Document:

EX-10.20:

 

Exhibit 10.20

DATED 24th April 1996

(1) CLIPPER INVESTMENTS LIMITED

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(2) INTERNATIONAL PETROLEUM EXCHANGE OF LONDON LIMITED

LEASE

OF

PART

(OFFICES)

Secondary Reception

(WTC/Q/W (Part): 2.18.1) Quay Level

International House

1 St Katharine’s Way London E1

Penningtons

SOLICITORS

Certain information in this agreement has been omitted and filed
separately with the Commission. Confidential treatment has been
requested with respect to the omitted portions.

 

 

[Graphics of Plan 1, Plan 2 and Plan 3]

 

 

THIS LEASE dated 24th April 1996 is made between the following parties:

	(1)  	CLIPPER INVESTMENTS LIMITED whose registered office is at International House 1 St
Katharine’s Way London El 9TW (“the Landlord”)
	 
	(2)  	INTERNATIONAL PETROLEUM EXCHANGE OF LONDON LIMITED whose registered office is at
International House aforesaid registered in England under company number 1528617 (“the
Tenant”)

1. DEFINITIONS

In this Lease where the context allows:-

1.1 “Building” means the land and buildings known as International House London El and for the
purpose of identification only edged red on plan 1

1.2 “Premises” means the premises known as Secondary Reception (WTC/Q/W (Part): 2.18.1) on the Quay
Level of the Building for the purpose of identification only shown edged red on plan 2 and
described (for the purpose of obligation as well as grant) in Part 1 of the First Schedule

1.3 “Letting Unit” means an individual office suite or other unit of accommodation in the Building
(other than any accommodation provided for a porter or caretaker) that is let or available for
letting or otherwise exclusively occupied (or intended for jetting or exclusive occupation)
otherwise than solely in connection with the management of the Building or the provision of
services to the Building

1.4 “Conduits” means all cisterns tanks water and supply pipes (including gas and oil pipes)
gutters sewers drains soil pipes waste pipes watercourses culverts soakaways ducts conduits flues
tubes and other conducting media and also wires and cables and optic fibres used for the
transmission of electric current television radio telephonic telegraphic and other
telecommunications and electronic signals and all fixings louvres cowls covers meters and other
ancillary equipment or structures

1.5 “Common Parts of the Building” means all footpaths yards halls passageways fire escapes
staircases lifts landings and any other areas in the Building which are from time to time during
the Term provided by the Landlord for use in common by the tenants and occupiers of the Building
and all persons expressly or by implication authorised by them

 

 

1.6 “Retained Property” means all parts of the Building which are not from time to time Letting
Units including (without prejudice to the generality of the foregoing):

	1.6.1  	the Common Parts of the Building
	 
	1.6.2  	all Conduits in or serving the Building except any that exclusively serve any individual
Letting Unit
	 
	1.6.3  	those parts of the structure walls foundations and roofs which are not within the Premises
nor would be included in the other Letting Units in the Building if they were let on the same
basis as the Premises

1.7 “the Estate” means the estate known as St Katharine’s Dock the present extent of which is shown
for identification only edged and hatched red on plan 3 including without prejudice to the
generality thereof

	1.7.1  	the Conduits within the Estate
	 
	1.7.2  	any seats sculptures bridges locks gates and associated equipment from time to time in on or
over the Estate
	 
	1.7.3  	the river walls and the locks
	 
	1.7.4  	the communal areas basins and estate roads and footpaths within the Estate

1.8 “Annual Rent” means the yearly rent payable from time to time by virtue of Clause 2.4.1

1.9 “Rent Payment Days” mean respectively 25th March 24th June 29th September and 25th December in
each year

1.10 “Service Charge” means the service charge calculated and payable in accordance with the Second
Schedule

1.11 “service hours” means the hours beginning at 8 a.m. and ending at 6 p.m. on each day from
Monday to Friday inclusive but excluding bank public or other national holidays or such other hours
which the Landlord shall from time to time notify to the Tenant

1.12 “Interest” except where otherwise expressly stated means interest at the rate of 4% per annum
above the base rate for the time being of National Westminster Bank Plc (or the base rate for the
time being of such other London Clearing Bank as the

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Landlord designates for the purpose) or if there is no such base rate then such other comparable
rate of interest specified by the Landlord from time to time

1.13 “Planning Acts” means the Town & Country Planning Act 1990 the Planning (Listed Buildings and
Conservation Areas) Act 1990 the Planning (Hazardous Substances) Act 1990 and the Planning
(Consequential Provisions) Act 1990 and all statutes containing provisions relating to town and
country planning from time to time in force and all other statutes statutory instruments
regulations rules and orders and directions included by virtue of Clause 6.11.11

1.14 “VAT” means value added tax the tax as constituted by the Value Added Tax Act 1994 or any
other similar tax imposed in addition to or in substitution (and unless otherwise expressly stated
all references to rent or other monies payable by the Tenant are exclusive of any VAT charged or
chargeable thereon)

1.15 “1954 Act” means the Landlord and Tenant Act 1954

1.16 “1995 Act” means the Landlord and Tenant (Covenants) Act 1995

1.17 “Group Company” means another company which is a member of the same group within the meaning
of Section 42 of the 1954 Act (“the Group Company”) and “member of a group” has the meaning given
by that section

1.18 “Connected Party” means a party which (in a case where the Tenant is a company) is a director
shareholder or fellow Group Company of the Tenant or (in a case where the Tenant comprises
individuals carrying on business in partnership) a partner in the Tenant

1.19 “Rents” means any of the rents reserved by Clause 2.4

1.20 “Adjoining Premises” means the premises on the Quay Level West in the Building demised by the
Resident Member’s Agreement made between (1) St Katharine By The Tower Limited and (2) Aegis
Insurance Services (Group) Limited on 2 December 1983

2. DEMISE AND RENT

2.1 The Landlord DEMISES the Premises to the Tenant TOGETHER WITH the rights set out in Part 2 of
the First Schedule EXCEPTING AND RESERVING as set out in Part 3 of the First Schedule

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2.2 TO HOLD the Premises to the Tenant from and including 1st March 1996 (“the Term Commencement
Date”) for a term of years expiring on 24 December 2008 (determinable as provided in Clause 6.12)

2.3 Subject to the matters more particularly referred to in Part 4 of the First Schedule

2.4 YIELDING AND PAYING to the Landlord during the Term without any deductions or set off:

	2.4.1  	by equal quarterly payments in advance on the Rent Payment Days

	 	(a)  	from the Term Commencement Date to 2nd May 1996 (both days
inclusive) the rent of a peppercorn (if demanded)
	 
	                                                       
	 	(b)  	from 3rd May 1996 to 28th February 2001 (both days inclusive)
the yearly rent of [***] £[***]
	                                                        
	 
	 	(c)  	from and including 1st March 2001 the yearly rent determined
in accordance with Clause 3

	   	the first payment to be made on the date of this Lease for the period beginning on the
Term Commencement Date and ending on the day before the Rent Payment Day following the
date of this Lease

	2.4.2  	by way of further or additional rent any VAT which is payable on the rents reserved by this
Lease in accordance with Clause 4.31
	 
	2.4.3  	by way of further or additional rent from time to time a sum equivalent to the gross premium
payable for the insurance effected on the Premises in accordance with Clause 5.2 such sum to
be payable to the Landlord on demand
	 
	2.4.4  	by way of further or additional rent from time to time the Service Charge

2.5 If any rent or any other sum due under this Lease is unpaid for more than fourteen days
(whether formally demanded or not in the case of rent due under Clause 2.4.1) the Tenant must pay
Interest calculated on a daily basis on the amount unpaid from the date on which it was due until
the date on which payment is made and to be payable to the Landlord on demand and recoverable as
rent in arrear

 

	 	 
	 	 

	 	 	 
	***	 	Certain information on this page has been omitted and
filed separately with the Commission. Confidential treatment has been
requested with respect to the omitted portions.

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2.6 If the Landlord refuses to accept any rent or any other sum so as not to waive any existing
breach the Tenant must pay Interest calculated on a daily basis on the amount refused or unpaid
from and including the date on which it was due to the date when payment is accepted by the
Landlord and to be payable on demand and recoverable as rent in arrear

3. RENT REVIEW

3.1 The Annual Rent will be increased in accordance with this Clause 3

3.2 The expression “rent review date” means 1st March 2001 and each succeeding fifth anniversary of
such day and the expression “relevant review date” is to be construed accordingly

3.3 With effect from each rent review date the Annual Rent will be the greater of:

	3.3.1  	the Annual Rent payable immediately prior to that rent review date (or if payment has been
suspended the Annual Rent which would have been payable had there been no suspension) and
	 
	3.3.2  	the Open Market Rent (as defined in sub-clause 3.4) agreed or determined under the remaining
provisions of this Clause 3

3.4 For the purposes of this Clause 3 the expression “the Open Market Rent” means the best yearly
rent at which the Premises might be expected to be let at the rent review date on the open market
by a willing landlord to a willing tenant being the rent payable following the expiry of a rent
free period of such length as would be negotiated in the open market

	3.4.1  	Upon the assumptions (if not the fact) that:

	 	(a)  	the Premises are vacant and have been fully fitted out to the
requirements of a willing tenant and are available for immediate occupation
and use and
	 
	 	(b)  	the Premises are to let (as a whole) at a rack rent (without
premium or other capital payment payable by the Tenant) for the unexpired
residue of the Term or (if this is longer) a term of 10 years from the rent
review date upon the terms of this Lease other than the amount of the Annual
Rent (but including this Clause 3) and

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	 	(c)  	the Premises may be used for any of the purposes specified in
Class B1 of the Town and Country Planning (Use Classes) Order 1987 as at the
date of this Lease
	 
	 	(d)  	the Tenant has fully observed and performed the Tenant’s
obligations under this Lease and
	 
	 	(e)  	if the Premises or the Building have been destroyed or
damaged they have been fully restored and
	 
	 	(f)  	no work has been carried out to the Premises which has or
will diminish the rental value
	 
	 	(g)  	the Tenant is and tenants in the market generally are
registered for VAT and will be able to set off in full by way of input tax any
VAT payable on any payment of rent against the output tax payable by him or
them and
	 
	 	(h)  	the Tenant has had the benefit of any rent free period
capital payment or other inducement which would in the open market be granted
to a tenant

	3.4.2  	But disregarding

	 	(a)  	any effect on rent of the fact that the Tenant or any
undertenant or their predecessors in title may have been in occupation of the
Premises and
	 
	 	(b)  	any goodwill attached to the Premises by reason of any trade
or business carried on there by the Tenant or any undertenant or their
predecessors in title in their businesses and
	 
	 	(c)  	any effect on rent of any improvements to the Premises
carried out by the Tenant during the Term other than in pursuance of an
obligation to the Landlord to the extent only that such improvements have been
carried out without cost to the Landlord or its predecessors in title but in
making this disregard no allowance will be made for loss of use during any
hypothetical period while the improvement is carried out

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	 	(d)  	any effect on rent of any statute for the time being in force
which imposes a limitation in relation to the review of rent and/or the
collection of any increased rent (“rent restrictions”)
	 
	 	(e)  	any temporary adverse effect on rent of building or
associated work being carried out on adjoining or neighbouring premises
whether or not part of the Building
	 
	 	(f)  	the amount of loss of rent cover effected by the Landlord
under Clause 5.2

3.5 The Landlord and the Tenant may agree the amount of the Open Market Rent at any time but if it
has not been agreed by the relevant rent review date the Landlord or the Tenant may at any time
thereafter require the Open Market Rent to be determined by an independent Chartered Surveyor
experienced in the letting and valuation of office premises (“the Surveyor”)

3.6 The Surveyor may be appointed by agreement between the Landlord and the Tenant but in default
of such agreement within a period of one month is to be appointed on the application of either
party (who must notify the other party of that application) by the President or other chief officer
or acting chief officer for the time being of the Royal Institution of Chartered Surveyors (“the
President”) BUT if for any reason the President is unable or unwilling to make that appointment
then by a senior officer of that institution or another professional body of surveyors which the
Landlord designates and any reference to the President includes a reference to such chief officer
or acting chief officer or other officer

3.7 Notice of the Surveyor’s appointment is to be given by the Surveyor to the Landlord and Tenant

3.8 The Surveyor agreed or appointed is to act as an arbitrator under the provisions of the
Arbitration Acts 1950 to 1979

3.9 If the Surveyor relinquishes his appointment or dies or if it becomes apparent that for any
reason he will be unable to complete his duties the Landlord or the Tenant may apply to the
President in accordance with Clause 3.6 for a substitute to be appointed in his place which
procedure may be repeated as many times as necessary

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3.10 The fees of the Surveyor shall be payable by the Landlord and the Tenant in such proportions
as the Surveyor determines

3.11 If the amount of the Annual Rent has not been agreed or determined by the relevant rent review
date:–

	3.11.1  	the Tenant must pay to the Landlord on account an interim rent at a rate equal to the Annual
Rent payable immediately preceding the rent review date and
	 
	3.11.2  	when the amount of the Annual Rent has been agreed or determined the Tenant must make any
necessary adjustment by paying to the Landlord within 14 days of agreement or determination
(as the case may be) an amount equal to the aggregate of the sums by which each quarterly
instalment of the Annual Rent would have exceeded each instalment of interim rent had the
Annual Rent been agreed or determined by the rent review date together with interest at the
base rate for the time being of National Westminster Bank Plc (or the base rate for the time
being of such other London Clearing Bank as the Landlord designates for the purpose) or if
there is no such base rate then such other comparable rate of interest specified by the
Landlord from time to time

3.12 If rent restrictions prevent or prohibit the Landlord (whether in whole or in part) from
exercising its rights under this Clause and/or obtaining an increase in the rent on the relevant
rent review date (increase in this context meaning such increase as would he obtainable
disregarding the rent restrictions) the date at which the rent review would otherwise have taken
effect shall be extended to permit and require the rent review to take place on the first day upon
which this right may be exercised and/or increase obtained in whole or in part and when in part on
so many occasions as is necessary to obtain the whole increase notwithstanding that the rent may
have been increased in part on or since the last rent review date PROVIDED ALWAYS that the
provisions of this Clause 3.12 shall not prejudice the right of the Landlord to review the Annual
Rent on the relevant rent review date

3.13 A memorandum of the amount of the Annual Rent as and when agreed or determined from time to
time shall be signed by or on behalf of the Landlord and the Tenant and attached to the Lease and
Counterpart

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3.14 Time is not of the essence with regard to any of the periods of time referred to in this
Clause 3

TENANT’S COVENANTS

4. The Tenant COVENANTS with the Landlord:–

To Pay Rent

4.1 To pay the rents and Interest at the times and in the manner stated without any deduction or
set off

4.2 To Pay Outgoings

	4.2.1  	To pay and discharge or indemnify the Landlord against all rates (including water rates)
taxes duties charges assessments impositions and outgoings whatsoever (whether parliamentary
parochial local or of any other description) which are now or at any time during the Term
assessed charged or imposed upon the Premises or the owner or occupier and whether of an
existing or novel nature
	 
	4.2.2  	To pay all charges incurred relating to water gas electric current power and
telecommunications and other services supplied to the Premises (including all standing charges
and meter rents)

To Repair

4.3 At all times during the Term (whether or not the Landlord has served notice requiring the
Tenant so to do) to keep the Premises in good and substantial repair and condition appropriate to
the standard expected of a high class office building in the City of London (except where damage
results from any of the risks against which the Landlord has insured under Clause 5.2 unless
payment of any of the insurance moneys are refused by reason of any act neglect or default of the
Tenant)

To Redecorate

4.4 Without prejudice to Clause 4.3 at all times during the Term to keep the Premises in good
decorative condition appropriate to the standard expected of a high class office building in the
City of London and

	4.4.1  	in every fifth year of the Term and in the last year of the Term to paint in a proper and
workmanlike manner all the inside parts of the Premises where

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	   	previously or usually painted with two coats at least of good quality paint and at the
same time and in like manner to wash varnish paper and otherwise decorate or treat the
parts previously or usually so decorated or treated
	 
	4.4.2  	the tints colours and patterns of all works of decoration effected in the last year of the
Term are to be approved by the Landlord

Fixtures and Fittings and Cleaning

4.5 Without prejudice to Clause 4.3

	4.5.1  	to maintain in good and serviceable condition the Landlord’s fixtures and fittings in the
Premises and replace any which become worn out lost or unfit for use by substituting others of
a like or more modern nature
	 
	4.5.2  	to clean the interior of the windows of the Premises regularly and at least once a month
taking all necessary precautions to avoid damage to the window frames and making good
forthwith any such damage
	 
	4.5.3  	to clean the Premises regularly and to maintain them at all times in a clean and tidy
condition

To Yield Up

4.6 At the end of the Term:

	4.6.1  	if the Landlord so requires to remove all trade or tenants fixtures and fittings (including
the main reception desk installed in the Premises by the Tenant) and to reinstate the Premises
to the satisfaction of the Landlord following their removal
	 
	4.6.2  	quietly to yield up the Premises and all fixtures and fittings (trade or tenants fixtures
and fittings only excepted) in that state and condition which is in all respects consistent
with a full and due performance by the Tenant of its obligations under this Lease

Condition at End of Term

4.7 If at the end of the Term the Premises are not in the state and condition in which they should
be having regard to the Tenant’s obligations the Tenant must (if required by the Landlord) pay to
the Landlord on demand as a debt due to the Landlord

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such sum as is certified by the Landlord’s surveyor to represent in its opinion the aggregate of

	4.7.1  	the cost of putting the Premises into that state and condition (including without limitation
all professional fees properly and reasonably incurred) and
	 
	4.7.2  	the Annual Rent and Service Charge that would have been payable if the Term had been
extended for such period as would be reasonably necessary to put the Premises into that state
and condition on the assumption that such works are carried out with due expedition

Tenant’s Possessions

4.8 If following the end of the Term any of the Tenant’s possessions remain on the Premises and the
Tenant fails to remove them within seven days after being requested in writing by the Landlord to
do so:

	4.8.1  	the Landlord may as the agent of the Tenant sell the possessions and the Tenant indemnifies
the Landlord against any liability incurred by it to any third party whose possessions have
been sold by the Landlord in the mistaken belief (which will be presumed) that the possessions
belonged to the Tenant
	 
	4.8.2  	if the Landlord having made reasonable efforts is unable to locate the Tenant the Landlord
is entitled to retain any proceeds of sale unless the Tenant claims them within 90 days of the
end of the Term

4.9 To repair on notice

	4.9.1  	To permit the Landlord at all reasonable times on reasonable prior notice (except in
emergency) to enter and inspect the Premises to take a schedule of fixtures and fittings and
generally to monitor the performance by the Tenant of its obligations under this Lease
	 
	4.9.2  	If the Landlord or its agents or surveyors gives to the Tenant (or leaves on the Premises)
notice of any repairs maintenance or decoration which the Tenant has failed to carry out or of
any other failure by the Tenant to comply with its obligations under this Lease to repair
clean and decorate the Premises and/or remedy such failure in accordance with the notice
within a period of two

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	   	months from the date of the notice (or such other shorter period as may be appropriate
having regard to the nature of the works in question)
	 
	4.9.3  	If the Tenant does not commence and proceed diligently within that period with the works
needed to comply with the notice to permit the Landlord to enter the Premises and carry out
the works at the expense of the Tenant and to pay to the Landlord on demand the expenses of
such works (including all legal costs surveyor’s and other fees properly incurred) which (if
not repaid) shall be recoverable by the Landlord as rent in arrear

To permit entry for repair etc

4.10 To permit the Landlord and the tenants and occupiers of any adjoining or neighbouring premises
with or without workmen together with any necessary materials tools or other equipment at
reasonable hours and upon giving reasonable notice (except in emergency) to enter the Premises for
any of the following purposes:-

	4.10.1  	complying with statutory requirements carrying out repairs in or upon the Premises or (where
necessary) building works repairs or alterations to or upon any other parts of the Building or
any adjoining or neighbouring premises
	 
	4.10.2  	inspecting laying connecting cleansing emptying repairing renewing or altering the Conduits
belonging to or serving any other parts of the Building or any adjoining or neighbouring
premises
	 
	4.10.3  	constructing any building or structure on any adjoining or neighbouring premises
	 
	4.10.4  	performing the obligations of the Landlord in this Lease or the lease of any other Letting
Unit

the person so entering doing as little damage and causing as little interference as practicable and
making good in a reasonable manner all damage caused to the Premises as quickly as reasonably
practicable to the reasonable satisfaction of the Tenant

To pay costs

4.11 To pay to the Landlord within fourteen days of demand on an indemnity basis all costs charges
fees and other expenses (including legal costs and surveyor’s and other

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professional fees) properly incurred by the Landlord (or which otherwise would be payable by the
Landlord) in contemplation of or in connection with or arising out of

	4.11.1  	the preparation and service on the Tenant of any notice (whether statutory or otherwise) and
including the preparation of any schedule to accompany such notice in relation to any breach
of any covenant by the Tenant (and without prejudice to the generality of the foregoing any
notice and schedule relating to the state and condition of the Premises served at or after the
end of the Term including the cost of any certificate under Clause 4.7)
	 
	4.11.2  	any proceedings relating to the Premises under Section 146 or 147 of the Law of Property Act
1925 (even if forfeiture is avoided otherwise than by relief granted by the Court)
	 
	4.11.3  	the recovery of rent or other sums due from the Tenant
	 
	4.11.4  	any application to the Landlord for any consent or approval required under this Lease
whether or not this is granted or acted upon or any application is withdrawn
	 
	4.11.5  	any matter or thing required to be done or arising out of the Tenant’s covenants

and in relation to any of the above matters the Landlord is entitled to charge a reasonable fee for
any work done by the Landlord itself by any associated or subsidiary company of the Landlord or by
its or their employees

	4.12  	User
	 
	4.12.1  	Not at any time to use the Premises for any illegal or immoral purpose or for any purpose
which may infringe any statute for the time being in force
	 
	4.12.2  	Not to use the Premises as sleeping accommodation or for residential purposes nor to keep
any animal fish reptile or bird on the Premises
	 
	4.12.3  	Not to do or carry on at the Premises any offensive noisy or dangerous act trade business
manufacture occupation or thing
	 
	4.12.4  	Not to use the Premises for the business of a turf commission agent betting office or money
lender or a club or for any sale by auction
	 
	4.12.5  	To use the Premises only as business or professional offices

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	4.12.6  	Not to:

	 	(a)  	use any loud speaker television set radio sound equipment or
other devices so as to be heard outside the Premises
	 
	 	(b)  	install or use in the Premises any machinery or apparatus
causing noise or vibration which can be heard or felt outside the Premises or
which may cause damage
	 
	 	(c)  	keep any materials of a dangerous combustible or explosive
nature in the Premises
	 
	 	(d)  	use the Premises outside the hours of 8am to 6pm Monday to
Friday or on bank holidays or public holidays

	4.12.7  	To ensure that at all times both the Landlord and the local police have written details of
the name address and home telephone number of at least two key holders to the Premises

PROVIDED that the Tenant acknowledges that nothing in this Lease nor any approval or consent given
by the Landlord now or at any time during the Term shall imply represent or warrant that the
Premises may be lawfully used for any particular use under the Planning Acts or any other statute

	4.13  	Alterations
	 
	4.13.1  	Not to unite the Premises with any adjoining premises
	 
	4.13.2  	Not to make any external alterations to the Premises
	 
	4.13.3  	Not to cut maim sever pierce or alter the roof the foundations or any floors load bearing
walls timbers columns girders beams of the Premises or the Building nor carry out any works
alterations or additions of a structural nature or of a nature which would adversely affect
the air conditioning and/or the electrical installations in the Building
	 
	4.13.4  	Not to erect or build any new additional or substituted building or structure upon the
Premises

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	4.13.5  	Not to:-

	 	(a)  	make any alterations or additions to the Landlord’s fixtures
and fittings or the Conduits forming part of and exclusively serving the
Premises
	 
	 	(b)  	make any internal additions or alterations of a
non-structural nature to the Premises

	   	without the written consent of the Landlord (such consent not to be unreasonably
withheld or delayed) nor except in accordance with plans and specifications previously
submitted to and approved by the Landlord and to the satisfaction of the Landlord and
subject always to the provisions of sub-clause 4.13.6
	 
	4.13.6  	Where any consent is given under this Clause 4.13 the Tenant before commencing any works
must enter into a licence for such alterations with the Landlord in such terms as the Landlord
acting reasonably may require including if requested an obligation to reinstate the Premises
at the end of the Term
	 
	4.13.7  	To inform the Landlord of the cost of any alterations or additions carried out by the Tenant
(except any which are trade or tenant’s fixtures or fittings) as soon as practicable and so
that the Landlord will not be liable for any failure to effect any necessary increase in the
amount for which the Premises are insured unless the Tenant has provided that information

	4.14  	Aerials and Signs
	 
	4.14.1  	Not to exhibit any sign fascia notice or advertisement on the outside of the Premises or so
as to be visible outside the Premises other than a sign showing the Tenant’s name in the
position specified by the Landlord in the entrance to the Building and outside the Premises
subject to that sign being of a size design layout and materials specified by the Landlord
	 
	4.14.2  	To comply with the Town and Country Planning (Control of Advertisement) Regulations 1992 or
any regulations amending or replacing them
	 
	4.14.3  	Not to erect any pole mast aerial or dish on the outside of the Premises

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	4.14.4  	At the end of the Term to remove any sign fascia notice or advertisement and make good any
damage caused to the reasonable satisfaction of the Landlord

4.15 To comply with the Planning Acts

	4.15.1  	To comply with the Planning Acts and any planning permissions relating to or affecting the
Premises and to indemnify and keep the Landlord indemnified against all actions proceedings
claims demands losses costs expenses damages and liability whatsoever in consequence of any
non-compliance
	 
	4.15.2  	Not to make any application for planning permission relating to the Premises or carry out
any Development
	 
	4.15.3  	For the purposes of Clause 4.15 “Development” has the meaning given in the Planning Acts

To comply with statutes

4.16 Without prejudice to Clause 4.15:

	4.16.1  	to execute and do all such acts matters works or things relating to the Premises or the
Tenant’s use or occupation of the Premises as may during the Term be required in order to
comply with any statute or the requirements of any government department local or other
authority or court of competent jurisdiction (including but without limitation the Planning
Acts the Factories Act 1961 the Offices Shops and Railways Premises Act 1963 the Fire
Precautions Act 1971 the Health and Safety at Work etc. Act 1974 and the Environmental
Protection Act 1990 whether or not the requirements are imposed on the lessor the lessee or
the occupier of the Premises
	 
	4.16.2  	in default of compliance to permit the Landlord to enter the Premises and comply with such
requirements
	 
	4.16.3  	to indemnify the Landlord from and against all loss damage proceedings costs charges and
expenses in consequence of any such requirements or of any non-compliance by the Tenant
	 
	4.16.4  	within seven days of receipt by the Tenant of any notice or order or proposal for a notice
or an order issued to the Tenant or served on the Premises by any government department local
or other authority or court of competent

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	   	jurisdiction under any statute to give
full particulars to the Landlord and
without delay to take all reasonable
or necessary steps to comply with any
notice or order and also at the
request of the Landlord and the cost
of the Tenant to make or join with the
Landlord in making any objection or
representation against any notice
order or proposal which the Landlord
deems expedient

4.17 Encroachments

	4.17.1  	Not to stop up darken obstruct injure or impair any windows lights or easements belonging to
the Premises or to any buildings on any part of the Premises
	 
	4.17.2  	Not to permit any new window light opening doorway path passage drain or other encroachment
or easement to be made or acquired against or upon the Premises and if any window light
opening doorway path passage drain or other encroachment or easement is made or attempted to
be made to give immediate notice to the Landlord and at the request of the Landlord to adopt
such means as may be reasonably required for preventing such encroachment or the acquisition
of such easement

4.18 Alienation

	4.18.1  	Unless otherwise permitted by the remaining provisions of this Clause 4.18:

	 	(a)  	not to hold the Premises on trust for another
	 
	 	(b)  	not to part with or share the possession or occupation of the
whole or any part of the Premises
	 
	 	(c)  	not to permit another to occupy the whole or any part of the
Premises
	 
	 	(d)  	not to charge or underlet the whole or any part of the
Premises

	4.18.2  	Not to assign part only of the Premises
	 
	4.18.3  	The Tenant may not assign the Premises:

	 	(a)  	to a Non-Qualifying Assignee as defined in Sub-clause 4.18.4

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	 	(b)  	(where the Tenant is a company) to another Group Company
other than to the ultimate parent company of the group of which the Tenant is
a member
	 
	 	(c)  	unless the Adjoining Premises are also assigned at the same
time and to the same person
	 
	 	(d)  	(where the assignee comprises individuals carrying on
business in partnership) unless the assignment is to four partners in that
partnership (or to all the partners if there are less than four partners)
	 
	 	(e)  	if any Prohibited Circumstances referred to in Sub-clause
4.18.5 apply
	 
	 	(f)  	without complying with sub-clause 4.18.6

	4.18.4  	A Non-Qualifying Assignee is an assignee which falls into any of the following categories:

	 	(a)  	a company incorporated outside the United Kingdom which is
not registered at Companies House in accordance with Schedule 21A of the
Companies Act 1985 or Section 691 of the Companies Act 1985
	 
	 	(b)  	an assignee with sovereign diplomatic or consular immunity or
privilege (except where that immunity or privilege could not be claimed in
relation to the obligations of the Tenant under the Lease)

	   	(and if an assignee comprises more than one party it is the case that all those parties
fall into one or more of those categories)
	 
	4.18.5  	Prohibited Circumstances are any of the following which apply:

	 	(a)  	the Tenant (or any permitted occupier) has made application
for consent or approval under the Lease for alterations or any other matter
requiring the Landlord’s consent or approval under the Lease or the parties
have agreed terms for variation of the Lease (“the Arrangements”); and

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	 	(i)  	the documentation recording the
Arrangements has not been completed; and either
	 
	 	(ii)  	the Arrangements are contemplated for the
purpose of rectifying regularising or authorising a subsisting or
prior breach of the Tenant’s obligations under the Lease or
	 
	 	(iii)  	(in any other case) the Tenant has not
withdrawn the application or (as the case may be) its agreement to
the proposed variation

	 	(b)  	there are subsisting arrears of Rents or any other sums due
under the Lease
	 
	 	(c)  	the Tenant (or any permitted occupier) has failed to carry
out works which it was obliged to do under the Lease within a specified
timescale and the date for complying with that obligation has passed

	4.18.6  	The parties agree that

	 	(a)  	any consent given by the Landlord to an application for
consent to an assignment may be given subject to a condition that any or all
of the Conditions Precedent referred to in Sub-clause 4.18.7 which are capable
of applying to the assignment are complied with
	 
	 	(b)  	the Landlord is entitled to withhold consent for an
assignment because circumstances other than those referred to in Clause 4.18.5
apply where it would be reasonable to withhold consent or to grant consent
subject to conditions other than those referred to in Clause 4.18.7 where to
impose such conditions would be reasonable

	4.18.7  	The Conditions Precedent are the following:

	 	(a)  	that the Tenant (and any former tenant as defined by Section
16(6) of the 1995 Act) enters into an authorised guarantee agreement
guaranteeing the performance by the assignee of its obligations as tenant
under the Lease (together with any other obligations which the Landlord
lawfully imposes as a condition of giving consent to

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	 	   	the assignment) in substantially the form set out in Clause 7 or in such
form as the Landlord may reasonably require provided that it complies with
the requirements set out in Section 16 of the 1995 Act
	 
	 	(b)  	that any bank guarantee rent deposit guarantee or other
security arrangements which the Landlord has lawfully required as a condition
of giving consent to the assignment are completed and documented
	 
	 	(c)  	(where the assignee is a company incorporated outside the
United Kingdom) the assignee irrevocably appoints an agent in the United
Kingdom to accept service on its behalf of any notice or proceedings served or
issued arising out of or in connection with the provisions of this Lease and
undertakes with the Landlord to appoint another agent in its place if for any
reason the agent previously appointed ceases to be able or willing to act or
is no longer in the United Kingdom

	4.18.8  	Subject to the foregoing provisions of this Clause 4.18 not to assign the Premises without
the consent of the Landlord such consent not to be unreasonably withheld
	 
	4.18.9  	Notwithstanding Clause 4.18.1 where the Tenant is a company it may share the occupation of
the Premises with another Group Company for so long as the following conditions are
satisfied:–

	 	(a)  	the Group Company and the Tenant remain members of the same
group
	 
	 	(b)  	the Group Company occupies the Premises as licensee only and
no relationship of landlord and tenant subsists between the Tenant and the
Group Company
	 
	 	(c)  	the Tenant notifies the Landlord in writing of the identity
of any Group Company occupying the Premises and any change in occupation

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	Notice of Dealings
	 
	4.19.1  	Within one month of any assignment or any other disposition or devolution affecting the
Premises to give written notice to the Landlord or its solicitors and to produce a certified
copy of any relevant document for registration by the Landlord and to pay a reasonable fee
(being not less than Thirty Pounds plus Value Added Tax) for the registration of each
assignment or other instrument registered
	 
	4.19.2  	To supply to the Landlord or its surveyors within one month of any request full details of
all interests deriving out of the Term including in relation to each interest all information
of the type referred to in Section 40(l) (a) and (b) of the 1954 Act

	4.20  	Notice of Reletting and Sale
	 
	4.20.1  	To permit the Landlord at any time during the last six months of the Term to enter the
Premises to fix and retain upon any suitable part of the Premises a notice for reletting and
during that period to permit persons with the authority of the Landlord or its agents to view
the Premises at reasonable times on prior written notice
	 
	4.20.2  	To permit the Landlord at any time during the Term to enter the Premises to fix and retain
on any suitable part of the Premises a notice for sale of any interest superior to the Lease
and to permit at reasonable times and upon reasonable prior notice agents or prospective
purchasers of any interest superior to the Lease to view the Premises provided they are
authorised by the Landlord or its agents

	4.21  	Insurance
	 
	4.21.1  	Not knowingly to do or omit anything which could cause any insurance relating to the
Premises the Building or any adjoining or neighbouring premises belonging to the Landlord to
become void or voidable or (unless the Tenant has previously notified the Landlord and the
Insurers and has agreed to pay the increased premium) anything which could increase the rate
of premium payable for such insurance and to repay to the Landlord any

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	   	increased or additional premium which may be required for effecting or keeping up such
insurance
	 
	4.21.2  	To give written notice to the Landlord immediately on becoming aware of the same of any
circumstances or events which might affect any insurance relating to the Premises or the
Building or affect the decision of any insurer to grant or continue the insurance which the
Landlord covenants to effect
	 
	4.21.3  	If the Premises or any part are destroyed or damaged to give notice to the Landlord as soon
as such destruction or damage comes to the notice of the Tenant
	 
	4.21.4  	If the Premises the Building or any adjoining or neighbouring premises or any part thereof
respectively are destroyed or damaged by any of the risks against which the Landlord has
insured and the insurance money is wholly or partly irrecoverable by reason solely or in part
of any act neglect or default of the Tenant the Tenant will pay to the Landlord the whole or
(as the case may require) a fair proportion of the cost (including professional and other
fees) of rebuilding and reinstatement

	4.22  	Fire Precautions
	 
	4.22.1  	To comply with the requirements and recommendations of the fire authority and the insurers
of the Premises together with the proper and reasonable requirements of the Landlord in
relation to fire precautions affecting the Premises
	 
	4.22.2  	To keep the Premises supplied and equipped with such fire alarm smoke detection fire
fighting and extinguishing appliances and equipment as are required by any statute the fire
authority or the insurers of the Premises or as are reasonably required by the Landlord and
such appliances are to be open to inspection and maintained to the reasonable satisfaction of
the Landlord
	 
	4.22.3  	Not to obstruct the access to or means of working of any fire alarm smoke detection fire
fighting and extinguishing appliances and equipment or the means of escape from or through the
Premises in case of fire or other emergency

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	4.22.4  	Without prejudice to the generality of the foregoing and at the cost of the Tenant to ensure
that:

	 	(a)  	all security locking systems and / or devices to doors
installed by the original Tenant in the Premises comply with the requirements
of the District Surveyor and provide adequate means of escape in the event of
fire or other emergency
	 
	 	(b)  	the view afforded by the security camera(s) in the Premises
is not obscured in whole or in part and that such security camera is correctly
orientated
	 
	 	(c)  	all existing fire exit signage is retained in accordance with
BS 5499 Part 1: 1990 and the requirements of the District Surveyor

	   	in accordance with the requirements and recommendations of the fire authority the
District Surveyor the insurers of the Building and the Landlord
	 
	4.22.5  	To notify the Landlord in writing of all works to the Premises affecting the fire escape
route through the Premises serving the Building (including without limitation works carried
out at the request of the fire authority and/or the District Surveyor)

Not to cause nuisance

4.23 Not to do at the Premises or in any other part of the Building and/or the Estate anything
which may be or become a nuisance annoyance damage or disturbance to the Landlord its tenants or
the owners or occupiers of any adjoining or neighbouring premises

Not to overload

4.24 Not to overload the structure of the Premises and in particular:

	4.24.1  	not to place any excessive load on the floors of the Premises and
	 
	4.24.2  	not to suspend any excessive weight from any of the floor beams joists or roof members of
the Premises
	 
	4.24.3  	not to bring in any safe or other heavy article without first obtaining the approval of the
Landlord (which shall not be unreasonably withheld or delayed) to its siting in the Premises

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	4.24.4  	not to bring in or remove any furniture or bulky articles from the Premises between the
hours of nine o’clock in the morning and six o’clock in the afternoon except with the prior
written approval of the Landlord which shall not be unreasonably withheld or delayed where no
significant interference or disturbance is likely to be caused to other occupiers of the
Building

	4.25  	Not to obstruct
	 
	4.25.1  	Not to obstruct the Common Parts of the Building including (without limitation) any landing
corridor staircase hall lavatory or water closet in the Building
	 
	4.25.2  	Not to discharge into the sewers drains or watercourses serving the Premises any noxious or
deleterious effluent or other substance which may block or damage them or cause pollution

Not to overload services

4.26 In relation to the electrical gas or heating systems in the Premises not to:

	4.26.1  	attach any appliances so as to overload the current or supply
	 
	4.26.2  	interfere with alter or add to such systems without the previous written consent of the
Landlord
	 
	4.26.3  	employ any person or persons other than the engineers or other persons approved from time to
time by the Landlord acting reasonably to make any alterations or additions

Cleaning

4.27 To employ in relation to the Premises only those office or window cleaners approved by the
Landlord such approval not to be unreasonably withheld or delayed

4.28 Common Parts of the Building

	4.28.1  	Not to misuse overload damage or interfere with any lift in the Building and in particular:

	 	(a)  	not to exceed either the permitted number of persons or
weightload
	 
	 	(b)  	not to use any lift for the carrying of goods other than the
lift specified for that purpose by the Landlord

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	 	(c)  	to comply with any Landlord’s requirements properly and
reasonably made as a condition of any consent for the carrying of goods as to
the use of the goods lift

	4.28.2  	At all times to take all necessary steps to prevent any damage to the Common Parts of the
Building including (but without limitation) when bringing in or removing goods furniture or
luggage from the Premises
	 
	4.28.3  	To use any lift entrance passage and staircase lavatories and water closets in the Common
Parts of the Building in a careful manner and to make good any damage caused by improper or
careless use
	 
	4.28.4  	To keep all entrances passages and staircases in the Common Parts of the Building clear and
free from obstruction caused by the Tenant at all times

Defective Premises

4.29 To give notice immediately to the Landlord upon becoming aware of the same of any defect in
the Premises or the Building which might give rise to a liability or duty on the Landlord under
this Lease the Defective Premises Act 1972 or otherwise and to display all notices which the
Landlord may reasonably require

Regulations

	4.30.1  	To observe and perform to the rules and regulations set out in the Third Schedule as well as
any arising pursuant to Clause 4.30.2
	 
	4.30.2  	To observe and perform any reasonable regulations made by the Landlord from time to time for
the better management and control of the Building in the interests of good estate management

4.31 VAT

	4.31.1  	To pay to or indemnify the Landlord against all VAT which is at any time chargeable assessed
or imposed on the rents or any other sums payable by the Tenant under this Lease and on any
expenses incurred by the Landlord where the Tenant agrees to or is obliged to reimburse the
Landlord
	 
	4.31.2  	For the avoidance of doubt the Landlord is under no duty to make or not to make any election
or exercise or not exercise any right conferred on it by the

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	   	statutes relating to VAT so as to reduce or avoid any liability to VAT referred to
above

Rateable Occupation

4.32 At all times during the last year of the Term to keep the whole of the Premises in rateable
occupation and to keep the Landlord indemnified against all general business and other rates
payable by the Landlord for any part of the period of three months immediately following the end of
the Term by reason of any breach of this Clause 4.32

Indemnity

4.33 During the Term and any subsequent period during which the Tenant may remain in possession of
the Premises to be responsible for and to indemnify the Landlord against all losses claims demands
actions proceedings liabilities costs charges and expenses resulting directly or indirectly from:

	4.33.1  	Any act neglect or default of the Tenant
	 
	4.33.2  	Any breach by the Tenant of the provisions of this Lease
	 
	4.33.3  	Any obligation to abate a nuisance or to remedy any other matter in connection with the
Premises in obedience to a notice served by a local or public authority

Covenants

4.34 To comply with all restrictive and other covenants and provisions affecting the Premises at
the date hereof and in particular (but without prejudice to the generality of the foregoing) the
matters contained in or referred to in the documents set out in Part 4 of the First Schedule so far
as the same are still subsisting and capable of taking effect

LANDLORD’S COVENANTS

5. The Landlord COVENANTS with the Tenant:–

Quiet Environment

5.1 (Subject to the Tenant paying the rents and other sums due and complying with its obligations
under this Lease) to permit the Tenant to hold the Premises peaceably for the Term without any
interruption by the Landlord or any person lawfully claiming under or in trust for it

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Insurance

5.2 To insure (unless the insurance is vitiated by any act neglect or default of the Tenant):

	5.2.1  	the Building (including any authorised additions and alterations) and all Landlord’s
fixtures and fittings of an insurable nature including the glass (other than those which the
Tenant or any person deriving title under the Tenant is entitled to remove) against fire storm
tempest flood lightning explosion aircraft (or other aerial device) articles dropped from them
riot civil commotion malicious damage impact bursting and overflowing of water tanks and
apparatus and pipes and any additional risks which the Landlord reasonably decides in a sum
determined by the Landlord as being the full reinstatement cost including architects surveyors
and other fees the cost of debris removal demolition shoring site clearance any works that may
be required by statute and incidental expenses and having regard to any possible delay in the
commencement and carrying out of such reinstatement
	 
	5.2.2  	(to the extent to which they are not covered by sub-clause 5.2.1) any lifts boilers plant
and equipment in the Building now or at any time against third party liability and any other
risks and perils which the Landlord decides from time to time
	 
	5.2.3  	the third party liability of the Landlord in connection with the Building including the acts
neglects or defaults of the Landlord its servants or agents insofar as such liability is
insurable at any time and is not covered by sub-clauses 5.2.1 or 5.2.2
	 
	5.2.4  	four years loss of Annual Rent including (in the Landlord’s absolute discretion) provision
for increase in the Annual Rent having regard to any potential increase by virtue of the
provisions for review of the Annual Rent in Clause 3

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	5.2.5  	the Landlord’s obligation to insure is subject

	 	(a)  	in relation to any particular risk to insurance for that risk
being ordinarily available with a reputable insurer for property such as the
Building
	 
	 	(b)  	to such excesses exclusions or limitation as the Landlord’s
insurers may require or the Landlord acting reasonably agrees

Reinstatement

5.3 If and whenever the Premises are damaged or destroyed by any of the risks against which the
Landlord is obliged to insure or has insured when lawful to do so to apply all insurance moneys
received (other than in respect of loss of Annual Rent Service Charge and third party liability)
towards reinstating so far as practicable the Premises (but subject to the Tenant’s compliance with
the provisions of Clause 4.21) PROVIDED that if any national local public or other authority
lawfully refuses permission or otherwise lawfully prevents reinstatement the insurance monies (so
far as unapplied) shall be retained by the Landlord

Repair

	5.4.1  	To use its reasonable endeavours to keep the structure and exterior of the Building in
tenantable repair
	 
	5.4.2  	during the service hours to provide heat and air conditioning by means of the existing
installations in the Premises
	 
	5.4.3  	during the service hours to provide a supply of hot and cold water to the lavatories in the
Building
	 
	5.4.4  	use its reasonable endeavours to procure the services set out in the Second Schedule to this
Lease

PROVISOS AND AGREEMENTS

6. The parties agree that:–

Re-entry

6.1 If and whenever during the Term:

-28-

 

	6.1.1  	the Annual Rent or any sums of money reserved or payable as rent are . unpaid in part or in
whole for twenty-one days after becoming due (whether formally demanded or not) or
	 
	6.1.2  	the Tenant at any time fails or neglects to perform any of its obligations in this Lease or
in any document supplemental to this Lease or
	 
	6.1.3  	the Tenant or any Guarantor (being a company) has a receiver manager administrative receiver
or provisional liquidator appointed has a petition presented for its winding up by the Court
or resolves to go into liquidation (except a voluntary liquidation of a solvent company for
the purposes of reconstruction) or has a petition presented for an Administration Order or
	 
	6.1.4  	the Tenant or any Guarantor (being an individual or individuals) becomes bankrupt or
	 
	6.1.5  	the Tenant makes or proposes an arrangement or composition with its creditors or suffers any
distress or execution to be levied on its goods

the Landlord may enter the Premises (or any part of it) at any time thereafter even if a previous
right of re-entry has been waived and upon that entry the Term will end (but without prejudice to
any right of action which has accrued to the Landlord for breach of any of the provisions of the
Lease including the breach under which the re-entry is made)

Suspension of Rent

6.2 If the Premises or any part are damaged or destroyed by any of the risks insured against by the
Landlord so as to be unfit for occupation or use and save to the extent that the insurance is
vitiated or payment of the insurance moneys refused wholly or in part through any act neglect or
default of the Tenant the Annual Rent or a fair proportion according to the nature and extent of
the damage sustained will cease to payable for a period of four years from the date of damage or
destruction or until the Premises are again fit for occupation or use by the Tenant whichever is
the shorter period

Landlord’s Liability

	6.3.1  	The Landlord shall not be responsible over and above its liability under the Occupiers
Liability Acts 1957 and 1984 to the Tenant any undertenant or any person in the Premises with
its or their consent (express or implied) for any

-29-

 

	   	accident happening or injury suffered or damage to or loss of any chattel or property
sustained there
	 
	6.3.2  	Notwithstanding anything in this Lease the Landlord will not be liable to the Tenant nor any
person or persons in the Premises in respect of any interruption or failure of any of the
services provided by the Landlord or supplies of any public utility caused by circumstances
beyond the Landlord’s its employees or agents control except in so far as the same may be
covered by the insurance effected by the Landlord in accordance with clause 5.2 hereof
Provided that the Landlord will be bound to take all reasonable steps to minimise the
inconvenience to the Tenant

6.4 Adjoining Premises

	6.4.1  	Each of the Tenant’s obligations under this Lease will remain in full force (both at law and
in equity) even if the Landlord has waived or released (temporarily or permanently revocably
or irrevocably or in any other way) a similar obligation or obligations affecting other parts
of the Building and/or adjoining or neighbouring premises belonging to the Landlord
	 
	6.4.2  	Nothing in this Lease confers on the Tenant the benefit of or the right to enforce any
covenant or agreement contained in any lease or other instrument relating to any other
premises belonging to the Landlord or limits or affects the right of the Landlord to deal with
those premises now or at any time in any manner which the Landlord thinks fit
	 
	6.4.3  	The Landlord or the owners of any adjoining or neighbouring premises may deal with the
Building or any of such premises as it or they think fit and may at any time carry out any
works (whether of construction demolition repair or otherwise) on the remainder of the
Building or those adjoining or neighbouring premises whether or not the light or air which may
now or at any time during the Term be enjoyed by the Premises is affected or diminished but
not so that the Premises are made incapable of beneficial use
	 
	6.4.4  	The Tenant will not during the Term acquire or become entitled to any easement or right over
any adjoining or neighbouring premises including the

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	   	Building and any easement exercised over any adjoining or neighbouring premises (except
those expressly set out in the First Schedule) will be regarded as being by virtue of a
determinable licence from the Landlord

Disputes

6.5 Any dispute between the Tenant or any occupier of the Premises and the occupiers of adjoining
or neighbouring premises belonging to the Landlord (whether or not part of the Building) concerning
any right or privilege in connection with the Premises or those adjoining or neighbouring premises
or concerning any boundary structure or facility used in common shall be decided by the Landlord
whose decision shall be binding on the Tenant

	6.6  	1995 Act
	 
	6.6.1  	The provisions of this Lease are to be construed so as not to impose upon the Landlord the
Tenant or any Guarantor any liability or restriction which is more onerous than that permitted
by the 1995 Act and if any provision is held to be void or unenforceable in whole or in part
that provision to that extent is to be deemed not to form part of this Lease but the validity
and enforceability of the remainder of that provision or of the Lease is not to be affected
	 
	6.6.2  	For the purposes of the 1995 Act all the provisions of the Lease are to be construed
independently so that if any individual provision is void or unenforceable it does not render
void or unenforceable any of the other provisions of the Lease
	 
	6.7  	Supplemental Agreements
	 

     Where under the provisions of this Lease the Landlord gives consent or licence or enters into
any collateral or supplemental agreement with the Tenant (“a Supplemental Agreement”) the parties
acknowledge that in so far as the Supplemental Agreement does not constitute a relevant variation
for the purposes of Section 18 of the 1995 Act the Tenant must procure that any party who is a
guarantor of the Tenant’s obligations under the Lease and is a Connected Party joins in the
Supplemental Agreement and that where the Supplemental Agreement is a relevant variation for the

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purposes of Section 18 the Landlord may require that party to enter into the Supplemental Agreement
as a condition of agreeing to it

	6.8  	Jurisdiction and proceedings
	 
	6.8.1  	This Lease is governed by and is to be construed in all respects in accordance with the laws
of England and Wales
	 
	6.8.2  	Each of the parties submits to the non-exclusive jurisdiction of the Courts of England and
Wales
	 
	6.8.3  	The parties agree that any proceedings relating to the Lease are to be brought in the Courts
of England and Wales and that any order of the Courts of England and Wales arising out of such
proceedings is to be recognised and may be enforced in any court of foreign jurisdiction in
the country or state in which any of the parties may be domiciled or resident
	 
	6.8.4  	The Tenant and any guarantor of the Tenant waive any claim to immunity from proceedings or
enforcement against any of its or their assets wherever they may be situated

	6.9  	 Notices
	 
	6.9.1  	Any notice under this Lease must be in writing
	 
	6.9.2  	Any notice to the Tenant or Guarantor (if a corporation) may be served by leaving it
addressed to the Tenant on the Premises or sending it by registered or recorded delivery post
to or leaving it at its registered or principal office in the United Kingdom
	 
	6.9.3  	Any notice to the Tenant or Guarantor (if an individual or individuals) may be served by
leaving it addressed to the Tenant on the Premises or by sending it by registered or recorded
delivery post to or leaving it addressed to the Tenant at his or their last known address in
the United Kingdom
	 
	6.9.4  	Any notice to the Landlord (if a corporation) may be served by sending it by registered or
recorded delivery to its registered or principal office in the United Kingdom

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	6.9.5  	Any notice sent by registered or recorded delivery post is deemed to have been duly served
on the third day after the day of posting whenever and whether or not it was received
	 
	6.9.6  	In proving service it will be sufficient to prove that the envelope containing the notice
was duly addressed in accordance with this Clause 6.9 and left at or posted to the place to
which it was so addressed
	 
	6.9.7  	If the party to which the notice is addressed is more than one person notice given to any
one person is notice to all
	 
	6.10  	Representations

The Tenant acknowledges that it has not entered into this Lease in reliance wholly or partly on any
representation or warranty made by or on behalf of the Landlord and the Landlord gives no title
guarantee

Interpretation

6.11 In this Lease where the context allows:

	6.11.1  	“the Landlord” includes the person or persons for the time being entitled to the reversion
immediately expectant upon the determination of the Term
	 
	6.11.2  	“the Tenant” includes the person or persons in whom the Term is from time to time vested
whether by assignment devolution in law or otherwise
	 
	6.11.3  	where there are two or more persons included in the expression “the Landlord” “the Tenant”
or “the Guarantor” for the time being such terms include the plural number and (a) obligations
expressed or implied to be made by or with such party are deemed to be made by or with such
persons jointly and severally (b) references to such party are to all such persons
collectively and to each such person severally
	 
	6.11.4  	words importing one gender include all other genders and words importing the singular
include the plural and vice versa
	 
	6.11.5  	the expression “the Term” means the term granted by this Lease
	 
	6.11.6  	references to the last year of the Term includes the last year of the Term if it determines
otherwise than by effluxion of time and to the end of the Term include any sooner
determination of the Term

-33-

 

	6.11.7  	references to any right of the Landlord to have access to the Premises are to be construed
as extending to all persons authorised by the Landlord (including agents professional advisers
contractors workmen any superior landlord or management company and others)
	 
	6.11.8  	any covenant by the Tenant not to do an act or thing includes an obligation not to permit or
suffer such act or thing to be done and to take all reasonable steps so far as within the
Tenant’s control to prevent such act or thing being done by a third party
	 
	6.11.9  	references to the act neglect or default of the Tenant include the act neglect or default of
any undertenant or occupier of the Premises or any person in the Premises or the Building with
its or their consent (express or implied)
	 
	6.11.10  	references to this Lease include any document supplemental or collateral to it or entered
into pursuant to its terms
	 
	6.11.11  	any reference to a specific statute includes any statutory extension amendment modification
consolidation or re-enactment of that statute and any statutory instruments regulations rules
orders or directions made thereunder and any general reference to statute or statutes includes
any statutory instruments regulations rules orders or directions made thereunder and any
directives or other legislation of the European Community that is directly applicable to the
United Kingdom
	 
	6.11.12  	the table of contents and clause headings do not form part of this Lease and are not to be
taken into account in its construction or interpretation

Determination

	6.12.1  	The Tenant may determine the Term by giving to the Landlord not less than six months notice
in writing to take effect not earlier than 24 December 1997 subject to the Tenant having fully
paid the Annual Rent until the date of intended determination but without prejudice to any
right of action which either party has for breach of any of the provisions of this Lease
	 
	6.12.2  	The Landlord may determine the Term by giving to the Tenant not less than six months notice
in writing to take effect not earlier than 29 September 2001

-34-

 

	   	but without prejudice to any rights of action which either party has for breach of any
of the provisions of this Lease

Exclusion of the 1954 Act

	6.13  	Having been authorised to do so by an Order of The Shoreditch County court made on 29
February 1996 under the provisions of Section 38(4) of the 1954 Act the parties agree that the
provisions of Sections 24 to 28 (inclusive) of the 1954 Act are excluded in relation to the
tenancy created by this Lease

GUARANTOR’S COVENANT

	7.  	The Guarantor [                    ] and in consideration of [                    ] covenants with the Landlord as primary obligor that:
	 
	   	Guarantee
	 
	7.1.1  	The Tenant will at all times during the Term pay the Annual Rent and other sums payable
under the Lease and will duly perform all its obligations in this Lease whether after or
before any disclaimer by a liquidator or trustee in bankruptcy
	 
	7.1.2  	The Guarantor will at all times on demand pay and make good to the Landlord on demand all
losses claims demands actions proceedings liabilities costs charges and expenses suffered by
the Landlord by the non-payment of the Annual Rent or other sums or any part or by any breach
of any of the provisions of the Lease by the Tenant
	 
	7.2  	Rent Review and Supplemental Agreements
	 
	7.2.1  	The Landlord and the Tenant are at liberty to review the Annual Rent in accordance with the
provisions of this Lease without reference to the Guarantor and the obligations of the
Guarantor shall apply to the Annual Rent as reviewed from time to time as much as to the
Annual Rent payable at the commencement of the Term
	 
	7.2.2  	Without prejudice to Sub-clause 7.2.1 the Guarantor will if so requested by the Landlord
sign any memorandum recording the amount of Annual Rent agreed or determined which is prepared
following any review of rent under this Lease

-35-

 

	7.2.3  	The Guarantor acknowledges that in the case of any Supplemental Agreement referred to in
Clause 6.7 entered into between the Landlord and the Tenant (whether or not this constitutes a
relevant variation for the purposes of Section 18 of the 1995 Act) where the Guarantor is a
Connected Party the Landlord may require the Guarantor to be joined as party and the Guarantor
agrees to enter into that documentation recording those arrangements in such form as the
Landlord may properly require
	 
	7.3  	No release of liability
	 
	   	The obligations of the Guarantor will continue to apply and will not be affected or
released in whole or in part even if:
	 
	7.3.1  	the Landlord grants any time or indulgence to the Tenant or fails to enforce payment of the
Annual Rent or other sums due under this Lease or to enforce performance of the provisions of
the Lease
	 
	7.3.2  	any of the terms of this Lease or the rights of the Landlord against the Tenant are varied
waived released or modified without the consent of the Guarantor
	 
	7.3.3  	the liability of the Tenant or any other guarantor or other person is compounded discharged
released waived or modified
	 
	7.3.4  	the Tenant (if an individual) dies or (if a company) is dissolved
	 
	7.3.5  	the Landlord refuses to accept rent from the Tenant following a breach of covenant by the
Tenant
	 
	7.3.6  	part of the Premises is surrendered except that the Guarantor will have no liability in
relation to the surrendered part (except in so far as the Tenant has such liability) for any
period following the date of surrender

Landlord’s prior claim

	7.4  	The Guarantor acknowledges that:
	 
	7.4.1  	it waives any right it may have of first requiring the Landlord to proceed against or claim
payment from the Tenant and subordinates any claim which it may have against the Tenant
(whether now or in the future and whether in relation to payments made under this Clause 7 or
otherwise) to any claims by the Landlord under this Lease

-36-

 

	7.4.2  	it is not entitled to participate in any security held by the Landlord relating to the
Tenant’s obligations to the Landlord under this Lease or to stand in the place of the Landlord
in relation to any such security until all the obligations of the Tenant or the Guarantor to
the Landlord under this Lease have been performed or discharged
	 
	7.4.3  	its obligations to the Landlord as primary obligor are not affected by any legal limitation
immunity disability incapacity or other circumstances relating to the Tenant (whether or not
known to the Landlord) and this guarantee is not discharged nor the Guarantor’s liability
affected by the fact that any dealings with the Landlord by the Tenant may be outside or in
excess of the powers of the Tenant

THIS LEASE has been executed as a Deed and delivered on the day on which it has been dated

-37-

 

THE FIRST SCHEDULE

PART 1

The Premises

1. The Premises include: -

1.1 The internal plaster tile and other surface finishes and internal plaster work of (i) the walls
in or bounding the Premises and (ii) all columns

1.2 all doors and windows including the glass and frames

1.3 the internal non structural walls and partitions lying within the Premises

1.4 the ceilings plastered coverings or other surface finishes of the Premises up to the underside
of the joists or other structures to which the ceilings are fixed including for the avoidance of
doubt the suspended ceilings which shall comprise the ceiling tiles and the complete suspension
system

1.5 the floorboards and other surfaces of the floors including all carpets and coverings thereof
down to the upper surface of the joists or structures to which the floors are fixed

1.6 any steps lying within the boundaries of the Premises

1.7 all Conduits which serve the Premises exclusively

1.8 any terraces and balastrades serving only the Premises

1.9 all gas electrical mechanical and water and sanitary apparatus belonging exclusively to the
Premises and all other fixtures and fittings in the Premises (other than tenants fixtures and
fittings) not excluded by Paragraph 2

2. The Premises do not include:-

2.1 any part of the Building (other than any matters expressly included by Paragraph 1) lying above
the underside of the joists or structures to which the ceilings are fixed or below the upper
surfaces of the joists or structures to which the floors are fixed

2.2 any of the main timbers and joists and other load bearing parts of the Building or any of the
external or structural walls or load bearing columns in the Building except those surface finishes
and coverings staircases windows and doors expressly included by Paragraph 1

2.3 any Conduits in the Building which do not serve the Premises exclusively

2.4 concrete floor slabs of any terraces

-38-

 

3. Any internal non structural walls separating the Premises from the remainder of the Building are
party walls severed vertically

PART 2

Rights granted to the Tenant

1. The right of free passage and running of water soil gas electricity telecommunications and other
services from and to the Premises by and through the Conduits in or under or upon the remainder of
the Building or the Estate such right to be so far as necessary for the enjoyment of the Premises
and in common with the Landlord and all others so authorised by the Landlord and all others
entitled thereto and subject to the exceptions and reservations contained in Part 3 of the First
Schedule

2. The right in common with the Landlord and all others so authorised by the Landlord and with
other tenants of Letting Units to use:-

	(a)  	such of the Common Parts of the Building as are necessary to obtain access to and egress from
the Premises
	 
	(b)  	such of the male and female lavatories and water closets of the Building as may from time to
time be allocated by the Landlord for the use of the Tenant (whether or not in common)
	 
	(c)  	for the purposes only of gaining access on foot to and egress from the Building to pass and
repass over and along the footpaths courtyards and emergency escapes within the Estate
	 
	(d)  	for the purposes only of gaining access to and egress from the Building with or without
vehicles over the estate roads within the Estate

PART 3

Rights Reserved to the Landlord

EXCEPTING AND RESERVING to the Landlord and the persons deriving title under it:-

1. The free passage of water soil gas electricity telecommunications and other services from the
remainder of the Building and any adjoining or neighbouring premises through the Conduits
constructed for such purpose now or at any time running through or under the Premises

-39-

 

2. The right at all reasonable times to enter the Premises subject to giving reasonable previous
notice (except in emergency) for the purpose of:

	2.1  	complying with statutory requirements inspecting cleansing or repairing the Premises or
repairing or altering the remainder of the Building or any adjoining or neighbouring premises
	 
	2.2  	inspecting laying connecting cleansing repairing altering or improving any Conduits in the
Premises or the remainder of the Building and any adjoining or neighbouring premises
	 
	2.3  	constructing any building or structure on any other part of the Building and/or any adjoining
or neighbouring premises
	 
	2.4  	performing the obligations of the Landlord in this Lease or the lease of any other part of
the Building

the Landlord or other persons entering exercising such rights in a reasonable manner causing as
little interference as practicable and making good all damage to the Premises

3. The right at any time to build on rebuild or alter any parts of the remainder of the Building or
any adjoining or neighbouring premises within the Estate according to such plans (whether as to
height extent or otherwise) and in such manner as the Landlord decides even though this may
interfere with the access of light or air to the Premises but not so that the Premises are made
incapable of beneficial use

4. The right to use the remainder of the Building or any adjoining or neighbouring premises within
the Estate for any purpose whatsoever and without imposing upon the Building or any adjoining or
neighbouring premises any restrictions or conditions similar to those imposed upon the Tenant

5. The right to erect scaffolding for the purpose of repairing maintaining cleansing or altering
the Building or any adjoining or neighbouring premises even though this may temporarily interfere
with the access to or the use and enjoyment of the Premises

6. All rights of light air support protection and shelter and all other easements and rights now or
after the date of this Lease belonging to or enjoyed by any parts of the Building or any adjoining
or neighbouring premises (but without prejudice to those expressly granted to the Tenant in Part 2
of this Schedule)

-40-

 

7. All rights of way through the escape routes in the Premises for all persons in the Building in
the event of fire or other emergency or fire practice including but without prejudice to the
generality of the foregoing a minimum clear escape width of 1.8 meters maintained between [lobby
RQ.5 shown edged in green on Plan 2 and the external exit doors of the Premises]

8. All rights of way through the Premises to or from the Common Parts of the Building in favour of
the users and occupiers of the Adjoining Premises

9. The right to retain without obscured view or incorrect orientation a security camera or cameras
in the Premises in accordance with Clause 4.23

PART 4

The Lease of the Building dated 7 December 1993 made between (1) St Katharine By The Tower Limited
(2) the Landlord (3) Enfranchise 146 Limited

-41-

 

THE SECOND SCHEDULE

The Service Charge

PART 1

1. Certificate of Service Charge

1.1 The amount of the Service Charge must be ascertained and certified annually by a certificate
(“the Certificate”) signed by or on behalf of the Landlord or by its surveyors or accountants as
soon after the end of the financial year as may be practicable

1.2 The expression “the financial year” means the period from 1st January to 31st December (both
days inclusive) or such other annual period as the Landlord in its reasonable discretion from time
to time determines as being that for which the accounts of the Landlord either generally or
relating to the Building are made up

1.3 A copy of the Certificate for each such financial year must be supplied by the Landlord to the
Tenant

1.4 The Certificate must contain a fair summary of the Building Expenses during the financial year
to which it relates and the Certificate (or a duly certified copy) will be conclusive evidence of
the matters which it purports to certify other than as regards manifest errors

1.5 For the purpose of this Schedule the expression “the Building Expenses” means the total costs
fees expenses and outgoings properly incurred by the Landlord relating to the services referred to
in Part 2 of this Schedule (“the services”) together with any provision for anticipated expenditure
for the future provision of any of the items referred to in Part 2 which the Landlord in its
discretion considers appropriate

1.6 For the purpose of this Schedule the expression “the Site Service Charge” means the aggregate
of the costs fees expenses and outgoings properly incurred by the Landlord relating to the services
referred to in Part 3 of this Schedule together with any provision for anticipated expenditure for
the future provisions of any of the items referred to in Part 3 which the Landlord in its
discretion considers appropriate

2. Tenant’s share of Service Charge

2.1 The amount of Service Charge payable by the Tenant will be a fair and proper proportion of the
Building Expenses having regard to:

-42-

 

	2.1.1  	The net internal floor area of the Premises in comparison with the net internal floor area
of the Building
	 
	2.1.2  	The number of Letting Units comprised in the Building
	 
	2.1.3  	The extent to which the Services referred to in Part 2 of this Schedule are supplied to the
various Letting Units in the Building

3. Advance Payment

3.1 The Tenant must pay to the Landlord a reasonable sum to be notified by the Landlord on account
of the Service Charge for the period to 31st December next by quarterly instalments on the Rent
Payment Days the first payment being made on the date of this Lease

3.2 Thereafter the Tenant must pay such sum (“the advance payment”) on account of the Service
Charge for each subsequent financial year as the Landlord acting reasonably from time to time
specifies at its discretion to be fair and reasonable

3.3 The advance payment must be paid to the Landlord in advance by equal quarterly instalments on
the Rent Payment Days

4. Balancing Payment 

As soon as practicable after the end of each financial year the Landlord must give to the Tenant a
statement of the Service Charge payable by the Tenant for that year together with a copy of the
Certificate due credit being given in such statement for the advance payment made by the Tenant and
the Tenant must within 14 days pay to the Landlord the Service Charge or any balance found payable
or there shall be allowed by the Landlord to the Tenant any amount which may have been overpaid by
the Tenant by way of advance payment as the case may require PROVIDED ALWAYS:-

4.1 That the Service Charge is to be duly apportioned for the period from the Term Commencement
Date to the ensuing 31st December

4.2 That any omission by the Landlord to include in the Building Expenses or the Certificate for
any financial year a sum expended or a liability incurred in that year shall not prevent the
Landlord from including such sum or the amount of such liability in the Building Expenses or the
Certificate in any subsequent financial year

-43-

 

4.3 That the provisions of this Schedule will continue to apply notwithstanding the end of the Term
but only for the period expiring at the end of the Term

PART 2

The Building Expenses

1. The maintenance repair renewal replacement rebuilding redecoration cleaning and (where
appropriate) lighting and heating of the Retained Property

2. The provision maintenance repair and replacement of all receptacles tools appliances materials
and other things which the Landlord reasonably considers necessary or desirable for the general
management security maintenance upkeep or cleanliness of the Retained Property

3. The cost of providing inspecting servicing maintaining repairing overhauling and replacing all
electrical and mechanical equipment and other apparatus plant and machinery in the Retained
Property

4. The provision maintenance
repair and replacement of all planting landscaping furniture signs
notices fixtures fittings and furnishings in the Common Parts of the
Building which the Landlard in
its discretion considers appropriate

5. The cost of supply of all electricity gas oil fuel or other power for all purposes in connection
with the Retained Property

6. The cost of complying with the obligations contained in Clause 5.4 of this Lease

7. All refuse disposal costs relating to the Building not the responsibility of an individual
Tenant

8. The cost of insuring the Building including:-

8.1 insurance effected in accordance with Clause 5.2 of this Lease (where this is not recovered
directly from an individual tenant) together with any insurance effected against loss of Service
Charge

8.2 insurance effected in relation to any fixtures fittings furnishings machinery or equipment in
the Retained Property

8.3 the cost of obtaining or carrying out valuations or revaluations of the Building for insurance
purposes

-44-

 

9. Any general or business rates or water rates taxes duties outgoings and impositions imposed or
payable on or relating to the Building which are not the liability of any individual tenant

10. The employment of a porter or other caretaking or security staff and other staff (whether or
not such staff are employed directly by the Landlord) for the Building including (but without
limitation):

	10.1  	wages national insurance pension contributions compensation payments uniform working clothes
and expenses wholly and exclusively incurred in connection with such employment and
	 
	10.2  	all costs incurred in connection with the provision of accommodation including:
	 
	10.2.1  	notional rent
	 
	10.2.2  	insurance general and business rates and water rates
	 
	10.2.3  	electricity heating lighting and telephone costs
	 
	10.3  	the cost or notional rent applicable to any car parking spaces (whether inside or outside the
Building) reasonably provided for such staff

11. All costs relating to the safety and security of the Building (which the Landlord acting
reasonably considers necessary or desirable and are not the responsibility of an individual tenant)
together with the provision maintenance repair replacement and cleaning of any equipment provided
for that purpose (including without prejudice to the generality of the foregoing):-

	11.1  	any television cameras and monitors automatic door entry or other security systems
	 
	11.2  	any burglar alarm systems
	 
	11.3  	any fire escapes fire fighting equipment and alarm systems

12. The amount which the Landlord shall properly be required to pay as a contribution towards the
expense of making repairing maintaining rebuilding and cleaning anything used by the Building in
common with other adjoining or neighbouring premises including Conduits roads ways pavements walls
fences and structures

-45-

 

13. Any expenses properly incurred by the Landlord in or in connection with complying with the
provisions of any statute in force or now or at any time during the Term affecting the Building

14. Any other costs and expenses properly and reasonably incurred by the Landlord and their
surveyors or managing agents in connection with the general supervision management provision of
other services and amenities and maintenance of the Building not otherwise specifically mentioned
in this part of this Schedule

15. A reasonable and proper proportion of the Site Service Charge

16. VAT chargeable on any of the Building Expenses to the extent that this is not otherwise
recoverable by the Landlord

17. The proper fees and expenses of the Landlord’s surveyors managing agents or other professional
advisers incurred in connection with the management of the Building and the matters referred to in
this Schedule not recoverable from any individual tenant together with (where the Landlord does not
retain managing agents and / or other independent professional advisers providing the services of
managing agents for the Building) a sum equal to 10% of the Building Expenses other than this
paragraph 17

PART 3

The Site Service Charge

1. The maintenance repair renewal replacement rebuilding redecoration cleaning and (where
appropriate) lighting and heating of the Estate

2. The provision maintenance repair and replacement of all receptacles tools appliances materials
and other things which the Landlord or any superior landlord reasonably considers necessary or
desirable for the general management security maintenance upkeep or cleanliness of the Estate

3. The cost of providing inspecting operating servicing maintaining repairing overhauling and
replacing all electrical and mechanical equipment and other apparatus in the Estate

4. The provision maintenance repair and replacement of all planting landscaping furniture signs
notices fixtures fittings and furnishings in the Estate which the Landlord in its discretion
considers appropriate

-46-

 

5. The cost of supply of all electricity gas oil fuel or other power for all purposes in connection
with the Estate

6. All refuse disposal costs relating to the Estate not the responsibility of an individual tenant

7. The cost of insuring the Estate including:-

	7.1  	insurance cover against the same risks as those referred to in Clause 5.2 of this Lease
(where this is not recovered directly from an individual tenant) together with any insurance
effected against loss of Service Charge
	 
	7.2  	insurance effected in relation to any fixtures fittings furnishings machinery or equipment in
the Estate
	 
	7.3  	the cost of obtaining or carrying out valuations or revaluations of the Estate for insurance
purposes

8. Any general or business rates or water rates taxes duties outgoings and impositions imposed or
payable on or relating to the Estate which are not the liability of any individual tenant

9. The employment of a porter or other caretaking or security staff a lockkeeper and other staff
(whether or not such staff are employed directly by the Landlord or any superior landlord) for the
Estate including (but without limitation):

	9.1  	wages national insurance pension contributions compensation payments uniform working clothes
and expenses wholly and exclusively incurred in connection with such employment and
	 
	9.2  	all costs incurred in connection with the provision of accommodation including:
	 
	9.2.1  	notional rent
	 
	9.2.2  	insurance general and business rates and water rates
	 
	9.2.3  	electricity heating lighting and telephone costs
	 
	9.3  	the cost or notional rent applicable to any car parking spaces (whether inside or outside the
Estate) provided for such staff

10. All costs relating to the safety and security of the Estate (which the Landlord or any superior
landlord acting reasonably considers necessary or desirable and are not the responsibility of an
individual tenant) together with the provision maintenance repair

-47-

 

replacement and cleaning of any equipment provided for that purpose (including without prejudice to
the generality of the foregoing):-

	10.1  	any television cameras and monitors automatic door entry or other security systems
	 
	10.2  	any burglar alarm systems
	 
	10.3  	any fire escapes fire fighting equipment and alarm systems

11. The amount which any superior landlord or the Landlord shall properly be required to pay as a
contribution towards the expense of making repairing maintaining rebuilding and cleaning anything
used by the Estate in common with other adjoining or neighbouring premises including Conduits roads
ways pavements walls fences and structures

12. Any expenses incurred by any superior landlord or the Landlord in or in connection with
complying with the provisions of any statute in force or now or at any time during the Term
affecting the Estate

13. Any other costs and expenses properly and reasonably incurred by any superior landlord or the
Landlord and their surveyors or managing agents in connection with the general supervision
management and maintenance of the Estate not otherwise specifically mentioned in this part of this
Schedule

14. VAT chargeable on the Site Service Charge to the extent that this is not otherwise recoverable
by the Landlord

15. The proper fees and expenses of any superior landlord or the landlord’s surveyors managing
agents or other professional advisors incurred in connection with the management of the Estate and
the matters referred to in this Schedule not recoverable from any individual tenant together with
(where the Landlord does not retain managing agents for the Estate) a sum equal to 10% of the Site
Service Charge other than this paragraph 15

-48-

 

THE THIRD SCHEDULE

Regulations

	1.  	Vehicular obstruction
	 
	   	Not wilfully to obstruct the movement of vehicles in the Estate
	 
	2.  	Parking 
	 
	   	No vehicles to be parked in the Estate for longer than reasonably necessary for the
purposes of loading and unloading and in any event no vehicles to remain overnight
	 
	3.  	Cleaning
	 
	   	No mat brush or mop to be shaken or anything thrown outside the Premises
	 
	4.  	Windows
	 
	   	Not to open the windows at the Premises
	 
	5.  	Blinds
	 
	   	There are to be no blinds or curtains put up in the windows of the Premises without the
previous written approval of the Landlord such approval not to be unreasonably withheld or
delayed
	 
	6.  	Security Services
	 
	   	To comply with all reasonable requirements of the Landlord’s security services
	 
	7.  	Office cleaning
	 
	   	Not to have office cleaners at the Premises except between the hours of midnight and 8 a.m.
on normal business days
	 
	8.  	Telephones
	 
	   	To comply with all reasonable requirements of the Landlord in relation to telephones and
telephone equipment

	 	 	 	 	 	 	 
	EXECUTED as a Deed by the

	 	 	)	 	 	[SEAL]
	affixing of its Common Seal by

	 	 	)	 	 	 
	CLIPPER INVESTMENTS LIMITED in the

	 	 	)	 	 	 
	presence of

	 	 	)	 	 	 

Director

Secretary

-49-EX-10.21:

 

Exhibit 10.21

WORLD TRADE CENTRE

LONDON

International House

Resident Member’s

Agreement

Certain information in this agreement has been omitted and filed
separately with the Commission. Confidential treatment has been
requested with respect to the omitted portions.

 

 

RESIDENT MEMBER’S AGREEMENT — INTERNATIONAL HOUSE

WORLD TRADE CENTRE, LONDON

The Particulars

	 	 	 	 	 
	1.

	 	DATE
	 	2nd December 1983
	 
	 	 	 	 
	2.

	 	PROMOTER
	 	ST KATHARINE-BY-THE-TOWER LTD
	 
	 	 	 	 
	3.

	 	PROMOTER’S HEAD OFFICE
	 	WORLD TRADE CENTRE LONDON E1 9LB
	 
	 	 	 	 
	4.

	 	RESIDENT MEMBER
	 	AEGIS INSURANCE SERVICES LIMITED
	 
	 	 	 	 
	5.

	 	RESIDENT MEMBER’S
	 	R/O 20 EASTBOURNE TERRACE
	

	 	REGISTERED
	 	LONDON W2 6LG
	

	 	OFFICE/ADDRESS	 	 
	 
	 	 	 	 
	6.

	 	GUARANTOR
	 	NOT APPLICABLE
	 
	 	 	 	 
	7.

	 	GUARANTOR’S REGISTERED
	 	— 
	

	 	OFFICE/ADDRESS
	 	— 
	

	 	 	 	— 
	 
	 	 	 	 
	8.

	 	PROPERTY
	 	INTERNATIONAL HOUSE
	

	 	 	 	WORLD TRADE CENTRE
	

	 	 	 	1 ST. KATHARINE’S WAY
	

	 	 	 	LONDON E1 9UN
	 
	 	 	 	 
	9.

	 	PREMISES
	 	QUAY LEVEL
	

	 	 	 	WEST SIDE
	 
	 	 	 	 
	

	 	(Plans B-J)
	 	INTERNATIONAL HOUSE shown on the
	

	 	 	 	attached plans B-J edged blue
	 
	 	 	 	 
	10.

	 	TERM
	 	TWENTY-FIVE YEARS FROM
	

	 	 	 	25 DECEMBER 1983
	 
	 	 	 	 
	                                                       
	11.

	 	RENT
	 	[***] £ [***] per annum
(subject to
	

	 	 	 	increases provided in Clause J) payable from
	

	 	 	 	3rd APRIL 1984
	                                                        
	 
	 	 	 	 
	                                                       
	12.

	 	INITIAL ESTIMATE OF
SERVICE
CHARGE
	 	[***] £ [***] per annum (subject
to Clause E)
	

	 	 	 	payable from 3rd APRIL 1984 to DECEMBER 1984
	                                                        
	 
	 	 	 	 
	13.

	 	USE
	 	OFFICES/                                                                 
	

	 	 	 	                                        within the World Trade
	

	 	 	 	Centre London
	 
	 	 	 	 
	14.

	 	REVIEW DATES
	 	25 DECEMBER 1988 and every subsequent
	

	 	 	 	FIFTH anniversary

 
	 	 
	 	 

	 	 	 
	***	 	Certain information on this page has been omitted and
filed separately with the Commission. Confidential treatment has been
requested with respect to the omitted portions.

- 2 -

 

	 	 	 	 	 
	THIS DEED IS MADE ON

	 	 	19	 

          BETWEEN the Promoter whose name and address are shown in paragraph 2 and 3 of the Particulars
the Resident Member being a member of the London World Trade Centre Association whose name and
address are shown in paragraphs 4 and 5 of the Particulars and the Guarantor(s) whose name(s) and
address(es) is/are shown in paragraphs 6 and 7 of the Particulars.

A      Definitions

In this document the following definitions apply

A1      Particulars

“the Particulars” on the first page form an integral part of this document

A2      Promoter

“the Promoter” includes anyone deriving title under it

A3      Resident Member

“the Resident Member” includes anyone deriving title under him

A4      Development Area

“the Development Area” is the Promoter’s land bounded partly by East Smithfield Thomas More Street
St Katharine’s Way and the River Thames shown on the attached plan A edged red

A5      Property (Plan A)

“the Property” is the land and buildings described in paragraph 8 of the Particulars shown on the
attached plan A edged green

A6      Service Area

“the Service Area” is the area shown hatched brown on Plan “A” attached hereto and/or such other
area as may from time to time be so designated by the Promoter

A7      Conduits

“Conduits” mean the mechanical electrical and plumbing installations

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A8      Premises

“the Premises” is the World Trade Centre accommodation described in paragraph 9 of the Particulars
shown on the attached plans B-J edged blue including the following existing (and any later)
additions within the boundaries of the Premises

all non structural walls and partitions

any terraces and balustrades serving only the Premises

the ceiling and floor finishes

all doors and windows including frames and fastenings but
excluding all glass on the outside of or otherwise bordering the
Premises

all conduits exclusively serving the Premises

all Promoter’s fixtures fittings equipment and apparatus

all other internal parts not specifically previously mentioned

BUT

excluding the main structure walls roof floor slabs and the
concrete floor slabs of any terraces

A9      Review Dates

“the Review Dates” are as described in paragraph 14 of the Particulars

A10      Services

“the Services” are all those items in Clause D excluding sub-clauses D.1, D.2, D.3 and D.6

A11      First Anniversary

“the First Anniversary” is the Thirty-First of December next following the date in paragraph 1 of
the Particulars

A12      Service Charge

“the Service Charge” is the cost of the Services in relation to the Premises calculated in
accordance with Clause E together with any Value Added or other tax payable

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A13      Surveyor

“the Surveyor” is the Promoter’s Surveyor and where making any decision or estimation he will be
acting as an expert and not an arbitrator and his decision shall be final

A14      End of the Term

“End of the Term” means determination by any means

A15      Plurality of Parties

Where “the Resident Member” or “the Guarantor” are two or more persons the promises made by the
Resident Member or Guarantor respectively are made by those persons jointly and separately and
where the Resident Member is two or more persons they will hold the Premises as joint tenants
legally and beneficially

A16      Genders

Words using the masculine gander include the feminine and the neuter and words using the singular
include the plural (and vice versa)

B      LETTING

THE PROMOTER lets to the Resident Member the Premises (together with the Easements and Rights
specified in the First Schedule but excluding those specified in the Second Schedule) for the Term
yielding and paying the Rent

C      RESIDENT MEMBER’S PROMISES

THE RESIDENT MEMBER shall throughout the term:—

C1      Rent and Service Charge

pay the Rent and Service Charge with any increases but without any deductions by equal quarterly
payments in advance on the usual quarter days (and in the case of the Service Charge in accordance
with Clause E) the first proportionate payments from the dates specified in paragraphs 11 and 12 of
the Particulars to be made immediately

C2      Outgoings

pay and indemnify the Promoter against all rates taxes assessments charges and outgoings of every
kind payable in respect of the Premises by the owner Promoter Resident Member or occupier except
those which are not of an annual or recurring nature or any corporation or income tax payable by
the Promoter and pay all charges for any electricity power gas water telephone and other services
consumed or used in or by the Premises and all related meter rents end standing charges but if the
Premises are not separately rated or metered then the Resident Member will pay and indemnify the
Promoter against

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a reasonable proportion together with any Value Added or other tax payable the proportion being
determined by the Surveyor whose decision will be final

C3      Use

not use the Premises for any purpose except that specified in paragraph 13 of the Particulars or
for any illegal or immoral purpose PROVIDED ALWAYS AND IT IS HEREBY AGREED the Promoter shall not
be deemed to give any warranty that the Premises are or may be fit to be used for any particular
purpose

C4      No Alcoholic Liquors

not use the Premises for the sale of alcoholic liquors for consumption on or off the Premises or
apply to the Licensing authorities for any licence for the same without obtaining the Promoter’s
previous written consent

C5      Repair Maintenance and Decoration

keep the Premises clean and in good and substantial repair and decoration carrying out promptly
repairs and replacements as necessary (except to damage covered by the insured risks specified in
Clause D2 unless the insurance policy shall be avoided or payment of the policy monies refused as a
result of any act or default of the Resident Member his employees servants agents or visitors) and
in particular in a good workmanlike manner to the reasonable satisfaction of the Promoter at least
once in every fifth year of the term and in the last year (however determined) paint with at least
two coats of best quality paint and paper polish or otherwise treat all parts of the Premises
previously treated or which ought to have been treated

C6      Alterations

not make any alteration to the Premises or deface paint or line any of the brickwork in the
Premises in any way whatsoever

C7      Partitioning

not install any partitioning in the Premises without first obtaining the necessary consents of any
Public Authority and the Promoter (consent in the case of the Promoter not to be unreasonably
withheld provided the layout design detail and conformity is first approved by the Surveyor) and
not afterwards to make any alterations to the partitioning without first obtaining all the
previously mentioned consents and all such partitioning shall be removed by the Resident Member at
the End of the Term if so requested by the Promoter

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C8      Advertisements

not exhibit any signboard advertisement nameplate or placard on the Property or Development Area
visible from outside the Premises without the previous written consent of the Promoter

C9      Promoter’s Entry

permit the Promoter its employees and agents at all reasonable times to enter the Premises for the
purpose of exercising its Promoter’s rights or duties or to view the state and condition of the
Premises

C10      Notice of Repair

comply promptly and diligently with any notice which the Promoter may properly serve requiring him
to carry out repairs or decorations and in default within one month from the date of the notice (or
such other period as may be stated) the Promoter may carry out the works and the Resident Member
will promptly repay the Promoter the cost together with any Value Added or other tax payable

C11      Promoter’s Repairs

permit the Promoter and all other persons authorised by it with any necessary tools at any
reasonable time on three days written notice (except in the case of an emergency) to enter the
Premises and carry out any repairs replacements additions alterations and decorations including
work to any public utility services to the Property or any adjoining property and to survey the
Property the Promoter causing as little disturbance to the Resident Member as possible and making
good damage caused to the Premises and the Resident Member’s fixtures fittings chattels and effects

C12      Public Requirements

comply with and indemnify the Promoter against any requirement issued under Statute or by any
Public Authority in respect of any liability relating to the Premises whether the liability is on
the owner Promoter Resident Member or occupier

C13      Notices of Orders

immediately give to the Promoter a copy of any notice or order or proposal for a notice or order
served on the Resident Member occupier or the Premises and if required by the Promoter to make or
join in making such application and representations as the Promoter may reasonably require

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C14      Nuisances

not do or bring or leave on the Premises Property or Development Area anything which may be or
become a nuisance annoyance or inconvenience to or interfere with the rights of or create any
liability on the owner Promoter other Resident Member or occupiers of the rest of the Property and
Development Area and to pay all costs incurred by the Promoter in abating the nuisance annoyance
inconvenience interference or liability

C15      Glass Maintenance

promptly notify the Promoter of all broken or cracked glass on the outside of or otherwise
bordering the Premises and (except in the case of damage actually insured pursuant to clause D2 and
if the insurance shall not be avoided or payment of the insurance monies refused as a result of any
act or default of the Resident Member his employees servants agents or visitors) promptly reimburse
the Promoters costs incurred in repairing or replacing any such broken or cracked glass

C16      Insurance Contribution

pay the Promoter forthwith on demand a sum equal to 0.756 per cent of the sums from time to time
paid or incurred by the Promoter under the provisions of clause D2

C17      Insurance Vitiation

not do or fail to do anything which may increase the cost of (without the Promoter’s consent) or
may make voidable or void any insurance under Clause D2 and will indemnify the Promoter against any
increased cost if incurred but if part or whole of the Property and/or Development Area are damaged
or destroyed by any risk insured against under Clause D2 and the proceeds of the insurance monies
are partially or wholly irrecoverable by reason of any act of or omission by the Resident Member
his employees servants agents or visitors he will promptly pay to the Promoter a fair proportion or
the whole respectively of the cost of reinstating or rebuilding the Property and/or Development
Area

C18      Reimbursement of Insurance Monies

if he becomes entitled to any insurance monies in respect of risks which the Promoter has insured
against under Clause D2 pay a similar amount to the Promoter giving the Promoter full particulars
in writing

C19      Assignment and other dealings

not assign mortgage or charge part of the Premises (the same being absolutely prohibited) nor
assign mortgage or charge the whole of the Premises without the Promoters prior written consent
which will not be unreasonably withheld if it considers in its sole

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discretion that the party proposed to take the assignment mortgage or charge is respectable and
responsible

C20      Subletting — if letting is 2,000 sq. ft. or less

not to part with possession except by way of assignment permitted under Clause C19 nor share or
sub-let part or the whole of the Premises

          Subletting — if letting is 2,000 sq. ft. or more

not sub-let part or the whole of the Premises unless:

	 	(i)  	in the case of part of the Premises the Promoter considers in its sole
discretion that the part should be permitted to be sub-let
	 
	 	(ii)  	in the case of part or the whole of the Premises if the Promoter considers in
its sole discretion that the party proposed to take the sub-letting is respectable and
responsible and
	 
	 	(iii)  	an Order is obtained pursuant to the provisions of section 38(4)(a) of the
Landlord and Tenant Act 1954 to exclude any sub-letting from the provisions of
sections 24 to 28 of that Act (or any statutory re-enactment or modification thereof)
and that prior to the grant thereof the Resident Member produces to the Promoter the
Court Order to that effect and that all other terms except for rent (which must not be
less than the Rent which must be reviewed on the Review Dates) and follow the same
terms as in this Deed wherever possible in every respect (except for the names of the
parties) and not in any other case to sub-let the whole of the Premises without the
Promoter’s prior written consent

C21      Direct Covenants

To procure that any permitted Assignee or Underlessee shall enter into a direct covenant with the
Promoter to observe and perform the obligations of the Resident Member Contained in this Deed
(except in the case of any Underlease the obligation to pay the rent hereunder) including a
covenant not to further assign or underlet or otherwise part with the possession of the Premises
except in accordance with the provisions of this Deed and in the case of an assignment to pay the
rent and service charge provided for by this Deed

C22      Notice of Transfer

within thirty days after every assignment transfer or sub-letting give the Promoter full
particulars in writing together with a certified copy of any relevant document and a minimum
registration fee of twenty five pounds (£25) together with any Value Added or other tax payable

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C23      Costs

indemnify the Promoter against all costs reasonably incurred in respect of

	(a)  	any breach of any Resident Member’s obligations hereunder
	 
	(b)  	any application to the Promoter for any consent or licence
	 
	(c)  	the preparation and service of any notice under Section 146 or 147 of the Law of Property Act
1925 (or any statutory re-enactment or modification) even though forfeiture may be avoided by
means not being relief granted by the Court
	 
	(d)  	the preparation and service of any notices or schedules of dilapidation

C24      Legal Costs

to pay the Promoter’s proper legal costs of this Deed together with disbursements any Value Added
or other tax payable and stamp duty on the Counterpart

C25      Giving back Premises

at the End of the Term quietly give back the Premises to the Promoter in the condition required by
this Clause C

C26      Regulations

observe the Regulations in the Third Schedule (and any arising under Clause F) applicable to the
Premises Property and Development Area

C27      Membership of LWTCA

become and remain a member of the London World Trade Centre Association or (if the Resident Member
is not himself eligible for membership of the London World Trade Centre Association) procure that a
duly authorised representative of the Resident Member becomes and remains a member of the London
World Trade Centre Association

C28      Observance of Head Lease

to observe and perform the provisions of Clause 3 (other than the promises to pay the rent therein
mentioned) of the Second Supplemental Lease of the Property dated 23rd July 1982 and made between
the Greater London Council of the one part and the Promoter of the other part so far as the same
relate to the Premises

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D      Promoter’s Promises

The Promoter so as to bind the persons for the time being entitled to the immediate reversion but
not so as to impose any personal liability on themselves except as to their own acts and defaults
promises

D1      Peaceful Occupation

that the Resident Member duly paying the Rent and Service Charge and all other payments for which
the Resident Member is responsible under this Deed and observing and performing the obligations of
the Resident Member under this Deed shall and may peaceably and quietly hold and enjoy the Premises
during the Term without any lawful interruption or disturbance by the Promoter or any persons
rightfully claiming under or in trust for the Promoter

D2      Insurance of Property

to insure or cause to be insured or treated as insured at all times during the Term the Property
including all Conduits the Promoter’s fixtures and fittings equipment and apparatus against damage
or loss by fire lightning earthquake explosion implosion aircraft and other aerial objects,
articles dropped from aircraft and other aerial objects storm tempest flood bursting or
over-flowing of fluids from tanks pipes or other installations riots strikes civil commotion or
malicious damage impact by road vehicles animals or water borne vessels and all other risks the
Promoter considers necessary in the full reinstatement value plus cost of site clearance and
removal of debris and architects engineers quantity surveyors and other professional fees with
allowances for projected increases wherever appropriate and any of its Conduits including in
particular lifts boilers and pipes in the Property against damage or loss by breakdown explosion
implosion or external means with allowances for projected increases the contracts of insurance to
include the services of the insurance Company(ies) for regular inspections and issue of appropriate
certificates by competent engineers and the plate glass to the doors and windows on the outside of
the Property and to the inside of the Property (where not the responsibility of any Resident Member
or occupier)

and against loss of rent and service charge for a period of four years with allowances for
projected increases against its third party liabilities in respect of the Property and Development
Area including employees and licensees engaged by it to comply with its promises PROVIDED that the
Promoter may amend any existing or add any new insurance in any manner it considers appropriate and
reasonable in the interests of good estate management and will produce to the Resident Member once
a year if required proof of the Promoter’s compliance with this clause

D3      Reinstatement

that if part or all of the Property is damaged or destroyed by any of the insured perils subject to
all consents and permissions being available (unless payment of the insurance

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proceeds shall be refused in part or whole in consequence of some act or omission by the Resident
Member his employees servants agents or visitors) it will lay out all monies received in respect of
the insurances effected under Clause D2 the Promoter bearing the consequence of under insurance
(subject to Clause C17) in reinstating or rebuilding the Property as expeditiously as is reasonably
possible

D4     

to use its best endeavours to:

	(a)  	Repair Maintenance and Decoration of common parts
	 
	   	maintain in good and sufficient repair and decorative order replacing and cleaning as
reasonably necessary all those parts of the Property and its fixtures fittings and
equipment together with all conduits exclusively serving the Property as are not the
liability of the Resident Member or any other Resident Member or occupier and provide
adequate heating and lighting of the common parts AND for the avoidance of any doubt it is
agreed that the Service Charge may include reasonable provisions as the Surveyor may fix on
account of future costs of repairs and replacements
	 
	(b)  	Cleaning of Doors and Windows
	 
	   	clean at intervals at the Promoter’s discretion the internal and external glazed surfaces
of all doors and windows on the outside of the Property and to the inside of the Property
(where not the responsibility of any Resident Member or occupier)
	 
	(c)  	Refuse
	 
	   	provide storage facilities for reasonable quantities of normal office refuse originating in
the Premises
	 
	(d)  	Lavatories
	 
	   	service and repair any common lavatory accommodation and Conduits in the Property
	 
	(e)  	Services
	 
	   	provide and maintain the following facilities during normal working hours (to be determined
by the Promoter):—

	 	(i)  	Heating and Ventilation
	 
	 	   	heating and ventilation of the Premises to the minimum standard required by
legislation

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	 	(ii)  	Hot and cold water
	 
	 	   	hot and cold water supply to the lavatories within the Property used by the
Resident Member

	(f)  	Additional Services
	 
	   	provide the following items as it may consider necessary for the maintenance or improvement
of the Property in the interests of good estate management:—

	 	(i)  	A sufficient number of reasonably suitable persons to enable the Promoter to
provide and supervise the Services
	 
	 	(ii)  	The necessary facilities to comply with any statutory requirements relating
to the Property and the Services available not the responsibility of the Resident
Member or of any other Resident Member or occupier of the Property
	 
	 	(iii)  	Security Services
	 
	 	(iv)  	Such other services facilities or amenities for the benefit of the Resident
Member as shall be reasonable having regard to the nature of the Promoter’s
development as a whole

D5      Outgoings

to pay all outgoings costs and expenses in respect of the Property and the Services not being
outgoings costs and expenses for which the Resident Member or any other Resident Member or occupier
is liable

D6      Glass Repairs

Subject to the Resident Member duly observing and performing the provisions of Clause C15 to repair
and replace any cracked or broken glass on the outside of or otherwise bordering the Premises

E      Payment and Calculation of Service Charge

E1

The Resident Member shall pay the Service Charge referred to in Clause C1 either to the Promoter
direct or to such Management Company as the Promoter may from time to time specify in writing but
in any event the Service Charge will be ascertained and is agreed as 0.756 per cent of the
aggregate of the calendar yearly cost of the Services and a management fee of ten per cent of that
yearly cost

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E2      Initial Service Charge

The Resident Member will pay on account of the Service Charge (i) from the date of this Deed down
to the first anniversary the due proportion (apportioned on a daily basis) of the initial estimate
of Service Charge at the annual rate specified in paragraph 12 of the Particulars and (ii)
afterwards the subsequent estimate of Service Charge by equal installments in advance on the usual
quarter days

E3      Estimated Service Charge

About the beginning of each calendar year of the Term following the first anniversary the Promoter
will supply the Resident Member with a copy of the Surveyor’s written reasonable estimate of the
amount of the Service Charge for that calendar year and the Resident Member will pay this amount to
the Promoter on account in quarterly installments in accordance with Clause E2

E4      Actual Service Charge

About the first anniversary and about the end of each subsequent calendar year the actual costs
incurred by the Promoter for the provision of the Services will be ascertained and certified by the
Promoter or its Surveyor and the appropriate computations under Clause E1 made; and any
underpayment on account of the Service Charge will be paid by the Resident Member promptly and any
over payment will be deducted from the amount next payable by the Resident Member PROVIDED THAT any
overpayment to which the Resident Member may be entitled at the end of the term will be repaid to
the Resident Member promptly subject only to any lien vested in the Promoter

E5      Copies of Certificates

Copies of the certificates for each calendar year will be available on request in writing from the
Resident Member the copy certificates except for patent error being conclusive evidence of the
matters which they purport to certify

E6      Variations

The Promoter reserves the right in the interests of good estate management to vary the amounts of
quarterly payments to reflect where possible the actual costs incurred or to reflect any revised
written reasonable estimates of the Surveyor

E7      Interim payments

If the Promoter fails to supply the Resident Member with the written estimate under Clause E3 then
until it is supplied the Resident Member will make quarterly payments equal to those most recently
payable on account of the Service Charge any overall difference being adjusted in accordance with
Clause E4

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E8      Service Charge Accounts

The Promoter will keep a proper account (with vouchers so far as is reasonably practicable) of its
income and expenditure in each calendar year in respect of each service for open inspection by the
Resident Member during ordinary business hours at the Surveyor’s office in the months of May and
June of the following calendar year after reasonable notice in writing the accounts being
conclusive evidence of all matters recorded except for patent error

F      Variation of Regulations

WITHOUT PREJUDICE to the Resident Member’s rights the Promoter may at any time during the Term in
the interests of good estate management at its absolute discretion amend the existing or impose new
Regulations as set out in the Third Schedule and will supply the Resident Member with a copy which
will then take immediate effect

G      Re-Entry

G1

If any sum payable by the Resident Member to the Promoter under this Deed is unpaid twenty-one days
after becoming due it will (without prejudice to any other rights or remedies of the Promoter) be
recoverable as if it were rent in arrears

G2

Provided always and these presents are upon condition that if the Rent or the Service Charge shall
be wholly or partly unpaid at the expiration of twenty-one days next after any of the days on which
the same are to be paid as aforesaid whether the same shall have been lawfully demanded or not or
if the Resident Member shall at any time during the term fail or neglect to observe and perform any
of the covenants conditions and agreements contained in this Deed and on the part of the Resident
Member to be observed and performed or if the Resident Member or the Guarantor being a corporation
a receiver shall be appointed of such corporation while the term is vested in the Resident Member
or if it shall enter into liquidation whether compulsory or voluntary or if the Resident Member or
the Guarantor being an individual or individuals such individual or individuals or any of them
shall while the term is vested in the Resident Member become bankrupt or make an arrangement or
composition with his creditors then and in any such case it shall be lawful for the Promoter or any
person or persons duly authorised by it in that behalf into and upon the Premises or any part
thereof in the name of the whole to re-enter and the same have again repossess and enjoy
thenceforth as if this Deed had not been made without prejudice to any right or action or remedy of
the Promoter in respect of any antecedent breach of any of the covenants conditions or agreements
by the Resident Member contained in this Deed

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H      Suspension of Rent and Service Charge

If the Premises or any part (including the access approach) are so damaged by any risk the Promoter
has promised to effect insurance against as to be unfit for the purpose for which they were demised
and provided payment of insurance monies have not been withheld in part or whole as a result of
some act or default of the Resident Member, his employees servants agents or visitors then Rent and
Service Charge and payments on account of Service Charge or a fair proportion (the same being
determined by the Surveyor) according to the nature and extent of the damage or the degree of loss
or enjoyment of the Services will cease to be payable from the date the Premises become unfit until
their reinstatement

I      Notices

I1

Any notice under this Deed shall be in writing. Any notice to the Resident Member (if a
corporation) shall be sufficiently served if left addressed to the Resident Member on the Premises
or sent by registered or recorded post to or left at its registered or principal office in the
United Kingdom and (if the Resident Member shall be an individual or individuals) shall be
sufficiently served if left addressed to the Resident Member or to him or them on the Premises or
sent by registered or recorded post to or left addressed to him or them at his or their last known
address in the United Kingdom. Any notice sent by registered or recorded post shall be deemed to
have bean duly served at the expiration of forty-eight hours after the time of posting. In proving
service it shall be sufficient to prove that the envelope containing the notice was duly addressed
in accordance with this clause and left at or posted to the place to which it is so addressed

I2      Limitation of Promoter’s Liability

Notwithstanding anything in this Deed the Promoter will not be liable to the Resident Member nor
any person or persons in the Premises in respect of:—

any interruption or failure of any of the Services or supplies of any public utility caused
by circumstances beyond the Promoter’s immediate control or caused by any act or omission
by the Promoter its employees or agents not being in performance of any duty relating to
the Services except in so far as the same may be covered by the insured risks or any damage
to or loss of any chattel or property on the Premises or Property the Resident Member
indemnifying the Promoter in respect of any claim made against the Promoter by any person

I3     Privity of Contract and Easements

Except as otherwise expressly provided the Resident Member shall not be entitled to the benefit of
or to enforce any covenant or agreement contained in any lease or other instrument relating to any
land or building belonging to the Promoter or limit or affect the

- 16 -

 

	   	right of the Promoter to deal with the same now or at any time hereafter in any manner which may be
thought fit nor shall any thing herein contained confer on the Resident Member any liberty
privilege easement right or advantage whatsoever mentioned as referred to in Section 62 of the Law
of Property Act 1925 save those expressly hereby granted
	 
	   	I4      Alterations by Promoter
	 
	   	The Promoter may repair reconstruct or alter the Property or any adjacent buildings or erect new
buildings on any adjacent lend to whatever height elevation and extent and whenever it may think
fit even though the access of light or air to the Premises may be impeded so that until impeded the
access of light or air will be deemed to have been enjoyed by virtue of this Deed (constituting a
consent or agreement in writing within the meaning of section 3 of the Prescription Act 1832) but
despite this the previous enjoyment will not prevent any such repair reconstruction alteration or
erection
	 
	   	I5      Other Lettings
	 
	   	The Promoter may let any other part of the Property on such terms as it thinks fit
	 
	   	I6 Clause Headings
	 
	   	The Clause headings will be disregarded when interpreting this Deed
	 
	   	J      Rent Review
	 
	   	J1
	 
	   	Not less than three months before each Review Data the rent is to be revised (to take effect from
each Review Date) to the full open market annual rack rental value of the Premises obtainable at
the Review Date in accordance with the following provisions PROVIDED that in no circumstances is
the rent payable after any Review Date to be less than the rent payable immediately before that
Review Date
	 
	   	J2      Assessment of Revised Rent
	 
	   	In assessing any revised rent the following will be disregarded:—

any goodwill attributable to the Premises by reason of any trade or business carried on by
the Resident Member and any authorised improvements carried out by the Resident Member
except any improvement carried out in compliance with an obligation by statute or an
obligation to the Promoter and any other matter specified in section 34(1) of the Landlord
and Tenant Act 1954 as the same may from time to time be amended or re-enacted

- 17 -

 

AND it will be assumed that the Premises with any permitted additions are vacant and in a state of
repair in accordance with the provisions of this Deed and to be let by a willing landlord to a
willing tenant for a term of twenty-five years from the Review Date but otherwise on the terms of
this Deed (other than the rent payable) before the Review Date in question

J3      Endorsement of Deed

An agreement between the Promoter and the Resident Member as to the revised rent of the Premises as
at each Review Date signed by both parties will be endorsed on this Deed and its Counterpart

J4      Appointment of Valuer

If agreement has not been reached three months before the relevant Review Date either party may
require an independent surveyor (called “the Valuer”) to be appointed to determine the full open
market annual rack rental value of the Premises the Valuer (in default of agreement) to be
nominated by the President of the Royal Institution of Chartered Surveyors on the application by
either party

J5      Notice of Valuers appointment

Notice in writing of the Valuer’s appointment by the President will be given by the Valuer to the
Promoter and the Resident Member inviting each to submit within a specified period (which shall not
exceed four weeks) a valuation accompanied if desired by a statement of reasons

J6      Valuer’s Status

The Valuer will act as a single arbitrator in accordance with the Arbitration Acts from time to
time and for the time being in force

J7      Substitute Valuer

If the Valuer fails to determine the full open market annual rack rental value of the Premises as
aforesaid or if he relinquishes his appointment or dies or if it becomes clear that for any reason
he will be unable to complete his duties within two months after his appointment either party may
apply to the President of the Royal Institution of Chartered Surveyors for a substitute to be
appointed in his place which procedure may be repeated as many times as necessary

J8      Provisional Revised Rent

If the amount of the revised rent shall not have been ascertained on the relevant Review Date then
the Resident Member shall pay to the Promoter a provisional revised rent equal to the rent payable
immediately before the relevant Review Date and upon the amount of

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the revised rent actually payable being ascertained any necessary adjustment shall be made
forthwith by payment by the Resident Member to the Promoter together with interest at Midland Bank
Base Rate from time to time and for the time being in force (or in the event of there ceasing to be
a Midland Bank Base Rate such alternative rate as may from time to time be specified by the
Promoter as being the nearest equivalent thereof) on any balance from the relevant Review Date to
the date of such ascertainment and for the purposes of Clause N such balance shall be treated as
having become due for payment on the date of such ascertainment

J9      Valuer’s Fee

The Valuer’s fee will be paid as he awards but in other cases the parties will bear their own costs

K      Guarantee

THE Guarantor undertakes to the Promoter

K1

that if the Resident Member fails to pay the rent and or any other monies payable or fails to
observe and perform the provisions of this Deed on his part to be observed and performed or any of
the other conditions of this Deed (including any continuation of the same under the provisions of
the Landlord and Tenant Act 1954 as the same may from time to time be amended or re-enacted) he
will pay the Promoter on demand all sums and losses damages costs and expenses caused by the
Resident Member and remedy any of his other defaults and the Guarantor acknowledges that any
variation of the Promoter’s rights indulgence or compromise allowed by the Promoter to the Resident
Member or Guarantor will not affect the Guarantor’s liability under this clause

K2

that he will if required by the Promoter within six months after any forfeiture or disclaimer of
this Deed take a fresh Deed of the Premises for a period equal to the unexpired period of the Term
immediately prior to forfeiture and at a yearly rent equivalent to the rent then payable and
otherwise on the same terms as this Deed

L      Limitation of Promoter’s Repairing obligations

The Promoter will not be liable to the Resident Member for any defect in the Property to the extent
that any defect is repairable by the Promoter under Clause D unless the Promoter shall have had
actual notice of the need for repair

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M      Proviso to Rent Review

M1

Notwithstanding the provision for the revision of Rent if by reason of any legislation the Promoter
is prevented from demanding an increase of the rent from any Review Date (or some other date also
by reason of legislation) then the rent will continue to be payable at the rate immediately before
the Review Date (or other date) and as soon as is permitted by law the relevant review will be
carried out and the increase (if any) will become payable the assessment being based on either the
Review Date or the effective review date permitted by law as the Promoter decides but where
legislation permits increases of rent on bases other than the full open market annual rack rental
value basis the Promoter will be entitled to demand those permitted increases in addition to the
rent until such time as the full open market annual rack rental value review as prescribed by this
Deed is permitted by law

M2

Notwithstanding the previous provisions of this Deed if the rent shall not have been reviewed at
any Review Date then the Promoter shall at any time after have the right to review the rent in
accordance with Clause J on giving to the Resident Member not less than one month’s notice in
writing of the date from which the reviewed rent is payable

N      Interest on overdue amounts

If any sum payable by the Resident Member to the Promoter under this Deed is unpaid fourteen days
after becoming due the Resident Member will pay interest to the Promoter at Midland Bank Base Rate
from time to time and for the time being in force (or in the event of there ceasing to be a Midland
Bank Base Rate such alternative rate as may from time to time be specified by the Promoter as being
the nearest equivalent thereof) plus five per cent per annum with a minimum of fifteen per cent per
annum calculated from the date when the sum became payable until the date when it is received by
Promoter

O      Telephone Installation

The Resident Member shall not later than the date of this Deed enter into an agreement with the
Promoter in respect of the Telephone equipment provided by the Promoter. If at any time or times
the Promoter shall so require the Resident Member shall enter into such further or substituted
agreement or agreements in respect of such Telephone equipment as from time to time may be required
by the Promoter. The said agreement to be entered into on the date hereof and every such further
or substituted agreement shell be in such form or forms as may be determined by the Promoter

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THE FIRST SCHEDULE

EASEMENTS AND RIGHTS IN FAVOUR OF THE RESIDENT MEMBER

1      Access

The rights in common with the Promoter and all others entitled

	(a)  	for the purposes only of getting to and leaving the Premises to walk over the common
entrances areas and ways in the Property from time to time designated by the Promoter for the
purpose and to carry passengers in the lifts in the Property
	 
	(b)  	to carry all necessary goods between the Premises and the Service Area and to carry goods in
the goods lifts

2      Lavatories

The right in common with the Promoter and all others entitled to use such lavatory facilities in
the Property as shall from time to time be allocated by the Promoter

3      Utilities

The right of passage of air and of water soil electricity gas telephone telex and all other utility
services to and from the Premises through the Conduits used in common with other parts of the
Property under through or over the Development Area

4      Support

Support and protection by the remainder of the Property for the Premises

5      Promoter’s Rights

PROVIDED HOWEVER that:—

	(i)  	the Promoter may from time to time by notice in writing to the Resident Member vary amend add
to or subtract from the said easements and rights or the routes thereof (or both) in such
manner as the Promoter may think desirable but not so as to render the Premises or the means
of access thereto incapable of beneficial use

	(ii)  	the Promoter may from time to time in pursuance of the promotion of The World Traders
Association and its members close the Grand Hall at Quay Level in the property to use by the
Resident Member so as to enable the Grand Hall to be laid out and used for meetings
conferences receptions banquets and other functions but in so doing the Promoter will not
prevent the Resident Member from gaining access to the Premises by other means

	(iii)  	the said easements and rights are always subject to the right of the Promoter (without being
liable to the Resident Member) to prevent the use of the entrances

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areas ways toilets end lifts for so long as may be reasonably necessary to enable the
Promoter to comply with its promises to provide the Services or to exercise its rights to
prevent any rights arising by prescription or dedication but in doing so the Promoter will
not prevent the Resident Member from gaining access to the Premises

THE SECOND SCHEDULE

EASEMENTS AND RIGHTS EXCLUDED FROM THE RESIDENT

MEMBER

1      Utilities

Free passage of water soil electricity gas telephone telex and all other utility services through
the Conduits in the Premises to and from the remainder of the Property

2      Support

Support and protection by the Premises for the remainder of the Property

3      Superior Landlord and Promoter’s rights

The right for any Superior Landlord and the Promoter without the Resident Member’s consent or right
to compensation to demolish erect add to or alter any land or buildings adjoining or near to the
Premises regardless as to whether or not light or air to the Premises is affected or diminished as
long as the Premises are still capable of beneficial use

4      Entry by Promoter

The right for the Promoter its surveyors agents workmen and others at all times on reasonable
notice (except in the case of an emergency) to enter the Premises for the purposes of examining
testing repairing replacing adding to altering and maintaining the Property including the Conduits
and to clean the inside and the outside of the windows and to make connections and disconnections
which may be necessary for the purpose of carrying out any work or doing anything within the
Promoter’s obligations or rights or for which a Resident Member is liable to make a contribution

PROVIDED the Promoter will make good any damage caused by the work or anything done to the Premises
fixtures fittings chattels or effects on the Premises but the Promoter will not be liable to the
Resident Member for any inconvenience caused

5      Rebuilding or Alterations

The right for the Promoter to build rebuild or alter other parts of the Property or Development
Area in any manner and to let (or deal with in any other way) the works for any purpose
notwithstanding that the light or air or any other easement or right to the

- 22 -

 

Premises or enjoyed by the Resident Member is in any way diminished or prejudiced but not so that
the Premises be made incapable of beneficial use

THE THIRD SCHEDULE

REGULATIONS

1      Hours of Use

Not to use the Premises except between the hours of 8 a.m., until 6 p.m., on business days or at
all on Saturdays Sundays or Public Holidays except by prior arrangement with the Promoter

2      Dangerous Materials

Not to keep any inflammable volatile dangerous or explosive material on the Premises Property or
Development Area

3      Control of Staff

To use the entrances areas ways and lifts in the Property and the Development Area (excluding the
Premises) for the purposes of getting to and leaving the Premises and the Service Area only and not
to allow any person under his control to loiter in or obstruct these places or interfere with any
of the Conduits

4      Goods

Not to carry goods through the entrance halls in the Property nor in the lifts except the goods
lifts from time to time allocated by the Promoter for the purpose

5      Vehicular Obstruction

Not wilfully to obstruct the movement of vehicles in any common vehicular access way

6      Parking

No vehicles to be parked in the Service Area for longer than reasonably necessary for the purpose
of loading or unloading and in any event no vehicle to remain overnight

7      Cleaning

No mat brush or mop to be shaken nor anything thrown outside the Premises

8      Windows

Not to open the windows of the Premises

- 23 -

 

9      Blinds

No blind or curtain to be fitted to the windows of the Premises without the previous written
approval of the Promoter which if given would involve conditions as to colour and type

10      Floor Loading

Not to load any part of the Premises Property or Development Area beyond its capacity and not to
permit any damage to be caused to the Property or Development Area by the carrying of chattels

11      Signs

No signs or nameplates to be placed anywhere in the Property or Development Area without the
previous written approval of the Promoter which if given would involve conditions as to conformity
to the general pattern design size end locator as the Promoter shall reasonably require

12      Goods and Chattels

Not to expose for sale on the Property or Development Area (other than within the Premises) any
goods or things whatever

13      Obstruction of Entrance Ways Pipes etc

Not to cause or suffer any entrance areas way lifts or the soil or wastepipes in the Property to
become blocked or obstructed

14      Insurance and Fire

To comply with all reasonable recommendations of the insurers and fire authorities as to fire
precautions relating to the Premises

15      Security Services

To comply with all reasonable requirements of the Promoters Security Services

16       Office Cleaning

Not to have office cleaners at the Premises except between the hours of midnight and 8 a.m. on
Business Days

17      Disposal of Refuse

All office (and no other) refuse to be deposited in accordance with Clause D4(c)

- 24 -

 

18      Air conditioning

Not to cause or suffer the Promoters airconditioning equipment in the Property to become overloaded
by reason of heat cold or any other matter or thing generated or happening within the Premises

19      Telephones

To comply with all reasonable requirements of the Promoter in relation to telephones and telephone
equipment

	 	 	 	 	 
	THE COMMON SEAL OF
	 	 	 	 
	ST. KATHARINE BY THE TOWER

	 	ü

ý

þ	 	 
	LIMITED WAS HEREUNTO

	 	 	[SEAL]
	AFFIXED IN THE PRESENCE OF:
	 	 	 

	 	 	 	 	 
	

	 	DIRECTOR
	 	B. Roberts
	 
	 	 	 	 
	

	 	SECRETARY
	 	L. Leary

- 25 -

 

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