or policies promulgated or issued thereunder.  The term "Hazardous Materials" means and includes any substance, material, waste, pollutant, or contaminant listed or defined as hazardous or toxic, under any Environmental Requirements, asbestos and petroleum, including but not limited to crude oil or any fraction thereof, natural gas liquids, liquified natural gas, or synthetic gas usable for fuel (or mixtures of natural gas and such synthetic gas).  As defined in Environmental Requirements, Tenant is and shall be deemed to be the "operator" of Tenant's "facility" and the "owner" of all Hazardous Materials brought on the Premises by Tenant, its agents, employees, contractors or invitees, and the wastes, by-products, or residues generated, resulting, or produced therefrom.
Tenant shall indemnify and defend Landlord with respect to any and all losses (including, without limitation, diminution in value of the Premises and loss of rental income from the Premises), claims, demands, actions, suits, damages (including, without limitation, punitive damages), expenses (including, without limitation, remediation, removal, repair, corrective action, or cleanup expenses), and costs (including, without limitation, actual attorneys' fees, consultant fees or expert fees and including, without limitation, removal or management of any asbestos brought into the property or disturbed in breach of the requirements of this Paragraph 30, regardless of whether such removal or management is required by law) which are brought or recoverable against, or suffered or incurred by Landlord as a result of any release of Hazardous Materials for which Tenant is obligated to remediate as provided above or 

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any other breach of the requirements under this Paragraph 30 by Tenant, its agents, employees, contractors, subtenants, assignees or invitees, regardless of whether Tenant had knowledge of such noncompliance.  The obligations of Tenant under this Paragraph 30 shall survive any termination or expiration of this Lease.
Landlord and Landlord’s lender shall have access to, and a right to perform inspections and tests of, the Premises to determine Tenant's compliance with Environmental Requirements, its obligations under this Paragraph 30, or the environmental condition of the Premises.  Access shall be granted to Landlord and Landlord’s Lender upon Landlord's reasonable prior notice to Tenant, and subject to Tenant’s security requirements, and at such times so as to minimize, so far as may be reasonable under the circumstances, any disturbance to Tenant's operations.  Such inspections and tests shall be conducted at Landlord's expense, unless such inspections or tests reveal that Tenant has not complied with any Environmental Requirement, in which case Tenant shall reimburse Landlord for the reasonable cost of such inspection and tests.  Landlord's receipt of or satisfaction with any environmental assessment in no way waives any rights that Landlord holds against Tenant. 
To the best knowledge of Landlord based solely on the Phase I Report  prepared by AECOM dated August 2, 2019 (the “Phase I Report”), (i) no Hazardous Materials are present in, on or under the Premises, the Building or the Property, or the soil, surface water or groundwater thereof, in violation of any applicable Environmental Requirements; (ii) no underground storage tanks are present on the Property; and (iii) no action, proceeding or claim is pending or threatened regarding the Building or the Property concerning any Hazardous Materials or pursuant to any Environmental Requirements.  
Notwithstanding the foregoing or anything to the contrary contained in this Lease, under no circumstance shall Tenant be liable for any losses, costs, claims, liabilities or damages (including attorneys’ and consultants’ fees) of any type or nature, directly or indirectly arising out of or in connection with any Hazardous Materials present at any time on, in, under or about the Premises, the Building or the Property, or the soils, surface water or groundwater thereof, including, without limitation, any Hazardous Materials identified in the Phase I Report, or the violation of any Environmental Requirements, except to the extent that any of the foregoing actually results from the storage, use, release or disposal of Hazardous Materials  by Tenant or its agents, employees, contractors, invitees, subtenants or assignees in violation of applicable Environmental Requirements.
31. Rules and Regulations.  Tenant shall, at all times during the Lease Term and any extension thereof, comply with all reasonable rules and regulations at any time or from time to time established by Landlord covering use of the Premises.  The current rules and regulations are attached hereto as Exhibit B.  In the event of any conflict between said rules and regulations and other provisions of this Lease, the other terms and provisions of this Lease shall control. 
32. Security Service.  Tenant acknowledges and agrees that, while Landlord may patrol the Exterior Premises, Landlord is not providing any security services with respect to the Premises and that Landlord shall not be liable to Tenant for, and Tenant waives any claim against Landlord with respect to, any loss by theft or any other damage suffered or incurred by Tenant in connection with any unauthorized entry into the Premises or any other breach of security with respect to the Premises.
Tenant shall have the right (a) to install and maintain its own security systems for the Premises, including but not limited to, card readers and cameras (“Security Systems”) and (b) to secure the Premises, including perimeter fencing, lighting, liftgates, guard shacks and cameras (“Exterior Security”). The Security Systems and Exterior Security shall be considered either a component of the Tenant Improvements or a Tenant-Made Alteration and shall comply with the terms and conditions of the Work Letter or of Paragraph 12 of this Lease, as applicable.

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33. Force Majeure and Excused Delay.  Neither Landlord nor Tenant shall be held responsible for delays in the performance of its obligations hereunder when caused by strikes, lockouts, labor disputes, acts of God, inclement weather conditions which delay or preclude construction, inability to obtain labor or materials or reasonable substitutes therefor, actions or inactions of governmental or quasi-governmental authorities affecting the design, permitting, construction and Substantial Completion of the Landlord’s Work, the Closure Requirements or the Tenant Improvements beyond the reasonable control of Landlord or Tenant, governmental restrictions, governmental regulations, governmental controls, delay in issuance of permits of Landlord or Tenant, enemy or hostile governmental action, acts of terrorism, civil commotion, fire or other casualty, “unforeseen conditions” within the meaning of Landlord’s contract with its general contractor, and other causes beyond the reasonable control of Landlord and Tenant (collectively, “Force Majeure Delays”); provided, however, that Force Majeure Delays shall not excuse Landlord or Tenant for failure to pay any monetary sum due under this Lease except as expressly provided in this Lease.  In addition, neither Landlord nor Tenant shall be held responsible for delays in the performance of its obligations hereunder due to Excused Delays, as hereinafter defined, and each day of Excused Delay shall delay Landlord’s or Tenant’s obligation to perform such obligation for one (1) day. An “Excused Delay” means a delay caused by an act of God, declared state of emergency or public health emergency, epidemic or pandemic (specifically including but not limited to COVID-19), governmental inaction, restriction, regulation, action and/or control (including without limitation a government mandated quarantine, shelter-in-place requirement or travel ban), war, civil commotion, act of terrorism, and/or order of government or civil or military authorities.  An Excused Delay shall not defer the obligation of Landlord or Tenant to pay any monetary sum due under this Lease except as expressly provided in this Lease.
34. Entire Agreement.  This Lease constitutes the complete agreement of Landlord and Tenant with respect to the subject matter hereof.  No representations, inducements, promises or agreements, oral or written, have been made by Landlord or Tenant, or anyone acting on behalf of Landlord or Tenant, which are not contained herein, and any prior agreements, promises, negotiations, or representations are superseded by this Lease.  This Lease may not be amended except by an instrument in writing signed by both parties hereto.
35. Severability.  If any clause or provision of this Lease is illegal, invalid or unenforceable under present or future laws, then and in that event, it is the intention of the parties hereto that the remainder of this Lease shall not be affected thereby.  It is also the intention of the parties to this Lease that in lieu of each clause or provision of this Lease that is illegal, invalid or unenforceable, there be added, as a part of this Lease, a clause or provision as similar in terms to such illegal, invalid or unenforceable clause or provision as may be possible and be legal, valid and enforceable.
36. Brokers.   Tenant represents and warrants that it has dealt with no broker, agent or other person in connection with this transaction except for the Broker identified in the Basic Lease Information (“Broker”), and that no broker, agent or other person brought about this transaction, other than the Broker.  Tenant agrees to indemnify and defend Landlord with respect to any claims by any broker, agent or person other than Broker claiming a commission or other form of compensation by virtue of having dealt with Tenant with regard to this leasing transaction.  Landlord represents and warrants that it has dealt with no broker, agent or other person in connection with this transaction except for the Broker, and that no broker, agent or other person brought about this transaction, other than the Broker.  Landlord agrees to indemnify and defend Tenant with respect to any claims by any broker, agent or person other than Broker claiming a commission or other form of compensation by virtue of having dealt with Landlord with regard to this leasing transaction.  Landlord shall be responsible for payment of the brokerage commission due in connection with this Lease pursuant to a separate written agreement.
37. Miscellaneous.  (a)  Any payments or charges due from Tenant to Landlord hereunder shall be considered "Rent” for all purposes of this Lease.

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(b) If and when included within the term "Tenant," as used in this instrument, there is more than one person, firm or corporation, each shall be jointly and severally liable for the obligations of Tenant.  
(c) All notices required or permitted to be given under this Lease shall be in writing and shall be sent by a reputable national overnight courier service, postage prepaid, or by hand delivery addressed to the parties at their addresses below.  Either party may by notice given aforesaid change its address for all subsequent notices.  Except where otherwise expressly provided to the contrary, notice shall be deemed given upon delivery.

If to Landlord:

c/o Dermody Properties
5500 Equity Avenue
Reno, Nevada 89502

with a copy to:

Equis Law Group, LLC.
2901 Butterfield Road
Oak Brook, IL 60523
Attn: Robert M. Silverman, Esq.

If to Tenant:

4353 No. First Street
San Jose, California  95134
Attention:  General Counsel
 (d) Intentionally omitted.
(e) At Landlord's request from time to time but not more than once each calendar year unless an Event of Default has occurred or Landlord is selling or refinancing the Property, Tenant shall furnish Landlord with true and complete copies of its most recent annual and quarterly financial statements prepared by Tenant or Tenant's accountants and any other financial information or summaries that Tenant typically provides to its lenders or shareholders.  Landlord shall keep all such information confidential in accordance with Paragraph 45 below.
(f) Neither this Lease nor a memorandum of lease shall be filed by or on behalf of Tenant in any public record.  Landlord may prepare and file, and upon request by Landlord Tenant will execute, a memorandum of lease. 
(g) The normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Lease or any exhibits or amendments hereto. 
(h) The submission by Landlord to Tenant of this Lease shall have no binding force or effect, shall not constitute an option for the leasing of the Premises, nor confer any right or impose any obligations upon either party until execution and delivery of this Lease by both parties.

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(i) Words of any gender used in this Lease shall be held and construed to include any other gender, and words in the singular number shall be held to include the plural, unless the context otherwise requires.  The captions inserted in this Lease are for convenience only and in no way define, limit or otherwise describe the scope or intent of this Lease, or any provision hereof, or in any way affect the interpretation of this Lease.
(j) Any amount not paid by Tenant within five (5) days after its due date in accordance with the terms of this Lease shall bear interest from such due date until paid in full at the lesser of the highest rate permitted by applicable law or eight percent (8%) per year.  It is expressly the intent of Landlord and Tenant at all times to comply with applicable law governing the maximum rate or amount of any interest payable on or in connection with this Lease.  If applicable law is ever judicially interpreted so as to render usurious any interest called for under this Lease, or contracted for, charged, taken, reserved, or received with respect to this Lease, then it is Landlord's and Tenant's express intent that all excess amounts theretofore collected by Landlord be credited on the applicable obligation (or, if the obligation has been or would thereby be paid in full, refunded to Tenant), and the provisions of this Lease immediately shall be deemed reformed and the amounts thereafter collectible hereunder reduced, without the necessity of the execution of any new document, so as to comply with the applicable law, but so as to permit the recovery of the fullest amount otherwise called for hereunder.
(k) Construction and interpretation of this Lease shall be governed by the laws of the state in which the Premises is located, excluding any principles of conflicts of laws.  
(l) Time is of the essence as to the performance of each obligations under this Lease with respect to which time is a factor.  
(m) All exhibits and addenda attached hereto are hereby incorporated into this Lease and made a part hereof.  In the event of any conflict between such exhibits or addenda and the terms of this Lease, such exhibits or addenda shall control.
(n) Landlord and Tenant may execute this Lease in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument.  Any counterpart to this Lease may be executed by facsimile or electronic (e.g. PDF) copy and shall be binding on the parties.
(o) In the computation of any period of time provided for in this Lease or by law, the day of the act or event from which said period of time runs shall be excluded, and the last day of such period shall be included, unless it is a Saturday, Sunday or legal holiday, in which case the period shall be deemed to run until the end of the next day which is not a Saturday, Sunday or legal holiday.
38. Attorney’s Fees.  If either Landlord or Tenant brings an action or proceeding involving the Premises based on tort, contract or equity, then reasonable attorneys’ fees may be recovered by the party that prevails in such action or proceeding.  
39. Landlord's Lien/Security Interest.  Intentionally omitted.  
40. Limitation of Liability of Trustees, Shareholders, and Officers of DPIF2 CA 20 Christy Street, LLC.  Any obligation or liability whatsoever of DPIF2 CA 20 Christy Street, LLC, a Delaware limited liability company, which may arise at any time under this Lease or any obligation or liability which may be incurred by it pursuant to any other instrument, transaction, or undertaking contemplated hereby shall not be personally binding upon, nor shall resort for the enforcement thereof be had to the property of, its partners, trustees, directors, shareholders, officers, employees or agents, regardless of whether such obligation or liability is in the nature of contract, tort, or otherwise.

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41. Early Occupancy.  Subject to Legal Requirements and to the provisions of the Work Letter regarding construction of the Tenant Improvements, upon (i) execution of this Lease by Landlord and Tenant, (ii) payment by Tenant to Landlord of all amounts due in connection with Tenant’s execution of this Lease, and (iii) delivery by Tenant to Landlord of all certificates of insurance required pursuant to Paragraph 9 of this Lease (the date upon which all of the following have the commencement of “Early Occupancy”), Tenant may enter the Premises for the purpose of constructing the Tenant Improvements and installing Tenant’s fixtures, furniture and equipment within the Premises.  Tenant’s right to Early Occupancy shall terminate on the day immediately prior to the Commencement Date.  During Tenant’s Early Occupancy, (a) Landlord and Tenant shall have mutual access to the Premises, (b) Tenant shall not interfere with Landlord’s construction of the Initial Improvements (as defined in Addendum 3 – Landlord Work Letter) or cause any labor dispute as a result of Tenant’s occupancy of the Premises, (a) Tenant shall not be required to pay Base Rent or Operating Expenses, (b) Tenant shall be required to pay for removal of Tenant’s trash from the Premises and the utilities used by Tenant at the Premises, (c) except for the obligation to pay Base Rent and Operating Expenses, the terms of this Lease shall apply to Tenant’s Early Occupancy, and (d) Tenant shall indemnify and defend Landlord with respect to any loss or damage to the Premises, or any of them, and all liability, loss, or damage arising from any injury to the Building or Exterior Premises or the property of Landlord, its contractors, subcontractors, or materialmen, and any death or personal injury to any person or persons arising out of such installations, unless any such loss, damage, liability, death, or personal injury was caused by Landlord's negligence or willful misconduct, or that of its agents, employees or contractors.  Any such occupancy or performance in the Premises shall be in accordance with the provisions of the Work Letter.  
42. Renewal Options.  Tenant shall have the option to extend the Lease Term in accordance with the provisions of Addendum 5 – Renewal Options attached hereto and made a part hereof.
43. Roof Rights.  As a component of the Tenant Improvements or as a Tenant-Made Alteration Tenant shall have the right to access the roof of the Building for purposes of installing, maintaining, repairing, replacing or removing its satellite or wire communications equipment (“Roof Equipment”).  Landlord and Tenant shall agree upon the location of the Roof Equipment and any additions or alterations needed to the roof to accommodate the placement of the Roof Equipment, each party acting reasonably.  Tenant shall notify Landlord prior to Tenant’s access to the roof and Tenant’s access to the roof shall not void any roof warranty obtained by Landlord in connection with the Landlord’s Work.  Tenant shall use Landlord’s roofing contractor in order not to void the roof warranty.  Tenant shall be liable to repair any damage to the roof as a result of the installation of the Roof Equipment.
44. Consequential Damages.  Notwithstanding anything to the contrary contained in this Lease, except with respect to Tenant’s obligations set forth in Paragraph 22, “Holding Over”, and Paragraph 30, “Environmental Requirements”, in no event shall Tenant be liable to Landlord for any indirect, consequential, special, exemplary, incidental or punitive damages arising from or relating to this Lease.
45. Confidentiality.  Landlord and Tenant acknowledge that the terms and conditions of this Lease are to remain confidential for the benefit of both parties, and may not be disclosed by either party to anyone, by any manner or means, directly or indirectly (except to Landlord’s and Tenant’s attorneys, advisors and accountants which have been informed of the confidentiality provisions of this Lease and to any proposed assignee or transferee) without the prior written consent of the other, unless disclosure is required by applicable law or court order.  The consent by Landlord or Tenant to any disclosures shall not be deemed to be a waiver on the part of Landlord or Tenant, as applicable, of any prohibition against any future disclosure.
 

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(Signatures on following page.)

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IN WITNESS WHEREOF, Landlord and Tenant have executed this Lease as of the day and year first above written.

            TENANT:      

                                                                  BLOOM ENERGY CORPORATION, a Delaware corporation 

By:   
Name:   
Title:    

                                                               LANDLORD:

DPIF2 CA 20 CHRISTY STREET, LLC
a Delaware limited liability company

                      By:     Dermody Properties Industrial Fund II Agg I LP,
                                                                           a Delaware limited partnership, its sole member

                           By: Dermody GP II, LLC, 
   a Delaware limited liability company
   
  
   By: ____________________________________
                Name: __________________________________                       Title: ___________________________________

EXHIBIT A-1

34

Legal Description

The Land referred to herein below is situated in the City of Fremont, County of Alameda, State of California, and is described as follows:

PARCEL 1:
BEING A PORTION OF PARCEL 3 OF PARCEL MAP 7359, FILED FOR RECORD ON JUNE 20, 2000, IN BOOK 252 OF MAPS, AT PAGE 19, ALAMEDA COUNTY RECORDS AND BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS:

BEGINNING AT THE SOUTHWEST CORNER OF SAID PARCEL 3; SAID POINT ALSO BEING ON THE EASTERLY LINE OF CHRISTY STREET; THENCE ALONG THE WESTERN LINE OF SAID PARCEL 3 THE FOLLOWING COURSES: 1. NORTH 43°44' 15" EAST, 14.00 FEET;
2. NORTH 39° 27' 05" EAST, 40.13 FEET; 3. NORTH 43° 44' 15" EAST, 313.86 FEET; 
4. NORTH 46° 15' 45" WEST, 26.16 FEET; 5. NORTH 43° 44' 15" EAST, 276.78 FEET; 6. NORTH 39° 59' 43" WEST, 203.68 FEET; THENCE LEAVING SAID BOUNDARY LINE OF PARCEL 3, NORTH 43° 35' 41" EAST, 26.15 FEET; THENCE NORTH
46° 15' 00" WEST, 149.01 FEET TO A POINT ON A NORTHERN LINE OF SAID PARCEL 3; THENCE ALONG SAID NORTHERN LINE NORTH 43° 46' 39" EAST, 84.57 FEET TO THE NORTHEASTERN LINE OF SAID PARCEL 3; THENCE ALONG THE BOUNDARY LINES OF SAID PARCEL 3 THE FOLLOWING COURSES: 1. SOUTH 39° 36' 01" EAST, 35.34 FEET;
2. SOUTH 40° 01' 44" EAST, 553.30 FEET; 3. SOUTH 07° 35' 42" EAST, 192.10 FEET; 4. SOUTH 46° 14' 42" EAST, 3.96 FEET; 5. SOUTH 43° 46' 39" WEST, 599.45 FEET; 6. NORTH 46° 15' 45" WEST, 0.07 FEET; THENCE ALONG A NON -TANGENT CURVE TO THE LEFT HAVING A RADIAL BEARING OF NORTH 48° 41' 09" WEST AND HAVING A RADIUS OF
75.00 FEET THROUGH A CENTRAL ANGLE OF 147° 59' 51" FOR AN ARC LENGTH OF 193.73 FEET TO A POINT OF REVERSE CURVATURE; THENCE ALONG A CURVE TO THE RIGHT HAVING A RADIUS OF 55.00 FEET THROUGH A CENTRAL ANGLE OF 60° 25' 15" FOR AN ARC LENGTH OF 58.00 FEET; THENCE NORTH 46° 15' 45" WEST, 169.96 FEET
TO THE POINT OF BEGINNING.

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EXHIBIT A-2

Site Plan

(see attached)

- 36 –

EXHIBIT B

- 37 –

Rules and Regulations

1.The sidewalk, entries, and driveways of the Building shall not be obstructed by Tenant, or its agents, or used by them for any purpose other than ingress and egress to and from the Premises.

2.Except to the extent expressly permitted as set forth in the Lease, Tenant shall not place any objects, including without limitation antennas, outdoor furniture, etc., in the parking areas, landscaped areas or other areas outside of its Premises, or on the roof of the Building.

3.Except for service animals, no animals shall be allowed in the offices, halls, or corridors in the Building.

4.Tenant shall not disturb the occupants of the adjoining buildings by the use of any radio or musical instrument or by the making of loud noises.

5.If Tenant desires telegraphic, telephonic or other electric connections in the Premises, Landlord or its agent will direct the electrician as to where and how the wires may be introduced; and, without such direction, no boring or cutting of wires will be permitted.  Any such installation or connection shall be made at Tenant's expense.

6.Tenant shall not install or operate any steam or gas engine or boiler, or other mechanical apparatus in the Premises, except as specifically approved in the Lease.  The use of oil, gas or inflammable liquids for heating, lighting or any other purpose is expressly prohibited.  Explosives or other articles deemed extra hazardous shall not be brought into the Building or Exterior Premises.

7.Parking any type of recreational vehicles is specifically prohibited on or about the Building or Exterior Premises.  Except for the overnight parking of operative vehicles, no vehicle of any type shall be stored in the parking areas at any time.  In the event that a vehicle is disabled, it shall be removed within 48 hours.  There shall be no "For Sale" or other advertising signs on or about any parked vehicle.  All vehicles shall be parked in the designated parking areas in conformity with all signs and other markings.  All parking will be open parking, and no reserved parking, numbering or lettering of individual spaces will be permitted except as specified by Landlord.

8.Tenant shall maintain the Building free from rodents, insects and other pests.

9.Intentionally omitted.

10.Tenant shall not cause any unnecessary labor by reason of Tenant's carelessness or indifference in the preservation of good order and cleanliness.  Landlord shall not be responsible to Tenant for any loss of property on the Premises, however occurring, or for any damage done to the effects of Tenant by the janitors or any other employee or person.

11.Tenant shall give Landlord prompt notice of any defects in the water, lawn sprinkler, sewage, gas pipes, electrical lights and fixtures, heating apparatus, or any other service equipment affecting the Premises or the Exterior Premises.

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12.Tenant shall not permit storage outside the Premises, including without limitation, outside storage of trucks and other vehicles, or dumping of waste or refuse or permit any harmful materials to be placed in any drainage system or sanitary system in or about the Premises.

13.All moveable trash receptacles provided by the trash disposal firm for the Premises must be kept in the trash enclosure areas, if any, provided for that purpose.

14.No auction, public or private, will be permitted on the Premises.

15.No awnings shall be placed over the windows in the Building except with the prior written consent of Landlord.

16.The Premises shall not be used for lodging, sleeping or cooking or for any illegal purposes or for any purpose other than that specified in the Lease.  No gaming devices shall be operated in the Premises.

17.Intentionally omitted.

18.Tenant assumes full responsibility for protecting the Premises from theft, robbery and pilferage.

19.Tenant shall not install or operate on the Premises any machinery or mechanical devices of a nature not directly related to Tenant's ordinary use of the Premises and shall keep all such machinery free of vibration, noise and air waves which may be transmitted beyond the Premises.

EXHIBIT C

- 39 –

Notice of Lease Term Dates

NOTICE OF LEASE TERM DATES

This NOTICE OF LEASE TERM DATES is made as of the ____ day of ____________, 2020, by and between DPIF2 CA 20 Christy Street, LLC, a Delaware limited liability company (“Landlord”), and Bloom Energy Corporation, a Delaware corporation (“Tenant”).

RECITALS: 

A.Landlord and Tenant have entered into that certain Lease (the “Lease”) dated as of ________, 20____, whereby Landlord leased to Tenant, and Tenant leased from Landlord, certain real property located in Fremont, California, which real property is commonly known as 44370 Christy Street, Fremont, California.

B.In accordance with Paragraph 2 of the Lease, Landlord and Tenant desire to set forth herein the dates that the initial term of the Lease Term shall commence (the “Commencement Date”) and the date that the initial term of the Lease Term shall expire (the “Expiration Date”), subject to extension pursuant to Addendum 5 - Renewal Options to the Lease,

NOW THEREFORE, Landlord and Tenant certify and agree as follows:

1.The Commencement Date is hereby established as ____________, 202_.  

2.The initial term of the Lease Term shall be eighty-four (84) months ending upon ________________.

(signatures on following page)

 IN WITNESS WHEREOF, Landlord and Tenant have caused this Notice of Lease Term Dates to be executed as of the day and year first above written.

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                     TENANT:      

                                                               BLOOM ENERGY CORPORATION, a Delaware corporation 

By:   
Name:   
Title:    

                                                               LANDLORD:

DPIF2 CA 20 CHRISTY STREET, LLC
a Delaware limited liability company

                      By:     Dermody Properties Industrial Fund II Agg I LP,
                                                                           a Delaware limited partnership, its sole member

                           By: Dermody GP II, LLC, 
   a Delaware limited liability company
   
  
   By: ____________________________________
                Name: __________________________________                       Title: ___________________________________

EXHIBIT D

- 41 –

Form of Insurance Certificate

(see attached)

EXHIBIT E

- 42 –

            Permitted Hazardous Materials

- 43 –

ADDENDUM 1
BASE RENT ADJUSTMENTS

ATTACHED TO AND A PART OF THE LEASE 
DATED JUNE _____, 2020 BETWEEN

DPIF2 CA 20 CHRISTY STREET, LLC
and

BLOOM ENERGY CORPORATION 

Annual Base Rent and Monthly Base Rent for the Lease Term shall equal the following amounts for the respective periods set forth below:
																								
	Period					Annual Base Rent		Monthly Base Rent
	Months 1	-		2			$0.00*	
	Months 3		-		12	$1,563,380.00	$156,338.00	
	Months  13		-		24	$1,932,337.68	$161,028.14	
	Months  25		-		36	$1,990,307.76	$165,858.98	
	Months  37		-		48	$2,050,017.00	$170,834.75	
	Months  49		-		60	$2,111,517.60	$175,959.80	
	Months  61		-		72	$2,174,863.08	$181,238.59	
	Months  73		-		84	$2,240,109.00	$186,675.75	

If the Commencement Date is other than the first day of a calendar month, then the first period for the payment of Base Rent set forth above shall run from the first day of the calendar month following the Commencement Date and the rent payable in the first partial month following the Commencement Date shall be proportionally prorated.

EXTENSION TERM: SEE ADDENDUM 5
*SEE ADDENDUM 2 – Base Rent Abatement
ADDENDUM 2

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BASE RENT ABATEMENT
        
        ATTACHED TO AND A PART OF THE LEASE
        DATED JUNE _____, 2020 BETWEEN

DPIF2 CA 20 CHRISTY STREET, LLC
and
BLOOM ENERGY CORPORATION

Tenant shall not be obligated to pay Base Rent for the initial two (2) full month periods of the Lease Term, commencing on the Commencement Date, as that date may be extended by Excused Delays (the “Abatement Period”); provided however, Tenant shall be responsible for the payment of Operating Expenses and utilities and all other items of additional rent, if any, during such period. Landlord and Tenant hereby acknowledge and agree that the Rent Abatement is a rent concession and, if during the Lease Term, an Event of Default exists, beyond any applicable notice and/or cure period, under the terms of this Lease, and Landlord terminates the Lease as a result of such Event of Default, the unamortized portion of the Rent Abatement shall become immediately due and payable, without prejudice to any other remedies of Landlord under this Lease.  

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ADDENDUM 3

WORK LETTER
        
ATTACHED TO AND A PART OF THE LEASE
DATED JUNE ____, 2020 BETWEEN

DPIF2 CA 20 CHRISTY STREET
and
BLOOM ENERGY CORPORATION

In connection with the execution of the Lease, Landlord and Tenant have further agreed as follows (all terms herein without definition shall have the meaning ascribed to such terms in the Lease):

1. Landlord’s Work.  As a condition precedent to the Commencement Date, Landlord agrees, at its sole cost and expense, except with respect to any increase in costs and expenses directly resulting from an act (or failure to act) of Tenant, which increase shall be paid by Tenant within thirty (30) days after receipt of written demand from Landlord, to have completed or have caused the following to occur:  (i) all Building Systems and the Building Structure shall be in good working order and repair; (ii) all existing improvements and trade fixtures that were in place in the Premises on the Effective Date including, without limitation, all process piping and the air compressor, shall be in place and in good working order and repair; (iii) installation of a TPO, welded seam, white reflective 60 mil roof replacement (the “Roof Replacement”), which have been approved by Landlord and Tenant; and (iv) the HVAC work as listed in that certain proposal prepared by Oscar Rojas of O.R. HVAC attached hereto as Exhibit A (the “HVAC Work”), which has been approved by Landlord and Tenant (all of the foregoing, the “Landlord’s Work”).  With respect to the Roof Replacement, Landlord shall provide to Tenant for Tenant’s review the final specifications for the Roof Replacement, and Tenant shall have the right to discuss with Landlord any comments or questions regarding the specifications.  In addition, prior to the installation of the Roof Replacement, Landlord and Tenant shall meet to review installation details.  Landlord agrees to commence the installation of the Roof Replacement in the June 2020/July 2020 timeframe and the HVAC Work prior to July/August 2020 timeframe, so as to avoid any interruption in Tenant’s construction of the Tenant Improvements.  If, despite Landlord’s good faith efforts, the Roof Installation is not completed by July 31, 2020, and the HVAC Work by August 31, 2020, as that date may be extended by prior written agreement of the parties, Landlord and Tenant shall each cause their respective contractors and subcontractors to cooperate with each other: (i) in facilitating the mutual access to the Premises; and (ii) in coordinating the timing of the stages of Roof Installation, HVAC Work and the Tenant Improvements so as to facilitate the completion on a timely basis. In the event that the Landlord’s failure to complete the Roof Replacement during the June 2020/July 2020 timeframe and the HVAC Work during the July/August 2020 timeframe, for any reason other than due to Force Majeure, Excused Delays or the act or omission of Tenant delays Tenant’s Substantial Completion of the Tenant Improvements by January 1, 2021, for each day of delay caused thereby Tenant shall be entitled to day-for-day abatement of Base Rent pursuant to Paragraph 2(b) of the Lease.  The Landlord’s Work shall be performed in compliance with all applicable laws, building codes, regulations and ordinances in effect on the Commencement Date of the Lease, in a good and workmanlike manner, free of defects and using new materials and equipment of good quality.
  
2. Space Plan; Working Drawings.  

        (a) Space Plan.  Tenant’s architect CAS Architects, Inc. (“Tenant’s Architect”), at Tenant’s sole cost and expense, has prepared a space plan of the Premises dated May 26, 2020, attached 

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hereto as Exhibit B (“Space Plan”) depicting the initial tenant improvements to be installed in the Premises by Tenant (the “Tenant Improvements”).  The Space Plan has been approved by Landlord and Tenant.

        (b) Working Drawings.  Tenant shall cause Tenant’s Architect to prepare the final architectural, mechanical (including heating, ventilating and air-conditioning), electrical, plumbing, and structural plans and specifications (“Working Drawings”) necessary to complete the Tenant Improvements, which Working Drawings shall be a natural extension of the Space Plan.
 
        Tenant also shall cause Tenant’s Architect to submit the finished Working Drawings to Landlord, and Landlord shall review the Working Drawings and grant its written approval or denial thereof within eight (8) business days after receipt thereof, which approval shall not be unreasonably withheld, conditioned, or delayed (provided in all events Landlord may withhold its consent to the Working Drawings to the extent the same adversely and materially affects the structural integrity of the Building or adversely and materially affects any Building system).  Landlord’s failure to respond within such eight (8) business- day period shall be deemed to mean that Landlord has approved the Working Drawings as submitted by Tenant.  To the extent Landlord does not provide its consent to the Working Drawings as aforesaid, Landlord shall state, with specificity, Landlord's reasons for such disapproval.  The foregoing process shall then be repeated until the Working Drawings are approved, or deemed approved, by Landlord; provided, however, Landlord’s comments shall be limited to any changes reasonably required by Landlord based on its initial review of the Working Drawings and not made by Tenant, as well as any changes required as a result of the changes made by Tenant which could not have been reasonably anticipated by Landlord at the time of making Landlord’s initial comments.

         Subsequent to Landlord's approval of the Working Drawings, any changes to the Working Drawings requested by Tenant shall be subject to the prior written consent of Landlord, which consent shall not be unreasonably withheld, conditioned, or delayed.

         Upon approval of the Working Drawings by Landlord, Tenant, at its sole cost and expense (subject to application of the Allowance (as defined below), shall file the same with the governmental agencies having jurisdiction over the Tenant Improvements.  Tenant shall furnish Landlord with copies of all documents submitted to said governmental agencies and copies of the authorizations to commence work and the permits for the Tenant Improvements issued by said governmental agencies.  Tenant shall be permitted to commence the Tenant Improvements without all required permits to the extent that governmental authorities with jurisdiction over the Tenant Improvements permit such work, provided that Tenant shall be obligated to obtain all required governmental authorizations for the Tenant Improvements and deliver copies thereof to Landlord. 

3. Tenant Improvements.  Tenant hereby agrees that the Tenant Improvements shall be completed by a general contractor (“General Contractor”) approved by Landlord, which approval shall not be unreasonably withheld, conditioned, or delayed.  Tenant hereby agrees to indemnify and hold Landlord harmless from and against any loss, cost, damage, liability or expense (including without limitation reasonable attorneys' fees and court costs) incurred by Landlord with respect to all of Tenant's obligations set forth in this Section 3.  Tenant hereby guarantees to Landlord that the Tenant Improvements shall be completed in a lien-free manner and in strict accordance with the Working Drawings and all applicable laws, permits and governmental approvals and with all required inspections during the course of construction, (it being acknowledged by Landlord and Tenant that the provisions of the Lease regarding the filing mechanics' liens against the Building by or through Tenant shall control with respect to mechanics' liens filed against the Project or Premises as a result of the Tenant Improvements).  Landlord shall be entitled to a fee, not to exceed Five Thousand and No/100 Dollars ($5,000.00), to reimburse Landlord for its reasonable, third party out-of-pocket costs incurred in connection with Landlord’s review of the Working Drawings. Such fee shall be paid to Landlord by 

- 47 –

Tenant within thirty (30) days following Tenant’s receipt of each of Landlord’s invoices therefor, or, at Tenant’s election, deducted from the Allowance (as defined below).

4. Access to Premises for Performance of the Tenant Improvements.  Landlord shall provide Tenant with access to the Premises for the purposes of commencing the Tenant Improvements pursuant to the provisions of Section 41 of the Lease, “Early Occupancy”.

5. Construction Allowance; Additional Allowance.  

        (a) Construction Allowance.  Landlord shall provide to Tenant a construction allowance, which shall be disbursed to Tenant as set forth in Section 6 below, in the amount of Twenty-Five and No/100 Dollars ($25.00) per rentable square foot of the Premises, or Two Million Two Hundred Thirty Three Thousand Four Hundred and No/100 Dollars ($2,233,400.00) (the “Allowance”), to apply to the cost of the Tenant Improvements and related construction costs, including without limitation the costs for permits, architect’s fees, and space planning fees (to the extent not made the obligation of Landlord hereunder).  Such Allowance shall only be available for Tenant’s use for a period of twelve (12) months, as that period may be extended by Excusable Delays, following the Early Entry Date and Tenant hereby waives any and all rights to any unused portion of the Allowance remaining as of such date.  For purposes of this Work Letter, if Tenant has submitted the required documentation for reimbursement from any unused portion of the Allowance by such date, any such remaining portion of the Allowance shall not be deemed unused.

        (b) Additional Allowance.  In addition, Landlord shall provide Tenant with an additional allowance in the amount of Ten and No/100 Dollars ($10.00) per rentable square foot of the Premises, of up to Eight Hundred Ninety-Three Thousand Three Hundred Sixty and 00/100 Dollars ($893,360.00) (the “Additional Allowance”), also to be applied to the cost of the Tenant Improvements and related construction costs.  Tenant shall have the right, from and after the Early Entry Date until the date upon which the Additional Allowance is exhausted, to request in writing all or any portion of the Additional Allowance, which Landlord shall deposit into Tenant’s designated bank account within five (5) business days after receipt of Tenant’s written request.  Landlord shall amortize the Additional Allowance paid to Tenant, together with interest at the rate of nine percent (9%) per annum, over the then remaining balance of Term of the Lease, and commencing on the later of the Commencement Date (as that date may be extended by Excusable Delays) and the first day of the calendar month following the calendar month in which the Additional Allowance was released to Tenant, Tenant shall reimburse to Landlord such amortized amount in equal monthly installments.

6. Disbursement of Allowance.  

        (a) Disbursement.  Landlord shall disburse the Allowance on a monthly draw basis, within twenty (20) days after Tenant submits a request for a specified amount (“Disbursement Amount”), along with a description of the specific portion of the Tenant Improvements that has been completed, together with affidavits and/or partial and/or full waivers of lien and certificates of all subcontractors and materialmen covering all work and materials furnished in connection with such portion of the Tenant Improvements that has been completed and such invoices, contracts, or other supporting data as Landlord may reasonably require, all in compliance with the construction and mechanics' lien Laws of the State of California (each, a “Payment Request”).  Provided Landlord receives and reasonably approves the foregoing described documentation, Landlord shall make a disbursement of the Allowance to Tenant in the Disbursement Amount within twenty (20) days of receipt of a Payment Request.  Upon the completion of the Tenant Improvements, Tenant shall deliver (i) a sworn statement to Landlord that the Tenant Improvements has been completed, (ii) an affidavit from 

- 48 –

Tenant or General Contractor listing all contractors and suppliers whom Tenant and Tenant’s contractors have contracted with in connection with the Tenant Improvements, and (iii) valid, unconditional final waivers of lien and certificates of all subcontractors and materialmen covering all work and materials furnished in connection with the Tenant Improvements and such invoices, contracts, or other supporting data as Landlord may reasonably require, all in compliance with the construction and mechanics' lien Laws of the State of California.  

        (b) Failure to Disburse.  If Landlord wrongfully fails to disburse any amount of the Allowance owing to Tenant pursuant to this Work Letter, then Tenant shall have the right to pay Tenant's General Contractor, Tenant's Architect and other agents for the Tenant Improvements, as the case may be, directly, in which event Landlord shall reimburse Tenant for the amount so paid within thirty (30) days after Tenant's submission to Landlord of receipted invoices therefor (accompanied by reasonable supporting documentation).  If Landlord fails to reimburse Tenant within such twenty (30) day period, then Tenant may withhold from future Base Rent due under the Lease the sum owed Tenant, until Tenant is reimbursed in full for the sum, plus interest thereon at the prime rate of Bank of America, plus two percent (2%).  Notwithstanding the foregoing, Tenant shall deliver notice to Landlord (and ground lessor, mortgagee or beneficiary of a deed of trust on the Property, of whom Tenant has been given written notice) a written notice of Tenant's intent to pay Tenant's Contractor, Tenant's Architect or other agents, as the case may be, directly as provided above at least ten (10) business days prior to making any such payment (which notice shall describe the basis on which Tenant asserts that Landlord has wrongfully failed to disburse such amount), and Landlord may deliver to Tenant a good faith written objection before the expiration of such ten (10) business day notice period, (a) setting forth with reasonable particularity Landlord's reasons for its claim that Landlord is not required to make the disbursement of the Allowance, and (b) submitting the dispute to binding arbitration in accordance with the remainder of this Section.  If Landlord properly objects and submits the dispute to arbitration in accordance with the preceding sentence, then Tenant shall not exercise such rights unless and until the arbitrator (as defined below) determines that Tenant has the right to exercise such rights.  All disputes to be arbitrated pursuant to this Section 5.C.a shall be determined by binding arbitration before JAMS in San Jose, California.  The arbitration shall be administered and conducted pursuant to the JAMS Streamlined Arbitration Rules & Procedures (the “Arbitration Rules”).  Unless the parties otherwise agree, the arbitrator must be a retired judge of the Superior Court of the State of California.

7. Utility Costs.  Tenant shall be responsible, from time to time, within thirty (30) days of receipt of written notice by Landlord, to pay to Landlord the costs of all utility services provided to the Premises during the construction of the Tenant Improvements.

8. Insurance.

(i) Tenant shall cause General Contractor to obtain, pay for and maintain insurance for the coverage and amounts of coverage not less than those set forth below in the Schedule of Insurance coverages (as hereinafter defined) and shall cause General Contractor to provide to Landlord certificates issued by insurance companies satisfactory to Landlord to evidence such coverages before any Tenant Improvements commences at the Premises.  To the extent available, such certificates shall provide that there shall be no termination, non-renewal, modification or expiration of such coverage without thirty (30) days prior written notice to Landlord.  In the event of any failure by Tenant to cause General Contractor to comply with the provisions of this Paragraph 8, Landlord may, at is option, upon notice to Tenant, suspend the Tenant Improvements until such time as there is full compliance with this Paragraph 8.  

(ii) Schedule of Insurance Coverages.  The following shall constitute the “Schedule of Insurance Coverage” :

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(a) Workers’ Compensation Insurance.  Coverage complying with the law of the State of California and Employer’s Liability insurance with a limit of $1,000,000.00 each accident, including without limitation occupational disease coverage with a limit of $1,000,000.00 per person subject to aggregate limit of $1,000,000.00 per annum.

(b) Comprehensive Automobile Liability Insurance.  $1,000,000.00 combined single limit of liability for bodily injuries, death and property damage resulting from any one occurrence, including without limitation allowed, hired and non-owned vehicles.

        (c) Commercial General Liability Insurance. A minimum limit of $2,000,000 per occurrence and $4,000,000 in the aggregate for property damage, personal injuries, or deaths of persons occurring in or about the Premises including without limitation the following coverages:

(1) Premises and Operations;

(2) Completed Operations for three (3) years after completion of the Tenant Improvements;

(3) Broad Form Comprehensive General Liability Endorsement, Personal Injury (with employment and contractual exclusions deleted) and Broad Form Property Damage Coverage;

(4) Independent Contractors; and 

(5) Delete Exclusions relative to Collapse, Explosion and Underground Property Damage Hazards;

(d) Builder’s Risk Insurance.  Tenant shall procure, pay for, and maintain all-risk builder’s risk insurance (or comparable form) for the full insurable value of all labor and materials incorporated into the construction of the Tenant Improvements, while at the construction site and/or staging area awaiting erection and during erection, until completion and acceptance.  Insurance is to cover real and personal property after it is received at the construction site and/or staging area but not while otherwise stored off-site or in transit.  The policy so purchased shall insure Landlord, Tenant, General Contractor, and all subcontractors, as their interest may appear, and shall be so written as to provide for reimbursement, in the event of claim for loss or damage, for the entire cost of repairing or replacing, reconditioning, or re-erecting the property lost or damaged with materials of similar kind and quality, including, but not by way of limitation, the cost of materials, labor, supervision, engineering and transportation.

(e) Miscellaneous.

(1) Any insured loss or claim of loss pursuant to this Paragraph 8 shall be adjusted by Landlord, and any settlement payments shall be made payable to Landlord as trustee for the insureds, as their 

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interest may appear, subject to the requirements of any applicable mortgages clause.  Upon the occurrence of an insured loss or claim of loss, monies received will be held by Landlord who shall make distribution in accordance with an agreement to be reached in such event between Landlord and Tenant.  If the parties are unable to agree between themselves on the settlement of the loss, such dispute shall be submitted to a court of competent jurisdiction to determine ownership of the disputed amounts but the Tenant Improvements shall nevertheless progress during any such period of dispute without prejudice to the rights of any party to the dispute.

(2) Landlord shall not insure or be responsible for any loss or damage to any property owned, rented or leased by General Contractor, all subcontractors, or their employees, servants or agents.

(f) Certificate of Insurance.  All certificates of insurance required to be delivered to Landlord as set forth herein from General Contractor or any subcontractor shall name Landlord as an additional insured as its interest may appear.

9. Substantial Completion; Commencement Date.  

(i) Determination of Substantial Completion.  Tenant shall diligently proceed with the construction of the Tenant Improvements and shall achieve Substantial Completion with respect to the Tenant Improvements on or before January 1, 2021, as such date may be extended by Landlord Delays or Excused Delays.  "Substantial Completion" shall be deemed to have occurred on the date upon which both of the following have occurred: (i) the Tenant Improvements are complete as certified by Tenant’s Architect, as the architect of record, in accordance (in all material respects) with the Working Drawings and governmental approvals and permits; and (ii) a temporary certificate of occupancy (or its local equivalent or other like governmental approval) permitting Tenant to legally occupy the Premises (the “TCO”) has been authorized for issuance.  Tenant shall take all necessary measures to obtain and deliver to Landlord a final certificate of occupancy within ninety (90) days after Substantial Completion.

(ii) Commencement Date.  As soon as Substantial Completion has been achieved, Tenant shall notify Landlord in writing (i) of the date of receipt of the TCO, (ii) that the Tenant Improvements are Substantially Complete as certified by Tenant’s Architect, in accordance (in all material respects) with the Working Drawings and permits.  Provided that Landlord has delivered the Premises to Tenant in the Required Condition, the “Commencement Date,” shall be the earlier of January 1, 2021, as such date may be extended by Landlord Delay or Excused Delays, or the date of Substantial Completion.  If Substantial Completion has occurred on or before January 1, 2020 but Landlord has not delivered the Premises to Tenant in the Required Condition, the Commencement Date shall be the date upon which Landlord has delivered the Premises to Tenant in the Required Condition.  The failure of Tenant to occupy the Premises as of the Commencement Date, as finally determined after the cessation of any Excused Delays and Landlord’s delivery of the Premises to Tenant in the Required Condition, shall not serve to relieve Tenant of obligations arising on the Commencement Date or to delay the payment by Tenant of Base Rent and other amounts due under this Lease.

(iii) Acceptance.  Tenant shall, within ten (10) business days after receipt of Landlord’s written demand, execute and deliver to Landlord a letter of acceptance of delivery of the 

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Premises and confirmation of the Commencement Date, as finally determined after the cessation of any Excused Delays and Landlord’s delivery of the Premises to Tenant in the Required Condition.  

(iv) Acknowledgement of Rent Commencement.  Tenant acknowledges that, as of the Commencement Date, as finally determined after the cessation of any Excused Delays and Landlord’s Delivery of the Premises in the Required Condition, Base Rent shall be paid pursuant to Paragraph 4 of the Lease.

(v) Landlord Delays.  For purposes of this Work Letter, “Landlord Delay” shall mean an actual delay resulting from (i) Landlord's failure to diligently commence and complete the Landlord’s Work; (ii) Landlord’s failure to approve or reasonably disapprove (pursuant to the terms of this Work Letter) any item requiring Landlord's approval or disapproval within the time period provided for such approval or disapproval in this Work Letter; and (iii) any material disruption to or unreasonable interference with the construction of the Tenant Improvements caused by Landlord's employees, agents or contractors. 

10. Project Representatives.  Landlord shall designate a party to serve as Landlord's representative, and Tenant shall designate a party to serve as Tenant's representative during the design and construction of the Landlord Work.  All communications between Landlord and Tenant relating to the design and construction of the Tenant Improvements shall be forwarded to or made by such party's representative.

11. Warranties. 

        (a) Limited Warranty of Building Systems. Commencing with the date of Landlord’s delivery of possession of the Premises to Tenant in the Required Condition, and continuing for the first  six (6) months of the Term of the Lease, Landlord warrants that the Building Systems and the Building Structure shall be in good working order and repair.  If, during the first six (6) months of the Term, any Building System or component of the Building Structure is not in the condition required by the foregoing sentence, Tenant shall notify Landlord of the need for repair, and the repair shall be completed at no cost to Tenant.  Notwithstanding the foregoing, in no event shall Landlord be responsible for any repair or replacement of the Building Systems to the extent that the same is a result of the negligence or willful misconduct of Tenant or Tenant’s employees, agents or contractors.

        (b) Warranty of the Landlord’s Work.  Within thirty (30) days after the Commencement Date, as finally determined after the passage of any Excused Delays and Landlord’s delivery of the Premises to Tenant in the required Condition, Tenant shall have the right to submit a written "punch list" to Landlord, setting forth any defective item of construction in the Landlord’s Work, and Landlord shall promptly cause such items to be corrected.  Notwithstanding anything to the contrary contained herein or in the Lease, Tenant's acceptance of the Premises or the submission of a "punch list" with respect to the Landlord's Work shall not be deemed a waiver of Tenant's right to have defects in the Landlord's Work or the Premises which are discovered by Tenant within twelve months after the Commencement Date, repaired at no cost to Tenant.  Tenant shall give notice to Landlord whenever any such defect becomes reasonably apparent during the six (6) month period, and Landlord shall repair such defect as soon as practicable.

        (c) Roof Warranty.  Notwithstanding the provisions of Section 11(b) above to the contrary with respect to the Landlord’s Work, Landlord, at no cost to Tenant, shall obtain from Landlord’s roofing contractor a twenty (20) year warranty on the new roof and membrane. 
EXHIBIT A  TO ADDENDUM 3

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O. R. H VA C
2036 Foxworthy Ave.
San Jose Ca. 95124
Lic. 1038149                                                                                                             May 13, 2020

Inspection report for: 44370 Christy Fremont Ca

AC 9 Carrier M: 48HJD012-671
S/N:3001G34330
Notes:
need to replace blower motor contractor, 4)20x20x2 air filters to replace, evaporator coil to be wash, condenser coil to get wash, access panels for blower motors and compressors have several extra screw hole which creates possible water leaks into building 
Belt: A-53 ok and it has a spare inside.
TOTAL COST: $910.00

AC 35 A Carrier M:48HJD017-691AA (15 ton)
S/N: 4301F19056
Notes: Compressor No. 1 out of order (10 ton compressor,  unit running on 1/3 of capacity), economizer filters are corroded and need to get replaced, blower motor contactor to replace(3 pole, 30 amp, 24V coil) need to add wood blocks for condensation drain line that are missing Air filters: 4)20x20x2 4)16x20x2 Belt: 1) BX48
Possible unit replacement.
TOTAL COST FOR UNIT REPLACEMENT: $42,000.00

AC 38 Trane M:YCD171C4 LBBB
S/N:631101638D
Notes: combustion blower motor not working, condenser fan motor No. 1 out of order with broken fan blade, need to wash condenser and evaporator coils. Unit under fair conditions.
Air Filters: 4)20x25x2, 2)20x20x2
Belt: BX-68
TOTAL COST: $2,150.00

AC-37 Carrier M:48HJD006-641
S/N: 4001G25044
Notes: disabled economizer and broken air filter.
Filters: 2)16x25x2
Belt: A-40
TOTAL COST: $1,660.00
 
AC 35 B Carrier
M:48HJD017-691AA
S/N:4201F17491
Notes: Circuit No. 1 without any refrigerant charge will need to find leak and repair and recharge with 20 lbs. of R-22. 

- 53 –

Also suspect a restriction on circuit No. 2, possible defective TXV.
Need to wash evaporator and condenser coils. 
Need economizer air filters (3) 20x20x1
Filters:416x20x1 4)20x20x1
Belt: B-48
TOTAL COST: $4,300.00

AC10 Carrier 
M:48HJD006-641
S/N:2901G25228
Notes: need to wash condenser coil, belt to replace. 
Filters: 2)16x25x2
Belt: A-38
TOTAL COST: $560.00

AC11 Carrier 
M:48HJD007-641
S/N:3001G22491
Notes: Need to wash condenser coil.
Filters:2)16x25x2
Belt: A-38
TOTAL COST: $351.00

AC 33 Carrier 
M:48HJD012-671AA
S/N:4101G34164
Notes: Bad condenser fan motor No.2, condensation drain outlet rounded out and broken P trap, filter access door broken without hinges, compressor access panel in very bad conditions with too many hole that doesn’t secure evenly on unit. Unit in bad shape.
Filters: 4)20x20x2
Belt:A-53
TOTAL COST: $1,875.00

AC 34 Carrier 
M38HJD012-671Aa
S/N: 4101G34165
Notes: Compressor No.2 Shorted to ground and need replacement. 
Need to wash condenser coil, filter access door broken hinges, economizer filter broken off. 
Filters: 4)20x20x2
Belt: A-53
TOTAL COST: $4,750.00

AC 36 Carrier
M:48HJD017-691AA
Notes: Stage number 2 locked out need to troubleshoot, blower motor shave to replace, need to wash condenser coil,
air filters for economizer needed (3), wood blocks for condensation drain (2)
Filters: 4) 20x20x2 4)16x20x2

- 54 –

Belt: B-48
TOTAL COST: $1,460.00
AC 7 Carrier
M: 42GX024040301
S/N: 0901G14543
Notes: induced draft blower motor not operating. 
Filters: 2)12 x20x1
TOTAL COST: $1,190.00

A/C 5 Carrier
M:48HJD008-631
S/N: 0300G30346
Notes: need to wash condenser coil. 
Air filters: 4)16x20x2
Belt: A-48
TOTAL COST: $560.00

AC 4 Carrier
M:48HJD007-631
S/N:3700G20240
Notes: economizer filter to get replaced. 
Air filters: 2)16x25x2
Belt: A-38 
TOTAL COST: $710.00

AC 8 Carrier
M:47GX-024040301
S/N: 3299G11135
Notes: need to wash condenser coil, economizer filter is broken, cooling cycle locked out by economizers actuator, air filters access door is broken by hinges.
Air filters: 2)12x20x2
TOTAL COST: $2,620.00

AC 36 B Carrier
M:48HJD017-691AA
S/N :4301F19054
Notes: circuit No. 1 (10 ton compressor) without refrigerant charge, need to search for leak, repair and recharge with 20 lbs of R-22. Unit is running on 1/3 of capacity. Need to wash condenser coil.
Air filters: 2)20x20x2 4)16x20x2
Belt: B-48
TOTAL COST: $2,100.00

AC 30 Carrier 
M:48HJD005-641
S/N 3401G22413
Notes: induced draft motor and capacitor to replace, condenser coil to wash.
Air filters: 2)17x25x2

- 55 –

Belt: A-36
TOTAL COST: $1,120.00

AC 23 A Carrier
M:48HJD025
S/N:3001F98995
Notes: condenser coil in bad shape (aluminum fins falling off) need replacement. 
Air filters: 4)20x20x2 4)16x20x2
Belt: B-50
TOTAL COST: $8,760.00

AC 6 Carrier
M:48HJD008-631
S/N 1600G30223
Notes: condenser coil to wash, heater down due to bad induced draft motor and capacitor.
Air filters: 4)16x20x2
Belt: A-48
TOTAL COST: $1,320.00

AC 3 Careier 
M:48HJD005-631
S/N:0601G24617
Notes: wash condenser coil.
Air filters: 2)16x15x2
Belt:A-36
TOTAL COST: $540.00

AC Server Room Carrier 
M: 50 HC-D17C7A6A6B0GO
S/N:2713P17164
Notes: CC1 & CC2 to get replaced (2 pole, 24 V, 30 amp), need to wash condenser coils. UNIT IN GOOD SHAPE.
Air filters: 6)20x25x2
Belt:1)BX-48
TOTAL COST: $985.00

AC 2 Carrier
M:48HJD005-631
S/N:0601G24622
Notes: condenser coil to wash, low refrigerant charge, on cooling cycle temperature differential too small.
Air filters:2)16x25x2
Belt:A-36
TOTAL COST: $825.00

AC 1 Carrier
M:50GS036-301
S/N: 6501G10801 Cooling only 

- 56 –

Notes: Need compressor contactor (2 pole )
Unit in poor conditions.
Air filters: 2)14x20x1
TOTAL COST: $395.00
AC 31 Carrier
M: 48HJD009-631
S/N:1301G34334
Notes: induced draft motor to replace
Condenser fan motor in very poor conditions, aluminum fins falling off, need replacement.
Belt: need spare A-48
Filters:4)16x20x2
TOTAL COST: $4,415.00

AC (not numbered) Carrier
M:48HJD025
S/N:3001F98996
Notes: condenser coil in bad conditions and lose on one end, screws missing 
Need blower motor sheave and belt.
Filters: 4)20x20x2 4)16x20x2
Belt: BX-48
TOTAL COST: $8,682.00

AC12 Carrier 
M:48HJD009-631
S/N:1801G33156
Notes: compressor No. 2 not running due the defective high and low pressure switches.
Need to wash condenser coil.
Economizer disabled and missing air filter, need to replace.
Need belt 1)A-48
Filters: 4)16x20x2
TOTAL COST: $2,695.00

MAU-6 heater/ swamp cooler combination Captive Air Systems
M:A1-D500-G10
Job#154012
Notes: Not operating, unit looks like it has been abandoned and could not find controls for it.
Washable air filters.
Belt: BX-44
NEED FURTHER INVESTIGATION.

AC28-B Carrier
M:48HJD017
S/N: 4101F15859
Notes: disabled heater, circuit board has a disconnected harness need to troubleshoot. It looks that this unit has been assigned for cooling only.  
Condenser coil to wash.
Air filters: 4)20x20x2 4)16x20x2
Belt: B-48

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NTE COST: $1,480.00

Trane Split system 
M:2TTA0060A4000AA
S/N:402585P3F 
Air Handler Climate Changer
M:X1D397A
Air filter: bag filter type 24x24x12”
Notes: condenser has different type of controlling devices and temperature sensors. Need to add an independent thermostat to cycle system under normal conditions.
System also has heating strips inside ductwork. 
Belt: 1)B-47
TOTAL COST: $1,760.00

Heater -1 Modine Manufacturing Co.
M:HFG100AMRLN40F2
S/N:1014801-0214
Notes: heater has an attached condensing unit (4 ton) both pieces of equipment operate normally. Both units are old and rusted especially heater has a very large amount of rust on the top panels.
Possible water leaks. Units to get replaced.
Belt: A-38
Air filters: 4)16x25x2
TOTAL COST: $18,880.00

AC 13 Carrier
M:48HJD008-641
S/N:3101G33089
Notes: compressor number 2 not running due to a lock out from high and low pressure switches.
Need to replace compressor contactor number one (2 pole)
Inducer motor out of order on heater.
Need to wash condenser coil.
Air filters: 4)16x20x2
Belt: A-48
TOTAL COST:2,240.00

AC 14 Carrier
M:48HJD006-641
S/N:2901G25233
Notes: need to replace blower motor sheave.
Need to wash condenser coil.
Air filters: 2)16x25x2
Belt: A-38
TOTAL COST: $1,250.00

AC18-A Carrier 
M: 38HJD017-691AA
S/N:4301F18998
Notes: bad inducer blower motor.

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Compressors 1 & 2 locked out due to high and low pressure switches, both circuits are charged and pressurized.
Need to replace blower motor sheave.
Filters: 4)20x20x2 4)16x20x2
Belt: BX-48
TOTAL COST: $1,820.00
AC 29 Carrier
M:48HJD006-841
S/N:3401G22420
Notes: Inducer motor for heater out of order.
Condenser coil needs to get washed.
Air filters: 2)16x25x1
Belt:A-38
TOTAL COST: $1,345.00

AC without number abandoned Carrier
M:48HJE009-S-631
S/N:1401G30242
Notes: it looks like they have been taking parts out of unit.
Curb cover next to unit. Remove unit off roof and disposal and cover curb.
TOTAL COST: $2,340.00

AC 24 Carrier
M:48HJD009-631
S/N:1201G30251
Notes: main circuit bard failed to start up burners for heater.
Poor subcooling over all due to the condenser coil that’s in very bad shape and aluminum fins falling off, recommend replacing coil.
Air filters: 4)16x20x2
Belt: A-48
TOTAL COST: $6,160.00

AC 22 Carrier
M:48HJD0005-641
S/N:3401G22419
Notes: need to wash condenser coil.
Economizer missing components and air filter. Need a new one.
Air filters: 2)16x25x2
Belt:A-36
TOTAL COST: $2,780.00

AC 15 Carrier
M:48HJD007-641
S/N: 3001G22488
Notes need to wash condenser coil, replace belt.
Air filters: 2)16x25x2
Belt: A-40
TOTAL COST: $560.00

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AC 16 Carrier 
M:48HJD007-641
S/N:3001G22489
Notes: unit in fair conditions, need to replace belt.
Air filters: 2)16x25x2
Belt: A-38
TOTAL COST: $410.00

AC 17 Carrier
M: 48HJD006-641
S/N:2901G25226
Notes: unit runs too noisy due to blower wheel out of balance, need to get replaced.
Air filters: 2)16x25x2
Belt: A-40
TOTAL COST: $1,630.00

AC 23 Carrier
M:48HJD007–641
S/N:3201G24499
Notes: Blower motor has open windings.
No refrigerant charge, no visible leak found.
Control wires disconnected.
Disabled economizer. 
Recommend replacing unit.
Air filters: 2)16x25x2
Belt: A-36 not correct belt size inside.
TOTAL COST: $18,542.00
 
AC 20 Carrier
M:48HJD006-641
S/N:4001G25035
Notes: need to wash condenser coil.
Air filters:2)16x25x2
Belt: A-40
TOTAL COST: $560.00

AC 21 York 
M:ZXG12D4B1AA1A111A1
S/N: N1E4714315
Notes: circuit number one tripped on high head pressure, recommend replacing switch and wash condenser coil. 
Unit used for cooling only, there’s no gas connection to it.
Air filters: 4)20x20x2
Belt: A-50
TOTAL COST: $1,410.00

AC 18 Carrier

- 60 –

M:48HJD007-641
S/N: 3001G22487
Notes: unit running ok under fair conditions.
Air filters:2)16x25x2
Belt: A-38
TOTAL COST: $385.00

AC 19 Carrier
M:48HJD006-641
S/N:2901G2522
Notes: induced fan motor out of order, heater out.
Condenser coils aluminum fins falling off by control panel. 
Economizer disabled. Need to replace unit.
Air filters:2)16x25x2
Belt: A-40
TOTAL COST: $18,542.00
 
Sanyo Mini-split No. 1
M:C3632
Notes: System low in refrigerant charge, need to find leak and recharge.
Total cost: $1,320.00

Sanyo Mini-split No.2
M:C3632
Notes: cooling only running ok.
Serial numbers not legible.
Indoor units

This is only to repair air conditioning equipment. Specifically Excluded: Permits and Associated Fees, Mechanical Engineering, Design Drawings, Structural Engineering and Fire Safety Wiring 
One year warranty on parts and labor. Five years on compressor only.
 NOTE:  Overall inspection on exhaust systems, building is currently  running on a very large amount of negative static pressure due to 7 big exhaust fans vs.  3 big swamp coolers as of make up air into the whole building. 
Make up air is needed to compensate conditions of air balance, not to mention the rest of smaller exhaust fans running all at once or when needed.
Mechanical calculations are needed to prevent future problems.

Oscar Rojas.
EXHIBIT B to ADDENDUM 3

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(see attached)

- 62 –

ADDENDUM 4

MOVE-OUT CONDITIONS

ATTACHED TO AND A PART OF THE LEASE 
DATED JUNE _____, 2020 BETWEEN

DPIF2 CA 20 CHRISTY STREET, LLC
and

BLOOM ENERGY CORPORATION

Per Paragraph 21 of the Lease, Tenant is obligated to check and address prior to move-out of the Premises the following items. Landlord expects to receive, and Tenant must deliver, the Premises broom clean and in the same condition as received by Tenant, subject to the exceptions listed in Paragraph 21 of the Lease.  The following list is designed to assist Tenant in the move-out procedures but is not intended to be all inclusive.

1. All lighting must be placed into good working order. This includes replacement of bulbs, ballasts, and lenses as needed.

2. All truck doors and dock levelers must be serviced and placed in good operating order.  This includes without limitation the necessary replacement of any dented truck door panels and adjustment of door tension to insure proper operation.  All door panels which are replaced must be painted to match the Building standard.

3.All structural steel columns in the warehouse and office will be inspected by Landlord for damage.  If Landlord reasonably determines that there has been damage caused by Tenant, its agents, employees or contractors, Landlord shall hire a structural engineer to inspect such columns. If the structural engineer determines that repairs are required and that the repairs arise out of the negligence or willful misconduct of Tenant, Tenant shall make such repairs with a contractor reasonably approved by Landlord prior to commencement to the repair work.

4. Heating/air-conditioning systems must be placed in good working order, including without limitation the necessary replacement of any parts to return the unit to a well-maintained condition.  This includes without limitation warehouse heaters and exhaust fans. Upon move-out, Landlord will have an exit inspection performed by a certified mechanical contractor to determine the condition.

5. All holes in the sheet rock walls must be repaired prior to move-out.

6. The carpets and vinyl tiles must be in a clean condition and shall not have any holes or chips in them.  Landlord will accept normal wear on these items provided they appear to be in a maintained condition.

7. Facilities shall be returned in a clean condition which shall include without limitation cleaning of the coffee bar, restroom areas, windows, and other portions of the space.

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8. The warehouse must be in broom clean condition with all inventory and racking removed.  There shall be no protrusion of anchors from the warehouse floor and all holes must be appropriately patched.  If machinery/equipment is removed, the electrical lines must be properly terminated at the nearest junction box.

9. All exterior windows with cracks or breakage must be replaced, unless cracks or breakage was caused by Landlord.

10.  The Tenant shall provide keys for all locks on the Premises, including front doors, rear doors, and interior doors.

11. Items that have been added by the Tenant and affixed to the Building shall remain the property of Landlord, unless agreed otherwise.  This shall include but is not limited to mini-blinds, air conditioners, electrical, water heaters, cabinets, flooring, etc.  Please note that if modifications have been made to the space, such as the addition of office areas, Landlord retains the right to have the Tenant remove these at Tenant’s expense, subject to the provisions of Paragraph 12 of the Lease.

12. All electrical systems must be left in a safe condition that conforms to code. Bare wires and dangerous installations must be corrected prior to move-out.

13. All plumbing fixtures must be in good working order, including without limitation the water heater. Faucets and toilets must not leak.

14. All dock bumpers must be left in place and well secured.

15.  The concrete slab must be free of embedded items (such as rails, metal plates, etc.) and repaired: such embedded items shall be removed and the resulting depression/hole filled with an appropriate epoxy resin; provided however, that anchor bolts shall be either (i) completely removed or (ii) cut down to a minimum of 1⁄4” below the top of the slab, with the resulting depression/hole caused by the actions identified in clauses (i) and (ii) filled with an appropriate epoxy resin.

ADDENDUM 5

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RENEWAL OPTIONS

ATTACHED TO AND A PART OF THE LEASE 
DATED JUNE _____, 2020 BETWEEN

DPIF2 CA 20 CHRISTY STREET, LLC
and
BLOOM ENERGY CORPORATION

(a)Provided that as of the time of the giving of the Extension Notice and the Commencement Date of the Extension Term (as such terms are defined below), (x) Tenant is the Tenant originally named herein, or is a Permitted Transferee, (y) Tenant or a Permitted Transferee actually occupies all of the Premises initially demised under this Lease and any space added to the Premises, and (z) no Event of Default exists, or would exist but for the passage of time or the giving of notice, or both; then Tenant shall have the right to extend the Lease Term for an additional term of five (5) years (such additional term is hereinafter called the "First Extension Term") commencing on the day following the expiration of the Lease Term (hereinafter referred to as the "Commencement Date of the First Extension Term").  Tenant must give Landlord written notice (hereinafter called the "First Extension Notice") of its election to extend the term of the Lease Term at least nine (9) months, but not more than twelve (12) months, prior to the scheduled expiration date of the Lease Term.

(b)   Provided that as of the time of the giving of the Second Extension Notice and the Commencement Date of the Second Extension Term(as such terms are defined below), (x) Tenant is the Tenant originally named herein, or is a Permitted Transfer, (y) Tenant or a Permitted Transferee actually occupies all of the Premises initially demised under this Lease and any space added to the Premises, and (z) no Event of Default exists or would exist but for the passage of time or the giving of notice, or both and provided Tenant has exercised its option for the First Extension Term; then Tenant shall have the right to extend the Lease Term for an additional term of five (5) years (such additional term is hereinafter called the "Second Extension Term") commencing on the day following the expiration of the First Extension Term (hereinafter referred to as the "Commencement Date of the Second Extension Term").  Tenant shall give Landlord written notice (hereinafter called the "Second Extension Notice") of its election to extend the term of the Lease Term at least nine (9) months, but not more than twelve (12) months, prior to the scheduled expiration date of the First Extension Term.

(c)The Base Rent payable by Tenant to Landlord during the First Extension Term shall be the Fair Market Rent, as defined and determined pursuant to Paragraph (e) below.

(d)       The Base Rent payable by Tenant to Landlord during the Second Extension Term shall be the 
the Fair Market Rent, as defined and determined pursuant to Paragraph (e) below.

(e)The term "Fair Market Rent" shall mean the Base Rent, expressed as an annual rent per square foot of floor area, which Landlord would have received from leasing the Premises (based on recent comparable transaction in the market where the Building is located) for the Extension Term to an unaffiliated person which is not then a tenant in the Building, assuming that such space were to be delivered in "as-is" condition, and taking into account the rental which such other tenant would most likely have paid for such premises, including market escalations.  Fair Market Rent shall not be reduced by reason of any costs or expenses saved by Landlord by reason of Landlord's not having to find a new tenant for the Premises (including without limitation brokerage commissions, cost of improvements 

- 65 –

necessary to prepare the space for such tenant's occupancy, rent concession, or lost rental income during any vacancy period).  Fair Market Rent means only the rent component defined as Base Rent in the Lease and does not include reimbursements and payments by Tenant to Landlord with respect to operating expenses and other items payable or reimbursable by Tenant under the Lease.  In addition to its obligation to pay Base Rent (as determined herein), Tenant shall continue to pay and reimburse Landlord as set forth in the Lease with respect to such operating expenses and other items with respect to the Premises during the Extension Term.  The arbitration process described below shall be limited to the determination of the Base Rent and shall not affect or otherwise reduce or modify the Tenant's obligation to pay or reimburse Landlord for such operating expenses and other reimbursable items.

(f)Within thirty (30) days of receipt of Tenant’s First Extension Notice or Tenant’s Second Extension Notice, Landlord shall notify Tenant of its good faith determination, taking into consideration the factors listed in the previous paragraph, of the Fair Market Rent, without reference to the Base Rent payable by Tenant during the last year of the initial Lease Term or the last year of the First Extension Term, as applicable. Tenant shall advise Landlord of any objection within ten (10) business days of receipt of Landlord's notice.  Failure to respond within the ten (10) day period shall constitute Tenant's rejection of such Fair Market Rent.  If Tenant objects or is deemed to have objected, Landlord and Tenant shall commence negotiations to attempt to agree upon the Fair Market Rent within thirty (30) days following Landlord's receipt of Tenant's notice.  If the parties cannot agree, each acting in good faith, then the arbitration procedure provided below shall determine the Fair Market Rent.

(g)Arbitration to determine the Fair Market Rent shall be in accordance with the Real Estate Valuation Arbitration Rules of the American Arbitration Association.  Unless otherwise required by state law, arbitration shall be conducted in the metropolitan area where the Building is located by a single arbitrator unaffiliated with either party.  Either party may elect to arbitrate by sending written notice to the other party and the Regional Office of the American Arbitration Association within five (5) days after the thirty (30) day negotiating period provided in Paragraph (d), invoking the binding arbitration provisions of this paragraph.  Within ten (10) business days of receipt of the identity of the arbitrator, Landlord and Tenant shall each submit to the arbitrator their respective proposal of Fair Market Rent.  The arbitrator must choose between the Landlord's proposal and the Tenant's proposal and may not compromise between the two or select some other amount.  The cost of the arbitration shall be paid by Landlord if the Fair Market Rent is that proposed by Tenant and by Tenant if the Fair Market Rent is that proposed by Landlord; and shall be borne equally otherwise.  If the arbitrator has not determined the Fair Market Rent as of the end of the Lease Term, Tenant shall pay one hundred five percent (105%) of the Base Rent in effect under the Lease as of the end of the Lease Term until the Fair Market Rent is determined as provided herein. Upon such determination, Landlord and Tenant shall make the appropriate adjustments to the payments between them.

(h)The parties consent to the jurisdiction of any appropriate court to enforce the arbitration provisions of this Addendum and to enter judgment upon the decision of the arbitrator.

(i)Except for the Base Rent as determined above, Tenant's occupancy of the Premises during the First Extension Term and Second Extension Terms shall be on the same terms and conditions as are in effect immediately prior to the expiration of the initial Lease Term or the First Extension Term; provided, however, Tenant shall have no further right to extend the Lease Term pursuant to this addendum or to any allowances, credits or abatements or options to expand, contract, renew or extend the Lease.

(j)If Tenant does not send the First Extension Notice within the period set forth in Paragraph (a), Tenant's right to extend the Lease Term for the First Extension Term and Second Extension Term shall automatically terminate.  If Tenant does not give the Second Extension Notice 

- 66 –

within the period set forth in paragraph (b) above, Tenant's right to extend the Lease Term for the Second Extension Term shall automatically terminate.  Time is of the essence as to the giving of the First Extension Notice and Second Extension Notice and the notice of Tenant’s objection under Paragraph (d).

(k)Landlord shall have no obligation to refurbish or otherwise improve the Premises for the First Extension Term and the Second Extension Term.  The Premises shall be tendered on the Commencement Date of the First Extension Term and the Commencement Date of the Second Extension Term in "as-is" condition.

(l)If the Lease is extended for the First Extension Term and the Second Extension Term, then Landlord shall prepare and Tenant shall execute an amendment to the Lease confirming the extension of the Lease Term and the other provisions applicable thereto.

(m)If Tenant exercises its right to extend the term of the Lease for the First Extension Term or Second Extension Term pursuant to this Addendum, the term "Lease Term" as used in the Lease, shall be construed to include, when practicable, such Extension Term except as provided in Paragraph (j) above.

        (n)        The determination of Base Rent does not reduce the Tenant's obligation to pay or reimburse Landlord for Operating Expenses and other reimbursable items as set forth in the Lease, and Tenant shall reimburse and pay Landlord as set forth in the Lease with respect to such Operating Expenses and other items with respect to the Premises during such Extension Term.

- 67 –

ADDENDUM 6
FORM OF LETTER OF CREDIT
        
        ATTACHED TO AND A PART OF THE LEASE
        DATED JUNE _____, 2020 BETWEEN

        DPIF2 CA 20 CHRISTY STREET, LLC
        and
        BLOOM ENERGY CORPORATION
        
        (see attached)

- 68 –Document

REDACTED EXHIBIT: This Exhibit contains certain identified information that has been excluded because it is both (i) not material and (ii) would be competitively harmful if publicly disclosed. Redacted information is identified by [***].
         Execution Version

			
	

AMENDED AND RESTATED PURCHASE, USE AND MAINTENANCE AGREEMENT
between
BLOOM ENERGY CORPORATION
as Seller
and
2018 ESA PROJECT COMPANY, LLC
as Buyer
dated as of June 30, 2020

TABLE OF CONTENTS
Page

						
	ARTICLE I DEFINITIONS
	1

	Section 1.1 Definitions
	1

	Section 1.2 Other Definitional Provisions.
	1

	ARTICLE II PURCHASE AND SALE
	1

	Section 2.1 Appointment of Seller
	1

	Section 2.2 Purchase Orders
	1

	Section 2.3 Invoicing of Purchase Price
	1

	Section 2.4 Payment of Purchase Price
	1

	Section 2.5 Purchase and Sale of Facilities
	1

	Section 2.6 Purchase Price Adjustment for Portfolio Price Changes.
	1

	Section 2.7 Purchase Price
	1

	Section 2.8 Spare Parts.
	1

	Section 2.9 Non-Scheduled Facilities.
	1

	Section 2.10 Standby Facilities.
	1

	Section 2.11 Commencement of Operations Date Deadline.
	1

	Section 2.12 [***] ESA Fuel Cell Capacity Tag Charges
	1

	ARTICLE III DELIVERY AND INSTALLATION OF FACILITIES AND OTHER WORK
	1

	Section 3.1 Access to Site
	1

	Section 3.2 Delivery; Title; Risk of Loss
	1

	Section 3.3 Pre-COO Equipment Warranty
	1

	Section 3.4 Installation Services
	1

	Section 3.5 Insurance
	1

	Section 3.6 Right of First Refusal
	1

	Section 3.7 Third Party Warranties
	1

	Section 3.8 Access; Cooperation
	1

	Section 3.9 Performance Standards
	1

	ARTICLE IV FACILITY SERVICES AND OTHER WORK
	1

	Section 4.1 In General
	1

	Section 4.2 Operation and Maintenance Services
	1

	Section 4.3 Service Fees
	1

	Section 4.4 Remote Monitoring; BloomConnect
	1

	Section 4.5 Permits
	1

	Section 4.6 Coordination of Relationship
	1

	Section 4.7 Relocation or Removals of Facilities or Power Modules Within Portfolio Pursuant to ESAs
	1

	Section 4.8 Remarketing and Redeployment
	1

	Section 4.9 Calculation of Indexed ESA Tolling Rates
	1

	Section 4.10 Repurchase and Remove
	1

	Section 4.11 Plans Regarding Fuel, Tariff Compliance and Mitigation.
	1

	ARTICLE V WARRANTIES
	1

	Section 5.1 Facility Services Warranty
	1

1
732259453 19618353

						
	Section 5.2 Performance Guaranty
	1

	Section 5.3 Efficiency Warranty
	1

	Section 5.4 Performance Warranty
	1

	Section 5.5 Portfolio Warranty
	1

	Section 5.6 Exclusions
	1

	Section 5.7 Efficiency Warranty, Performance Warranty and Portfolio Warranty Claims.
	1

	Section 5.8 Indemnification Regarding Performance Under ESAs.
	1

	Section 5.9 Disclaimers
	1

	Section 5.10 Title
	1

	ARTICLE VI RECORDS AND AUDITS
	1

	Section 6.1 Record-Keeping Documentation; Audit Rights.
	1

	Section 6.2 Reports; Other Information
	1

	ARTICLE VII DATA ACCESS
	1

	Section 7.1 Access to Data and Meters
	1

	ARTICLE VIII REPRESENTATIONS AND WARRANTIES OF SELLER
	1

	Section 8.1 Representations and Warranties of Seller
	1

	Section 8.2 Survival Period
	1

	ARTICLE IX REPRESENTATIONS AND WARRANTIES OF BUYER
	1

	Section 9.1 Representations and Warranties of Buyer
	1

	Section 9.2 Survival Period
	1

	ARTICLE X CONFIDENTIALITY
	1

	Section 10.1 Confidential Information
	1

	Section 10.2 Restricted Access.
	1

	Section 10.3 Permitted Disclosures.
	1

	Section 10.4 Communication with ESA Customers
	1

	ARTICLE XI LICENSE AND OWNERSHIP; SOFTWARE
	1

	Section 11.1 IP License to Use
	1

	Section 11.2 Grant of Third Party Software License
	1

	Section 11.3 No Software Warranty
	1

	Section 11.4 Effect on Licenses
	1

	Section 11.5 IP Related Covenants
	1

	Section 11.6 Representations and Warranties
	1

	ARTICLE XII EVENTS OF DEFAULT AND TERMINATION
	1

	Section 12.1 Seller Default
	1

	Section 12.2 Buyer Default
	1

	Section 12.3 Buyer’s Remedies upon Occurrence of a Seller Default
	1

	Section 12.4 Seller’s Remedies Upon Occurrence of a Buyer Default
	1

	Section 12.5 Preservation of Rights
	1

	Section 12.6 Force Majeure
	1

	Section 12.7 Termination of ESAs Following Placed in Service Date; ESA Customer Purchase Options.
	1

TABLE OF CONTENTS
Page

						
	Section 12.8 Termination of ESAs Prior to Placed in Service Date
	1

	Section 12.9 Change in Law
	1

	ARTICLE XIII INDEMNIFICATION
	1

	Section 13.1 IP Indemnity
	1

	Section 13.2 General Indemnification of Seller by Buyer
	1

	Section 13.3 General Indemnification of Buyer by Seller.
	1

	Section 13.4 Tax Indemnification of Buyer by Seller.
	1

	Section 13.5 Indemnity Claims Procedure.
	1

	Section 13.6 Limitation of Liability.
	1

	Section 13.7 Liquidated Damages; Estoppel
	1

	Section 13.8 Duplication of Recovery
	1

	Section 13.9 Indemnification Obligations Net of Insurance Proceeds
	1

	Section 13.10 Survival
	1

	ARTICLE XIV MISCELLANEOUS PROVISIONS
	1

	Section 14.1 Amendment and Modification
	1

	Section 14.2 Waiver of Compliance; Consents
	1

	Section 14.3 Notices
	1

	Section 14.4 Assignment
	1

	Section 14.5 Dispute Resolution; Service of Process.
	1

	Section 14.6 Governing Law, Jurisdiction, Venue
	1

	Section 14.7 Counterparts
	1

	Section 14.8 Interpretation
	1

	Section 14.9 Entire Agreement; Ratification
	1

	Section 14.10 Construction of Agreement
	1

	Section 14.11 Severability
	1

	Section 14.12 Further Assurances
	1

	Section 14.13 Independent Contractor; Subcontracting
	1

	Section 14.14 Service Providers
	1

	Section 14.15 Rights to Deliverables
	1

	Section 14.16 Limitation on Export
	1

	Section 14.17 Time of Essence
	1

	Section 14.18 No Rights in Third Parties
	1

	Section 14.19 Non-Recourse
	1

3
732259453 19618353

ANNEXES
Annex A Minimum Power Product and Minimum kWh Example Calculations
Annex B Insurance
EXHIBIT
Exhibit A Form of Purchase Order
Exhibit B Form of Tranche Notice
Exhibit C Form of Project Information Spreadsheet
Exhibit D Form of Certificate of Deposit Milestone Completion
Exhibit E Form of Certificate of Delivery Milestone Completion
Exhibit F Form of Certificate of COO
Exhibit G Form of Bill of Sale
Exhibit H Form of Payment Notice
Exhibit I Form of Event Log
Exhibit J Form of an IE Certificate
Exhibit K Form of Standby Facility Assignment Agreement
Exhibit L Form of Late Facility Payments Calculation
Exhibit M Form of Liquidity Certificate
SCHEDULES
Schedule 1   Portfolio Master Schedule 
Schedule 1.1   Tax Equity Items
Schedule 1.2   Example calculation of Repurchase Value
Schedule 2.3   Purchase Price Adders
Schedule 2.5   Delivery Milestone Deliverables and COO Milestone Deliverables
Schedule 2.10   Standby Facilities
Schedule 3.3(1)  Specifications for Bloom Systems and Battery Solution
Schedule 3.4(1)(iii)   Design and Installations Procedures
Schedule 3.4(1)(v)  Commissioning Procedures
Schedule 3.4(1)(xv)  Seller Deliverables
Schedule 3.9   Seller Corporate Safety Plan
Schedule 4.2   Operations and Maintenance Procedures.
Schedule 4.3(1)  Service Fees and Service Fee Adders
Schedule 4.6   Parties’ Managers
Schedule 14.4 Competitors of Seller and Non-Competitors of Seller

AMENDED AND RESTATED  PURCHASE, USE AND MAINTENANCE AGREEMENT
This AMENDED AND RESTATED  PURCHASE, USE AND MAINTENANCE AGREEMENT (this “Agreement”), dated as of June 30, 2020 (the “Agreement Date”), is entered into by and between BLOOM ENERGY CORPORATION, a Delaware corporation (“Seller”), and 2018 ESA Project Company, LLC, a Delaware limited liability company (“Buyer”). Seller and Buyer are referred to in this Agreement individually, as a “Party” and, collectively, as the “Parties”.
RECITALS
WHEREAS, Seller is in the business of designing, engineering, constructing, commissioning, selling, operating, and maintaining on-site solid oxide fuel cell power generating Facilities comprised of Bloom Systems, BOF and, where applicable, Ancillary Equipment;
WHEREAS, Buyer is a company formed for the purpose of purchasing and owning Facilities for use in generation of electricity and provision of related services to ESA Customers pursuant to ESAs;
WHEREAS, Buyer desires to purchase, and Seller desires to sell, Facilities to be developed, designed, engineered, procured, constructed, and commissioned in connection with such ESAs, all on a turnkey basis pursuant to the terms and conditions of this Agreement; and
WHEREAS, Buyer desires to engage Seller to provide certain operations and maintenance services to the Facilities, and Seller desires to provide such operations and maintenance services, all in accordance with the terms and conditions of this Agreement;
WHEREAS, in connection with the foregoing,  Buyer and Seller entered into the Purchase, Use and Maintenance Agreement, dated as of June 28, 2019, as amended by the First Amendment to Purchase, Use and Maintenance Agreement, dated as of November 22, 2019, as amended by the Second Amendment to Purchase, Use and Maintenance Agreement, dated as of December 30, 2019, as amended by the Third Amendment to Purchase, Use and Maintenance  Agreement, dated as of March 23, 2020, and as supplemented by the Consent and Waiver Under Purchase, Use and Maintenance Agreement, dated as of April 30, 2020, and by the Consent Under Purchase, Use, and Maintenance Agreement, dated as of June 12, 2020 (the “Second PUMA Consent”) (as so amended and supplemented, the “Original PUMA”);
WHEREAS, Buyer and Seller desire to amend and restate the Original PUMA as set forth herein;
NOW, THEREFORE, in consideration of the mutual covenants, representations, warranties and agreements hereinafter set forth, and intending to be legally bound hereby, the Parties agree as follows:
AGREEMENT
732259453 19618353

ARTICLE I.
DEFINITIONS
Section i.Definitions
.  As used in this Agreement, capitalized terms not otherwise defined shall have the meanings set forth below:
1.“2020 Facilities Assignment” is defined in Section 2.11(3).
2.“Actual kWh” means (a) with respect to any Facility, the actual electricity output in kWh produced by such Facility and measured by the Facility Meter, and (b) subject to adjustment for meter defects pursuant to an ESA, where appropriate in the context of this Agreement, aggregated together with the actual energy output of other Facilities.
3. “Additional Invoice Due Date” means any Business Day, not to occur more than one time per Calendar Quarter.
4.“Adjustment Quarter” is defined in Section 2.6(1).
5.“Administrative Services Agreement” means the Administrative Services Agreement, dated as of June 28, 2019, as amended from time to time.
6.“Affected Party” is defined in Section 12.6(1).
7.“Affiliate” of any Person means a Person that directly, or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, the Person specified, provided that notwithstanding anything in this Agreement to the contrary, Seller is not an Affiliate of Buyer and no ESA Customer is an Affiliate of Buyer or Seller. For purposes of this Agreement, the direct or indirect ownership of over fifty percent (50%) of the outstanding voting securities of an entity, or the right to receive over fifty percent (50%) of the profits or earnings of an entity shall be deemed to constitute control. Such other relationships as in fact results in actual control over the management, business and affairs of an entity, shall also be deemed to constitute control.
8.“After-Tax Basis” means, with respect to any payment to be actually or constructively received, the amount of such payment (the “base payment”) and any further payment (the “additional payment”) to such recipient so that the sum of the base payment plus the additional payment shall, after deduction of the amount of all federal income taxes required to be paid by such recipient in respect of the receipt or accrual of the base payment and the additional payment, using an assumed rate equal to the Corporate Tax Rate (and ignoring state and local taxes), taking into account any federal income tax savings realized by the recipient as a result of the event giving rise to the payment, using an assumed rate equal to the Corporate Tax Rate, equals the amount required to be received.

9.“Aggregate Purchase Price” means, with respect to a given Facility, the sum of (i) the Purchase Price of such Facility, (ii) the Purchase Price Adders, if any, of such Facility,  and (iii) any Taxes due and payable pursuant to Section 2.3(3) for such Facility, in each case as adjusted under Section 2.6.
10.“Agreement” is defined in the preamble.
11.“Agreement Date” is defined in the preamble.
12.“Agreement Date Consent” means that certain Purchase, Use and Maintenance Agreement Consent, by and between Buyer and Seller, dated as of the Agreement Date.
13.“[***] Equipment” means “Customer Equipment” as defined in the [***] ESA.
“[***] ESA” means the Master Energy Services Agreement, dated December 20, 2018, by and between Buyer, as assignee of 2017 Fuel Cell Operating Company I, LLC, and [***], a Delaware limited liability company, as amended by the Omnibus Amendment, dated as of August 27, 2019, together with any applicable “Statements of Work” (as defined therein).
14.“Ancillary Equipment” means certain ancillary equipment installed in connection with a Bloom System pursuant to the design thereof, to allow such Facility to perform in accordance with the requirements of the applicable ESA. “Ancillary Equipment” may include, by way of example and without limitation, AOMs, Battery Solutions, Low-Pressure Gas Boosters, UPMs, and similar equipment. For the avoidance of doubt, “Ancillary Equipment” includes any Delayed Ancillary Equipment.
15.“Anti-Corruption Laws” means: (a) the U.S. Foreign Corrupt Practices Act of 1977, as amended; (b) the U.K. Bribery Act 2010, as amended; and (c) any other anti-bribery or anti-corruption laws, regulations or ordinances in any jurisdiction in which the Seller or its Affiliates is located or doing business.
16.“Anti-Money Laundering Laws” means applicable laws or regulations in any jurisdiction in which Seller is located or doing business that relates to money laundering, drug trafficking, terrorism financing, any predicate crimes to money laundering, or any financial record keeping, and reporting requirements related thereto.
17.“AOM” means an auxiliary output module, to be included in certain of the Facilities.
18.“Appraisal” means the appraisal of the fair market value of a Facility including a cost segregation report prepared by the Appraiser allocating the Buyer’s basis in the Facility among the assets of the Facility.
19.“Appraisal Procedure” means within fifteen (15) days of a Party invoking the procedure described in this definition Buyer and Seller shall engage a Qualified Appraiser, mutually 
3

acceptable to them, to conclusively determine within fifteen (15) days after appointment the Fair Market Value of a Facility.
20.“Appraiser” means Marshall & Stevens Incorporated.
21.“Approved Facility” means, in respect of each distinct Facility listed in Part I to Schedule 2.10 and its related rights, obligations and equipment, the Site, Customer, ESA, Site License and Facility listed on such Part I to Schedule 2.10.
22.“Approved LDC” means, with respect to each Site, the local natural gas distribution company serving the ESA Customer at such Site. For the avoidance of doubt, natural gas supplied by any Approved LDC shall be deemed to satisfy Seller’s requirements regarding the quality and composition of natural gas supplied to the Bloom Systems sold to Buyer hereunder.
23.“Assets” means, with respect to any Person, all assets and properties of every kind (whether real, personal or mixed, whether tangible or intangible), which assets and properties are owned or leased by such Person.
“Assignment Date” means, with respect to any Standby Facility, the first Available Assignment Date on which all the Standby Facility Conditions for such Standby Facility are (and continue to be) satisfied or waived by Buyer in its sole discretion; provided, that none of the foregoing shall constitute a waiver of any of Buyer’s rights to seek legal remedies based on any failure of any of Seller’s representations and warranties to be true and correct on and as of such Assignment Date.
24.“Assignment Notice” is defined in Section 2.11(3).
“Available Assignment Date” means, with respect to any Standby Facility, any one of the following dates: July 31, 2020, August 31, 2020 and September 30, 2020.
25.“Bankruptcy” or “Bankrupt” as to any Person means the filing of a petition for relief as to any such Person as debtor or bankrupt under the Bankruptcy Code or like provision of law (except if such petition is contested by such Person and has been dismissed within sixty (60) days); insolvency of such Person as finally determined by a court proceeding; filing by such Person of a petition or application to accomplish the same or for the appointment of a receiver or a trustee for such Person or a substantial part of its Assets; commencement of any proceedings relating to such Person under any other reorganization, arrangement, insolvency, adjustment of debt or liquidation law of any jurisdiction, whether now in existence or hereinafter in effect, either by such Person or by another, provided, that if such proceeding is commenced by another, such Person indicates its approval of such proceeding, consents thereto or acquiesces therein, or such proceeding is contested by such Person and has not been finally dismissed within sixty (60) days.
26.“Bankruptcy Code” means 11 U.S.C Chapter 11.
27.“Bankruptcy Laws” is defined in Section 11.4.

“Base Case Model” means the economic model titled “Bloom Fund 8 Model Q2 20 Quarterly Adj with Upsize  6-26-20 TO SEND FINAL,” posted to the Data Room on the Agreement Date and last modified on June 26, 2020 at 12:27 p.m. PST.
“Battery Solution” means, with respect to any Facility, an integrated battery solution or a UPM, in each case as described in the specifications set forth on Schedule 3.3(1).
“BDI” means BE Development, Inc., a Delaware corporation.
28.“Bill of Sale” means a bill of sale substantially in the form set forth in Exhibit G.
29.“BloomConnect” ” means a web-based data portal with datasets and pointers for access to such datasets through a dashboard interface that provides, with respect to a given Facility, (i) for a period of aggregated 15-minute intervals, full-time visibility into operational status, capacity, efficiency, fuel consumption and generation output, which may be acquired in downloadable format, and (ii) interactive graphs and animations that illustrate the benefits of sustainability, gas consumption, and energy generation, in each case tailored to the Portfolio.
30.“Bloom System” means a solid oxide fuel cell power generating system, capable of being powered by natural gas, that is designed, constructed and installed by Seller.
31.“BOF” means, for each Site, the balance of facility items included in each Facility including, as applicable, Electrical Interconnection Facilities, the natural gas supply facilities, the water supply facilities, the data communications facilities, the foundations for the Bloom Systems and any other facilities and equipment ancillary to the Bloom Systems and installed in connection with the Facility at each Site and all other things ancillary to the Facility and required on or in the vicinity of the Site which are necessary to achieve Commencement of Operations at each such Site or which are otherwise required by the applicable ESA or Site License for such Site, but excluding Ancillary Equipment.
32.“Business Day” means a day other than a Saturday, Sunday or other day on which banks in New York, New York, or San Francisco, California, are authorized or required to close.
33.“Buyer” is defined in the preamble.
34.“Buyer Default” is defined in Section 12.2.
35.“Buyer Indemnitee” is defined in Section 13.3(1).
36.“Buyer Manager” is defined in Section 4.6(2).
37.“Buyer’s Notice” is defined in Section 3.6.
38.“Buyer Parent” means Project Oxygen Holdings, LLC, a Delaware limited liability company.
5

39.“Calculation Date” is defined in Section 2.11(8).
40.“Calendar Quarter” means each period of three months ending on March 31, June 30, September 30 and December 31.
41.“Capacity Warranty” means the Performance Warranty or the Performance Guaranty, as applicable.
42.“Cash Equivalent Investments” means:
Section a.direct obligations of, or obligations the principal of and interest on which are unconditionally guaranteed by, the United States of America (or by any agency thereof to the extent such obligations are backed by the full faith and credit of the United States of America), in each case maturing within one year from the date of acquisition thereof;
Section b.investments in commercial paper maturing within 270 days from the date of acquisition thereof and having, at such date of acquisition, the highest credit rating obtainable from S&P or from Moody’s;
Section c.investments in certificates of deposit, banker’s acceptances and time deposits maturing within 180 days from the date of acquisition thereof issued or guaranteed by or placed with, and money market deposit accounts issued or offered by, any domestic office of any commercial bank organized under the laws of the United States of America or any State thereof that has a combined capital and surplus and undivided profits of not less than $250,000,000;
Section d.fully collateralized repurchase agreements with a term of not more than 30 days for securities described in clause (a) above and entered into with a financial institution satisfying the criteria described in clause (c) above; and
Section e.money market funds that (i) comply with the criteria set forth in SEC Rule 2a-7 under the Investment Company Act of 1940,  and (ii) are rated AAA by S&P and Aaa by Moody’s.
43.“Certificate of COO” means a certificate, substantially in the form set forth in Exhibit F.
44.“Certificate of Delivery Milestone Completion” means a certificate, substantially in the form set forth in Exhibit E.
45.“Certificate of Deposit Milestone Completion” means a certificate, substantially in the form set forth in Exhibit D.
“[***] ESA” means the Energy Services Agreement, dated as of September 30, 2019, by and between Buyer, as assignee of 2019 ESA Project Company, LLC, and [***].

46.“Claiming Party” is defined in Section 12.6(1).
47.“Code” means the Internal Revenue Code of 1986, as amended.
“[***] ESA” means the Energy Services Agreement, dated as of June 28, 2019, between Buyer, as assignee of 2017 Fuel Cell Operating Company I, LLC, and [***].
48.“Commencement of Operations” means, with respect to any Facility, the completion and the performance of all of the following activities:
Section a.all Bloom Systems, Ancillary Equipment and related BOF comprising such Facility has been Delivered;
Section b.such Facility has been installed at the location specified in the applicable Site License and Placed in Service;
Section c.(i) such Facility (A) has been attached to the load at the applicable Site, (B) is producing power at one hundred percent (100%) of the aggregate System Capacity of all Bloom Systems included in such Facility, and (C) is operating at or above the Minimum Efficiency Level, and (ii) Seller has provided Buyer with evidence reasonably satisfactory to Buyer of each of the foregoing;
Section d.all Pre-COO Equipment Warranty Claims raised by Buyer in respect of such Facility shall have been addressed by Seller in accordance with Section 3.3(2);
Section e.Seller has (i) performed and successfully completed all necessary acts under the applicable Interconnection Agreement (including performance testing) and (ii) obtained PTO from the applicable Person; and
Section f.Seller shall have performed and successfully completed all obligations required to be completed on or before such date under the Transaction Documents and the applicable ESA, Site License, Incentive Agreements and any other applicable contract or agreement by which Buyer is bound or to which such Facility or the components thereof are subject (including, for the avoidance of doubt, obtaining all Permits, PTO and valid, binding and enforceable Interconnection Agreements and successfully completing all items that would, if not so completed, materially impact the operational capability, durability or reliability of the Facility);
49.provided, if the applicable ESA provides that items of Delayed Ancillary Equipment to be installed in connection with a Facility shall be installed or commissioned subsequent to Commencement of Operations of the Bloom System, in any case if not in breach or violation of, or default under, such ESA, “Commencement of Operations” of such Facility shall not require the completion of the installation and commissioning of such Delayed Ancillary Equipment items, but this proviso shall not relieve Seller of its obligations in Section 3.4(1)(xiv).
7

50.“Commencement of Operations Date” means, with respect to any Facility, the date on which it achieves Commencement of Operations.
51.“Commencement of Operations Date Deadline” means December 31, 2020.
52.“Competitor of Seller” means any Person, including its Affiliates, subsidiaries and parent, and any successors thereto, that (1) engages in the business of designing, engineering, fabricating, manufacturing, deploying, installing, operating or maintaining (A) combustion engines and generators that are between 50kW and 1.5MW, including the list set forth in Schedule 14.4(a), as may be amended from time to time pursuant to Section 14.4(5) (B) fuel cells for use in residential, commercial or industrial settings, including fuel cells that are hydrogen, phosphoric acid, proton exchange membrane, regenerative, zinc air, protonic ceramic, microbial, polymer electrolyte membrane, direct methanol, alkaline, phosphoric acid, molten carbonate, solid oxide and reversible, or (C) distributed energy resources, (2) is known by recent and unrefuted press release, credible news source, or securities filing, to be interested in, investigating or pursuing the development of fuel cells, (3) is not a “United States person” as defined in 26 U.S.C. 7701(a)(30) and (x) is owned, in whole or in part, directly or indirectly, by a government agency, or (y) has a score that is less than 37 on the most recent U.S. Chamber of Commerce’s IP Index or, regardless of its score on such index, is organized under the laws of or headquartered in China, Russia or South Korea, or (4) is engaged in material litigation or another material dispute with Seller; provided, a Competitor of  Seller shall not include (i) a passive investor with ownership interest in any Person that meets the foregoing definition, so long as such passive investor does not itself satisfy any of the foregoing descriptions or (ii) under any circumstances the Persons listed or set forth on Schedule 14.4(b), as may be amended from time to time pursuant to Section 14.4(5).
53.“Components” means any tangible materials, components and spare or replacement parts reasonably required for the construction, installation, commissioning, operation, maintenance and repair of a Facility.
54.“Confidential Information” is defined in Section 10.1.
“[***] ESA” means the ESA between Buyer and [***], dated as of December 26, 2018.
55.“Construction Update” is defined in Section 6.2(2).
56.“Contract” means any agreement, contract, instrument, obligation, commitment, covenant, understanding, promise, promissory note, bond, indenture, insurance policy, deed, lease, license, franchise, purchase order, sales order or other obligation, undertaking or arrangement (whether written or oral) that is legally binding.
57.“Corporate Tax Rate” means as of a given date of determination, the maximum allowable U.S. federal corporate income tax rate applicable to corporations but excluding S corporations.

“[***] Amendment” means Amendment One to Amended and Restated Energy Services Agreement, by and between Buyer and [***], a Delaware limited liability company, dated as of June 1, 2020. 
“[***] ESA” means the Amended and Restated Energy Services Agreement, dated as of September 18, 2018, between Buyer, as assignee of 2017 Fuel Cell Operating Company I, LLC, and [***], as amended by the [***] Amendment. 
58.“Credit Support” means any deposit, performance or payment assurance or amounts otherwise posted by any Person in support of any obligation or duty of such Person or another Person (whether in the form of a guarantee, letter of credit, payment or performance bond, cash or other deposit or otherwise).
59.“CT LRECs” is defined in Section 3.2(2).
“Customer Equipment” means (i) equipment installed by Seller or an ESA Customer pursuant to the terms of any ESA Customer’s ESA, to which equipment the ESA Customer (or an Affiliate or predecessor of ESA Customer, or a site lessor) or Seller takes or retains title, including (except to the extent described in the following clause (ii)) Kaiser Equipment, Intel Equipment, [***], [***], and [***] Equipment, (ii)(A) equipment or balance of plant/facilities items, as the case may be, installed pursuant to a Preexisting Seller Agreement, to which Buyer does not take title, to which equipment the ESA Customer (or its Affiliate) or Seller holds or takes title, which remains at the Site during the term of an ESA and is used, or is intended as of the date the applicable Facility became a part of the Scheduled Portfolio to be used, with the applicable ESA Customer’s Facility, and/or (B) equipment or balance of plant/facility items, as the case may be, installed by an ESA Customer on its own to which it has and keeps title, which remains at the Site during the term of an ESA and is used, or is intended to be used with the applicable ESA Customer’s Facility, including [***].
60.“Data Room” means Egnyte (or similar FTP solution) (i) created and maintained by Seller, (ii) that provides upload, download and read only access, (iii) that promptly transmits an email alert to Buyer when any files are added, modified or deleted (identifying each such addition, modification or deletion) and (iv) to which Buyer has 24/7 electronic access to read, download and print files therein provided.
61.“DDP (Incoterms 2010)” means Delivered Duty Paid (DDP) as such term is used in the International Rules for the Interpretation of Trade Terms (identified as “INCOTERMS® 2010”) as prepared by the International Chamber of Commerce.
62.“Delayed Ancillary Equipment” means, with respect to any ESA Customer, ESA and Site for which there is Delayed Battery Power Rating (kW) and Delayed Battery Energy Capacity (kWh) set forth in Schedule 1, the Battery Solutions contemplated to be delivered under such ESA with respect to such Site.
63.“Delayed Facilities List” is defined in Section 2.11(1).
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64.“Delayed Facility” is defined in Section 2.11(1).
65.“Delivery” or “Delivered” means the physical delivery of a Bloom System or item of Ancillary Equipment or BOF to a Site.
66.“Delivery Date” means for each Facility, the date upon which the “Delivery Milestone” is achieved for such Facility, as set forth in the Certificate of Delivery Milestone Completion.
67.“Delivery Milestone” means, with respect to any Facility, the completion of the following activities on or before December 11, 2020:
(i)the Bloom Systems and all Ancillary Equipment (if any) comprising such Facility have been Delivered;
(ii)BOF for such Bloom Systems necessary to place such Bloom Systems on concrete pad for such Bloom Systems has been Delivered and installed;
(iii)Such Bloom Systems have been placed upon such concrete pad and are available for installation, startup and commissioning;
(iv)Seller has obtained, on behalf of itself, Buyer or the applicable ESA Customer (as applicable), in respect of such specific Facility, any approvals, drawings and notices described in clause (a) of the definition of “Deposit Milestone” that (i) are required to be obtained before Delivery pursuant to such ESA or such Site License and (ii) were not obtained in connection with the Deposit Milestone for such Facility’s Tranche; 
(v)Seller shall have performed and successfully completed (i) all obligations required to be completed on or before such date under this Agreement and the applicable Facility Contracts, Permits and Legal Requirements and (ii)  all upgrades required to be performed in respect of the applicable Facility pursuant to an Interconnection Agreement (whether or not executed) or as otherwise required by a Transmitting Utility; and
(vi)   No portion of such Facility has been Placed in Service.
68.“Deposit Date” means, with respect to a Tranche, the date that such Tranche achieves the Deposit Milestone, as set forth in the Certificate of Deposit Milestone Completion.
“Deposit Milestone” means, for a Tranche, the achievement of each of the following activities:
Section a.Seller has received (on behalf of Buyer or itself, as applicable) approval of Site plans and single-line drawings from one or more ESA Customers for Facilities with aggregate System Capacity equal to or greater than the aggregate System Capacity of Facilities included in such Tranche (and all other Tranches for which Seller previously delivered a Certificate of Deposit Milestone Completion to Buyer); provided, that if any Third Party Consents (including the issuance of notices to proceed, if applicable) are 

required from an ESA Customer or a Site License grantor (or either of their Affiliates), or if the satisfaction of any other conditions precedent is required (including the construction of separate buildings and other facilities), as a condition to Buyer or its subcontractors (including Seller) commencing installation pursuant to the applicable ESA or Site License, then such Third Party Consents shall have been received or achieved, and such other conditions precedent shall have been satisfied, as applicable;
Section b.Seller has received all materials required for the commencement of fabrication of Bloom Systems with aggregate System Capacity equal to or greater than the aggregate System Capacity of Facilities included in such Tranche, and all materials required as of such time to allow for completion of such fabrication in order to achieve Commencement of Operations of such Facilities (and all Facilities included in all other Tranches for which Seller previously delivered a Certificate of Deposit Milestone Completion to Buyer) within ninety (90) days; and
Section c.Seller shall have performed and successfully completed all obligations required to be completed on or before such date under the Transaction Documents and the applicable Facility Contracts (including, for the avoidance of doubt, obtaining all Permits if required as a condition to the Deposit Milestone under any Facility Contract).
“Disparage” is defined in Section 2.11(7).
“Documentation” means all Bloom System documentation necessary for constructing, testing, operating, and maintaining a Facility, including testing documentation, engineering documentation, specifications, and operations and maintenance manuals, Training Materials, drawings, reports, standards, schematics, directions, samples and patterns, including any such Documentation required to be delivered prior to Commencement of Operations. 
69.“Efficiency” means the quotient of E/F, where (i) E = the electricity produced by the applicable Facility, measured in BTUs (British Thermal Units) at an assumed conversion rate of 3,412 BTUs per kWh, and (ii) F = the fuel consumed by such Facility, measured in BTUs on a lower heating value basis as determined by the mass flow controller included in the applicable Facility.
70.“Efficiency Warranty” is defined in Section 5.3.
71.“Electrical Interconnection Facilities” means, with respect to any Facility, the equipment and facilities required to safely and reliably interconnect such Facility to the transmission system of the Transmitting Utility, including the collection system between the related Bloom System, transformers and all switching, metering, communications, control and safety equipment, including the facilities described in any applicable Interconnection Agreement.
72.“Energy” means three-phase, 60-cycle alternating current electric energy constituting the Actual kWh.
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73.“Energy Tolling Agreement” means an energy services agreement, power purchase agreement, or similar agreement, by and between Buyer and an ESA Customer, a New Customer or a customer, as the case may be. 
74.“Environmental Law” means any Legal Requirement which pertains to health, safety, welfare, pollution, any Hazardous Material, or the environment (including but not limited to ground or air or water or noise pollution or contamination, and underground or above ground tanks) or protection of natural, cultural, archaeological or biological resources and shall include without limitation, the Solid Waste Disposal Act, 42 U.S.C. § 6901 et seq.; the Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 U.S.C. § 9601 et seq., as amended by the Superfund Amendments and Reauthorization Act of 1986; the Hazardous Materials Transportation Act, 49 U.S.C. § 1801 et seq.; the Federal Water Pollution Control Act, 33 U.S.C. § 1251 et seq.; the Clean Air Act, 42 U.S.C. § 7401 et seq.; the Toxic Substances Control Act, 15 U.S.C. § 2601 et seq.; the Safe Drinking Water Act, 42 U.S.C. § 300f et seq.; and any other state or federal environmental statutes, and all rules, regulations, orders and decrees now or hereafter promulgated under any of the foregoing, as any of the foregoing now exist or may be changed or amended or come into effect in the future.
75.“Environmental Requirements” means any Environmental Law, any Permit issued pursuant to Environmental Law and any agreement or restriction (including but not limited to any condition or requirement imposed by any insurance or surety company), as the same now exists or may be changed or amended or come into effect in the future, which pertains to health, safety, welfare, any Hazardous Material, the environment or protection of natural, cultural, archaeological or biological resources.
“Equinix” means Equinix, Inc.
“Equinix ESA” means each of the ESAs listed on Schedule 1 with an ESA Customer of Equinix.
76.“Equipment Fee” means, with respect to each Facility, amounts due in connection with achievement of the Deposit Milestone or Delivery Milestone for such Facility.
77.“ESA” means each Energy Tolling Agreement between Buyer and an ESA Customer listed on Schedule 1, as the same may be updated from time to time by the mutual agreement of the Parties.  If any such agreement is executed and delivered in respect of more than one Facility, then such agreement with respect to each individual Facility shall constitute and be deemed to mean one (1) “ESA” hereunder (i.e., a single agreement with an ESA Customer in respect of three (3) Facilities shall be deemed to be three (3) ESAs hereunder). If any such agreement is in the form of a master agreement with Facility-specific confirmations attached, then with respect to each applicable Facility, “ESA” shall be deemed to mean such master agreement and such confirmation applicable thereto. 
78.“ESA Customer” means each counter-party to an ESA.
79.“ESA Remarketing Activities” is defined in Section 4.8(1).

80.“ESA Warranties” means the payment obligations of Buyer to each respective ESA Customer (i) arising out of any performance guarantee, any power performance shortfall, any efficiency warranty (or other guarantee or warranty, including availability, output, minimum production, peak demand reduction, demand charge reduction, backup power provision, islanding, net metering or otherwise), (ii) as a reimbursement to such ESA Customer for any deficiency in the benefits received by such ESA Customer under the applicable state incentive programs for any ESA, or (iii) as a payment or reimbursement obligation to such ESA Customer (or the applicable site licensor) under the applicable ESA or Site License or as an indemnity payment under the applicable ESA or Site License, in any such case arising in connection with (1) the procurement or manufacturing by any Person of fuels or trading in any attribute, incentive or credit, or financial or other derivative, related to emissions or fuels or (2) modification or replacement of the terms of service under any Interconnection Agreement or Transmitting Utility tariff (including loss of eligibility for net metering programs, any charges related to demand, departing load or departing customer generation and standby and other service charges), in any such case contemplated by the foregoing clauses (1) or (2), in connection with any Legal Requirement that (x) governs, or may in the future govern, emissions of energy generators and (y) is, or may become, applicable to any Facility. ESA Warranties include (i) any payment obligations of “Supplier” under Section 3.4(c) of [***] and (ii) the payment obligations of Buyer to the applicable ESA Customer arising under Amendment No. 2 to Energy Services Agreement, dated as of August 16, 2019, by and between 2017 Fuel Cell Operating Company I, LLC and [***] (including in Buyer’s capacity as successor or assignee under the applicable ESA).
81.“ESA Warranty Reimbursement Payment” is defined in Section 5.8(1). 
82.“Event Log” means a written log substantially in the form of Exhibit I that includes (subject to the reporting criteria, event types and descriptions contained therein) information in respect of certain facts, events or circumstances in connection with the Facilities.
83.“Extended Warranty Period” means, with respect to each Facility, the period commencing on the first (1st) anniversary of the date such Facility achieves Commencement of Operations and ending on the thirtieth (30th) anniversary of the date of Commencement of Operations of such Facility.
84.“Facility” means, collectively, the Bloom Systems and the BOF at a particular Site and interconnected behind a single utility meter, sharing a single Commencement of Operations, and thereafter operated as a unified whole. For the avoidance of doubt, “Facility” includes, where applicable, any Ancillary Equipment installed in connection with the Bloom Systems at a particular Site. Where an ESA provides for multiple “Phases” at a Site (i.e., discrete installations of Bloom Systems to be installed behind a single Transmitting Utility meter), each Phase shall be understood to be a separate “Facility” for purposes of this Agreement.
85.“Facility Contracts” means, with respect to a Facility, (A)(i) the ESA, (ii) the Site License, (iii) the Interconnection Agreement, (iv) any Third Party Consents, (v) any Incentive Agreements, and  (vi) any Governmental Approvals, and (B)(i) any Contract between the Seller 
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or the Buyer, on the one hand, and any other Person (other than Seller’s or Buyer’s Affiliates, respectively), on the other hand, that governs the rights and obligations of such parties arising under or in connection with the Facility (provided, if Buyer is a party to such Contract and such Contract was not executed and delivered on or before the First Agreement Date (or as and when otherwise expressly contemplated herein), such Contract shall only be a Facility Contract if Seller and Buyer have so agreed in writing (including, for the avoidance of doubt, Contracts deemed or otherwise agreed by Buyer and Seller to be Facility Contracts pursuant to the Original PUMA or any Transaction Documents (as defined therein) after the First Agreement Date and on or prior to the Agreement Date), and (ii) to Seller’s Knowledge, any Contract between the applicable ESA Customer and a Person other than Buyer, Seller or a Seller Affiliate that governs the rights and obligations of such parties arising under or in connection with the Facility, which Contracts described in the foregoing clauses (B)(i) or (B)(ii) would, in the course of Seller’s performance of its obligations under this Agreement or Buyer’s performance of its obligations under the applicable ESA or Site License, require Seller or Buyer (respectively) to satisfy or comply with, on its own behalf or its counterparty’s behalf, any terms or conditions contained in such Contract; provided, however, Facility Contracts shall not include (1) any contracts solely between Seller and its Service Providers, including general construction, subcontracts, or procurement contracts, (2) except for the Interconnection Agreement, the ESA and the Site License, any supply agreement between the ESA Customer (or one of its Affiliates) and a supplier, for the supply of gas, water, high-speed internet service, or other materials and services other than electricity, (3) any services agreement between the ESA Customer and a service provider related to the care and management of the real property on which the Site is located or any agreement between the ESA Customer and another Person granting such ESA Customer rights in real property (unless (x) related specifically to the Site or Facility or (y) described in Section 9.2 of the Equinix ESA), and (4) any Contract of which Seller does not have Knowledge.
86.“Facility Meter” means, with respect to a Facility, the revenue quality electricity generation meter located at the metering point and approved by the Transmitting Utility, which shall register all Energy produced by a Facility and delivered to the Interconnection Point.
87.“Facility Services” is defined in Section 4.1(1).
88.“Facility Services Warranty” is defined in Section 5.1.
89.“Facility Transfer” is defined in Section 3.6.
90.“Fair Market Value” means, with respect to any Facility, the price at which such asset would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or to sell, and both having reasonable knowledge of the relevant facts, and specifically with respect to the Facility or any portion thereof, as determined consistently with Section 4.05 of Revenue Procedure 2007-65.  
91.“[***] ESA” means the Energy Server Use Agreement, dated as of December 31, 2015, by and between [***] and 2017 Fuel Cell Operating Company I, LLC (as assignee of 2015 ESA 

Project Company, LLC, a Delaware limited liability company) (but, from and after the applicable Assignment Date, Buyer as assignee of 2017 Fuel Cell Operating Company I, LLC).
92.“FERC” means the Federal Energy Regulatory Commission and any successor.
93.“First Agreement Date” means June 28, 2019.
94.“Force Majeure Event” means any event or circumstance that (a) prevents in any material respect the performance a Party from performing its obligations under this Agreement; (b) was not reasonably foreseeable by such Party; (c) was not (i) within the reasonable control of such Party, (ii) the result of the negligence or willful misconduct of such Party or its personnel, or (iii) the result of a breach of this Agreement or any other Transaction Document by such Party; and (d) such Party is unable to reasonably mitigate, delay, avoid or cause to be avoided with the exercise of due diligence such event or circumstance. “Force Majeure Event” may include, provided that the conditions in (a) through (d) in the foregoing sentence are met, (1) inability of Buyer to obtain or maintain market-based rate authority from FERC to operate the Facilities (except to the extent such inability results from a Buyer-initiated change in Buyer’s business from that contemplated as of the First Agreement Date), (2) an act of God, including severe weather events, wildfires and hurricanes (but, in each case, only to the extent such event is not reasonably foreseeable, based on recent or frequent prior occurrence, in the geographic location in which it occurs, and for which reasonable precautions would not prevent such prevention of performance hereunder), (3) imposition of military authority, war, civil disturbances, strike (if affecting the general labor market and not Seller or any of its Service Providers or Affiliates, specifically), terrorist activities and (unless initiated at a Facility or caused in connection with the installation, operation or maintenance of a Facility or Component thereof) fire and explosions, (4) the external power delivery system (a/k/a the grid) (excluding any Electric Interconnection Facilities owned by Buyer or an ESA Customer) being out of the required specifications or totally failing (a/k/a brownout or blackout), or electric grid curtailment by the Transmitting Utility, or (5) the curtailment, interruption or issuance of operational flow orders by the delivering pipeline or local utility company supplying natural gas to any Site. Notwithstanding the foregoing, Force Majeure Event does not include (I) the lack of economic resources of a Party, (II) Seller’s (or its’ suppliers, vendors’ or manufacturers’) failure to timely design, transport or deliver any Facility (or any Component thereof), or one of Seller’s suppliers’, vendors’ or manufacturers’ failures to timely manufacture any Facility (or any Component thereof), (III) a Seller Default, (IV) unavailability of (or higher prices for) materials, goods, labor, services, supplies or components to be performed or provided, or necessary for Seller to perform, under this Agreement, (V) failure of a Facility, Bloom System or any Ancillary Equipment, Component, or BOF a part thereof, which failure is not characterized by all of the foregoing clauses (a) through (d), (VI) changes in Legal Requirements (it being acknowledged by the Parties that Section 12.9 shall apply in respect of such changes, rather than any relief in respect of a Force Majeure Event), (VII) the supply of natural gas from any source other than an Approved LDC or (VIII) to the extent it would otherwise constitute a Force Majeure Event, any act or omission by Seller, Seller Affiliate or a Service Provider or representative at any tier that result in a termination of the Equinix ESA based on a breach of Section 7.1(h)(i) of the Equinix 
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ESA. If an event or circumstance gives rise to a Force Majeure Event as defined herein under this Agreement, but such event or circumstance does not also constitute a ‘Force Majeure Event’ (or similar term) as defined under the applicable ESA or Site License (depending on which Facilities are affected), then for the purposes of any rights and obligations of the parties under this Agreement that relate to corresponding rights or obligations under such ESA or Site License such event or circumstance will not constitute a Force Majeure Event under this Agreement.
95.“FPA” means the Federal Power Act, as amended.
96.“Funding Suspension Event” means, as of a given date of determination, (A) more than one Facility has not achieved Commencement of Operations by sixty (60) days after payment of the portion of the Aggregate Purchase Price set forth in Section 2.3(2) for such Facility (provided, that if any actions or deliverables that were required to be performed, provided or obtained, respectively, for the applicable Facility to achieve Commencement of Operations were not performed, provided or obtained, respectively, and such failure to perform, provide or obtain is reasonably subject to cure within thirty (30) days after such sixtieth (60th) day, then no Funding Suspension Event shall occur until the thirtieth (30th) day after such sixtieth (60th) day, as long as Seller continues to pursue such cure using its best efforts), (B) failure to comply with Section 3.4(1)(xv), or (C) with respect to any Facility, the conditions precedent to the obligations of Buyer’s indirect tax equity investor in the applicable organizational documents to make capital contributions in respect of any payment of the Aggregate Purchase Price hereunder are not, as of the applicable Milestone Date (in each case, as determined by Buyer in its sole discretion), (x) satisfied or waived, or (y) reasonably susceptible to satisfaction or waiver on or before the date such capital contribution would be due, assuming the proper and timely execution and delivery of contribution requests and other pro forma documents that are within the control of Buyer’s sponsor investor and customarily delivered as of capital contribution dates (provided that such execution and delivery is actually effected); provided, with respect to any Facility for which the foregoing events occur, (i) if each such Facility is removed from the Scheduled Portfolio pursuant to the terms herein or (ii) (except with respect to any of the foregoing events described in clause (C)) the documentation required to be delivered under Section 3.4(1)(xv) for each such Facility is delivered, in each case the Funding Suspension Event shall be deemed resolved.
97.“GAAP” means United States generally accepted accounting principles consistently applied.
98.“General Product Warranty” is defined in Section 5.5(1).
99.“Governmental Approvals” means (a) any authorizations, consents, approvals, licenses, rulings, permits, tariffs (including emissions tariffs), rates, certifications, variances, orders, judgments, decrees by or with a relevant Governmental Authority and (b) any notice to, any declaration of, or with, or any registration or filing by, or with, any relevant Governmental Authority. Governmental Approvals do not include Permits.

100.“Governmental Authority” means any foreign, federal, state, local or other governmental, regulatory or administrative agency, court, commission, department, board, or other governmental subdivision, legislature, rulemaking board, court, tribunal, arbitrating body or other governmental authority, including NERC, any Person that NERC has delegated its authority to under the Federal Power Act or any Person that operates an interstate or other wholesale electric transmission system; provided, that any Transmitting Utility, in its capacity as counterparty to any Interconnection Agreement but solely in such capacity, shall not be considered or deemed to be a Governmental Authority hereunder.
101.“Hazardous Material” means and includes those substances, pollutants, contaminants, elements or compounds which are contained or regulated as a hazardous substance, toxic pollutant, pesticide, air pollutant, or as defined in any Environmental Law, or is otherwise included in the definition of “Hazardous Materials,” “Hazardous Substance” or a similar term in an ESA or a Site License.  
“Home Depot ESA” means the Energy Services Agreement, by and between BDI (but, from and after the applicable Assignment Date, Buyer as assignee of BDI) and Home Depot U.S.A., Inc., dated as of December 31, 2019.
“[***] ESA” means the Energy Services Agreement, dated June 20, 2019, between Buyer, as assignee of 2017 Fuel Cell Operating Company I, LLC, and [***].
“IE” means [***], or if [***] is unavailable, another third-party, independent engineering consultant of similar capabilities and reputation chosen by agreement of the Buyer and Seller.
102.“IE Certificate” means a certificate, substantially in the form set forth in Exhibit J.
103.“Incentive Agreement” means the agreements listed on the applicable schedule of the Administrative Services Agreement.
“[***] Equipment” means “Customer Equipment”, including the “Power Tower”, in each case as defined in any [***] ESA.
“[***] ESA” means each of (i) the Energy Services Agreement between Buyer and [***], dated December 28, 2018, in respect of Sites located at [***] as amended by Amendment No. 1 to Energy Services Agreement, dated December 31, 2019, (ii) the Energy Services Agreements between Buyer and [***], dated December 28, 2018, in respect of Sites located at [***].
104.“Indemnifiable Loss” means any claim, demand, suit, loss, liability, damage (including any liquidated damages or rights of set-off), obligation, payment, fine, cost or expense (including the cost and expense of any investigation, action, suit, proceeding, assessment, judgment, settlement or compromise relating thereto and reasonable attorneys’ fees and reasonable disbursements in connection therewith), whether involving claims solely between the Parties (or between the parties to any other Transaction Document) or by a Third Party (including any ESA 
17

Customer) against a Party (or against any party to any other Transaction Document) unless otherwise expressly stated.
105.“Indemnified Party” is defined in Section 13.5(1).
106.“Indemnifying Party” is defined in Section 13.5(1).
107.“Indexed ESA is defined in Section 4.9.
108.“Installation Fee” means, with respect to each Facility, amounts due in connection with the achievement of Commencement of Operations for such Facility, less the Equipment Fee.
109.“Installation Services” is defined in Section 3.4(1).
110.“Intellectual Property” shall mean any or all of the following and all rights therein, whether arising under the laws of the United States or any other jurisdiction: (i) all patents, utility models and patent applications (and all reissues, divisions, re-examinations, renewals, extensions, provisionals, continuations and continuations-in-part thereof), patent disclosures and  inventions (whether patentable or not); (ii) all trade secrets, know-how and confidential and proprietary information; (iii) all copyrights and copyrightable works (including Software and computer programs) and registrations and applications therefor and any renewals, modifications and extensions thereof; (iv) all moral and economic rights of authors and inventors, however denominated, throughout the world; (v) unregistered and registered design rights and any registrations and applications for registration thereof; (vi) trademarks, service marks, trade names, service names, brand names, trade dress, logos, slogans, corporate names, trade styles, domain names and other source or business identifiers, whether registered or not, together with all applications therefor and all extensions and renewals thereof and all goodwill associated therewith; (vii) semiconductor chip “mask” works, and registrations and applications for registration thereof, (viii) database rights; (ix) all other forms of intellectual property, including waivable or assignable rights of publicity or moral rights; and (x) any similar, corresponding or equivalent rights to any of the foregoing anywhere in the world.
111.“[***] Module Sale Agreement” means the Purchase and Sale Agreement, dated as of December 20, 2019 by and between Bloom Energy Corporation and [***].
112. “Interconnection Agreement” means an agreement between the ESA Customer (or Buyer, as may be required) and the applicable Transmitting Utility granting permission to interconnect a Facility to the transmission or distribution system of such Transmitting Utility.
113.“Interconnection Point” means, with respect to each Facility, the point at which title and risk of loss with respect to the electricity produced by such Facility passes to the applicable ESA Customer.
114.“Invoice Due Date” means, as of a given month, with respect to any package of materials delivered pursuant to Section 2.4(2), the requested date for payment provided therein, which date 

shall be a Business Day (i) during the final seven (7) days of the calendar month in which such materials were delivered and (ii) at least ten (10) Business Days after the date such materials were delivered.
115.“Invoice Package” is defined in Section 2.3(5).
“IP License” is defined in Section 11.1.
116.“IRS” means the Internal Revenue Service or any successor agency.
117.“ITC” means an investment tax credit pursuant to Code Sections 38(b)(1), 46 and 48(a).
“[***] ESA” means the Energy Services Agreement, by and between BDI (but, from and after the applicable Assignment Date, Buyer as assignee of BDI) and [***] dated as of December 13, 2019.
“[***] Equipment” means the [***], the ownership and use of which is accurately described in clause (ii)(B) of the definition of “Customer Equipment” herein, in each case described in Schedule 2.1(a) to [***].
“Kaiser” means the ESA Customer under any Kaiser ESA.
“Kaiser Equipment’ means “Purchaser Equipment” as defined in the Kaiser ESAs.
“Kaiser ESA” means each of the ESAs listed on Schedule 1, the ESA Customer party to which is either Kaiser Foundation Hospitals, a California nonprofit public benefit corporation, Kaiser Foundation Health Plan, Inc., a California nonprofit public benefit corporation, or either of their Affiliates.
118.“Knowledge” means (a) as to any Person other than a natural person, the actual knowledge (as well as any knowledge that would have reasonably been obtained after due inquiry) of such Person and its managers, directors, officers and employees who have responsibility for the transactions contemplated by this Agreement, and (b) in respect of any Person who is a natural Person, the actual knowledge (as well as any knowledge that would have reasonably been obtained after due inquiry) of such Person.
119.“kW” means kilowatt.
120.“kWh” means kilowatt-hour.
121.“Late Facility” means a Facility (or Delayed Ancillary Equipment) for which none of the events described in clauses (2) through (4) of the definition of Placed in Service has occurred on or before the Commencement of Operations Date Deadline.
122.“Late Facility Payment” means, in respect of any applicable Facility, the amount calculated pursuant to Section 2.11(8). 
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123.“Legal Requirement” means any law, statute, act, decree, ordinance, common law decision, rule, directive (to the extent having the force of law), tariff, order, treaty, code or regulation or any interpretation of any of the foregoing, as enacted, issued or promulgated by any Governmental Authority, including all amendments, modifications, extensions, replacements or re-enactments thereof, in each case applicable to or binding upon such Person or any of its properties or to which such Person or any of its property is subject.
124.“Liens” means any lien, security interest, mortgage, hypothecation, encumbrance or other restriction on title or property interest.
125.“Liquid Assets” means the sum of Unrestricted Cash on Hand and accounts receivable or notes receivable arising from the grant of trade credit in the ordinary course of business that are not ninety days or more past due.
126.“Long-Term Agreement” means, that certain long-term agreement, dated as of the First Agreement Date, between Seller and Buyer, as amended by its first amendment, dated August 30, 2019.
127.“Low-Pressure Gas Booster” means a component designed to increase the pressure of natural gas supplied to a Facility by the applicable local natural gas distribution company serving an applicable ESA Customer at the applicable Site to the level required for the ordinary operation of such Facility.
128.“Managers” means Operations Manager and Buyer Manager.
129.“Manufacturer’s Warranty Period” means, for each Facility, the period beginning on the date the applicable Facility achieves the requirements of subsections (a), (c), (d), (e) and (f) of the definition of “Commencement of Operations” and ending on the first (1st) anniversary of the date of Commencement of Operations of such Facility.
130.“Material Adverse Effect” means, for any Person or Facility, as applicable, any change, effect or occurrence that, individually or in the aggregate, is or could reasonably be expected to be materially adverse to (a) the business, earnings, assets, results of operations, property or condition (financial or otherwise) of such Person or Facility, as applicable, (b) the validity or enforceability of any Transaction Document, any applicable ESA, any applicable Site License or the transactions contemplated by this Agreement, or (c) any Person’s (including any ESA Customer’s) ability to perform its obligations under any Transaction Document, any applicable ESA, any applicable Site License (including any material adverse effect on any customer that has, or could reasonably be expected to have, a material adverse impact on such customer’s ability to fully perform under any applicable ESA).
131.“Material Project Document” is defined in Part IV to Schedule 2.10.
132.“Maximum Aggregate Portfolio Purchase Price” means four hundred twelve million two hundred eighty-five thousand five hundred seven dollars ($412,285,507).

133.“Maximum Liability” means, with respect to (a) claims arising with respect to any Facility, the Aggregate Purchase Price for such Facility, and (b) claims arising with respect to more than one Facility, the total Aggregate Purchase Price of each of the Facilities with respect to which such claim arises.
134. “Milestone(s)” means each of the (i) Deposit Milestone, (ii) Delivery Milestone, and (iii) the achievement of Commencement of Operations.
135.“Milestone Date” means each of the (i) Deposit Date, (ii) Delivery Date, and (iii) the Commencement of Operations Date.
“Minimum Efficiency Level” means an Efficiency quotient of [***] ([***]%).
136.“Minimum kWh” means the product of (x) the number of hours in the applicable period minus the number of hours for each Facility, as of the last day of the applicable period following Commencement of Operations with respect to the applicable Facility, in each case to the extent not caused or contributed to by a breach of or failure to perform Seller’s obligations hereunder (whether by Seller or its employees, agents, Service Providers or representatives), during which (i) the operation of such Facility was subject to an exclusion set forth in Section 5.6, (ii) such Facility was not delivering Energy during any period during which (A) the applicable ESA is subject to a day-for-day extension with respect to which the Warranty Period is subject to extension pursuant to Section 4.1(3) hereof, or (B) the applicable ESA Customer is liable for the payment of deemed delivered energy, and (iii) the period during which Seller ramps such Facility before or following the periods referred to in subsections (i)-(ii) of this definition, and (y) the Minimum Power Product for the applicable period. An example of a calculation of the Minimum kWh is set forth in Annex A.
“Minimum Power Product” means (1) when this term is used for the Performance Warranty, the aggregate System Capacity of the Bloom Systems in the Portfolio in kW for the applicable Calendar Quarter multiplied by [***] percent ([***]%), and (2) when this term is used for the Performance Guaranty, the aggregate System Capacity of the Bloom Systems in the Portfolio in kW for the applicable calendar year multiplied by [***] percent ([***]%), as may be updated pursuant to Section 5.2(5). An example of a calculation of the Minimum Power Product is set forth in Annex A.
137.“MIPA” means that certain Membership Interest Purchase Agreement, dated as of the First Agreement Date, between Seller and Buyer Parent.
138.“MIPA Representations” means Sections 3.1, 3.2(b), 3.20, 4.1, 4.2, 4.3(b), 4.7, and 4.9 of the MIPA.
139.“Mitigation Plan” is defined in Section 4.11.
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140.“Module” has the meaning set forth in SH Sale Agreement or [***] Module Sale Agreement, as applicable.
141.“Moody’s” means Moody’s Investors Service, a division of Moody’s Corporation.
142.“MW” means megawatt.
“NERC” means the North American Electric Reliability Corporation or any successor.
143.“New Customer” means a counter-party to an Energy Tolling Agreement that is not an ESA as of the Agreement Date. With respect to any applicable Facility, any mention of the “ESA Customer” in this Agreement shall be construed to include the ESA Customers as of the Agreement Date, and any New Customer approved by Buyer in its sole discretion, and any mention of an “ESA” in this Agreement shall be construed to mean the ESAs as of the Agreement Date and any Energy Tolling Agreement approved by Buyer in its sole discretion. 
144.“New Customer Site” means a parcel of land licensed, or to be licensed, from a New Customer to Buyer under a site license agreement that is not a Site License as of the Agreement Date, together with all easements appurtenant, easements in gross, license agreements and other rights running in favor of Buyer which provide access to the applicable Facility. Any mention of the “Site” in this Agreement shall be construed to mean any New Customer Site that is approved by Buyer in its sole discretion, and any mention of a Site License in this Agreement shall be construed to mean the Site Licenses as of the Agreement Date and any site license approved by Buyer in its sole discretion. 
145.“Non-Scheduled Facility” is defined in Section 2.9.
146.“Operations Manager” is defined in Section 4.6(1).
147.“Original PUMA” has the meaning set forth in the recitals.
148.“Party” and “Parties” have the meanings set forth in the preamble.
149.“Payment Certificate” means a Certificate of Deposit Milestone Completion, a Certificate of Delivery Milestone Completion, or a Certificate of COO, as applicable.
150.“Payment Notice” means a notice delivered from Seller to Buyer once per calendar month pursuant to Section 2.4(3) substantially in the form set forth in Exhibit H.
151.“Performance Guaranty” is defined in Section 5.2(1).
152.“Performance Guaranty Bank” means, with respect to the Performance Guaranty, a tracking account maintained by Seller setting forth the “banked” differences in kWh based on calculation of the Performance Guaranty with respect to the Portfolio during each calendar year of the Warranty Period.

“Performance Guaranty Payment Cap” means the product of (x) $[***] multiplied by (y) the aggregate Purchase Price paid by Buyer for all Facilities Purchased under this Agreement prior to the applicable date.
“Performance Guaranty Payment Rate” means $[***] per kWh.
153.“Performance Standards” is defined in Section 3.9.
154.“Performance Warranty” is defined in Section 5.4(1).
155.“Performance Warranty Bank” means, with respect to the Performance Warranty, a tracking account maintained by Seller setting forth the “banked” differences in kWh based on calculation of the Performance Warranty with respect to the Portfolio during the Warranty Period.
156.“Permits” means all Governmental Approvals that are necessary under applicable Legal Requirements or this Agreement to have been obtained at such time in light of the stage of development of the Scheduled Portfolio (and the applicable Facility and Site) to site, construct, install, test, operate, maintain, repair, own, use, remove, replace or decommission each Facility as contemplated in this Agreement.
157.“Permitted Liens” means any (a) Liens that are released or otherwise terminated at or prior to the date of achievement of the Purchase Date of the encumbered assets; (b) obligations or duties to any Governmental Authority arising in the ordinary course of business (including under licenses and Permits held by Buyer, to the extent de minimis in nature, and under all Legal Requirements); (c) obligations or duties under easements, leases or other property rights, in each case to the extent comprising a part of and referenced in the terms and conditions of the Site License, (d) Liens that arise from due and unpaid liabilities of Seller under this Agreement that are not dischargeable by timely payment of such liabilities (provided, that the circumstances described in clause (e)(ii) of this definition of “Permitted Liens” characterize any such Lien described in this clause (d)); (e) mechanics’, materialmen’s, repairmen’s and other similar liens arising in the ordinary course of business or incident to the construction, improvement or restoration of a Facility in respect of obligations (i) that are not yet due or (ii) that are being contested in good faith by appropriate proceedings so long as (x) such proceedings shall not involve any material risk of forfeiture, sale or loss of any part of such Facility (y) do not exceed $1,000,000 in the aggregate and (z) the payment thereof is fully covered by cash reserves, bonds or other security reasonably acceptable to Buyer; and (f) any other Liens agreed to in writing by Seller and Buyer.
158.“Person” means any individual, partnership, limited liability company, joint venture, corporation, trust, unincorporated organization, or governmental entity or any department or agency thereof.
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159.“Placed in Service” means, (A) with respect to any Facility (other than any Delayed Ancillary Equipment that is not intended to generate electricity (e.g., a Battery Solution)) the completion and performance of all of the following activities: (1) obtaining the necessary Governmental Approvals for the operation of such Facility and the sale of power generated by the Facility in accordance with clause (4) of this definition, (2) satisfactory completion of critical tests necessary for the synchronization and interconnection of such Facility in accordance with clause (3) of this definition and for the proper operation of such Facility in accordance with clause (4) of this definition, (3) synchronization of such Facility  onto the electric distribution and transmission system of the applicable Transmitting Utility and receipt of PTO, and (4) the commencement of regular, continuous, daily operation of such Facility and (B) with respect to any Delayed Ancillary Equipment that is not intended to generate electricity (e.g., a Battery Solution), such Delayed Ancillary Equipment is first placed in a condition or state of readiness and availability for its specifically assigned function, including by having been interconnected with the rest of such Facility; it being understood that (i) any references herein to “any of the events described in clauses (2) through (4) of the definition of ‘Placed in Service’” shall be interpreted to mean the foregoing clause (B) with respect to any Delayed Ancillary Equipment and (ii) notwithstanding this definition, any reference to “Facility” (including in connection with the phrase “Placed in Service”) shall include Delayed Ancillary Equipment where applicable.
160.“Placed in Service Date” means, with respect to a Facility, the date upon which such Facility is Placed in Service.
161.“Placed in Service Deadline” is defined in Section 3.4(1)(xii)(B).
162.“Portfolio” means, on an aggregate basis, all Bloom Systems, BOF and Ancillary Equipment to be owned by Buyer that are purchased pursuant to this Agreement and that have been incorporated into Facilities that have been, or are to be, Placed in Service and that have not thereafter been removed from the Portfolio and/or repurchased by Seller pursuant to the terms of this Agreement.
163.“Portfolio Warranty” is defined in Section 5.5(1).
164.“Power Module” means the complete assembly that contains the solid oxide fuel cell sub-system, contained by the hot box, that generates electrical power. 
165.“PTO” means permission to interconnect a Facility with the distribution or transmission facilities of the Transmitting Utility.
166.“Pre-COO Equipment Warranty” is defined in Section 3.3(1).
167.“Pre-COO Equipment Warranty Period” is defined in Section 3.3(1).
“Preexisting Seller Agreement” means any Contract, such as a services agreement, sale agreement, energy services agreement, power purchase agreement, engineering, procurement and construction agreement, capital expenditures agreement, warranty agreement or otherwise, not 

including an ESA or Site License, between an ESA Customer (or its predecessor) and any of Seller, an Affiliate of Seller or a financing partner of Seller, which Contract governed the ownership, sale, financing, installation, operation and/or maintenance of Bloom Systems (or similar or related equipment provided or serviced by Seller or its Affiliate or financing partner) or the use or purchase of electricity from Bloom Systems (or similar or related equipment), in each case, on such ESA Customer’s (or its predecessor’s) grounds.
168.“Pre-PIS Remarketing Activities” is defined in Section 4.8(2).
169.“Project Company” means a Person that is a wholly-owned subsidiary of Seller and an assignor (or intended assignor) under a Standby Facility Assignment Agreement, including but not limited to 2017 Fuel Cell Operating Company I, LLC, BDI and 2019 ESA Project Company, LLC.
170.“Project Information Spreadsheet” means, with respect to each Facility included in an Invoice Package, a certificate substantially in the form of Exhibit C covering such Facility.
171.“Project Model” means a financial model developed using the Base Case Model, as updated solely to the extent set forth in Section 2.6.
172.“Prudent Electrical Practices” means those practices, methods, equipment, specifications and standards of safety and performance, as the same may change from time to time, as are commonly used by a significant portion of the grid-tied fuel cell electrical generation industry operating in the United States and/or approved or recommended by the NERC as good, safe and prudent engineering practices in connection with the design, construction, operation, maintenance, repair and use of electrical and other equipment, facilities and improvements of electrical generating facilities, including any applicable practices, methods, acts, guidelines, standards and criteria of FERC and all applicable Legal Requirements.
173.“Purchase” is defined in Section 2.5.
174.“Purchase Date” means, with respect to a Facility, the date that the conditions set forth in Section 2.5(2) (as such conditions may be waived by Buyer in its sole discretion) are satisfied with respect to such Facility, as such date is evidenced in the Bill of Sale for such Facility.
175.“Purchase Order” means Buyer’s purchase order for a Facility or Facilities to be purchased by Buyer in substantially the form of Exhibit A.
176.“Purchase Price” means, with respect to a given Facility, the price for the design, installation and purchase of the Bloom Systems and BOF part of such Facility, based on the aggregate System Capacity thereof, as may be adjusted pursuant to Section 2.6. 
177.“Purchase Price Adder(s)” means, with respect to a given Facility, the price for the design, installation and purchase of any Ancillary Equipment included in such Facility, as set forth on Schedule 2.3 hereto. 
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178.“QBR” means during the Warranty Term, a quarterly business review between Buyer (or its Affiliate) and Seller.
179.“Qualified Appraiser” means a nationally recognized third-party appraiser reasonably acceptable to Buyer and Seller which shall (i) be qualified to appraise power systems similar to the Bloom Systems, and experienced in such businesses in the general geographic region of the relevant Facility, and (ii) not be associated with either Buyer or Seller or any Affiliate thereof. If the Parties cannot agree on a third-party appraiser within fifteen (15) days of a Party invoking the Appraisal Procedure, then Marshall & Stevens Incorporated shall act as the Qualified Appraiser.
180.“Quarterly Report” means a report including (A) an Event Log, (B) a forecasted balance of the Performance Guaranty Bank to be calculated pursuant to Section 5.2, and (C) the balance of the Performance Warranty Bank pursuant to Section 5.4(4).
181.“Raw Data” means a series of measurements of energy generation or other delivery, taken at pre-defined 15-minute intervals of each day from a revenue grade meter, used to calculate energy generation and to permit simple integration of software applications that standardize invoicing for each ESA Customer.
182.“Reinstallation Deadline” is defined in Section 3.4(1)(xii)(B).
183.“Release” means any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping, or disposing of any Hazardous Material.
“Representations Date” means the Agreement Date or, with respect to a Standby Facility, the applicable Assignment Date for such Standby Facility.
184. “Representatives” of a Party means such Party’s authorized representatives, including its professional and financial advisors.
“Repurchase Value” means, with respect to any Facility (including Underperforming Facilities), the greater of (a) the Fair Market Value of such Facility (as determined under the Appraisal Procedure if Buyer and Seller cannot agree as to that Fair Market Value within ten (10) days), and (b) 100% of the Aggregate Purchase Price for such Facility reduced, on each anniversary of the Commencement of Operations Date of such Facility commencing with the second such anniversary, in a straight-line manner by a value equal to the fraction of (i) 1, over (ii) the term of the applicable ESA plus [***] ([***]), examples of which are set forth on Schedule 1.2. 
185.“ROFR Threshold” is defined in Section 3.6(1).
186.“S&P” means Standard & Poor’s Global Ratings, a division of S&P Global Inc.
187.“Sanctioned Country” means, at any time, a country, region or territory which is itself the subject or target of any Sanctions.

188.“Sanctioned Person” means, at any time, (a) any Person listed in any Sanctions-related list of designated Persons maintained by the Office of Foreign Assets Control of the U.S. Department of the Treasury, the U.S. Department of State or in any Presidential Executive Order, (b) any Person operating, organized or resident in a Sanctioned Country or (c) any Person owned or controlled by any such Person or Persons described in the foregoing clauses (a) or (b).
189.“Sanctions” means all economic or financial sanctions or trade embargoes imposed, administered or enforced from time to time by the U.S. government, including those administered by the Office of Foreign Assets Control of the U.S. Department of the Treasury or the U.S. Department of State.
190.“SC Incentives” is defined in Section 3.2(4).
191.“SCADA” means the supervisory control and data acquisition systems.
192.“Scheduled Portfolio” means, as of a given date of determination, the Customers, Sites and Facilities set forth in Schedule 1 (excluding Non-Scheduled Facilities and, prior to the applicable Assignment Date, each Standby Facility), as may be amended from time to time. 
193.“Second PUMA Consent” has the meaning set forth in the recitals.
194.“Seller” is defined in the preamble.
195.“Seller Attributes” is defined in Section 3.2(4).
196.“Seller Corporate Safety Plan” is set forth on Schedule 3.9.
197.“Seller Default” is defined in Section 12.1.
198.“Seller Deliverables” means, with respect to each Facility, the items listed in Schedule 3.4(1)(xv).
199.“Seller Facilities Assignee” is defined in Section 2.11(2).
200.“Seller Indemnitee” is defined in Section 13.2.
“Seller’s Intellectual Property” is defined in Section 11.1.
“Seller’s Offer Notice” is defined in Section 3.6(2).
201.“Service Fees” is defined in Section 4.3(1).
202.“Service Fee Adders” means an addition to the Service Fees for certain Facilities based on the Ancillary Equipment included in such Facilities, as set forth on Schedule 4.3(1) hereto, as the same may be updated from time to time by the mutual written agreement of the Parties.
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203.“Service Provider” is defined in Section 14.14.
204.“Service Technicians” is defined in Section 4.2(4).
205.“Set-Off Amount” is defined in Section 4.3(6).
206.“SH Equipment” means [***] purchased by, and delivered to, the Seller in 2019, in each case identified with [***]. 
207.“SH Sale Agreement” means the Purchase and Sale Agreement, dated as of December 30, 2019, by and between Buyer and Seller.
208.“Shipment” means for each Bloom System, shipment of such Bloom System from Seller’s manufacturing facility to the Site DDP (Incoterms 2010).
209.“Shipment Date” means for each Bloom System, the date of Shipment.
210.“Side Letter Agreement” means that certain Side Letter Agreement, dated as of the First Agreement Date, by and between Buyer and Seller.
211.“Site” means the parcel of land licensed from an ESA Customer to Buyer under a Site License and all easements appurtenant, easements in gross, license agreements and other rights running in favor of Buyer which provide access to the applicable Facility (including, as applicable, a New Customer Site).
212.“Site License” means each agreement between Buyer and an ESA Customer regarding the license or similar contractual arrangement providing Buyer with the right of access to a Site for the purposes of performing Buyer’s obligations pursuant to the applicable ESA.
213.“Site Preparation Services” means preparing each Site for installation of a Facility, obtaining the required Permits to develop, construct, commission, operate and maintain the Facility, providing for natural gas interconnection facilities, the Electrical Interconnection Facilities and any other ancillary facilities and equipment between the Facility and the applicable Transmitting Utility and otherwise performing the tasks required to prepare each Site for the Facility to ultimately attain Commencement of Operations.
214.“Software” shall mean all computer software that is necessary for Buyer to own, operate, maintain and repair the Facilities in compliance with the terms of this Agreement, the ESAs, the Incentive Agreements and the Site Licenses.
215.“Software License” is defined in Section 11.2(1).
216.“[***] ESA” means the Energy Services Agreement, by and between 2017 Fuel Cell Operating Company I, LLC, a Delaware limited liability company (but, from and after the applicable Assignment Date, Buyer as assignee of such Project Company) and the [***], dated as of October 29, 2019.

217.“Spares” is defined in Section 2.8.
218.“Specifications” means the specifications for the Bloom Systems and Battery Solutions, as applicable, as set forth in Schedule 3.3(1).
“Standby Facility” means the facilities, equipment, sites and any other rights, interests and duties in respect of ESAs designated as “Standby Facilities” on Part I to Schedule 2.10.
“Standby Facility Assignment Agreement” means an assignment and assumption agreement in substantially the form attached hereto as Exhibit K, signed by Buyer, Seller and any of (as applicable) the Project Companies.
“Standby Facility Conditions” means, with respect to any Standby Facility, (A)(x) except in respect of [***] or the Home Depot ESA, execution and delivery by all required Persons of (i) to the reasonable satisfaction of Buyer, any required consents to assignment of the relevant customer agreements and related documents (including credit support provided pursuant to such customer agreements and agreements and other documents in respect of incentives, attributes and ancillary services), excluding, for the avoidance of doubt, those agreements set forth in Part III to the attached Schedule 2.10, and (ii) a Standby Facility Assignment Agreement or (y) in respect of each of [***] and the Home Depot ESA, to the satisfaction of Buyer in its sole discretion: (i) completion of due diligence and other review of such ESA, ESA Customer, Facilities, Sites and related matters by Buyer, (ii) execution and delivery by all required Persons of any required consents to assignment of the relevant customer agreements and related documents (including credit support provided pursuant to such customer agreements and agreements and other documents in respect of incentives, attributes and ancillary services), and (iii) execution and delivery by all required Persons of a Standby Facility Assignment Agreement and any consents, amendments or other modifications or supplements in respect of this Agreement requested by Buyer; (B) to the extent there are any amendments, modifications or supplements to any of the Material Project Documents listed in Part II of the attached Schedule 2.10 in respect of the applicable Standby Facility, Buyer’s approval of such amendment, modification or supplement, in its sole discretion (provided, that Seller shall have delivered to Buyer true, correct and complete copies of any such amendments, modifications or supplements and an updated version of such Schedule 2.10); and (C) that the representations and warranties made by Seller in Part IV to Schedule 2.10 attached hereto and Section 8.1 hereunder shall be true and correct as of the applicable Assignment Date as though made on and as of such Assignment Date with respect to such Standby Facility.
219.“State Sanctions List” means a list that is adopted by any state Governmental Authority within the United States of America to the extent applicable to any Facility and pertaining to Persons that engage in investment or other commercial activities in Iran or any other country that is a target or Sanctions.
220.“System Attributes” means, with respect to a given Facility, any environmental attributes, energy credits, incentives or other rights, credits, benefits or interests arising in connection with 
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the ownership or operation of such Facility (including capacity attributes and ancillary services). For the avoidance of doubt, System Attributes do not include the ITC.
221.“System Capacity” means, with respect to a Bloom System, the “System Capacity” set forth on the applicable specification sheet provided by the manufacturer of such Bloom System. The aggregate System Capacity of the Bloom Systems comprising each Facility shall (i) be reflected in the Bill of Sale delivered by Seller to Buyer with respect to such Facility and (ii) shall not exceed the System Capacities for such Bloom Systems set forth in the applicable ESAs and the Base Case Model and subsequent Project Models. 
222.“[***] ESA” means the Energy Services Agreement, by and between 2019 ESA Project Company, LLC, a Delaware limited liability company (but, from and after the applicable Assignment Date, Buyer as assignee of such Project Company) and [***], effective as of November 22, 2019.
“[***] Equipment”  means “Customer Equipment” as defined in the Energy Services Agreement, dated as of December 19, 2019, by and between Buyer, as assignee of BDI, a Delaware corporation, and [***].
223.“Tax” (and, with correlative meaning, “Taxes” and “Taxable”) means:
(1)any taxes, customs, duties, charges, fees, levies, penalties or other assessments imposed by any federal, state, local or foreign taxing authority, including, but not limited to, income, gross receipts, windfall profit, severance, property, production, sales, use, license, excise, franchise, net worth, employment, occupation, payroll, withholding, social security, alternative or add-on minimum, ad valorem, transfer, stamp, or environmental tax, or any other tax, custom, duty, fee, levy or other like assessment or charge of any kind whatsoever, together with any interest, penalty, addition to tax, or additional amount attributable thereto; and
(2)any liability for the payment of amounts with respect to payment of a type described in clause (i), including as a result of being a member of an affiliated, consolidated, combined or unitary group, as a result of succeeding to such liability as a result of merger, conversion or asset transfer or as a result of any obligation under any tax sharing arrangement or tax indemnity agreement.
224.“Tax Equity Items” means each of the items listed on Schedule 1.1.
225.“Tax Loss” means any and all federal income tax detriments suffered by Buyer, determined assuming a corporate tax rate equal to the Corporate Tax Rate and including any loss, disallowance, reduction of, recapture, or inability to claim, in each case, in whole or in part, the ITC or any federal income tax depreciation benefit, plus any penalties, interest or additions to tax relating thereto. 
226.“Tax Proceeding” is defined in Section 10.3(5). 

227.“Tax Records” means any and all records, reports or other documentation required to be maintained by Seller with respect to each Facility (A) under Sections 6.1(1)(i) and (ii), to support (I) the ITC eligibility of such Facility, (II) the date upon which such Facility was “placed in service” within the meaning of Section 48(a) of the Code, (III) the date upon which the construction of such Facility began within the meaning of Section 48(a)(6) of the Code and Notice 2018-59 and (IV) the determination that such Facility has not been taken out of service or otherwise subject to recapture of the ITC pursuant to Section 50 of the Code; and (B) under Section 4.2(3), to support compliance with the so-called “80/20 rule” in accordance with the principles set forth in Revenue Ruling 94-31. 
228.“Term” means the period which (a) shall commence on the First Agreement Date and (b) shall, unless terminated earlier under ARTICLE XII of this Agreement or unless extended by mutual agreement of the Parties, terminate on the date that is the last day of the Warranty Period for the last Facility subject to the Warranty Period.
“[***] Equipment” means “Customer Equipment” as defined in the Energy Services Agreement, dated as of December 31, 2019, by and between Buyer, as assignee of BDI, a Delaware corporation, and [***], as amended by Amendment No. 1 to Energy Services Agreement, dated as of March 19, 2020.
229.“Third Party Claim” means any claim, action, or proceeding made or brought by any Person who is not (a) a Party to this Agreement, or (b) an Affiliate of a Party to this Agreement.
230.“Third Party Consents” means all consents, waivers, approvals and permissions that are necessary to have been obtained from any Persons (other than Buyer or any Governmental Authority), in each case, under applicable Facility Contracts, at such time in light of the stage of development of the Scheduled Portfolio (and the applicable Facility and Site) to site, construct, install, test, operate, maintain, repair, own, use, remove, replace or decommission each Facility as contemplated in this Agreement, in each case in accordance with such applicable Contracts so as not to cause any breach, violation, inaccuracy or conflict thereunder or to demonstrate such Person’s confirmation, ratification or other approval of the achievement of any milestone, however defined, under such Contract; provided, for the avoidance of doubt, that Governmental Approvals and Permits shall not be deemed to be Third Party Consents hereunder, and provided, further, PTO is not a Third-Party Consent.
231.“Third Party Warranty” is defined in Section 3.7.
232.“Tolling Rate” means with respect to any period and any ESA, the specified rate used for the supply of electricity or for the conversion of natural gas into electricity in the calculation of the fees owed to Buyer by the ESA Customer pursuant to such ESA. Tolling Rates are set forth on a dollar-per-kWh ($/kWh) basis or a dollar-per-MMBtu ($/MMBtu) basis, as indicated in the applicable ESA.
233.“Training Materials” is defined in Section 14.15.
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234.“Tranche” means an amount of Facilities, measured on the basis of the aggregate System Capacity of the Bloom Systems comprising such Facilities (in kW), for which Seller is invoicing Buyer pursuant to Section 2.3(1).
235.“Tranche Notice” is defined in Section 2.2.
“Transaction” is defined in Section 10.1.
236.“Transaction Documents” means this Agreement, the MIPA, the Long-Term Agreement, the Administrative Services Agreement, the Side Letter Agreement, the Agreement Date Consent and the Payment Certificates (in each case, notwithstanding whether effective on or prior to the Agreement Date).
237.“Transmitting Utility” means, with respect to a Facility, the local electric utility company in whose territory the Facility is located.
238.“Underperforming Facility” means any Facility that fails to deliver, in any Calendar Quarter which caused the Portfolio to fail to satisfy the Performance Warranty, a number of kWh greater than or equal such Facility’s pro rata portion of the Minimum kWh in such Calendar Quarter.
239.“Unrestricted Cash on Hand” means book cash and Cash Equivalent Investments of the Seller held in accounts that are not subject to any restriction on use or designated for a particular purpose or any Lien; provided that the amount of such cash and Cash Equivalent Investments shall have been reconciled to the books and records (including bank statements) of the Seller in a manner reasonably acceptable to the Buyer.
240.“UPM” means an uninterruptible ultracapacitor to be included in certain of the Facilities.
“[***]” means [***].
“[***] ESAs” means, as amended, assigned, modified or supplemented from time to time (i) the Master Fuel Cell Power & Services Agreement ([***]), dated as of December 31, 2019, by and between Buyer, as assignee of BDI, as provider, and [***] (referencing in its Schedule 2.2 [***]) and (ii)  the Master Fuel Cell Power & Services Agreement, dated as of December 31, 2019, by and between Buyer, as assignee of BDI, as provider, and [***] (referencing in its Schedule 2.2 [***]).
241. “Warranty Correction Date” means the date on which Seller has completed the repair, modification or replacement of a Facility or Facilities or component thereof under the Efficiency Warranty or the Performance Warranty, as notified to Buyer in writing.
242.“Warranty Period” means, for each Facility, the Manufacturer’s Warranty Period, as extended or renewed by Buyer pursuant to Section 4.1(2) or Section 4.1(3), in which case the Warranty Period shall mean the specified end date of the Warranty Period as so extended or 

renewed, unless the applicable ESA expires or terminates prior to such date, in which case the Warranty Period shall end on the date on which such ESA expires or terminates. For the avoidance of doubt, the Warranty Period shall in all events end, with respect to each Facility, at the expiration of the Extended Warranty Period.
243.“Warranty Specifications” means the Performance Warranty, the Performance Guaranty, and the Efficiency Warranty.
Section a.Other Definitional Provisions.
(i)All exhibits, annexes, and schedules attached to this Agreements are incorporated herein by this reference and made a part hereof for all purposes. References to sections, exhibits, annexes and schedules are, unless otherwise indicated, references to sections, exhibits, annexes and schedules to this Agreement. References to a section shall mean the referenced section and all sub-sections thereof. Any exhibit, annex, or schedule defined or referred to herein means (unless otherwise indicated herein) such exhibit, annex or schedule as from time to time amended, amended and restated, modified or supplemented in writing.
(ii)As used in this Agreement and in any certificate or other documents made or delivered pursuant hereto or thereto, financial and accounting terms not defined in this Agreement or in any such certificate or other document, and financial and accounting terms partly defined in this Agreement or in any such certificate or other document to the extent not defined, will have the respective meanings given to them under GAAP. To the extent that the definitions of financial and accounting terms in this Agreement or in any such certificate or other document are inconsistent with the meanings of such terms under GAAP, the definitions contained in this Agreement or in any such certificate or other document will control.
(iii)The words “hereof”, “herein”, “hereunder”, and words of similar import when used in this Agreement will refer to this Agreement as a whole and not to any particular provision of this Agreement.  Section references contained in this Agreement are references to Sections in this Agreement unless otherwise specified. The term “including” will mean “including without limitation”.
(iv)The definitions contained in this Agreement are applicable to the singular as well as the plural forms of such terms and to the masculine as well as to the feminine and neuter genders of such terms.
(v)Any agreement or instrument defined or referred to herein or in any instrument or certificate delivered in connection herewith means (unless otherwise indicated herein) such agreement or instrument as from time to time amended, amended and restated, modified or supplemented in writing and includes (in the case of agreements or instruments) references to all written attachments thereto and written instruments incorporated therein.
(vi)Any references to a Person are also to its successors and permitted assigns.
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(vii)References to any statute, code or statutory provision are to be construed as a reference to the same as it exists and is updated from time to time, and include references to all bylaws, instruments, orders and regulations for the time being made thereunder or deriving validity therefrom unless the context otherwise requires.
(viii)Reference to days shall mean calendar days unless the term “Business Day” is used. 
(ix)The singular includes the plural and the plural includes the singular;
(x)In the computation of periods of time from a specified date to a later specified date, the words “to” and “until” each mean “to but excluding” and the word “through” means “to and including”; and
(xi)The word “including” shall be construed as “including without limitation”.
ARTICLE II.
PURCHASE AND SALE
Section b.Appointment of Seller
.  Subject to Section 14.13, Buyer hereby appoints Seller to act as Buyer’s provider of Bloom Systems, Ancillary Equipment, BOF, Installation Services, and Facility Services, and Seller hereby accepts such appointment and agrees to provide all such Bloom Systems, Ancillary Equipment, BOF, Installation Services, and Facility Services, inclusive of all labor, equipment, and tests therefor, in accordance with the terms and conditions set forth in this Agreement. Seller’s entire consideration for supplying the Bloom Systems, Ancillary Equipment and BOF shall be the Equipment Fee portion of the Aggregate Purchase Price for such Facility, and Seller’s entire consideration for supplying the Installation Services with respect to a Facility through Commencement of Operations for such Facility shall be the Installation Fee portion of the Aggregate Purchase Price for such Facility, and in each case Seller shall bear the financial risk regarding any cost overruns, claims from subcontractors and other liabilities, in accordance with the terms hereof. Following Commencement of Operations with respect to a Facility, Seller shall be entitled to Services Fees in respect of Facility Services rendered with respect to such Facility as described in Section 4.3.
Section c.Purchase Orders
.  In connection with the First Agreement Date and thereafter not later than fifteen (15) Business Days prior the first date of each Calendar Quarter, Seller will provide to Buyer a tranche notice substantially in the form hereto attached as Exhibit B (each, a “Tranche Notice”), which shall contain (a) the aggregate System Capacity of the Facilities that Seller reasonably expects will satisfy the applicable Deposit Milestones in such Calendar Quarter, and (b) a draft Purchase Order from Buyer for such Facilities. So long as no Seller Default or Funding Suspension Event described in clause (A) or clause (B) of the definition thereof has occurred and is continuing hereunder, Buyer will, within five (5) Business Days of such notice, submit to Seller an executed 

Purchase Order for such Facilities.  So long as no Buyer Default has occurred and is continuing hereunder, Seller shall promptly accept each such Purchase Order by countersigning and returning it to Buyer; provided that the failure of Seller to countersign or return to Buyer a Purchase Order shall not invalidate such Purchase Order, and Seller shall be obligated to deliver the Bloom Systems, Ancillary Equipment and BOF comprising such Facility under such Purchase Order as contemplated by this Agreement.
Section d. Invoicing of Purchase Price
.  Seller shall invoice Buyer hereunder as follows:
On or after the Deposit Date for a Tranche, a portion of the Purchase Price for such Tranche in the amount of [***] dollars per kW ($[***]/kW), calculated on the basis of the System Capacity of the Bloom Systems to be included in the Facilities comprising such Tranche (and not calculated in any way to include any Purchase Price Adders).
(i)On or after the Delivery Date of each Facility,
in the event that such Facility was previously included in a Tranche for which Buyer has made payment of a portion of the Purchase Price, [***] dollars per kW ($[***] /kW) for each Bloom System in such Facility calculated based on the System Capacity of such Bloom Systems, plus (2) [***] percent [***]% of the Purchase Price Adders (excluding the Purchase Price Adder for any Delayed Ancillary Equipment) applicable to such Facility, if any; or
subject to Section 2.4(1)(ii)(B), (1) in the event that such Facility was not previously included in a Tranche for which Buyer has made payment of a portion of the Purchase Price, [***] dollars per kW ($[***]/kW) for each Bloom System in such Facility calculated based on the System Capacity of such Bloom System, plus (2) [***] percent ([***]%) of the Purchase Price Adders (excluding the Purchase Price Adder for any Delayed Ancillary Equipment) applicable to such Facility, if any.
(ii)On or after the Commencement of Operations Date for each Facility, (1) the remainder of the Aggregate Purchase Price (but not including the Purchase Price Adder for, or Taxes with respect to, any Delayed Ancillary Equipment), if any, not previously paid, as may be calculated, and adjusted from time to time, in accordance with Section 2.6, for such Facility, including (2) one hundred percent (100%) of the Taxes to be paid by Buyer pursuant to Section 2.3(6) for such Facility (except for Taxes with respect to any Delayed Ancillary Equipment).
(iii)On or after (i) the Delivery Date for Delayed Ancillary Equipment, the Purchase Price Adder for such Delayed Ancillary Equipment and (ii)  the Commencement of Operations Date for Delayed Ancillary Equipment, the remainder of the Aggregate Purchase Price, if any, not 
35

previously paid for such Delayed Ancillary Equipment, as adjusted from time to time in accordance with Section 2.6, including one hundred percent (100%) of the Taxes solely with respect to such Delayed Ancillary Equipment, to be paid by Buyer pursuant to Section 2.3(7).
(iv)Each invoice issued pursuant to Sections 2.3(1) through 2.3(3), with respect to each Facility covered thereunder, shall contain the documents and other information described in the following clauses (i) through (vii) (such documents and other information, or (if applicable) the documents and other information described in Section 2.3(6)(i) through (iii), issued in respect of any invoice are collectively an “Invoice Package”):
i.a Certificate of Deposit Milestone Completion, a Certificate of Delivery Milestone Completion, and/or a Certificate of COO, as applicable;
ii.a completed Project Information Spreadsheet, which shall include: 
a.Buyer’s Purchase Order number;
b.the Tranche (indicated by the invoice date) in which such Facility is deemed to be included;
c.the Site on which such Facility will be installed;
d.the serial number and System Capacity of each Bloom System comprising such Facility;
e.a components list of all Ancillary Equipment to be installed in connection with such Facility, if any;
f.the Aggregate Purchase Price, including details of (x) all amounts previously paid towards or credited against the Purchase Price and any Purchase Price Adders (excluding any Delayed Ancillary Equipment), if applicable, and (y) all amounts remaining due and payable on the Aggregate Purchase Price, including Taxes;
g.other than with respect to Facilities that are reasonably expected to be Placed in Service on or before December 31, 2019, a detailed description of (i) the year “construction began”, (ii) the method used for the “beginning of construction” with respect to such Facility, (iii) for each Facility that began construction through the incorporation of (A) Modules that were purchased by the Company under SH Sale Agreement, (B) Modules described in [***] Module Sale Agreement, and/or (C) SH Equipment, (x) the type and serial numbers of such Modules and/or SH Equipment (or, in the case of SH  Equipment similar identifying information on a batch basis in lieu of a serial number), and (y) the ratio of the cost of such Modules and/or SH Equipment over the aggregate cost of such Facility, expressed as a percentage (which percentage will be at least 

[***]%), and (iv) for each Facility that began construction by a method other than as set forth in the foregoing clause (iii), the method used for the “beginning of construction” with respect to such Facility, and evidence satisfactory to the Buyer of the factual means by which Seller complied with such method;
h.the Delivery Date or expected Delivery Date, as applicable;
i.the Purchase Date or expected Purchase Date, as applicable; 
j.the Commencement of Operations Date or expected Commencement of Operations Date, as applicable;
iii.solely with respect to any invoice issued pursuant to Section 2.3(2) or Section 2.3(3), a list of, and copies of, all then applicable Permits, PTO (only pursuant to Section 2.3(3), to the extent PTO is memorialized in writing), other Governmental Approvals, Third Party Consents, Incentive Agreements, Interconnection Agreements and other Facility Contracts, to the extent not yet delivered and required to have been obtained as of such date;
iv.a waiver and release of liens by Seller as general contractor hereunder, conditioned only upon final payment of the Aggregate Purchase Price for the Facility, substantially in the statutorily prescribed form required by the applicable state Governmental Authority in which the Site is located (and, if there is no such prescribed form, then in form and substance reasonably satisfactory to Buyer); 
v.with respect to any Facility that is related thereto, the applicable Tax Equity Item;
vi.solely with respect to any invoice issued pursuant to Section 2.3(2), each of the Delivery Milestone Deliverables set forth on Schedule 2.5 to the extent not yet delivered; and
vii.solely with respect to any invoice issued pursuant to Section 2.3(3), the Seller Deliverables identified on Schedule 3.4(1)(xv) as required to be delivered before the Commencement of Operations Date to Buyer and each of the COO Milestone Deliverables set forth on Schedule 2.5 to the extent not yet delivered.
(v)Each invoice and Invoice Package delivered pursuant to Section 2.3(4), with respect to the Delayed Ancillary Equipment covered thereunder, shall contain the documents and other information described in the following clauses (i) through (iii):
viii.a Certificate of Delivery Milestone Completion, and/or a Certificate of COO, as applicable;
ix.a completed Project Information Spreadsheet, which shall include: 
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a.Buyer’s Purchase Order number;
b.the Site on which such Delayed Ancillary Equipment will be installed;
c.a components list of such Delayed Ancillary Equipment,
d.with respect to the Facility of which the Delayed Ancillary Equipment comprises a part, the Aggregate Purchase Price of such Facility, including details of (x) all amounts previously paid towards or credited against the Purchase Price and any Purchase Price Adders, if applicable, (y) the Purchase Price Adder for the Delayed Ancillary Equipment, and (z) all amounts remaining due and payable on the Aggregate Purchase Price, including Taxes;
e.the Delivery Date;
f.the Purchase Date or expected Purchase Date, as applicable;
g.the Commencement of Operations Date or expected Commencement of Operations Date, as applicable; 
h.the increased Tolling Rate in the related ESA contemplated in Section 2.4(1)(iv); and
x.a waiver and release of liens by Seller as general contractor hereunder, conditioned only upon final payment of the Aggregate Purchase Price for such Delayed Ancillary Equipment (substantially in the statutorily prescribed form required by the applicable state Governmental Authority in which the Site is located (and, if there is no such prescribed form, then in form and substance reasonably satisfactory to Buyer)).
(vi)Buyer shall pay all state and local sales, use or other transfer Taxes (other than state real estate or controlling interest transfer Taxes) required to be paid by Buyer and attributable to the transfer of the Facility to Buyer, except that Seller shall be responsible for and pay any Taxes arising as a result of any components of such Facility or any Facility being acquired from a source outside of the United States; provided that any Taxes that are required by applicable law to be paid prior to the date upon which Buyer is obligated to pay such Taxes pursuant to Section 2.3(3) or Section 2.3(4), as applicable, shall be paid by Seller when due and shall be reimbursed by Buyer in accordance with (i) this Section 2.3(7) and (ii) Section 2.3(3) or Section 2.3(4), as applicable.
Section e.Payment of Purchase Price
.

(i)Buyer shall pay all outstanding invoices in respect of any portion of the Aggregate Purchase Price (including the Purchase Price Adder for Delayed Ancillary Equipment) on a monthly basis in accordance with the terms of this Section 2.4; provided, (x) Buyer’s obligation to pay any amounts due and payable under any such invoice shall be subject to the satisfaction by Seller of the following conditions precedent and (y) Buyer shall have no obligation to pay any portion of the Aggregate Purchase Price in respect of a Delayed Facility (or Component thereof) at any time it appears on the Delayed Facilities List:
xi.with respect to an invoice delivered pursuant to Section 2.3(1) and Section 2.3(5) for a Tranche that reached the Deposit Milestone Date, (A) Seller shall have executed and delivered a complete Certificate of Deposit Milestone Completion, together with the remaining Invoice Package, to Buyer, (B) Seller shall have not included in such invoice any amounts for Purchase Price Adders or Taxes, (C) no Funding Suspension Event shall have occurred and remains un-remedied (provided, to the extent this condition (C) fails to be satisfied solely because of a Funding Suspension Event described in clause (C) of the definition thereof, this condition (C) shall only affect any Facilities to which such described Funding Suspension Event is then applicable), and (D) as of the last day of the month most recently ended, (I) [***] and (II) [***], in each case as certified by the Chief Financial Officer of Seller in a written certificate that sets forth calculations of each of the foregoing, together with reasonably supporting detail, in the form attached hereto as Exhibit M; 
xii.with respect to an invoice delivered pursuant to Section 2.3(2) and Section 2.3(5) for a Facility that reached the Delivery Date, (A) Seller shall have executed and delivered a completed Certificate of Delivery Milestone Completion, together with the remaining Invoice Package, to Buyer, (B) if such Facility was not previously included in a Tranche for which Buyer has made an earlier payment of a portion of the Purchase Price as described in Section 2.3(2)(ii), Buyer shall have consented to such invoice, (C) Seller shall have not included in such invoice any Taxes, and (D) no Funding Suspension Event shall have occurred and remains un-remedied (provided, to the extent this condition (D) fails to be satisfied solely because of a Funding Suspension Event described in clause (C) of the definition thereof, this condition (D) shall only affect any Facilities to which such described Funding Suspension Event is then applicable); 
xiii.with respect to an invoice delivered pursuant to Section 2.3(3) and Section 2.3(5) for a Facility that reached the Commencement of Operations Date, (A) Seller shall have executed and delivered a completed Certificate of COO, together with the remaining Invoice Package, to Buyer, and (B) no Funding Suspension Event described in clause (C) of the definition thereof shall have occurred with respect to an applicable Facility and remains un-remedied; provided the Parties will work in good faith to resolve how to fund the unfunded portion of the Aggregate  Purchase Price;
xiv.with respect to an invoice delivered pursuant to Section 2.3(4) and Section 2.3(6) for Delayed Ancillary Equipment that reached the Delivery Date, (A) the related ESA 
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shall provide for an increased Tolling Rate that reflects the addition of such Delayed Ancillary Equipment, which increase is legally enforceable against the applicable ESA Customer, (B) Seller shall have executed and delivered a completed Payment Certificate, together with the remaining Invoice Package, to Buyer, (C) Seller shall have not included in such invoice any Taxes, and (D) no Funding Suspension Event shall have occurred and remains un-remedied (provided, to the extent this condition (D) fails to be satisfied solely because of a Funding Suspension Event described in clause (C) of the definition thereof, this condition (D) shall only affect any Facilities to which such described Funding Suspension Event is then applicable); and
xv.with respect to an invoice delivered pursuant to Section 2.3(4) and Section 2.3(6) for Delayed Ancillary Equipment that reached the Commencement of Operations Date, (A) Seller shall have executed and delivered a completed Certificate of COO, together with the remaining Invoice Package, to Buyer, and (B) no Funding Suspension Event described in clause (C) of the definition thereof shall have occurred with respect to an applicable Facility and remains un-remedied.
(ii)Not less than ten (10) Business Days prior to the Invoice Due Date for all invoices to be paid by Buyer for the applicable calendar month, and in no event more than one time during a single calendar month (except as otherwise set forth in this Section 2.4(2)), Seller shall deliver to Buyer (A) a draft Payment Notice setting forth the anticipated aggregate amounts due and payable towards the Aggregate Purchase Price for the Tranche and/or all Facilities included in such Payment Notice to be paid in such month and (B) a draft invoice and draft Invoice Package (containing as many of the documents and information comprising such Invoice Package as Seller is able to provide as of such date) for such Tranche and/or Facilities; provided, that not more than one time per Calendar Quarter, Seller may provide written notice to Buyer of an Additional Invoice Due Date no later than ten (10) Business Days prior to such Additional Invoice Due Date (and Seller shall make all deliveries listed in clauses (A) and (B) of this Section 2.4(2) not later than (10) Business Days prior to such Additional Invoice Due Date for all invoices applicable thereto). If Buyer has no comments or objections on such draft Payment Notice, invoice or Invoice Package, it shall be deemed to have provided consent as required under Section 2.4(1)(ii)(B) for invoices delivered as described therein.
(iii)Not less than three (3) Business Days prior to the applicable Invoice Due Date or Additional Invoice Due Date, for all invoices to be paid by Buyer for such calendar month (or applicable to such Additional Invoice Due Date), Seller shall deliver to Buyer:
xvi.an executed Payment Notice, setting forth the actual aggregate amounts due and payable towards the Aggregate Purchase Price for the Tranche and/or all Facilities included in such Payment Notice, which amount shall in no event exceed the amount notified by Seller to Buyer in such applicable draft Payment Notice; and
xvii.a final invoice and Invoice Package, including Payment Certificates evidencing the achievement of all applicable Milestones achieved as of such date for all Milestones 

achieved by the applicable Tranche and/or Facilities; provided, that Tranches (or portions thereof) and/or Facilities that were not included in the applicable draft Payment Notice shall not be added to the executed Payment Notice without the prior written consent of Buyer.
(iv)Subject to Seller’s delivery of a complete invoice, Invoice Package and Payment Notice pursuant to Section 2.4(3), Buyer shall, on the applicable Invoice Due Date or Additional Invoice Due Date indicated in the executed Payment Notice delivered by Seller, make the applicable payment towards the Aggregate Purchase Price for each Tranche and/or Facility included in such Payment Notice for which Seller has delivered Payment Certificates, an invoice and the Invoice Package evidencing the satisfaction of the applicable Milestone(s).
(v)If Buyer defaults in any payment when due for any Facility (other than with respect to amounts being disputed in good faith), Seller may, on not less than five (5) Business Days prior notice to Buyer, at its option and without prejudice to its other remedies (until all such outstanding payment defaults have been cured), (i) suspend performance of its obligations hereunder for such Facility, or defer delivery of such Facility to Buyer and (ii) require that the payment of the portion of the Aggregate Purchase Price for future Facilities required under Section 2.3(2) and Section 2.3(2)(ii) above be made immediately prior to the Shipment of the applicable Bloom Systems, but Seller shall not be able to otherwise suspend performance of its obligations hereunder for other Facilities for which no such default exists.
(vi)With respect to any payment due from one party to the other pursuant to this Agreement, unless being contested in good faith, interest shall accrue daily at the lesser of a monthly rate of one percent ([***]%) or the highest rate permissible by law on the unpaid balance.
(vii)If an ESA is terminated with respect to a Facility, after such Facility reaches the Delivery Milestone, but prior to the date such Facility achieves any of the events described in clauses (2) through (4) of the definition of “Placed in Service”, then (at Buyer’s sole discretion) such Facility shall be deemed to be removed from the Scheduled Portfolio, and Seller shall (A) refund any payments previously paid by Buyer for such Facility, in accordance with Section 2.6 and (B) remove such Facility in accordance with Section 4.10(1). If, as of the Commencement of Operations Date Deadline, there exist any Late Facility or Late Facilities (including any applicable Delayed Ancillary Equipment), then (at Buyer’s sole discretion) (I) Seller will refund to Buyer any payments made under Section 2.4 in respect of such Late Facility to Buyer in accordance with Section 2.11(8), together with such other amounts as are required pursuant to Section 2.11(8), and (II) such Late Facility or Late Facilities shall, if any Component thereof has been Delivered, be subject to (but without duplication of any payment obligations set forth in) Buyer’s rights and remedies pursuant to Section 4.10(1) (provided, that without limiting any of Buyer’s other rights and remedies pursuant to Section 4.10(1), Buyer shall not exercise the remedy described in Section 4.10(1)(iv) with respect to an affected Facility during ongoing negotiations of a 2020 Facilities Assignment in respect of such Facility, as long as consummation of such 2020 Facilities Assignment without unreasonable delay remains reasonably likely). Neither Section 12.6 nor Section 12.9 shall provide any excuse from, or justification for delay or 
41

reduction of, the obligations of Seller under this Section 2.4(7) (excluding, if applicable, to the extent and for the duration necessary, Seller’s obligations under Section 4.10(1)(iv)). With respect to a given Facility, payments made hereunder with respect to the Equipment Fee for each Facility shall be, from and after the Placed in Service Date, irrevocable and non-refundable, and non-cancellable, except as expressly set forth herein. This Section 2.4(7) shall not limit any of Buyer’s rights and remedies pursuant to Section 2.11 or Section 3.4(1)(xii).
(viii)The Aggregate Purchase Price for a Facility shall be allocated, for purposes of Section 1060 of the Code and the Treasury Regulations thereunder, consistently with the cost segregation allocation information provided in the Appraisal with respect to such Facility and in accordance with Treasury Regulations Section 1.1060-1(e). The Parties shall make consistent use of the cost segregation allocation information reflected in the Appraisal for all income Tax purposes and in all filings, declarations and reports with the IRS (or where applicable, state and local taxing authorities) in respect thereof, including any reports that may be filed under Section 1060 of the Code, and in any proceeding related to the determination of any Tax, neither Buyer nor Seller shall contend or represent that such is not a correct allocation for income Tax purposes. The Parties shall allocate and report to the appropriate taxing authorities any adjustments to the Purchase Price, including as a result of any payment made subsequent to the applicable Purchase Date pursuant to Section 2.3(3), any adjustments pursuant to Section 2.6 or any payment for indemnification hereunder, in accordance with Treasury Regulations Section 1.1060-1(e) and this Section 2.4(8).
Section f.Purchase and Sale of Facilities
.
(i)Upon the satisfaction of the conditions set forth in Section 2.5(2) (as may be waived by Buyer in its sole discretion) with respect to a Facility, Seller shall sell, assign, convey, transfer and deliver to Buyer, and Buyer shall purchase, assume and acquire from Seller, all of Seller’s right, title and interest in and to such Facility, to the extent not already purchased under SH Sale Agreement, effective as of the Purchase Date (a “Purchase”).
(ii)Conditions Precedent to the Purchase Date.  Buyer’s obligation to purchase, assume, and acquire a Facility from Seller shall be subject to Seller’s satisfaction, as of the Purchase Date, of the following conditions precedent (as may be waived by Buyer in its sole discretion):
xviii.(x) None of the events described in clauses (2) through (4) of the definition of “Placed in Service” shall have commenced or occurred, (y) the representation and warranty made by Seller in Section 8.1(12)(i) shall be true and correct as though made on the Purchase Date and (z) Seller shall have performed all of its obligations under Section 3.4(1)(i);
xix.Seller shall have delivered a Bill of Sale for such Facility to Buyer, dated as of the Purchase Date for such Facility;

xx.Seller shall have delivered all invoices for such Facility in respect of the Deposit Date and the Delivery Date, together with the respective Invoice Packages;
xxi.Such Facility is not at such time on the Delayed Facilities List; and
xxii.Seller has not been notified that a Funding Suspension Event described in clause (C) of the definition thereof and applicable to tax equity investor capital contributions in respect of such Facility’s Commencement of Operations Date in the applicable organizational documents has occurred or is, in the sole discretion of Buyer, reasonably likely to occur with respect to the applicable Facility and remain un-remedied as of the date last indicated by Seller to be the anticipated Commencement of Operations Date in respect of such Facility.
Section g.Purchase Price Adjustment for Portfolio Price Changes.

(i)From the First Agreement Date until the expiration of the last Calendar Quarter of 2020, subject to Section 2.6(5), no less than ten (10) Business Days prior to the end of each such Calendar Quarter (for purposes of this Section 2.6, the “Adjustment Quarter”), Seller shall deliver to Buyer a Project Model that reflects (i) with respect to each Facility that has achieved Commencement of Operations during and prior to the Adjustment Quarter,  the final Aggregate Purchase Price of such Facility, (B) the dates on which Buyer paid each portion of the Purchase Price, Purchase Price Adders, if any, Purchase Price Adders for Delayed Ancillary Equipment, if any,  and Taxes for such Facility, the amount of such payments, and any adjustments thereto, (C) such Facility’s actual Commencement of Operations Date, and (D) the installation and commissioning of any Delayed Ancillary Equipment with respect to a Facility that is or will be performed after such Facility’s Commencement of Operations Date,  with respect to each Facility that Seller reasonably expects to achieve Commencement of Operations following the delivery of such Project Model, (A) the dates on which Buyer has paid, or is expected to pay, each portion of the Purchase Price, the Purchase Price Adders, if any, Purchase Price Adders for Delayed Ancillary Equipment, if any, and Taxes for such Facility and the amount of such payments, and (B) the date on which Seller reasonably expects (x) such Facility to achieve its Delivery Milestone and Commencement of Operations and (y) any Delayed Ancillary Equipment in respect of such Facility to achieve its Delivery Milestone and Commencement of Operations,  the addition or removal of any Facilities or parts thereof as may be required pursuant to amendments to ESAs (or otherwise, including by operation of Sections 2.9, 4.7 or 4.8) during such Adjustment Quarter,  any refunds required pursuant to Section 2.4(7) or Section 3.4(1)(xii)(B) (it being understood that neither Section 12.6 nor Section 12.9 shall provide any excuse from, or justification for delay or reduction of, such refunds), (v) any adjustments made pursuant to Section 5.2(5), if applicable, (vi) any adjustments to Tolling Rates in ESAs, (vii) any adjustments to the System Capacity of any Facility, (viii) any reduction of the Aggregate Purchase Price of any Facility pursuant to Section 2.6(3), (ix) if the Project Information Spreadsheet indicates (or will indicate when delivered) that construction of such 
43

Facility within the meaning of Notice 2018-59 did not begin before January 1, 2020, a corresponding adjustment to the amount of the ITC percentage associated with such Facility, (x) any reimbursements or adjustments to the Tolling Rate pursuant to performance by Kaiser of any portion of the services under any Kaiser ESA, (xi)  subject in the aggregate to a cap of [***], reimbursement by Seller of any transactional costs, fees and expenses (including the reasonable costs, fees and expenses of legal counsel and modeling and financial advisors) incurred by Buyer, or by Buyer’s Affiliates or Representatives on its behalf, in connection with (A) any amendments (including this Agreement), modifications or supplements to any Transaction Documents, Facility Contracts or Contracts related to any Non-Scheduled Facility or (B) the modification after the Agreement Date of the list of facilities and sites comprising either of the Scheduled Portfolio or Non-Scheduled Facilities (including the negotiation of consents and amendments with ESA Customers and other necessary Persons), in each such case described in the foregoing clauses (xi)(A) or (xi)(B), arising out of or in connection with (I) the transactions relating to any Assignment Date in respect of any Standby Facility, (II) coordinating or adjusting the composition of, or schedule of construction with respect to, the Scheduled Portfolio considering the Parties’ desire to complete the Installation Services for the Facilities before the Commencement of Operations Date Deadline or (III) events or circumstances described in Section 2.9, Section 2.10 or Section 2.11, and (xii) any reimbursement obligations of Seller pursuant to the final sentence of Section 3.5(1). Each Project Model delivered pursuant to this Section 2.6(1) shall contain a change log listing all changes made or proposed to be made, compared with the immediately preceding Project Model (or, in respect of the first Project Model delivered hereunder, compared with the Base Case Model).
(i)Within five (5) Business Days of Buyer’s receipt of the Project Model, subject to Section 2.6(5), the Parties will mutually agree on an adjusted Aggregate Purchase Price for the Facilities, which shall be used as (i) the final Aggregate Purchase Price for all Tranches and Facilities invoiced and paid in the current (and then-expiring) Adjustment Quarter, and (ii) the Aggregate Purchase Price for purposes of all invoices delivered in the following Calendar Quarter (until the date of the next adjustment made pursuant to this Section 2.6). Within five (5) Business Days after such determination of the adjusted Aggregate Purchase Price, Buyer shall amend and reissue each invoice (not including any accompanying materials or lien waivers) previously delivered by Seller to Buyer for the current (and then-expiring) Adjustment Quarter to reflect the adjusted Aggregate Purchase Price determined pursuant to this Section 2.6(2). For the avoidance of doubt, no adjustments shall be made hereunder with respect to any payments from Buyer to Seller made in any Calendar Quarter prior to the Adjustment Quarter, except to the extent any information reportable under this Section 2.6 with respect to any such prior Calendar Quarter was not included or was incorrect when reported pursuant to this Section 2.6.  
(ii)Under no circumstance will (A) the combined Aggregate Purchase Price of all Facilities purchased hereunder, as may be adjusted pursuant to this Section 2.6, exceed the Maximum Aggregate Portfolio Purchase Price, (B) Buyer be obligated to make any payment in respect of the Aggregate Purchase Price of any Facility after Buyer has paid in full the Maximum Aggregate Portfolio Purchase Price or (C) Seller invoice Buyer under Section 2.4 or Buyer have any obligation to make payment under Section 2.4 after the Commencement of Operations Date 

Deadline, in each case unless otherwise agreed upon by both parties in writing. It is Seller’s responsibility to manage the forecasting and invoicing of payments in respect of the Aggregate Purchase Price such that Buyer never pays more, in the aggregate, than the Maximum Aggregate Portfolio Purchase Price. If at any time it is discovered that Buyer has paid, in respect of its obligations to pay the Aggregate Purchase Price, more in the aggregate than the Maximum Aggregate Portfolio Purchase Price, Seller shall refund or reimburse to Buyer such excess amount.  Any amount in excess of the Maximum Aggregate Portfolio Purchase Price that is refunded shall be deemed to have reduced pro rata the Aggregate Purchase Price of all Facilities.
(iii)Following the reissuance of invoices pursuant to Section 2.6(2),  if Buyer has made any over-payments or under-payments in respect of such invoices, Seller shall apply such over-payments as a credit against, or such under-payments as an addition to, the amount owed by Buyer with respect to the invoices to be paid on the final Invoice Due Date of the Adjustment Quarter (or, if such Invoice Due Date has passed, the next Invoice Due Date after the reissuance of invoices pursuant to Section 2.6(2)); provided, however, that if such adjustment results in Buyer owing no payments to Seller with respect to such invoices but fails to fully compensate Buyer for prior over-payments, Seller shall remit the remaining balance of any over-payments to Buyer within thirty (30) days following the applicable Invoice Due Date.
(iv)For the last Calendar Quarter of 2020, Seller will deliver a Project Model as contemplated by Section 2.6(1); provided, however, such Project Model will not include (i) any Facility Seller reasonably believes will be a Late Facility, (ii) any Facility in respect of which a 2020 Facilities Assignment has been consummated or (iii) any Delayed Facility returned to Seller (or in respect of which Buyer has otherwise exercised any refund or removal remedies) during such Calendar Quarter pursuant to Section 2.4(7) or Section 3.4(1)(xii)(B).
(v)Seller represents and warrants that as of the date each Project Model is delivered, the static coded cells reflecting specifics about each Facility on the “System Master Tab”, as evidenced by blue font therein (the “Static Cells”), will be true and accurate in all material respects as of such date. Seller will not change the contents of any Static Cells or any calculations in the “Formula Bar” of the Project Model without the prior written consent of Buyer. Except as expressly provided in the foregoing two sentences, Seller makes no representation, warranty or guaranty regarding (i) any other information set forth in the Project Model, including the amount of Buyer’s expected investment tax credit or depreciation or underwriting assumptions in the Project Model, or (ii) Buyer’s expected rate of return as a result of the purchase of the Facilities hereunder.
Section h.Purchase Price
.  Unless expressly stated otherwise, the Aggregate Purchase Price shall be the full consideration paid or to be paid by Buyer in exchange for all of Seller’s obligations under Article III, and Buyer shall have no obligation to make further payment with respect to such performance hereunder. Seller shall bear any cost overruns in connection with any services provided by a Service Provider. 
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Section i.Spare Parts. 
At any time, but not more frequently than once a month, Buyer may order from Seller up to [***] of critical replacement parts, including Power Modules and inverters (“Spares”), at Seller’s cost of direct procurement or manufacture. Seller will procure or manufacture (as applicable) and deliver to Buyer (DDP Incoterms, at a location to be agreed between the Parties, it being understood that agreement as to location is not required if Buyer elects for Seller to store such Spares pursuant to this Section 2.8) at such cost, together with a bill of sale and any other necessary documentation evidencing transfer of ownership to Buyer, such Spares within [***] from when both Parties execute and deliver a complete purchase order for such Spares (provided, that if Seller is diligently pursuing such procurement, manufacture and delivery, and if delivery is reasonably practicable within an additional thirty (30) days, then Seller shall have such additional thirty (30) days to deliver such Spares), which shall be executed and delivered by each Party promptly upon finalization of the terms of such purchase and sale, which may include the payment by Buyer of Seller’s costs in accordance with a milestone schedule. The parties will negotiate the customary terms and provisions of such purchase and sale in good faith. At Buyer’s election, Seller will store the Spares for a market storage fee and otherwise upon terms to be agreed in the related purchase order (provided, that Seller shall segregate any Spares owned by Buyer hereunder from the other inventory and equipment of Seller or any other Person, as applicable, and shall identify such Spares as belonging to Buyer throughout the period of such storage).
(2) On the  date that is [***] after delivery of the Spares from Seller to Buyer, Seller shall repurchase back from Buyer such Spares at the same price Buyer paid for such Spares, unless Buyer notifies Seller in writing not later than thirty (30) before the end of such period of Buyer’s desire to continue to own such Spares. In the event of such repurchase, the Parties will negotiate terms and provisions in good faith, after which Buyer will transfer ownership from itself to Seller, and (unless Seller is already storing such Spares) deliver to Seller, together with a bill of sale and any other necessary documentation evidencing transfer of ownership to Buyer, such Spares. 
(i)With respect to any Spares that Buyer has purchased from Seller pursuant to Section 2.8(1), Buyer may, at any time, notify Seller in writing of its desire to provide such Spares to Seller for Seller’s use in performing the Installation Services or Facilities Services, after which notification Seller shall use its commercially reasonable efforts to use such Spares in its performance hereunder; provided, in no circumstance will the use of such Spares change or reduce Buyer’s obligation to pay any portion of the Aggregate Purchase Price or Service Fees or as a credit against any amounts that are or become due to Seller hereunder. 
Section j.Non-Scheduled Facilities.

(i)The Sites and related ESAs identified as “Non Scheduled Facilities” in Schedule 1 hereto are “Non-Scheduled Facilities”.  Seller shall not install or operate any Facility in connection with a Non Scheduled Facility without Buyer’s express written consent.  At any time prior to its grant of such consent (and without limiting any of Buyer’s rights and remedies pursuant to Section 2.11), Buyer may elect, in its sole discretion, for any Non Scheduled Facility to be assigned from the applicable ESA affected thereby, upon which time Seller shall facilitate and accomplish such assignment, together with a release in writing of any liabilities and obligations of Buyer in respect of such Non Scheduled Facility, such that the applicable Non Scheduled Facility does not comprise a part of any such ESA.
(ii)Seller and Buyer hereby agree that, until Buyer provides its written consent: (1) title to and risk of loss with respect to any Non Scheduled Facility, or any equipment in connection therewith, shall not at any time pass to Buyer, (2) to the extent Buyer has any obligations with respect to such Non Scheduled Facility under the applicable ESA, Seller shall perform such obligations for no additional consideration hereunder in accordance with (i) the requirements set forth therein, which shall include any obligations of Buyer under any such ESA in respect of such Non Scheduled Facility to make any payments to the applicable ESA Customer and (ii) the Performance Standards and (3) Buyer shall have no obligations in connection the Non Scheduled Facilities hereunder.
Section k.Standby Facilities. 
(i)As of the Agreement Date, notwithstanding characterization of any applicable facilities, equipment, energy services agreements and sites as “Approved Facilities” or “Non-Scheduled Facilities” hereunder, the Parties acknowledge and agree that (i) the Standby Facility Conditions have not been satisfied or waived with respect to the Standby Facilities, (ii)(x) no Standby Facility shall be assigned by any Project Company to Buyer until such Standby Facility meets all of the Standby Facility Conditions (except that the execution and delivery of a Standby Facility Assignment Agreement referenced in either of clauses (A)(x)(ii) or (A)(y)(iii) of the definition of “Standby Facility Conditions” may be delivered on the applicable Assignment Date), and (y) with respect to each Standby Facility, until such Standby Facility’s Assignment Date, it will be treated as a Non-Scheduled Facility as set forth in Section 2.9(2) in each case as if such Standby Facility were a Non-Scheduled Facility, and (iii) upon the Assignment Date with respect to any Standby Facility indicated as being within the Scheduled Portfolio on Schedule 1 hereof, automatically and without further action of the Parties, (x) the Customer, Site, Facility, ESA, and Site License associated with such Standby Facility will be deemed approved and treated as Customer, Site, Facility, ESA and Site License under this Agreement (except to the extent any Standby Facility (and its customer, site, facility, energy services agreement and site license) is designated a Non-Scheduled Facility on Schedule 1 hereof, in which case such Standby Facility (and its customer, site, facility, energy services agreement and site license) shall on such Assignment Date, to such extent, be deemed a Non-Scheduled Facility), and (y) Seller shall be deemed to make the representations and warranties set forth in Section 8.1 and on Part IV to Schedule 2.10 hereof.
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(ii)With respect to any Standby Facility, (i) Buyer’s consent and acknowledgement that Seller has met the Standby Facility Conditions for such Standby Facility, as of a given date, in its sole discretion, (ii) Buyer’s acknowledgement that it has received all of the applicable Material Project Documents for such Standby Facility, and any amendments, supplements or modifications thereto, (iii) Buyer’s consent (with respect to satisfaction or waiver of the Standby Facility Conditions) to any amendments, modifications, or supplements to any Material Project Document for such Standby Facility, and (iv) Buyer’s consent (with respect to satisfaction or waiver of the Standby Facility Conditions) to the addition of a document or contract as an additional Material Project Document, that occurs after the Agreement Date, in each case, may be provided by electronic mail.
(iii)Any Standby Facility for which an Assignment Date has not occurred on or before the last Available Assignment Date shall, as of the day immediately after the last Available Assignment Date, lose its status as a Standby Facility, and Schedule 1 shall be amended to the extent necessary to reflect such change. The next update of the Project Model after the last Available Assignment Date shall reflect removal from the Project Model of all such Standby Facilities described in the preceding sentence, and any Aggregate Purchase Price adjustments with respect to any such removals (without limiting any other adjustments set forth in Section 2.6) shall be incorporated therein.
(iv)Seller shall cause to be obtained, as soon as is reasonably practicable and in any event prior to the Commencement of Operations of the applicable Approved Facility, any consents or approvals of any Transmitting Utilities that are required for a legal, valid and binding assignment from the applicable Project Company to Buyer or the applicable ESA Customer (as applicable) of any Interconnection Agreement (or interconnection application, as applicable), in each case pursuant to the terms thereof, in respect of any Approved Facility, to the extent such consent or approval is not obtained on or prior to the Agreement Date (or, in respect of a Standby Facility, the Assignment Date).
(v)With respect to any Approved Facility that is not a Standby Facility, as of the Agreement Date, Seller makes the representations and warranties to Buyer that are set forth in Part IV of Schedule 2.10.
Section l.Commencement of Operations Date Deadline.  
(i)On or before [***], Seller will, in good faith and upon the exercise of reasonable due diligence, provide to Buyer a draft of a written list (the “Delayed Facilities List”) identifying those Facilities (and Delayed Ancillary Equipment) for which Seller believes, after due inquiry, that none of the events described in clauses (2) through (4) of the definition of “Placed in Service” will be achieved on or before the Commencement of Operations Date Deadline (collectively, the “Delayed Facilities” and each, a “Delayed Facility”). Buyer shall have the opportunity to review the Delayed Facilities List, and the Parties shall cooperate during the month of [***] 2020 to make such modifications to the Delayed Facilities List as the Parties together deem necessary to reflect their collective best estimate as to the identification of the 

Delayed Facilities. The Delayed Facilities List, including any such modifications, shall be deemed final in the form it exists on [***], 2020; provided, that nothing in this Section 2.11 shall in any way limit Buyer’s rights or remedies hereunder or any ESA, Site License or other Facility Contract. Seller may, with the written consent of Buyer (which consent may be provided by electronic mail), add Facilities to the Delayed Facility List if it becomes clear that, after due inquiry, none of the events described in clauses (2) through (4) of the definition of “Placed in Service” are likely to be achieved on or before the Commencement of Operations Date Deadline.
(ii)No later than [***], 2020, within the body of the final Delayed Facilities List, Seller shall designate one or more Project Companies (or Seller) as assignees and novatees of all of the rights, benefits, interests, duties and liabilities of Buyer under each ESA, Site License and other Facility Contract to which Buyer is party in respect of (and solely as applicable to) each Delayed Facility and each Non-Scheduled Facility (each such Project Company (or Seller) in such capacity, a “Seller Facilities Assignee”). Each Seller Facilities Assignee shall, as of [***], 2020 and at all times until consummation of each applicable 2020 Facilities Assignment, (i) be in good standing under the laws of its state of formation or incorporation, (ii) have all corporate or other organizational power and authority to own, lease and operate its business as currently conducted (and as would be conducted if each applicable 2020 Facilities Assignment were to be consummated at such time) and (iii) be duly qualified to do business as a foreign corporation and in good standing under the laws of each jurisdiction that its business, as currently conducted (and as would be conducted if each applicable 2020 Facilities Assignment were to be consummated at such time), would require it to be so qualified, and Seller shall cause the matters described in the foregoing clauses (i) – (iii) to continue be true and correct in all respects as and when required pursuant to this sentence.
(iii)On or after [***], 2020, Buyer may send a notice (each, an “Assignment Notice”) to any ESA Customer who is a counterparty to an ESA in respect of which a Delayed Facility has been identified on the final Delayed Facilities List, or a Non-Scheduled Facility exists as of such date (and any other necessary Person in Buyer’s sole discretion). Each Assignment Notice shall notify the ESA Customer or other Person of the intention of Buyer, Seller and the applicable Seller Facilities Assignee to consummate a transaction in which all of the rights, interests, benefits, duties and liabilities of Buyer in the applicable ESA, Site License and any other Facility Contracts to which Buyer is party in respect of such Delayed Facility or Non-Scheduled Facility will be assigned and novated to, and assumed by, such Seller Facilities Assignee (each such transaction, a “2020 Facilities Assignment”) and shall indicate that such Persons intend for such 2020 Facilities Assignment to be consummated no later than December 31, 2020. 
(iv)With respect to any Delayed Facility or Non-Scheduled Facility in respect of which Buyer has sent an Assignment Notice, Seller shall use (and shall cause the applicable Seller Facilities Assignee to use) commercially reasonable  efforts to cause the applicable 2020 Facilities Assignment to be consummated on or before December 31, 2020 (subject to extension in the sole discretion of Buyer). The Parties acknowledge that any applicable 2020 Facilities Assignment shall not be consummated on or before  December 31, 2020, to the extent it would require for its validity the consent or waiver of a Person other than Buyer, Seller or their 
49

Affiliates (and such consent or waiver has not been obtained). With respect to any such 2020 Facilities Assignment not consummated by December 31, 2020, Seller shall continue to use commercially reasonable efforts to obtain any such required consent or waiver and any other documents or other items so that such 2020 Facilities Assignment is consummated and so that Buyer will have no responsibility for any Delayed Facility or Non-Scheduled Facility after December 31, 2020. For the avoidance of doubt, nothing in this Section 2.11, including the use (or lack of use) by any Person of any efforts to cause any 2020 Facilities Assignment to be consummated, shall limit in any way the rights and remedies of Buyer pursuant to Section 2.4(7) or Section 3.4(1)(xii). Upon a 2020 Facilities Assignment being consummated for a Facility, the fuel cell system associated therewith shall no longer be a “Facility,” the real property of such fuel cell system shall no longer be a “Site”, and the energy services agreement for both of the aforementioned shall no longer be an “ESA” in each case under and subject to this Agreement.
(v)With respect to any Delayed Facility or Non-Scheduled Facility, upon the consummation of an applicable 2020 Facilities Assignment, Seller shall refund to Buyer any payments made pursuant to Section 2.4 in respect of such Facility (or Delayed Ancillary Equipment) pursuant to Section 2.11(8), together with any other amounts required pursuant to Section 2.11(8); provided, that Seller may pay such refund and other amounts to Buyer on an earlier date than required pursuant to Section 2.11(8), subject to reasonable coordination with Buyer, and if Seller makes any such earlier payment then the amount of such payment shall be netted against the aggregate Late Facilities Payments due pursuant to Section 2.11(8) (it being agreed by the Parties that such earlier payments shall be excluded from the Project Model pursuant to Section 2.6(5)). Neither Section 12.6 nor Section 12.9 shall provide any excuse from, or justification for delay or reduction of, the obligations of Seller set forth in this sentence.
(vi)Seller shall use its good faith efforts at all times to facilitate and maintain a productive and harmonious business relationship between (on the one hand) each applicable ESA Customer, Site Licensor and any other Person whose Contract relates to any Delayed Facility or Non-Scheduled Facility that comprises a part of the Delayed Facilities List or a 2020 Facilities Assignment, and (on the other hand) Buyer. Such efforts shall include keeping each such Person (but, with respect to Persons other than the applicable ESA Customer and Buyer, only to the extent reasonably necessary in furtherance of a 2020 Facilities Assignment or in connection with a Facility in respect of which Facility Services will be performed hereunder) informed of and involved in the process of negotiating such 2020 Facilities Assignment, providing drafts, documents and responses to inquiries with reasonable promptness and making appropriate personnel available to such Persons. 
(vii)With respect to any Non-Scheduled Facility or Delayed Facility that forms a part of a 2020 Facilities Assignment, before the effectiveness of such 2020 Facilities Assignment, neither Seller nor Buyer will Disparage the other Party in writing to any ESA Customer in respect of a Delayed Facility or a Non-Scheduled Facility; provided, in no event will either Party be required to make a factual misrepresentation. This Section 2.11(7) shall not preclude either Party from (i) providing truthful statements in any governmental or judicial inquiry or proceeding or (ii) exercising rights protected by applicable law. For purposes of this Section 2.11(7), 

“Disparage” means, with respect to a given Person, to make comments or statements about such Person with intent to cause reputational harm, impugn, criticize, defame, malign, disparage, or cast in a negative light such Person’s character, honesty, integrity, morality, business acumen, qualification, abilities, quality or performance.
(viii)Late Facility Payment.  
xxiii.On or before the date that is thirty (30) days after the Commencement of Operations Date Deadline (the “Calculation Date”), Seller shall deliver to Buyer an Excel spreadsheet substantially in the form of Exhibit L that (x) lists all of the Late Facilities, Facilities in respect of which a 2020 Facilities Assignment has been consummated and Delayed Facilities returned to Seller (or in respect of which Buyer has otherwise exercised any refund or removal remedies) during the final Calendar Quarter of 2020 pursuant to Section 2.4(7) or Section 3.4(1)(xii)(B) and (y) calculates the Late Facility Payment for each such Facility (or Delayed Ancillary Equipment).
xxiv.The Late Facility Payment in respect of each Facility (or Delayed Ancillary Equipment) described in Section 2.11(8)(i)(x) shall be calculated as of the Calculation Date, notwithstanding anything to the contrary in Section 13.6, as the sum of: (I) any and all refunds remaining due and payable pursuant to Section 2.4(7), Section 2.11(5) or Section 3.4(1)(xii) in respect of such Facility (or Delayed Ancillary Equipment), plus (II) a holding cost which shall be calculated by multiplying a rate of return that is equal to [***] by each payment in respect of the Aggregate Purchase Price in respect of such Facility actually paid by Buyer hereunder, such rate of return to be applied with respect to each such payment from and after the date such payment is made until the Calculation Date (or, if earlier, until the date Seller refunds such payment pursuant to Section 2.11(5)), plus (III) subject in the aggregate to a cap in the amount of [***] minus the sum of any reimbursements credited to Buyer after the Agreement Date pursuant to Section 2.6(1)(xi), reimbursement in full by Seller of any transactional costs, fees and expenses (including the reasonable costs, fees and expenses of legal counsel and modeling and financial advisors) incurred by Buyer, or by Buyer’s Affiliates or Representatives on its behalf, in connection with the matters described in this Section 2.11 (including the negotiation of consents and amendments with ESA Customers and other necessary Persons), minus (IV) any reductions in other Facilities’ purchase prices effected no later than in the Project Model update corresponding with the Calendar Quarter ending in September 2020 and made because of delays in construction with respect to the Facility forming the basis for such refund. For the avoidance of doubt, the Late Facility Payment shall not be calculated with any duplication of positive or negative amounts to the extent paid by Seller to Buyer as of an earlier date pursuant to Section 2.11(5).
xxv.Seller will pay to Buyer the sum of all Late Facility Payments no later than [**] after the Calculation Date. For the avoidance of doubt, and without limiting any of Buyer’s rights, benefits or remedies hereunder, if Seller fails to timely make such 
51

payment to Buyer when required pursuant to the foregoing sentence, Buyer may immediately set off any such obligations of Seller against any amounts owed or to become owed by Buyer pursuant to this Agreement in accordance with Section 4.3(6). 
xxvi.To the extent not already effected after the Commencement of Operations Deadline, Seller will use commercially reasonable efforts to effect a 2020 Facilities Assignment for any remaining Delayed Facilities, Non-Scheduled Facilities or Late Facilities. Except to the extent otherwise agreed in writing by Buyer, payment by Seller of any Late Facility Payments shall not constitute a waiver, release or discharge (or be deemed to effect any of the foregoing), with respect to any applicable Facility, Delayed Ancillary Equipment or Non-Scheduled Facility, of any of Buyer’s rights and remedies hereunder (except Buyer’s rights to receive Late Facility Payments, to the extent received) or under any ESA or other Facility Contract.
xxvii.In the event of a conflict between a calculation set forth in the Excel spreadsheet of Exhibit L and this Section 2.11(8), this Section 2.11(8) shall govern.
(ix)Upon completion of all necessary 2020 Facilities Assignments, Seller and Buyer will use commercially reasonable efforts to timely amend this Agreement to update Schedule 1 and make any other necessary changes, in each case to reflect the matters described in this Section 2.11 and the composition of the final Scheduled Portfolio.
Section m.[***] ESA Fuel Cell Capacity Tag Charges
. Buyer and Seller hereby agree that any obligations of Buyer in its capacity as “Supplier” pursuant to the [***] ESA to pay or reimburse the applicable ESA Customer for any “Fuel Cell Capacity Tag” charges, including specifically the reimbursement obligations referenced in Section 2.5(b) of the [***] ESA, shall be promptly reimbursed to Buyer by Seller. For the avoidance of doubt, and without limiting any of Buyer’s rights, benefits or remedies hereunder, if Seller fails to timely make such reimbursement to Buyer when required pursuant to the foregoing sentence, Buyer may immediately set off any such reimbursement obligations of Seller against any amounts owed or to become owed by Buyer pursuant to this Agreement in accordance with Section 4.3(6). This Section 2.12 supersedes Section 1(c) of the Second PUMA Consent.
ARTICLE III.
DELIVERY AND INSTALLATION OF FACILITIES AND OTHER WORK
Section n.Access to Site
.  Seller shall be responsible for ascertainment of the suitability of the Sites, the environment around the Sites, the Sites’ soil condition and other ground conditions for the construction and operation of the Facilities and the performance by Seller of all of its obligations hereunder in accordance with Section 3.9. As between Seller and Buyer, Seller shall be solely responsible for all Site Preparation Services at Seller’s cost. Buyer shall provide Seller with access to the Sites in a manner consistent with the applicable ESAs and Site Licenses to permit Seller to deliver and 

install each Facility at the applicable Sites and to connect the applicable Facility to the distribution and transmission facilities of the Transmitting Utility, as applicable. If, prior to the Facility’s achievement of any of the events described in clauses (2) through (4) of the definition of “Placed in Service” with respect to any Facility, an ESA Customer requires a change in the location of a Site from that specified in a Purchase Order or applicable Site License, whether temporary or permanent, and such change in location is permitted under the applicable ESA, (a) Buyer shall submit a written notice to Seller setting forth the details of such location change (unless an ESA Customer has notified Seller directly, in which case Seller shall notify Buyer), (b) Seller shall administer and perform the Site Preparation Services as required for that changed location to the extent required and in accordance with the relevant ESA and Site License, and (c) Seller shall bear all costs associated with such relocation; provided, however to the extent the applicable ESA Customer reimburses Buyer for (or otherwise pays Buyer in respect of) such costs pursuant to the terms of the applicable ESA, then Buyer shall remit such payments to Seller to the extent of Seller’s bearing costs under this clause (c).
Section o.Delivery; Title; Risk of Loss
.  
(i)Delivery of each Facility (and each Bloom System and each item of Ancillary Equipment and BOF comprising such Facility) shall be DDP (Incoterms 2010) to its Site, in accordance with the Uniform Commercial Code then in effect. Title to each Bloom System and each item of Ancillary Equipment (other than Delayed Ancillary Equipment, if applicable) and BOF shall pass to Buyer upon the Purchase Date of such Facility, and such title shall be good and marketable and free of all Liens, except for Permitted Liens. Title to any Delayed Ancillary Equipment shall pass to Buyer upon the Purchase Date for such Delayed Ancillary Equipment, and such title shall be good and marketable and free of all Liens, except for Permitted Liens. From and after the Purchase Date of each Facility or any Delayed Ancillary Equipment, all risk of loss or damage to such Facility or Delayed Ancillary Equipment shall be borne by Buyer.  
(ii)System Attributes
xxviii.Buyer has all title, right and interest in and to all of the System Attributes arising under and in connection with each Facility purchased by Buyer hereunder. It is understood that Schedule 1 sets forth (i) the System Attributes to which ESA Customers are entitled under their respective ESAs, for which Seller will, on behalf of Buyer, administer, and (ii) the System Attributes that Buyer has agreed to transfer to Seller pursuant to this Section 3.2(2). To the extent any such ESA Customer is entitled to System Attributes (or any financial benefit or reimbursement in respect thereof) pursuant to its ESA or Site License, Seller shall obtain and maintain such System Attributes on behalf of and for the benefit of such ESA Customer, and shall provide to such ESA Customer such financial benefit or reimbursement (if applicable), in each case without any additional consideration hereunder. Without limiting the foregoing, solely with respect to [***], Buyer will have all right, title and interest in and to the Connecticut Low 
53

and Zero Emission Renewable Energy Credit (the “CT LREC”) procured by the applicable ESA Customer, as contemplated in Section 4.2(a) of [***]. Seller is responsible for making any deposits required under Section 4.2(a)(i)(b) of [***] and, in the event such deposits are returned, they will be returned to Seller (unless earlier paid to Seller pursuant to Section 4.3(5)). Seller will use commercially reasonable efforts to facilitate such ESA Customer’s procurement of the CT LRECs pursuant to the [***], without any additional consideration hereunder. In the event the proceeds of, or monies in respect of, any System Attributes are received by a Party who is not entitled to such proceeds or monies pursuant to this Section 3.2(2), such receiving Party shall promptly remit such proceeds or monies to the entitled Person. In the event an ESA obligates Buyer to consult or cooperate with the applicable ESA before obtaining any System Attributes in the future, Seller shall perform such consultation and cooperation on behalf of Buyer. 
xxix.With respect to Seller’s obligations under this Section 3.2(2), (A) the obligations of Buyer pursuant to (i) Section 4.2(e) of [***] to deliver “RECs” and “Green-e Certification Eligible RECs”, in each case as defined therein, (ii) Section 5.2 of the [***] in respect of the CT LRECs, (iii) Section 4.2 of the [***] ESA in respect of any “Environmental Attributes” (as defined thereunder) pursuant to the Massachusetts Alternative Energy Portfolio Standards, and (iv) Section 2 of the Omnibus Amendment to the [***] ESA, dated as of August 27, 2019, in respect of the “Environmental Incentives” described therein (including obtaining and maintaining such “Environmental Incentives”, without regard to the allocation of benefits pursuant thereto as between Buyer and such ESA Customer), shall be, in each of the cases described by any of the foregoing clauses (i) – (iv), deemed System Attributes to which an ESA Customer is entitled pursuant to its ESA; provided, that with respect to such clause (iv), Buyer shall be entitled hereunder to the allocation of benefits of the applicable “Environmental Incentives” agreed pursuant to Section 2 of the Omnibus Amendment to the [***] ESA, and (B) Seller is entitled to the SC Incentives; provided, that neither Seller nor any of its Affiliates shall enter into a Contract in respect of the SC Incentives without Buyer’s prior written consent (not to be unreasonably withheld, conditioned or delayed) if such Contract results in Seller or such Affiliate benefitting from such SC Incentives, directly or indirectly (including by virtue of a Contract with an ESA Customer or its Affiliate).
(iii)Customer Equipment.  
xxx.Solely with respect to the ESAs in which Buyer has agreed to install and perform any other obligations (including making any payments) with respect to Customer Equipment, Seller and Buyer hereby agree that (1) the Customer Equipment does not and shall not be deemed to comprise a part of the Facility pursuant to this Agreement, and the ownership of the Customer Equipment shall be as set forth in the applicable ESA, (2) title to and risk of loss with respect to Customer Equipment, or any Component thereof, shall not at any time pass to Buyer, (3) to the extent “Provider” or “Supplier” (or similarly situated Person), as the case may be, has any obligations with respect to Customer 

Equipment under the applicable ESAs, Seller shall perform such obligations for no additional consideration hereunder in accordance with (i) the requirements set forth therein, which shall include any obligations of Buyer under any ESA in respect of Customer Equipment to make any payments to the applicable ESA Customer, or perform any repairs and replacements for such ESA Customer and (ii) the Performance Standards. Buyer shall have no obligations in connection with the Customer Equipment hereunder, including any obligation to seek any remedy under Article V in respect of any Customer Equipment.
xxxi.With respect to any Facility and Site in connection with which Customer Equipment is used, Seller shall at all times from and after the commencement of performance of Installation Services (and during the performance of Facility Services) ensure that Buyer has the necessary rights to access, install, test, commission, operate, maintain and decommission any such Customer Equipment, to the extent required for (x) Buyer to perform and satisfy its duties, obligations and liabilities, and exercise its rights, interests and benefits, in each case pursuant to any applicable Legal Requirement, ESA, Site License or other Facility Contract, and the Transaction Documents, and (y) Seller to perform and satisfy its duties, obligations and liabilities hereunder. Without limiting the foregoing, upon any request made in writing by Buyer in its sole discretion, Seller shall use its commercially reasonable efforts to, within thirty (30) days of receiving such written request (but in no event later than ninety (90) days of receiving such written request), (A) facilitate amendments, modifications or supplements to any applicable ESA, Site License or Facility Contract that Buyer considers to be reasonably necessary in furtherance of Seller’s obligations under this Section 3.2(3)(ii) and (B) facilitate the execution and delivery by Buyer and such ESA Customer (or its Affiliate) of other relevant, reasonably necessary access agreements in form and substance satisfactory to Buyer. Under no circumstances shall Customer Equipment be owned by any Person other than Seller or the applicable ESA Customer (or such ESA Customer’s Affiliate), and for the avoidance of doubt, Seller shall not permit or suffer to exist any ownership of Customer Equipment by any of Seller’s Affiliates.  No Customer Equipment shall be sold, assigned, transferred or otherwise disposed of other than in accordance with the foregoing.
(iv)Seller Attributes. In consideration of Seller’s obligations hereunder, Buyer hereby assigns and transfers to Seller (i) the capacity attributes arising under and in connection with any Facility and (ii) any cash incentives awarded on January 4, 2019, by the South Coast Air Quality Management District (SCAQMD), arising out of the Facility contemplated by the [***] (“SC Incentives”), in any case described in the foregoing clauses (i) or (ii), only in respect of which such assignment and transfer is expressly referenced and identified in Schedule 1 (such assigned and transferred capacity and other attributes and incentives are the “Seller Attributes”), to the extent such attributes can be transferred (and except to the extent any ESA Customer has a right or interest therein under its ESA), and any and all proceeds thereof. For the avoidance of doubt, Seller is responsible for all of the administration of the Seller Attributes and Buyer shall have no 
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obligation in connection therewith. Buyer shall have no obligation to seek any remedy under Article V in respect of any Seller Attributes.
Section p.Pre-COO Equipment Warranty
.
(i)Subject to Section 5.6 and Section 13.5, Seller warrants to Buyer that, with respect to each Facility, during the period commencing on the achievement of the Delivery Milestone and continuing until achievement of Commencement of Operations for such Facility (the “Pre-COO Equipment Warranty Period”), (i) each Bloom System and each Battery Solution for such Facility shall conform to the Specifications for Bloom Systems and Battery Solutions, respectively, set forth on Schedule 3.3(1), and (ii) each such Facility and its Components shall be free from defects in design, materials and workmanship that prevent such Facility from achieving Commencement of Operations (collectively, the “Pre-COO Equipment Warranty”).
(ii)Seller shall correct, at Seller’s sole expense, all Bloom Systems, items of Ancillary Equipment or BOF provided, or Installation Services performed, by it or its subcontractors under this Agreement which proves to be in breach of the Pre-COO Equipment Warranty during the Pre-COO Equipment Warranty Period for such Facility. Any action by Buyer for a breach of the Pre-COO Equipment Warranty with respect to a Facility must be brought prior to achievement of Commencement of Operations for such Facility; provided, however, that such limitation shall not bar Buyer from raising a warranty claim under the General Product Warranty for such Facility (including with respect to any action for breach of the Pre-COO Equipment Warranty that is waived before completion of warranty work for purposes of a Facility’s achieving any conditions precedent to any Milestone hereunder). WITHOUT LIMITING SELLER’S OBLIGATION TO INDEMNIFY BUYER PURSUANT TO SECTION 5.8, AND/OR WITH RESPECT TO CLAIMS PURSUANT TO SECTION 13.3, BUYER’S SOLE REMEDY FOR A BREACH OF THE PRE-COO EQUIPMENT WARRANTY SHALL BE THE CORRECTION OF DEFECTIVE FACILITY PURSUANT TO THIS SECTION 3.3(2).
(iii)The Pre-COO Equipment Warranty may only be transferred in accordance with Section 14.4.
(iv)Any period of time in which the Pre-COO Equipment Warranty is in breach for a Facility shall not extend the Pre-COO Equipment Warranty Period for such Facility beyond its Commencement of Operations Date.
Section q.Installation Services
.
(i)Seller shall, and shall cause each of its Service Providers to, perform all development, design, engineering, procurement, construction, and commissioning services necessary in connection with the installation, interconnection, testing, start-up, and commissioning the 

Facilities to achieve Commencement of Operation (collectively, “Installation Services”), including the following activities:
xxxii.Seller shall cause to be performed all studies, reports and applications (in the name of Buyer) that are necessary for interconnection of each Facility to the distribution and transmission facilities of the applicable Transmitting Utility. To the extent not already paid,  Seller will pay on behalf of Buyer as “Supplier”, all amounts required  to be paid under Section 6.1(f) of [***].
xxxiii.Seller shall obtain and maintain, or cause to be obtained and maintained (where required, in the name of Buyer or each ESA Customer, as the case may be), all Permits, PTOs and Third Party Consents necessary to design, install, commission, construct, occupy, operate and maintain each Facility at each Site, including related performance assurance or other credit support requirements (including as required pursuant to any ESA, Site License, Incentive Agreement or Legal Requirements); provided, that Seller shall have no liability for any failure to obtain or maintain any Permit or Third Party Consent to the extent attributable to a breach by Buyer of its obligations in this Agreement or a breach by an ESA Customer of its ESA; provided, further, that absent Buyer’s willful misconduct, the preceding proviso shall not limit the rights and duties of the Parties under Section 3.4(1)(xii).
xxxiv.Without limiting Seller’s obligations pursuant to this Section 3.4, Seller shall perform all design, permitting and installation work in accordance with Schedule 3.4(1)(iii), including any and all upgrades required to be performed in respect of the applicable Facility pursuant to the requirements of the Interconnection Agreement (whether or not executed) or as otherwise required by the applicable Transmitting Utility.
xxxv.Seller shall deliver any and all approvals and notices required to be delivered under the ESAs and Site Licenses in accordance with the terms thereof.
xxxvi.Without limiting Seller’s obligations pursuant to this Section 3.4, Seller shall perform all commissioning work in accordance with the provisions of Schedule 3.4(1)(v).
xxxvii.Seller shall install the Bloom Systems, the BOF and the Ancillary Equipment at each Site using items that are new and undamaged at the time of such use or installation.
xxxviii.Seller shall pay all amounts owed to its subcontractors and vendors in connection with the performance of the Installation Services on a timely basis and shall hold Buyer harmless against any claims asserted by such subcontractors and vendors.
xxxix.Until the Commencement of Operations Date for a Facility (excluding any Delayed Ancillary Equipment), Seller shall be responsible for providing physical security of such Facility, and thereafter Seller shall perform, on Buyer’s behalf, Buyer’s obligations and duties to the applicable ESA Customer pursuant to its ESA and Site 
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License to provide physical security for such Facility to the extent such performance is required thereunder.
xl.If requested by Buyer, Seller shall provide operator training and associated training materials to personnel and representatives of Buyer sufficient to instruct Buyer on operation of such Facility in connection with safety requirements and in conformance with Prudent Electrical Practices.
xli.Prior to Commencement of Operations of each Facility, Seller shall perform a performance test not less stringent than the testing applied to its fuel cell power generating systems for any other major customer of Seller of each Bloom System incorporated into such Facility and the applicable BOF and Ancillary Equipment in the presence of Buyer (if Buyer elects to attend), and such Bloom Systems and applicable BOF and Ancillary Equipment shall have passed such test; provided, Delayed Ancillary Equipment may be tested later in the presence of Buyer (if Buyer elects to attend). Seller shall, upon request by Buyer, inform Buyer of the date on which it expects to conduct the performance test of any Facility (or, if applicable, Delayed Ancillary Equipment) and cooperate with Buyer to provide Buyer with the opportunity to observe such testing to the extent practicable, provided, that in no event shall Seller be required to delay the performance of any performance test in order to allow Buyer to witness such test if all other pre-testing requirements have been satisfied.
xlii.At Buyer’s request, Seller shall provide to Buyer, prior to the Commencement of Operations for each Facility (unless Buyer informs Seller that it may, under the terms of the applicable ESA, be provided thereafter, in which case Seller shall provide it by the deadline set forth in the ESA (but not later than the date on which it is provided to the applicable ESA Customer)), an “issued for construction” set in native electronic format, or, in the case of Delayed Ancillary Equipment, an updated set, if applicable, which shall include site information, permitting information, codes, project team contacts, project description, general construction notes, overall site plan, foundation plan, layout plan, detailed site plan, and other drawings and a product data sheet. Seller shall deliver to Buyer any other documentation necessary to establish placement in service for purposes of section 48 of the Code.
xliii.Commencement of Operations.
a.Subject to Section 3.4(1)(xiv), promptly following achievement of the Delivery Milestone for each Facility, Seller shall provide installation, inspection, commissioning and start-up for such Facility in accordance with the Performance Standards, and Seller shall use commercially reasonable efforts to cause such Facility to achieve Commencement of Operations within ninety (90) days of the date of achievement of the Deposit Milestone for such Facility, as set forth in Certificate of Deposit Milestone Completion for such Facility, but in no event later than any deadline for such Commencement of Operations that is 

applicable to such Facility in its ESA. Seller shall promptly certify in writing to Buyer when each Facility achieves Commencement of Operations by delivery of a Certificate of COO. Without limitation of the foregoing, each Facility shall be connected by Seller to the applicable natural gas source, water source, SCADA, and Electrical Interconnection Facilities no later than the Commencement of Operations Date thereof.
b.If any Facility does not achieve any of the events described in clauses (2) through (4) of the definition of “Placed in Service” by the earlier of (i) one hundred eighty (180) days of the payment of the portion of Aggregate Purchase Price set forth in Section 2.3(2) for such Facility and (ii) the applicable deadline in the Facility’s ESA (such earlier date, the “Placed in Service Deadline”), then Buyer shall have the right, in its sole discretion, to elect in writing that Seller (I) remove such Facility from the initial Site and restore such Site in accordance with Section 4.10(2) and (II) relocate the Bloom Systems to a substitute Site (subject to and in accordance with Section 4.8(2)), whether in the Scheduled Portfolio or otherwise, subject to compliance with Facility Contracts and agreement with ESA Customers entirely as a part of the Installation Services and at Seller’s cost and expense, and if Buyer makes such election, Seller shall complete performance of such obligations on or before the date that is ninety (90) days after the Placed in Service Deadline (such ninetieth (90th) day, the “Reinstallation Deadline”). If (x) Buyer does not exercise such right, which it may or may not do in its sole discretion, in respect of any Facility within five (5) Business Days of the Placed in Service Deadline thereof or (y) Buyer exercises such right with respect to any Facility, and such Facility has not achieved any of the events described in clauses (2) through (4) of the definition of “Placed in Service” before the earlier of (p) the Reinstallation Deadline or (q) the Commencement of Operations Date Deadline, then Seller shall refund all payments previously paid by Buyer for such Facility, (A) in accordance with Section 2.6 for refunds that occur before the end of the Calendar Quarter ending in September 2020 and (B) in accordance with Section 2.11(8) for refunds that occur after the end of the Calendar Quarter ending in September 2020, and in either such case contemplated by the foregoing clauses (A) or (B), such Facility shall be subject to (but without duplication of any payment obligations set forth in) Buyer’s rights and remedies pursuant to Section 4.10(1) (provided, that without limiting any of Buyer’s other rights and remedies pursuant to Section 4.10(1), Buyer shall not exercise the remedy described in Section 4.10(1)(iv) with respect to an affected Facility during ongoing negotiations of a 2020 Facilities Assignment in respect of such Facility, as long as consummation of such 2020 Facilities Assignment without unreasonable delay remains reasonably likely).  If Seller reasonably anticipates that any Facility is reasonably likely to not achieve any of the events described in clauses (2) through (4) of the definition of “Placed in Service” on or before its Placed in Service Deadline, Seller shall promptly notify Buyer in writing, and in any event no later 
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than ten (10) Business Days in advance of such Placed in Service Deadline. Nothing in this Section 3.4(1)(xii)(B) shall limit Buyer’s rights and remedies hereunder under Section 2.4(7), Section 2.9, Section 2.11, Section 12.8 or if there is a Seller Default.
c.Neither Section 12.6 nor Section 12.9 shall provide any excuse or justification for delay or reduction of Seller’s requirements to timely perform its obligations, including in respect of Buyer’s remedies, under this Section 3.4(1)(xii).
xliv.[Intentionally omitted.]
xlv.If any ESA provides that items of Delayed Ancillary Equipment may be installed or commissioned after the Commencement of Operations Date, Seller may install or commission such Delayed Ancillary Equipment after such Commencement of Operations Date, but Seller shall complete such installation and commissioning in accordance with the applicable Facility Contracts, and Seller shall perform and successfully complete all necessary acts under the applicable Interconnection Agreement (including performance testing) and shall have obtained permission from the applicable Person granting Buyer permission to interconnect, if applicable, such Delayed Ancillary Equipment with the distribution or transmission facilities of the Transmitting Utility, and in no event may Seller continue any such installation, commissioning or interconnecting after the Commencement of Operations Date Deadline.
xlvi.Post COD Deliverables. 
d.With respect to each Facility, Seller shall use commercially reasonable efforts to deliver by uploading to the Data Room a final executed IE Certificate by the Invoice Due Date of the month in which such Facility’s Commencement of Operations Date occurs, but in no event later than thirty (30) days after such Commencement of Operations Date; provided, however, if the IE Certificate is not final due to any event or circumstance that prevented the IE from performing its obligations within such period, and Seller is diligently and in good faith working to facilitate IE’s complete review, such period shall be automatically extended for a period of thirty (30) additional days (but no longer than sixty (60) days from the date such Facility achieves its Commencement of Operations). 
e.With respect to each Facility, Seller shall deliver by uploading to the Data Room each of the following within sixty (60) days of such Facility’s Commencement of Operations Date: (I) Seller Deliverables set forth on Schedule 3.4(1)(xv) specified to be delivered before the Commencement of Operations Date to Buyer thereon, (II) to the extent not yet delivered, in connection with Delayed Ancillary Equipment, any lists and copies of items described in 

Section 2.3(5)(iii), including lists and copies of Permits, PTO, other Governmental Approvals, Third Party Consents, Incentive Agreements, Interconnection Agreements and other Facility Contracts, and (III) each of the Post-COO Deliverables set forth on Schedule 2.5, to the extent not yet delivered (provided, that Seller shall use its commercially reasonable efforts to (x) provide the lists and copies described in this clause (III) as soon as is reasonably practicable during the performance of Installation Services, and (y) provide updates to Buyer if such lists and copies are amended, modified or supplemented).
f.Lien Waivers.  With respect to each Facility, no later than (i) ten (10) Business Days after a Facility reaches its Commencement of Operations Date, pursuant to Section 3.4(4), Seller shall deliver final and unconditional waivers and releases of Liens for such Facility from Seller, and (ii) ninety (90) days after a Facility reaches its Commencement of Operations Date, pursuant to Section 3.4(4), final and unconditional waivers and releases of Liens for such Facility from all subcontractors performing any Installation Services at the applicable Site, substantially in the statutorily prescribed form required by the applicable state Governmental Authority in which the Site is located (and, if there is no such prescribed form, then in form and substance reasonably satisfactory to Buyer); provided, that the foregoing requirements in this Section  3.4(1)(xv)(C) shall only apply to subcontractors that have agreed to provide or perform equipment or services in respect of such Facility for purchase price or fees in excess of $[***] in the aggregate. 
g.UCC-1 Fixture Filing.  No later than ten (10) days after a Facility reaches the Commencement of Operations Date, Seller will file a UCC-1 fixture filing, naming the Buyer as “Secured Party” (or any other applicable capacity of the Buyer) and the Customer as “Debtor”, in the real estate recording jurisdiction in which the Site is located, and upon making such filing Seller shall notify Buyer of the same; provided  Seller shall not make any such filing without receipt of express written authorization from the ESA Customer, as “Debtor”, to make such filing; provided, further, if, despite commercially reasonable efforts, if the ESA Customer will not provide such consent, each of Buyer and Seller shall cooperate to find a solution that is mutually agreeable to both parties thereto to protect Buyer’s interest in the applicable Facility and ensure any such filing, if done, is permitted as a matter of law without consent of the ESA Customer.
xlvii.Following Commencement of Operations of a Facility, Seller shall promptly remove all waste materials and rubbish from and around the Site as well as all of its tools, construction equipment, machinery, and surplus materials as reasonably necessary to restore each Site to a condition reasonably satisfactory to such ESA Customer or as otherwise required by the applicable Site License or ESA.
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xlviii.Seller’s supply of the Bloom Systems, Ancillary Equipment (if applicable) and BOF hereunder, and performance of the Installation Services therefor, shall be fully comprehensive of all services, labor, and equipment necessary to complete installation of a fully commissioned and operating Facility in accordance with this Agreement, the applicable ESA, the applicable Interconnection Agreement, and the applicable Site License.
(ii)Seller shall be responsible, at its sole cost and expense, for obtaining, maintaining and complying with all Permits required to perform the Installation Services under this Agreement, including related performance assurance or other credit support requirements. Without in any way limiting the foregoing, Buyer agrees to cooperate with and assist Seller in obtaining such Permits, at Seller’s cost and expense.
(iii)Seller shall cause all Installation Services to be performed in a good and workmanlike manner, free from defective materials, and in accordance with the Performance Standards, free and clear of Liens other than Permitted Liens.
Seller shall promptly pay all subcontractors under this Agreement (including, for clarification, subcontractors working off-Site) and shall, at the time of each payment made to any such subcontractor, obtain a conditional or final lien waiver (in each case, substantially in the statutorily prescribed form required by the applicable state Governmental Authority in which the Site is located (and, if there is no such prescribed form, then in form and substance reasonably satisfactory to Buyer)), and promptly provide Buyer with a copy of such lien waiver; provided, that the foregoing requirements in this Section 3.4(4) to provide Buyer with copies of lien waivers shall only apply to subcontractors that have agreed to provide or perform equipment or services in respect of the applicable Facility for purchase price or fees in excess of $[***] in the aggregate. Seller shall discharge any Liens by such subcontractors within thirty (30) days of obtaining Knowledge thereof.  Seller shall release all Liens in favor of Seller on each Facility upon final payment of the Aggregate Purchase Price for such Facility. Upon the failure of Seller to discharge a Lien required to be discharged under this Section 3.4(4), or else promptly to provide a bond in an amount and from a surety acceptable to Buyer to protect against such Lien, in each case, within thirty (30) days after Seller is aware of the existence thereof, Buyer may, but shall not be obligated to, pay, discharge or obtain a bond or security for such Lien and, upon such payment, discharge or posting of security therefor, shall be entitled immediately to recover from Seller (and Seller shall indemnify and hold harmless Buyer for) the amount thereof, together with all reasonable and necessary expenses, including attorneys’ fees, actually incurred by Buyer in connection with such payment or discharge, or to set off all such amounts against any amounts owed by Buyer to Seller hereunder. 
Section r.Insurance
.  

(i)Seller shall maintain and comply with the insurance described in (and comply with the terms and conditions set forth in) Annex B until the end of the Warranty Period with respect to each Facility (including during performance of Installation Services and Facility Services, as applicable), and, to the extent any ESA or Site License contains additional or more stringent insurance requirements (including the addition of any named or additional insureds), Seller shall on Buyer’s behalf satisfy and maintain compliance with such requirements. Without limiting any of Buyer’s rights and remedies hereunder, to the extent Seller fails to procure or maintain an [***] insurance policy required hereunder, Seller shall reimburse Buyer for the cost of such policy, as well as any reasonable expenses and fees of third parties incurred in connection therewith, if Buyer chooses (in its sole discretion) to procure or maintain such policy.
(ii)Promptly after the First Agreement Date, and each year, promptly after effecting the renewal of its insurance policies, Seller shall provide to Buyer copies of any certificates of insurance evidencing its compliance with Annex B.
Section s.Right of First Refusal
. In the event that Buyer or its Affiliates desires to sell or otherwise transfer title to any Facility or Facilities that is not in conjunction with the assignment or other transfer of the direct or indirect equity interests of Buyer, as permitted pursuant to Section 14.4 (if not in conjunction as so described, a “Facility Transfer”), to a transferee other than an ESA Customer or an Affiliate of Buyer, Buyer shall first promptly notify Seller of the proposed purchase price and any material economic terms and conditions (“Buyer’s Notice”). The Buyer’s Notice shall constitute the Buyer’s offer to sell the Facility or Facilities to Seller: 
If such Facility Transfer is for a Facility or Facilities that in the aggregate are less than [***]% of the Portfolio (measured as the System Capacity of the Facility or Facilities to be transferred over the System Capacity of the Portfolio) (the “ROFR Threshold”), the Buyer’s notice shall be irrevocable and Seller shall have an exclusive right of first refusal to purchase such Facility or Facilities on the same terms and conditions of such sale outlined in the Buyer’s Notice for a period of 10 Business Days after receipt of such terms and conditions in the Buyer’s Notice; and
(i)if such Facility Transfer is for a Facility or Facilities that in the aggregate are equal to or greater than the ROFR Threshold, Seller will have the option to make an offer to purchase such Facility or Facilities before the end of the period of ten (10) Business Days after receipt of such terms and conditions in the Buyer’s Notice by delivering a written offer to Buyer on the terms specified in the Buyer’s Notice (“Seller’s Offer Notice”). Any Seller’s Offer Notice so delivered to Buyer shall be binding upon delivery and be irrevocable by Seller. Buyer agrees to bargain in good faith on any terms not stated in the Seller’s Offer Notice.
(ii)In the event that Seller elects to purchase such Facility or Facilities, Seller shall, promptly following payment of the purchase price, remove such Facility or Facilities at Seller’s cost, 
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including the remediation of the Site in which the such Facility or Facilities were located in accordance with Section 4.10(2).  
(iii)In the event that Seller declines to purchase such Facility or Facilities, or fails to respond within the applicable period, or if Buyer and Seller fail to agree on and execute a purchase and sale agreement within sixty (60) calendar days after the date of Buyer’s receipt of Seller’s Offer Notice, Seller shall be deemed to have waived its rights to purchase such Facility or Facilities pursuant to this Section 3.6(2), and Buyer shall have the right thereafter, without further notice to Seller, to effect any such Facility Transfer; provided, if the purchase price of any Facility Transfer offered to any such third-party decreases by more than ten (10%) percent of the original purchase price or there are material changes in material terms favorable to a potential independent buyer that a reasonable independent buyer would reasonably believe to be materially beneficial after Seller has waived its rights to purchase such Facility or Facilities pursuant to this Section 3.6, then Buyer shall notify Seller in writing of the change and shall give Seller another option to purchase the Facility or Facilities pursuant to clause (1) or (2) of this Section 3.6, as applicable, at the reduced purchase price or pursuant to such changed terms. Any Facility Transfer must be effected in accordance with the terms and conditions of the applicable ESA or ESAs.  Buyer may not make a Facility Transfer to a direct Competitor of Seller without the express written consent of Seller. 
(iv)Any Facility Transfer shall have no effect whatsoever on the terms and conditions of this Agreement with respect to the remaining Facilities not subject to such Facility Transfer.  
(v)Notwithstanding anything to the contrary herein, this Section 3.6 shall in no way restrict an assignment or other transfer of this Agreement or a Party’s rights, interests or obligations hereunder pursuant to the terms of Section 14.4, and the Parties acknowledge and agree that any restrictions applicable to such an assignment or transfer are set forth in Section 14.4.
(vi)Subject to clause (6) above, if Buyer effects a Facility Transfer pursuant to this Section 3.6, (A) Buyer may assign and delegate its rights and obligations under this Agreement solely with respect to those Facilities subject to such Facility Transfer to the applicable purchaser or (B) Buyer will facilitate and Seller will use commercially reasonable efforts to enter into an agreement with such purchaser for the operation and maintenance of such Facilities with terms substantially similar to the operation and maintenance terms set forth herein, after which this Agreement shall no longer be deemed to be effective with respect to those Facilities subject to such Facility Transfer.
Section t.Third Party Warranties
.  If any express or implied warranties, indemnities, guaranties, remedies, covenants and other rights which any subcontractor or supplier has made to Seller with respect to any good, service, or other deliverable furnished under this Agreement in respect of a Facility (each a “Third Party Warranty”), including third party Software, would provide any additional rights to Buyer beyond the warranties under ARTICLE V, then (a) such Third Party Warranty providing additional 

rights will be for the benefit of and passed through to Buyer to the fullest extent possible, (b) Seller hereby transfers and assigns (and shall transfer and assign in the future, to the extent not hereby transferred and assigned) to Buyer all of Seller’s right, title and interest under such Third Party Warranty to exercise such additional rights (and shall execute and deliver any documents as and when required to effect the foregoing transfers and assignments), and (c) Seller hereby appoints Buyer as attorney-in-fact coupled with an interest to exercise and enforce all such additional rights in the name of either Buyer or Seller. Nothing in this Section 3.7 will limit Seller’s obligations to Buyer under ARTICLE V or Section 3.3. 
Section u.Access; Cooperation
.  Seller shall provide to Buyer such other information that is in the possession of Seller or its Affiliates or is reasonably available to Seller regarding the permitting, engineering, construction, or operations of Seller, its subcontractors or the Facilities, and other data concerning Seller, its subcontractors or the Facilities that Buyer may, from time to time, reasonably request in writing, subject to Seller’s obligations of confidentiality to third parties with respect to such information. 
Section v.Performance Standards
.  For the purpose of this Agreement, Seller shall perform all of its duties and obligations under this Agreement, including the Installation Services and the Facility Services, in accordance and consistent with each of the following (unless the context requires otherwise), including to such standards as are required of Buyer in respect of duties and obligations for which Seller bears responsibility under this Agreement: (A) plans and specifications attached hereto or provided pursuant to any Permit, ESA, Site License or Interconnection Agreement; (B) all Permits and other applicable Legal Requirements; (C) the manufacturer’s recommendations and warranties with respect to all equipment and all maintenance and operating manuals or service agreements, whenever furnished or entered into, including any subsequent amendments or replacements thereof, issued by the manufacturer, provided they are consistent with generally accepted practices in the fuel cell industry; (D) the requirements of all applicable insurance policies; (E) any applicable provisions of the Site Licenses, including any landlord rules and regulations; (F) Prudent Electrical Practices; (G) the relevant provisions of each Interconnection Agreement and PTO; (H) each ESA and Site License; (I) each Incentive Agreement; (J) the requirements in respect of any applicable System Attribute in respect of which any services are being provided by Seller or its Affiliate (x) hereunder or (y) under the Administrative Services Agreement, (K) the Seller Corporate Safety Plan (as updated by Seller from time to time, with a copy provided promptly to Buyer); (L) all Legal Requirements, Permits and Governmental Approvals; and (M) all Environmental Requirements (collectively, the “Performance Standards”); provided, however, that meeting the Performance Standards shall not relieve Seller of its other obligations under this Agreement.  Any Battery Solution associated with a Facility shall be charged solely by the associated Bloom System, and under no circumstances shall any electricity from any source other than the associated Bloom System be stored in the Facility. 
ARTICLE IV.
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FACILITY SERVICES AND OTHER WORK
Section w.In General
.
(i)During the Warranty Period, in consideration of the Service Fees, Seller shall service each Facility constituting a portion of the Portfolio so that the Portfolio performs in accordance with the Warranty Specifications and so that the BOF and Ancillary Equipment will not cause the Portfolio to fail to perform in accordance with the Warranty Specifications, as more fully set forth in ARTICLE V, and in all cases subject to the Performance Standards. Without limiting the foregoing, Seller agrees to perform on behalf of Buyer all operations and maintenance obligations in respect of each Facility under the applicable ESA and Site License in a manner fully consistent with the terms and conditions of such documents. The services set forth in this Section 4.1, as more fully described in this ARTICLE IV, are collectively referred to herein as the “Facility Services.” For clarity, Seller shall have no authority or responsibility under this Agreement with respect to the payment or receipt of monies to or from ESA Customers or with respect to serving or receiving formal notices to or from ESA Customers; provided, however, subject to the notice requirements set forth in Section 6.2, that Seller may informally communicate with ESA Customers regarding routine, day-to-day Facility Services matters. For so long as Seller is performing Facility Services in respect of a Facility, the Parties intend that Seller shall be responsible for all operational activities in respect of such Facility, including the performance of all obligations to ESA Customers that are required to be performed physically at any Site under the applicable Facility Contracts. If a Party has any uncertainty regarding which Party is responsible for particular obligations to ESA Customers, the Party’s Manager shall discuss such matter with the other Party’s Manager to implement the allocation of responsibility intended by this Agreement and the Parties thereafter shall, if necessary, amend this Agreement to clarify the Parties’ agreement regarding such allocation of responsibility. 
(ii)Until the expiration of the Extended Warranty Term, upon the expiration of the Warranty Period with respect to any Facility Buyer may, at its option, elect to renew the Warranty Period with respect to such Facility for a period of one (1) additional year. The Warranty Period for each Facility shall be automatically renewed for a period of one (1) additional year at the termination of the existing Warranty Period if Buyer has not informed Seller in writing of its election to terminate the Warranty Period at the end of such existing Warranty Period at least thirty (30) days prior to the final date of such existing Warranty Period. Notwithstanding anything to the contrary set forth in the foregoing, in the event that the “Term” of the Equinix ESA with respect to any Facility(ies) is extended pursuant to Section 4.7(c) thereof, then, upon the expiration of the then-applicable term of such Equinix ESA absent such extension, Buyer may elect to extend the Warranty Period for such Facility(ies) for a period equal to such extended “Term” instead of electing a one-year renewal.
(iii)Notwithstanding anything to the contrary set forth in the foregoing, in the event that the “Term” of an ESA with respect to any Facility is extended pursuant to any provision in such ESA (or any related agreement between Buyer and the applicable ESA Customer) providing for 

a day-for-day extension thereof during a period in which the Facility is not generating electricity, then, (i) Buyer’s obligation to pay Services Fees with respect to the applicable Facility shall be automatically suspended during the pendency of the Facility outage, (ii) the year of the Warranty Period in which the “Initial Term” (as extended) of the applicable ESA would otherwise have expired shall be automatically extended on a day-for-day basis equal to the extension of the applicable ESA so that the Warranty Period is coterminous with the “Initial Term” of applicable ESA, as extended, and (iii) during such idle period Seller will be obligated to perform only such maintenance services for the Facility as are designed to facilitate a safe and reliable restart of the Facility following such idle period.
(iv)If requested by Buyer, Seller shall use its commercially reasonable efforts to assist with and facilitate (i) the exercise by any ESA Customer of its rights to renew, or (ii) other renewal, in each case of the initial term or any renewal term of such ESA Customer’s ESA. Such assistance and facilitation shall include the execution and delivery of reasonable documents and other instruments requested by Buyer.
Section x.Operation and Maintenance Services
.  Without limiting, and in furtherance of, Section 4.1, Seller is hereby granted the right and authority (and, to the extent necessary to carry out its functions hereunder, a limited power of attorney) and agrees, for the benefit of Buyer, to operate safely and reliably each Facility and to maintain during the Warranty Period in accordance with the terms of this Agreement each such Facility in good condition and repair in accordance with the Warranty Specifications and the Performance Standards.  During the Warranty Period, the specific responsibilities of Seller under this Agreement shall include the following:
(i)Facility Operations.  Seller shall ensure that all Facility components are operated and maintained safely and in a manner designed to meet the Warranty Specifications and Performance Standards and as otherwise required under this Agreement.
(ii)Facility Maintenance.  Seller shall perform, or cause to be performed, all scheduled and unscheduled maintenance required on the Facilities in order to perform in accordance with the Warranty Specifications and Performance Standards. In that regard, Seller’s responsibilities hereunder shall include promptly correcting any malfunctions in compliance with the terms of this Agreement. Seller agrees to respond in a timely manner to any Facility outage or other casualty that materially reduces power output or efficiency, or materially impairs the capability of any Facility to comply with the terms and provisions of the applicable ESA or the Performance Standards, by (A) promptly diagnosing the source of such issue and, (B) if on-Site Facility Services are required, using its best efforts to (1) dispatch field service personnel to the Site within one Business Day after Seller obtains Knowledge that such on-Site Facility Services are required, and (2) cause its field service personnel to arrive at the applicable Site in order to commence repair services at the applicable Facility no later than the next Business Day. Without in any way limiting the foregoing, Seller shall in any event comply with any and all response time(s) and/or corrective activity(ies) required by the applicable ESA(s).
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(iii)Repair and Replacement of Power Modules; ITC Recapture Covenant.  Buyer agrees that Seller may replace the Power Modules included in each Facility with Power Modules of a different model, provided that Seller certifies to Buyer that such replacement model has been subjected to inspections and tests performed by Seller which indicate that such replacement Power Modules model is reasonably expected to perform at least as well as the model it replaces. Seller hereby covenants to Buyer that (i) any repair or replacement of Power Modules made within five (5) years of the date the applicable Bloom System was Placed in Service will have an aggregate cost of replaced parts (taking into account the cost of any other replaced parts pursuant to this Agreement or otherwise) that is less than eighty percent (80%) of the Bloom System’s total value (the cost of the new parts plus the value of the remaining Bloom System originally Placed in Service), and (ii) Seller shall keep appropriate records and other documentation until the twelve-year anniversary of the date upon which the applicable Bloom System was Placed in Service that (A) specifically identify the Power Module relocated or removed, (B) evidence that such item is different than that used upon Placed in Service, (C) are sufficient to provide evidence to Buyer and other Persons, as necessary, of the cost of such replaced parts and (D) are sufficient to provide evidence to Buyer and other Persons, as necessary, whether any removed or relocated Power Modules or refurbished parts contain any equipment other than the specifically identified components relocated or removed; provided, Seller shall have no obligation to disclose such records or documentation unless required under Section 6.1(1)(ii) or Section 10.3(5) in connection with a Tax Proceedings.
(iv)Personnel.  Seller shall ensure that all operations and maintenance functions contemplated by this Section 4.2 are performed by technically competent and qualified personnel (the “Service Technicians”). Seller shall ensure that all Service Technicians: (i) participate in a maintenance training program and receive confirmation of having achieved the requisite level of proficiency for the tasks they are assigned to perform, and (ii) attend periodic “refresher” training programs to the extent Seller deems necessary, in its reasonable judgment.
(v)Spare Parts.  Seller shall establish and maintain an adequate inventory of spare parts in one or more locations to facilitate scheduled and unscheduled maintenance required on the Facilities.
(vi)Programs and Procedures.  Prior to the date of the Commencement of Operations of the first Facility, Seller and Buyer shall have adopted and implemented programs and procedures, consistent with the Performance Standards, intended to ensure safe and reliable operation of the Facilities. Seller may update such programs and procedures from time-to-time during the Term that it believes to be appropriate, in its reasonable judgment and in accordance with the Performance Standards, such updates subject to Buyer’s approval. Buyer may, not more than once per calendar year and at Buyer’s sole cost and expense, review such programs and procedures from time to time to confirm compliance with the Performance Standards. Buyer may from time to time provide comments on any such Seller programs and procedures and Seller agrees to consider any such comments in good faith; provided, that Buyer’s review and comment on any such program or procedure will not relieve Seller of any of its obligations under this Agreement.

(vii)Operations and Maintenance Procedures.  Without in any way limiting Seller’s obligations pursuant to this Section 4.2, Seller shall perform all operations and maintenance work in accordance with the provisions of Schedule 4.2.
(viii)Maximum Export Covenants and Net Metering.  Seller shall cause each Facility to be operated such that the export off Site of any amount of output from any Facility does not cause the breach or violation of any obligation or duty in the applicable ESA in respect of net metering quantities or other output export limitations.
(ix)Kaiser Self Performance.  Notwithstanding anything to the contrary herein, Buyer shall have no liability hereunder or under any Transaction Document arising from any performance by Kaiser pursuant to a Kaiser ESA.
(x)Plans Regarding Certain [***] Charges.  To the extent Buyer, in its capacity as “Supplier” pursuant to [***], has any performance obligations pursuant to Section 3.4(c) of the [***] (including any obligations to coordinate maintenance schedules, develop or implement plans, modify physical plant or modify operations or maintenance), (a) Seller shall perform such obligations for no additional consideration hereunder in accordance with (i) the requirements set forth herein and (ii) the Performance Standards and (b) Buyer shall have no obligations hereunder. Without limiting the foregoing, upon receipt of notice from the applicable ESA Customer pursuant to Section 3.4(c)(ii) of [***], Seller shall cooperate with Buyer and such ESA Customer in furtherance of the obligations of Supplier thereunder.
Section y.Service Fees
.
(i)Buyer shall compensate Seller for the Facility Services, on a calendar month basis, by paying Seller the “Service Fees” equal, for each Facility, to (i) (A) the rate (in $/kW) specified in Schedule 4.3(1) hereto for such Facility for the applicable calendar month since the applicable Facility achieved Commencement of Operations, multiplied by (B) the aggregate System Capacity (in kW) of the Bloom Systems comprising the applicable Facility, for the applicable calendar month, plus (ii) any additional Services Fees for such Facility set forth on Schedule 4.3(1) hereto based on the presence of Ancillary Equipment. If Facility Services are provided by Seller for a particular Facility for only a portion of any calendar month, the Service Fees due with respect to such partial calendar month shall be pro-rated based on the number of days such Facility Services were provided in respect of such Facility during the calendar month.
(ii)Commencing on the date each Facility achieves Commencement of Operations, with respect to each calendar month of such Facility’s Warranty Period, the Service Fees shall be invoiced not more often than once per calendar month on a separate invoice (and not pursuant to a Payment Notice) not later than five (5) Business Days prior to the first day of such calendar month, and, subject to Section 3.4(1)(xii)(B) and Section 5.4, shall be payable no later than the thirty (30) calendar days following such proper delivery of such invoice; provided, that the pro rata Services Fees for the calendar month in which a Facility achieves Commencement of 
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Operations shall be invoiced and paid with the Services Fees for the subsequent calendar month. Interest shall accrue, unless being contested in good faith, daily on the Service Fees not paid when due, at the lesser of the monthly rate of (i) one and five-tenths percent (1.5%) and (ii) the highest rate permissible by law on such unpaid balance.  Seller shall be under no obligation to provide or perform services hereunder for any Facility whose Service Fee, other than a Service Fee disputed in good faith, has not been paid in full (or offset pursuant to Section 2.11, Section 2.12, Section 3.4(1)(xii)(B), Section 4.3(6), Section 5.7 or Section 5.8) within thirty (30) days of invoice until such date upon which the Service Fee has been paid.
(iii)If Buyer disputes any amount shown in an invoice issued by Seller in accordance with Section 4.3(2): (i) Buyer must pay the undisputed portion of the invoice amount within the time prescribed by Section 4.3(2), and (ii) liability for the disputed portion of that invoice will be determined in accordance with the dispute resolution procedure set out in Section 14.5.
(iv)Any disputed portion of an invoiced amount which was not paid under Section 4.3(3) and is determined as being due to Seller in accordance with the dispute resolution procedure set out in Section 14.5 must be paid by Buyer within ten (10) days of the determination of the dispute in accordance with the procedure set out in Section 14.5 plus, if it is determined in accordance with the dispute resolution procedures that the disputed portion was not disputed in good faith, interest calculated in accordance with Section 4.3(2).
(v)Buyer shall, promptly following receipt of an invoice and reasonable supporting documentation thereof, reimburse to Seller the amount of any cash deposit Credit Support provided by Seller and described on Schedule 1.
(vi)Each Party shall have the sole and absolute right to set off any undisputed amounts to which it is entitled under this Agreement (each, a “Set-Off Amount”).  If a right to set off so arises, Buyer or Seller, as the case may be, may invoice the other Party for such Set-Off Amount. If such Set-Off Amount is not paid within 30 days of receipt of such invoice, then the Party due such Set-Off Amount shall have the sole and absolute right to set off any undisputed amounts to which it is entitled under this Agreement against any amounts owed by such Party under this Agreement; provided, however, the Party setting off such amounts must deliver written notice to the other Party no later than three (3) Business Days from date the Set-Off Amount is actually set off, which notice identifies (i) the amount so invoiced pursuant to this Section 4.3(6),(ii) the Set-Off Amount, and (iii) the provision to which the Set-Off Amount relates. The deduction of any Set-Off Amount shall operate for all purposes as a complete discharge (to the extent of such deduction) of the obligation of the applicable Party to pay the amount from which such deduction was withheld and made. Neither the exercise of, nor the failure to exercise, such right of setoff will constitute an election of remedies or limit the applicable Party in any manner in the enforcement of any other remedies that may be available to it.
(vii)If Seller is prevented from performing the Facility Services for a given Facility, or if Buyer is prevented from performing its obligations hereunder, due to a Force Majeure Event under Section 12.6(1) or a Change in Law under Section 12.9, in either case for a period in 

excess of thirty days in the aggregate (whether or not continuous) over a six month period, then, on and after the thirty-first day of such Force Majeure Event or Change in Law, as the case may be, Buyer shall not be required to pay the Service Fees for such Facility until the date Seller may resume performing the Facility Services for such Facility. 
(viii)Unless expressly stated otherwise, the Service Fee shall serve as the full consideration for all of Seller’s obligations in this Article IV and otherwise after each Facility’s Commencement of Operations Date pursuant to this Agreement, and Buyer shall have no obligation to make further payment with respect to such performance hereunder. Seller shall bear any cost overruns in connection with any services provided by a Service Provider.
Section z.Remote Monitoring; BloomConnect
.
(i)For purposes of monitoring the operational performance and determining when repair services are necessary, Seller shall monitor and evaluate the information gathered through remote monitoring of each Facility and Site as well as the maintenance and inspection Site visits. For so long as Seller is responsible for the Facility Services in respect of any Facility, Seller shall provide Buyer with access to (i) BloomConnect or any successor software and (ii) Raw Data, in each case with respect to such Facility.
(ii)To the extent an ESA Customer has a right to access BloomConnect or any successor software related to the management of its purchase of energy under an applicable ESA, Seller shall provide access to such ESA Customer for the same.
Section aa.Permits
.
(i)Seller shall be responsible, at its sole cost and expense, for obtaining, maintaining and complying with all Permits and PTO required to perform the Facility Services under this Agreement, including related performance assurance or other credit support requirements in connection therewith, and shall promptly notify Buyer of any material challenges to the status of a Permit and PTO for a Facility, or any other material issues or anticipated material issues relating to obtaining or maintaining a Permit and PTO for a Facility. Without in any way limiting the foregoing, Buyer shall cooperate with and assist Seller in obtaining all such Permits and PTO.
(ii)Seller agrees, at its sole cost and expense, to consult, advise and otherwise assist with the Buyer’s preparation and submission of all filings and notices of any nature which are required to be made by Buyer under the terms of any Permit held by Buyer or any Legal Requirements applicable to the Facilities or to Buyer on account of the Facilities.
Section ab.Coordination of Relationship
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.
(i)Seller’s Operations Manager.  Seller shall at all times retain an operations manager (the “Operations Manager”) who shall be dedicated to the overall supervision and management of performance of Seller’s Facility Services obligations under this Agreement. Seller’s initial Operations Manager is set forth on Schedule 4.6. Seller may, from time to time, designate another individual as a proposed replacement for the Operations Manager by notice to Buyer. Seller’s suggested replacement Operations Manager shall be subject to Buyer’s approval, which may not be unreasonably withheld or delayed in all instances. Where feasible, Buyer shall have the opportunity to meet the replacement Operations Manager in person or telephonically prior to assignment. Such meeting will take place telephonically except as otherwise agreed upon by the Parties. Nothing in this paragraph shall prevent Seller from assigning interim replacements on a temporary basis to enable it to continue to timely perform its obligations while assignment of a permanent replacement is pending. During the Warranty Term, Seller shall not assign the Operations Manager duties that are inconsistent or that conflict with the obligations of the Operations Manager in respect of his or her Facility Services duties.
(ii)Buyer Manager.  Buyer will appoint an individual to serve as its primary contact person with regard to this Agreement (the “Buyer Manager”). Buyer’s initial Buyer Manager is set forth on Schedule 4.6. Buyer may, from time to time, designate another individual as a proposed replacement for the Buyer Manager by notice to Seller.
(iii)Manager Meetings.  The Buyer Manager and the Operations Manager will serve as each Party’s main contact to, and for, the other Party with regard to day-to-day matters affecting the Parties’ relationship in relation to Installation Services and Facility Services. The Buyer Manager and the Operations Manager (or their designees) will meet, by phone or in person, as often as they feel necessary to monitor and manage such day-to-day activities. Such managers shall operate by consensus to the extent practicable but shall have no authority to amend or waive compliance with the terms and conditions of this Agreement, or to approve actions of the Parties that are inconsistent with this Agreement. Any such waivers or amendments shall be implemented only as described in Section 14.1 or Section 14.2, as the case may be.
(iv)QBR.  Unless waived in writing by Parties, senior representatives of Buyer (or its Affiliate) and Seller will meet for a QBR at least once each fiscal quarter, which meeting may be by phone or in person. The parties will mutually agree, reasonably in advance, upon an agenda for each QBR, which may include ESA Customer renewals and additional expansion activities. Each QBR shall provide the parties reasonable time to discuss the agenda and ask and respond to relevant questions.
Section ac.Relocation or Removals of Facilities or Power Modules Within Portfolio Pursuant to ESAs
.  In the event that an ESA permits the applicable ESA Customer to request or require the relocation or removal of a Facility or any Power Modules therein after such Facility achieves any 

of the events described in clauses (2) through (4) of the definition of “Placed in Service”, Buyer may, upon request made by such ESA Customer pursuant to the provisions therein, require Seller to relocate or remove such Facility or Power Modules pursuant to this Section 4.7.  
(i)In the event that a Facility or one or more Power Modules are to be relocated and remain subject to the same ESA pursuant to this Section 4.7, Seller shall promptly perform all actions necessary for the removal of such Facility or Power Modules from the original Site(s) and the transportation to, and reinstallation and resumption of operations of, such Facility or Power Modules at the relocation Site(s) determined in accordance with the applicable ESA. Buyer shall bear all costs associated with such relocation, provided, that Seller shall bear all such costs to the extent such relocation is due to a breach by Seller of the ESA Warranty or the Efficiency Warranty or a Seller Default, in each case as between Buyer and Seller.
(ii)In the event that a Facility or one or more Power Modules are to be removed pursuant to this Section 4.7, Seller will promptly remove such Facility or Power Modules from the applicable Facility or Facilities, and the Parties will cooperate in good faith to identify one or more Sites or Facilities in the Scheduled Portfolio at which to redeploy such Facility or Power Modules, either (in the event one or more Power Modules but not an entire Facility is being removed or relocated) as additional Power Modules installed in then-empty Power Modules cabinets or to replace operating Power Modules nearing the end of their useful life. In identifying such Sites or Facilities, the Parties will consider (among other things) (i) the availability of empty Power Module cabinets, (ii) wiring or other equipment limitations, and (iii) any restrictions or limitations imposed by Legal Requirements, the ESAs, and the applicable Interconnection Agreement. Upon Buyer’s direction, Seller will promptly (x) perform all actions necessary for the handling, removal, shipping, transportation, storage, and reinstallation of such Facility or Power Modules from the original Site and the transportation to, and reinstallation and resumption of operations of, such Facility or Power Modules at the relocation Site in each case in accordance with the applicable ESA and (y) exercise its commercially reasonable efforts to assist Buyer in obtaining for Buyer’s benefit a release in writing of all of Buyer’s obligations and liabilities with respect to such Facility or Power Modules that are applicable at the initial Site, whether under the applicable ESA or any other agreements that are no longer applicable.  
(iii)Any relocation or removal of Power Modules pursuant to this Section 4.7 shall be performed in accordance with Sections 4.2(3); provided, that without Buyer’s prior written consent, Seller shall not perform such relocation or removal other than using specifically identified Components removed or relocated from the original Site.
Section ad.Remarketing and Redeployment
.  
(i)In certain circumstances an ESA may contain terms or conditions requiring Buyer to attempt to remarket and redeploy one or more Facilities, but not to remove or relocate such Facilities, which actions are instead addressed in Section 4.7 hereof. If Buyer becomes obligated 
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to attempt such remarketing and redeployment as described in the foregoing sentence or as required under Section 2.3(b) of a [***] ESA and defined as “Redeploy” under a [***] ESA, Seller agrees to assist Buyer in such applicable remarketing, resale or redeployment obligations (collectively, the “ESA Remarketing Activities”), using at least that degree of effort as is required of Buyer under the applicable ESA. Without in any way limiting the foregoing, Seller assistance shall include taking the following actions for Buyer’s benefit upon request: (a) if necessary, remove such Facility in accordance with Section 4.10(2), (b) on a nondiscriminatory basis with respect to other similar equipment of Seller, distributing to its sales organization information on the availability, location and price of such Facility, and agreeing to provide to a prospective purchaser of such unit or the output thereof, as applicable, at no cost to such purchaser, a certificate of maintainability with respect to such unit, (c) subject to Buyer’s approval of reinstallation and procurement plans, cause such Facility to be reinstalled at the applicable purchaser’s site at Seller’s then prevailing installation rates, including procuring and installing any necessary BOF equipment related thereto, (d) cause such Facility to be refurbished or reconfigured as necessary or appropriate to facilitate such resale or redeployment, and (e) enter into an Energy Tolling Agreement and site license agreement for all necessary operations and maintenance services necessary to operate such Facility following such resale or redeployment at Seller’s then prevailing maintenance rates for similar equipment at a similar Site and including a scope of work, performance guaranties, and indemnification provisions similar in all material respects (except that Tolling Rates shall be subject to Buyer’s approval in its sole discretion) to the ESA pursuant to which the applicable Facility was most recently installed. The purchaser described above shall be deemed a New Customer hereunder, and its site a New Customer Site, in each case approved in Buyer’s sole discretion. Any ESA Remarketing Activities shall be performed in accordance with Section 4.2(3); provided, that without Buyer’s prior written consent, Seller shall not perform such ESA Remarketing Activities other than using specifically identified Components removed or relocated from the original Site. In the event the requirements and obligations under the ESA conflict with the requirements and obligations in this Section 4.8(1), the provisions of the ESA shall prevail. 
(ii)If Buyer elects that Seller relocate a Facility or Bloom Systems to a substitute Site pursuant to Section 3.4(1)(xii)(B) or Seller becomes obligated to do so as a result of removing a Facility under Section 2.4(7) (if applicable), then unless and until Buyer subsequently elects that Seller refund any amounts in respect of the Aggregate Purchase Price paid as of such date in and remove such Facility or Bloom Systems pursuant to Section 2.4(7) or Section 3.4(1)(xii)(B), as applicable, to the extent a substitute Site is not already available and approved by Buyer in its sole discretion in writing, Seller shall attempt to remarket or redeploy such Facility or Bloom Systems, including upon Buyer’s request, on a nondiscriminatory basis with respect to other similar equipment of Seller, distributing to its sales organization information on the availability, location and price of such Facility, and agreeing to provide to a prospective purchaser of such unit or the output thereof, as applicable, at no cost to such purchaser, a certificate of maintainability with respect to such unit (collectively, the “Pre-PIS Remarketing Activities”). Seller will (a) if applicable, ensure any proposed New Customer and/or New Customer Site is approved by Buyer in its sole discretion in writing, (b) subject to Buyer’s approval of reinstallation and procurement plans, cause such Facility to be reinstalled at the applicable 

substitute Site at Seller’s then prevailing installation rates, including procuring and installing any necessary BOF equipment related thereto cause such Facility to be refurbished or reconfigured as necessary or appropriate to facilitate such redeployment and (c) either (x) in its own name, enter into the applicable ESA and site license agreement for all necessary operations and maintenance services necessary to operate such Facility following such redeployment at Seller’s then prevailing maintenance rates for similar equipment at a similar Site and including a scope of work, performance guaranties, and indemnification provisions similar in all material respects (except that Tolling Rates shall be subject to Buyer’s approval in its sole discretion) to the ESA pursuant to which the applicable Facility was most recently installed and, upon approval in writing from Buyer, assign each of the foregoing to Buyer or (y) negotiate the final forms of the foregoing and present them to Buyer for approval and execution. 
(iii)All of Seller’s reasonable and documented costs and expenses (including a reasonable allocation of personnel hours) incurred in connection with any ESA Remarketing Activities shall be reimbursed by Buyer, and Seller will reasonably cooperate with Buyer to provide Buyer with any documentation that is required pursuant to the applicable ESA to support such costs and expenses. All costs and expenses in respect of any PrePIS Remarketing Activities and other services and equipment provided pursuant to Section 4.8(2) are for the account of Seller, it being understood that any portions of the Aggregate Purchase Price paid to date in respect of the related Facility shall fully compensate Seller for performing such obligations.
Section ae.Calculation of Indexed ESA Tolling Rates
.  In the event that an ESA (including as applicable to any one or more Facilities) provides for the calculation of the Tolling Rate for any Facility as of any time based on external factors such as the prevailing price of electricity, electricity transmission and delivery, natural gas prices, or other factors (each, an “Indexed ESA”), Seller shall perform all required calculations of the Tolling Rate(s) on behalf of Buyer in accordance with the requirements of the applicable Indexed ESA, and Buyer hereby authorizes Seller, subject to Section 4.1, to perform such calculations, informally interact with the applicable ESA Customer(s) and generate proposed calculations of Tolling Rate(s) from time to time in accordance with the provisions of the applicable Indexed ESA. Seller shall keep Buyer informed, with reasonable documentation, throughout the performance of actions contemplated in this Section 4.9. In the event of any dispute between Seller and the applicable ESA Customer(s) regarding the calculations of the Tolling Rate(s), Seller shall provide prompt notice to Buyer of such dispute and thereafter Buyer shall have right to participate in and control all negotiations and to resolve such dispute with the applicable ESA Customer(s) regarding the calculations of such Tolling Rate(s). Seller shall deliver to Buyer the results of Seller’s calculations of the Tolling Rate(s) under each applicable Indexed ESA at least five (5) Business Days prior to the date such calculations are to be delivered to the applicable ESA Customer so that Buyer may confirm Seller’s calculations, and Seller shall not provide any such calculation to the applicable ESA Customer until Buyer has confirmed Seller’s calculations. In the event that Buyer believes Seller has made any calculation errors, the Parties shall cooperate in good faith to resolve any discrepancies between Seller’s calculations and Buyer’s calculations prior to the date on which such calculations must be delivered to the applicable ESA 
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Customer pursuant to the terms of the applicable Indexed ESA, and as between Buyer and Seller any discrepancies that remain unresolved after a period of three (3) Business Days of discussions shall be resolved in favor of Buyer.
Section af.Repurchase and Remove
. 
(i)If Seller repurchases a Facility pursuant to any of Sections 5.7(4), 5.8(1), 12.3, 12.7(2) or 12.7(4), or if a Facility is returned to Seller pursuant to Sections 2.4(7), 2.11, 3.4(1)(xii)(B) or Section 13.1, or if a Facility is the subject of a 2020 Facilities Assignment pursuant to Section 2.11 (provided, that without limiting any of Buyer’s other rights and remedies pursuant to this Section 4.10(1), Buyer shall not exercise the remedy described in Section 4.10(1)(iv) with respect to an affected Facility during ongoing negotiations of a 2020 Facilities Assignment in respect of such Facility, as long as consummation of such 2020 Facilities Assignment without unreasonable delay remains reasonably likely), then: 
xlix.Seller shall (x) pay to Buyer the Repurchase Value, if Seller is required to repurchase a Facility pursuant to any of Sections 5.7(4), 5.8(1), 12.3, 12.7(2) or 12.7(4), (y) if Seller is required to refund or repurchase a Facility pursuant to Sections 2.4(7), 2.11 or 3.4(1)(xii)(B) (or if such Facility is otherwise the subject of a 2020 Facilities Assignment pursuant to Section 2.11 pursuant to which a refund is due, but not in duplication of any Late Facility Payment for such Facility), (A) refund to Buyer all payments of the Aggregate Purchase Price paid in respect of such Facility or any Components thereof as of such date and (B) pay to any ESA Customers and any other Persons any amounts that are due or become due to be paid by Buyer pursuant to any ESA, Site License or other Facility Contract or Permit in respect of such Facility, or (z) pay to Buyer the amount specified in Section 13.1, if a Facility is returned to Seller pursuant thereto;
l.title to such Facility shall automatically transfer back to Seller on an AS IS basis upon Buyer’s receipt of such payment and Buyer shall deliver a Bill of Sale to Seller evidencing such transfer of title;
li.upon Buyer’s request, Seller shall use commercially reasonable efforts to assist Buyer in securing a release in writing of (and if such release cannot be secured within thirty (30) days, Seller shall assume in writing) all of Buyer’s obligations and liabilities with respect to such Facility from the related ESA Customer under the applicable ESA and from any other Person party to a Facility Contract in respect of such Facility under such Facility Contract; 
lii.Seller shall, at its sole cost and expense, remove such Facility from the applicable Site in accordance with Section 4.10(2) below;

liii.such Facility shall no longer be deemed a part of the Portfolio or the Scheduled Portfolio; and
liv.Seller and Buyer’s rights and obligations with respect to such Facility under this Agreement shall terminate in full, except for those provisions that expressly survive by their terms.
lv.THE REMEDY DESCRIBED IN THIS SECTION 4.10(1) IS BUYER’S SOLE AND EXCLUSIVE REMEDY, AND SELLER’S SOLE AND EXCLUSIVE LIABILITY, ARISING OUT OF ANY FAILURE SET FORTH IN SECTIONS 3.4(1)(xii)(B),  5.7(4), 5.8(1), 12.3 OR 12.7(2), EXCEPT AS EXPRESSLY SET FORTH IN SUCH SECTIONS; PROVIDED, SELLER SHALL BE RESPONSIBLE FOR ANY PAYMENTS DUE AND PAYABLE UNDER THIS AGREEMENT UP TO AND UNTIL THE DATE OF SUCH REPURCHASE.
(ii)Subject to Section 4.10(1), if Seller is required to remove a Facility from its Site pursuant to the terms hereunder, then:
lvi.Seller shall remove such Facility and all Ancillary Equipment and BOF (including the concrete pad to the extent required under the applicable ESA or Site License) from such Site;
lvii.Seller shall restore such Site to the condition before the installation and as required under the applicable ESA and Site License, closing all utility connections and properly sealing all Site penetrations in the manner required by Legal Requirements, the applicable ESA and Site License, if any; and
lviii.to the extent not already provided under Section 4.10(1)(iii), Seller shall, upon Buyer’s request, use commercially reasonable efforts to assist Buyer in securing a release in writing of all of Buyer’s obligations and liabilities with respect to such Facility, as applicable to the Site from which it was removed, from the related ESA Customer under the applicable ESA and from any other Person party to a Contract in respect of such Facility under such Contract (in each case if terminated or otherwise inapplicable to such Facility after such removal).
(iii)If Buyer becomes the owner of a Facility, or a Component thereof, that is no longer subject to, or, in Buyer’s discretion, but subject to the terms and conditions of any applicable ESA, adequately monetized under, an ESA, Buyer may elect that Seller provide “Remarketing Services” under and as defined in the Administrative Services Agreement, for the fees set forth therein. Nothing in this Section 4.10(3) shall limit the rights of Buyer in connection with ESA Remarketing Activities or Pre-PIS Remarketing Activities, as set forth in Sections 4.8(1) and 4.8(2), respectively. Any such “Remarketing Services” shall be performed in accordance with Section 4.2(3); provided, that without Buyer’s prior written consent, Seller shall not perform such “Remarketing Services” other than for specifically identified Components removed or 
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relocated from the original Site. This Section 4.10(3) shall be subject to Section 12.7(2) in all respects.
Section ag.Plans Regarding Fuel, Tariff Compliance and Mitigation.
(i)Promptly upon Seller’s acquiring Knowledge that a change in, or an introduction of, any Legal Requirements governing the emissions of energy generators or interconnection requirements of a Transmitting Utility has occurred or is reasonably likely to occur with respect to one or more Facilities, which such change causes, or is reasonably likely to cause, Seller to become obligated to perform or make payments or reimbursements pursuant to Section 5.3 or Section 5.8 Seller will (A) notify Buyer thereof and provide a reasonably detailed summary of such change and (B) prepare for Buyer’s review a mitigation strategy with respect to any potential liability under Sections 5.3 or 5.8 (such strategy, the “Mitigation Plan”). 
(ii)Seller will (i) periodically update Buyer on the scope and status of the Mitigation Plan, (ii) provide any other information reasonably requested by Buyer with respect thereto and (iii) use commercially reasonable efforts to cooperate with any of Buyer’s reasonable due diligence efforts in connection therewith.
(iii)Seller shall under no circumstances execute, or cause to be executed, any Contract, which would, or would be reasonably likely to, result in Buyer becoming responsible for any additional duties, liabilities or obligations to any ESA Customer or its Affiliates, which duties, liabilities or obligations arise out of the circumstances and premises described in clause (iii) to the definition of “ESA Warranty” herein or in the final sentence of such definition. 
(iv)To the extent Buyer has any obligations with respect to the circumstances and premises described in clause (iii) to the definition of “ESA Warranty” herein or in the final sentence of such definition, (a) Seller shall perform such obligations for no additional consideration hereunder in accordance with (i) the requirements set forth herein and (ii) the Performance Standards and (b) Buyer shall have no obligations hereunder.
ARTICLE V.
WARRANTIES
Section ah.Facility Services Warranty
.  Without limiting Seller’s obligations under ARTICLE IV, Seller shall perform, or cause to be performed, all such Facility Services in respect of the Bloom Systems, Ancillary Equipment and the BOF necessary for the Portfolio to perform in accordance with the Warranty Specifications (the “Facility Services Warranty”).
Section ai.Performance Guaranty
.

(i)During the Warranty Period, Seller shall determine within ten (10) Business Days after the end of each calendar year, whether the Portfolio has delivered to the applicable Interconnection Points the Minimum kWh for purposes of the Performance Guaranty during such calendar year (“Performance Guaranty”).
(ii)If such calculation indicates that the Actual kWh delivered by the Portfolio was greater than the Minimum kWh during such calendar year, then the difference (in kWh) between Actual kWh less Minimum kWh shall be recorded as a positive balance in the Performance Guaranty Bank.
(iii)If such calculation indicates that the Actual kWh delivered by the Portfolio was less than the Minimum kWh during such calendar year, then the difference (in kWh) between Minimum kWh less Actual kWh shall be recorded as a negative balance in the Performance Guaranty Bank.
(iv)Seller shall report the balance of the Performance Guaranty Bank to Buyer within thirty (30) days of the end of each calendar year. If Seller fails to perform any Performance Guaranty calculation within the periods required by this Section 5.2, Buyer may perform its own calculations and notify Seller of the results of such calculation and, if applicable, make a claim pursuant to Section 5.7. In the event that Buyer believes Seller has made any calculation errors, the Parties shall cooperate in good faith to resolve any discrepancies between Seller’s calculations and Buyer’s calculations.
(v)The Minimum Power Product for purposes of the Performance Guaranty shall be updated by amendment to this Agreement (which amendment shall be agreed upon and executed by both Buyer and Seller) promptly following the Commencement of Operations Date Deadline to reflect the final assumptions set forth in the Project Model used to calculate the Aggregate Purchase Price of the Facilities installed in the immediately prior Calendar Quarter (if such Project Model reflects a Minimum Power Product other than ninety-five percent (95%).
Section aj.Efficiency Warranty
.  During the Warranty Period, Seller shall perform any required repairs, modifications (including algorithm or other adjustments) or replacements that Buyer is required to perform pursuant to the ESAs, whether based on the efficiency of any Facility or Facilities or other objective metrics used by Seller consistent with past practices, including availability, output, minimum production, peak demand reduction, demand charge reduction, backup power provision, islanding, net metering, interconnection requirement or otherwise (including the circumstances and premises described in clause (iii) to the definition of “ESA Warranty” herein and in the final sentence of such definition) (the “Efficiency Warranty”). If Buyer is obligated to perform any repair, modification or replacement of any Facility(ies), or any component thereof, pursuant to an ESA, Buyer may make a claim under Section 5.7(3).
Section ak.Performance Warranty
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.
(i)During the Warranty Period, Seller shall determine within ten (10) Business Days after the end of each Calendar Quarter, whether the Portfolio has delivered to the applicable Interconnection Points the Minimum kWh for purposes of the Performance Warranty (as set forth in the definition of “Minimum kWh”) during such Calendar Quarter (“Performance Warranty”).
(ii)If such calculation indicates that the Actual kWh delivered by the Portfolio was greater than the Minimum kWh during such Calendar Quarter, then the difference (in kWh) between Actual kWh less Minimum kWh shall be recorded as a positive balance in the Performance Warranty Bank.
(iii)If such calculation indicates that the Actual kWh delivered by the Portfolio was less than the Minimum kWh during such Calendar Quarter, then the difference (in kWh) between Minimum kWh less Actual kWh shall be recorded as a negative balance in the Performance Warranty Bank.
(iv)Seller shall report the balance of the Performance Warranty Bank to Buyer with its delivery of the Quarterly Report. At any time the Performance Warranty Bank has a negative balance, Buyer may make a claim under Section 5.7. If Seller fails to perform any Performance Warranty calculation within the periods required by this Section 5.4, Buyer may perform its own calculations and notify Seller of the results of such calculation and, if applicable, make a claim pursuant to Section 5.7. In the event that Buyer believes Seller has made any calculation errors, the Parties shall cooperate in good faith to resolve any discrepancies between Seller’s calculations and Buyer’s calculations.
Section al.Portfolio Warranty
.
(i)Subject to Section 5.6 and Section 13.7, Seller warrants to Buyer that (i)(x) each Bloom System and each Battery Solution shall, upon Commencement of Operations, conform to the Specifications for Bloom Systems and Battery Solutions, respectively, set forth on Schedule 3.3(1) and (y) each Facility and its Components shall be free from defects in design, materials and workmanship until the second anniversary of the Commencement of Operations for such Facility (the warranties in the foregoing clauses (i)(x) and (i)(y) are collectively the “General Product Warranty”), and (ii) the Portfolio and each Facility will comply with the Warranty Specifications applicable to the Portfolio or such Facility, as the case may be, during the Warranty Period (collectively, the “Portfolio Warranty”). To the extent any claim under either the General Product Warranty or the Portfolio Warranty must be verified by Seller, Seller shall notify Buyer of its determination as promptly as is practicable.
(ii)Upon its receipt of a claim from Buyer relating to the General Product Warranty, or upon its obtaining Knowledge of a breach of the General Product Warranty Seller shall promptly 

correct the applicable defect or failure to conform at Seller’s sole expense, which proves to be or have been in breach of the General Product Warranty on or before the second anniversary of the Commencement of Operations for such Facility. Seller shall promptly notify Buyer of the date of completion of such correction, repair or replacement. Notwithstanding anything to the contrary in this Agreement, any action by Buyer for a breach of the General Product Warranty with respect to a Facility must be brought no later than ninety (90) days after the second anniversary of the Commencement of Operations for such Facility WITHOUT IN ANY WAY LIMITING SELLER’S OBLIGATION TO INDEMNIFY BUYER PURSUANT TO SECTION 5.8, AND/OR WITH RESPECT TO CLAIMS PURSUANT TO SECTION 13.3 BUYER’S SOLE REMEDY FOR A BREACH OF THE GENERAL PRODUCT WARRANTY SHALL BE THE CORRECTION OF DEFECTIVE OR NON-CONFORMING FACILITY AS STATED ABOVE.
(iii)The Portfolio Warranty is not transferable to any third person unless assigned pursuant to Section 14.4.
(iv)Any period of time in which the Warranty Specifications are not met shall not extend the Warranty Period.
Section am.Exclusions
.  The Pre-COO Equipment Warranty, the Portfolio Warranty and the ESA Warranty shall not cover any obligations on the part of Seller to the extent caused by or arising from (a) a Facility being affected by vandalism or other third-party’s actions or omissions occurring after Commencement of Operations (other than to the extent caused by actions or omissions of Seller, a Seller Affiliate, or a Service Provider, in any such case to the extent such action or omission constitutes a failure to perform or breach under a Transaction Document); (b) any failure by an ESA Customer to supply natural gas or interconnection services, as required under the applicable ESA (except to the extent from or through an Approved LDC); (c) Buyer’s (as opposed to Seller, Seller Affiliate or a Service Provider) or an ESA Customer’s (to the extent comprising a breach or failure to perform under an ESA) removal of any safety devices comprising a part of the Facility, (d) any conditions caused by unforeseeable movement of terrain in the environment in which a Facility is installed (provided that normal soil settlement, shifting, subsidence or cracking will not constitute ‘unforeseeable movement’), (e) accidents, abuse, improper third party testing (unless caused by Seller, Seller Affiliate or a Service Provider), (f) to the extent and for the duration that Seller’s performance is excused hereunder, Force Majeure Events, (g) installation, operation, repair or modification of a Facility by anyone other than Seller, Seller Affiliates or a Service Provider, in each case to the extent comprising a breach of an ESA Customer under the applicable ESA or a Buyer Default (other than any remedial action taken by Buyer following a Seller Default, solely to the extent allowed hereunder) and (h) subject to Section 12.9, and to the extent and for the duration that Seller’s performance is excused thereunder, any Legal Requirement arising after Commencement of Operations Date for the applicable Facility (which for this purpose shall include any tariff change or other code or operating regulation change imposed by the Transmitting Utility, in any such case solely to the 
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extent such change requires a change in operations or methods of a Facility); provided, that the foregoing clauses (b) and (h) shall not limit or otherwise be applicable to any obligations of Seller hereunder with respect to ESA Warranties or Efficiency Warranties, in each case solely to the extent arising out of the circumstances and premises described in clause (iii) to the definition of “ESA Warranty” herein or in the final sentence of such definition. SELLER SHALL HAVE NO OBLIGATION UNDER THE PRE-COO EQUIPMENT WARRANTY OR PORTFOLIO WARRANTY AND MAKES NO REPRESENTATION AS TO ANY FACILITY WHICH HAS BEEN OPENED OR MODIFIED BY ANYONE OTHER THAN SELLER, SELLER’S AFFILIATE, A SERVICE PROVIDER OR SUBCONTRACTOR, OR ANY OF SUCH PERSON’S REPRESENTATIVES, IN EACH CASE TO THE EXTENT IN INTENTIONAL BREACH OF SECTION 10.2(3).
Section an.Efficiency Warranty, Performance Warranty and Portfolio Warranty Claims.
(i)Subject to the provisions of Section 13.7, if Buyer desires to make a Portfolio Warranty claim during the Warranty Period, Buyer must notify Seller of the defect or other basis for the claim in writing.
(ii)If, after the annual adjustment to the Performance Guaranty Bank, such Performance Guaranty Bank has a negative balance, then Buyer may make a claim under the Performance Guaranty by submitting written notice to Seller.  Upon verification of such claim Seller shall make a payment to Buyer within ten (10) days of receipt of such claim equal to (x) the absolute value of the balance of the Performance Guaranty Bank, multiplied by (y) the Performance Guaranty Payment Rate. Upon payment of such amount, the Performance Guaranty Bank shall be reset to zero. Notwithstanding anything to the contrary set forth in this Agreement, Seller’s cumulative aggregate liability for all claims related to the Performance Guaranty shall not exceed the Performance Guaranty Payment Cap.
(iii)In the case of a claim relating to the Efficiency Warranty, upon receipt of such claim and verification by Seller that such Efficiency Warranty is applicable, Seller or its designated subcontractor will promptly, and in all cases within the period afforded to Buyer pursuant to the applicable ESA, repair, modify or replace, at Seller’s sole option and discretion, the applicable Facility or components thereof whose repair, modification or replacement is required in order for the applicable Facility to perform consistent with the Efficiency Warranty, and Seller shall notify Buyer of the Warranty Correction Date. In the event that the Warranty Correction Date has not occurred within the period afforded to Buyer pursuant to the applicable ESA (including if, pursuant to the applicable ESA, it is determined or agreed that a Component is to be removed from a Site and that the Buyer and ESA Customer are to negotiate revised Tolling Rates), Seller shall indemnify Buyer for any Indemnifiable Losses arising out of such failure in accordance with the terms of Section 5.8.
(iv)In the event of a claim relating to the Performance Warranty, upon receipt of such notice and verification by Seller that such Performance Warranty is applicable, Seller or its designated 

subcontractor will promptly, and in all cases within ninety (90) days of receiving such claim, repair or replace, at Seller’s sole option and discretion, any Underperforming Facility and will notify Buyer of the Warranty Correction Date. Thereafter, the Portfolio shall generate at least the Minimum kWh for purposes of the Performance Warranty in the ninety (90) day period immediately following the Warranty Correction Date. In the event that (i) the Warranty Correction Date has not occurred within ninety (90) days of Seller’s verification of the Efficiency Warranty claim, or (ii) the Portfolio fails to generate at least the Minimum kWh for purposes of the Performance Warranty in the ninety (90) day period immediately following the Warranty Correction Date, then Buyer has the right to require Seller (in which case Seller agrees) to repurchase such Underperforming Facilities (calculated as of the date of such repayment) as will cause the remaining Portfolio to comply with the Performance Warranty calculated through the final day of the applicable Calendar Quarter, and Seller shall pay to Buyer the Repurchase Value of such Underperforming Facilities, in which case Seller shall be deemed to have taken title to such Underperforming Facilities upon payment of the Repurchase Value, and such Facilities shall be deemed to no longer constitute a portion of the Portfolio and shall be removed as described in the previous sentences and in accordance with Section 4.10. In the event that Seller is obligated to repurchase any Underperforming Facilities pursuant to this Section 5.7(4) in connection with a Performance Warranty claim, the first Underperforming Facility repurchased shall be the Facility with the lowest output as a factor of its System Capacity in the prior Calendar Quarter, followed by the next lowest, and so on until Seller’s repurchase obligations are satisfied. If it is determined that a Facility will be removed pursuant to Section 5.7(4) Seller shall at its sole cost and expense remove the Facility and restore the Site pursuant to Section 4.10.
(v)Buyer is hereby notified that refurbished parts may be used in repair or replacement activities, provided that (i) any such refurbished parts will have passed the same inspections and tests performed by Seller on its new parts of the same type before such refurbished parts are used in any repair or replacement, (ii) any such repair or replacement activities using refurbished parts shall be performed in accordance with Section 4.2(3), (iii) Seller shall within thirty (30) days of a written request therefor by Buyer, provide a report for any or all Facilities purchased hereunder that lists all components that have been replaced in any individual Facility. 
(vi)EXCEPT AS EXPLICITLY SET FORTH IN SECTION 5.8, THE REMEDIES SET FORTH IN THIS SECTION 5.7 ARE BUYER’S SOLE AND EXCLUSIVE REMEDY, AND SELLER’S SOLE AND EXCLUSIVE LIABILITY, ARISING OUT OF A FAILURE OF ANY FACILITY OR THE PORTFOLIO, AS APPLICABLE, TO PERFORM IN ACCORDANCE WITH THE WARRANTY SPECIFICATIONS; PROVIDED, THE REMEDIES SET FORTH IN THIS SECTION 5.7 ARE (WITH RESPECT TO ONE ANOTHER) CUMULATIVE AND NOT EXCLUSIVE OF ONE ANOTHER; AND PROVIDED, FURTHER, THAT NOTHING IN THIS SECTION  5.7 SHALL LIMIT ANY RIGHTS OR REMEDIES OF BUYER IN RESPECT OF A SELLER DEFAULT. 
Section ao.Indemnification Regarding Performance Under ESAs.
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(i)Subject to Section 5.6, without in any way limiting and in addition to Buyer’s other remedies in this Article V, if Buyer incurs any Indemnifiable Loss to an ESA Customer (including, for the avoidance of doubt, any reduction in Tolling Rates under an ESA) with respect to (x) any ESA Warranty, (y) (pursuant to Section 5.7(3)) any Efficiency Warranty or (z) any audit or adjustment as a result of meter readings that were determined to be inaccurate, Seller shall indemnify and hold Buyer harmless for any such Indemnifiable Loss (“ESA Warranty Reimbursement Payment”), pursuant to the indemnification claims procedure set forth in Section 13.5. Without in any way limiting and in addition to the foregoing, in the event that the failure of any Facility(ies) to comply with any ESA Warranty causes the termination of an ESA (in whole or in part), then (i) Seller shall (at Buyer’s option) repurchase the applicable Facility for the Repurchase Value in accordance with Section 4.10(1), and (ii) Seller shall indemnify and hold Buyer harmless for any amount Buyer is liable to an ESA Customer in connection with such termination. If it is determined that a Facility(ies) will be removed pursuant to this Section 5.8(1), Seller shall at its sole cost and expense remove the Facility(ies) in accordance with Section 4.10(2). For the avoidance of doubt, claims, credits, reimbursements and any other payments made under this Section 5.8(1) are not subject to the cap set forth in Section 5.7(2) with respect to claims relating to the Performance Guaranty and shall not count against such cap.
(ii)ESA Warranty Reimbursement Payments owed pursuant to Section 5.8(1) shall be calculated by Seller on the first Business Day following the end of each Calendar Quarter and paid no later than the fifth Business Day of the Calendar Quarter immediately following the Calendar Quarter with respect to which such ESA Warranty Reimbursement Payment arose.
(iii)Buyer shall not modify, supplement, amend, amend and restate or otherwise change the terms of any ESA related to the ESA Warranty in a manner that increases Buyer’s liability or obligations thereunder unless Seller has provided prior written consent (not to be unreasonably withheld, conditioned or delayed) to such modification, supplement, amendment, amendment and restatement, or change of such ESA; provided, that if such consent is not obtained, Seller shall continue to perform its obligations under this Section 5.8 to the extent they would have been required absent such modification, supplement, amendment, amendment and restatement, or change.
(iv)Notwithstanding anything to the contrary set forth herein, Seller shall have no liability to Buyer under this Section 5.8 with respect to an ESA Warranty to the extent (i) that Buyer’s monetary liability or repair or replacement obligations thereunder are increased in any modification, supplement, amendment, amendment and restatement, or change of an ESA without Seller’s consent, to the extent that such consent is required pursuant to Section 5.8(3) or (ii) excluded under Section 5.6.
Section ap.Disclaimers
.  EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES SET FORTH IN SECTION 2.6(6), ARTICLE VIII, THIS ARTICLE V, SECTION 11.6 AND ELSEWHERE IN THIS AGREEMENT AND THE OTHER TRANSACTION DOCUMENTS, THE FACILITIES ARE 

TRANSFERRED “AS IS, WHERE IS”, AND SELLER EXPRESSLY DISCLAIMS ANY REPRESENTATIONS OR WARRANTIES OF ANY KIND OR NATURE, EXPRESS OR IMPLIED, AS TO LIABILITIES, OPERATIONS OF THE FACILITIES, VALUE OR QUALITY OF THE FACILITIES OR THE PROSPECTS (FINANCIAL AND OTHERWISE), RISKS AND OTHER INCIDENTS OF THE FACILITIES.  EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES SET FORTH IN SECTION 2.6(6), ARTICLE VIII, THIS ARTICLE V, SECTION 11.6 AND ELSEWHERE IN THIS AGREEMENT AND THE OTHER TRANSACTION DOCUMENTS, SELLER SPECIFICALLY DISCLAIMS ANY REPRESENTATION OR WARRANTY OF MERCHANTABILITY, USAGE, SUITABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE WITH RESPECT TO THE FACILITIES, OR ANY PART THEREOF.  NO PERSON IS AUTHORIZED TO MAKE ANY OTHER WARRANTY OR REPRESENTATION CONCERNING THE PERFORMANCE OF THE FACILITIES.
Section aq.Title
.  Title to all replacement items, replacement parts, replacement materials and replacement equipment supplied under or pursuant to this Agreement to Buyer shall transfer to Buyer upon installation or inclusion in a Facility. Upon replacement of an item or part as part of the Facility Services provided hereunder, Seller shall remove such item or part and shall have the right to dispose of such replaced property in any manner that it chooses in its sole discretion (subject to Section 4.2(3)).
ARTICLE VI.
RECORDS AND AUDITS
Section ar.Record-Keeping Documentation; Audit Rights.
(i)Seller shall ensure that records concerning Seller’s Installation Services and Facility Services activities hereunder are properly created and maintained at all times in accordance with all Legal Requirements. Such records shall be in electronic format and shall include the following:
lix.records and documentation in respect of each Facility’s satisfaction of each Milestone, including records and documentation regarding the Delivery of Facility(ies), the completion of BOF and Ancillary Equipment, to the extent applicable, the achievement of Commencement of Operations, the fact and date(s) such Facility has achieved each of the four separate criteria set forth in the definition of “Placed in Service” and in support of and evidencing the start of construction for ITC eligibility purposes before January 1, 2020;
lx.Tax Records and any other records, reports, or other documentation reasonably requested by Buyer, including to support the ITC eligibility until the twelve-year anniversary of the date upon which the applicable Facility was Placed in Service. Seller agrees to use commercially reasonable efforts to promptly provide such documentation to 
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Buyer upon Buyer’s request (provided, proprietary information may be redacted in Seller’s reasonable discretion), and shall provide an explanation for any inability to provide such documentation;
lxi.records and documentation shall be maintained by Seller in respect of each Facility or the Portfolio or Scheduled Portfolio, as applicable, regarding the compliance of such Facility or the Portfolio or Scheduled Portfolio, as applicable, with the Warranty Specifications and any applicable ESA Warranties during the Warranty Period; and
lxii.any other records, reports, or other documentation related to the production and sale of energy from the Facilities or that Buyer is required to maintain in respect of any Facility under any applicable ESA; 
(ii)All such records required to be created and maintained pursuant to Section 6.1(1) shall be (i) kept available at Seller’s office in electronic format and made available for Buyer’s inspection by transmission to Buyer (including, at Seller’s option, by uploading to the Data Room), in electronic format upon request at all reasonable times (provided, proprietary information may be redacted in Seller’s reasonable discretion) and (ii) retained by Seller for as long as is required under applicable Legal Requirements, or any longer period required under any ESA. Any documentation delivered by Seller during the Warranty Term to Buyer pursuant to this Agreement shall be for Buyer’s benefit and immediately become Buyer’s property. Any such documentation shall be stored by Seller on behalf of Buyer until its final delivery to Buyer. Seller may retain a copy of all such documentation related to each Facility for future analysis.
(iii)Inspection/Audit.  Buyer shall have the right no more than once during any calendar year and going back no more than two (2) calendar years preceding the calendar year in which an audit takes place, upon reasonable prior written notice, including using an independent public accounting firm reasonably acceptable to Seller, to examine such records during regular business hours in the location(s) where such records are maintained by Seller for the purposes of verifying Seller’s compliance with its obligations hereunder, including the accuracy of Quarterly Reports and Seller’s calculations in respect of Warranty Specifications and applicable ESA Warranties; provided, however, that (A) such records may be audited only once during any calendar year under this Section 6.1(3) unless the first such audit reveals any inaccuracies or irregularities and (B) any such auditor shall be contractually or ethically subject to restrictions no less restrictive than those set forth in Article X (Confidentiality). Buyer shall pay the cost of the audit unless the results of the audit reveal that the Minimum kWh or Actual kWh reported by Seller in respect of the Portfolio or any Facility during any calendar year that is audited exceeds by five percent (5%) or more the true Minimum kWh or Actual kWh, as the case may be, in which case Seller shall pay the audit costs.
Section as.Reports; Other Information
.  

(i)Without in any way limiting Seller’s other reporting, notification, and other similar obligations under this Agreement, before and during the Warranty Period, Seller shall furnish to Buyer the following reports, notices, and other information regarding the Facilities (which may be effected by e-mail communication to the Buyer Manager or other appropriate Buyer representative):
lxiii.within thirty (30) days after the end of each Calendar Quarter, the Quarterly Report;
lxiv.Promptly upon Seller’s Knowledge of any event or circumstance which materially delayed or prevented, or is reasonably likely to materially delay or prevent, its performance of any of Buyer’s obligations under any ESA or any other Facility Contract (including as performed by Seller or any other Service Provider), or any ESA Customer’s or Seller’s obligations under an Interconnection Agreement, notice of such event or circumstance in reasonable detail, including, for the avoidance of doubt, any Seller Default;
lxv.Promptly upon (but in no event more than five (5) Business Days after) Seller’s acquiring Knowledge of any material manufacturing or design defect in any Facility, including any material Component thereof, notice of such defect;
lxvi.Promptly upon Seller’s Knowledge of the occurrence of any material damage to any Facility or Site, notice of such damage in reasonable detail;
lxvii.Quarterly with delivery of the Quarterly Report, notice that a Facility was subject to an exclusion set forth in Section 5.6;
lxviii.Within three (3) Business Days following Seller’s final determination of the applicability thereof, notice that (x) the operation of a Facility has experienced any of the circumstances described in clauses (i) through (iii) of the definition of “Minimum kWh” herein or (y) an ESA Customer plans an outage or curtailment;
lxix.Promptly upon Seller’s Knowledge, notice that any Facility was or is not in compliance with any ESA Warranty;
lxx.Any information Buyer may reasonably request in connection with any claim filed by Buyer under any insurance maintained with respect to the Facilities, and any information such insurance providers may reasonably request in connection with such claim; 
lxxi.Promptly upon (A) receipt, copies of all material documents furnished to Seller by any Governmental Authority (or to any Governmental Authority by Seller) in respect of Buyer or any Facility in the Scheduled Portfolio or (B) obtaining Knowledge thereof, any disputes with Governmental Authority in respect of Buyer or any Facility in the Scheduled Portfolio; and
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lxxii.Immediately upon Seller’s knowledge or reasonable belief that a Compliance Law Violation (as defined in the Equinix ESA) or a breach of any of the representations, warranties or covenants in Section 7.1(h)(i) of the Equinix ESA has occurred or will occur in connection with any act or omission by Seller, Seller Affiliate, the Service Provider or a Seller or Seller Affiliate agent, representative or subcontractor at any tier, written notice and a reasonably detailed explanation thereof.
(ii)Construction Update.  From the Agreement Date until the Commencement of Operations Date Deadline, once each month, Seller will host a telephone call, scheduled with reasonable advance notice (but no less than five (5) Business Days’ notice) to Buyer and which Buyer and its Representatives may attend, during which Seller shall discuss the status of each Facility reasonably expected to be included in the Scheduled Portfolio, including a summary narrative regarding the progress towards and any delays in the achievement of any of the Milestones (the “Construction Update”). During each Construction Update, Seller shall provide commercially reasonable answers to Buyer’s commercially reasonable questions, and if Seller is unable to do so during such Construction Update, then Seller shall conduct such follow-up communications with Buyer in writing and by telephone as are necessary to provide such commercially reasonable answers as promptly as is practicable.
(iii)Financial Statements.  In the event that Seller is no longer listed on a public stock exchange, Seller shall provide to Buyer (i) as soon as is reasonably practicable and in no event later than 120 days after the end of each year ending December 31 thereafter, an audited consolidated balance sheet of Seller and the related consolidated statements of income and cash flows for the year then ended and (ii) within 45 days after the end of each other Calendar Quarter thereafter, the unaudited balance sheet and the related unaudited statements of income and cash flows for such Calendar Quarter then ended.
(iv)[Reserved.]
(v)ESA Customer Notice.  To the extent Seller receives any notice under an ESA from an ESA Customer, it shall promptly provide and forward such notice to Buyer.
(vi)Physical Security.  Promptly upon its obtaining Knowledge thereof, Seller shall notify Buyer of any actual or attempted breach of a Facility’s (or Component thereof) physical, electronic, cyber or other on-site or remote security mechanisms, including any locks or other means of preventing internal access, and Seller shall also promptly notify Buyer when any alarm is activated at any Facility.
ARTICLE VII.
DATA ACCESS
Section at.Access to Data and Meters
.  After the Purchase Date and throughout the Warranty Period for each Facility, to the extent relevant to calculations necessary for periods prior to the end of such Warranty Period and 

subject to any confidentiality obligation owed to any third party, any limitations under Legal Requirements as determined by Buyer in its reasonable discretion, and/or any restrictions on the disclosure of information which may be subject to Intellectual Property rights restricting disclosure, at the sole cost of Seller:
(i)Buyer shall grant Seller access to all data relating to the electricity production of each such Facility, it being understood that it is Seller’s responsibility to determine the performance of the Facility, and any other calculations as required under this Agreement, and that it is Buyer’s responsibility to handle all accounting and invoicing activities (except to the extent otherwise specified herein or pursuant to the Administrative Services Agreement);
(ii)Buyer shall allow Seller access to all data from all Facility Meters;
(iii)Buyer shall allow Seller access to Facility performance data delivered to ESA Customers for Facilities pursuant to obligations set forth in such ESAs for such Facility; and
(iv)Seller shall be entitled to use the foregoing data for its internal business purposes and make such data available to third parties for analysis, in all cases unless and to the extent such uses of or disclosures by Seller are restricted under the applicable ESA or Legal Requirements, including those related to privacy.
ARTICLE VIII.
REPRESENTATIONS AND WARRANTIES OF SELLER
Section au.Representations and Warranties of Seller
.  Seller represents and warrants to Buyer (i) as of the Agreement Date or Representations Date, as applicable, as though made on and as of such date, with respect to (x) the execution and delivery of this Agreement, the documents set forth as of such date in Part II of Schedule 2.10 and each Standby Facility Assignment Agreement as applicable, and (y) each Approved Facility (and the related ESAs, Site Licenses, System Attributes, customer parent guarantees and other rights, interests, duties and obligations) and (ii) as of each Milestone Date and Purchase Date (provided that, with respect to this clause (ii), any representation as to a Facility shall be made solely with respect to such Facility on its applicable Milestone Dates and Purchase Date) (in each case, except where otherwise noted) as follows:
(i)Incorporation; Qualification.  Seller is a corporation duly incorporated, validly existing and in good standing under the laws of the State of Delaware and has all requisite corporate power and authority to own, lease, and operate its business as currently conducted. Seller is duly qualified to do business as a foreign corporation and is in good standing under the laws of each jurisdiction that its business, as currently being conducted, shall require it to be so qualified, except where the failure to be so qualified would not have a Material Adverse Effect on the Facilities being sold under this Agreement.
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(ii)Authority.  Seller has full corporate power and authority to execute and deliver the Transaction Documents to which it is a party and to consummate the transactions contemplated hereby and thereby. The execution and delivery by Seller of the Transaction Documents to which it is a party and the consummation by Seller of the transactions contemplated hereby and thereby have been duly and validly authorized by all necessary corporate action required on the part of Seller and the Transaction Documents to which Seller is a party have been duly and validly executed and delivered by Seller. Each of the Transaction Documents to which Seller is a party constitutes the legal, valid and binding agreement of Seller, enforceable against Seller in accordance with its terms, except as enforcement may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and by general principles of equity (regardless of whether considered in a proceeding in equity or at law).
(iii)Consents and Approvals; No Violation.  Neither the execution, delivery and performance of the Transaction Documents to which Seller is a party nor the consummation by Seller of the transactions contemplated hereby and thereby will (i) conflict with or result in any breach of any provision of the certificate of incorporation or bylaws of Seller, (ii) with or without the giving of notice or lapse of time or both, result in the creation of any Lien (other than Permitted Liens) on Seller’s assets or materially conflict with, result in any material violation or material breach of, constitute a default under, result in any right to accelerate, or create any right of termination under the conditions or provisions of any note, bond, mortgage, indenture, material agreement or other instrument or obligation to which Seller is a party or by which a material part of its assets in respect of the Scheduled Portfolio is bound, or (iii) constitute material violations of any Facility Contract or Permit law, regulation, order, judgment or decree applicable to Seller or the transactions contemplated hereby. 
(iv)Third Party Consents.  Seller has received all material Third Party Consents that are required as of such date for the consummation and performance of the transactions contemplated hereunder. 
(v)Legal Proceedings.  
lxxiii.There are no pending or, to Seller’s Knowledge, threatened claims, disputes, governmental investigations, suits, actions, arbitrations, legal, administrative or other proceedings, domestic or foreign, criminal or civil, at law or in equity, by or against Seller that challenge the enforceability of the Transaction Documents or Facility Contracts, to which Seller or any Seller Affiliate is a party or the ability of Seller to consummate the transactions contemplated hereby or thereby, in each case, that could reasonably be expected to result in a Material Adverse Effect on Seller or the ability of Seller to perform its obligations hereunder.
lxxiv.Solely as of the First Agreement Date, before the transaction contemplated by the MIPA is effected, there are no pending or, to Seller’s Knowledge, threatened claims, disputes, governmental investigations, suits, actions, arbitrations, legal, administrative or 

other proceedings, domestic or foreign, criminal or civil, at law or in equity, by or against Buyer that challenge the enforceability of the Transaction Documents or any Facility Contract to which Buyer is a party (or, to Seller’s Knowledge, any other Facility Contract) or the ability of Buyer to consummate the transactions contemplated hereby or thereby, in each case, that could reasonably be expected to result in a Material Adverse Effect on Seller or the ability of Seller to perform its obligations hereunder, or on Buyer or the ability of Buyer to perform its obligations under any Facility Contract.
(vi)U.S. Person.  Seller is not a “foreign person” within the meaning of Section 1445(b)(2) of the Code and has provided a Certificate of Non-Foreign Status in the form and substance required by Section 1445 of the Code and the regulations thereunder.
(vii)Title; Liens.
lxxv.As of the Deposit Date, the Delivery Date and the Purchase Date of the Facility (and, if applicable, any Delayed Ancillary Equipment), before and until the purchase thereof under Section 2.4 is effected, Seller has and will convey good and marketable title to such assets to be sold to Buyer on such date and all such assets are free and clear of all Liens other than Permitted Liens. Neither Seller nor any of its subcontractors have placed any Liens on the Sites or the Facilities other than Permitted Liens. 
lxxvi.As of the Purchase Date and Commencement of Operations Date of the Facility (and, if applicable, any Delayed Ancillary Equipment), to the extent that Seller has Knowledge that any of its subcontractors has placed any Lien on a Facility or Site, Seller has caused such Liens to be discharged, or has provided a bond in an amount and from a surety acceptable to Buyer to protect against such Lien.  
(viii)Intellectual Property.
lxxvii.To Seller’s Knowledge, neither the Facility nor any part thereof, nor any other product or service marketed, manufactured, or sold (or proposed to be marketed, manufactured or sold) by or on behalf of Seller hereunder violates or will violate any license or infringes, misappropriates or otherwise violates, or will infringe, misappropriate or otherwise violate, any Intellectual Property rights of any other Person. Seller has received no written communication alleging that Seller has infringed, misappropriated, or otherwise violated, or by conducting its business, would infringe, misappropriate, or otherwise violate, or offering a license under, any of the patents, trademarks, service marks, tradenames, copyrights, trade secrets, mask works or other Intellectual Property rights or proprietary rights or processes of any other Person, and as of such date, no action has been instituted, or, to the Knowledge of Seller, threatened, that alleges any such infringement, misappropriation, or violation of any third party Intellectual Property, or offering a license under any third party Intellectual Property.
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lxxviii.No claim or action by any Person contesting the validity, enforceability, or ownership of any of the Seller’s Intellectual Property has been asserted against Seller, nor, to the Knowledge of Seller, is threatened.
lxxix.Seller exclusively owns all right, title and interest in and to the Seller’s Intellectual Property. None of the former or present employees, officers, directors or independent contractors of Seller holds any right, title or interest in or to any Seller’s Intellectual Property, or has asserted any claim with regard to any Seller’s Intellectual Property.
lxxx.Seller is a party to a valid, binding and enforceable written contract with each of Seller’s present and former officers, directors, employees and independent contractors employed or engaged by it at any time for the creation or development of Seller’s Intellectual Property, which written contract assigns to, and vests in, Seller all right, title and interest in and to such Intellectual Property.
lxxxi.The Seller’s Intellectual Property constitutes all the Intellectual Property necessary for constructing, using, operating and maintaining the Facility.
lxxxii.Seller is in compliance with all software licenses for the Software used in connection with the construction, use, operation and maintenance of the Facility, including any software that is subject to an “open source, “copyleft,” or other similar type of license.
(ix)Real Property.  The real property referred to in the applicable ESA and Site License is all the real property that is necessary for the construction, installation, operation and maintenance of the Facility in accordance with all Governmental Approvals and the Facility Documents including providing adequate ingress and egress in connection with the construction, operation and maintenance of the Facilities for the term of the ESA, other than those real property interests that can be reasonably expected to be available as and to the extent required. The Site has been licensed to Buyer pursuant to the terms of the applicable Site License. The Site has not been leased to Buyer.
(x)Tax Representations.
lxxxiii.The Facility is a fuel cell power plant that has a maximum electrical output determined at the normal operating conditions of at least 0.5 kilowatts of electricity using an electrochemical process and has an electricity-only generation efficiency greater than 30 percent. The Facility will function independently of each other Facility in the Portfolio to generate (and, if the Facility includes a Battery Solution, store) electricity for transmission and sale to an ESA Customer and is an integrated system comprised of a fuel cell stack assembly (and, if the Facility includes a Battery Solution, such Battery Solution) and associated balance of plant components that has all the necessary components to convert a fuel into electricity using electrochemical means.

lxxxiv.As of Purchase Date for the Facility, (x) no federal, state, or local Tax credit (including the ITC), or depreciation or amount of allowance or deduction, has been claimed with respect to any property that is part of such Facility and (y) no grants, rebates, or other incentives have been applied for or received in respect of such Facility (or any property that is part of such Facility) that are other than taxable income to the recipient.
lxxxv.No application has been submitted for a grant provided under Section 1603 of the American Recovery and Reinvestment Tax Act of 2009, as amended by the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010, with respect to any property that is part of any Facility.
lxxxvi.No private letter ruling has been requested or obtained for the Facility or the transactions contemplated hereunder from the IRS.
lxxxvii.As of the Purchase Date, the Facility was not originally Placed in Service and, specifically, none of the events described in clauses (2) through (4) of the definition of “Placed in Service” have been met with respect to such Facility.
lxxxviii.The Facility is not comprised of any property that (A) is “used predominately outside of the United States” within the meaning of Code Section 168(g), (B) is imported property of the kind described in Code Section 168(g)(6), (C) is “tax-exempt use property” within the meaning of Code Section 168(h), or (D) solely as of the Agreement Date, Deposit Date, and Delivery Date (i) is property described in Code Section 50(b) or (ii) "tax exempt bond financed property" within the meaning of Code Section 168(g)(5).
(A) Other than de minimis property, material or parts, and in no event more than [***]% of the cost or value of the Facility (or any Delayed Ancillary Equipment included in such Facility, but excluding any Customer Equipment described in clause (ii) of the definition thereof applicable to such Facility) consists of property, materials or parts used by any Person prior to having been first placed in a state of readiness and availability for their specifically assigned function as part of such Facility, and (B) with respect to any Facility in connection with which Customer Equipment described in clause (ii) of the definition thereof is used, other than de minimis property, material or parts, and in no event more than [***]% of the cost or value of the Facility (or any Delayed Ancillary Equipment included in such Facility, and including any Customer Equipment described in clause (ii) of the definition thereof applicable to such Facility) consists of property, materials or parts used by any Person prior to having been first placed in a state of readiness and availability for their specifically assigned function as part of such Facility.
lxxxix.No portion of the basis of the Facility is attributable to “qualified rehabilitation expenditures” within the meaning of Section 47(c)(2)(A) of the Code.
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xc.The “original use” as defined in Section 48 of the Code of any equipment included in the Facility will not have commenced prior to such equipment’s Purchase Date.
xci.Seller is not related to the ESA Customer within the meaning of Code Section 267 or Code Section 707.
xcii.Unless expressly noted otherwise in Schedule 1, construction of the Facility (including, for the avoidance of doubt, any Delayed Ancillary Equipment included in such Facility) within the meaning of Notice 2018-59 began before January 1, 2020.
xciii.If the Facility includes a Battery Solution that has been Placed in Service, such Battery Solution is charged solely by the associated Bloom System and no electricity from the grid is stored in the Facility (including, for the avoidance of doubt, such Battery Solution).
xciv.Unless expressly noted in Schedule 1, all equipment included in a Facility is “eligible property” for purposes of Section 48 of the Code.
xcv.The Facility (including, for the avoidance of doubt, any Delayed Ancillary Equipment included in such Facility) is intended to be operated as a single unit, including for purposes of (A) the Placed in Service Date of such Facility (subject to any Delayed Ancillary Equipment having a later Placed in Service Date than the rest of the Facility in which it is included) and (B) determining whether construction of such Facility has begun within the meaning of Notice 2018-59.
xcvi.All of the factual information furnished in writing by or on behalf of Seller or any of its Affiliates to Buyer or to the Appraiser in connection with the Appraisal with respect to the Facilities to be purchased hereunder is true, correct and complete in all material respects, provided, Seller makes no representation or warranty with respect to factual information provided by unrelated third parties other than that Seller has no actual knowledge of any such information having been provided.
(xi)Permits; Regulatory.  
xcvii.As of the Agreement Date, the Deposit Date, the Delivery Date and the Commencement of Operations Date, Seller, for itself or on behalf of Buyer or the ESA Customer (as applicable), has obtained all Permits and other Governmental Approvals and Interconnection Agreements required for (i) Seller’s performance of its obligations hereunder as of such date (including the sale to Buyer of Facilities and the appointment by Buyer of Seller to perform Installation Services and Facility Services), and (ii) the ESA Customer to benefit from its rights and interests, and perform its obligations, under its Facility Contracts, as of such date, and in each case in compliance with Legal Requirements, including any Environmental Law. On each of such dates, Seller, as applicable on behalf of Buyer, is in compliance in all material respects with all applicable 

Permits, Governmental Approvals and Interconnection Agreements, each of the foregoing is final and in full force and effect, and Seller has not received any notice from a Governmental Authority of an actual or potential violation of any such Permit or other Governmental Approval or from the counterparty to an Interconnection Agreement of an actual or potential violation thereof or of any written challenge to issuance, validity or enforceability thereof.
xcviii.Permits and Government Approvals.  Seller has obtained all material Permits (and, as of the Commencement of Operations Date, PTO) and Government Approvals required for the Facility as of such date for the consummation and performance of the transactions contemplated hereunder. 
(xii)Energy. 
xcix.As of the First Agreement Date only (except, with respect to Approved Facilities only, as of the Representations Date), no Facility (or equipment or component thereof) described in Schedule 1 has commenced synchronization or been energized (other than factory testing performed in the ordinary course of manufacture by the manufacturer or vendor of such equipment or component), and as of each Purchase Date, the applicable Facility being purchased by Buyer hereunder has not commenced synchronization or been energized to the extent required to comply with Section 203 of the FPA; and 
c.As of the First Agreement Date only (except, with respect to Approved Facilities only, as of the Representations Date), no Facility described in Schedule 1 has been interconnected to the transmission or distribution system of the applicable Transmitting Utility, or generated any power, including test power. As of each Purchase Date, (1) the applicable Facility being purchased by Buyer hereunder has not been interconnected to the transmission or distribution system of the applicable Transmitting Utility;  or (2) if such Facility has been interconnected to the transmission or distribution system of the applicable Transmitting Utility, such interconnection has not been synchronized or energized, and such Facility has not generated any energy, including any test energy.
(xiii)Facility Contract Disputes.  As of such date, there are no pending or threatened (in writing) disputes or claims between any counterparties to a Facility Contract under such Facility Contract (provided, that to the extent neither Seller nor Buyer is party thereto, the foregoing representation and warranty is made only to Seller’s Knowledge). 
(xiv)ESAs and Other Contracts. 
ci.The ESA is a legal, valid, binding and enforceable obligation of Buyer (as of the First Agreement Date, if in effect on the First Agreement Date) and, to Seller’s Knowledge, of the ESA Customer, and the ESA is in full force and effect. To Seller’s Knowledge, neither Buyer nor the applicable ESA Customer is in material breach or violation of the ESA and no event has occurred, is pending or is threatened, which, after 
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the giving of notice, with lapse of time, or otherwise, would constitute any such breach or default by Buyer or any other party thereto.
cii.With respect to the Facility, the applicable ESA includes a description of all labor, material and services required for the complete performance of the services and other work contemplated thereby. The Facility Services and the Installation Services are inclusive of all services and other work contemplated by, with respect to the Facility, the applicable ESA and Site License. Seller has thoroughly reviewed the terms and conditions of the ESA and Site License. Seller has visited and inspected the Site and is familiar with the Site and its conditions. Buyer, in its capacity as party to the applicable ESA and Site License, has the necessary rights to access, install, test, commission, operate, maintain and decommission Customer Equipment in each case such that Seller is able to perform its obligations hereunder. No Seller Affiliate owns any Customer Equipment. There is no equipment or balance of plant/facilities item at any Site, or intended to be used in connection with any Facility, that is owned by any Person other than Seller, an ESA Customer or an Affiliate of an ESA Customer, that would be Customer Equipment if it was owned by Seller, an ESA Customer or an Affiliate of an ESA Customer.
ciii.Each Facility Contract in connection with the Facility to which Seller or any of its Affiliates is a party as of such date is a legal, valid, binding and enforceable obligation of the parties thereto. On such date, Seller, as applicable on behalf of Buyer, is in compliance in all material respects with the Facility Contracts to which it or Buyer is a party, to the extent it has obligations hereunder as of such date, and has not received any notice from any Person who is party to a Facility Contract of an actual or potential violation of any such Facility Contract. Neither Buyer nor Seller nor, to Seller’s Knowledge, any other Person party thereto is in material breach or violation of any Facility Contract in connection with the Facility, and no event has occurred, is pending or is threatened in writing, which, after the giving of notice, with lapse of time, or otherwise, would constitute any such breach or default by Buyer, Seller or any other party thereto.
civ.No claim has been made under any Third Party Warranty with respect to the Facility and, to Seller’s Knowledge, no event, change or circumstance has occurred that would entitle Buyer, Seller (or any Affiliate of Seller) or the ESA Customer to make any such claim under any Third Party Warranty or in respect of portions of the Facility to which such Third Party Warranty applies. No claim under any Third Party Warranty for the Facility has been rejected or dishonored by the provider thereof. Neither Seller (nor any Affiliate of Seller) nor, to Seller’s Knowledge, Buyer or any other Person party to any Third Party Warranty for the Facility, is in default under any such Third Party Warranty in any material respect. Each Third Party Warranty for the Facility is in full force and effect.
(xv)Insurance, Casualty and Condemnation.  

cv.Seller has obtained the insurance described in Annex B, all such policies are in full force and effect and provide coverage in respect of all Facilities (and will, by their terms, automatically cover all Facilities that become part of the Scheduled Portfolio in the future), and all insurance premiums that are due and payable have been paid in full with no premium overdue. 
cvi.With respect to any Facility, (A) Seller has made no claims under any such insurance policy with respect to the Facility, (B) there is no casualty which has occurred and is occurring (or any damage or disrepair due to any prior casualty) with respect to any portion of the Site or Facility, (C) there are no pending or contemplated condemnation or eminent domain proceedings against Seller or any ESA Customer in respect of the Facility or the Site (or any part thereof), and (D) neither Seller nor (to Seller’s Knowledge) any ESA Customer has received written notice of any pending or threatened condemnation or eminent domain proceedings, or otherwise, that would affect the Facility or Site (or part thereof).
(xvi)Deposits and Credit Support.  Except as set forth on Schedule 1 as ‘Reimbursable Deposits and Credit Support’ or in any ESA, there is no Credit Support posted or provided by Seller or otherwise on behalf of Buyer or an ESA Customer in connection with any Government Approvals, interconnection applications, Incentive Agreements or other Facility Contracts.
(xvii)Subcontractors, Service Providers.  To the extent that the applicable ESA Customer has or had rights or privileges pursuant to its applicable ESA to be notified of, review or consent (or withhold its consent) to the retention of any Service Provider, such Service Provider has not been contracted with or retained, and is not otherwise performing any Installation Services or Facility Services hereunder, unless in accordance with such ESA Customer’s rights.
(xviii)Facility Performance.  Seller is not aware of any circumstances which could reasonably be expected to prevent the Portfolio or, with respect to any ESA Warranty or Efficiency Warranty, any Facility therein, as of such date from complying with the Warranty Specifications and the ESA Warranties for the Warranty Period applicable thereto. 
(xix)Bankruptcy.  No event of Bankruptcy has occurred with respect to Seller or, to the Knowledge of Seller, the ESA Customer.
(xx)Compliance.  With respect to the Deposit Date, the Delivery Date, the Purchase Date, and the Commencement of Operations Date, Seller has performed in all respects all obligations, and complied in all material respects with the representations, warranties, agreements and covenants, required to be performed by or complied with by Seller hereunder as of each such date; provided that, for clarity, Seller has complied in all respects with the obligations set forth in Section 7.1(h)(i) of the Equinix PPA in its capacity as “Bloom” thereunder and as if Seller were a “Party” thereto.
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(xxi)Material Adverse Effect.  As of and since the First Agreement Date, no Material Adverse Effect has occurred with respect to Seller or, to the Knowledge of Seller, any applicable ESA Customer.
(xxii)Data Privacy.  Seller has used all data that Seller has collected regarding any ESA Customer’s electricity consumption at such Site consistent with and subject to Legal Requirements in the United States with respect to privacy.
(xxiii)Disclosures. The lists of and copies of Governmental Approvals, Incentive Agreements, Permits, PTOs, Interconnection Agreements and other Facility Contracts delivered by Seller pursuant to Section 2.3(5)(iii) and Section 3.4(1)(xv) are as of such delivery a true, correct and complete list, and true, correct and complete copies, thereof. Each of such Permits, PTOs, other Governmental Approvals and Interconnection Agreements obtained is validly issued, final and in full force and effect and is not subject to any current legal proceeding or to any unsatisfied condition. Each of such Permits, PTOs and other Governmental Approvals has been issued in the name of the appropriate Party as required by applicable Legal Requirements
(xxiv)Environmental.
cvii.Seller is in compliance with all applicable Environmental Requirements with respect to the Facility. Neither Seller nor (to Seller’s Knowledge) any other person has released any Hazardous Material on, under, at or near the applicable Site in a manner that could reasonably be expected to result in any cleanup, removal, remediation, response or corrective action under Environmental Requirements. Neither Seller nor (to Seller’s Knowledge) any ESA Customer has received written notice of an alleged violation of or of potential liability under Environmental Law from any Governmental Authority or holder of rights or interests in real property with respect to any Facility or Site (or part thereof). All wastewater from the Facility is discharged from the Site into a public sanitary sewer system in accordance with Legal Requirements, and no Hazardous Materials are discharged in connection with the Facility, directly or indirectly, into any body of surface water or groundwater by Seller or any other party. Seller has no outstanding obligations pursuant to any orders, judgments or agreements with respect to Environmental Requirements. No claim pursuant to Environmental Law is pending or threatened in writing against Seller.
cviii.As of the First Agreement Date with respect to any Facilities comprising a portion of the Scheduled Portfolio on the First Agreement Date, the Site is not within an area determined to be flood-prone under the Federal Flood Protection Act of 1973.  With respect to any Facilities that are (or have been) added to the Scheduled Portfolio after the First Agreement Date, as of the date the applicable ESA is executed and delivered and as of the Facility’s Delivery Date, the Site is not within an area determined to be flood-prone under the Federal Flood Protection Act of 1973 or such Facility is elevated in accordance with the issued for construction set delivered in connection with Section 2.3(5) with Buyer’s consent.

(xxv)Anti-Corruption Laws, Sanctions, Anti-Money Laundering Laws and Related Matters.
cix.(A) Seller and its officers, employees, directors and agents, are in compliance with any applicable Anti-Corruption Laws, Anti-Money Laundering Laws, Sanctions and applicable Sanctions and (B) the Seller (x) has not violated, been found in violation of, or been charged or convicted under, any Sanctions, Anti-Money Laundering Laws or Anti-Corruption Laws or (y) is not under any investigation, including administrative, civil or criminal investigation by any Governmental Authority for an alleged or possible violation of, or received notice from or made a voluntary disclosure to any Governmental Authority regarding a possible violation of, any Sanctions, Anti-Money Laundering Laws or Anti-Corruption Laws;
cx.Neither Seller nor its officers, employees, directors nor, to Seller’s knowledge, agents, (A) is a Sanctioned Person or currently the subject or target of any Sanctions, (B) is controlled by or is acting on behalf of a Sanctioned Person, (C) has its assets located in a Sanctioned Country, (D) directly or indirectly derives revenues from investments in, or transactions with, Sanctioned Persons, or (E) has been notified that its name appears or may in the future appear on a State Sanctions List;
cxi.Seller has implemented and maintain in effect policies and procedures designed to ensure compliance by Seller and its directors, officers, employees and agents with all Sanctions, Anti-Money Laundering Laws and Anti-Corruption Laws;
cxii.Neither Seller nor any of its directors, officers, employees, nor, to Seller’s knowledge, agents, is a Sanctioned Person;
cxiii.No transaction contemplated by any Transaction Document will violate any Anti-Money Laundering Laws, Anti-Corruption Law or Sanctions;
cxiv.No part of the proceeds from the Purchase Price: (A) constitutes or will constitute funds obtained on behalf of any Sanctioned Person or will otherwise be used directly or indirectly, (x) in connection with any investment in, or any transactions or dealings with, any Sanctioned Person, (y) for any purpose that would cause any party hereto to be in violation of Sanctions or (z) otherwise in violation of any U.S. Sanctions; (B) will be used, directly or indirectly, in violation of, or cause any party hereto to be in violation of, any applicable Anti-Money Laundering Laws; or (C) will be used, directly or indirectly, for the purpose of making any improper payments, including bribes, to any governmental official or commercial counterparty in order to obtain, retain or direct business or obtain any improper advantage, in each case which would be in violation of, or cause any party hereto to be in violation of, any applicable Anti-Corruption Laws.
Section av.Survival Period
.  
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(i)All claims by Buyer hereunder relating to breaches of representations and warranties contained in ARTICLE VIII or in Section 11.6 with respect to a Facility shall be forever barred unless the Seller is notified in writing within eighteen (18) months following the date of achievement of Commencement of Operations for such Facility, except for representations and warranties contained in (a) Section 2.6(6), Section 8.1(1), Section 8.1(2), Section 8.1(3), and Section 8.1(7), which shall survive indefinitely, and (b) Section 4.2(3) (and any other Sections that require compliance with the requirements of Section 4.2(3)), Section 8.1(6) and Section 8.1(10), and the last sentence of Section 3.9, each of which will survive until six (6) months following the expiration of the applicable statute of limitations. All claims by Buyer under this Agreement relating to breaches of any covenant or agreement to be performed by Seller hereunder shall survive until the date that is ninety (90) days after the date by which performance is required by this Agreement, provided, however, that any claim by Buyer relating to the breach of any covenant or agreement to be performed by Seller hereunder in Section 4.2(3) (and any other Sections that require compliance with the requirements of Section 4.2(3)), Section 6.1 and the last sentence of Section 3.9 shall survive until six (6) months following the expiration of the applicable statute of limitations. Notwithstanding the foregoing, any claim timely brought by Buyer hereunder shall survive until the date of its final resolution or final disposition. For the avoidance of doubt, the Parties hereby agree and acknowledge that, except as set forth herein, the foregoing survival periods are a contractual statute of limitations and any claims based upon any breach or inaccuracy listed above must be brought or filed prior to the expiration of such survival period.
(ii)Notwithstanding anything to the contrary in the preceding Section 8.2(1), survival periods with respect to Indemnifiable Losses asserted against or suffered by any Buyer Indemnitee pursuant to Section 13.3(1)(2)(i) and arising under the MIPA shall be as set forth in the MIPA.
(iii)The Parties acknowledge, ratify and confirm in all respects the making of any representations and warranties by Seller under the Original PUMA or any of the Transaction Documents (as defined therein) as of the date such representations and warranties were made, prior to the Agreement Date. The execution and delivery of this Agreement shall in no way limit the rights or remedies of Buyer arising out of any breaches of Seller of its obligations under the Original PUMA or any other Transaction Document (as defined therein) before the Agreement Date, or of the failure of any representations and warranties made under the Original PUMA or any other Transaction Document (as defined therein) to be true and accurate as of the date made. For the avoidance of doubt, any limitations that were applicable to claims in respect of such representations and warranties at the time of their making shall remain applicable to such claims.
ARTICLE IX.
REPRESENTATIONS AND WARRANTIES OF BUYER
Section aw.Representations and Warranties of Buyer
.  Buyer represents and warrants to Seller as of each Purchase Date, as follows.

(i)Organization.  Buyer is a limited liability company duly formed, validly existing and in good standing under the laws of the State of Delaware and has all requisite limited liability company power and authority to own, lease, and operate its business as currently conducted.
(ii)Authority.  Buyer has full limited liability company power and authority to execute and deliver the Transaction Documents to which it is a party and to consummate the transactions contemplated hereby and thereby.  Any execution and delivery after the First Agreement Date by Buyer of the Transaction Documents to which it is a party, and the consummation after the First Agreement Date by Buyer of the transactions contemplated hereby and thereby have been duly and validly authorized by all necessary limited liability company action required on the part of Buyer, and any Transaction Documents to which Buyer became a party after the First Agreement Date have been duly and validly executed and delivered by Buyer. Each of the Transaction Documents to which Buyer is a party constitutes the legal, valid and binding agreement of Buyer, enforceable against Buyer in accordance with its terms, except as enforcement may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and by general principles of equity (regardless of whether considered in a proceeding in equity or at law).
(iii)Consents and Approvals; No Violation.  Neither the execution, delivery and performance, in each case after the First Agreement Date, of any Transaction Documents to which Buyer is a party nor the consummation, after the First Agreement Date, by Buyer of the transactions contemplated hereby and thereby will (i) conflict with or result in any breach of any provision of the articles of formation of Buyer nor Buyer’s limited liability company agreement, (ii) with or without the giving of notice of lapse of time or both, result in the creation of a Lien (other than immaterial Liens or Permitted Liens) on Buyer’s assets or materially conflict with, result in any material violation or material breach of, constitute a default under, result in any right to accelerate, or create any right of termination under the material conditions or provisions of any note, bond, mortgage, indenture, material agreement or other instrument or obligation to which Buyer is a party or by which it (or any material part of its assets) is bound or (iii) constitute material violations of any law, regulation, order, judgment or decree applicable to Buyer.
(iv)Legal Proceedings.  There are no pending or, to Buyer’s Knowledge, threatened claims, disputes, governmental investigations, suits, actions, arbitrations, legal, administrative or other proceedings, domestic or foreign, criminal or civil, at law or in equity, by or against Buyer that challenge the enforceability of the Transaction Documents to which Buyer is a party or the ability of Buyer to consummate the transactions contemplated hereby or thereby, in each case, that could reasonably be expected to result in a material adverse effect on Buyer or its ability to perform its obligations hereunder, except, in any such case, as were in existence on or before the First Agreement Date.
Section ax.Survival Period
.  All claims by Seller hereunder relating to breaches of representations and warranties contained in ARTICLE IX with respect to a Facility shall be forever barred unless the Buyer is notified in 
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writing within eighteen (18) months following the date of achievement of Commencement of Operations for such Facility, except for breaches and warranties contained in Section 9.1(1), Section 9.1(2), Section 9.1(3), which shall survive indefinitely. All claims by Seller under this Agreement relating to breaches of any covenant or agreement to be performed by Buyer hereunder shall survive until the date that is ninety (90) days after the date by which performance is required by this Agreement. Notwithstanding the foregoing, any claim timely brought by Seller hereunder shall survive until the date of its final resolution or final disposition. For the avoidance of doubt, the Parties hereby agree and acknowledge that the foregoing survival periods are a contractual statute of limitations and any claims based upon a breach of representations and warranties in ARTICLE IX must be brought or filed prior to the expiration of such survival period.
ARTICLE X.
CONFIDENTIALITY
Section ay.Confidential Information
.  Subject to the other terms of this ARTICLE X each Party shall, and shall cause its Affiliates and its respective stockholders, members, subsidiaries and Representatives to, hold confidential the terms of this Agreement and all information it has obtained or obtains from the other Party in connection with this Agreement concerning Seller and Buyer and their respective assets, business, operations or prospects (the “Confidential Information”), including all materials and information furnished by Seller in performance of this Agreement, regardless of form conveyed or whether financial or technical in nature, including any trade secrets and proprietary know how and proprietary Software whether such information bears a marking indicating that they are proprietary or confidential or not; provided, however, that Confidential Information shall not include information that (x) is or becomes generally available to the public other than as a result of any fault, act or omission by a Party or any of its Representatives, (y) is or becomes available to a Party or any of its Representatives on a non-confidential basis from a source other than the other Party or its Representatives, provided that such source was not and is not bound by any contractual, legal or fiduciary obligation of confidentiality with respect to such information or (z) was or is independently developed or conceived by a Party or its Representatives without use of or reliance upon the Confidential Information of the other Party, as evidenced by sufficient written record. Notwithstanding anything to the contrary, the foregoing obligations shall not apply to the tax treatment or tax structure of any transaction contemplated by this Agreement (the “Transaction”) and each Party (and any employee, representative, or agent of any Party) may disclose to any and all Persons, without limitation of any kind, the tax treatment and tax structure of the Transaction and all other materials of any kind (including opinions or other tax analyses) that are provided to any Party to the extent relating to such tax treatment and tax structure. This Section 10.1 is intended to prevent the Transaction from being treated as a “reportable transaction” as a result of it being a transaction offered to a taxpayer under conditions of confidentiality within the meaning of Sections 6011, 6111 and 6112 of the Code (or any successor provision) and the regulations thereunder (as clarified by Notice 2004-80 and Notice 2005-22) and shall be construed in a manner consistent with such purpose.

Section az.Restricted Access.
(i)Buyer agrees that the Facilities, to the extent they are fabricated and manufactured by Seller and/or use Seller’s Intellectual Property, themselves contain Seller’s valuable trade secrets.  Buyer agrees (i) to restrict the use of such information to matters relating to the Facilities, and such other purposes, if any, expressly provided herein, and (ii) to restrict access to such information as provided in this Section 10.2.
(ii)Seller’s Confidential Information will not be reproduced without Seller’s prior written consent, except to the extent necessary for Buyer to exercise its rights as permitted under this Agreement, and following expiration or termination of this Agreement other than in connection with a Seller Default, all copies of such written information will be returned to Seller upon written request (not to be made while materials are still of use to the operation and maintenance of a Facility that remains subject to this Agreement or to the exercise of other rights of ownership by Buyer pursuant to any Transaction Document) or shall be certified by Buyer as having been destroyed, unless otherwise agreed by the Parties. Buyer’s Confidential Information will not be reproduced by Seller without Buyer’s prior written consent, and following termination of this Agreement all copies of such written information will be returned to Buyer upon written request or shall be certified by Seller as having been destroyed. Notwithstanding the foregoing, each Party and its Representatives may each retain archival copies of any Confidential Information to the extent required by law, regulation or professional standards or copies of Confidential Information created pursuant to the automatic backing-up of electronic files where the delivery or destruction of such files would cause undue hardship to the receiving Party, so long as any such archival or electronic file back-up copies are accessible only to legal or information technology personnel, provided that such Confidential Information will continue to be subject to the terms of this Agreement.
(iii)Subject to the Long-Term Agreement and Sections 10.2(1) and (2) and Article XI, the Facilities are offered for sale and are sold by Seller subject to the condition that such sale does not convey any license, expressly or by implication, under any Seller Intellectual Property, to manufacture, reverse engineer, duplicate or otherwise copy or reproduce any part of the Facilities, documentation or Software without Seller’s express advance written permission. Subject to the Long-Term Agreement and Article XI, Buyer agrees not to intentionally remove the covering of any Bloom System, not to intentionally access the interior or to reverse engineer, or cause or knowingly allow its Affiliates, subsidiaries and Representatives, or any third party under its control (not including Seller or any Service Provider) to open, access the interior or reverse engineer any Facility or Software provided by Seller.  Subject to the Long-Term Agreement and Article XI, and anything contemplated pursuant to this Agreement, only Seller or its authorized representatives may open or access the interior of a Facility. Actions taken by applicable authorities, including police and fire personnel, by Service Providers, by ESA Customers or their respective representatives (if without Buyer’s Knowledge or if in breach of an applicable ESA) or by Kaiser (or a third party on its behalf) pursuant to Section 5 of Exhibit B of any Kaiser ESA shall not be deemed to be a breach of this Section 10.2(3). 
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(iv)Third Parties. 
cxv.Notwithstanding the foregoing or anything else herein to the contrary, and without limitation of the rights set forth in Article XI hereof, if any Facility is no longer covered by this Agreement or another agreement between Buyer and Seller (or any Affiliate of Seller) regarding the operation and maintenance of such Facility as a result of the termination or expiration of this Agreement with respect to such Facility, regardless of the cause of such termination, Buyer shall be entitled to operate and maintain, or cause another Person to operate and maintain, such Facility, including replacing Components as needed or desired. To the extent Buyer requires any maintenance services for such Facility following such expiration or termination (except if such expiration or termination is in connection with a Seller Default), Buyer shall notify Seller of such requirements in writing.  
cxvi.If Seller desires to perform such maintenance services, Seller shall provide within five (5) Business Days to Buyer the material terms and conditions (including, the scope of services offered, the price(s) quoted for such services (which prices shall be no greater than the average rate billed by Seller for providing such maintenance services to its most recently deployed 10 MWs of similar fuel cell energy servers and related equipment), and the terms of any performance warranties to be provided in connection with such services, which terms shall be substantially similar to those set forth herein, pursuant to which it is willing to provide such maintenance services for such Facility, which shall be no less favorable to Buyer than Seller’s standard rates, terms and warranties as of such date.  
cxvii.If Buyer declines to engage Seller to perform such services, or the Parties are unable to execute, within ten (10) Business Days after Seller has provided its material terms and conditions pursuant to Section 10.2(4)(ii), appropriate documentation to reflect such services, Buyer may engage the applicable third party.
Section ba.Permitted Disclosures.
(i)Legally Compelled Disclosure.  Confidential Information may be disclosed (i) as required or requested to be disclosed by a Party or any of its Affiliates or their respective stockholders, members, subsidiaries, Representatives, lenders or tax equity investors, as a result of any applicable Legal Requirement or rule or regulation of any stock exchange, the Financial Industry Regulatory Authority, Inc. or other regulatory authority or self-regulatory authority having jurisdiction over such Party, (ii) as required or requested by the IRS, the Department of Justice or the Office of the Inspector General in connection with a Facility, cash grant, or tax credits relating thereto, including in connection with a request for any private letter ruling, any determination letter or any audit or (iii) as required under any Interconnection Agreement.  If a Party becomes compelled by legal or administrative process to disclose any Confidential Information, such Party shall, to the extent permitted by Legal Requirements, provide the other Party with prompt notice so that the other Party may seek a protective order or other appropriate remedy or waive compliance with the non-disclosure provisions of this Section 10.3 with respect 

to the information required to be disclosed. If such protective order or other remedy is not obtained, or such other Party waives compliance with the non-disclosure provisions of this Section 10.3 with respect to the information required to be disclosed, the first Party shall furnish only that portion of such information that it is advised by counsel is legally required to be furnished and shall exercise reasonable efforts, at the expense of the Party whose Confidential Information is being disclosed, to obtain reliable assurance that confidential treatment will be accorded such information, including, in the case of disclosures to the IRS described in clause (ii) above, to obtain reliable assurance that, to the maximum extent permitted by applicable Legal Requirements, such information will not be made available for public inspection pursuant to Section 6110 of the Code.
(ii)Disclosure to Representatives.  Notwithstanding the foregoing, and subject always to the restrictions in Section 10.2, a Party may disclose Confidential Information received by it to its and its Affiliates’ actual or potential investors or financing parties and its and their employees, consultants, legal counsel or agents who have a need to know such information; provided that such Party informs each such Person who has access to the Confidential Information of the confidential nature of such Confidential Information, the terms of this Agreement, and that such terms apply to them. The Parties shall use commercially reasonable efforts to ensure that each such Person complies with the terms of this Agreement and that any Confidential Information received by such Person is kept confidential.
(iii)Securities Filings.  A Party may file this Agreement as an exhibit to any relevant filing with the Securities Exchange Commission (or equivalent foreign agency) in accordance with Legal Requirements only after complying with the procedure set forth in this Section 10.3(3). In such event, the Party seeking such disclosure shall prepare a draft confidential treatment request and proposed redacted version of this Agreement to request confidential treatment for this Agreement, and the other Party agrees to promptly (and in any event, no less than fourteen (14) days after receipt of such confidential treatment request and proposed redactions) give its input in a reasonable manner in order to allow the Party seeking disclosure to file its request within the time lines prescribed by Legal Requirements. The Party seeking such disclosure shall exercise commercially reasonable efforts to obtain confidential treatment of the Agreement from the Securities Exchange Commission (or equivalent foreign agency) as represented by the redacted version reviewed by the other Party. Each Party shall bear its own costs in connection with such efforts. If Seller is the Party seeking such disclosure, then Seller shall bear responsibility for any liability or obligation that Buyer owes to any ESA Customer pursuant to its ESA in respect of filings and related disclosures contemplated by this Section 10.3(3).
(iv)Permitted Disclosures.  Nothing herein shall be construed as prohibiting a Party hereunder from using such Confidential Information in connection with (i) any claim against the other Party, (ii) any exercise by a Party hereunder of any of its rights hereunder, (iii) a financing or proposed financing by Seller or Buyer or their respective Affiliates, (iv) a disposition or proposed disposition by any direct or indirect Affiliate of Buyer of all or a portion of such Person’s equity interests in Buyer, (v) a disposition or proposed disposition by Buyer of any Bloom System or Facility, or (vi) any disclosure required to be made to an ESA Customer (or 
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otherwise) under an ESA or a Site License, provided that, in the case of items (iii), (iv) and (v), the potential financing party or purchaser has entered into a confidentiality agreement with respect to Confidential Information on customary terms used in confidentiality agreements in connection with corporate financings or acquisitions before any such information may be disclosed; provided, further, that Buyer shall have no liability to Seller hereunder in respect of disclosures made to ESA Customers pursuant to the foregoing clause (vi), or for any breach by an ESA Customer of the confidentiality obligations to which it is bound in the applicable ESA, as long as Buyer uses its commercially reasonable efforts to enforce such confidentiality obligations (and Buyer shall have no liability to Seller hereunder for disclosures made by Seller to any Persons).
(v)Tax Records.  If an IRS audit, investigation or similar proceeding shall be commenced by the IRS with respect to Buyer and any Tax matter in connection with this Agreement (e.g., a potential change in adjusted tax basis of a purchased Facility) (a “Tax Proceeding”), Buyer shall provide Seller with written notice of the Tax Proceeding within ten days after its commencement; provided, however, that the failure to provide written notice of the Tax Proceeding within such 10-day period shall not relieve Buyer from its obligations with respect to the subject of the Tax Proceeding. Notwithstanding any other provisions herein and solely in connection with a Tax Proceeding, Seller will provide and disclose the Tax Records to Buyer or directly to the IRS in cases of highly confidential information, as required.  Seller (or its legal and accounting advisors) may fully participate, at its sole expense, in the Tax Proceeding. Buyer shall not settle a Tax Proceeding relating to an issue for which Seller will be obligated to indemnify Buyer under Section 13.4 without the prior written consent of Seller (which consent shall not be unreasonably withheld, conditioned or delayed). Buyer shall keep Seller reasonably informed of the commencement, status and nature of the Tax Proceeding and, at the request of Buyer and without any further consideration, shall provide or cause to be provided all assistance reasonably requested by Buyer with respect to the conduct of the Tax Proceeding.
(vi)Press Releases.  Subject to this Section 10.3, any public announcement, press release or similar publicity, with respect to this Agreement and the transactions contemplated hereby will be issued at the time and in the manner mutually agreed in writing by the Buyer and the Seller.
Section bb.Communication with ESA Customers
.  Neither Seller nor any of its Affiliates, employees, agents or other Representatives shall, directly or indirectly, for itself or on behalf of another, from the First Agreement Date until, with respect to each Facility and its related Site in the Scheduled Portfolio, the date that is two (2) years after the expiration of the applicable Warranty Period (or earlier termination of this Agreement), induce, influence or encourage, any ESA Customer, directly or indirectly, including through the negotiation of possible terms and conditions of similar or related contracts or extensions, to:
(i)alter, terminate or breach its contractual or other business relationship with Buyer,

(ii)enter into a contractual or business relationship with Seller (or an Affiliate or other related Person on Seller’s behalf) in substantial replacement of the supplies and services provided with respect to such Facility under the applicable ESA or
(iii)exercise any purchase option under any ESA.
ARTICLE XI.
LICENSE AND OWNERSHIP; SOFTWARE
Section bc.IP License to Use
.  Subject to Section 11.2, Seller grants to Buyer a limited (as described herein), non-exclusive, royalty-free, fully paid-up, perpetual, irrevocable (except as described in Section 12.4 hereof), non-transferable (except as described herein) license to use the Intellectual Property, including Seller’s proprietary Software, to the extent contained in the Documentation, the Components and the Facilities purchased hereunder (collectively, “Seller’s Intellectual Property”) in conjunction with the purchase, use, operation, maintenance, repair and, subject to Section 3.6(2), sale of the Facilities (the “IP License”); provided, that (a) such license may be transferred or sub-licensed upon a transfer of a Facility to any Person who acquires such Facility, subject to Buyer’s compliance with Section 3.6(2), (b) such license may be (and shall automatically be) transferred or sub-licensed by Buyer to any third party Buyer is entitled to engage to maintain any Facility pursuant to Section 10.2(4), (c) such license may be (and shall automatically be) transferred by Buyer to any successor or assign of Buyer permitted pursuant to Section 14.4, and (d) in the event of a voluntary or involuntary Bankruptcy of Buyer, Seller hereby expressly consents to the assumption and assignment of the IP License by Buyer as necessary to allow Buyer’s continued use of each Bloom System, any item of Ancillary Equipment and/or Facility in accordance with the terms hereof and, as applicable, each ESA, Interconnection Agreement and other applicable Facility Contracts. Seller shall retain all right, title and ownership of any and all Intellectual Property licensed by Seller hereunder. No right, title or interest in any such Intellectual Property is granted, transferred or otherwise conveyed to Buyer under this Agreement except as otherwise expressly set forth herein. Buyer shall not, in violation of the rights granted to or obligations imposed on Buyer hereunder, modify, network, rent, lease, loan, sell, distribute or create derivative works based upon Seller’s Intellectual Property in whole or part, or cause or knowingly allow any third party to do so.
Section bd.Grant of Third Party Software License
.
(i)Seller grants to Buyer a limited (as described herein), non-exclusive, royalty-free, fully paid-up, irrevocable (except as described in ARTICLE XII hereof), non-transferable (except as described herein) license to use the third party Software (the “Software License”); provided, that (i) such license may be transferred or sub-licensed upon a transfer of a Facility to any Person who acquires such Facility, (ii) such license may be (and shall automatically be) transferred or sub-licensed by Buyer to any third party Buyer is entitled to engage, and does engage, to 
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maintain any Facility pursuant to Section 10.2(4), and (iii) such license may be (and shall automatically be) transferred by Buyer to any successor or assign of Buyer permitted pursuant to Section 14.4. No right, title or interest in any Software provided to Buyer (including all copyrights, patents, trade secrets or other intellectual or intangible property rights of any kind contained therein) is granted, transferred, or otherwise conveyed to Buyer under this Agreement except as expressly set forth herein. Buyer agrees not to reverse engineer or decompile the Software or otherwise use the Software for any purpose other than in connection with the use of the Facilities. 
(ii)Subject to any confidentiality restrictions contained in the ESAs, all data collected on the Facilities by Seller using the Software, and data collected on the Facilities using Seller’s internal proprietary Software are the sole property of Seller to be used by Seller in accordance with Legal Requirements, and Seller hereby grants to Buyer a limited, non-exclusive, irrevocable (except as set forth in ARTICLE XII hereof), royalty-free license to use the data collected on the Facilities using such Software or Seller’s internal proprietary software only for purposes of using such Facilities and administering the Transaction Documents or as required pursuant to the terms of any ESA, Site License, Interconnection Agreement or other Facility Contract to which Buyer is a party, provided the provisions of ARTICLE X on confidentiality are maintained.
Section be.No Software Warranty
.  The Software and related documentation are provided “AS IS” and without any warranty of any kind and Seller EXPRESSLY DISCLAIMS ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
Section bf.Effect on Licenses
.  All rights and licenses granted under or pursuant to this Agreement by Seller are, and shall otherwise be deemed to be, for purposes of Section 365(n) of the U.S. Bankruptcy Code and of any similar provisions of applicable laws under any other jurisdiction (collectively, the “Bankruptcy Laws”), licenses of rights to “intellectual property” as defined under the Bankruptcy Laws.  If a case is commenced by or against Seller under the Bankruptcy Laws, Seller (in any capacity, including debtor-in-possession) and its successors and assigns (including a trustee under the Bankruptcy Laws) shall, as Buyer may elect in a written request, immediately upon such request:
(i)perform all of the obligations provided in this Agreement to be performed by Seller including, where applicable, providing to Buyer such Intellectual Property (including embodiments thereof) held by Seller and such successors and assigns or otherwise available to them and to which Buyer is entitled to have access under this Agreement, including the Documentation; and
(ii)not interfere with the rights of Buyer under this Agreement, or the Transaction Documents, to such Intellectual Property (including such embodiments), including any right to 

obtain such Intellectual Property (or such embodiments) from Seller or from another entity, to the extent provided in the Bankruptcy Laws or in this Agreement.
Section bg.IP Related Covenants
.  If Seller grants, bargains, sells, conveys, mortgages, assigns, pledges, warrants or transfers any Intellectual Property or Software that is required (a) for Seller or its Affiliates to perform their respective obligations under the Transaction Documents or (b) for the continued maintenance and operation of the Facilities without a material decrease in performance of the Facilities, such act or transaction shall be, and for the avoidance of doubt Seller shall cause such act or transaction to be, subject to (i) the grant of the IP License and Software License under this Agreement and (ii) the Long-Term Agreement.
Section bh.Representations and Warranties
.  Seller represents and warrants to Buyer as of the Agreement Date and as of each Purchase Date as follows with respect to all Intellectual Property that is required (i) for Seller or its Affiliates to perform their respective obligations under the Transaction Documents, and (ii) for the continued operation of the Facilities in accordance with the Transaction Documents, the ESAs and the Interconnection Agreements:
(i)Seller owns or has the right to use and to authorize Buyer to use all such Intellectual Property and Software; and
(ii)Seller and its Affiliates are not infringing, misappropriating or otherwise violating any Intellectual Property rights of any third party with respect to the actions described in subsection (i) and (ii) of Section 11.6 and the sale, manufacture or use of the Facilities do not (and the sale, manufacture and use of the Facilities as contemplated in this Agreement will not) infringe, misappropriate or otherwise violate any Intellectual Property rights of any third party. 
ARTICLE XII.
EVENTS OF DEFAULT AND TERMINATION
Section bi.Seller Default
.  The occurrence at any time of any of the following events shall constitute a “Seller Default”:
(i)Failure to Pay.  The failure of Seller to pay any undisputed amounts owing to Buyer on or before the day following the date on which such amounts are due and payable under the terms of this Agreement and Seller’s failure to cure each such failure within ten (10) Business Days after Seller receives written notice from Buyer of each such failure;
(ii)Failure to Perform Other Obligations.  Unless due to a Force Majeure Event, and except for a Seller Default pursuant to Section 12.1(6), the failure of Seller to perform or cause to be performed any other material obligation required to be performed by Seller under this 
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Agreement, the Administrative Services Agreement or the MIPA, or the failure of any representation and warranty set forth herein or therein to be true and correct as and when made; provided, however, that if such failure by its nature can be cured, then Seller shall have a period of thirty (30) days after obtaining Knowledge of such failure to cure the same and a Seller Default shall not be deemed to exist during such period; provided, further, that if Seller commences to cure such failure during such period and is diligently and in good faith attempting to effect such cure, said period shall be extended for sixty (60) additional days; provided, further, that notwithstanding the foregoing, the cure periods set forth above shall in no event exceed (and will be deemed modified as necessary to match) the cure period applicable to any particular or breach pursuant to an ESA;
(iii)Failure to Remedy Injunction.  The failure of Seller to remedy any injunction that prohibits Buyer’s use of any Facility as contemplated by Section 13.1 within sixty (60) days of Seller’s receipt of written notice of Buyer being enjoined therefrom;
(iv)Bankruptcy.  If Seller (i) admits in writing its inability to pay its debts generally as they become due; (ii) files a petition or answer seeking reorganization or arrangement under the federal bankruptcy laws or any other Legal Requirements of the United States of America or any State, district or territory thereof or any similar proceeding outside of the United States of America; (iii) makes an assignment for the benefit of creditors; (iv) consents to the appointment of a receiver of the whole or any substantial part of its assets; (v) has a petition in bankruptcy filed against it, and such petition is not dismissed within sixty (60) days after the filing thereof; or if (vi) a court of competent jurisdiction enters an order, judgment, or decree appointing a receiver or similar Person of the whole or any substantial part of Seller’s assets, and such order, judgment or decree is not vacated or set aside or stayed within sixty (60) days from the date of entry thereof; or (vii) under the provisions of any other law for the relief or aid of debtors, any court of competent jurisdiction shall assume custody or control of the whole or any material part of Seller’s assets, and such custody or control is not terminated or stayed within sixty (60) days from the date of assumption of such custody or control; 
(v)Maximum Liability.  Seller’s aggregate incurred liability under this Agreement and the other Transaction Documents equals or exceeds the Maximum Liability; 
(vi)Failure to Perform Certain Obligations.  Unless due to a Force Majeure Event, the failure of Seller to perform or cause to be performed its obligations pursuant to Section 2.8 or pursuant to the Side Letter Agreement, in each case subject to any applicable cure and grace periods set forth in such Sections; or
(vii)Other Transaction Documents.  (i) Any MIPA Representation or any representation or warranty made in the Long-Term Agreement, in either case, was not true and correct as and when made or (ii) Seller fails to perform or cause to be performed any obligation required to be performed by Seller under the Long-Term Agreement.
Section bj.Buyer Default

.  The occurrence at any time of the following events with respect to Buyer shall constitute a “Buyer Default”:
(i)Failure to Pay.  The failure of Buyer to pay any undisputed amounts owing to Seller on or before the day following the date on which such amounts are due and payable under the terms of this Agreement and Buyer’s failure to cure each such failure within ten (10) Business Days after Buyer receives written notice of each such failure;
(ii)Failure to Perform Other Obligations.  Unless due to a Force Majeure Event, the failure of Buyer to perform or cause to be performed any material obligation required to be performed by Buyer under this Agreement or the failure of any representation and warranty set forth herein to be true and correct as and when made; provided, however, that if such failure by its nature can be cured, then Buyer shall have a period of thirty (30) days after receipt of written notice of such failure to cure the same and a Buyer Default shall not be deemed to exist during such period; provided, further, that if Buyer commences to cure such failure during such period and is diligently and in good faith attempting to effect such cure, said period shall be extended for sixty (60) additional days; or
(iii)Bankruptcy.  If Buyer (i) admits in writing its inability to pay its debts generally as they become due; (ii) files a petition or answer seeking reorganization or arrangement under the federal bankruptcy laws or any other Legal Requirements of the United States of America or any State, district or territory thereof; (iii) makes an assignment for the benefit of creditors; (iv) consents to the appointment of a receiver of the whole or any substantial part of its assets; (v) has a petition in bankruptcy filed against it, and such petition is not dismissed within sixty (60) days after the filing thereof; or if (vi) a court of competent jurisdiction enters an order, judgment, or decree appointing a receiver of the whole or any substantial part of Buyer’s assets, and such order, judgment or decree is not vacated or set aside or stayed within sixty (60) days from the date of entry thereof; or (vii) under the provisions of any other law for the relief or aid of debtors, any court of competent jurisdiction shall assume custody or control of the whole or any substantial part of Buyer’s assets and such custody or control is not terminated or stayed within sixty (60) days from the date of assumption of such custody or control.
Section bk.Buyer’s Remedies upon Occurrence of a Seller Default
.  If a Seller Default has occurred under Section 12.1(4), Section 12.1(6) or Section 12.1(7), Buyer may terminate this Agreement with respect to all Facilities by written notice, and assert all rights and remedies available to Buyer under Legal Requirements subject to the limitations of liability set forth in Section 13.6. If a Seller Default has occurred with respect to a Facility under Section 12.1(1), Section 12.1(2), Section 12.1(3), or Section 12.1(5), Buyer may terminate this Agreement only with respect to such Facility for which such Seller Default has occurred by written notice, and assert all rights and remedies available to Buyer under Legal Requirements subject to the limitations of liability set forth in Section 13.6. If a Seller Default has occurred under Section 12.1(1), Section 12.1(2), Section 12.1(3), Section 12.1(5), Section 12.1(6) or Section 12.1(7), Buyer may require Seller and, if so required, Seller shall repurchase the relevant 
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Facility or Facilities in respect of which this Agreement is being terminated from Buyer on an AS IS basis by paying the Repurchase Value of any such Facility, calculated as of the date of such payment, in which case Seller shall take title to such Facility upon paying the Repurchase Value, and such Facility shall no longer constitute a portion of the Portfolio or the Scheduled Portfolio (provided, that if such Seller Default has occurred under Section 12.1(5), Seller shall not be obligated to make a payment to Buyer in excess of the Maximum Liability except as otherwise set forth in Section 13.6). If a Facility will be removed pursuant to this Section 12.3, Seller shall at its sole cost and expense remove the Facility in accordance with Section 4.10(1).
Section bl.Seller’s Remedies Upon Occurrence of a Buyer Default
.  If a Buyer Default has occurred Seller may terminate this Agreement only with respect to those Facilities for which a Buyer Default has occurred and remains uncured by written notice, and assert all rights and remedies available to Seller under Legal Requirements with respect to those Facilities for which a Buyer Default has occurred, subject to the limitations of liability set forth in Section 13.6, including without limitation retaining any prior payments with respect to such Facilities and, to the extent Seller has title to and possession of such Facilities, selling such Facilities to another buyer.
Section bm.Preservation of Rights
.  Termination of this Agreement shall not affect any rights or obligations as between the Parties which may have accrued prior to such termination or which expressly or by implication are intended to survive termination whether resulting from the event giving rise to termination or otherwise, including, without limitation, ARTICLE X, ARTICLE XI (including the IP License and right to retain copies of the documentation and other embodiments of Intellectual Property in Section 11.1), and ARTICLE XIII.
Section bn.Force Majeure
.  
(i)If either Party is rendered wholly or partially unable to perform any of its obligations under this Agreement by reason of a Force Majeure Event, then except as otherwise explicitly specified in this Agreement, that Party (the “Claiming Party”) will be excused from whatever performance is prevented by the Force Majeure Event to the extent so prevented; provided, however, that (a) the Claiming Party, promptly upon (and in no event later than three (3) days after) the occurrence of such Force Majeure Event, gives the other Party (the “Affected Party”) notice in writing describing the particulars of the occurrence, including the anticipated duration of the Force Majeure Event; (b) the suspension of performance shall be of no greater scope and of no longer duration than is reasonably required by the Force Majeure Event; (c) no liability of either Party for an event that arose before the occurrence of the Force Majeure Event shall be excused as a result of the Force Majeure Event; (d) the Claiming Party shall exercise commercially reasonable efforts to correct or cure (and at all times minimize) the event or condition excusing performance and resume performance of all its obligations; and (e) when the 

Claiming Party is able to resume performance of its obligations under this Agreement, the Claiming Party shall promptly give the Affected Party notice in writing to that effect and shall promptly resume performance. Except as set forth in Section 4.3(7), an event of Force Majeure shall not excuse the obligation to pay money under this Agreement. Notwithstanding anything to the contrary in this Agreement, in no event shall Seller (or any of its Service Providers) be required to risk the lives or health of any human Persons during the pendency of a Force Majeure Event, it being understood that Seller or its Service Providers, as applicable, shall return to the affected Site as soon as reasonably safe, as is required by clauses (b), (d) and (e) of this Section 12.6.
(ii)If, as a result of a Force Majeure Event, a Facility in the Portfolio, in whole or in part, is damaged or destroyed such that the repair of such Facility or part thereof is likely to exceed $[***] (a “Casualty”), Seller shall give prompt notice of such damage to Buyer and shall promptly provide an estimate of the costs required to either restore or remove such Facility. After receiving such notice and estimate, Buyer may either (a) instruct Seller to repair, rebuild or replace (as applicable) such Facility or part thereof to effect the restoration of such Facility as nearly as possible to the condition it was in immediately prior to such Casualty, with such alterations and upgrades as may be reasonably requested and approved by Buyer (a “Restoration”), or (b) upon Buyer’s determination that the Facility or part thereof cannot be repaired, rebuilt or replaced to Buyer’s satisfaction, terminate this Agreement with respect such Facility subject to such Casualty, after which Seller shall remove such Facility in accordance with Section 4.10(2) (a “Casualty Removal”). Upon a termination of this Agreement with respect to a Casualty Removal, Buyer and Seller shall be fully released of any and all obligations hereunder with respect to the Facility subject to the Casualty, except for those provisions which expressly survive a termination.
(iii)Buyer shall reimburse Seller for all costs reasonably incurred by Seller of Restoration or Casualty Removal, whether or not such costs are covered by insurance. At Buyer’s request, Seller shall, using commercially reasonable efforts and in good faith, participate in any discussions with, and facilitate Buyer’s exchange of information with, any insurance companies with respect to any Casualty, Restoration or Casualty Removal. For the avoidance of doubt, any insurance proceeds in respect of a Casualty, Restoration or Casualty Removal shall be entirely for the benefit of Buyer, except to the extent Buyer has failed to reimburse Seller as set forth in the first sentence of this Section 12.6(3), and other than to such extent, any such insurance proceeds received by Seller shall be held in trust for the benefit of Buyer and promptly remitted to Buyer. Any Restoration shall be conducted in compliance with Sections 4.2(3) and 4.10(2).
Section bo.Termination of ESAs Following Placed in Service Date; ESA Customer Purchase Options.
(i)In the event that an ESA is terminated (or if an ESA Customer exercises its purchase option pursuant to its ESA) with respect to a Facility on or following the date such Facility achieves any of the events described in clauses (2) through (4) of the definition of "Placed in Service", then, notwithstanding anything to the contrary set forth in Section 4.1(2), Buyer may 
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terminate this Agreement with respect to that Facility by written notice, such termination to be effective as of the final day of the calendar month in which such notice is delivered. Following the effectiveness of such termination, Buyer shall owe Seller no further Services Fees in respect of such Facility. For clarity, nothing in this Section 12.7(1) shall limit in any manner any other rights or remedies that may be available to Buyer or Seller under this Agreement. If an ESA Customer exercises its purchase option pursuant to its ESA, Seller shall use commercially reasonable efforts to facilitate the consummation of such purchase and related matters, including by executing and delivering reasonable documentation in a timely manner at Buyer’s request. If Buyer owns a Facility or any Component thereof following termination of the applicable ESA (or, if prior to termination of an ESA, it is reasonably likely that the applicable ESA Customer will not agree to renew, or otherwise cause to be renewed, the initial term or any renewal term of such ESA), Seller shall, at Buyer’s request, use its commercially reasonable efforts to remarket the applicable Facility or Component thereof pursuant to Section 4.10(3).
In the event that the termination of an ESA with respect to any Facility pursuant to Section 12.7(1) results from a Seller Default as described in Section 12.1(1), Section 12.1(2), Section 12.1(3), Section 12.1(5), Section 12.1(6) or Section 12.1(7), Seller shall, at Buyer’s option, repurchase and remove the relevant Facilities in accordance with Section 4.10(1) and (2).  Solely with respect to the termination of a [***] ESA pursuant to Section 12.7(1) (regardless whether there is a Seller Default), Seller shall pay for any remaining payments of unpaid “Rent” (as such term is defined in the [***] ESA) in accordance with Section 6.1(f) and Schedule 3.4 of the [***] ESA that accrue in respect of such termination.  Notwithstanding the foregoing or anything else in this Agreement, any payment by the ESA Customer under either of the [***] or the [***] of any termination value or reimbursement of costs under such ESA, under any circumstances, shall be subject in all respects to, as applicable, (x) the last sentence of Section 11.2(b)(i) of the [***].
(ii)In the event of a Compliance Law Violation (as defined in the Equinix ESA), the Parties will cooperate in good faith to cure such Compliance Law Violation in accordance with the terms of Section 7.1(h)(i) of the Equinix ESA including by ensuring that any individual(s), Seller Affiliate, Service Provider and/or Seller or Seller Affiliate agent, representative or subcontractor at any tier directly involved in the Compliance Law Violation are no longer in any way performing under the Equinix ESA. In the event that, notwithstanding such efforts, such Compliance Law Violation either (i) can only be cured by the termination of Seller’s performance in connection with the Equinix ESA, or (ii) results in the termination of the Equinix ESA, then, in either case, Buyer may terminate this Agreement with respect to any Facilities installed pursuant to the Equinix ESA and affected by such termination of the Equinix ESA, and Buyer shall owe Seller no further Service Fees in respect of such Facility(ies) for any period from and after the date of termination. For clarity, nothing in this Section 12.7(3) shall limit in any manner any other remedies that may be available to Buyer under this Agreement.

(iii)In the event [***] is terminated by the applicable ESA Customer due to a “Supplier Default” (as defined in [***]) under Section 11.1(a)(iii) of [***], Seller shall, at Buyer’s option, repurchase and remove the relevant Facilities in accordance with Section 4.10(1) and (2). Without limiting the foregoing sentence, Seller shall promptly notify Buyer if Seller acquires Knowledge of any reduction in or failure to deliver output that, taken by itself or together with other such reductions or failures, is reasonably likely to result in such a “Supplier Default” (as defined in [***]), and after so notifying Buyer, Seller shall, if requested by Buyer (and without limiting Seller’s obligations hereunder), cooperate with Buyer to develop and implement plans to mitigate the risk of such a “Supplier Default”.
Section bp.Termination of ESAs Prior to Placed in Service Date
.  
(i)If an ESA is terminated with respect to one or more Facilities prior to the date such Facility achieves any of the events described in clauses (2) through (4) of the definition of “Placed in Service”, then Seller shall, at Buyer’s sole discretion and as part of the Installation Service (without in any way limiting Buyer’s rights and remedies under, and subject to, Section 2.4(7), Section 2.9, Section 2.11, Section 3.4(1)(xii)(B), Section 12.8(2), Section 12.8(3), Section 12.8(4) and Section 12.8(5)), (i) remove such Facility in accordance with Section 4.10(2) and (ii) relocate and install such Bloom System and applicable Ancillary Equipment and BOF at a substitute Site.  The costs of such removal and relocation shall be at Seller’s sole cost and expense; provided, however to the extent the applicable ESA Customer reimburses Buyer for (or otherwise pays Buyer in respect of) such costs pursuant to the terms of the applicable ESA, then Buyer shall remit such payments to Seller to the extent of Seller’s bearing costs under this sentence.
(ii)If a [***] ESA is terminated under this Section 12.8 pursuant to Sections 2.3(c) or (d) of such [***] ESA and [***] elects to take title to any materials (or other assets, properties or rights) in accordance with such sections under the [***] ESA, all payments made by [***] as “Host” pursuant to such Sections 2.3(c) or (d) of such [***] ESA will be remitted to Seller when received by Buyer and Seller shall convey the applicable title (or other assets, properties or rights) in accordance with the terms therein; provided, that the foregoing receipts shall be remitted to Seller only to the extent in excess of (i) any payments made by Buyer under or in connection with the Facility described in such [***] ESA and (ii) any amounts then due and owing to Buyer by Seller in respect of the Facility or Facilities described in such [***] ESA.
(iii)If [***]  is terminated under this Section 12.8 and Buyer, as “Supplier” thereunder, owes the ESA Customer [***] of the deposit made in connection with the Connecticut Low and Zero Emissions Energy Credit Program under Section 5.2(a)(i) of the [***], then Seller will make such payment on Buyer’s behalf.
(iv)If an ESA is terminated under this Section 12.8, and a cash deposit Credit Support required in connection with a System Attribute has been posted by Buyer, or reimbursed to Seller 
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pursuant to Section 4.3(5), then, in either case, (i) Buyer shall use commercially reasonable efforts to obtain a return of such cash deposit Credit Support from the Person holding it and (ii) Seller shall reimburse Buyer for the amount of such cash deposit Credit Support. Seller’s obligation to reimburse Buyer will not be delayed or limited by (A) Buyer having not received such cash deposit Credit Support from the Person holding it or (B) the degree of Buyer’s use of commercially reasonable efforts to obtain the return of such cash deposit Credit Support from the Person holding it. If Buyer receives such cash deposit Credit Support from such Person after Seller has reimbursed Buyer pursuant to this Section 12.8(4), Buyer shall remit such receipts to Seller to the extent of Seller’s reimbursements made under this Section 12.8(4).
(v)If a Preexisting Seller Agreement provides an ESA Customer (or its Affiliate or predecessor) with any rights or interests, the exercise of which results in installation of the related Facility under the applicable ESA being suspended or canceled, and such ESA Customer (or Affiliate or predecessor) exercises such rights or interests, and thereafter the applicable ESA is terminated under this Section 12.8, Seller shall remove any relevant Facilities or portions thereof in accordance with Section 4.10(1); provided, that if such ESA Customer (or Affiliate or predecessor) exercises such rights or interests and such suspension or cancelation is reasonably likely, then Buyer may terminate such ESA and Seller shall remove any relevant Facilities or portions thereof in accordance with Section 4.10(1).
Section bq.Change in Law
.  
(i)If, due to any change in Legal Requirements subsequent to the date of this Agreement (a “Change in Law”), performance of any provision of this Agreement or any transaction contemplated hereby shall become impracticable, impossible or unduly burdensome, the Parties hereto shall use commercially reasonable efforts to find and employ an alternative means, including renegotiation of economics of the Agreement, to achieve the same or substantially the same result as that was contemplated by this Agreement; provided, however, that (a) the Party claiming impairment of performance under this Section 12.9 (the “Claiming Party”) shall, promptly upon (and in no event later than three (3) Business Days after) the occurrence of such Change in Law, give the other Party (the “Affected Party”) notice in writing describing the particulars of the occurrence, including the anticipated duration of the Change in Law; (b) the suspension of performance shall be of no greater scope and of no longer duration than is reasonably required by the Change in Law; (c) no liability of either Party for an event that arose before the occurrence of the Change in Law shall be excused as a result of the Change in Law; (d) the Claiming Party shall exercise commercially reasonable efforts to correct or cure (and at all times minimize) the effect of Change in Law and resume performance of all its obligations; and (e) when the Claiming Party is able to resume performance of its obligations under this Agreement, the Claiming Party shall promptly give the Affected Party notice in writing to that effect and shall promptly resume performance. Except as set forth in Section 4.3(7), a Change in Law shall not excuse the obligation to pay money under this Agreement.  If an event or circumstance gives rise to a Change in Law as defined herein under this Agreement, but such 

event or circumstance does not also constitute a ‘Change in Law’ (or similar term) as defined under the applicable ESA or Site License (depending on which Facilities are affected), then for the purposes of any rights and obligations of the parties under this Agreement that relate to corresponding rights or obligations under such ESA or Site License such event or circumstance will not constitute a Change in Law under this Agreement.
(ii)Notwithstanding Section 12.9(a) above, if [***] terminates any [***] ESA in accordance with Section 5.1(b), Section 8.2 or Section 19.15 therein, Seller will pay to Buyer an amount equal to the “Early Termination Fee” (as defined in the applicable [***] ESA) and remove, at Seller’s cost and expense, any and all “Systems” and “System” infrastructure in accordance with Section 2.6 of the [***] ESAs. Seller will not take any action described in Sections 5.1(b), 8.2 or 19.15 of any [***] ESA that would cause [***] to be deemed an electric utility, public utility or similar entity under Legal Requirements.
ARTICLE XIII.
INDEMNIFICATION
Section br.IP Indemnity
.  
(i)Except as expressly limited below, Seller agrees to indemnify, defend and hold Buyer, its direct and indirect members, and their Affiliates and their respective managers, officers, directors, employees and agents harmless from and against any and all Third Party Claims and Indemnifiable Losses (including in connection with obtaining any Intellectual Property necessary for continuation of completion, operation and maintenance of Facilities purchased by Buyer from Seller), arising from or in connection with any alleged infringement, misappropriation, conflict, violation or misuse of any patents, copyrights, trade secrets or other third party Intellectual Property rights by Facilities or Components thereof purchased by Buyer pursuant to this Agreement (or the sale, use, operation or maintenance thereof, provided that such sale, use, operation or maintenance is as contemplated by this Agreement or the Long-Term Agreement) or the exercise of the IP License or the Software License granted pursuant to Section 11.1 and Section 11.2 hereunder, or the license granted under the Long-Term Agreement, or the exercise by any ESA Customer of any of its rights and interests with respect to Customer Equipment, if applicable, or any exercise by an ESA Customer of any of its rights and interests with respect to a Non-Scheduled Facility.  Buyer shall give Seller prompt notice of any such claims (provided, that the failure to so notify shall not relieve Seller’s obligations under this Section 13.1 except to the extent Seller is materially prejudiced thereby).  Seller shall be entitled to participate in, and, unless in the opinion of counsel for Seller a conflict of interest between the Parties may exist with respect to such claim, assume control of the defense of such claim with counsel reasonably acceptable to Buyer.  Seller shall ensure that the terms and conditions set forth in Section 23.2 of the Kaiser ESA, as applicable to any Facilities thereunder, are satisfied and that there does not arise at any time an “Event of Default” (as defined in the Kaiser ESA) pursuant to Section 16.1(f) of the Kaiser ESA (and, for the avoidance of doubt, Seller shall promptly and at 
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its own expense procure, provide and maintain any performance assurance, credit support and other assurance requested by the counterparty to such Kaiser ESA), and Seller shall comply in all respects with any similar obligations in any transaction confirmations under the Kaiser ESA entered into after the First Agreement Date. Buyer authorizes Seller to settle or defend such claims in its sole discretion on Buyer’s behalf, without imposing any monetary or other obligation, restriction, admission or liability on Buyer and subject to Buyer’s participation rights set forth in this Section 13.1. Buyer shall assist Seller upon reasonable request by Seller and, at Seller’s reasonable expense, in defending any such claim.  If Seller does not assume the defense of such claim, or if a conflict precludes Seller from assuming the defense, then Seller shall reimburse Buyer on a monthly basis for Buyer’s reasonable and documented defense expenses of such claim through separate counsel of Buyer’s choice reasonably acceptable to Seller. If Seller assumes the defense of such claim, Seller shall keep Buyer reasonably informed as to the status of such defense (including prompt updates with respect to any material developments). Should Buyer be enjoined from selling or using any Facility or Component thereof as a result of such claim, Seller will, at its sole option and discretion (and at its own expense), either (i) procure or otherwise obtain for Buyer the right to use or sell the Facility or Component thereof; (ii) modify the Facility or Component thereof so that it becomes non-infringing but still substantially meets the original functional specifications of the Facility or Component thereof (in which event, for the avoidance of doubt, all warranties hereunder shall continue to apply unmodified); (iii) upon return of the Facility or Component thereof to Seller, as directed by Seller, provide to Buyer a non-infringing Facility or Component thereof meeting the functional specifications of Facility or Component thereof, or (iv) when and if none of the first three options is reasonably available to Seller, authorize the return of the Facility to Seller and, upon receipt thereof, return to Buyer all monies paid by Buyer to Seller for the Repurchase Value, net of any monies paid by Seller to Buyer for any performance guaranties or other warranty claims; provided that Seller shall not elect the options in the preceding clauses (i), (ii) or (iii) without Buyer’s written consent (such consent not to be unreasonably withheld) if such election could reasonably be expected to materially decrease Buyer’s revenues or materially increase Buyer’s operating expenses.
(ii)THIS INDEMNITY SHALL NOT COVER ANY CLAIM:
cxviii.for Intellectual Property infringement, conflict, violation, misappropriation, or misuse resulting from any combination made by Buyer of any Bloom System with any other product or products (except any other Component of the Facility) or modifications made by or on behalf of Buyer to any part of the Bloom System, unless (A) such combination or modification is in accordance with Seller’s specifications for the Bloom System, (B) such combination or modification is made by or on behalf of or at the written request of Seller where Seller has requested the combination or modification giving rise to the claim by Buyer, (C) such combination is reasonably necessary for the use of the Facility as permitted in this Agreement or (D) such other product or products would not infringe the Intellectual Property rights of a third party but for the combination with any part of the Bloom System; or  

cxix.for infringement of any Intellectual Property rights where such infringement results from a modification to the Bloom System which was requested in writing by Buyer on a custom basis; provided, that before performing or agreeing to perform any such modification, Seller shall notify Buyer in writing, with specific reference to this Section 13.1(2)(ii), that such modification if performed will result in claims being excluded from indemnification pursuant to this Section 13.1(2) and the extent of such exclusions; and provided, further, that none of the following shall constitute a modification to the Bloom System which was or is requested by Buyer on a custom basis: (a) the integration of the Battery Solution or other Ancillary Equipment or BOF into any Facility, (b) specifications, plans, designs or drawings comprising a part of, or delivered pursuant to, any ESA or Site License, (c) performance of an ESA or Site License by the parties thereto pursuant to the terms and conditions thereof or (d) any change or amendment to any of the agreements, documents or information set forth in the foregoing clauses (b) or (c) to the extent approved in writing by Seller.
Section bs.General Indemnification of Seller by Buyer
.  Buyer shall indemnify, defend and hold harmless Seller, its officers, directors, employees, shareholders, Affiliates and agents (each, a “Seller Indemnitee”) from and against any and all Indemnifiable Losses (other than Indemnifiable Losses addressed in Section 13.1) asserted against or suffered by any Seller Indemnitee arising out of a Third Party Claim (other than a claim for such Seller Indemnitee’s breach of any contract to which such Seller Indemnitee is a party) to the extent arising out of or in connection with (a) the negligent or intentional acts or omissions of Buyer or its subcontractors, agents or employees or others under Buyer’s control (excluding Seller and any Seller Affiliate) after the First Agreement Date, or (b) except in accordance with this Agreement or the Transaction Documents, operation of a Facility or any part thereof by any party other than Seller or an Affiliate or subcontractor of Seller after such Facility has been purchased by Buyer pursuant to this Agreement (but subject to Seller’s warranties, covenants and indemnities under this Agreement and any other Transaction Document to which Seller is a party); provided that Buyer shall have no obligation to indemnify Seller to the extent caused by or arising out of (i) any gross negligence, fraud or willful misconduct of any Seller Indemnitee or the breach by Seller or any Seller Indemnitee of its covenants, representations and warranties under this Agreement or in any Payment Certificate or (ii) any operation of any Facility (or any part thereof) by a Person outside of Buyer’s control or direction or by a Person taking such action despite Buyer’s reasonable efforts to prevent the same.
Section bt.General Indemnification of Buyer by Seller.
(i)Seller shall indemnify, defend and hold harmless Buyer, its direct and indirect members, managers, officers, directors, employees, Affiliates and agents (each, a “Buyer Indemnitee”) from and against any and all Indemnifiable Losses (other than, but without limiting, Indemnifiable Losses addressed in Section 3.4(4), Section 3.7, Section 5.7, Section 5.8, Section 13.1 or Section 13.4) asserted against or suffered by any Buyer Indemnitee arising out of 
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(1) any Third Party Claim to the extent arising out of or in connection with the negligent or intentional acts or omissions of Seller, its Service Providers, its agents, its employees or others under Seller’s control arising out of or in connection with a breach, violation or default of the obligations of the foregoing Persons under the Transaction Documents (other than matters addressed separately in Section 3.4(4), Section 3.7, Section 5.3, Section 5.7, Section 5.8, Section 13.1, this Section 13.3 or Section 13.4, which shall be governed by the terms thereof), (2) the breach of an obligation or inaccuracy of a representation or warranty when made, in each case, (i) by Seller under any Transaction Document (it being the intention of Buyer and Seller that Seller’s obligations in this Section 13.3 shall include any Indemnifiable Losses asserted against or suffered by Buyer Parent under the MIPA, and Buyer may make claims hereunder on behalf of Buyer Parent) or (ii)(x) by Buyer or any Affiliate of Seller prior to the First Agreement Date under a Site License or ESA or (y) by Buyer, Seller, any Project Company or any Affiliate of Seller, solely with respect to the Approved Facilities, (I) prior to the Agreement Date (except with respect to each Standby Facility, prior to the applicable Representations Date) under any Site License, ESA or related parent guarantee, or (II) under an Interconnection Agreement for any Approved Facility or related document to which a Transmitting Utility is a party on or prior to the date such Interconnection Agreement (or interconnection application, as applicable) is assigned to Buyer, (3) any injury, death, or damage to property caused by a defect in a Facility, (4)(i) any breach or any payment obligation that becomes due, in each case under an ESA or other Facility Contract arising in connection with (x) the Customer Equipment subject to such ESA, (y)(I) whether before, on or after the Commencement of Operations Date Deadline, any Non Scheduled Facility (until such Non Scheduled Facility is approved by Buyer to be part of the Scheduled Portfolio in accordance with Section 2.9), (II) on and after the date of consummation of any applicable 2020 Facilities Assignment, any Facility that is the subject of such 2020 Facilities Assignment, or (III)  after the Commencement of Operations Date Deadline, any Facility for which none of the events described in clauses (2) through (4) of the definition of “Placed in Service” has been achieved as of such date or (z)(I) any payment or indemnity obligation of “Supplier” under Section 2.5 of the [***] Amendment or (II) any payment or indemnity obligation of “Supplier” under the Section 2.5(c) of the [***] ESA, or (ii) the breach of an obligation or inaccuracy of a representation or warranty when made, in each case, by Seller under Section 3.2(3)(ii) or Section 8.1(14)(ii), which breach or inaccuracy results in a loss or reduction of payments in respect of “Deemed Delivered Energy” (or similar payments) otherwise payable to Buyer pursuant to the applicable ESA (it being understood that Seller’s obligations with respect to this Section 13.3(1)(4)(ii) shall include reimbursing Buyer for such lost or reduced payments), or (5) Seller Attributes; provided that, in all cases Seller shall have no obligation to indemnify Buyer to the extent caused by or arising out of any gross negligence, fraud or willful misconduct of a Buyer Indemnitee, the breach by Buyer or any Buyer Indemnitee of its covenants, representations and warranties under this Agreement or the inability of Buyer to ultimately utilize any tax benefits.
(ii)Except as otherwise set forth in this Agreement, in the event that Buyer incurs any liability, cost, loss or expense to an ESA Customer or licensor under a Site License (including relating to a breach of an ESA or Site License) arising out of Seller’s breach of its obligations 

herein, Seller shall indemnify and hold Buyer harmless for any such liability, cost, loss or expense incurred by Buyer.
Section bu.Tax Indemnification of Buyer by Seller.  
(i)Seller agrees to indemnify, defend and hold harmless each Buyer Indemnitee from and against any Tax Loss arising out of (i) the inaccuracy of any representation made by Seller in Section 8.1(6) or Section 8.1(10) as of the date such representation was made, (ii) the breach of or failure to perform any obligation, covenant or obligation of Seller under this Agreement, including the last sentence of Section 3.9, Section 4.2(3) (and any other Sections that require compliance with the requirements of Section 4.2(3)) and Section 6.1, or (iii) the gross negligence, willful misconduct or fraud of Seller in performing its obligations under this Agreement; provided, Seller shall have no obligation to indemnify Buyer to the extent such inaccuracy or breach was caused solely by Buyer or Buyer’s inability to ultimately utilize any such tax benefits. The parties agree to treat any indemnity under this Section 13.4(1) as a return of the purchase price. If, pursuant to a final determination, it is determined that payment of an indemnity under this Section 13.4(1) is taxable, Seller shall promptly pay to Buyer the After Tax Basis gross-up amount.  To the extent any such payment is includable as income of a Buyer Indemnitee as determined by agreement of the Parties or, if there is no agreement, by an opinion of a nationally-recognized Tax counsel selected by the Buyer Indemnitee and reasonably acceptable to Seller that such amount “should” be included as income of the Buyer Indemnitee, the amount of the payment shall be increased by the After Tax Basis gross-up amount upon the receipt or accrual of the payment.
Section bv.Indemnity Claims Procedure.
(i)Except as otherwise provided in Section 13.1, if any indemnifiable Third Party Claim is brought against a Party (the “Indemnified Party”) under Section 13.2 or Section 13.3, then the other Party (the “Indemnifying Party”) shall be entitled to participate in, and, unless in the reasonable opinion of counsel for the Indemnifying Party a conflict of interest between the Parties may exist with respect to such claim, assume the sole and exclusive control over the defense of such claim, with counsel reasonably acceptable to the Indemnifying Party. If the Indemnifying Party does not assume the defense of the Indemnified Party, or if a conflict precludes the Indemnifying Party from assuming the defense, then the Indemnifying Party shall reimburse the Indemnified Party on a monthly basis for the Indemnified Party’s reasonable and documented defense expenses through separate counsel of the Indemnified Party’s choice. If the Indemnifying Party assumes the defense of the Indemnified Party with acceptable counsel, the Indemnified Party, at its sole option, subject to the Indemnifying Party’s exclusive control of the defense, may participate in the defense, at its own expense, with counsel of its own choice without relieving the Indemnifying Party of any of its obligations hereunder. The Indemnifying Party may settle the defense without the consent of the Indemnified Party, so long as such defense only includes the payment of money and such settlement does not admit to any fault or actions of the Indemnified Party or infringe on the rights of the Indemnified Party hereunder.
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(ii)Notwithstanding anything to the contrary in this ARTICLE XIII, it is express intention of the Parties that the indemnifications provided for in this ARTICLE XIII shall apply to direct demands, claims, actions, investigations, arbitrations or other proceedings (whether at law or in equity) between the Parties for a breach of this Agreement or any other Transaction Document, regardless of whether a Third Party Claim is involved.
(iii)For Tax reporting purposes, to the maximum extent permitted by the Code, each party will agree to treat all amounts paid pursuant to this Section 13.5 as a non-taxable reimbursement of purchase price. If, pursuant to a final determination, it is determined that payment of an indemnity under this Section 13.5 is taxable, Seller shall promptly pay to Buyer the After-Tax Basis gross-up amount.  To the extent any such payment is includable as income of Buyer as determined by the agreement of the Parties or, if there is no agreement, by an opinion of a nationally-recognized Tax counsel selected by Buyer and reasonably acceptable to Seller that such amount “should” be included in income of Buyer, the amount of such payment shall be increased by the After-Tax Basis gross-up amount upon the receipt or accrual of the payment. Notwithstanding anything to the contrary in this ARTICLE XIII, if a Third Party Claim is brought against Buyer by an ESA Customer and the indemnification procedure set forth or required in the applicable ESA mandates any specific dates by which defenses must be assumed or other actions taken, or reserves consent or other rights to such ESA Customer, then Seller as the Indemnifying Party shall perform its obligations under this ARTICLE XIII in accordance with, at a minimum, such indemnification procedures in such ESA.
(iv)In determining the amount of any liability incurred by a Party under this Article XIII, if any of the Indemnifiable Losses are deemed to be federally taxable income, any calculation of Indemnifiable Losses shall be grossed up on an After-Tax Basis. 
Section bw.Limitation of Liability.
(i)Notwithstanding anything to the contrary in this Agreement, in no event shall a Party be liable to the other Party for an amount in excess of the Maximum Liability; provided, that the foregoing limitation shall not apply to liability arising out of (A) the fraud, willful misconduct, or gross negligence of a Party or that Party’s employees, agents, subcontractors (except that for the purposes of this provision, Seller and its employees, agents and subcontractors will not be deemed to be employees, agents or subcontractors of Buyer), (B)(i) a Third Party Claim, (ii) an Indemnifiable Loss asserted by [***] as a third-party beneficiary pursuant to this Agreement or (iii) pursuant to Section 12.7(2), any remaining payments of unpaid “Rent” (as such term is defined in the [***] ESA) in accordance with Section 6.1(f) and Schedule 3.4 of the [***] ESA, (C) any Indemnifiable Loss for which an Indemnified Party received insurance proceeds under Section 13.9, (D) Customer Equipment, (E) the Side Letter Agreement, (F) Seller Attributes, (G) liability for any ESA Warranty Reimbursement Payments that Seller has incurred pursuant to Section 5.8 or (H) any Tax Loss; and in any of the foregoing clauses (A) through (H), any amounts so received will not be included when calculating Seller’s Maximum Liability.

(ii)Except for liquidated damages specifically provided for in this Agreement, and amounts due in respect of any Third Party Claim, damages hereunder are limited to direct damages, and in no event shall a Party be liable to the other Party, and the Parties hereby waive claims for indirect, punitive, special or consequential damages or loss of profits; provided, however, the following shall not be characterized as indirect, punitive, special or consequential damages or loss of profits: (i) Tax Loss, (ii) lost profits that were the reasonably foreseeable consequence of an indemnifiable breach or inaccuracy at the time of such breach or inaccuracy, (iii) payments of the Repurchase Value or any Aggregate Purchase Price refunds or other payments required under any of Section 2.4(7), Section 2.6(4), Section 2.11, or Section 3.4(1)(xii)(B), (iv) Performance Guaranty payments, (v)  Indemnifiable Losses in respect of Seller Attributes, (vi) Indemnifiable Losses in respect of Customer Equipment, (vii) Indemnifiable Losses in respect of the Side Letter Agreement or (viii) liability for any ESA Warranty Reimbursement Payments that Seller has incurred pursuant to Section 5.8.
(iii)Subject to Section 3.2(3)(i), each Party hereby waives any claim under this ARTICLE XIII irrespective of the legal theory under which it is brought to the extent such claim is covered by the insurance of the claiming Party.
Section bx.Liquidated Damages; Estoppel
.  The Parties acknowledge and agree that it would be impracticable or impossible to determine with precision the amount of damages that would or may be incurred by Buyer as a result of (x) the Portfolio’s failure to satisfy any Capacity Warranty or (y) the existence of any of the circumstances described in this Agreement that gives rise to an obligation of Seller to pay to Buyer the Repurchase Value. It is therefore understood and agreed by the Parties that: (a) Buyer may be damaged by Seller’s failure to satisfy either Capacity Warranty or to avoid such circumstances from occurring; (b) it would be impractical or impossible to fix the actual damages to Buyer resulting therefrom; and (c) any cash payments in respect of a claim under the Performance Guaranty payable to Buyer under Section 5.7 or any Repurchase Value for failure to meet such obligations are in the nature of liquidated damages, and not a penalty, and are fair and reasonable estimate of compensation for the losses that Buyer may reasonably be anticipated to incur by any such failure. Seller hereby (i) waives any argument that its failure to comply with such obligations would not cause Buyer irreparable harm, (ii) agrees that it shall be estopped from arguing the invalidity, or otherwise questioning the reasonableness, of the liquidated damages provided for herein, and (iii) agrees that it will consent to the entry of judgment ordering payment of such liquidated damages in any court of competent jurisdiction.  Seller and Buyer each agree that Buyer shall be under no obligation to submit any dispute regarding the payment of any Repurchase Value when due to the dispute resolution mechanism set forth in Section 14.5, but may rather immediately pursue whatever rights it has available under this Agreement, at law or in equity in accordance with Section 14.6 herein.
Section by.Duplication of Recovery
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.  Any Indemnifiable Loss for which any Indemnified Party hereto is entitled to indemnification under this Article XIII shall be determined without duplication of recovery by reason of the state of facts giving rise to such Indemnifiable Loss constituting a breach of more than one representation, warranty, covenant or agreement; provided, however, that the right to indemnification shall not be limited to the extent that the amount of Indemnifiable Losses for such state of facts has not previously been recovered.
Section bz. Indemnification Obligations Net of Insurance Proceeds
.  The Parties intend that any liability subject to indemnification pursuant to this Article XIII will be net of insurance proceeds actually received, realized or recovered by an Indemnified Party. Accordingly, the Indemnifiable Loss which an Indemnifying Party is required to pay to an Indemnified Party will be reduced or offset by any insurance proceeds actually received, realized or recovered by or on behalf of the Indemnified Party in reduction of the related liability. 
Section ca.Survival
.  The Parties’ respective rights and obligations under this ARTICLE XIII shall survive any total or partial termination of this Agreement.
ARTICLE XIV.
MISCELLANEOUS PROVISIONS
Section cb.Amendment and Modification
.  This Agreement may be amended, modified or supplemented only by written agreement of Buyer and Seller.
Section cc.Waiver of Compliance; Consents
.  Except as otherwise provided in this Agreement, any failure of any of the Parties to comply with any obligation, covenant, agreement or condition herein may be waived by the Party entitled to the benefits thereof only by a written instrument signed by the Party granting such waiver, but any such waiver of such obligation, covenant, agreement or condition shall not operate as a waiver of, or estoppel with respect to, any subsequent failure to comply therewith.
Section cd.Notices
.  All notices, provisions of documentation, reports, certifications, or other documentation, and other communications hereunder shall be in writing and shall be deemed given when (A) uploaded to the Data Room (provided, that Buyer is the only Party hereunder that may receive notice by upload to the Data Room, and such notice shall not be deemed given until Buyer has been notified thereof by an email update or telephone conversation), (B) received, if delivered personally, by facsimile transmission with completed transmission acknowledgment or by electronic mail, or (C) delivered, if mailed by overnight delivery via a nationally recognized 

courier or registered or certified first class mail (return receipt requested), postage prepaid, to the recipient Party at its below address; provided, however, that the Parties may notify one another in writing of changes to the addresses and other recipient information below this paragraph in this Section 14.3, and such notices of changes of address and other recipient information shall be effective only upon receipt thereof:
To Seller: Bloom Energy Corporation
4353 North 1st Street, 4th Floor
San Jose, CA 95134
Attention:  [***]  
email: [***]
        and to: 

Bloom Energy Corporation
4353 N. First Street
San Jose, CA 95134
Attention:  General Counsel
email: [***]

To Buyer: c/o Duke Energy One  
Attention: [***]  
Deputy General Counsel  
550 S. Tryon Street  
Mail code: DEC45A  
Charlotte, NC 28202  
Tel: [***]  
email: [***]
        and to:

c/o Duke Energy One
Attention: [***]  
Strategic Development Initiatives  
400 S. Tryon Street  
Mailcode: ST2690  
Charlotte, NC 28202  
Tel: [***]  
email: [***]
        and to:[***]  
Hunton Andrews Kurth LLP  
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200 Park Avenue  
52nd Floor  
New York, NY 10166  
Tel: [***]  
email: [***]
Section ce.Assignment
. 
(i)This Agreement and all of the provisions hereof shall be binding upon and inure to the benefit of the Parties and their respective successors and permitted assigns (including by operation of law), but neither this Agreement nor any of the rights, interests or obligations hereunder, nor the equity interests that own the Buyer, directly and indirectly, shall be assigned, transferred or conveyed by any Party, without the prior written consent of the other Party (to be granted in the other Party’s sole discretion); provided, however that:
cxx.So long as Buyer does not make any assignment pursuant to this clause (i) to a Competitor of Seller, Buyer may make such an assignment without Seller’s consent to a successor to substantially all of Buyer’s business, whether in a merger, sale of stock or other equity interests or rights, sale of assets or other transaction, or in any sale of stock or other equity interests or rights in Buyer representing less than all or substantially all of Buyer’s business, including a direct or indirect (x) acquisition or disposition of tax equity investment interests or (y) collateral assignment for the benefit of a secured lender; provided, Buyer may make a collateral assignment for the benefit of a secured lender without consent to a Competitor of Seller, so long as such Person is not listed on Schedule 14.4(a); provided, further, if there is publicly announced a change in control, merger or sale of all or substantially all of the assets of Duke Energy Corporation to a Competitor of Seller, Seller shall have the right for thirty (30) calendar days after such announcement (after which date, Seller’s right shall automatically expire) to elect, immediately upon written notice, to purchase the Portfolio in full by performing the following actions: (A) promptly refund any payments of the Aggregate Purchase Price for Facilities for which none of the events in clauses (2) through (4) of the definition of Placed in Service have occurred, (B) pay to Buyer (or its successor or beneficiary) the sum of the aggregate Repurchase Value (using the method of determining the Repurchase Value specified in clause (a) or (b) of the definition thereof that can be determined more quickly, with a post-purchase true-up to follow promptly to ensure that the actual amount described in this clause (B) is paid) for all Facilities or the net present value of expected remaining project cash flows at a discount rate equivalent to the investor return in the Base Case Model and including ESA renewals (reflected in the Base Case Model, adjusted to reflect a ten (10) year renewal term for each ESA in the Portfolio), whichever is greater, plus all amounts necessary for any holder of tax equity interests to achieve the rate of return contemplated in the tax equity financing documentation as of the consummation of such acquisition by Seller; (C) procure written releases of Buyer from any and all liabilities, obligations and duties in respect of this Agreement, the other 

Transaction Documents, the Facility Contracts, the Governmental Approvals and the Portfolio; (D) assume all of Buyer’s liabilities under any Facility Contracts and Governmental Approvals; and (E) execute and deliver to Buyer a Bill of Sale and other assignment agreements and other documentation as may be necessary to effect such purchase and related transfer of title to all Facilities;
cxxi.Buyer may make such an assignment without Seller’s consent to an ESA Customer in connection with its exercise of a purchase option pursuant to an ESA; 
cxxii.Seller shall be entitled to subcontract any of its obligations under this Agreement without consent (provided, that Seller shall not subcontract to any Person other than a Service Provider pursuant to Section 14.14) or to assign its obligations under this Agreement to an Affiliate under common ownership with Seller, provided, further, that (X) such assignment or subcontracting shall not excuse Seller from the obligation to competently perform any subcontracted or assigned obligations or any of its other obligations under the Agreement and (Y) Seller shall not assign any of Seller’s obligations hereunder to an Affiliate unless Seller shall have executed and delivered to Buyer, on or prior to the effectiveness of such Assignment, a guarantee by Seller of all payment and performance obligations so assigned, to Buyer’s reasonable satisfaction;
cxxiii.nothing in this Agreement shall be deemed to require the consent of any Party with respect to any change in control, merger or sale of all or substantially all of the assets of Seller; and
cxxiv.nothing in this Agreement shall be deemed to require the consent of any Party with respect to any acquisition or disposition of any direct or indirect tax equity interests in Buyer.
Any purported assignment or delegation in violation of this Section 14.4(1) shall be null and void.  The Parties acknowledge and agree that any and all provisions applicable to a Facility Transfer are set forth in Section 3.6.
(ii)Upon the occurrence of any assignment or other disposition by Buyer permitted under Section 14.4(1), Buyer shall automatically be deemed to have obtained as of the date of such assignment or other disposition, without further action, any other consents that may be required from Seller pursuant to this Agreement or the other Transaction Documents, including those set forth in Sections 3.3(3) and Section 5.5(3) such that the assignee receives the benefit of all rights, benefits and interests of Buyer pursuant to this Agreement, including the Pre-COO Equipment Warranty (as applicable) and the Portfolio Warranty, and the Seller shall use commercially reasonable efforts to enter into an agreement with such assignee or transferee that is substantially similar to the Long-Term Agreement. 
(iii)In the event of an assignment or transaction prohibited by Section 14.4(1), the assigning Party shall notify the other Party of the identity of the proposed assignee or successor in writing. Such other Party shall have the right to consent to such assignment or transaction. Such other 
127

Party shall notify such assigning Party of its determination within ten (10) Business Days of receipt of notice from such assigning Party hereunder (and if such other Party does not so timely notify, then such other Party’s consent to such assignment or transaction shall be deemed provided). If such other Party notifies such assigning Party that such other Party is electing to withhold consent, then such assigning Party shall be prohibited from consummating the proposed transaction.
(iv)In connection with any assignment allowed under this Section 14.4, the Parties shall use their commercially reasonable efforts to execute and deliver such additional documents and instruments and to perform such additional acts as may be necessary or appropriate to effectuate, carry out and perform such assignment or transaction so as to maintain the economic and other benefits of the parties thereto, including the assignment of contracts and Governmental Approvals (or application in respect of Governmental Approvals) in respect of any applicable Facility.
(v)From time to time, either Party may, in its reasonable judgement, request an amendment to Schedule 14.4(a) or Schedule 14.4(b) to reflect that any Person thereon has become a “Competitor of Seller” or has ceased to be a “Competitor of Seller”. If the other Party, in its reasonable discretion and upon receipt of sufficient evidence thereof, consents, the Parties will effect such amendment promptly. 
Section cf.Dispute Resolution; Service of Process.
(i)Except as provided in Section 13.5 and Section 13.7, in the event a dispute, controversy or claim arises hereunder, including any claim whether in contract, tort (including negligence), strict product liability or otherwise, the aggrieved Party will promptly provide written notification of the dispute to the other Party within ten (10) days after such dispute arises. Thereafter, a meeting shall be held promptly between the Parties, attended by representatives of the Parties with decision-making authority regarding the dispute, to attempt in good faith to negotiate a resolution of the dispute. If the Parties are not successful in resolving a dispute within twenty-one (21) days of such meeting, then, subject to the limitations on remedies set forth in Section 4.10(2), Section 5.6, Section 5.7(6), Section 12.3 and Section 12.4 and ARTICLE XIII, either Party may pursue whatever rights it has available under this Agreement, at law or in equity in accordance with Section 14.6 herein.
(ii)In the event of any dispute arising out of or relating to this Agreement, each Party hereby consents to service of process made to the addressees set forth in Section 14.3 herein either by overnight delivery by a nationally recognized courier or by certified first class mail, return receipt requested, and hereby acknowledges that service by such means shall constitute valid and lawful service of process against the Party being served.
Section cg.Governing Law, Jurisdiction, Venue
.  THIS AGREEMENT SHALL BE GOVERNED BY AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING 

EFFECT TO ANY CONFLICTS OF LAW OR OTHER PRINCIPLES THEREOF THAT WOULD RESULT IN THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION (OTHER THAN SECTION 5-1401 OF THE NEW YORK GENERAL OBLIGATIONS LAW). THE PARTIES HEREBY IRREVOCABLY SUBMIT TO THE NON-EXCLUSIVE JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK AND OF THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK WITH RESPECT TO ANY DISPUTE ARISING OUT OF OR RELATING TO THIS AGREEMENT. EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN ANY ACTION, SUIT OR PROCEEDING RELATING TO ANY SUCH DISPUTE AND FOR ANY COUNTERCLAIM WITH RESPECT THERETO.
Section ch.Counterparts
.  This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Signatures delivered by facsimile, portable document format or other electronic means (including, without limitation, services such as DocuSign) will be considered original signatures.
Section ci.Interpretation
.  The article, section and schedule headings contained in this Agreement are solely for the purpose of reference, are not part of the agreement of the Parties and shall not in any way affect the meaning or interpretation of this Agreement.
Section cj.Entire Agreement; Ratification
.  
(i)The Transaction Documents and the exhibits, schedules, documents, certificates and instruments referred to therein, embody the entire agreement and understanding of the Parties in respect of the transactions contemplated by this Agreement. Each Party acknowledges that, in agreeing to enter into this Agreement, it has not relied on any representation, warranty, collateral contract or other assurance (except those in this Agreement, any Transaction Document or any other agreement entered into on the date of this Agreement between the Parties) made by or on behalf of any other Party at any time before the signature of this Agreement. Each Party waives all rights and remedies which, but for the preceding sentence, might otherwise be available to it in respect of any such representation, warranty, collateral contract or other assurance. Without limiting the foregoing, this Agreement supersedes, amends and restates the Original PUMA in its entirety and, upon and after the Agreement Date, the rights and obligations of the Parties with respect to the transactions contemplated in the Original PUMA shall be governed by this Agreement rather than the Original PUMA (and any references to the Original PUMA in any other document, instrument or agreement shall mean and be a reference to the Original PUMA, as amended and restated hereby); provided, however, that notwithstanding anything to the contrary in this Section 14.9 or elsewhere in this Agreement, neither of the Parties waives (and this Agreement will not discharge or constitute a novation of) any claims, rights, remedies or 
129

defenses (i) existing or in respect of events occurring (in each case, whether or not known) prior to the Agreement Date arising under or in connection with the Original PUMA or the Transaction Documents (as such term is defined in the Original PUMA) or (ii) arising under or in connection with any of Sections 5(e) or 5(f) of the First Amendment to Purchase, Use and Maintenance Agreement, dated as of November 22, 2019, between Seller and Buyer, or any of Sections 5(b), 6(q) or 6(t) of the Third Amendment to Purchase, Use and Maintenance Agreement, dated as of March 23, 2020, between Seller and Buyer (and such sections of such amendments are hereby acknowledged, ratified and confirmed in all respects).
(ii)Except as expressly amended hereby or otherwise provided herein, all of the terms and conditions of the Transaction Documents remain in full force and effect, and none of such terms and conditions are, or shall be construed as, otherwise amended or modified (except for the Original PUMA, which shall be subject to Section 14.9(1)).
Section ck.Construction of Agreement
.  The terms and provisions of this Agreement represent the results of negotiations between Buyer and Seller, each of which has been represented by counsel of its own choosing, and neither of which has acted under duress or compulsion, whether legal, economic or otherwise. Accordingly, the terms and provisions of this Agreement shall be interpreted and construed in accordance with their usual and customary meanings, and Buyer and Seller hereby waive the application in connection with the interpretation and construction of this Agreement of any rule of law to the effect that ambiguous or conflicting terms or provisions contained in this Agreement shall be interpreted or construed against the Party whose attorney prepared the executed draft or any earlier draft of this Agreement.
Section cl.Severability
.  If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any Party.
Section cm.Further Assurances
.  Each Party agrees to execute and deliver such additional documents and instruments and to perform such additional acts as may be necessary or appropriate to effectuate, carry out and perform all of the terms, provisions, and conditions of this Agreement and the transactions contemplated by this Agreement. 
Section cn.Independent Contractor; Subcontracting
.  Seller shall perform the Installation Services and the Facility Services and act at all times as an independent contractor, and Seller shall be solely responsible for the means, methods, 

techniques, sequences, and procedures employed for execution and completion of the Installation Services and the Facility Services. Nothing in this Agreement shall be interpreted or applied so as to make the relationship of any of the Parties that of partners, joint ventures or anything other than the relationship of customer and independent contractor. Notwithstanding anything to the contrary herein, including Seller’s obligation to perform on behalf of Buyer certain of Buyer’s obligations under ESAs and Site Licenses, neither Seller nor any of its employees, agents, subcontractors or representatives shall be considered an employee, agent, subcontractor or representative of, nor under the control of, Buyer under this Agreement. Seller shall at all times maintain supervision, direction and control over its employees, agents, subcontractors and representatives as is consistent with and necessary to preserve its independent contractor status, and Seller shall be responsible to Buyer for the acts and omissions of each such employee, agent, subcontractor and representative.
Section co.Service Providers
.  
(i)Subject to the other requirements in this Agreement concerning Seller’s subcontractors, agents and other representatives, Seller may contract with one or more unrelated third parties, who are reputable, appropriately qualified (including having an established record of successful performance in their trades), licensed, and financially responsible, to perform Installation Services and/or Facility Services throughout the Term (each, a “Service Provider”); provided, that (i) Seller shall be responsible for each Service Provider’s performance of any Installation Service and/or Facility Service as if it had been performed by Seller, (ii) contracting with a Service Provider shall not relieve Seller of any liability, obligation, or responsibility pursuant to this Agreement, and (iii) to the extent that any ESA Customer has rights or privileges pursuant to its applicable ESA to be notified of, review or consent (or withhold its consent) to the retention of any Service Provider, such Service Provider shall not be contracted with, retained or otherwise perform any Installation Services or Facility Services hereunder unless in accordance with such ESA Customer’s rights, to Buyer’s reasonable satisfaction.
(ii)All Service Providers shall obtain and maintain such insurance coverages (i) having such terms as set forth in Annex B as are applicable to part of the Installation Services or Facility Services, as the case may be, that such Service Providers are performing, (ii) in accordance with Prudent Electrical Practices and (iii) in accordance with any requirements in any applicable ESA or Site License.
(iii)No Service Provider is intended to be or will be deemed a third-party beneficiary of this Agreement. Nothing contained herein shall create any contractual relationship between any Service Provider and Buyer or obligate Buyer to pay or cause the payment of any amounts to any Service Provider, including any payment due to any third party. None of Seller’s employees, Service Providers or any such Service Provider’s employees will be or will be considered to be employees of Buyer. Seller shall be fully responsible to Buyer for the acts and omissions of each such employee or Service Provider. To the extent that any ESA Customer has the right to request 
131

removal of any Seller or Service Provider personnel under an ESA or Site License, Seller shall cooperate with Buyer in complying with the terms and conditions of such ESA or Site License including by, upon written notification by Buyer that the performance, conduct or behavior of any Person employed by Seller or one of its Service Providers is unacceptable to the applicable ESA Customer, promptly stopping such Person from performing any obligations hereunder and/or removing such Person from the applicable Site. Additionally, Buyer may bring to Seller’s attention any concerns regarding the performance, conduct or behavior of any Person employed by Seller or one of its Service Providers, which concerns Seller shall consider in good faith and thereafter take such action as Seller deems appropriate under the circumstances. Seller shall be fully responsible for the payment of all wages, salaries, benefits and other compensation to its employees and for payment of any Taxes due because of the Installation Services or Facility Services.
(iv)Seller shall not be permitted to subcontract or otherwise delegate its duties or obligations hereunder except to Service Providers pursuant to this Section 14.14.
(v)Notwithstanding anything to the contrary herein, to the extent any ESA requires Buyer or any of its subcontractors (including Seller or any Service Providers) to satisfy any bonding or reserve requirements, including the provision of riders, Seller shall satisfy such requirements on Buyer’s behalf and shall cause any Service Providers to do the same.
Section cp.Rights to Deliverables
.  Buyer agrees that Seller shall, except as expressly set forth herein, retain all rights, title and interest, including Intellectual Property rights, in any Training Materials provided to Buyer in connection with the services performed hereunder; provided, for the avoidance of doubt, that the Intellectual Property licenses granted to Buyer under this Agreement shall include corresponding license rights in the Intellectual Property rights contained within such Training Materials. “Training Materials” means any and all materials, documentation, notebooks, forms, diagrams, manuals and other written materials and tangible objects, describing how to operate and maintain the Facilities, including any corrections, improvements and enhancements which are delivered by Seller to Buyer, but excluding any Documentation or other data and reports delivered to Buyer in respect of any Facilities. Subject to Article X, Buyer shall have the right to make copies of all Training Materials. 
Section cq.Limitation on Export
.  Buyer agrees that it will not export, re-export, resell, ship or divert directly or indirectly any Facility or any part thereof in any form or technical data or Software furnished hereunder to any country prohibited by the United States Government or any other Governmental Authority, or for which an export license or other Governmental Approval is required, without first obtaining such license or approval.
Section cr.Time of Essence

.  Time is of the essence with respect to all matters contained in this Agreement
Section cs.No Rights in Third Parties
i..  
(i)Except as otherwise specified in Section 14.18(2) below and otherwise herein, (i) nothing in this Agreement nor any action taken hereunder shall be construed to create any duty, liability or standard of care to any Person that is not a Party, (ii) no Person that is not a Party shall have any rights or interest, direct or indirect, in this Agreement or the services to be provided hereunder and (iii) this Agreement is intended solely for the benefit of the Parties, and the Parties expressly disclaim any intent to create any rights in any third party as a third-party beneficiary to this Agreement or the services to be provided hereunder (except that Buyer Indemnitees and Seller Indemnitees are made express third party beneficiaries with respect to applicable indemnities hereunder).
(ii)Pursuant to each [***] ESA, [***] is a third-party beneficiary to Buyer’s indemnification rights in this Agreement and may exercise such rights, subject to the applicable limits in connection therewith. For the avoidance of doubt, any claims [***] makes under this Agreement as a third-party beneficiary shall be otherwise subject to the terms and conditions of the applicable [***] ESA, including Section 13 thereof. Any claim by [***] under an indemnity in this Agreement and in connection therewith, any claim by Buyer under Section 5.8 with respect to a claim by [***] under a [***] ESA is subject to Section 13.8. Seller shall correspond and work with [***] to ensure satisfaction of the conditions set forth in Section 2.8(k) of each [***] ESA, and if at any time [***] asserts or claims that such condition is not satisfied or waived, Seller shall promptly notify Buyer and use its commercially reasonable efforts to amend, modify or supplement this Agreement (subject to Section 14.1) so that such conditions in such [***] ESA are satisfied or waived.
Section ct.Non-Recourse
.  No Representative or Affiliate of either of the Parties, nor any of their officers, directors, employees, agents, consultants, owners, shareholders, members or partners, shall have any personal liability to any Party under this Agreement or the other Transaction Documents as a result of the terms of this Agreement or the other Transaction Documents; provided, that this Section 14.19 shall not limit any claims by Seller against Buyer Parent pursuant to the MIPA, by Buyer (on behalf of Buyer Parent) against Seller pursuant to the MIPA or by Buyer against any ESA Customer pursuant to the ESAs or Site Licenses; provided, further, that Seller and Buyer shall not be considered to be or have been Affiliates of one another for purposes of this Section 14.19.  Seller shall not initiate or pursue any claims, including in the nature of indemnity, against any ESA Customer pursuant to the terms of any ESA.
[Remainder of page intentionally left blank]

133

IN WITNESS WHEREOF, Buyer and Seller have caused this Amended and Restated Purchase, Use and Maintenance Agreement to be signed by their respective duly authorized officers as of the Agreement Date.
						
	BUYER:	SELLER:
	2018 ESA PROJECT COMPANY, LLC
a Delaware limited liability company
	BLOOM ENERGY CORPORATION
a Delaware corporation

		
	By: /s/ Melisa Johns________________            
	By:  /s/ Deon Boles________________        

	Name: Melisa Johns	Name: Deon Boles
	Title: Vice President	Title: VP, Corporate Controller

Execution Version

 
ANNEXES

Annex A
Minimum Power Product and Minimum kWh Example Calculations

Performance Warranty Example Calculations
Assumptions
1.Aggregate System Capacity of Facilities in Portfolio: 15,000 kW
• Hours in applicable Calendar Quarter: (90 days) * (24 hours/day) = 2,160 hours
• Hours subject to Exclusion under Section 5.6:  100
Calculations
• Minimum Power Product = (15,000kW) * ([***]%) = [***]kW
• Minimum kWh = ([***]kW) * (2,160  - 100) =  [***] kWh

Annex A - 1

Annex B
Insurance

1.Insurance.  At all times during the Term, without cost to Buyer, Seller shall maintain in force and effect the following insurance, which insurance shall not be subject to cancellation, termination or other material adverse changes unless the insurer delivers to Buyer written notice of the cancellation, termination or change at least thirty (30) days in advance of the effective date of the cancellation, termination or material adverse change or if notice from the insurer to Buyer of material adverse change is not available on commercially reasonable terms then Seller shall provide Buyer with such notice as soon as reasonably possible after becoming aware of such change; provided, that following the Commencement of Operations Date with respect to a Facility, the insurance required hereunder shall only pertain to Seller’s Facility Services (including, for clarity, any removal, restoration or reinstallation services provided by Seller), except that this proviso shall not apply in respect of any [***] insurance policies required hereunder or under any ESA or Site License, all of which such policies shall be maintained by Seller at Seller’s cost during the entire Term; and provided, further, that the insurance required hereunder shall pertain to the Installation Services for any Delayed Ancillary Equipment until the Commencement of Operations Date of such Delayed Ancillary Equipment:
(a)Worker’s Compensation Insurance as required by the laws of the state in which Seller’s employees are performing EPC Services or Facility Services;
(b)Employer’s liability insurance with limits at policy inception not less than One Million Dollars ($1,000,000.00) per occurrence;
(c)Commercial General Liability Insurance, including bodily injury and property damage liability (arising from premises, operations, contractual liability endorsements, products liability, or completed operations) with limits not less than One Million Dollars ($1,000,000.00) per occurrence and Two Million Dollars ($2,000,000.00) annual aggregate limit at policy inception;
(d)If there is exposure, automobile liability insurance in accordance with prudent industry practice with a limit of not less than One Million Dollars ($1,000,000.00), combined single limit per occurrence;
(e)Umbrella liability insurance acting in excess of underlying employer’s liability, commercial general liability and automobile liability policies with limits not less than Fifteen Million Dollars ($15,000,000.00) per occurrence, except that any subcontractors shall be required to maintain such insurance with limits of not less than Three Million Dollars ($3,000,000.00);
(f)Professional errors and omission insurance with a limit of not less than One Million Dollars ($1,000,000.00) per occurrence;
Annex B - 1

(g)Environmental/pollution liability insurance with a limit of not less than One Million Dollars ($1,000,000.00) per claim;
(h)Builder’s Risk/Installation Coverage for each Facility, with replacement costs and a delay in startup component (for avoidance of doubt, this requirement is only applicable, with respect to each Facility, until such Facility’s Commencement of Operations Date (and until, if applicable, the Commencement of Operations Date for any Delayed Ancillary Equipment)); and
(i)Marine Cargo - Transit coverage (including air, land and ocean cargo, as applicable) on an “all-risk” basis and a “warehouse to warehouse” basis with a per occurrence limit equal to not less than 110% of the value including transit and insurance of such shipment involving the Facility at all times for which the Seller bears or has accepted risk of loss or has responsibility for providing insurance.  Coverage shall include loading, unloading and temporary storage (as applicable).  Coverage shall be maintained in accordance with prudent industry practice in all regards with per occurrence deductibles of not more than $50,000 for physical damage and other terms and conditions acceptable to the Buyer.  For avoidance of doubt, (i) this requirement is only applicable during installation and is not required to be maintained with respect to any Facility after such Facility’s Commencement of Operations Date (except, with respect to any Delayed Ancillary Equipment, until the Commencement of Operations Date for such Delayed Ancillary Equipment), and (ii) this requirement shall not apply to any subcontractor except those engaged to transport materials owned by Seller during such transit.
2.Seller shall cause Buyer, the Investor and any of its other investors and/or financing partners to be included as additional insured to all insurance policies required in accordance with the provisions of this Agreement except for worker’s compensation.  The required insurance must be written as a primary policy not contributing to or in excess of any policies carried by Buyer, and each must contain a waiver of subrogation, in form and substance reasonably satisfactory to Buyer, in favor of Buyer, the Investor and any of its other investors and/or financing partners.
3.The insurances contemplated in this clause are primary.  The Parties acknowledge that, if a claim is made under any of the insurances contemplated in this Agreement, it is their intention that the insurer cannot require the Party first to exhaust indemnities referred to in this Agreement before the insurer’s obligation to perform is mature, subject to the insurer’s later pursuing subrogation, in which event any recovery will be credited by such insurer pro tanto in favor of the policyholder.  The general liability and umbrella liability insurances required by this Agreement shall provide blanket contractual coverage to the full policy limit.  Where applicable, each of these insurances will:
(a)be effected with an insurer reasonably acceptable to Buyer;
(b)contain a waiver of subrogation in favor of Buyer, the tax equity investor indirectly owning tax equity membership interests in Buyer and any of Buyer’s other investors and/or financing partners;

(c)contain deductibles in accordance with prudent industry practice and approved by Buyer acting reasonably; and
(d)include a provision that such insurance is primary insurance with respect to the interests of Buyer and Seller and that any other insurance maintained by Buyer, the Investor or any of its other investors and/or financing partners is excess and not contributory insurance with the insurances required under this Agreement.
Seller shall provide Buyer with evidence of compliance with these insurance requirements when requested by Buyer from time to time on a reasonable basis.

Annex B - 3

EXHIBITS

Exhibit A
Form of Purchase Order
[***]

Exhibit B
Form of Tranche Notice
To:  2018 ESA PROJECT COMPANY, LLC (Buyer)
This Tranche Notice, dated ________, 201_, is given pursuant to Section 2.2 of the Amended and Restated Purchase, Use and Maintenance Agreement, by and between Bloom Energy Corporation, a Delaware corporation (the “Seller”) and 2018 ESA Project Company, LLC, a Delaware limited liability company (the “Buyer”), dated as of [___________] (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”).  Terms defined in the PUMA have the same meaning where used in this Tranche Notice.
Seller hereby notifies Buyer that Seller reasonably expects that Facilities with aggregate System Capacity of __kW will be included in a Tranche that Seller reasonably expects will satisfy the applicable Deposit Milestones in such the [1st / 2nd / 3rd / 4th] Calendar Quarter of 201_.
Seller hereby certifies that, as of the date of this Tranche Notice, no Seller Default has occurred and is continuing under the PUMA.
Attached to this Tranche Notice is a draft Purchase Order.
This Tranche Notice may be relied upon by Buyer.
Signed for and on behalf of BLOOM ENERGY CORPORATION
			
	
	By:  __________________________

	Name:  __________________________

	Title:  __________________________

Exhibit B - 1

Exhibit C
Form of Project Information Spreadsheet1
																																																									
	Funding Date		Deposit $/kW	$  [***]															
	[DD/MM/YYY]		Delivery $/kW	$  [***]	Plus Purchase Price Adders														
			COO $/kW	$[___]	Remainder of the Aggregate Purchase Price + Taxes														
			Purchase Price Adder	$[__]															
																			

*
																																																																																																									
																																			
	Milestone	Site ID	Address	City		State	Facility
Size kW			Adder		Deposit	Shipment		COO
(w/ Tax)	%
 Sales Tax			Deposit Payment		Delivery Payment			Forecast/Actual
 Delivery Date	Forecast/Actual
 PiS			Deposit
Pay Date		Delivery Pay Date		COO
Pay Date			
	Deposit						[__] kW			-		$                           -												[DD/MM/YYYY]	[DD/MM/YYYY]			[DD/MM/YYYY]							
	Delivery						[__] kW			-			$                           -						$                           -					[DD/MM/YYYY]	[DD/MM/YYYY]			[DD/MM/YYYY]							
	COO						[__] kW			-					$                           -	[_] %		$                 -	$                           -		$                           -			[DD/MM/YYYY]	[DD/MM/YYYY]			[DD/MM/YYYY]		[DD/MM/YYYY]		[DD/MM/YYYY]			
																																			
																																			
												$                           -	$                           -		$                           -																				
																																			
	Total Payment due Invoice Due Date				$                 -																														

1 Note: To include any information required by PUMA § 2.3(5)(ii)(G).
Exhibit C - 1

Exhibit D
Form of Certificate of Deposit Milestone Completion

To:  2018 ESA PROJECT COMPANY, LLC (Buyer)
This Certificate of Deposit Milestone Completion, dated ________, 201_, (this “Certificate”) is given pursuant to Section 2.4(1)(i) of the Amended and Restated Purchase, Use and Maintenance Agreement, by and between Bloom Energy Corporation, a Delaware corporation (the “Seller”) and 2018 ESA Project Company, LLC, a Delaware limited liability company (the “Buyer”), dated as of [___________] (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”).  Terms defined in the PUMA have the same meaning where used in this Certificate.
This Certificate is provided in respect of a Tranche with aggregate System capacity of ______ kW (the “Subject Tranche”).
Seller hereby certifies that in respect of the Subject Tranche:
i.Seller has received (on behalf of Buyer or itself, as applicable) approval of Site plans and single-line drawings from one or more ESA Customers for Facilities with aggregate System Capacity equal to or greater than the aggregate System Capacity of Facilities included in such Tranche (and all other Tranches for which Seller previously delivered a Certificate of Deposit Milestone Completion to Buyer); provided, that if any Third Party Consents (including the issuance of notices to proceed, if applicable) are required from an ESA Customer or a Site License grantor (or either of their Affiliates), or if the satisfaction of any other conditions precedent is required (including the construction of separate buildings and other facilities), as a condition to Buyer or its subcontractors (including Seller) commencing installation pursuant to the applicable ESA or Site License, then such Third Party Consents have been received or achieved, and such other conditions precedent have been satisfied, as applicable;
ii.Seller has received all materials required for the commencement of fabrication of Bloom Systems with aggregate System Capacity equal to or greater than the aggregate System Capacity of Facilities included in such Tranche, and all materials required as of such time to allow for completion of such fabrication in order to achieve Commencement of Operations of such Facilities (and all Facilities included in all other Tranches for which Seller previously delivered a Certificate of Deposit Milestone Completion to Buyer) within ninety (90) days; and;
iii.Seller has performed and successfully completed all obligations required to be completed on or before such date under the Transaction Documents and the applicable Facility Contracts (including, for the avoidance of doubt, obtaining all Permits if required as a condition to the Deposit Milestone under any Facility Contract); and
iv.Each of the representations and warranties of Seller in Section 8.1 of the PUMA (excluding Sections 8.1(5)(ii),  (7)(ii), (10)(ii), (12), 10(v), 10(xii), (12), (14) (except for 
Exhibit D - 1

14(i)) and (23)(ii)) is true and correct in all respects as of the date of this Seller’s Deposit Milestone Certificate.
Signed for and on behalf of BLOOM ENERGY CORPORATION
			
	

.................................................................................

	By:  ........................................................................

	Name:..........................................................................

	Title:............................................................................

Exhibit E
Form of Certificate of Delivery Milestone Completion

To:  2018 ESA PROJECT COMPANY, LLC (Buyer)
This Certificate of Delivery Milestone Completion, dated ________, 201_, (the “Certificate”) is given pursuant to Section 2.4(1)(ii) of the Amended and Restated  Purchase, Use and Maintenance Agreement, by and between Bloom Energy Corporation, a Delaware corporation (the “Seller”) and 2018 ESA Project Company, LLC, a Delaware limited liability company (the “Buyer”), dated as of [___________] (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”).  Terms defined in the PUMA have the same meaning where used in this Certificate.
This Certificate is provided in respect of the Facility or Facilities, as the case may be, set forth on Attachment A to this Certificate, with aggregate System Capacity of ______ kW (each, a “Subject Facility”).  Seller hereby certifies that in respect of each Subject Facility, on or before December 11, 2020:
i.the Bloom Systems and all Ancillary Equipment (if any) comprising such Facility have been Delivered;
ii.BOF for such Bloom Systems necessary to place such Bloom Systems on the concrete pad for such Bloom Systems has been Delivered and installed;
iii.Such Bloom Systems have been placed upon such concrete pad and are available for installation, startup, and commissioning;
iv.Seller has obtained, on behalf of itself, Buyer or the applicable ESA Customer (as applicable), in respect of such specific Facility, any approvals, drawings and notices described in clause (a) of the definition of “Deposit Milestone” that (i) are required to be obtained before Delivery pursuant to such ESA or such Site License and (ii) were not obtained in connection with the Deposit Milestone for such Facility’s Tranche;
v.Seller has performed and successfully completed (i) all obligations required to be completed on or before such date under this Agreement and the applicable Facility Contracts, Permits and Legal Requirements and (ii) at its sole cost and expense all upgrades required to be performed in respect of the applicable Facility pursuant to an Interconnection Agreement (whether or not executed) or as otherwise required by a Transmitting Utility;
vi.No portion of such Facility has been Placed in Service;
vii.Seller has received each of the Delivery Milestone Deliverables set forth on Schedule 2.5 of the PUMA; and
Exhibit E - 1

viii.Each of the representations and warranties of Seller in Section 8.1 (excluding Sections 8.1(5)(ii) and 7(ii)) of the PUMA is true and correct in all respects as of the date of this Certificate of Delivery Milestone Completion.
Signed for and on behalf of BLOOM ENERGY CORPORATION
			
	

.................................................................................

	By:  ........................................................................

	Name:..........................................................................

	Title:............................................................................

ATTACHMENT A TO CERTIFICATE OF DELIVERY MILESTONE COMPLETION

									
	ESA Customer	Location of Facility	Aggregate System Capacity (kW-AC)
			

Exhibit E - 3

Exhibit F
Form of Certificate of COO

To:  2018 ESA PROJECT COMPANY, LLC (Buyer)
This Certificate of COO, dated as of [_____] (this “Certificate”) is given pursuant to Section 2.4(1)(iii) of the Amended and Restated  Purchase, Use and Maintenance Agreement, by and between Bloom Energy Corporation, a Delaware corporation (the “Seller”) and 2018 ESA Project Company, LLC, a Delaware limited liability company (the “Buyer”), dated as of [___________] (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”).  Terms defined in the PUMA have the same meaning where used in this Certificate.
This Certificate is provided in respect of the Facility or Facilities, as the case may be, set forth on Attachment A to this Certificate.  Seller hereby certifies that in respect of each Facility [(except with respect to any Delayed Ancillary Equipment)]2:
i.all Bloom Systems, Ancillary Equipment and related BOF comprising such Facility has been Delivered;
ii.such Facility has been installed at the location specified in the applicable Site License and Placed in Service;
iii.(i) such Facility (A) has been attached to the load at the applicable Site, (B) is producing power at one hundred percent (100%) of the aggregate System Capacity of all Bloom Systems included in such Facility, and (C) is operating at or above the Minimum Efficiency Level, and (ii) Seller has provided Buyer with evidence reasonably satisfactory to Buyer of each of the foregoing;
iv.All Pre-COO Equipment Warranty Claims raised by Buyer in respect of such Facility have been addressed by Seller in accordance with Section 3.3(2) of the PUMA;
v.Seller has (i) performed and successfully completed all necessary acts under the applicable Interconnection Agreement (including performance testing) and (ii) obtained PTO from the applicable Person;
vi.Seller has performed and successfully completed all obligations required to be completed on or before such date under the Transaction Documents and the applicable ESA, Site License, Incentive Agreements and any other applicable contract or agreement by which Buyer is bound or to which such Facility or the components thereof are subject (including, for the avoidance of doubt, obtaining all Permits, PTO and valid, binding and enforceable Interconnection Agreements and successfully completing all items that would, if not so completed, materially impact the operational capability, durability or reliability of the Facility);

2 Note to Form: Do not include for certificate delivered with respect to Delayed Ancillary Equipment.
Exhibit F - 1

vii.Seller has received each of the COO Milestone Deliverables set forth on Schedule 2.5 of the PUMA; and
viii.Excluding Sections 8.1(5)(ii), (7)(i), (10)(v) and (ix) and (12)(i), each of the representations and warranties of Seller in Section 8.1 of PUMA is true and correct in all respects as of the date of this Certificate of COO.

Signed for and on behalf of BLOOM ENERGY CORPORATION
			
	

.................................................................................

	By:  ........................................................................

	Name:..........................................................................

	Title:............................................................................

ATTACHMENT A TO CERTIFICATE OF COO
									
	ESA Customer	Location of Facility	Aggregate System Capacity (kW-AC)
			

Exhibit F - 3

Exhibit G
Form of Bill of Sale

BILL OF SALE
This Bill of Sale, dated as of __________ __, 201_ is made by BLOOM ENERGY CORPORATION, a Delaware corporation (“Seller”), to 2018 ESA PROJECT COMPANY, LLC, a Delaware limited liability company (“Buyer”), and is delivered pursuant to the Amended and Restated Purchase, Use and Maintenance Agreement, by and between Buyer and Seller, dated as of [___________] (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”), in connection with the transfer of the assets described on Exhibit A attached hereto (collectively, the “Purchased Facility”).
Seller hereby assigns, conveys, sells, delivers, sets over and transfers to Buyer, for the consideration, and on the terms and conditions, set forth in the PUMA, all of Seller’s rights, title and interest in, under and to the Purchased Facility, and Buyer hereby accepts such assignment.
This Bill of Sale shall inure to the benefit of and be binding upon the parties hereto and their respective successors and assigns.
This Bill of Sale shall be governed by, and construed in accordance with, the laws of the State of New York (without giving effect to any conflicts of law or other principles thereof that would result in the application of the laws of another jurisdiction, other than Section 5-1401 of the New York General Obligations Law).
[Signature Page Follows]

[Note to Draft: To be revised as appropriate when used in connection with return of assets to Bloom]

Exhibit G - 1

IN WITNESS WHEREOF, the parties hereto have caused this Bill of Sale to be signed by their respective duly authorized officers as of the date first written above.
SELLER:
BLOOM ENERGY CORPORATION

By:  __________________________
Name:
Title:

BUYER:

2018 ESA PROJECT COMPANY, LLC

By:  __________________________
Name:
Title:

Exhibit A to the Bill of Sale
									
	Customer	Site	System Size
			

Exhibit G - 3

Exhibit H
Form of Payment Notice

To:  2018 ESA PROJECT COMPANY, LLC (Buyer)
This Payment Notice, dated ________, 201_, is given pursuant to Section 2.4(3) of the Amended  and Restated Purchase, Use and Maintenance Agreement, by and between Bloom Energy Corporation, a Delaware corporation (the “Seller”) and 2018 ESA Project Company, LLC, a Delaware limited liability company (the “Buyer”), dated as of [___________] (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”).  Terms defined in the PUMA have the same meaning where used in this Payment Notice.
Seller hereby notifies Buyer that, in connection with the Invoice Due Date or Additional Invoice Due Date occurring on ___________, 20__, Buyer shall be obligated to make Purchase Price payments to Seller in the aggregate amount of $__________.
The portions of the Aggregate Purchase Price to be paid by Buyer on the above-mentioned Invoice Due Date is comprised of the following amounts:
1) [$______ of Purchase Price payments in connection with achievement of the Deposit Milestone for a Tranche composed of Facilities with aggregate System Capacity __kW, which amount equals $[***]/kW of the aggregate Purchase Price for the Facilities included in such Tranche.]
2) $______ of Purchase Price payments in connection with achievement of the Delivery Milestone for Facilities including Bloom Systems with aggregate System Capacity of __kW, which amount represents $[***]/kW of the Purchase Price for those Facilities that have achieved such Milestone and were included in a Tranche for which Buyer has previously made a Purchase Price payment, plus [***] percent [***]% of the Purchase Price Adder(s) applicable to such Facilities (excluding the Purchase Price Adder for any Delayed Ancillary Equipment), if any.
3) $______ of Purchase Price payments in connection with the achievement of the Delivery Milestone for Facilities including Bloom Systems with aggregate System Capacity of __kW, which amount represents $[***]/kW of the Purchase Price for those Facilities that have achieved such Milestone and were not included in a Tranche for which Buyer has previously made a Purchase Price payment, plus [***] percent [***]% of the Purchase Price Adder(s) applicable to such Facilities (excluding the Purchase Price Adder for any Delayed Ancillary Equipment), if any.
4) $______ of Aggregate Purchase Price payments in connection with the Commencement of Operations of Facilities including Bloom Systems with aggregate 
Exhibit H - 1

System Capacity of ___kW, which amount represents the remainder of the Purchase Price for such Facilities not previously paid by Buyer, plus one hundred percent (100%) of the Taxes to be paid by Buyer pursuant to Section 2.3(7). for such Facilities (except for Taxes with respect to any Delayed Ancillary Equipment).
Included with this Payment Notice are the applicable Payment Certificates evidencing the achievement of all applicable Milestones achieved by the Tranche and/or Facilities referenced above, together with all invoices and accompanying materials and lien waivers in respect of such Tranche and/or Facilities, in each case pursuant to Section 2.3(5) or Section 2.3(6), as applicable.
Seller hereby certifies that each of the representations and warranties of Seller in the PUMA is true and correct in all respects as of the date of this Payment Notice.
This Payment Notice may be relied upon by Buyer.
Signed for and on behalf of BLOOM ENERGY CORPORATION
			
	
	By:  __________________________

	Name:  __________________________

	Title:  __________________________

Exhibit I
Form of Event Log
Exhibit I - 1

						
	Reporting Criteria and Event Description	 
	Reporting Criteria:	 
	(i) Site with Capacity Factor < [***]% for [***]
(ii) Site with Capacity Factor drops > [***]% within a [***]  
(iii) Any site with Capacity Factor < [***]% in a [***]  
(iv) Significant part replacement
	
	Event Type	Description
	Part Replacements	Servicing and replacement of components within the system.  This includes blowers, power electronics (inverters, DC-DC converters), valves, etc.  Part replacements usually affect one fuel cell module while the remainder of the site maintains power output.  Usually the component can be repaired in the field, although a few failure modes exist that require the fuel cell module to be repaired at our factory.
	Remote Maintenance	Major remote adjustments made by RMCC to troubleshoot issues and improve overall performance:
- Ramp the systems down until part replacement
- Adjust control parameters to optimize output and extend fuel cell life
	Gas Quality (Fuel/Water Related Issues)	Unexpected gas composition detected from the system and requires early filter replacements.  Typically there is no impact to power output or efficiency, but systems will occasionally be ramped down to protect the fuel cell modules until the filters are replaced.
	Grid Quality/ Power Outage	Voltage or frequency is detected outside of the IEEE spec and requires BE to disconnect the grid parallel connection.  UPM critical loads are unaffected.  This can be an intermittent “flicker” which our systems detect and automatically reconnect, or an extended outage that requires the utility provider to restore power to the customer.
	Customer Maintenance	Customer test (e.g., backup generator testing), customer planned or unplanned work, utility driven customer-owned decision or customer requested power reduction.
	Site Electrical Issue	Breaker trips and signal oscillations.
	Other	Unique situations such as site access delays, communication issues, cleaning system doors.

*
																					
		System(s)	Date	Event(s)	Comments:		
		Site A 
	4/11/2019	Remote Maintenance			
		Site B	4/28/2019	Grid Quality/ Power Outage			
		Site A 
	5/13/2019	Customer Maintenance			
		Site C	5/31/2019	Part Replacements			
		Site A 
	6/1/2019	Gas Quality (Fuel/Water Related Issues)			
		Site D	6/18/2019	Site Electrical Issue			
		Site E	6/30/2019	Other			

Exhibit I - 3

Exhibit J
Form of an IE Certificate

[Letterhead of Independent Engineer, [***]]
[Date]
To: [Clients – TE Investor & Lenders]
Re: [Name of Portfolio] (“2018 ESA Project Company LLC”)

Ladies and Gentlemen:

This Independent Engineer’s Certificate (“Certificate”) is delivered to you by [***] (the “Independent Engineer”) pursuant to the Master Purchase Use and Maintenance Agreement (“PUMA”).  All capitalized terms used herein shall have the respective meanings specified in the PUMA dated (TBD), as applicable, unless otherwise defined herein or unless the context requires otherwise.

The Independent Engineer’s review and observations were performed in accordance with generally accepted technical consulting practice and included such general investigations, observations and review as the Independent Engineer, in its professional opinion, deemed necessary under the circumstances within the scope of its services as Independent Engineer pursuant to and in accordance with the standard of care in that certain [Professional Services Agreement], dated as of  [TBD]  by and between [Seller] and Independent Engineer ([“PSA”]).  The Independent Engineer makes no representations or warranties to [Bloom Energy] regarding compliance with any other standard except as expressly set forth in the [PSA] or herein.

The statements contained herein are made on the understanding and assumption that the information provided to the Independent Engineer as to the matters covered by this Certificate is true, correct, and complete, provided, however, that the Independent Engineer is not aware of any inaccuracies, misstatements or errors in the information provided.  We have visited the Facilities as indicated in the Exhibit A to verify achievement of Commencement of Operations Milestone (COO Milestone).  Where the Facility was not visited, we have relied upon photographic and other evidence, including testing documentation and discussions with [Bloom Energy], provided by others, to confirm status of those Facilities.

Based upon the foregoing review and review of the information provided to us, as of the date of this Certificate, the undersigned additionally hereby certifies, to the best of our knowledge, the Facilities indicated in the Exhibit A attached have reached Commencement of Operations (“COO”), as follows:

1.Each Facility has achieved the Commencement of Operations Milestones per the PUMA.
2.As of the COO date shown in Exhibit A, each Facility has achieved initial synchronization to the grid, daily operation has begun, is producing power at one hundred percent (100%) of the aggregate System Capacity of all Bloom Systems included in such 
Exhibit J - 1

Facility, is operating at or above the Minimum Efficiency Level, and the Facilities have been constructed in accordance with the Applicable ESA and the Site License, if applicable, and in accordance with prudent industry practices.
3.Each Facility has obtained the required permits and approvals issued by the relevant Governmental Authority as defined by the list provided by Bloom Energy for each Facility and attached hereto as Exhibit B, and Bloom Energy confirms to the best of their knowledge, the required permits and approvals are in full force and effect (other than permits which, by their nature, need not to be obtained until a future date but which are reasonably expected to be obtained in a timely manner).
4.For each Facility, Permission to Operate (PTO) has been received from the applicable Transmitting Utility, interconnection and parallel operation with the applicable Transmitting Utility distribution system has occurred.
5.The Facility Meter has recorded electric energy received by the ESA Customer from each Facility, and daily operation of each Facility has begun.
6.To the best of our knowledge, no unrepaired defect exists with respect to any Facility material to the construction, operation, or expected performance (inclusive of the generation of electricity by any Facility), including physical damage as a result of transportation, installation errors or accidents, vandalism or other causes.

This Certificate is solely for the information of, and assistance to, the [signatories to the PSA and/or Use of Work Products Agreement] in conducting and documenting its investigation of the matters in connection with the Facility and is not to be used, circulated, quoted, or otherwise referred to for any other purpose.  The Independent Engineer disclaims any obligation to update this Certificate.  This Certificate is not intended to, and may not, be relied upon by any party other than the [signatories to the PSA and/or Use of Work Products Agreement].

Exhibit J - 3

IN WITNESS WHEREOF, the undersigned, a duly qualified representative of the Independent Engineer, has caused this Independent Engineer’s Certificate to be duly executed as of the date first above written.

By:      

Name:       

Title:       

Exhibit A to the IE Certification
List of Facilities
																		
	Facility ID	Customer	Address	Commencement of Operations Date	IE Site Visit Date
(if applicable)
	Date of Addition of Facility to this Certificate
						
						
						
						

Exhibit J - 5

Exhibit B to the IE Certificate
List of Permits

Exhibit J - 7

Exhibit K
Form of Standby Facility Assignment Agreement
[See attached]

Exhibit K - 1

Exhibit L
Form of Late Facility Payments Calculation
See filename “[***].
Note: Sample calculation is provided for illustrative purposes only and shall be subject in all respects to Section 2.11(8) of this Agreement.

Exhibit L - 1

Exhibit M
Form of Liquidity Certificate
To:  2018 ESA PROJECT COMPANY, LLC (Buyer)
This Certification, dated _____, __, 2020, is given pursuant to Section 2.11(8) of the Amended and Restated  Purchase, Use and Maintenance Agreement, by and between Bloom Energy Corporation, a Delaware corporation (the “Seller”) and 2018 ESA Project Company, LLC, a Delaware limited liability company (the “Buyer”), dated as of June 30, 2020 (as amended, amended and restated, supplemented or otherwise modified from time to time, the “PUMA”).  Terms defined in the PUMA have the same meaning where used in this Certification.  
I, Greg Cameron, solely in my capacity as Executive Vice President and Chief Financial Officers of the Seller, hereby certifies that as of [Insert Date] (“Monthly Date”)3:
						
	[***]	
		

Signed for and on behalf of:
BLOOM ENERGY CORPORATION
			
	By:  __________________________
	Name:  Greg Cameron
	Title:  EVP and CFO

3 Insert the last day of the month.

SCHEDULES

Schedule 1
Master Project Schedule
See filename “[***]” as uploaded to the Data Room and last modified June 27, 2020, at 6:27PM Eastern time.

Schedule 1.1

Schedule 1.1
Tax Equity Items
Satisfactory evidence of interconnection rights for Intel Sites located within Silicon Valley Power territory.
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]

[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]

[***]
[***]
[***]
[***]
[***]

[***]
[***]

Schedule 2.1
Example Calculation of the Repurchase Value
Schedule 2.1

																		
	Repurchase Value - Sample Calculation					
	ESA Term	15				
	Renewal Period	10				
	Straight-line Term Calculation	ESA Term+ Renewal Term- 1				
	Straight-Line Term	[***]				
	Annual Decease %	[***]%				
	Initial Repurchase Value (Example Only)	$ 1,000.00				
						
	Year		Annual Decrease %	Repurchase Value For Year (%)	Repurchase Value For Year ($)	
	1	[***]%	[***]%	$[***]		
	2	[***]%	[***]%	$[***]		
	3	[***]%	[***]%	$[***]		
	4	[***]%	[***]%	$[***]		
	5	[***]%	[***]%	$[***]		
	6	[***]%	[***]%	$[***]		
	7	[***]%	[***]%	$[***]		
	8	[***]%	[***]%	$[***]		
	9	[***]%	[***]%	$[***]		
	10	[***]%	[***]%	$[***]		
	11	[***]%	[***]%	$[***]		
	12	[***]%	[***]%	$[***]		
	13	[***]%	[***]%	$[***]		
	14	[***]%	[***]%	$[***]		
	15	[***]%	[***]%	$[***]		
	16	[***]%	[***]%	$[***]		
	17	[***]%	[***]%	$[***]		
	18	[***]%	[***]%	$[***]		
	19	[***]%	[***]%	$[***]		
	20	[***]%	[***]%	$[***]		
	21	[***]%	[***]%	$[***]		
	22	[***]%	[***]%	$[***]		
	23	[***]%	[***]%	$[***]		
	24	[***]%	[***]%	$[***]		
	25	[***]%	[***]%	$[***]		

Schedule 2.1

Schedule 2.3
Purchase Price Adders
									
	Item	Price	Unit
	Battery Solution - Whole Cabinet	$[***]	For each kWh of rated capacity of the Battery Solution
	Battery Solution - Partial Cabinet	$[***]	For each kWh of rated capacity of the Battery Solution
	DC/DC Convertor	$[***]	For each DC/DC Convertor
	AC5	$[***]	For each AC5
	DC5	$[***]	For each DC5
	MI5	$[***]	For each MI5
	SL5	$[***]	For each SL5
	Low-Pressure Gas Booster	$[***]	For each kW of the aggregate System Capacity of the Bloom Systems comprising such Facility

Schedule 2.3 - 1

Schedule 2.5
Seller Milestone Deliverables

Delivery Milestone Deliverables:
Seller shall submit the items listed below in connection with each invoice issued pursuant to Section 2.3(2):
1.Pictures of delivered and installed fuel cell servers, including front, back and side views sufficient to check for visual damage and pictures of gas and water connection points;
2.Certificate of completed factory acceptance test for each system or other proof that each system passed the factory acceptance test;
3.All applicable interconnection documents, including written approval of the application by the Transmitting Utility, such as technical approval, and the completed interconnection application; and
4.Seller conditional lien waivers.

COO Milestone Deliverables:
Seller shall submit the items listed below in connection with each invoice issued pursuant to Section 2.3(3):
1.Pictures of completed and interconnected server;
2.Access to the Facility’s Raw Data;
3.Seller final lien waivers

Post-COO Deliverables:
Seller shall submit the items listed below pursuant to Section 3.4(1)(xv):
1.Punch list items of remaining work to be performed which shall not include anything that materially impacts the operational capability, durability, or reliability of the Facility;
2.Signed PTO letter;
3.All applicable Permits (to the extent not previously delivered); and
4.Signed Interconnection Agreements.

Schedule 2.5

Schedule 2.10
Approved Facilities
Part I
			
	[***]

Part II
Approved Facility Material Project Documents
IIA  -  Material Project Documents
Energy Services Agreements 
The [***].
Energy Services Agreement by and between BE Development, Inc. and [***], dated December 20, 2019, (as amended, assigned, modified or supplemented, “the [***] ESA”). 
The Home Depot ESA.
The [***].
Energy Services Agreement by and between 2019 ESA Project Company, LLC and [***], dated September 30, 2019, (as amended, assigned, modified or supplemented, “the [***] ESA”).
The [***].
The [***].

ESA Customer Consents 
Acknowledgement and Consent Regarding Assignment by and among 2017 Fuel Cell Operating Company I, LLC, the [***], and 2018 ESA Project Company, LLC, dated as of June 30, 2020 (the “[***] Consent”).
Acknowledgement and Consent Regarding Assignment by and among BE Development, Inc., [***], and 2018 ESA Project Company, LLC, dated as of June 30, 2020 (the “[***] Consent”).
Acknowledgement and Consent Regarding Assignment by and among BE Development, Inc., Home Depot U.S.A, Inc., and 2018 ESA Project Company, LLC, with a date to be determined and in respect of the Home Depot ESA (the “Home Depot Consent”).
Acknowledgement and Consent Regarding Assignment by and among BE Development, Inc., [***] and 2018 ESA Project Company, LLC, with a date to be determined and in respect of the [***] (the “[***] Consent”).
Schedule 2.9 - 1

Acknowledgement and Consent Regarding Assignment by and among 2019 ESA Project Company, LLC, [***], and 2018 ESA Project Company, LLC, with a date to be determined and in respect of the [***] (the “[***] Consent”).
Acknowledgement and Consent Regarding Assignment by and among 2019 ESA Project Company, LLC, [***], and 2018 ESA Project Company, LLC, with a date to be determined and in respect of the [***] (the “[***] Consent”).
Acknowledgement and Consent Regarding Assignment by and among  2017 Fuel Cell Operating Company I, LLC (as assignee of 2015 ESA Project Company, LLC), [***], and 2018 ESA Project Company, LLC, with a date to be determined and in respect of the [***] (the “[***] Consent”).
Assignments and Assumptions
Assignment and Assumption Agreement between 2018 ESA Project Company, LLC and 2017 Fuel Cell Operating Co. I, LLC dated as of the Agreement Date.

Assignment and Assumption Agreement by and among 2018 ESA Project Company, LLC, BE
Development Inc. and Bloom Energy Corporation dated as of the Agreement Date.

Each Standby Facility Assignment Agreement.

IIB - Disclosures
None.

Part III
Documents that are not Standby Facility Conditions
None.
Part IV
Representations
With respect to each Approved Facility as of the applicable Representations Date, Seller hereby represents and warrants to Buyer as follows:
i.All of the Material Project Documents in respect of such Approved Facility are listed in Part IIA of this Schedule 2.10.
ii.To the Seller’s Knowledge, there is no dispute, action or proceeding pending or threatened against any counterparty to any Material Project Document in respect of such Approved Facility that would reasonably be expected to impair such counterparty’s ability to perform its obligations under any Material Project Document.
iii.No Material Project Document in respect of such Approved Facility has been amended, assigned, revised, terminated or otherwise modified except as described in Part II of this Schedule 2.10. Each such Material Project Document (i) has been duly authorized and executed by and is a legal, valid and binding obligation of (as applicable) Seller, the applicable Project Company and, to the Knowledge of Seller, any other Person party thereto; (ii) is in full force and effect; and (iii) is enforceable against (as applicable) Seller, the applicable Project Company and, to the Knowledge of Seller, any other Person party thereto, in each case in accordance with its respective terms, subject to the effects of bankruptcy, insolvency, reorganization, moratorium and similar laws affecting enforcement of creditors’ rights and remedies generally and to general principles of equity.
iv.To the Knowledge of the Seller, the obligations of Buyer, after it becomes a party to the Material Project Documents in respect of such Approved Facility to which (as applicable) any of Seller or the applicable Project Company is a party, are not, nor are claimed to be, subject to any Claims, defenses, counterclaims or setoffs against Buyer.  To the Knowledge of Seller, there are no outstanding indemnification Claims against the “Supplier” or “Provider” (or similarly situated party) under any ESA in respect of such Approved Facility, or against the Buyer as successor in interest to the applicable Site License in respect of such Approved Facility. To the Knowledge of Seller, no Person is in breach of, or default under (or, given the passage of time or delivery of notice, will be in breach of or default under) the terms and conditions of any Material Project Document in respect of such Approved Facility to which such Person is a party.
v.Except as set forth in Part IIB to this Schedule 2.10, no Person other than the Buyer owns or has any interest in, or option or other right (contingent or otherwise), including a right of first refusal or a right of first offer, or has any Lien (other than a Permitted Lien) on any Material Project Document in respect of such Approved Facility. 
Schedule 2.9 - 3

vi.Seller has provided to Buyer true, complete and correct copies of all of the Material Project Documents in respect of such Approved Facility. 
vii.The representations and warranties set forth in this Part IV to Schedule 2.10 shall survive the applicable Representations Date until 18 months from the date thereof. 
For purposes of this Part IV to Schedule 2.10:
“Claim” means any demand, claim, action, investigation, inquiry, proceeding (whether at law or in equity) or arbitration.
“Material Project Documents” has the meaning set forth in the MIPA (except for the “Organizational Documents” (as defined in the MIPA)) and shall, for the avoidance of doubt, include the documents listed in Part IIA to Schedule 2.10, each Standby Facility Assignment Agreement, the relevant Site Licenses associated with the Approved Facilities, the Interconnection Agreements for the Approved Facilities, and any other Contract to which the Buyer is a party (solely relating to the Approved Facilities) that would otherwise be described by such definition in the MIPA (except for the “Organizational Documents” (as defined in the MIPA)), in each case notwithstanding the proviso in the definition of “Material Project Documents” set forth in the MIPA.

Schedule 3.3(1)
Specifications for Bloom Systems and Battery Solutions
												
	Energy Server 5			
	Nameplate Power Output (AC)	300 kW	250 kW	200kW
	Outputs			
	Load output (net AC)	300 kW	250 kW	200kW
	Electrical connection	480v, 3-phase, 60 Hz	480v, 3-phase, 60 Hz	480v, 3-phase, 60 Hz
	Inputs			
	Fuels	Natural Gas, directed biogas	Natural Gas, directed biogas	Natural Gas, directed biogas
	Input Fuel Pressure	10-18 psig (15 psig nominal)	10-18 psig (15 psig nominal)	10-18 psig (15 psig nominal)
	Water	None during normal operation	None during normal operation	None during normal operation
	Efficiency			
	Cumulative electric efficiency (LHV net AC)	65-53%	65-53%	65-53%
	Heat rate (HHV)	5,811-7,127 Btu/kWh	5,811-7,127 Btu/kWh	5,811-7,127 Btu/kWh
	Emissions			
	NOX	0.0017 lbs/MWh	0.0017 lbs/MWh	0.0017 lbs/MWh
	SOX	Negligible	Negligible	Negligible
	CO	0.034 lbs/MWh	0.034 lbs/MWh	0.034 lbs/MWh
	VOCs	0.0159 lbs/MWh	0.0159 lbs/MWh	0.0159 lbs/MWh
	CO2 @ stated efficiency	679-833 lbs/MWh on natural gas; carbon neutral on directed biogas	679-833 lbs/MWh on natural gas; carbon neutral on directed biogas	679-833 lbs/MWh on natural gas; carbon neutral on directed biogas
	Physical Attributes and Environment			
	Weight	15.8 tons	13.6 tons	12.2 tons
	Dimensions (variable layouts)	17'11" x 8'8" x 6'9" or 32'3" x 4'4" x7'2"	14'4" x 8'8" x 6'9" or 28'8" x 4'4" x 7'2"	14'4" x 8'8" x 6'9" or 25'1" x 4'4" x 7'2"
	temperature range	-20 degrees to 45 degrees C	-20 degrees to 45 degrees C	-20 degrees to 45 degrees C
	humidity	0%-100%	0%-100%	0%-100%
	Seismic vibration	IBC site class D	IBC site Class D	IBC site Class D
	Location	Outdoor	Outdoor	Outdoor
	Noise	< 70 dBA @ 6 feet	< 70 dBA @ 6 feet	< 70 dBA @ 6 feet
	Codes and Standards			

Schedule 3.3(1) - 1

												
	Complies with	Rule 21 interconnection; IEEE1547 standards; CARB 2007 emissions standards	Rule 21 interconnection; IEEE1547 standards; CARB 2007 emissions standards	Rule 21 interconnection; IEEE1547 standards; CARB 2007 emissions standards
	Exempt from	CA Air District permitting	CA Air District permitting	CA Air District permitting
	Underwriters Laboratories			
	Listed	Stationary Fuel Cell Power System	Stationary Fuel Cell Power System	Stationary Fuel Cell Power System
	Reference	ANSI/CSA FC1-2014	ANSI/CSA FC1-2014	ANSI/CSA FC1-2014
	UL Category	IRGZ	IRGZ	IRGZ
	UL File Number	MH45102	MH45102	MH45102

Battery Solution

						
	Technical Highlights (1ABS-306 FC)	
	Outputs	
	Nameplate power output (Discharge)	[***] kW

	Electrical connection	[***]VDC

	Inputs	
	Nameplate power output (Charge)	[***] kW

	Capacity	
	Nominal electrical storage capacity	[***] kWh

	Emissions	
	None	
	Physical Attributes and Environment	
	ABS Battery Enclosure Weight (without batteries)	[***]lbs

	ABS Battery Enclosure Weight (with batteries)	[***]lbs

	ABS PCS Enclosure Weight	[***]lbs

	ABS Battery Enclosure Dimensions	97" (H) x 86" (L) x 45" (D)
	ABS PCS Enclosure Dimensions	97" (H) x 43" (L) x 45" (D)
	Temperature range	[***]° C

	Humidity	[***]%
	Seismic vibration	[***]
	Location	Outdoor
	Noise	[***]
	Codes and Standards	
	ABS is designed as a Storage Battery System to ANSI/UL 1973-2013	
	Additional Notes	
	•• Interconnect achieved through fuel cell system
•• Access to a secure website to monitor system performance & benefits
•• Remotely managed
•• Multiple ABSs can work together to achieve the optimal capacity for each application
	

i.Specifications for UPMs
ii.Bloom Energy Step Load Module (SL5)
Schedule 3.3(1) - 3

						
	Output Power	
	Peak grid independent load support	[***]kW
	Voltage & Frequency	
	Nominal output voltage	[***]
	Phase, Sequence	[***]
	Configuration	[***]
	Adjustable output voltage range	[***]
	Waveform	[***]
	Accuracy to voltage set point	[***]
	Static (steady state) voltage regulation	[***]
	Transient (dynamic) voltage regulation	[***]
	Voltage THD with 100% linear load	[***]
	Frequency setting	[***]
	Nominal output frequency  - ‘Fixed’	[***]
	Sync reference voltage input	[***]
	Step load capability 
	
	Maximum grid independent step load	[***]
	Duration between max grid independent load step	[***]

Schedule 3.4(1)(iii)
Design and Installations Procedures
Seller will perform the following activities in connection with the design and installation of each Facility, to the extent necessary to cause such Facility to achieve Commencement of Operations:
•Initial site visits and studies to assess site suitability, including but not limited to due diligence research with local Authorities Having Jurisdiction (AHJs) and utilities, site load validation, and utility locates.  When necessary, title reports may be pulled, gas composition may be tested, and geotechnical studies may also be done.
•Produce a complete set of construction drawings, either internally or in conjunction with an external design firm, in accordance with: local, state, and national codes; local electric and gas utility requirements; and site-specific or host customer requirements.
•Procure all necessary permits and/or approvals as required by the local AHJs, including but not limited to Planning, Building, and Fire Departments.
•Secure technical approval to interconnect with the local electric utility, and coordinate the electric interconnection agreement between the host customer and the local utility.
•Engage the local gas utility to design the gas interconnection approach, and coordinate the gas contract for gas delivery to the Bloom system between the host customer and the local utility.
•Secure a general contractor to build the site as designed, obtain final building department sign-off, and pass any other required inspections.  Provide Bloom Energy-trained site supervision at key milestones during the construction process to ensure smooth inspections and a positive host customer experience.
•Perform system commissioning once construction is complete and inspections are passed, ensuring the systems operate as intended and reach full power.  Remedy any issues preventing full power prior to turning operation over to Bloom’s Service team.
•Act as the interface with the host customer, securing all necessary design approvals and site access permissions, as well as coordinating construction schedules.  Ensure primary personnel responsible for interfacing with Bloom’s system are educated in safety procedures.  Deliver customer manuals and emergency procedures to the customer upon project completion, as well as any other close-out documentation required by the contract

Schedule 3.4(1)(iii) - 1

Schedule 3.4(1)(v)
Commissioning Procedures
Seller will perform the following activities in connection with the commissioning of each Facility, to the extent necessary to cause such Facility to achieve Commencement of Operations:
1.[***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
• [***]
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• [***]
• [***]
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• [***]
• [***]
• [***]
• [***]
• [***]
Schedule 3.4(1)(xv) - 1

• [***]
• [***]
• [***]
• [***]

Schedule 3.4(1)(xv)
Seller Deliverables
Seller shall submit the items listed below prior to or at the Commencement of Operations:
1. Issued for Construction Drawing Set (aka Final IFC Set or Conformed Set), comprised of some or all of the below, as applicable and necessary given site design:
a. Cover sheet
b. Work site plan (work site and general arrangement drawings)
c. Grading and drainage plan
d. Soil erosion and sediment control
e. Foundation plans and details
f. Structural plans, details and elevation
g. [***]
h. Single-line electrical diagrams
i. Electrical schematic diagrams
j. [***]
k. Network Architecture Drawings
l. Power and control wiring
m. Grounding plans
n. Lightning and surge protection drawings
o. Wiring Diagrams
p. Bloom Equipment Specifications
q. Electrical schematic diagrams
r. [***]
s. I/O list
2. Example screenshot to be delivered by Seller, with details on sample shown below:
[***]
Seller shall submit the items listed below on or before ninety (90) days following the Commencement of Operations Date:
1. Third party vendor drawings
Schedule 3.4(1)(xv) - 3

2. Quality Documentation for Construction activities (if applicable)
3. As-built drawings (aka Approved Plans)
4. Permitting documentation
5. Inspection cards (if applicable)

Schedule 3.9
Seller Corporate Safety Plan
At all times during the Term, Seller shall maintain at Seller’s corporate headquarters and adhere to Seller’s written corporate safety programs, which shall include without limitation the following programs:
•Contractor Environmental Health & Safety Program
•Injury and Illness Prevention Program
•Heat Illness Prevention Program
•Emergency Action and Fire Prevention Plan
•Hazard Communication Program
•Corporate Electrical Standard – Specific Electrical Safe Work Practices
•Electrical Safety Awareness
•Lockout/Tagout
•Fall Protection Program (Working at Heights)
•Ladder Safety Program
•Powered Industrial Trucks (PIT)
•Hoist Safety Program
•Personal Protective Equipment (PPE)
•Respiratory Protection Program
•Hearing Conservation Program
•Hand and/or Powered Tools Safety Program
•Hot Work Process
•First Aid / CPR Program
(the foregoing, collectively, the “Seller Corporate Safety Plan”)

Schedule 3.9 - 1

Schedule 4.2
Operations and Maintenance Procedures
Seller will perform the following operation and maintenance activities for each Facility, to the extent necessary to cause such Facility to perform in accordance with the Warranty Specifications:
•Annual maintenance activities:
•Check Surge Protection Device and replace as necessary
•Replace main blower filter element
•Replace AC unit filter element if applicable
•Replace auxiliary blower filter element
•Remove any debris and vacuum inside of each cabinet
•Remove any debris from the exterior of cabinets
•Check all FCM hotbox enclosures for any leaking or cracks
•Replace door filters
•NG conditioning canister replacement
•Site obligations:
•An e-mail announcement of a service appointment will be sent to address(es) specified by the client informing of a service visit in advance of a service visit
•Field Service personnel will sign in at a security office as required by client
•Field Service personnel will safely and securely maintain and repair the systems as needed in accordance with our established and released procedures
•Bloom HR and EH&S will work with clients to fulfill requirements for certification of drug testing, training, and other Environmental Health & Safety (EH&S) procedures
•Site visit protocols:
•Works with customers and Product Development to resolve issues
•Provides detailed documentation for each maintenance element performed
•Inspection of installed equipment to ensure peak performance
•Inspection of all components to ensure proper operation within product and environmental specifications
•Clearly and professionally interact with customer regarding status of site visits, performance of their systems and general fuel cell education
•Spare Parts
Schedule 4.2 - 1

•Bloom Energy Product Support maintains a list of all spare parts including field replaceable units (FRUs) and consumables for each of its commercial products
•Spare parts are stocked in localized third party logistics depots in each service zone
•The most common and most critical parts are stocked in each local depot and replenished on a weekly schedule
•Parts not stocked in localized depots are dispatched from our Milpitas, CA warehouse via FedEx or other carriers and couriers
•Failure Response Protocol:

•Emergency Response Protocol:
•Contact lists of BE personnel to be contacted during normal business hours and during off hours (24-7-365 emergency escalation path) are provided for each region where Energy Servers are located in order to remedy situations posing a risk to persons or property
•Remote shutdown from Bloom RMCC if required
•Emergency power off button provided onsite
•Remote monitoring:
•24/7/365 performance monitoring and control of fleet
•1st level troubleshooting
•Cross-functional interface with engineering, software, controls, quality
•Optimize performance
•Support customer site start-ups
•Customer performance analysis – daily

•Standards Compliance:
•Complies with Rule 21 interconnection
•ANSI/CSA FC 1: Stationary Fuel Cell Power Systems – Safety
•IEEE 1547 – Standard for Interconnecting Distributed Resources with Electric Power Systems
•NFPA 853 – The Standard for Installation of Stationary Fuel Cell Power Systems
•NFPA 70 – The National Electrical Code
•NFPA 54 – The National Fuel Gas Code
•Subcontracted Services.  The following may in some cases be performed by subcontractors:
•Water DI system replenishment
•STS and transfer switch maintenance and repair
•Some annual maintenance and upgrade work
•Filter delivery, replacement, removal
•High Voltage transformer and switchgear maintenance
•Circuit breaker and similar maintenance
•Battery replacement
•Some fuel cell module performance upgrades
•NG conditioning canister replacement
•Management Staff:
•Customer Installations Group (CIG) – Turnkey design, engineering, procurement, permitting and installation
•Services – Commissioning, operations and monitoring of servers
•Customer Experience – Interface with customer
•ESA Operations – Certain administrative duties
•All Energy Servers are instrumented to securely record over 1000 data points per server and stored in a Data Historian that resides in a Secure Co-located Data Center and Backed Up for data recovery
•CIG and Service employees are subject to drug tests, background checks and other screening protocols based on customer site requirements
•Bloom Energy maintains a Code of Safe Practices and ensures that copies are provided to all applicable field service technicians and includes:
•Injury and illness prevention program
Schedule 4.2 - 3

•Required Personal Protection Equipment (PPE)
•Corporate EH&S Standard
•Proper use of Powered Industrial Trucks
•Contracted Crane Operations
•Ladder safety program
•Electrical Safety and Lock-Out Tag-Out (LOTO)
•Fall protection
•First Aid/CPR program
•Contractor EH&S program
•Bloom Energy Safety Commitment

Schedule 4.3(1)
Service Fees and Service Fee Adders
						
	Service Fees	
	Calendar Months since
Commencement of Operations
for the applicable Facility	Rate
($/kW)
	1 through 12	$[***]
	13 through 24	$[***]
	25 through 36	$[***]
	37 through 48	$[***]
	49 through 60	$[***]
	61 through 72	$[***]
	73 through 84	$[***]
	85 through 96	$[***]
	97 through 108	$[***]
	109 through 120	$[***]
	121 through 132	$[***]
	133 through 144	$[***]
	145 through 156	$[***]
	157 through 168	$[***]
	169 through 180	$[***]
	181 through 192	$[***]
	193 through 204	$[***]
	205 through 216	$[***]
	217 through 228	$[***]
	229 through 240	$[***]
	241 through 252	$[***]
	253 through 264	$[***]
	265 through 276	$[***]
	277 through 288	$[***]
	289 through 300	$[***]
	301 through 312	$[***]
	313 through 324	$[***]
	325 through 336	$[***]
	337 through 348	$[***]
	349 through 360	$[***]

Schedule 4.3(1) - 1

												
	Service Fee Adders			
	Item	Price	Unit and time period	
	Battery Solution	$[***]	Per month for months 1 through 360 for each kWh of rated capacity of the Battery Solution	
	DC/DC Convertor	$[***]	Per month for months 13 through 360 for each DC/DC convertor	
	AC5	$[***]	Per month for months 13 through 360 for each AC5	
	DC5	$[***]	Per month for months 13 through 360 for each DC5	
	MI5 - Standard multi-server with DC5s	$[***]	Per month for months 13 through 360 for each MI5	
	MI5 - Standard single-server or Mission Critical	$[***]	Per month for months 13 through 360 for each MI5	
	SL5 - Standard multi-server with DC5s	$[***]	Per month for months 13 through 360 for each SL5	
	SL5 - Standard single-server or Mission Critical	$[***]	Per month for months 13 through 360 for each SL5	
	Low-Pressure Gas Booster	$[***]	Per month for months 13 through 360 for each kW of the aggregate System Capacity of the Bloom Systems comprising such Facility	

Schedule 4.6
Parties’ Managers
						
	Seller’s Manager	[***]
	Buyer’s Manager	[***]

Schedule 4.6 - 1

Schedule 14.4(a)
 “Competitors of Seller”
									
		Ticker	Company Name
			
	1		[***]
	2		[***]
	3		[***]
	4		[***]
	5		[***]
	6		[***]
	7		[***]
	8		[***]
	9		[***]
	10		[***]
	11		[***]
	12		[***]
	13		[***]
	14		[***]
	15		[***]
	16		[***]

Schedule 14.4(a) - 1

Schedule 14.4(b)
 “Competitor of Seller” Exclusions
									
		Ticker	Company Name
		Electrics - Primary	
	1	[***]	[***]
	2	[***]	[***]
	3	[***]	[***]
	4	[***]	[***]
	5	[***]	[***]
	6	[***]	[***]
	7	[***]	[***]
	8	[***]	[***]
	9	[***]	[***]
	10	[***]	[***]
	11	[***]	[***]
	12	[***]	[***]
	13	[***]	[***]
	14	[***]	[***]
	15	[***]	[***]
	16	[***]	[***]
	17	[***]	[***]
	18	[***]	[***]
	19	[***]	[***]
	20	[***]	[***]
	21	[***]	[***]
		Electric/LDC/Int'l/E&P Hybrid	
	22	[***]	[***]
	23	[***]	[***]
	24	[***]	[***]
	25	[***]	[***]
	26	[***]	[***]
	27	[***]	[***]
	28	[***]	[***]
	29	[***]	[***]
	30	[***]	[***]
	31	[***]	[***]
	32	[***]	[***]
	33	[***]	[***]
	34	[***]	[***]

									
	35	[***]	[***]
		[***]	[***]
	36	[***]	[***]
	37	[***]	[***]
	38	[***]	[***]
	39	[***]	[***]
	40	[***]	[***]
	41	[***]	[***]
	42	[***]	[***]
	43	[***]	[***]
	44	[***]	[***]

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