Document:

Lease Agreement between Crown Packaging Technology Inc. and Constar Inc.

 Exhibit 10.18 
  
 LEASE AGREEMENT 
  
 1. Parties. This Lease, dated as of January 1, 2004, (the “Effective Date”), is made by and between Crown Packaging Technology,
Inc., a Delaware corporation (“Lessor”), and Constar, Inc., a Pennsylvania corporation (herein called “Lessee”). 
  
 2. Premises. Lessor hereby leases to Lessee and Lessee leases from Lessor for the term, at the rental, and upon all of the conditions set forth
herein, at that certain real property known as 11535 South Central Avenue, Alsip, Illinois (the “Land”), a portion (the “Premises”) of the building located thereon (the “Building”), all as more
particularly shown on Exhibit A attached hereto and made a part hereof. 
  
 3. Term. 
  
 3.1. The term
of this Lease shall commence on the Effective Date and end on December 31, 2006 (the “Termination Date”), unless sooner terminated pursuant to any provision hereof. 
  
 3.2. Lessor may in its sole discretion terminate this Lease at any time upon one year’s written notice to Lessee.
Lessee may at its sole discretion terminate this Lease at any time upon one year’s written notice to Lessor. 
  
 4. Rent. Lessee shall pay to Lessor, in advance, by the 1st day of each month following the Effective Date (each a “Rent Payment
Date”), an amount equal to the Monthly Base Rent (the “Rent”) plus any other amounts then due under this Lease. If the first or last month of the Lease is less than a full month, Rent shall be a pro rata portion of the
monthly Rent. Rent shall be payable in lawful money of the United States to Lessor at the address stated herein or to such other persons or at such other places as Lessor may designate in writing. 
  
 4.1. Monthly Base Rent. For the period January 1, 2004 to December 31,
2004, the “Monthly Base Rent” shall be Forty-Five Thousand Five Hundred Dollars ($45,500) per month; for the period of January 1, 2005 to December 31, 2005, the “Monthly Base Rent” shall be Forty-Six Thousand Eight
Hundred Sixty-Five Dollars ($46,865) per month; and for the period January 1, 2006 to December 31, 2006, the “Monthly Base Rent” shall be Forty-Eight Thousand Two Hundred Seventy Dollars ($48,270) per month. 
  
 The Monthly Base Rent includes costs for utilities, janitorial services, guard services,
trash removal, cleaning services, cafeteria use, parking lot use, coffee service, common areas, restaurant overhead (but not food charges) and local real estate taxes. 

 5. Use. 
  

5.1. Use. The Premises shall be used and occupied only for general office use, for use or laboratories and for the running of pilot line
equipment for product and process development purposes, and for no other purpose. Lessee agrees to restrict itself, its employees, contractors, agents and invitees to occupancy solely of the Premises. 
  
 5.2. Compliance with Law. Lessee shall, at Lessee’s expense,
comply promptly with all applicable statutes, ordinances, rules, regulations, orders, restrictions of record, and requirements in effect during the term or any part of the term hereof regulating the use by Lessee of the Premises. Lessee shall not
use or permit the use of the Premises in any manner that will tend to create waste or a nuisance or, if there shall be more than one tenant in the building containing the Premises, shall tend to disturb such other tenants. 
  
 5.3. Condition of Premises. Lessor makes no warranty or representation
as to the Premises. Lessee acknowledges and agrees that it has occupied and familiarized itself with the Premises and has had adequate opportunity to investigate and inspect the condition of the Premises, and enters into this Lease upon the basis of
its own review, and is leasing the Premises in their “AS IS, WHERE IS” CONDITION WITH ALL FAULTS, WHETHER PREVIOUSLY EXISTING OR ARISING FROM OR PERTAINING TO ANY CONSTRUCTION, RENOVATION, RELOCATION OR IMPROVEMENT OF ANY PORTION OF THE
PREMISES PERFORMED BY LESSOR OR OTHERS, INCLUDING BUT NOT LIMITED TO BOTH LATENT AND PATENT DEFECTS. EXCEPT AS EXPRESSLY SET FORTH TO THE CONTRARY IN THIS LEASE, NO WARRANTIES, EXPRESS OR IMPLIED, ARE MADE BY LESSOR OR ANY OF ITS AFFILIATES
CONCERNING SUCH ITEMS, INCLUDING BUT NOT LIMITED TO, WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. LESSEE HEREBY WAIVES AND DISCLAIMS ANY WARRANTIES THAT MAY ARISE BY OPERATION OF LAW. 
  
 Lessee further acknowledges and agrees that it has had an opportunity to
review and to discuss with various agents and/or representatives of Lessor the environmental condition of the Premises. Lessee has investigated and has knowledge of operative or proposed governmental laws and regulations including, without
limitation, environmental laws and regulations to which the Premises are or may be subject and enters into this Lease upon the basis of its review and determination of the applicability and effect of such laws and regulations. Lessee acknowledges
that Lessor expressly disclaims any representations or warranties of any kind or nature, express or implied, as to the condition (financial or otherwise), value or quality of the products, assets or properties of the Premises. 
  
 Lessee hereby accepts the Premises in their condition existing as of the
Effective Date, subject to all applicable zoning, municipal, county and state laws, ordinances and regulations governing and regulating the use of the Premises, and accepts this Lease subject thereto and to all matters disclosed thereby and by any
exhibits attached hereto. 
  
 Lessee hereby agrees that all
furniture, equipment, machinery and all other personal property, excepting any computers, that are located on or in the Premises as of the Effective Date shall remain on the Premises as and when Lessee evacuates the Premises on the Termination Date
or any extension thereof. 
  

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 5.4. Hazardous Substances. 
  
 (a) Lessee shall not use nor allow the Premises to be used for the Release (as defined below), generation, transportation,
storage, use, treatment, disposal or other handling (“Management”) of any Hazardous Substance, except (i) in the ordinary course of operations, (ii) in full compliance with applicable federal, state and local environmental statutes,
ordinances, rules, regulations, codes, orders, ordinances, Environmental Permits (as defined below), notice and consent or settlement agreements in effect at any time during the term of this Lease (“Environmental Laws”), and (iii)
with the prior written consent of Lessor. Lessee shall not implement any modifications of current operations or activities or implement any new operations or activities at the Premises that materially change the type or quantity of, or manner in
which Hazardous Substances are Managed or Released at the Premises without Lessor’s prior written consent. 
  
 (b) Lessee shall comply with and will cause its agents, representatives, invitees, employees, subtenants of Lessee or any other occupant to comply with
all Environmental Laws applicable to the Premises, or the Release or Management of Hazardous Substances at, on, about or from the Premises or the Lessee’s use, operations or activities at the Premises. 
  
 (c) Lessee shall obtain in its own name any and all environmental permits,
certificates, licenses, approvals, registrations and authorizations (“Environmental Permits”) required by Environmental Laws for the Premises and the conduct of its operations or activities at the Premises, maintain all such
Environmental Permits in full force and effect, timely file all renewal applications and remain in compliance with all such Environmental Permits. 
  
 (d) To the extent required by and within the time period required by Environmental Laws, Lessee shall report any release, spill, leak, discharge,
disposal, pumping, pouring, emission, emptying, injecting, leaching, dumping escaping or threat thereof (“Release”) of any hazardous, toxic or polluting substance, waste or material, pollutant or contaminant including, without
limitation, petroleum or petroleum products, asbestos, PCBs or radioactive materials (“Hazardous Substance”) at, on, from or affecting the Premises first arising after the Effective Date during the term of the Lease (or arising,
directly or indirectly, from Lessee’s or its affiliates’ use of the Premises prior to the Effective Date) to the appropriate governmental authorities and immediately provide notice of such Release to Lessor including a description of
measures taken or proposed to be taken by Lessee to respond to such Release. To the extent that investigation, remedial action or other response action (“Response Action”) is required by Environmental Law for such a Release, Lessee
shall promptly undertake such action to the extent required by applicable Environmental Laws and to the extent necessary so as not to materially effect the condition, use, value, operations or possession of the premises and shall indemnify, defend
and hold Lessor harmless with respect thereto and for any damage to property, person, and/or the environment. 
  

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 (e) Lessee will promptly notify Lessor of any known Release of Hazardous Substances at, on, from or
affecting the Premises, including any Release caused by Lessee, its employees, agents, representatives, invitees, employees, subtenants, other occupants or trespassers (which Release is not made pursuant to and in conformance with the terms of an
Environmental Permit) regardless of whether such Release first occurred prior to or after the Effective Date and of any non-routine governmental filings made or notices received from any governmental authority or private party during the Lease Term
and relating to environmental matters or conditions at or in the vicinity of the Premises. 
  
 (f) If Lessor reasonably believes Lessee is in breach of any of the covenants in Section 5.4 of this Lease, Lessor may upon notice to Lessee request an independent engineer or other qualified consultant or
expert acceptable to Lessor, to conduct, at Lessee’s expense, an environmental assessment of the Premises and immediate surrounding areas, and the scope of work to be performed by such engineer, consultant, or expert shall be approved in
advance by Lessor, and all of the engineer’s, consultant’s, or expert’s work product shall be made available to Lessor. Notwithstanding Lessee’s obligations under this Section 5.4(f), Lessor, in its sole discretion, may
conduct environmental assessments of the Premises at any time. 
  
 (g) At Lessor’s request from time to time, Lessee shall execute affidavits, representations and the like concerning Lessee’s knowledge and belief regarding the presence of Hazardous Substances at, on, about or from the Premises.

  
 (h) Lessee shall reimburse Lessor, upon demand, the
reasonable cost of any testing for the purpose of ascertaining if there has been any Release of Hazardous Substances at, on, about or from the Premises, if such testing is required by any governmental agency, applicable Environmental Laws or
Lessor’s Mortgagee. 
  
 (i) Lessee shall, upon expiration of
this Lease, surrender the Premises to Lessor free from the presence of any Hazardous Substances used by Lessee, its employees, agents, representatives, invitees, employees, subtenants, other occupants (other than Lessor, its agents, representatives,
invitees or employees) or trespassers or any existing conditions aggravated by the acts or omissions of Lessee (and not resulting from the negligent acts of the Lessor). 
  
 (j) Lessee shall be responsible for all regulatory requirements in connection with any storage tanks, asbestos or asbestos
containing materials, polychlorinated biphenyls, and Hazardous Substances located at, on or about the Premises. 
  
 (k) Lessor and Lessee shall reasonably cooperate in connection with any Response Actions to be conducted at, on or about the Premises, including but not
limited to keeping the other reasonably informed of such Response Actions and executing any necessary documents or consents required to be executed in connection thereto. Lessee will notify Lessor, and provide Lessor the opportunity to attend, all
meetings with applicable authorities in connection with any suggested, threatened or pending Response Action, and Lessor shall have 

  

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the right to approve in advance all proposed Response Actions. Lessor will, when reasonable under the circumstances, notify Lessee prior to commencing
Response Actions required to be performed by Lessor and shall minimize, to the extent reasonably possible, interference with Lessee’s operations or activities at the Premises. To the extent permitted by the Environmental Laws, Lessee shall
allow Lessor to utilize Lessee’s Environmental Permits to implement Response Actions at, on or about the Premises. 
  
 (l) Indemnification 
  
 (i) In addition to any other indemnifications contained in this Lease, Lessee shall indemnify and hold harmless Lessor, its partners, associates, and
employees (“Lessor Indemnitees”), from and against any and all liability, damages, costs or expenses (including costs of Response Actions, fines, penalties, and attorney’s fees) (“Costs”) resulting from any
claim, demand, liability, obligation, right or cause of action including but not limited to governmental action (collectively, “Claims”) that are incurred by or are asserted against Lessor Indemnitees or the Premises to the extent
arising out of or relating to (x) environmental conditions including, without limitation, the presence or Release of Hazardous Substances at, on, about or from the Premises; (y) violations or alleged violations of Environmental Laws at the Premises
which first arise after the Effective Date other than due to the negligent acts of Lessor, or arise, directly or indirectly, from Lessee’s or its affiliates’ use of the Premises prior to the Effective Date; or (z) breaches of this Lease.

  
 (ii) The indemnities of Lessee contained in this Section
5.4(l) will survive termination of this Lease. 
  
 (iii) For
any Claim for which Lessee is required to indemnify or hold harmless Lessor Indemnitees pursuant to this Section 5.4, Lessor may determine, in its sole discretion, whether Lessee shall perform or pay for Lessor Indemnitees’ performance.

  
 6. Maintenance, Repairs and Alterations. 
  
 6.1. Lessee’s Obligations. Except as otherwise expressly set
forth herein, Lessee shall keep in good order, condition and repair the Premises and every part thereof, structural and non structural, (whether such portion of the Premises requiring repair, or the means of repairing the same, are reasonably or
readily accessible to Lessee, and whether the need for such repairs occurs as a result of Lessee’s use, any prior use, the elements or the age of such portion of the Premises). If Lessee fails to perform Lessee’s obligations under this
Section 6, Lessor may at its option (but shall not be required to) enter upon the Premises, after thirty (30) days prior written notice to Lessee, and put the same in good order, condition and repair, and the cost thereof including an
administrative fee to Lessor of 10% of such cost, shall become due and payable as additional rent to Lessor together with Lessee’s next Rent installment. 
  

6.2. Surrender. On the last day of the term hereof, or on any sooner termination, Lessee shall surrender the Premises to Lessor in substantially
the same condition as when received, broom clean, ordinary wear and tear, damage by fire or other casualty excepted. 
  

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Lessee shall repair any damage to the Premises occasioned by the removal of Lessee’s trade fixtures, furnishings and equipment pursuant to Section
6.5(d), which repair shall include the patching and filing of holes and repair of structural damage. Upon mutual agreement of the parties, the parties may jointly videotape the Premises at any time within two (2) days after the Effective Date
for the purposes of attempting to document the then-current condition of the Premises. 
  
 6.3. Lessor’s Rights. Notwithstanding anything stated in Section 6.1 hereof, the Lessor may from time to time conduct such maintenance and repairs of the Premises as Lessor deems necessary. Lessor
shall submit to Lessee a statement of the costs and expenses of such maintenance and repairs, and Lessee agrees to pay to Lessor such costs together with the next Rent installment. 
  
 6.4. Intentionally Omitted. 
  

6.5. Alterations and Additions. 
  
 (a) Lessee shall not, without Lessor’s prior written consent, which will not be unreasonably withheld, make any alterations, improvements, additions
or Utility Installations in, on or about the Premises. As used in this Section 6.5 the term “Utility Installation” shall mean bus ducting, power panels, wiring, fluorescent fixtures, space heaters, conduits, air conditioning
equipment and plumbing. Lessor may require that Lessee remove any or all of such alterations, improvements, additions or Utility Installations at the expiration of the term and restore the Premises to their prior condition. Lessee shall provide to
Lessor, at Lessee’s sole cost and expense, a lien and completion bond in an amount equal to one and one-half times the estimated cost of any such improvements to insure Lessor against any liability for mechanic’s and materialmen’s
liens and to insure completion of the work. Should Lessee make any alterations, improvements, additions or Utility Installations without the prior written approval of Lessor, Lessor may require that Lessee remove any or all of the same. 

 
 (b) Any alterations, improvements, additions or Utility Installations in
or about the Premises that Lessee shall desire to make shall be presented to Lessor in written form, with proposed detailed plans, and shall not be made until Lender has consented in writing. If Lessor shall give its consent, the consent shall be
deemed conditioned upon Lessee acquiring a permit for such alteration, improvement, addition or Utility Installation from appropriate governmental agencies, the furnishing of a copy thereof to Lessor prior to the commencement of the work and the
compliance by Lessee of all conditions of such permit in a prompt and expeditious manner. 
  
 (c) Lessee shall pay, when due, all claims for labor or materials furnished or alleged to have been furnished to or for Lessee at or for use in the Premises, which claims are or may be secured by any mechanics’
or materialmen’s lien against the Premises or any interest therein. Lessee shall give Lessor not less than ten (10) days’ notice prior to the commencement of any work in the Premises, and Lessor shall have the right to post notice of
non-responsibility in or on the Premises as provided by law. If Lessee shall, in good faith, 

  

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contest the validity of any such lien, claim or demand then Lessee shall, at its sole expense, defend itself and Lessor against the same and shall pay and
satisfy any such adverse judgment that may be rendered before the enforcement, upon the condition that Lessee shall furnish to Lessor a surety bond satisfactory to Lessor in an amount equal to such contested lien, claim or demand indemnifying Lessor
against liability for the same and holding the Premises free from the effect of such lien or claim. In addition, Lessee shall pay Lessor’s attorneys fees and other costs in participating in such action if Lessor shall decide it is to its best
interest to do so. 
  
 (d) Unless Lessor requires their removal
as set forth in Section 6.5(a), all alterations, improvements, additions and Utility Installations (whether or not such Utility Installations constitute trade fixtures of Lessee), which may be made on the Premises, shall become the property
of Lessor and remain upon and be surrendered with the Premises at the expiration of the term. 
  
 7. Insurance Indemnity. 
  
 7.1. Insuring Party. Lessor shall purchase and pay for various insurance policies covering the Land and the Building generally, including property insurance. 
  
 7.2. Liability Insurance. Lessee shall, at Lessee’s expense, obtain and keep in force during the term of this
Lease a policy of Combined Single Limit, Bodily Injury and Property Damage Insurance insuring Lessor and Lessee against any liability arising out of the ownership, use, occupancy or maintenance of the Premises and all areas appurtenant thereto. Such
insurance shall be a combined single limit policy in an amount not less than Three Million Dollars ($3,000,000.00). The policy may contain cross liability endorsements and may insure performance by Lessee of the indemnity provisions of this
Section 7. The limits of such insurance shall not, however, limit the liability of Lessee hereunder. In the event that the Premises constitute a part of a larger property such insurance shall have a Lessor’s Protective Liability
endorsement attached thereto. If Lessee shall fail to procure and maintain such insurance, Lessor may, but shall not be required to, procure and maintain the same, at Lessee’s expense. Not more frequently than each five (5) years, if, in the
reasonable opinion of Lessor, the amount of liability insurance required hereunder is not adequate Lessee shall increase such insurance coverage as required by Lessor. However, the failure of Lessor to require any additional insurance coverage shall
not be deemed to relieve Lessee from any obligations or liability under this Lease or otherwise. 
  
 7.3. Property Insurance. 
  
 (a) Subject to Section 7.1, Lessor shall obtain and keep in force during the term of this Lease a policy or policies of insurance covering loss or
damage to the Premises, in the amount of the full replacement value thereof, as the same may exist from time to time. Such insurance shall provide for payment of loss thereunder to Lessor or to the holders of mortgages or deeds of trust on the
Premises. Lessor may, in addition, obtain and keep in force during the term of this Lease a policy of rental income insurance covering a period of twelve months, with loss payable to Lessor, which insurance shall also cover all real estate taxes and
insurance costs for such period. 
  

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 (b) Lessee shall pay for any increase in the property insurance of the Land and the Building and any
deductible required to be paid by Lessor if such increase or deductible payment is caused by Lessee’s acts, omissions, use, operation or occupancy of the Premises. Lessor shall deliver to Lessee a written statement setting forth the amount of
any such insurance cost increase and showing in reasonable detail the manner in which it has been computed. 
  
 (c) Lessor will not insure Lessee’s fixtures, equipment or tenant improvements unless the tenant improvements have become a part of the Premises
under this Section 7. 
  
 7.4. Insurance Policies.
Insurance required hereunder shall be in companies holding a “General Policyholders Rating” of A plus or better as set forth in the most current issue of “Best’s Insurance Guide”. The insuring party shall deliver to the
other party copies of policies of such insurance or certificates evidencing the existence and amounts of such insurance with loss payable clauses satisfactory to Lessor. No such policy shall be cancelable or subject to reduction of coverage or other
modification except after thirty (30) days’ prior to the expiration of such policies, furnish Lessor with renewals or “binders” thereof, or Lessor may order such insurance and charge the cost thereof to Lessee, which amount shall be
payable be Lessee upon demand. Lessee shall not do or permit to be done anything which shall invalidate the insurance policies referred to in Section 7.3. 
  
 7.5. Intentionally Omitted. 
  

7.6. Indemnity. Lessee shall indemnify and hold harmless Lessor, its officers, directors, employees, agents or consultants from and against any
and all claims arising from Lessee’s use of the Premises or from the conduct of Lessee’s business or from any activity, work or things done, permitted or suffered by Lessee in or about the Premises or elsewhere and shall further indemnify
and hold harmless Lessor from and against any and all claims arising from any breach or default in the performance of any obligation on Lessee’s part to be performed under the terms of this Lease, or arising from any negligence of the Lessee or
any of Lessee’s agents, contractors or employees, and from and against all costs, attorney’s fees, expenses and liabilities incurred in the defense of any such claim or any action or proceeding brought thereon and in any action or
proceeding brought against Lessor by reason of any such claim. Lessee, upon notice from Lessor, shall defend the same at Lessee’s expense by counsel satisfactory to Lessor. Lessee, as a material part of the consideration to Lessor, hereby
assumes all risk of damage to property or injury to persons, in, upon or about the Premises arising from any cause and Lessee hereby waives all claims in respect thereof against Lessor. 
  
 7.7. Exemption of Lessor from Liability. Lessee hereby agrees that Lessor shall not be liable for injury to
Lessee’s business or any loss of income therefrom or for damage to the goods, wares, merchandise or other property of Lessee, Lessee’s employees, invitees, 

  

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customers or any other person in or about the Premises, and that Lessor shall not be liable for injury to the person of Lessee, Lessee’s employees,
agents or contractors, whether such damage or injury is caused by or results from fire, steam, electricity, gas, water or rain, or from the breakage, leakage, obstruction or other defects of pipes, sprinklers, wires, appliances, plumbing, air
conditioning or lighting fixtures, or from any other cause, whether such damage or injury results from conditions arising upon the Premises or upon other portions of the building of which the Premises are a part, or from other sources or places, and
regardless of whether the cause of such damage or injury or the means of repairing the same is inaccessible to Lessee. Lessor shall not be liable for any damages arising from any act or neglect of any other tenant, if any, of the building in which
the Premises are located. 
  
 8. Damage or Destruction.

  
 8.1. Partial Damage - Insured. Subject to the
provisions of Sections 8.3 and 8.4, if the Premises are damaged and such damage was caused by a casualty covered under an insurance policy required to be maintained pursuant to Section 7.3, Lessor shall apply any insurance
proceeds received to repair such damage, but not Lessee’s fixtures, equipment or tenant improvements, unless the same have become a part of the Premises pursuant to Section 6.5 hereof, as soon as reasonably possible, and this Lease shall
continue in full force and effect. Notwithstanding the above, if Lessee is the insuring party, and if the insurance proceeds received by Lessor are not sufficient to effect such repair, Lessor shall give notice to Lessee of the amount required in
addition to the insurance proceeds to effect such repair. Lessee shall contribute the required amount to Lessor within ten (10) days after Lessee has received notice from Lessor of the shortage in the insurance. When Lessee shall consider such
amount to Lessor, Lessor shall make such repairs as soon as reasonably possible, and this Lease shall continue in full force and effect. Lessee shall in no event have any right to reimbursement for any such amount so contributed. 
  
 8.2. Partial Damage - Uninsured. Subject to the provisions of
Sections 8.3 and 8.4, if at any time during the term hereof the Premises are damaged, except by a negligent or willful act of Lessee (in which event Lessee shall make the repairs, at its expense), and such damage is to less than the
entirety of the Premises, and such damage was caused by a casualty not covered under an insurance policy required to be maintained pursuant to Section 7.3, Lessor may at Lessor’s option either (i) repair such damage as soon as reasonably
possible at Lessor’s expense, in which event this Lease shall continue in full force and effect, or (ii) give written notice to Lessee within thirty (30) days after the date of the occurrence of such damage of Lessor’s intention to cancel
and terminate this Lease as of the date of the occurrence of such damage. 
  
 8.3. Total Destruction. If at anytime during the term hereof the Premises are totally destroyed from any cause whether or not covered by the insurance required to be maintained pursuant to Section 7.3
(including any total destruction required by any authorized public authority) this Lease shall automatically terminate as of the date of such total destruction. 
  

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 8.4. Damage Near End of Term. If less than the entirety of the Premises are destroyed or damaged
during the last six months of the term of the Lease, Lessor may, at Lessor’s option, cancel and terminate this Lease as of the date of occurrence of such damage by giving written notice to Lessee of Lessor’s election to do so within thirty
(30) days after the date of occurrence of such damage. 
  
 8.5.
Abatement of Rent: Lessee’s Remedies. 
  
 (a) If the
Premises are partially destroyed or damaged and Lessor or Lessee repairs or restores them pursuant to the provisions of this Section 8, the rent payable hereunder for the period during which such damage, repair or restoration continues shall
be abated in proportion to the degree to which Lessee’s use of the Premises is impaired; provided, however, that the aggregate amount of abatement hereunder shall not exceed the total of rent payable under Section 4 for a
period of six months. Except for abatement of rent, if any, Lessee shall have no claim against Lessor for any damage suffered by reason of any such damage, destruction, repair or restoration. 
  
 (b) If Lessor shall be obligated to repair or restore the Premises under the
provisions of this Section 8 and shall not commence such repair or restoration within ninety (90) days after such obligation shall accrue, Lessee may, at Lessee’s option, cancel and terminate this Lease by giving Lessor written notice of
Lessee’s election to do so at any time prior to the commencement of such repair or restoration in such event this Lease shall terminate as of the date of such notice. 
  
 8.6. Termination - Advance Payments. Upon termination of this Lease pursuant to this Section 8, an equitable
adjustment shall be made concerning advance rent and any advance payments made by Lessee to Lessor. Lessor shall, in addition, return to Lessee so much of Lessee’s security deposit as has not theretofore been applied by Lessor. 
  
 9. Property Taxes. 
  
 9.1. Personal Property Taxes 
  
 (a) Lessee shall pay, prior to delinquency, all taxes assessed against and
levied upon trade fixtures, furnishings, equipment and all other personal property of Lessee contained in the Premises or elsewhere. When possible Lessee shall cause such trade fixtures, furnishings, equipment and all other personal property to be
assessed and billed separately from the real property of Lessor. 
  
 (b) If any of Lessee’s such personal property shall be assessed with Lessor’s real property, Lessee shall pay Lessor the taxes attributable to Lessee within ten (10) days after receipt of a written statement setting forth the
taxes applicable to Lessee’s property. 
  
 9.2.
Miscellaneous. Notwithstanding that the Monthly Base Rent includes fees for local property taxes, if the local property taxes assessed against the Land and/or the Building, 

  

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or any other assessment by a governmental authority made against the Land, is directly attributable to Lessee’s use of the Land, the Building or the
Premises, Lessee shall, within ten (10) days receipt of written notice by Lessor, pay to Lessor the amount of such tax or assessment. 
  
 10. Miscellaneous Charges. 
  
 10.1. Lessor and Lessee acknowledge and agree that a portion of the Monthly Base Rent includes maintenance of the telephone system currently in place at
the Premises, but does not include charges for the use of the telephones. Lessee will establish at least one independent telephone number within ten (10) days of the Effective Date. Lessor shall measure use and will provide a written bill to Lessee
for such usage as and when Lessor deems desirable. Lessee shall make payment in full for such charges within ten (10) business days following delivery of such written bill. 
  
 11. Assignment and Subletting. 
  
 11.1. Lessor’s Consent Required. Lessee shall not voluntarily or by operation of law assign, transfer, mortgage,
sublet or otherwise transfer or encumber all or any part of Lessee’s interest in this Lease or in the premises, without Lessor’s prior written consent, which consent may be withheld in the sole discretion of Lessor. Any attempted
assignment, transfer, mortgage, encumbrance or subletting without such consent shall be void and shall constitute a breach of this Lease. Any change of Control of Lessee shall be deemed to be a transfer under this Section 11.1.
“Control”, as applied to Lessee, means the possession, directly or indirectly, of the power to direct the vote of a majority of the votes that may be cast in the election of directors (or other persons or entities acting in similar
capacities) of Lessee or otherwise to direct or cause the direction of the management and policies of Lessee, whether through the ownership of voting securities or by contract or otherwise. 
  
 11.2. No Release of Lessee. Regardless of consent, no subletting or
assignment shall release Lessee of Lessee’s obligation, or alter the primary liability of Lessee, to pay the rent and to perform all other obligations to be performed by Lessee hereunder. The acceptance of rent by Lessor from any other person
shall not be deemed to be a waiver by Lessor of any provision hereof. Consent to one assignment or subletting shall not be deemed consent to any subsequent assignment or subletting. In the event of default of any assignee of Lessee or any successor
of Lessee in the performance of any of the terms hereof, Lessor may proceed directly against Lessee without the necessity of exhausting any remedies against such assignee. Lessor may consent to subsequent assignments or subletting of this Lease or
amendments or modifications to this Lease with assignees of Lessee, without notifying Lessee, or any successor of Lessee, and without obtaining its or their consent thereto, and such action shall not relieve Lessee of liability under this Lease.

  
 11.3. Attorney’s Fees. In the event Lessee shall
assign or sublet the Premises or request the consent of Lessor to any assignment or subletting, or if Lessee shall request the consent of Lessor for any act that Lessee proposes to do, then Lessee shall pay Lessor’s attorneys fees incurred in
connection therewith. 
  

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 12. Defaults: Remedies. 
  
 12.1. Defaults. The occurrence of any one or more of the following events shall constitute a material default and
breach of this Lease by Lessee: 
  
 (a) The vacating or
abandonment of the Premises by Lessee for a period of thirty (30) days; 
  
 (b) The failure by Lessee to make any payment of Rent or any other payment required to be made by Lessee hereunder as and when due. 
  
 (c) The failure by Lessee to observe or perform any of the covenants, conditions or provision of this Lease to be observed
or performed by Lessee. 
  
 (d) (i) The making by Lessee of any
general assignment, or general arrangement for the benefit of creditors; (ii) the filing by or against Lessee of a petition to have Lessee adjudged a bankrupt or a petition for reorganization or arrangement under any law relating to bankruptcy;
(iii) the appointment of a trustee or receiver to take possession of substantially all of Lessee’s assets located at the Premises or of Lessee’s interest in this Lease; or (iv) the attachment, execution or other judicial seizure of
substantially all of Lessee’s assets located at the Premises or of Lessee’s interest in this Lease. 
  
 (e) The discovery by Lessor that any financial statement given to Lessor by Lessee, any assignee of Lessee, any subtenant of Lessee, any successor in
interest of Lessee or any guarantor of Lessee’s obligations hereunder, and any of them, was materially false. 
  
 (f) Any material default under that certain Transition Services Agreement by and between Constar International Inc., a Pennsylvania corporation, and
Lessor dated as of the date hereof. 
  
 12.2. Remedies. In
the event of any such material default or breach by Lessee, Lessor may at any time thereafter, with or without notice or demand, and without limiting Lessor in the exercise of any right or remedy which Lessor may have by reason of such default or
breach: 
  
 (a) Terminate Lessee’s right to possession of
the Premises by any lawful means, in which case this Lease shall terminate and Lessee shall immediately surrender possession of the Premises to Lessor. In such event Lessor shall be entitled to recover from Lessee all damages incurred by Lessor as a
result of Lessee’s default including, but not limited to, the cost of recovering possession of the Premises; expenses of reletting, including necessary renovation and alteration of the Premises, attorney’s fees and any real estate
commission actually 

  

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paid; the worth at the time of award by the court having jurisdiction thereof of the amount by which the unpaid rent for the balance of the term after the
time of such award exceeds the amount of such rental loss for the same period that Lessee proves could be reasonably avoided; that portion of the leasing commission paid by Lessor pursuant to Section 15 applicable to the unexpired term of
this Lease. 
  
 (b) Maintain Lessee’s right to possession in
which case the Lease shall continue in effect whether or not Lessee shall have abandoned the Premises. In such event Lessor shall be entitled to enforce all of Lessor’s rights and remedies under this Lease, including the right to recover the
rent as it becomes due hereunder. 
  
 (c) Pursue any other remedy
now or hereafter available to Lessor under the laws or judicial decisions of the State in which the Premises are located. 
  
 12.3. Default by Lessor. Lessor shall not be in default unless Lessor fails to perform obligations required of Lessor within a reasonable time, but
in no event later than thirty (30) days after written notice by Lessee to Lessor and to the holder of any first mortgage or deed of trust covering the Premises whose name and address shall have theretofore been furnished to Lessee in writing,
specifying wherein Lessor has failed to perform such obligations; provided, however, that if the nature of Lessor’s obligation is such that more than thirty (30) days are required for performance then Lessor shall not be in
default if Lessor commences performance within such 30-day period and thereafter diligently prosecutes the same to completion. 
  
 12.4. Late Charges. Lessee hereby acknowledges that late payment by Lessee to Lessor of Rent and other sums due hereunder will cause Lessor to
incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting charges and late charges that may be imposed on Lessor by the terms
of any mortgage or trust deed covering the Premises. Accordingly, if any installment of Rent or any other sum due from Lessee (including without limitation any taxes, insurance or repairs) shall not be received by Lessor or Lessor’s designee
when due, Lessee shall pay to Lessor a late charge equal to six percent (6%) of such overdue amount. The parties hereby agree that such late charge represents a fair and reasonable estimate of the costs Lessor will incur by reason of late payment by
Lessee. Acceptance of such late charges by Lessor shall in no event constitute a waiver of Lessee’s default with respect to such overdue amount, nor prevent Lessor from exercising any of the other rights and remedies granted hereunder.
Specifically, to the extent any overdue amount remains unpaid thirty (30) days after such amount shall be due, interest shall accrue on such overdue amount as set forth in Section 14.4. 
  
 13. Condemnation. If the Premises or any portion thereof are taken
under the power of eminent domain, or sold under the threat of the exercise of such power (all of which are herein called “Condemnation”), this Lease shall terminate as to the part so taken as of the date the condemning authority
takes title or possession, whichever first occurs, if more than twenty-five percent (25%) of the floor area of the improvements on the Premises is taken by Condemnation, Lessor may, subject to the terms of any mortgage upon the Premises, at
Lessor’s option, to be 

  

 - 13 - 

 
exercised in writing only within thirty (30) days after Lessor shall have given Lessee written notice of such taking (or, in the absence of such notice,
within ten (10) days after the condemning authority shall have taken possession) terminate this Lease as of the date the condemning authority takes such possession. If Lessor does not terminate this Lease in accordance with the foregoing, this Lease
shall remain in full force and effect as to the portion of the Premises remaining, except that the rent shall be reduced in the proportion that the floor area taken bears to the total floor area of the building situated on the Premises. Any award
for the taking of all or any part of the Premises under the power of eminent domain or any payment made under threat of the exercise of such power shall be the property of Lessor, whether such award shall be made as compensation for diminution in
value of the leasehold or for the taking of the fee or as severance damages; provided, however, that Lessee shall be entitled to any award for loss of or damage to Lessee’s trade fixtures or removable personal property. In the
event that this Lease is not terminated by reason of such Condemnation, Lessor shall, to the extent of severance damages receive by Lessor in connection with such Condemnation, repair any damage to the Premises caused by such Condemnation except to
the extent that Lessee has been reimbursed therefor by the condemning authority. Lessee shall pay any amount in excess of such severance damages required to complete such repair. 
  
 14. General Provisions. 
  
 14.1. Estoppel Certificate. 
  
 (a) Lessee shall at any time upon not less than ten (10) days prior written notice from Lessor execute, acknowledge and deliver to Lessor a statement in
writing (i) certifying that this Lease is unmodified and in full force and effect (or, if modified, stating the nature of such modification and certifying that this Lease, as so modified, is in full force and effect) and the date to which the rent
and other charges are paid in advance, if any, and (ii) acknowledging that there are not, to Lessee’s knowledge, any uncured defaults on the part of Lessor hereunder, or specifying such defaults if any are claimed. Any such statement shall be
binding on Lessee and may be conclusively relied upon by any prospective purchaser or encumbrances of the Premises. 
  
 (b) Lessee’s failure to deliver such statement within such time shall be conclusive and binding upon Lessee that: (i) this Lease is in full force
and effect, without modification except as may be represented by Lessor, (ii) there are no uncured defaults in Lessor’s performance, and (iii) not more than one month’s rent has been paid in advance or such failure may be considered by
Lessor as a default by Lessee under this Lease. 
  
 (c) If Lessor
desires to finance or refinance the Premises, or any part thereof, Lessee hereby agrees to deliver to any lender designated by Lessor such financial statements of Lessee as may be required by such Lender. Such statements shall include the past three
years financial statements of Lessee. All such financial statements shall be received in confidence and shall be used only for the purposes herein set forth. 
  

 - 14 - 

 14.2. Lessor’s. The term “Lessor” as used herein shall mean only the owner
or owners at the time in question of the fee title or a lessee’s interest in a ground lease of the Premises, and, in the event of any transfer of such title or interest, Lessor herein named (and in case of any subsequent transfers to then
grantor, such grantor) shall be relieved from and after the date of such transfer of all liability as respects Lessor’s obligations thereafter to be performed, provided that any funds in the hands of Lessor or the then grantor at the time of
such transfer, in which Lessee has an interest, shall be delivered to the grantee. The obligations contained in this Lease to be performed by Lessor shall, subject as aforesaid, be binding on Lessor’s successors and assigns only during their
respective periods of ownership. 
  
 14.3. Severability.
The invalidity of any provision of this Lease as determined by a court of competent jurisdiction, shall in no way affect the validity of any other provision hereof. 
  
 14.4. Interest on Past-due Obligations. Except as expressly herein provided, any amount due Lessor not paid when due
shall bear interest at the prime rate plus three percent (3%) per annum from the date due. Payment of such interest shall not excuse or cure any default by Lessee under this Lease. 
  
 14.5. Time of Essence. All times in this Lease are of the essence. 
  
 14.6. Captions. Article and section captions are not a part hereof.

  
 14.7. Incorporation of Prior Agreements: Amendments.
This Lease contains all agreements of the parties with respect to any matter mentioned herein. No prior agreement or understanding pertaining to any such matter shall be effective. This Lease may be modified in writing only, signed by the parties in
interest at the time of the modification. Lessee hereby acknowledges that the neither the Lessor nor any employees or agents of Lessor has made any oral or written warranties or representations to Lessee relative to the condition (present or future)
or use by Lessee of such Premises, and Lessee acknowledges that Lessee assumes all responsibility regarding the Occupational Safety Health Act or the legal use of adaptability of the Premises and the compliance thereof to all applicable laws and
regulations enforced during the term of this Lease except as otherwise specifically stated in this Lease. 
  
 14.8. Notices. Any notice required or permitted to be given hereunder shall be in writing and may be given by personal delivery or by certified
mail, and if given personally or by mail, shall be deemed sufficiently given if addressed to Lessee or to Lessor at the address noted below the signature of the respective parties, as the case may be. Either party may by notice to the other specify
a different address for notice purposes except that upon Lessee’s taking possession of the Premises, the Premises shall constitute Lessee’s address for notice purposes. A copy of all notices required or permitted to be given to Lessor
hereunder shall be concurrently transmitted to such party or parties at such addresses as Lessor may from time to time hereafter designate by notice to Lessee. 
  

 - 15 - 

 14.9. Waivers. No waiver by Lessor of any provision hereof shall be deemed a waiver of any other
provision hereof or of any subsequent breach by Lessee of the same or any other provision. Lessor’s consent to or approval of any act shall not be deemed to render unnecessary the obtaining of Lessor’s consent to or approval of any
subsequent act by Lessee. The acceptance of rent hereunder by Lessor shall not be a waiver of any preceding breach by Lessee of any provision hereof, other than the failure of Lessee to pay the particular rent so accepted, regardless of
Lessor’s knowledge of such preceding breach at the time of acceptance of such rent. 
  
 14.10. Recording. Lessee shall not record this Lease without Lessor’s prior written consent, and such recordation shall, at the option of Lessor, constitute a non-curable default of Lessee hereunder.
Either party shall, upon request of the other, execute, acknowledge and deliver to the other a “short form” memorandum of this Lease for recording purposes. 
  
 14.11. Holding Over. If Lessee remains in possession of the Premises or any part thereof after the expiration of the
term hereof without the express written consent of Lessor, such occupancy shall, at Lessor’s election, be deemed a tenancy from month to month at a rental in the amount of one hundred fifty percent (150%) of the last monthly rental plus all
other charges payable hereunder, and upon all the terms hereof applicable to a month-to-month tenancy. 
  
 14.12. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other
remedies at law or in equity. 
  
 14.13. Covenants and
Conditions. Each provision of this Lease performable by Lessee shall be deemed both a covenant and a condition. 
  
 14.14. Binding Effect; Choice of Law. Subject to any provisions hereof restricting assignment or subletting by Lessee and subject to the provisions
of Section 14.2, this Lease shall bind the parties, their personal representatives, successors and assigns. This Lease shall be governed by the laws of the Commonwealth of Pennsylvania. 
  
 14.15. Subordination. 
  
 (a) This Lease, at Lessor’s option, shall be subordinate to any ground
lease, mortgage, deed of trust, or any other hypothecation for security now or hereafter placed upon the real property of which the Premises are a part and to any and all advances made on the security thereof and to all renewals, modifications,
consolidations, replacements and extensions thereof. Any mortgagee, trustee or ground lessor may elect to have this Lease prior to the lien of its mortgage, deed of trust or ground lease, whether this Lease is dated prior or subsequent to the date
of such mortgage, deed of trust or ground lease or the date or recording thereof. 
  
 (b) Lessee agrees to execute any documents required to effectuate such subordination or to make this Lease prior to the lien of any mortgage, deed of trust or ground lease, as the case may be, and failing to do so
within ten (10) days after written demand, does hereby make, constitute and irrevocably appoint Lessor as Lessee’s attorney in fact and in Lessee’s name, place and stead, to do so. 
  

 - 16 - 

 14.16. Lessor’s Access. Lessee acknowledges that the Premises are only a portion of the Land
and the Building, and that neither Lessee nor its employees, invitees, licensees, subtenants or contractors may have access to any other portion of the Land or the Building. Lessee acknowledges that Lessor and Lessor’s agents shall have the
right to enter the Premises at any times as Lessor may deem necessary or desirable. Lessor may at any time place on or about the Premises any ordinary “For Sale” signs and Lessor may at any time during the last 120 days of the term hereof
place on or about the Premises any ordinary “For Lease” signs, all without rebate of rent or liability to Lessee. 
  
 14.17. Signs and Auctions. Lessee shall not place any sign upon the Premises or conduct any auction thereon without Lessor’s prior written
consent except that Lessee shall have the right, without the prior permission of Lessor to place ordinary and usual for rent or sublet signs thereon. 
  
 14.18. Merger. The voluntary or other surrender of this Lease by Lessee, or a mutual cancellation thereof, or a termination by Lessor, shall not
work a merger, and shall, at the option of Lessor, terminate all or any existing subtenancies or may, at the option of Lessor, operate as an assignment to Lessor of any or all of such subtenancies. 
  
 [Signatures commence on the following page.] 
  

 - 17 - 

 IN WITNESS WHEREOF, the parties hereto, intending to be legally bound, have executed this Lease as of the
date first above written. 
  

					
	 	 	LESSOR:
		
	 	 	CROWN PACKAGING TECHNOLOGY INC., a Delaware corporation
			
	 	 	By	 	 /s/ William C. Hoyle

	[CORPORATE SEAL]	 	Name:	 	William C. Hoyle
	 	 	Title:	 	VP-Materials Dev.
		
	 	 	Address:
		
	 	 	LESSEE:
		
	 	 	CONSTAR, INC., a Pennsylvania corporation
			
	 	 	By	 	 /s/ James Cook

	[CORPORATE SEAL]	 	Name:	 	James Cook
	 	 	Title:	 	CFO
		
	 	 	Address:

 EXHIBIT “A” 
  
 [Plan of Premises] 
  
 To be provided by the parties upon mutual agreement.Standard Industrial/Commercial Multi-Tenant Lease Modified Net

  
 Exhibit 10.87

  
 STANDARD INDUSTRIAL/COMMERCIAL MULTI-TENANT LEASE
MODIFIED NET 
  
 1. Basic Provisions (“Basic Provision”).

  
 1.1 Parties: This Lease
(“Lease”), dated for reference purposes only, January 25, 2005, is made by and between Fremont Ventures, LLC (“Landlord”) and Rita Medical Systems, Inc. (“Tenant”), (collectively the
“Parties,” or individually a “Party”). 
  
 1.2(a) Premises: That certain portion of the Building comprising approximately 14,480 sq. ft. of space, including all improvements therein or to be provided by Landlord under the terms of this Lease, commonly
known by the street address of 46421 Landing Parkway, located in the City of Fremont, County of Alameda, State of California, as outlined on Exhibit A attached hereto (“Premises”). The “Building” is
that certain building containing the Premises and generally described as building F of the Fremont Technology Park. In addition to Tenant’s rights to use and occupy the Premises as hereinafter specified, Tenant shall have non-exclusive rights
to the Common Areas (as defined in Paragraph 2.6 below) as hereinafter specified, but shall not have any rights to the roof, exterior walls or utility raceways of the Building or to any other buildings in the Industrial Center. The Premises, the
Building, the Common Areas, the land upon which they are located, along with all other buildings and improvements thereon, are herein collectively referred to as the “Industrial Center.” (Also see Paragraph 2.) 
  
 1.2(b) Parking: 58 unreserved vehicle parking spaces
(“Unreserved Parking Spaces”); and no reserved vehicle parking spaces (“Reserved Parking Spaces”). (Also, see Paragraph 2.6) 
  
 1.3 Term: Five years and one month (“Original Term”) commencing April 15, 2005
(“Commencement Date”) and ending May 14, 2010 (“Expiration Date”). (Also Paragraph 3.) 
  
 1.4 Early Possession: Upon Lease Execution (“Early Possession Date”). (Also Paragraphs 3.2 and 3.3.) 
  
 1.5 Base rent: $12,163 per month (“Base
Rent”), payable on the first day of each month commencing May 15, 2005 (Also see Paragraph 1.6(a) and Paragraph 4.) Base Rent to be adjusted as follows: 
  

				
	 Months 13-24
	  	$	12,597 per month
	 Months 25-36
	  	$	13,032 per month
	 Months 37-48
	  	$	13,466 per month
	 Months 49-60
	  	$	13,900 per month

  
 1.6(a) Base Rent
Paid Upon Execution: $12,163 as Base Rent for the period May 15, 2005 through June 14,2005. 
  
 1.6(b) Tenant’s Share of Common Area Operating Expenses: 9.31 % (“Tenant’s Share”) as determined by prorata square
footage of the Premises as compared to the total square footage of the Building. 
  
 1.7 Security Deposit: $13,900 in cash and ($83,400 in additional security in either a letter of credit or cash which shall decrease by 20% on each one year anniversary of the Commencement Date of the Lease
assuming Tenant is not in default and which shall be waived entirely upon Tenant having their second consecutive profitable quarter (“Security Deposit”). (Also see Paragraph 5) 
  
 1.8 Permitted Use: general office, manufacturing, sales and marketing,
R&D and R&D of medical devices (“Permitted Use”) (Also see Paragraph 5.) 
  
 1.9 Insuring Party. Landlord is the “Insuring Party.” (Also see Paragraph 8) 
  
 1.10(a) Real Estate Brokers. The following real estate broker(s)
(collectively, the “Brokers”) and brokerage relationships exist in this transaction and are consented to by the Parties (check applicable boxes): 
  

	x	CB Commercial represents Landlord exclusively (“Landlord’s Broker”); 

  

	x	Cresa Partners represents Tenant exclusively (“Tenant’s Broker”); or 

  

	 ̈	***** represents both Landlord and Tenant (“Dual Agency”), (/also see Par. 15.) 

  
 1.10(b) Payment to Brokers. Upon the execution of this Lease by both Parties, Landlord shall pay to said Broker(s)
according to separate written agreement between Landlord and said Broker(s). 
  
 1.11 [Intentionally Deleted]. 
  

					
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 2. Premises, Parking and Common Areas. 
  
 2.1 Letting. Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, the Premises, for the term, at
the rental, and upon all of the terms, covenants and conditions set forth in this Lease. The leaseable area is measured to the outside edge of the outside walls and drip lines to the centerline of any demising walls, including a pro rata share of
the electrical room and other common spaces. Unless otherwise provided herein, any statement of square footage set forth in this Lease, or that may have been used in calculating rental and/or Common Area Operating Expenses, is an approximation which
Landlord and Tenant agree is reasonable and the rental and Tenant’s Share (as defined in Paragraph 1.6(b) based thereon is not subject to revision whether or not the actual square footage is more or less. 
  
 2.2 Condition. Landlord shall deliver the Premises to Tenant clean and
free of debris on the Commencement Date and warrants to Tenant that the Premises and the plumbing, electrical systems, fire sprinkler system, lighting, air conditioning and heating systems and loading doors, if any, in the Premises, other than those
constructed by Tenant, shall be, on the Commencement Date, in good operating condition and in compliance with all laws, including, without limitation, The Americans With Disabilities Act of 1990 and its California counterpart (together with the
regulations promulgated pursuant thereto). If a non-compliance with said warranty exists as of the Commencement Date, Landlord shall, except as otherwise provided in this Lease, promptly after receipt of written notice from Tenant setting forth with
specificity the nature and extent of such non-compliance, rectify same at Landlord’s expense. If Tenant does not give Landlord written notice of a non-compliance with this warranty within sixty (60) days after the Commencement Date, correction
of that non-compliance shall be the obligation of Tenant at Tenant’s sole cost and expense. 
  
 2.3 Warranties. Tenant acknowledges that neither landlord nor any of its agents made any representations or warranties respecting the project, the
buildings, or the leased premises, upon which Tenant relied in entering into this Lease, which are not expressly set forth in this Lease. Tenant further acknowledges that neither Landlord nor any of its agents made any representations as to (i)
whether the leased premises may be used for Tenant’s intended use under existing law or; (ii) the suitability of the leased premises for the conduct of Tenant’s business or; (iii) the exact square footage of the leased premises; that
Tenant relied solely upon its own investigations-respecting said premises (including but not limited to the electrical and fire sprinkler systems, security, environmental aspects, seismic and earthquake requirements, and compliance with the American
with Disabilities Act and applicable zoning, municipal, county, state and federal laws, ordinances and regulations and any covenants or restrictions of record (collectively, “Applicable Laws”) and that upon its execution of this
Lease, accepts the leaseable area as specified herein. Tenant expressly waives any and all claims for damage by reason of any statement, representation, warranty, promise or other agreement of landlord or landlord’s agent(s), if any, not.
contained in this Lease or in any addenda hereto. 
  
 2.4
Tenant as Prior Owner/Occupant. The warranties made by Landlord in this Paragraph 2.2 shall be of no force or effect if immediately prior to the date set forth in Paragraph 1.1 Tenant was the owner or occupant of the Premises. In such event,
Tenant shall, at Tenant’s sole cost and expense, correct any non-compliance of the Premises with said warranties. 
  
 2.5 Vehicle Parking. Tenant shall be entitled, at no additional charge at any time, to use the number of Unreserved Parking Spaces and Reserved
Parking Spaces specified in Paragraph 1.2(b) on those portions of the Common Areas designated from time to time by Landlord for parking. Tenant shall not use more parking spaces than said number. Said parking spaces shall be used for parking by
vehicles no larger than full-size passenger automobiles or pick-up trucks, herein called “Permitted Size Vehicles.” Vehicles other than Permitted Size Vehicles shall be parked and loaded or unloaded as directed by Landlord in the
Rules and Regulations (as defined in Paragraph 40) issued by Landlord. (Also see Paragraph 2.9.) 
  
 (a) Tenant shall not permit or allow any vehicles that belong to or are controlled by Tenant or Tenant’s employees, suppliers,
shippers, customers, contractors or invitees to be loaded, unloaded, or parked in areas other than those designated by Landlord for such activities. 
  
 (b) If Tenant permits or allows any of the prohibited activities described in this Paragraph 2.6, then Landlord shall have the right,
without notice, in addition to such other rights and remedies that it may have, to remove or tow away the vehicle involved and charge the cost to Tenant, which cost shall be immediately payable upon demand by Landlord. 
  
 (c) Landlord shall at the Commencement Date of this Lease,
provide the parking facilities required by Applicable Law. 
  
 2.6
Common Areas - Definition. The term “Common Areas” is defined as all areas and facilities outside the Premises and within the exterior boundary line of the Industrial Center and Interior utility raceways within the Premises
that are provided and designated by the Landlord from time to time for the general non-exclusive use of Landlord, Tenant and other tenants of the Industrial Center and their respective employees, suppliers, shippers, customers, contractors and
invitees, including parking areas, loading and unloading areas, trash areas, roadways, sidewalks, walkways, parkways, driveways and landscaped areas. 
  
 2.7 Common Areas - Tenant’s Rights. Landlord hereby grants to Tenant, for the benefit of Tenant and its employees, suppliers, shippers,
contractors, customers and invitees, during the term of this Lease, the non exclusive right to use, in common with others entitled to such use, the Common Areas as they exist from time to time, subject to any rights, powers, and privileges reserved
by Landlord under the terms hereof or under the terms of 

  

					
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	 	—2—	 	 
	 Initials_____/_____
	 	 	 	 

 
any rules and regulations or restrictions governing the use of the Industrial Center. Under no circumstances shall the right herein granted to use the Common
Areas be deemed to include the right to store any property, temporarily or permanently, in the Common Areas. Any such storage shall be permitted only by the prior written consent of Landlord or Landlord’s designated agent, which consent may be
revoked at any time. In the event that any unauthorized storage shall occur then Landlord shall have the right, without notice, in addition to such other rights and remedies that it may have, to remove the property and charge the cost to Tenant,
which cost shall be immediately payable upon demand by Landlord. 
  
 2.8 Common Areas - Rules and Regulations. Landlord or such other person(s) as Landlord may appoint shall have the exclusive control and management of the Common Areas and shall have the right, from time to time, to establish,
modify, amend and enforce reasonable Rules and Regulations with respect thereto in accordance with Paragraph 40. Tenant agrees to abide by and conform to all such Rules and Regulations and to cause its employees, suppliers, shippers, customers,
contractors and invitees to so abide and conform. Landlord shall not be responsible to Tenant for the non-compliance with said rules and regulations by other tenants of the Industrial Center. 
  
 2.9 Common Areas - Changes. Landlord shall have the
right, in Landlord’s sole discretion, from time to time: 
  
 (a) To make changes to the Common Areas, including, without limitation, changes in the location, size, shape and number of driveways, entrances, parking spaces, parking areas, loading and unloading areas, ingress,
egress, direction of traffic, landscaped areas, walkways and utility raceways; 
  
 (b) To close temporarily any of the Common Areas for maintenance purposes so long as reasonable access to the Premises remains available
and such closure does not interfere with Tenant’s business operations; 
  
 (c) To designate other land outside the boundaries of the Industrial Center to be a part of the Common Areas; 
  
 (d) To add additional buildings and improvements to the Common Areas; 
  
 (e) To use the Common Areas while engaged in making additional improvements, repairs or alterations to the
Industrial Center, or any portion thereof; and 
  
 (f) To do and perform such other acts and make such other changes in, to or with respect to the Common Areas and Industrial Center as Landlord may, in the exercise of sound business judgment, deem to be appropriate. 
  
 3. Term. 
  
 3.1 Term. The Commencement Date, Expiration Date and Original Term of this Lease are as specified in Paragraph 1.3.

  
 3.2 Early Possession. If an Early Possession Date is
specified in Paragraph 1.4 and if Tenant totally or partially occupies the Premises after the Early Possession Date but prior to the Commencement Date, the obligation to pay Base Rent and Tenant’s Share of Common Area Operating Expenses shall
be abated for the period of such early occupancy. All other terms of this Lease, however, (including but not limited to the obligations to carry the insurance required by Paragraph 8) shall be in effect during such period. Any such early possession
shall not affect nor advance the Expiration Date of the Original Term. 
  
 3.3 Delay in Possession. If for any reason Landlord cannot deliver possession of the Premises to Tenant by the Early Possession Date, if one is specified in Paragraph 1.4, or if no Early Possession Date is specified, by the
Commencement Date, Landlord shall not be subject to any liability therefor, nor shall such failure affect the validity of this Lease, or the obligations of Tenant hereunder, or extend the term hereof, but in such case, Tenant shall not, except as
otherwise provided herein, be obligated to pay rent or perform any other obligation of Tenant under the terms of this Lease until Landlord delivers possession of the Premises to Tenant. If possession of the Premises is not delivered to Tenant within
sixty (60) days after the Commencement Date, Tenant may, at its option, by notice in writing to Landlord within ten (10) days after the end of sixty (60) day period, cancel this Lease, in which event the parties shall be discharged from all
obligations hereunder; provided further, however, that if such written notice of Tenant is not received by Landlord within said ten (10) day period, Tenant’s right to cancel this Lease hereunder shall terminate and be of no further force or
effect. 
  
 4. Rent 
  
 4.1 Base Rent. Tenant shall pay Base Rent and other rent or charges,
as the same may be adjusted from time to time, to Landlord in lawful money of the United States, without offset or deduction, on or before the 1st day of each month. Base Rent and all other rent and charges for any period during the term hereof which is for less than one full month shall be prorated based upon the actual number of days of the
month involved. Payment of Base Rent and other charges shall be made to Landlord at its address stated herein or to such other persons or at such other addresses as Landlord may from time to time designate in writing to Tenant. 
  

					
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 4.2 Common Area Operating Expenses. Tenant shall pay to Landlord during the term hereof, in
addition to the Base Rent, Tenant’s Share (as specified in Paragraph 1.6(b)) of all Common Area Operating Expenses, as hereinafter defined, during each calendar year of the term of this Lease, in accordance with the following provisions:

  
 (a) “Common Area Operating
Expenses” are defined, for purposes of this Lease, as all costs incurred by Landlord relating to the ownership and operation of the Industrial Center, including, but not limited to, the following: 
  
 (i) The operation, repair and maintenance, in neat, clean,
good order and condition, of the following: 
  
 (aa) The Common Areas, including parking areas, loading and unloading areas, trash areas, roadways, sidewalks, walkways, parkways, driveways, landscaped areas, striping, bumpers, irrigation systems, Common Area lighting facilities, fences
and gates, elevators and roof. 
  
 (bb) Exterior
signs and any tenant directories. 
  
 (cc) Fire
detection and sprinkler systems. 
  
 (ii) The
cost of water, gas, electricity and telephone to service the Common Areas. 
  
 (iii) Trash disposal, actual property management fees not to exceed 4% of the gross monthly rental and security services and the costs of any environmental inspections. 
  
 (iv) Reserves set aside for maintenance and repair of Common
Areas. 
  
 (v) Real Property Taxes (as defined in
Paragraph 10.2) to be paid by Landlord for the Building and the Common Areas under Paragraph 10 hereof. 
  
 (vi) The cost of the premiums for the insurance policies maintained by Landlord under Paragraph 8 hereof. 
  
 (vii) Any deductible portion of an insured loss concerning
the building or the Common Areas. 
  
 (viii) Any
other services to be provided by Landlord that are stated elsewhere in this Lease to be a Common Area Operating Expense. 
  
 (b) Notwithstanding anything to the contrary contained in subparagraph (a) above, Common Area Operating Expenses shall not include,
without limitation: 
  
 (i) Costs paid for
directly by Tenant or any other tenant of the Building. 
  
 (ii) The cost of additional or extraordinary services provided to other tenants of the Building. 
  
 (iii) Principal and interest payments on loans secured by deeds of trust recorded against the Premises. 
  
 (iv) Real estate sale or leasing brokerage commissions.

  
 (v) Executive salaries of off-site personnel
employed by Landlord except for the charge (or pro rata share) of the manager of the Premises. 
  
 (vi) Costs paid by proceeds of insurance or other third parties, 
  
 (vii) The cost of capital improvements, except as set forth above. 
  
 (viii) The cost of repairs or other work to the extent
Landlord is reimbursed by insurance or condemnation proceeds. 
  
 (c) Any Common Area Operating Expenses and Real Property Taxes that are specifically attributable to the Building or to any other building in the industrial Center or to the operation, repair and maintenance thereof,
shall be allocated entirely to the Building or to such other building. However, any Common Area Operating Expenses and Real Property Taxes that are not specifically attributable to the Building or to any other building or to the operation, repair
and maintenance thereof, shall be equitably allocated by Landlord to all buildings in the Industrial Center. 
  
 (d) The inclusion of the improvements, facilities and services set forth in subparagraph 4.2(a) shall not be deemed to impose an
obligation upon Landlord to either have said improvements or facilities or to provide those services unless the Industrial Center already has the same, Landlord already provides the services, or Landlord has agreed elsewhere in this Lease to provide
the same or some of them. 
  
 (e) Tenant’s
Share of Common Area Operating Expenses shall be payable by Tenant within thirty (30) days after a reasonably detailed statement of actual expenses is presented to Tenant by Landlord. At Landlord’s option, however, an amount may be estimated by
Landlord from time to time of Tenant’s Share of annual Common Area Operating Expenses and the same shall be payable monthly or quarterly, as Landlord shall designate, during each 12-month period of the Lease term, on the same day as the Base
Rent is due hereunder. 

  

					
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Landlord shall deliver to Tenant within sixty (60) days after the expiration of each calendar year a reasonably detailed statement showing Tenant’s
Share of the Common Area Operating Expenses incurred during the preceding year (“Landlord’s Statement”). If Tenant’s payments under this Paragraph 4.2(e) during said preceding year exceed Tenant’s Share as indicated
on the Landlord’s Statement, Landlord shall be credited the amount of such over-payment against Tenant’s Share of Common Area Operating Expenses next becoming due. If Tenant’s payments under this Paragraph 4.2(e) during said preceding
year were less than Tenant’s Share as indicated on the Landlord’s Statement, Tenant shall pay to Landlord the amount of the deficiency within thirty (30) days after delivery by Landlord to Tenant of the Landlord’s Statement.

  
 (f) Tenant may designate, by written notice
to Landlord within ninety (90) days after receipt of the Landlord’s Statement, an independent certified public accountant to inspect Landlord’s books and records for such 12-month period. Landlord shall provide Tenant’s certified
public accountant access to Landlord’s books and records during Landlord’s regular business hours and upon reasonable prior notice. Tenant’s accountant must be a member of a nationally or regionally recognized accounting firm and must
not be retained on a contingency fee basis. If after Tenant’s accountant’s inspection, Tenant disputes the Landlord’s Statement, a final and conclusive certification of the proper amount shall be made, at Tenant’s expense, by an
independent certified public accountant designated by Landlord. If the certification shows that the actual Tenant’s Share of Common Area Operating Expenses was less than reported in the Landlord’s Statement, Tenant shall be credited
against the next installment of Base Rent in the amount of any overpayment by Tenant. Likewise, if the certification shows that the actual Tenant’s Share of Common Area Operating Expenses was greater than reported in the Landlord’s
Statement, Tenant shall pay Landlord the amount of any underpayment within thirty (30) days. If the certification shows that Landlord overstated Tenant’s Share of Common Area Operating Expenses by five percent (5%) or more in the
Landlord’s Statement, Landlord shall pay the costs related to such certification plus the out-of pocket fees incurred by Tenant in its original audit. Tenant shall keep any information gained from the inspection of Landlord’s books and
records confidential and shall not disclose it to any other party, except as may be required by law. 
  
 5. Security Deposit. Tenant shall deposit with Landlord upon Tenant’s execution hereof the Security Deposit set forth in Paragraph 1.7 as security for Tenant’s faithful performance of Tenant’s
obligations under this Lease. Tenant is to deposit with landlord an additional security deposit of $83,400 in either cash or an irrevocable letter of credit from an institution acceptable to landlord naming Landlord as beneficiary and guaranteeing
the full and faithful performance of all of the terms and conditions of this Lease including any re-tenanting costs if need be. Provided Tenant is not in default of the terms and conditions of the Lease, Tenant may reduce the amount of the
additional security by 20% on each one year anniversary from the commencement date assuming that Tenant is not in default of the Lease. Upon Tenant becoming profitable for two consecutive quarters said additional security deposit shall be waived. If
Tenant fails to pay Base Rent or other rent or charges due hereunder, or otherwise Defaults under this Lease (as defined in Paragraph 13.1), Landlord may use, apply or retain all or any portion of said Security Deposit, Tenant shall within ten (10)
days after written request therefore deposit monies with Landlord sufficient to restore said Security Deposit to the full amount required by this Lease. Landlord shall not be required to keep all or any part of the Security Deposit separate from its
general accounts. Landlord shall, at the expiration or earlier termination of the term hereof and after Tenant has vacated the Premises, return to Tenant (or, at Landlord’s option, to the last assignee, if any, of Tenant’s interest
herein), that portion of the Security Deposit not used or applied by Landlord. Unless otherwise expressly agreed in writing by Landlord, no part of the Security Deposit shall be considered to be held in trust, to bear interest or other increment for
its use, or to be prepayment for any monies to be paid by Tenant under this Lease. 
  
 6. Use. 
  
 6.1 Permitted Use. 

 
 (a) Tenant shall use and occupy the Premises only for the
Permitted Use set forth in Paragraph 1.8, or any other legal use which is reasonably comparable thereto, and for no other purpose. Tenant shall not use or permit the use of the Premises in a manner that is unlawful, creates waste or a nuisance, or
that disturbs owners and/or occupants of, or causes damage to the Premises or neighboring premises or properties. 
  
 (b) Landlord hereby agrees to not unreasonably withhold or delay its consent to any written request by Tenant, Tenant’s assignees or
subtenants, and by prospective assignees and subtenants of Tenant, its assignees and subtenants, for a modification of said Permitted Use, so long as the same will not impair the structural integrity of the improvements on the Premises or in the
Building or the mechanical or electrical systems therein, does not conflict with uses by other Tenants, is not significantly more burdensome to the Premises or the Building and the improvements thereon, and is otherwise permissible pursuant to this
Paragraph 6. If Landlord elects to withhold such consent, Landlord shall within five (5) business days after such request give a written notification of same, which notice shall include an explanation of Landlord’s reasonable objections to the
change in use. 
  
 6.2 Hazardous Substances. 
  
 (a) Reportable Uses Require Consent. The term
“Hazardous Substance” as used in this Lease shall mean any product, substance, chemical, material or waste whose presence, nature, quantity and/or intensity of existence, use, manufacture, disposal, transportation, spill, release or
effect, either by itself or in combination with other materials expected to be on the Premises, is either: (i) potentially injurious to the public health, safety or welfare, the environment, or the Premises; (ii) regulated or monitored by any
governmental authority; or (iii) a basis for potential liability of Landlord to any governmental agency or third party under any applicable statute or common law theory. Hazardous Substance shall include, but not be limited to, hydrocarbons,
petroleum, gasoline, crude oil or any products or by-products thereof. Tenant shall not engage in any activity in or 

  

					
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about the Premises which constitutes a Reportable Use (as hereinafter defined) of Hazardous Substances without the express prior written consent of Landlord
and compliance in a timely manner (at Tenant’s sole cost and expense) with all Applicable Requirements (as defined in Paragraph 6.3). “Reportable Use” shall mean (i) the installation or use of any above or below ground storage
tank, (ii) the generation, possession, storage, use, transportation, or disposal of a Hazardous Substance that requires a permit from, or with respect to which a report, notice, registration or business plan is required to be filed with, any
governmental authority, and (iii) the presence in, on or about the Premises of a Hazardous Substance with respect to which any Applicable Laws require that a notice be given to persons entering or occupying the Premises or neighboring properties.
Notwithstanding the foregoing, Tenant may, without Landlord’s prior consent, but upon notice to Landlord and in compliance with all Applicable requirements, use any ordinary and customary materials reasonably required to be used by Tenant in
the normal course of the Permitted Use, so long as such use is not a Reportable Use and does not expose the Premises or neighboring properties to any meaningful risk of contamination or damage or expose Landlord to any liability therefor. In
addition, Landlord may (but without any obligation to do so) condition its consent to any Reportable Use of any Hazardous Substance by Tenant upon Tenant’s giving Landlord such additional assurances as Landlord, in its reasonable discretion,
deems necessary to protect itself, the public, the Premises and the environment against damage, contamination or injury and/or liability therefor, including but not limited to the installation (and, at Landlord’s option, removal on or before
Lease expiration or earlier termination) of reasonably necessary protective modifications to the Premises (such as concrete encasements) and/or the deposit of an additional Security Deposit under Paragraph 5 hereof. 
  
 (b) Duty to Inform Landlord. If Tenant knows, or has
reasonable cause to believe, that a Hazardous Substance has come to be located in, on, under or about the Premises or the Building, other than as previously consented to by Landlord, Tenant shall immediately give Landlord written notice thereof,
together with a copy of any statement, report, notice, registration, application, permit, business plan, license, claim, action, or proceeding given to, or received from, any governmental authority or private party concerning the presence, spill,
release, discharge of, or exposure to, such Hazardous Substance including but not limited to all such documents as may be involved in any Reportable Use involving the Premises. Tenant shall not cause or permit any Hazardous Substance to be spilled
or released in, on, under or about the Premises (including, without limitation, through the prompting or sanitary sewer system). 
  
 (c) Indemnification. Tenant shall indemnify, protect, defend and hold Landlord, its agents, employees, lenders and ground lessor,
if any, and the Premises, harmless from and against any and all damages, liabilities, judgments, costs, claims, liens, expenses, penalties, loss of permits and attorneys’ and consultants’ fees arising out of or involving any Hazardous
Substance brought onto the Premises by or for Tenant or by anyone under Tenant’s control. Tenant’s obligations under this paragraph 6.2(c) shall include, but not be limited to, the effects of any contamination or injury to person, property
or the environment created or suffered by Tenant, and the cost of investigation (including consultants’ and attorneys’ fees and testing), removal, remediation, restoration and/or abatement thereof, or of any contamination therein involved,
and shall survive the expiration or earlier termination of this Lease. No termination, cancellation or release agreement entered into by Landlord and Tenant shall release Tenant from its obligations under this Lease with respect to Hazardous
Substances, unless specifically so agreed by Landlord in writing at the time of such agreement. 
  
 6.3 Tenant’s Compliance with Requirements. Tenant shall, at Tenant’s sole cost and expense, fully, diligently and in a timely manner,
comply with all “Applicable Requirements,” which term is used in this Lease to mean all laws, rules, regulations, ordinances, directives, covenants, easements and restrictions of record, permits, the requirements of any applicable
fire insurance underwriter or rating bureau, and the recommendations of Landlord’s engineers and/or consultants, relating in any manner to the Premises (including but not limited to matters pertaining to (i) industrial hygiene, (ii)
environmental conditions on, in, under or about the Premises, including soil and ground water conditions, and (iii) the use, generation, manufacture, production, installation, maintenance, removal, transportation, storage, spill, or release of any
Hazardous Substance), now in effect or which may hereafter come into effect. Tenant shall, within five (5) days after receipt of Landlord’s written request, provide Landlord with copies of all documents and information, including but not
limited to permits, registrations, manifests, applications, reports and certificates, evidencing Tenant’s compliance with any applicable Requirements specified by Landlord, and shall immediately upon receipt, notify Landlord in writing (with
copies of any documents involved) of any threatened or actual claim, notice, citation, warning, complaint or report pertaining to or involving failure by Tenant or the Premises to comply with any Applicable Requirements. 
  
 6.4 Inspection; Compliance with Law. Landlord, Landlord’s agents,
employees, contractors and designated representatives, and the holders of any mortgages, deeds of trust or ground leases on the Premises (“Lenders”) shall have the right to enter the Premises at any time in the case of an emergency,
and otherwise after 24 hours’ notice, for the purpose of inspecting the condition of the Premises and for verifying compliance by Tenant with this Lease and all Applicable Requirements (as defined in Paragraph 6.3), and Landlord shall be
entitled to employ experts and/or consultants in connection therewith to advise Landlord with respect to Tenant’s activities, including but not limited to Tenant’s installation, operation, use, monitoring, maintenance, or removal of any
Hazardous Substance on or from the Premises. The costs and expenses of any such inspections shall be paid by the party requesting same, unless a Default or Breach of this Lease by Tenant or a violation of Applicable Requirements or a contamination,
caused or materially contributed to by Tenant, is found to exist or to be imminent, or unless the inspection is requested or ordered by a governmental authority as the result of any such existing or imminent violation or contamination. In such case,
Tenant shall upon request reimburse Landlord or Landlord’s Lender, as the case may be, for the costs and expenses of such inspections. 
  

					
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 7. Maintenance, Repairs, Utility Installations, Trade Fixtures and Alterations. 
  
 7.1 Tenant’s Obligations. 
  
 (a) Subject to the provision of Paragraphs 2.2 (Condition),
7.2 (Landlord’s Obligations), 9 (Damage or Destruction), and 14 (Condemnation), Tenant shall, at Tenant’s sole cost and expense and at all times, keep the Premises and every part thereof in good order, condition and repair (whether or not
such portion of the Premises requiring repair, or the means of repairing the same, are reasonably or readily accessible to Tenant, and whether or not the need for such repairs occurs as a result of Tenant’s use, any prior use, the elements or
the age of such portion of the Premises), including, without limiting the generality of the foregoing, all equipment or facilities specifically serving the Premises, such as plumbing, heating, air conditioning, ventilating, electrical, lighting
facilities, fixtures, interior walls, interior surfaces of exterior walls, ceilings, floors, windows, doors, and plate glass, but excluding any items which are the responsibility of Landlord pursuant to Paragraph 7.2 below. Tenant, in keeping the
Premises in good order, condition and repair, shall exercise and perform good maintenance practices. Tenant’s obligations shall include restorations, replacements or renewals when necessary to keep the Premises and all improvements thereon or a
part thereof in good order, condition and state of repair. 
  
 (b) Tenant shall, at Tenant’s sole cost and expense, procure and maintain a contract, with copies to Landlord, in customary form and substance for and with a contractor specializing and experienced in the
inspection, maintenance and service of the heating, air conditioning and ventilation system for the Premises. However, Landlord reserves the right, upon notice to Tenant, to procure and maintain the contract for the heating, air conditioning and
ventilating systems, and if Landlord so elects, Tenant shall reimburse Landlord, upon demand, for the cost thereof. 
  
 (c) If Tenant fails to perform Tenant’s obligations under this Paragraph 7.1, Landlord may enter upon the Premises after ten (10)
days’ prior written notice to Tenant (except in the case of an emergency, in which case no notice shall be required), perform such obligations on Tenant’s behalf, and put the Premises in good order, condition and repair, in accordance with
Paragraph 13.2 below. 
  
 7.2 Landlord’s Obligations.
Subject to the provisions of Paragraphs 2.2 (Condition), 4.2 (Common Area Operating Expenses), 7 (Use), 7.1 (Tenant’s Obligations), 9 (Damage or Destruction) and 14 (Condemnation), Landlord, subject to reimbursement pursuant to Paragraph 4.2,
shall keep in good order, condition and repair the foundations, exterior walls, structural condition of interior bearing walls, exterior roof, fire sprinkler and/or standpipe and hose (if located in the Common Areas) or other automatic fire
extinguishing system including fire alarm and/or smoke detection systems and equipment, fire hydrants, parking lots, walkways, parkways, driveways, landscaping, fences, signs and utility systems serving the Common Areas and all parts thereof, as
well as providing the services for which there is a Common Area Operating Expense pursuant to Paragraph 4.2. Landlord shall not be obligated to paint the exterior or interior surfaces of exterior walls nor shall Landlord be obligated to maintain,
repair or replace windows, doors or plate glass of the Premises. Tenant expressly waives the benefit of any statute now or hereafter in effect which would otherwise afford Tenant the right to make repairs at Landlord’s expense or terminate this
Lease because of Landlord’s failure to keep the Building, Industrial Center or Common Areas in good order, condition and repair. 
  
 7.3 Utility Installations, Trade Fixtures, Alterations. 
  

(a) Definitions; Consent Required. The term “Utility Installations” is used in this Lease to refer to all air
lines, power panels, electrical distribution, security, fire protections systems, communications systems, lighting fixtures, heating, ventilating and air conditioning equipment, plumbing, and fencing in, on or about the Premises. The term
“Trade Fixtures” shall mean Tenant’s machinery and equipment which can be removed without doing material damage to the Premises. The term “Alterations” shall mean any modification of the improvements on the
Premises which are provided by Landlord under the terms of this Lease, other than Utility Installations or Trade Fixtures. “Tenant-Owned Alterations and/or Utility Installations” are defined as Alterations and/or Utility
Installations made by Tenant that are not yet owned by Landlord pursuant to Paragraph 7.4(a). Tenant shall not make nor cause to be made any Alterations or Utility Installations in, on, under or about the Premises without Landlord’s prior
written consent. Tenant may, however, make non-structural Utility Installations to the interior of the Premises (excluding the roof) without Landlord’s consent but upon notice to Landlord, so long as they are not visible from the outside of the
Premises, do not involve puncturing, relocating or removing the roof or any existing walls, or changing or interfering with the fire sprinkler or fire detection systems and the cumulative cost thereof during the term of this Lease as extended does
not exceed $2,500.00. 
  
 (b)
Consent. Any Alterations or Utility Installations that Tenant shall desire to make and which require the consent of the Landlord shall be presented to Landlord in written form with detailed plans. All consents given by Landlord, whether by
virtue of Paragraph 7.3(a) or by subsequent specific consent, shall state whether Landlord expects such Alterations or Utility Installations to be removed by Tenant at the expiration or earlier termination of this Lease, and shall be deemed
conditioned upon: (i) Tenant’s acquiring all applicable permits required by governmental authorities; (ii) the furnishing of copies of such permits together with a copy of the plans and specifications for the Alteration or Utility Installation
to Landlord prior to commencement of the work thereon; and (iii) the compliance by Tenant with all conditions of said permits in a prompt and expeditious manner. Any Alterations of Utility Installations by Tenant during the term of this Lease shall
be done in a good and workmanlike manner, with good and sufficient materials, and be in compliance with all Applicable Requirements. Tenant shall promptly upon completion thereof furnish Landlord with as-built plans and specifications therefor.
Landlord may (but without obligation to do so) condition its consent to any requested Alteration or Utility Installation that costs $2,500.00 or more upon Tenant’s providing Landlord with a lien and completion bond in an amount equal to one and
one-half times the estimated cost of such Alteration or Utility Installation. 
  

					
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 (c) Lien Protection. Tenant shall pay when due all claims for labor or materials
furnished or alleged to have been furnished to or for Tenant at or for use on the Premises, which claims are or may be secured by any mechanic’s or materialmen’s lien against the Premises or any interest therein. Tenant shall give Landlord
not less than ten (10) days’ notice prior to the commencement of any work in, on, or about the Premises, and Landlord shall have the right to post notices of non-responsibility in or on the Premises as provided by law. If Tenant shall, in good
faith, contest the validity of any such lien, claim or demand, then Tenant shall, at its sole expense, defend and protect itself, Landlord and the Premises against the same and shall pay and satisfy any such adverse judgment that may be rendered
thereon before the enforcement thereof against the Landlord or the Premises. If Landlord shall require, Tenant shall furnish to Landlord a surety bond satisfactory to Landlord in an amount equal to one and one-half times the amount of such contested
lien claim or demand, indemnifying Landlord against liability for the same, as required by law for the holding of the Premises free from the effect of such lien or claim. In addition, Landlord may require Tenant to pay Landlord’s
attorneys’ fees and costs in participating in such action if Landlord shall decide it is to its best interest to do so. 
  
 7.4 Ownership, Removal, Surrender, and Restoration. 
  
 (a) Ownership. Subject to Landlord’s right to require their removal and to cause Tenant to become the owner thereof as
hereinafter provided in this Paragraph 7.4, all Alterations and Utility Installations made to the Premises by Tenant shall be the property of and owned by Tenant, but considered a part of the Premises. Landlord may, at any time and at its option,
elect in writing to Tenant to be the owner of all or any specified part of the Tenant-Owned Alterations and Utility Installations. Unless otherwise instructed per Subparagraph 7.4(b) hereof, all Tenant-Owned Alterations and Utility Installations
shall, at the expiration or earlier termination of this Lease, become the property of Landlord and remain upon the Premises and be surrendered with the Premises by Tenant. 
  
 (b) Removal. Unless otherwise agreed in writing, Landlord may require that any or all Tenant-Owned
Alterations or Utility Installations be removed by the expiration or earlier termination of this Lease, notwithstanding that their installation may have been consented to by Landlord. Landlord may require the removal at any time of all or any part
of any Alterations or Utility Installations made without the required consent of Landlord. 
  
 (c) Surrender/Restoration. The voluntary or other surrender of this Lease by Tenant, or a mutual cancellation thereof, shall not
work a merger, and shall, at the option of Landlord, terminate all or any existing subleases or subtenancies, or may, at the option of Landlord, operate as an assignment to Landlord of any or all such subleases or subtenancies. Immediately prior to
the expiration or sooner termination of this Lease, Tenant shall remove all of Tenant’s signs from the exterior of the Building and shall remove all of Tenant’s equipment, trade fixtures, furniture, supplies, wall decorations and other
personal property from the Premises, and shall vacate and surrender the Premises to Landlord in broom clean condition, normal wear and tear excepted. Additionally, Tenant shall, prior to the expiration or sooner termination of this Lease, remove any
Alterations or Utility Installments constructed or installed by Tenant that Landlord previously requested be removed when it gave its consent to such Alterations or Utility Installments, and Tenant shall repair all damage caused by such removal. If
the Premises are not surrendered to Landlord in the condition required by this Paragraph 7.4(c) at the expiration or sooner termination of this Lease, Landlord may, at Tenant’s expense, so remove Tenant’s signs, property and/or
improvements not so removed and make such repairs and replacements not so made or hire, at Tenant’s expenses, independent contractors to perform such work. Tenant shall be liable to Landlord for all costs incurred by Landlord in returning the
Premises to the required condition and Tenant shall be deemed to have impermissibly held over until such time as such required work is completed. 
  
 8. Insurance; Indemnity. 
  
 8.1 Payment of Premiums. The cost of the premiums for the insurance policies maintained by Landlord under this Paragraph 8 shall be a Common Area
Operating Expense pursuant to Paragraph 4.2 hereof. Premiums for policy periods commencing prior to, or extending beyond, the term of this Lease shall be prorated to coincide with the corresponding Commencement Date or Expiration Date.

  
 8.2 Liability Insurance. 
  
 (a) Carried by Tenant. Tenant shall obtain and keep
in force during the term of this Lease a Commercial General Liability policy of insurance protecting Tenant, Landlord and any Lender(s) whose names have been provided to Tenant in writing (as additional insureds) against claims for bodily injury,
personal injury and property damage based upon, involving or arising out of the ownership, use, occupancy or maintenance of the Premises and all areas appurtenant thereto. Such insurance shall be on an occurrence basis providing single limit
coverage in an amount not less than $1,000,000 per occurrence with an “Additional Insured-Managers or Landlords of Premises: endorsement and contain the “Amendment of the Pollution Exclusion” endorsement for damage caused by heat,
smoke or fumes from a hostile fire. The policy shall not contain any intra-insured exclusions as between insured persons or organizations, but shall include coverage for liability assumed under this Lease as an “insured contract”
for the performance of Tenant’s indemnity obligations under this Lease. The limits of said insurance required by this Lease or as carried by Tenant shall not, however, limit the liability of Tenant nor relieve Tenant of any obligation
hereunder. All insurance to be required by this Lease or as carried by Tenant shall not, however, limit the liability of Tenant nor relieve Tenant of any obligation hereunder. All insurance to be carried by Tenant shall be primary to and not
contributory with any similar insurance carried by Landlord, whose insurance shall be considered excess insurance only. 
  
 (b) Carried by Landlord. Landlord shall also maintain liability insurance described in Paragraph 8.2(a) above, in addition to and
not in lieu of, the insurance required to be maintained by Tenant. Tenant shall not be named as an additional insured therein. 
  

					
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 8.3 Property Insurance-Building, Improvements and Rental Value. 
  
 (a) Building and Improvements. Landlord shall obtain
and keep in force during the term of this Lease a policy or policies in the name of Landlord, with loss payable to Landlord and to any Lender(s), insuring against loss or damage to the Premises. Such insurance shall be for full replacement cost, as
the same shall exist from time to time, or the amount required by any Lender(s), but in no event more than the commercially reasonable and available insurable value thereof if, by reason of the unique nature or age of the improvements involved, such
latter amount is less than full replacement cost. Tenant-Owned Alterations and Utility Installations, Trade Fixtures and Tenant’s personal property shall be insured by Tenant pursuant to Paragraph 8.4. If the coverage is available and
commercially appropriate, Landlord’s policy or policies shall insure against all risks of direct physical loss or damage (and at Landlord’s option the perils of flood and/or earthquake), including coverage for any additional costs
resulting from debris removal and reasonable amounts of coverage for the enforcement of any ordinance or law regulating the reconstruction or replacement of any undamaged sections of the Building required to be demolished or removed by reason of the
enforcement of any building, zoning, safety or land use laws as the result of a covered loss, but not including plate glass insurance. Said policy or policies shall also contain an agreed valuation provision in lieu of any co-insurance clause,
waiver of subrogation, and inflation guard protection causing an increase in the annual property insurance coverage amount by a factor of not less than the adjusted U.S. Department of Labor Consumer Price Index for All Urban Consumers for the city
nearest to where the Premises are located. 
  
 (b) Rental Value. Landlord shall also obtain and keep in force during the term of this Lease a policy or policies in the name of Landlord, with loss payable to Landlord and any Lender(s), insuring the loss of the full rental and
other charges payable by all tenants of the Building to Landlord for at least one year (including all Real Property Taxes, insurance costs, all Common Area Operating Expenses and any scheduled rental increases). Said insurance may provide that in
the event the Lease is terminated by reason of an insured loss, the period of indemnity for such coverage shall be extended beyond the date of the completion of repairs or replacement of the Premises, to provide for one full year’s loss of
rental revenues from the date of any such loss. Said insurance shall contain an agreed valuation provision in lieu of any co-insurance clause, and the amount of coverage shall be adjusted annually to reflect the projected rental income, Real
Property Taxes, insurance premium costs and other expenses, if any, otherwise payable, for the next 12-month period. Common Area Operating Expenses shall include any deductible amount in the event of such loss. 
  
 (c) Adjacent Premises. Tenant shall pay for any
increase in the premiums for the property insurance of the Building and for the Common Areas or other buildings in the Industrial Center if said increase is caused by Tenant’s acts, omissions, use or occupancy of the Premises. 
  
 (d) Tenant’s Improvements. Since Landlord is the
Insuring Party, Landlord shall not be required to insure Tenant-Owned Alterations and Utility Installations unless the item in question has become the property of Landlord under the terms of this Lease. 
  
 8.4 Tenant’s Property Insurance. Subject to the requirements of
Paragraph 8.5, Tenant at its cost shall either by separate policy or, at Landlord’s option, by endorsement to a policy already carried, maintain insurance coverage on all of Tenant’s personal property, Trade Fixtures and Tenant-Owned
Alterations and Utility Installations in, on, or about the Premises similar in coverage to that carried by Landlord as the Insuring Party under Paragraph 8.3(a). Such insurance shall be full replacement cost coverage with a deductible not to exceed
$1,000 per occurrence. The proceeds from any such insurance shall be used by Tenant for the replacement of personal property and the restoration of Trade Fixtures and Tenant-Owned Alterations and Utility Installations. Upon request from Landlord,
Tenant shall provide Landlord with written evidence that such insurance is in force. 
  
 8.5 Insurance Policies. Insurance required hereunder shall be in companies duly licensed to transact business in the state where the Premises are located, and maintaining during the policy term a “General
Policyholders Rating” of at least B+, V, or such other rating as may be required by a Lender, as set forth in the most current issue of “Best’s Insurance Guide.” Tenant shall not do or permit to be done anything which shall
invalidate the insurance policies referred to in this Paragraph 8. Tenant shall cause to be delivered to Landlord, within seven (7) days after the earlier of the Early Possession Date or the Commencement Date, certified copies of, or certificates
evidencing the existence and amounts of, the insurance required under Paragraph 8.2(a) and 8.4. No such policy shall be cancelable or subject to modification except after thirty (30) days’ prior written notice to Landlord. Tenant shall at least
thirty (30) days prior to the expiration of such policies, furnish Landlord with evidence of renewals or “insurance binders” evidencing renewal thereof, or Landlord may order such insurance and charge the cost thereof to Tenant, which
amount shall be payable by Tenant to Landlord upon demand. 
  
 8.6
Waiver of Subrogation. Without affecting any other rights or remedies, Tenant and Landlord each hereby release and relieve the other, and waive their entire right to recover damages (whether in contract or in tort) against the other, for loss
or damage to their property arising out of or incident to the perils required to be insured against under Paragraph 8. The effect of such releases and waivers of the right to recover damages shall not be limited by the amount of insurance carried or
required, or by any deductibles applicable thereto. Landlord and Tenant agree to have their respective insurance companies issuing property damage insurance waive any right to subrogation that such companies may have against Landlord or Tenant, as
the case may be, so long as the insurance is not invalidated thereby. 
  
 8.7 Indemnity. Tenant, shall, during the term of this Lease, indemnify and save harmless Landlord and any agents of Landlord from any and all loss, damage, claims of damage, obligations, cause or causes of 

  

					
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action, or liabilities of any kind or nature (including reasonable costs of attorney’s fees if Landlord is made a party to any action which
Tenant’s indemnity runs hereunder) by reason of injury or death of any person or persons or damage to any property of any kind and to whomsoever belonging, including injury or death to the person or damage to the property of Tenant,
Tenant’s officers, directors, employees, agents, guests, subtenants and assignees, concessionaires and licensees, and any other person, firm or corporation selling or manufacturing merchandise or services upon or from the demised premises, or
any part thereof, from any cause or cause whatsoever which result from Tenant’s use or from any other activity done, permitted or suffered by Tenant. As a material part of the consideration to Landlord, Tenant hereby assumes all risk of damage
to property or injury to persons in or about the Premises from any cause whatsoever (except that which is caused by the sole active negligence or willful misconduct by Landlord or its Agents or by the failure of Landlord to observe any of the terms
and conditions of this Lease). Tenant’s obligations under this paragraph shall survive the termination of this Lease. 
  
 8.8 Exemption of Landlord from Liability. Landlord shall not be liable for injury or damage which may be sustained by Tenant or to the person or
goods, wares, merchandise or other property of Tenant, Tenant’s employees, contractors, invitees, customers, or any other person in or about the Premises, whether such damage or injury is caused by or results from fire, earthquake, steam,
electricity, gas, water or rain, which may leak or from or into any part of the premises or from the breakage, leakage, obstruction or other defects of pipes, fire sprinklers, wires, appliances, plumbing, HVAC or lighting fixtures, or from any other
cause, whether said injury or damage results from conditions arising upon the Premises or upon other portions of the Building of which the Premises are a part, from other sources or places, and regardless of whether the cause of such damage or
injury or the means of preparing the same is accessible or not. Landlord shall not be liable for any damages arising from any act or neglect of any other tenant of Landlord nor from the failure by Landlord to enforce the provisions of any other
lease in the Industrial Center. Notwithstanding the foregoing, Landlord shall indemnify and save harmless Tenant and any agents of Tenant from all damages caused by its sole active negligence or willful misconduct. Landlord’s obligations under
this paragraph shall survive the termination of this Lease. 
  
 9. Damage or
Destruction. 
  
 9.1 Definitions. 
  
 (a) “Premises Partial Damage” shall mean
damage or destruction to the Premises, other than Tenant-Owned Alterations and Utility Installations, the repair cost of which damage or destruction is less than fifty percent (50%) of the then Replacement Cost (as defined in Paragraph 9.1 (d) of
the Premises (excluding the Tenant-Owned Alterations and Utility Installations and Trade Fixtures) immediately prior to such damage or destruction. 
  
 (b) “Premises Total Destruction” shall mean damage or destruction to the Premises, other than Tenant-Owned Alterations
and Utility Installations, the repair cost of which damage or destruction is fifty percent (50%) or more of the then Replacement Cost of the Premises (excluding Tenant-Owned Alterations and Utility Installations and Trade Fixtures) immediately prior
to such damage or destruction. In addition, damage or destruction to the Building, other than Tenant-Owned Alterations and Utility Installations and Trade Fixtures of any tenants of the Building, the cost of which damage or destruction is fifty
percent (50%) or more of the then Replacement Cost (excluding Tenant-Owned Alterations and Utility Installations and Trade Fixtures of any Tenants of the Building) of the Building shall, at the option of Landlord, be deemed to be Premises total
Destruction. 
  
 (c) “Industrial Center
Total Destruction” shall mean damage or destruction to the Industrial Center or the Building in which the premises are located, regardless of the damage to the premises. The cost of which damage or destruction is fifty percent (50%) or more
of the then Replacement Cost of the Industrial Center or the Building (excluding Tenant-Owned Alterations and Utility Installations and Trade Fixtures) immediately prior to such damage or destruction. 
  
 (d) “Insured Loss” shall mean damage or
destruction to the Premises, other than Tenant-Owned Alterations and Utility Installations and Trade Fixtures, which was caused by an event required to be covered by the insurance described in Paragraph 8.3(a) irrespective of any deductible amounts
or coverage limits involved. 
  
 (e)
“Replacement Cost” shall mean the cost to repair or rebuild the improvements owned by Landlord at the time of the occurrence to their condition existing immediately prior thereto, including demolition, debris removal and upgrading
required by the operation of applicable building codes, ordinances or laws, and without deduction for depreciation. 
  
 (f) “Hazardous Substance Condition” shall mean the occurrence or discovery of a condition involving the presence of, or a
contamination by, a Hazardous Substance as defined in Paragraph 6.2(a), in, on, or under the Premises. 
  
 9.2 Premises Partial or Total Damage - Insured Loss. If Premises Partial or Total Damage that is an Insured Loss occurs, then Landlord shall, at
Landlord’s expense, repair such damage (but not Tenant’s Trade Fixtures or Tenant-Owned Alterations and Utility Installations) as soon as reasonably possible, but only to the extent of the available insurance proceeds, and this Lease shall
continue in full force and effect. In the event, however, that there is a shortage of insurance proceeds and such shortage is due to any reason some but not all of which may include the fact that, by reason of the unique nature of the improvements
in the Premises, full replacement cost insurance coverage was not commercially reasonable and available, then Landlord shall have no obligation to pay for the shortage in insurance proceeds or to fully restore the unique aspects of the Premises
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written notice of such shortage and request therefor. If Landlord receives said funds or adequate assurance thereof within said ten (10) day period, Landlord
shall complete them as soon as reasonably possible and this Lease shall remain in full force and effect. If Landlord does not receive such funds or assurance within said period, Landlord may nevertheless elect by written notice to Tenant within ten
(10) days thereafter to make such restoration and repair as is commercially reasonable with Landlord paying any shortage in proceeds, in which case this Lease shall remain in full force and effect. If Landlord does not receive such funds or
assurance within such ten (10) day period, and if Landlord does not so elect to restore and repair, then this Lease shall terminate sixty (60) days following the occurrence of the damage or destruction. Unless otherwise agreed, Tenant shall in no
event have any right to reimbursement from Landlord for any funds contributed by Tenant to repair any such damage or destruction. 
  
 9.3 Premises Partial or Total Damage - Uninsured Loss. If Premises Partial or Total Damage that is not an Insured Loss occurs, Landlord may at
Landlord’s option, either (i) repair such damage as soon as reasonably possible at Landlord’s expense, in which event this Lease shall continue in full force and effect, or (ii) give written notice to Tenant within thirty (30) days after
receipt by Landlord of knowledge of the occurrence of such damage of Landlord’s desire to terminate this Lease as of the date sixty (60) days following the date of such notice. In the event Landlord elects to give such notice of Landlord’s
intention to terminate this Lease, Tenant shall have the right within ten (10) days after the receipt of such notice give written notice to Landlord of Tenant’s commitment to pay for the repair of such damage totally at Tenant’s expense
and without reimbursement from Landlord. Tenant shall provide Landlord with the required funds or satisfactory assurance thereof within thirty (30) days following such commitment from Tenant. In such event this Lease shall continue in full force and
effect, and Landlord shall proceed to make such repairs as soon as reasonably possible after the required funds are available. If Tenant does not give such notice and provide the funds or assurance thereof within the times specified above, this
Lease shall terminate as of the date specified in Landlord’s notice of termination. 
  
 9.4 Industrial Center Destruction. Notwithstanding any other provision hereof, if the Industrial Center in which the Premises are located suffers Total Destruction (including any destruction required by any
authorized public authority), this Lease at Landlord’s option shall terminate sixty (60) days following the date of such Total Destruction, whether or not the damage or destruction affected the premises. 
  
 9.5 Damage Near End of Term. If at any time during the last six (6)
months of the term of this Lease there is damage for which the cost to repair exceeds one month’s Base Rent, whether or not an Insured Loss, Landlord or Tenant may terminate this Lease effective sixty (60) days following the date of occurrence
of such damage by giving written notice to the other Party of its election to do so within thirty (30) days after the date of occurrence of such damage. Provided, however, that if Landlord elects to end the Lease pursuant to this Paragraph 9.5 but
Tenant at that time has an exercisable option to extend this Lease, then Tenant may preserve this Lease by (a) exercising such option, and (b) providing Landlord with any shortage in insurance proceeds (or adequate assurance thereof) needed to make
the repairs on or before the earlier of (i) the date which is ten (10) days after Tenant’s receipt of Landlord’s written notice purporting to terminate this Lease, or (ii) the day prior to the date upon which such option expires. If Tenant
duly exercises such option during such period and provides Landlord with funds (or adequate assurance thereof) to cover any shortage in insurance proceeds, Landlord shall, at Landlord’s expense repair such damage as soon as reasonably possible
and this Lease shall continue in full force and effect. If Tenant fails to exercise such option and provide such funds or assurance during such period, then this Lease shall terminate as of the date set forth in the first sentence of this Paragraph
9.5. 
  
 9.6 Abatement of Rent; Tenant’s Remedies.

  
 (a) In the event of (i) Premises Partial
Damage or (ii) Hazardous Substance Condition for which Tenant is not legally responsible, the Base Rent, Common Area Operating Expenses and other charges, if any, payable by Tenant hereunder for the period during which such damage or condition, its
repair, remediation or restoration continues, shall be abated in proportion to the degree to which Tenant’s use of the Premises is impaired. Except for abatement of Base Rent, Common Area Operating Expenses and other charges, if any, as
aforesaid, all other obligations of Tenant hereunder shall be performed by Tenant, and Tenant shall have no claim against Landlord for any damage suffered by reason of any such damage, destruction, repair, remediation or restoration. 
  
 (b) If Landlord shall be obligated to repair or restore the
Premises under the provisions of this Paragraph 9 and shall not commence, in a substantial and meaningful way, the repair or restoration of the Premises within forty-five (45) days after such obligation shall accrue, Tenant may, at any time prior to
the commencement of such repair or restoration, give written notice to Landlord and to any Lenders of which Tenant has actual notice of Tenant’s election to terminate this Lease on a date not less than sixty (60) days following the giving of
such notice. If Tenant gives such notice to Landlord and such Lenders and such repair or restoration is not commenced within thirty (30) days after receipt of such notice, this Lease shall terminate as of the date specified in said notice. If
Landlord or a Lender commences the repair or restoration of the Premises within thirty (30) days after the receipt of such notice, this Lease shall continue in full force and effect. “Commence” as used in this Paragraph 9.6 shall
mean the beginning of the actual work on the Premises. 
  
 9.7
Hazardous Substance Conditions. If a Hazardous Substance Condition occurs, unless Tenant is legally responsible therefor (in which case Tenant shall make the investigation and remediation thereof required by Applicable Requirements and this
Lease shall continue in full force and effect, but subject to Landlord’s rights under Paragraph 6.2(c) and Paragraph 13), Landlord may at Landlord’s option either (i) investigate and remediate such Hazardous Substance Condition, if
required, as soon as reasonably possible at Landlord’s expense, in which event this Lease shall continue in full force and effect, or (ii) if the estimated cost to investigate and remediate such condition exceeds twelve (12) times the then
monthly Base Rent or $50,000, whichever is greater, give written notice to Tenant within thirty (30) days after receipt by Landlord of knowledge of the occurrence of such Hazardous 

  

					
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Substance Condition of Landlord’s desire to terminate this Lease as of the date sixty (60) days following the date of such notice. In the event Landlord
elects to give such notice of Landlord’s intention to terminate this Lease, Tenant shall have the right within ten (10) days after receipt of such notice to give written notice to Landlord of Tenant’s commitment to pay for the excess costs
of (a) investigation and remediation of such Hazardous Substance Condition to the extent required by Applicable Requirements, over (B) an amount equal to twelve (12) times the then monthly Base Rent or $50,000 whichever is greater. Tenant shall
provide Landlord with the funds required of Tenant or satisfactory assurance thereof within thirty (30) days following said commitment by Tenant. In such event this Lease shall continue in full force and effect, and Landlord shall proceed to make
such investigation and remediation as soon as reasonably possible after the required funds are available. If Tenant does not give such notice and provide the required funds or assurance thereof within the time period specified above, this Lease
shall terminate as of the date specified in Landlord’s notice of termination. 
  
 9.8 Termination - Advance Payments. Upon termination of this Lease pursuant to this Paragraph 9, Landlord shall return to Tenant any advance payment made by Tenant to Landlord and so much of Tenant’s
Security Deposit as has not been, or is not then required to be, used by Landlord under the terms of this Lease. 
  
 9.9 Waiver of Statutes. Landlord and Tenant agree that the terms of this Lease shall govern the effect of any damage to or destruction of the
Premises and the Building with respect to the termination of this Lease and hereby waive the provisions of any present or future statute to the extent it is inconsistent herewith. 
  
 10. Real Property Taxes. 
  
 10.1 Payment of Taxes. Landlord shall pay the Real Property Taxes, as defined in Paragraph 10.2, applicable to the Industrial Center, and except as
otherwise provided in Paragraph 10.3, any such amounts shall be included in the calculation of Common Area Operating Expenses in accordance with the provisions of Paragraph 4.2. 
  
 10.2 Real Property Tax Definition. As used herein, the term “Real Property Taxes” shall include any
form of real estate tax or assessment, general, special, ordinary or extraordinary, and any license fee, commercial rental tax, improvement bond or bonds, levy or tax (other than inheritance, personal income or estate taxes) imposed upon the
Industrial Center by any authority having the direct or indirect power to tax, including any city, state or federal government, or any school, agricultural, sanitary, fire, street, drainage, or other improvement district thereof, levied against any
legal or equitable interest of Landlord in the Industrial Center or any portion thereof, Landlord’s right to rent or other income therefrom, and/or Landlord’s business of leasing the Premises. The term “Real Property
Taxes” shall also include any tax, fee, levy, assessment or charge, or any increase therein, imposed by reason of events occurring, or changes in Applicable Law taking effect, during the term of this Lease, including but not limited to a
change in the ownership of the Industrial Center or in the improvements thereon, the execution of this Lease, or any modification, amendment or transfer thereof, and whether or not contemplated by the Parties. In calculating Real Property Taxes for
any calendar year, the Real Property Taxes for any real estate tax year shall be included in the calculation of Real Property Taxes for such calendar year based upon the number of days which such calendar year and tax year have in common.

  
 10.3 Additional Improvements. Tenant shall pay to
Landlord the Common Area Operating Expenses as payable under Paragraph 4.2, the entirety of any increase in Real Property Taxes if assessed solely by reason of Alterations, Trade Fixtures or Utility Installations placed upon the Premises by Tenant
or at Tenant’s request. 
  
 10.4 Joint Assessment. If
the Building is not separately assessed, Real Property Taxes allocated to the Building shall be an equitable proportion of the Real Property Taxes for all of the land and improvements included within the tax parcel assessed or the industrial center,
such proportion to be determined by Landlord from the respective valuations assigned in the assessor’s work sheets or such other information as may be reasonably available. Landlord’s reasonable determination thereof, in good faith, shall
be conclusive. 
  
 10.5 Tenant’s Property Taxes.
Tenant shall pay prior to delinquency all taxes assessed against and levied upon Tenant-Owned Alterations and Utility Installations, Trade Fixtures, furnishings, equipment and all personal property of Tenant contained in the Premises or stored
within the Industrial Center. When possible, Tenant shall cause its Tenant-Owned Alterations and Utility Installations, Trade Fixtures, furnishings, equipment and all other personal property to be assessed and billed separately from the real
property of Landlord. If any of Tenant’s said property shall be assessed with Landlord’s real property, Tenant shall pay Landlord the taxes attributable to Tenant’s property within ten (10) days after receipt of a written statement
setting forth the taxes applicable to Tenant’s property. 
  
 11.
Utilities. Tenant shall pay directly for all utilities and services supplied to the Premises, including but not limited to electricity, telephone, security, gas, trash removal and cleaning of the Premises, together with any taxes thereon. If any
such utilities or services are not separately metered to the Premises or separately billed to the Premises, Tenant shall pay to Landlord a reasonable proportion to be determined by Landlord of all such charges jointly metered or billed with other
premises in the Building, in the manner and within the time periods set forth in Paragraph 4.2(d). Landlord shall not be liable to Tenant for injury, damage, loss of Tenant’s business or profits, from any failure, interruption, rationing or
other curtailment in the supply of electric, gas, water or other utilities from whatever cause. 
  

					
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 12. Assignment and Subletting. 
  
 12.1 Landlord’s Consent Required. 
  
 (a) Tenant shall not assign this Lease, nor any right hereunder, nor sublet the premises, nor any part
thereof, without the prior written consent of Landlord, which shall not be unreasonably withheld. In exercising its reasonable discretion Landlord may consider all commercially relevant factors involved in the leasing of the premises including but
not limited to the a) the creditworthiness and financial stability of the prospective assignee or subtenant; b) references of prior landlords; c) the past history of such subtenant, with respect to involvement in litigation and bankruptcy
proceedings; d) the impact of said subtenant or assignee and proposed use of the premises on pedestrian and vehicular traffic, other tenants, and parking; e) the use, generation or disposal of hazardous materials. The presence of one negative factor
enumerated above shall be deemed reasonable justification for Landlord’s withholding consent. 
  
 (b) A change in the control of Tenant shall constitute an assignment requiring Landlord’s consent. The transfer, on a cumulative
basis, of fifty percent (50%) or more of the voting control of Tenant shall constitute a change in control for this purpose. 
  
 (c) The involvement of Tenant or its assets in any transaction, or series of transactions (by way of merger, sale, acquisition, financing,
refinancing, transfer, leveraged buy-out or otherwise), whether or not a formal assignment or hypothecation of this Lease or Tenant’s assets occurs, which results or will result in a reduction of the Net Worth of Tenant, as hereinafter defined,
by an amount equal to or greater than fifty percent (50%) of such Net Worth of Tenant as it was represented to Landlord at the time of full execution and delivery of this Lease or at the time of the most recent assignment to which Landlord has
consented, or as it exists immediately prior to said transaction or transactions constituting such reduction, at whichever time said Net Worth of Tenant was or is greater, shall be considered an assignment of this Lease by Tenant to which Landlord
may reasonably withhold its consent. “Net Worth of Tenant” for purposes of this Lease shall be the net worth of Tenant (excluding any Guarantors) established under generally accepted accounting principles consistently applied.

  
 (d) Tenant’s remedy for any breach of
this Paragraph 12.1 by Landlord shall be limited to compensatory damages and/or injunctive relief. 
  
 (e) Notwithstanding anything contained herein to the contrary Tenant shall have the right without Landlord’s consent to assign all or
any portion of its interest under this Lease or sublet all or any portion of the Premises without Landlord’s consent to any parent, subsidiary or affiliate of Tenant; or any party which results from any merger or consolidation of Tenant; and/or
any party which acquires all or substantially all the assets or stock of Tenant. In all events Tenant shall remain liable for the terms and conditions of this Lease. 
  
 12.2 Terms and Conditions Applicable to Assignment and Subletting. 
  
 (a) Regardless of Landlord’s consent, any assignment or
subletting shall not (i) be effective without the express written assumption by such assignee or subtenant of the obligations of Tenant under this Lease, (ii) release Tenant of any obligations hereunder, nor (iii) alter the primary liability of
Tenant for the payment of Base Rent and other sums due Landlord hereunder or for the performance of any other obligations to be performed by Tenant under this Lease. 
  
 (b) Landlord may accept any rent or performance of Tenant’s obligations from any person other than
Tenant pending approval or disapproval of an assignment. Neither a delay in the approval or disapproval of such assignment nor the acceptance of any rent for performance shall constitute a waiver or estoppel of Landlord’s right to exercise its
remedies for the Default or Breach by Tenant of any of the terms, covenants or conditions of this Lease. 
  
 (c) The consent of Landlord to any assignment or subletting shall not constitute a consent to any subsequent assignment or subletting by
Tenant or to any subsequent or successive assignment or subletting by the assignee or subtenant. However, Landlord may consent to subsequent or successive assignment or subletting by the assignee or subtenant. However, Landlord may consent to
subsequent sublettings and assignments of the sublease or any amendments or modifications thereto without notifying Tenant or anyone else liable under this Lease or the sublease and without obtaining their consent, and such action shall not relieve
such persons from liability under this Lease or the sublease. 
  
 (d) In the event of any Default or Breach of Tenant’s obligation under this Lease, Landlord may proceed directly against Tenant, any guarantors or anyone else responsible for the performance of the Tenant’s
obligations under this Lease, including any subtenant, without first exhausting Landlord’s remedies against any other person or entity responsible therefor to Landlord, or any security held by Landlord. 
  
 (e) Any assignee of, or subtenant under, this Lease shall,
by reason of accepting such assignment or entering into such sublease, be deemed, for the benefit of Landlord, to have assumed and agreed to conform and comply with each and every term, covenant, condition and obligation herein to be observed or
performed by Tenant during the term of said assignment or sublease, other than such obligations as are contrary to or inconsistent with provisions of an assignment or sublease to which Landlord has specifically consented in writing. 
  
 (f) If Tenant desires to Sublet or Assign the entire
premises prior to the expiration of the term of the Lease and obtains an acceptable subtenant or assignee, then the Landlord shall have the option prior to the execution of the sublease or assignment agreement to cancel this Lease. Landlord, in
Landlord’s sole discretion, may then enter into a new lease with any prospective subtenant as the substitute Tenant. 
  

					
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 12.3 Additional Terms and Conditions Applicable to Assignment and Subletting. The following terms
and conditions shall apply to any subletting or assignment by Tenant of all or any part of the Premises and shall be deemed included in all subleases and assignments under this Lease whether or not expressly incorporated therein: 
  
 (a) Tenant hereby assigns and transfers to Landlord all of
Tenant’s interest in Said sublease, rentals, income or other consideration arising from any sublease or assignment of all or a portion of the Premises heretofore or hereafter made by Tenant, and Landlord may collect such sums and apply same
toward Tenant’s obligations under this Lease. In addition Tenant shall pay to Landlord 50% of any additional sublease rent in excess of the base rent payable by Tenant under the Lease after first deducting any tenant improvements paid for by
Tenant and new Tenant Improvements for a subtenant amortized over the sublease term and all leasing commissions and legal fees. Landlord shall not, by reason of the foregoing provision or any other assignment of such sublease to Landlord, nor by
reason of the collection of the rents from a subtenant, be deemed liable to the subtenant for any failure of Tenant to perform and comply with any of Tenant’s obligations to such subtenant under such Sublease. Tenant hereby irrevocably
authorizes and directs any such subtenant, upon receipt of a written notice from Landlord, to pay to Landlord the rents and other charges due and to become due under the sublease. Subtenant shall rely upon any such statement and request from
Landlord and shall pay such rents and other charges to Landlord without any obligation or right to inquire as to whether any Breach exists and notwithstanding any notice from or claim from Tenant to the contrary. Tenant shall have no right or claim
against such subtenant, or, until the Breach has been cured, against Landlord, for any such rents and other charges so paid by said subtenant to Landlord. 
  
 (b) In the event of a Breach by Tenant in the performance of its obligations under this Lease, Landlord, at its option and without any
obligation to do so, may require any subtenant to attorn to Landlord, in which event Landlord shall undertake the obligations of the sub landlord under such sublease from the time of the exercise of said option to the expiration of such sublease;
provided, however, Landlord shall not be liable for any prepaid rents or security deposit paid by such subtenant to such sub landlord or for any other prior defaults or breaches of such sub landlord under such sublease. 
  
 (c) Any matter or thing requiring the consent of the sub
landlord under a sublease shall also require the consent of Landlord herein. 
  
 (d) No subtenant under a sublease or assignee approved by Landlord shall further assign or sublet all or any part of the Premises without Landlord’s prior written consent. 
  
 (e) Landlord shall deliver a copy of any notice of Default
or Breach by Tenant to the subtenant, who shall have the right to cure the Default of Tenant within the grace period, if any, specified in such notice. The subtenant shall have a right of reimbursement and offset from and against Tenant for any such
Defaults cured by the subtenant. 
  
 13. Default; Breach; Remedies.

  
 13.1 Default; Breach. Landlord and Tenant agree
that if any attorney is consulted by Landlord in connection with a Tenant Default or Breach (as hereinafter defined), $350.00 is a reasonable minimum sum per such occurrence for legal services and costs in the preparation and service of a notice of
Default, and that Landlord may include the cost of such services and costs in said notice as rent due and payable to cure said default, a “Default” by Tenant is defined as a failure by Tenant to observe, comply with or perform any
of the terms, covenants, conditions or rules applicable to Tenant under this Lease. A “Breach” by Tenant is defined as the occurrence of any one or more of the following Defaults, and, where a grace period for cure after notice is
specified herein, the failure by Tenant to cure such Default prior to the expiration of the applicable grace period, and shall entitle Landlord to pursue the remedies set forth in Paragraphs 13.2. 
  
 (a) The vacating of the Premises, or the abandonment of the
Premises. 
  
 (b) Except as expressly otherwise
provided in this Lease, the failure by Tenant to make any payment of Base Rent, Tenant’s Share of Common Area Operating Expenses, or any other monetary payment required to be made by Tenant hereunder as and when due, the failure by Tenant to
provide Landlord with reasonable evidence of insurance or surety bond required under this Lease, or the failure of Tenant to fulfill any obligation under this Lease which endangers or threatens life or property, where any such failure continues for
a period of three (3) days following written notice thereof by or on behalf of Landlord to Tenant. 
  
 (c) Except as expressly otherwise provided in this Lease, the failure by Tenant to provide Landlord with reasonable written evidence (in
duly executed original form, if applicable) of (i) compliance with Applicable Requirements per Paragraph 6.3, (ii) the inspection, maintenance and service contracts required under Paragraph 7.1(b), (iii) the rescission of an unauthorized assignment
or subletting per Paragraph 12.1, (iv) a Tenancy Statement per Paragraphs 16 or 37, (v) the subordination or non-subordination of this Lease per Paragraph 30, (vi) the guaranty of the performance of Tenant’s obligations under this Lease if
required under Paragraphs 1.11 and 37, (vii) the execution of any document requested under Paragraph 42 (easements), or (viii) any other documentation or information which Landlord may reasonably require of Tenant under the terms of this Lease,
where any such failure continues for a period of five (5) days following written notice by or on behalf of Landlord to Tenant. 
  
 (d) A Default by Tenant as to the terms covenants, conditions or provisions of this Lease, or of the rules adopted under Paragraph 40
hereof that are to be observed, complied with or performed by Tenant, 

  

					
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other than those described in Subparagraphs 13.1 (a), (b), or (c), above, where such Default continues for a period of thirty (30) days after written notice
thereof by or on behalf of Landlord to Tenant; provided however, that if the nature of Tenant’s Default is such that more than thirty (30) days are reasonably required for its cure, then it shall not be deemed to be a Breach of this Lease by
Tenant if Tenant commences such cure within said thirty (30) day period and thereafter diligently prosecutes such cure to completion. 
  
 (e) The occurrence of any of the following events; (i) the making by Tenant of any general arrangement or assignment for the benefit of
creditors; (ii) Tenant’s becoming a “debtor” as defined in 11 U.S. Code Section 101 or any successor statute thereto (unless, in the case of a petition filed against Tenant, the same is dismissed within sixty (60) days); (iii) the
appointment of a trustee or receiver to take possession of substantially all of Tenant’s assets located at the Premises or of Tenant’s interest in this Lease, where possession is not restored to Tenant within thirty (30) days; or (iv) the
attachment, execution or other judicial seizure of substantially all of Tenant’s assets located at the Premises or of Tenant’s interest in this Lease, where such seizure is not discharged within thirty (30) days; provided, however, in the
event that any provision of this Subparagraph 13.1(e) is contrary to any applicable law, such provision shall be of no force or effect, and shall not affect the validity of the remaining provisions. 
  
 (f) The discovery by Landlord that any financial statement
of Tenant or of any Guarantor, given to Landlord by Tenant or any Guarantor, was materially false. 
  
 13.2 Remedies. If Tenant fails to perform any affirmative duty or obligation of Tenant under this Lease, within ten (10) days after written notice
to Tenant (or in case of an emergency, without notice), Landlord may at its option (but without obligation to do so), perform such duty or obligation on Tenant’s behalf, including but not limited to the obtaining of reasonably required bonds,
insurance policies, or governmental licenses, permits or approvals. The costs and expenses of any such performance by Landlord shall be due and payable by Tenant to Landlord upon invoice therefor. If any check given to Landlord by Tenant shall not
be honored by the bank upon which it is drawn, Landlord, at its own option, may require all future payments to be made under this Lease by Tenant to be made only by cashier’s check. In the event of a Breach of this Lease by Tenant (as defined
in Paragraph 13.1), with or without further notice or demand, and without limiting Landlord in the exercise of any right or remedy which Landlord may have by reason of such Breach, Landlord may: 
  
 (a) Terminate Tenant’s right to possession of the
Premises by any lawful means, in which case this Lease and the term hereof shall terminate and Tenant shall immediately surrender possession of the Premises to Landlord. In such event Landlord shall be entitled to recover from Tenant: (i) the worth
at the time of the award of the unpaid rent which had been earned at the time of termination; (ii) the worth at the time of award of the amount by which the unpaid rent which would have been earned after termination until the time of award exceeds
the amount of such rental loss that the Tenant proves could have been reasonably avoided; (iii) the worth at the time of award of the amount by which the unpaid rent for the balance of the term after the time of award exceeds the amount of such
rental loss that the Tenant proves could be reasonably avoided; and (iv) any other amount necessary to compensate Landlord for all the detriment proximately caused by the Tenant’s failure to perform its obligations under this Lease or which in
the ordinary course of things would be likely to result therefrom, including but not limited to the cost of recovering possession of the Premises, expenses of reletting, including necessary renovation and alteration of the Premises, reasonable
attorneys’ fees, and that portion of any leasing commission paid by Landlord in connection with this Lease applicable to the unexpired term of this Lease. The worth at the time of award of the amount referred to in provision (iii) of the
immediately preceding sentence shall be computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco or the Federal Reserve Bank District in which the Premises are located at the time of award plus one
percent (1%). Efforts by Landlord to mitigate damages caused by Tenant’s Default or Breach of this Lease shall not waive Landlord’s right to recover damages under this Paragraph 13.2. If termination of this Lease is obtained through the
provisional remedy of unlawful detainer, Landlord shall have the right to recover in such proceeding the unpaid rent and damages as are recoverable therein, or Landlord may reserve the right to recover all or any part thereof in a separate suit for
such rent and/or damages. If a notice and grace period required under Subparagraph 13.1 (b), (c) or (d) was not previously given, a notice to pay rent or quit, or to perform or quit, as the case may be, given to Tenant under any statute authorizing
the forfeiture of leases for unlawful detainer shall also constitute the applicable notice for grace period purposes required by Subparagraph 13.1 (b), (c) or (d). In such case, the applicable grace period under the unlawful detainer statue shall
run concurrently after the one such statutory notice, and the failure of Tenant to cure the Default within the greater of the two (2) such grace periods shall constitute both an unlawful detainer and a Breach of this Lease entitling Landlord to the
remedies provided for in this Lease and/or by said statute. 
  
 (b) Continue the Lease and Tenant’s right to possession in effect (in California under California Civil Code Section 1951.4) after Tenant’s Breach and recover the rent as it becomes due, provided Tenant has
the right to sublet or assign, subject only to reasonably limitations. Landlord and Tenant agree that the limitations on assignment and subletting in this Lease are reasonable. Acts of maintenance or preservation, efforts to relet the Premises, or
the appointment of a receiver to protect the Landlord’s interest under this Lease, shall not constitute a termination of the Tenant’s right to possession. 
  
 (c) Pursue any other remedy now or hereafter available to Landlord under the laws or judicial decisions of
the state wherein the Premises are located. 
  
 (d) The expiration or termination of this Lease and/or the termination of Tenant’s right to possession shall not relieve Tenant from liability under any indemnity provisions of this Lease as to matters occurring or accruing during the
term hereof or by reason of Tenant’s occupancy of the Premises. 
  

					
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 13.3 Late Charges. Tenant hereby acknowledges that late payment by Tenant to Landlord of rent and
other sums due hereunder will cause Landlord to incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting charges, and late
charges which may be imposed upon Landlord by the terms of any ground lease, mortgage or deed of trust covering the Premises. Accordingly, if any installment of rent or other sum due from Tenant shall not be received by Landlord or Landlord’s
designee within five (5) days after such amount shall be due, then, without any requirement for notice to Tenant, Tenant shall pay to Landlord a late charge equal to ten percent (10%) of such overdue amount. The parties hereby agree that such late
charge represents a fair and reasonable estimate of the costs Landlord will incur by reason of late payment by Tenant. Acceptance of such late charge be Landlord shall in no event constitute a waiver of Tenant’s Default or Breach with respect
to such overdue amount, nor prevent Landlord from exercising any of the other rights and remedies granted hereunder. In the event that a late charge is payable hereunder, whether or not collected, for three (3) consecutive installments of Base Rent,
then notwithstanding Paragraph 4.1 or any other provision of this Lease to the contrary, Base Rent shall, at Landlord’s option, become due and payable quarterly in advance. 
  
 13.4 Breach by Landlord. Landlord shall not be deemed in breach of this Lease unless Landlord fails within a
reasonable time to perform an obligation required to be performed by Landlord. For purposes of this Paragraph 13.4, a reasonable time shall in no event be less than thirty (30) days after receipt by Landlord, and by any Lender(s) whose name and
address shall have been furnished to Tenant in writing for such purpose, of written notice specifying wherein such obligation of Landlord has not been performed; provided, however, that if the nature of Landlord’s obligation is such that more
than thirty (30) days after such notice are reasonably required for its performance, then Landlord shall not be in breach of this Lease if performance is commenced within such thirty (30) day period and thereafter diligently pursued to completion.

  
 14. Condemnation. If the Premises or any portion thereof are taken
under the power of eminent domain or sold under the threat of the exercise of said power (all of which are herein called “condemnation”), this Lease shall terminate as to the part so taken as of the date the condemning authority takes
title or possession, whichever first occurs. If more than twenty five percent (25%) of the floor area of the Premises, or more than twenty-five percent (25%) of the portion of the Common Areas designated for Tenant’s parking, is taken by
condemnation, Tenant may, at Tenant’s option, to be exercised in writing within ten (10) days after Landlord shall have given Tenant written notice of such taking (or in the absence of such notice, within ten (10) days after the condemning
authority shall have taken possession) terminate this Lease as of the date the condemning authority takes such possession. If Tenant does not terminate this Lease in accordance with the foregoing, this Lease shall remain in full force and effect as
to the portion of the Premises remaining, except that the Base Rent shall be reduced in the same proportion as the rentable floor area of the Premises taken bears to the total rentable floor area of the Premises. No reduction of the Base Rent shall
occur if the condemnation does not apply to any portion of the Premises. Any award for the taking of all or any part of the Premises under the power of eminent domain or any payment made under threat of the exercise of such power shall be the
property of Landlord, whether such award shall be made as compensation for diminution of value of the leasehold or for the taking of the fee, or as severance damages; provided, however, that Tenant shall be entitled to any compensation, separately
awarded to Tenant for Tenant’s relocation expenses and/or loss of Tenant’s Trade Fixtures. In the event that this Lease is not terminated by reason of such condemnation, Landlord shall to the extent of its net severance damages received,
over and above Tenant’s Share of the legal and other expenses incurred by Landlord in the condemnation matter, repair any damage to the Premises caused by such condemnation authority. Tenant shall be responsible for the payment of any amount in
excess of such net severance damages required to complete such repair. 
  
 15. Broker’s Fees. 
  
 15.1 Procuring
Cause. The Broker(s) named in Paragraph 1.10 is/are the procuring cause of this Lease. 
  
 15.2 Additional Terms. Unless Landlord and Broker(s) have otherwise agreed in writing, Landlord agrees that: (a) if Tenant exercises any Option (as
defined in Paragraph 39.1) granted under this Lease or any Option subsequently granted, or (b) if Tenant acquires any rights to the Premises or other premises in which Landlord has an interest, or (c) if Tenant remains in possession of the Premises
with the consent of Landlord after the expiration of the term of this Lease after having failed to exercise an Option, or (d) if said Brokers are the procuring cause of any other lease or sale entered into between the Parties pertaining to the
Premises and/or any adjacent property in which Landlord has an interest, or (e) if Base Rent is increased, whether by agreement or operation of an escalation clause herein, then as to any of said transactions, Landlord shall not be liable to said
Broker(s) to pay a fee. 
  
 15.3 Assumption of Obligations.
Any buyer or transferee of Landlord’s interest in this Lease, whether such transfer is by agreement or by operation of law, shall be deemed to have assumed Landlord’s obligation under this Paragraph 15. 
  
 15.4 Representations and Warranties. Tenant and Landlord each
represent and warrant to the other that it has had no dealings with any person, firm, broker or finder other than as named in Paragraph 1.10(a) in connection with the negotiation of this Lease and/or the consummation of the transaction contemplated
hereby, and that no broker or other person, firm or entity other than said named Broker(s) is entitled to any commission or finder’s fee in connection with said transaction. Tenant and Landlord do each hereby agree to indemnify, protect, defend
and hold the other harmless from and against liability for compensation or charges which may be claimed by any such unnamed broker, finder or other similar party by reason of any dealings or actions of the indemnifying Party, including any costs,
expenses, and/or attorneys’ fees reasonably incurred with respect thereto. 
  

					
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 16. Tenancy and Financial Statements. 
  
 16.1 Tenancy Statement. Each Party (as “Responding Party”) shall within ten (10) days after written
notice from the other Party (the “Requesting Party”) execute, acknowledge and deliver to the Requesting Party a statement in writing in a form similar to the then most current “Tenancy Statement” form published by
the American Industrial Real Estate Association, plus such additional information, confirmation and/or statements as may be reasonably requested by the Requesting Party. 
  
 16.2 Financial Statement. If Landlord desires to finance, refinance, or sell the Premises or the Building, or any
part thereof, Tenant and all the Guarantors shall deliver to any potential lender or purchaser designated by Landlord such financial statements of Tenant and such Guarantors as may be reasonably required by such lender or purchaser, including but
not limited to Tenant’s financial statements for the past three (3) years. All such financial statements shall be received by Landlord and such lender or purchaser in confidence and shall be used only for the purposes herein set forth.

  
 17. Landlord’s Liability. The term “Landlord” as
used herein shall mean the owner or owners at the time in question of the fee title to the Premises. In the event of a transfer of Landlord’s title or interest in the Premises or in this Lease, Landlord shall deliver to the transferee or
assignee (in cash or by credit) any unused Security Deposit held by Landlord at the time of such transfer or assignment. Except as provided in Paragraph 15.3, upon such transfer or assignment and delivery of the Security Deposit, as aforesaid, the
prior Landlord shall be relieved of all liability with respect to the obligations and/or covenants under this Lease thereafter to be performed by Landlord. Subject to the foregoing, the obligations and/or covenants in this Lease to be performed by
the Landlord shall be binding only upon the Landlord as herein above defined. Notwithstanding any other terms or provisions of this Lease, Tenant agrees that in the event of any default or breach by Landlord with respect to any of the terms of the
Lease to be observed and performed by Landlord (a) Tenant shall look solely to the estate and property (which is the subject of this Lease) of Landlord or any successor in interest in the property and the Building, for the satisfaction of
Tenant’s remedies for the collection of a judgment (or other judicial process) requiring the payment of money by Landlord; (b) no other property or assets of Landlord, its partners, members, shareholders, officers or any successor in interest
shall be subject to levy, execution or other enforcement procedure for the satisfaction if Tenant’s remedies; (c) no personal liability shall at any time be asserted or enforceable against Landlord, it’s partner’s, members or
successors in interest (except to the extent permitted in (a) above), and no judgment will be taken against any partner, member, shareholder, officer or director of Landlord. The provisions of this section shall apply only to the Landlord and the
parties herein described, and shall not be for the benefit of any insurer nor any other third party. 
  
 18. Severability. The invalidity of any provision of this Lease, as determined by a court of competent jurisdiction, shall in no way affect the validity of any other provision hereof. 
  
 19. Interest on Past-Due Obligations. Any monetary payment due Landlord hereunder,
other than late charges, not received by Landlord within ten (10) days following the date on which it was due, shall bear interest from the date due at the prime rate charged by the largest state chartered bank in the state in which the Premises are
located plus four percent (4%) per annum, but not exceeding the maximum rate allowed by law, in addition to the potential late charge provided for in Paragraph 13.3. 
  
 20. Time of Essence. Time is of the essence with respect to the performance of all obligations to be performed or observed by the
Parties under this Lease. 
  
 21. Rent Defined. All monetary
obligations of Tenant to Landlord under the terms of this Lease are deemed to be rent. 
  
 22. No Prior or other Agreements; Broker Disclaimer. This Lease contains all agreements between the Parties with respect to any matter mentioned herein, and no other prior or contemporaneous agreement or
understanding shall be effective. Landlord and Tenant each represents and warrants to the Brokers that it has made, and is relying solely upon, its own investigation as to the nature, quality, character and financial responsibility of the other
Party to this Lease and as to the nature, quality and character of the Premises. Brokers have no responsibility with respect thereto or with respect to any default or breach hereof by either Party. Each Broker shall be an intended third party
beneficiary of the provisions of this Paragraph 22. 
  
 23.
Notices. 
  
 23.1 Notice Requirements. All
notices required or permitted by this Lease shall be in writing and may be delivered in person (by hand or by messenger or courier service) or may be sent by regular, certified or registered mail or U.S. Postal Service Express Mail, with postage
prepaid, or by facsimile transmission during normal business hours, and shall be deemed sufficiently given if served in a manner specified in this Paragraph 23. The addresses noted adjacent to a Party’s signature on this Lease shall be that
Party’s address for delivery or mailing of notice purposes. Either Party may by written notice to the other specify a different address for notice purposes, except that upon Tenant’s taking possession of the Premises, the Premises shall
constitute Tenant’s address for the purpose of mailing or delivering notices to Tenant. A copy of all notices required or permitted to be given to Landlord hereunder shall be concurrently transmitted to such party or parties at such addresses
as Landlord may from time to time hereafter designate by written notice to Tenant. 
  

					
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 23.2 Date of Notice. Any notice sent by registered or certified mail, return receipt requested,
shall be deemed given on the date of delivery shown on the receipt card, or if no delivery date is shown, the postmark thereon. If sent by regular mail, the notice shall be deemed given forty-eight (48) hours after the same is addressed as required
herein and mailed with postage prepaid. Notices delivered by United States Express Mail or overnight courier that guarantees next day delivery shall be deemed given twenty-four (24) hours after delivery of the same to the United States Postal
Service or courier. If any notice is transmitted by facsimile transmission or similar means, the same shall be deemed served or delivered upon telephone or facsimile confirmation of receipt of the transmission thereof, provided a copy is also
delivered via delivery or mail. If notice is received on a Saturday or a Sunday or a legal holiday, it shall be deemed received on the next business day. 
  
 24. Waivers. No waiver by Landlord of the Default or Breach of any term covenant or condition hereof by Tenant, shall be deemed a waiver of any other term,
covenant or condition hereof, or of any subsequent Default or Breach by Tenant of the same or any other term, covenant or condition hereof. Landlord’s consent to, or approval of, any such act shall not be deemed to render unnecessary the
obtaining of Landlord’s consent to, or approval of, any subsequent or similar act by Tenant, or be construed as the basis of an estoppel to enforce the provision or provisions of this Lease requiring such consent. Regardless of Landlord’s
knowledge of a Default or Breach at the time of accepting rent, the acceptance of rent by Landlord shall not be a waiver of any Default or Breach by Tenant of any provision hereof. Any payment given Landlord by Tenant may be accepted by Landlord on
account of moneys or damages due Landlord, notwithstanding any qualifying statements or conditions made by Tenant in connection therewith, which such statements and/or conditions shall be of no force or effect whatsoever unless specifically agreed
to in writing by Landlord at or before the time of deposit of such payment. 
  
 25. Recording. Either Landlord or Tenant shall, upon request of the other, execute, acknowledge and deliver to the other a short form memorandum of this Lease for recording purposes. The Party requesting recordation shall be
responsible for payment of any fees or taxes applicable thereto. 
  
 26.
No Right To Holdover. Tenant has no right to retain possession of the Premises or any part thereof beyond the expiration or earlier termination of this Lease. In the event that Tenant holds over in violation of this Paragraph 26 then the Base
Rent payable from and after the time of the expiration or earlier termination of this Lease shall be increased to one hundred fifty percent (150%) of the Base Rent applicable during the month immediately preceding such expiration or earlier
termination. Nothing contained herein shall be construed as a consent by Landlord to any holding over by Tenant. 
  
 27. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in
equity. 
  
 28. Covenants and Conditions. Al provisions of this
Lease to be observed or performed by Tenant are both covenants and conditions. 
  
 29. Binding Effect; Choice of Law. This Lease shall be binding upon the Parties, their personal representatives, successors and assigns and be governed by the laws of the State in which the Premises are located. Any litigation
between the Parties hereto concerning this Lease shall be initiated in the county in which the Premises are located. 
  
 30. Subordination; Attornment; Non-Disturbance. 
  
 30.1 Subordination. This Lease and any Option granted hereby shall be subject and subordinate to any ground lease, mortgage, deed of trust, or
other hypothecation or security device (collectively, “Security Device”), now or hereafter placed by Landlord upon the real property of which the Premises are a part, to any and all advances made on the security thereof, and to all
renewals, modifications, consolidations, replacements and extensions thereof. Tenant agrees that the Lenders holding any such Security Device shall have no duty, liability or obligation to perform any of the obligations of Landlord under this Lease,
but that in the event of Landlord’s default with respect to any such obligation, Tenant will give any Lender whose name and address have been furnished Tenant in writing for such purpose notice of Landlord’s default pursuant to Paragraph
13.4. If any Lender shall elect to have this Lease and/or any Option granted hereby superior to the lien of its Security Device and shall give written notice thereof to Tenant, this Lease and such Options shall be deemed prior to such Security
Device, notwithstanding the relative dates of the documentation or recordation thereof. 
  
 30.2 Attornment. Subject to the non-disturbance provisions of Paragraph 30.3, Tenant agrees to attorn to a Lender or any other party who acquires ownership of the Premises by reason of a foreclosure of a
Security Device, and that in the event of such foreclosure, such new owner shall not: (i) be liable for any act or omission of any prior Landlord or with respect to events occurring prior to acquisition of ownership, (ii) be subject to any offsets
or defenses which Tenant might have against any prior Landlord, or (iii) be bound by prepayment of more than one month’s rent. 
  
 30.3 Non-Disturbance. With respect to Security Devices entered into by Landlord after the execution of this Lease, Tenant’s subordination of
this Lease shall be subject to receiving assurance (a “non-disturbance agreement”) from the Lender that Tenant’s possession and this Lease, including any options to extend the term hereof, will not be disturbed so long as Tenant is
not in Breach hereof and attorns to the record owner of the Premises. Landlord shall obtain such subordination for Tenant from Lender by the Commencement Date. 
  

30.4 Self-Executing. The agreements contained in this Paragraph 30 shall be effective without the execution of any further documents; provided,
however, that upon written request from Landlord or a Lender in connection with a sale, financing or refinancing of Premises, Tenant and Landlord shall execute such further writings 

  

					
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as may be reasonably required to separately document any such subordination or non-subordination, attornment and/or non-disturbance agreement as is provided
for herein. 
  
 31. Attorneys’ Fees. If any Party or Broker brings an
action or proceeding to enforce the terms hereof or declare rights hereunder, the Prevailing Party (as hereafter defined) in any such proceeding, action, or appeal thereon, shall be entitled to reasonable attorneys’ fees. Such fees may be
awarded in the same suit or recovered in a separate suit, whether or not such action or proceeding is pursued to decision or judgment. The term “Prevailing Party” shall include, without limitation, a Party or Broker who
substantially obtains or defeats the relief sought, as the case may be whether by compromise, settlement, judgment, or the abandonment by the other Party or Broker of its claim or defense. The attorneys’ fee award shall not be computed in
accordance with any court fee schedule, but shall be such as to full reimburse all attorneys fees reasonably incurred. Landlord shall be entitled to attorneys’ fees, costs and expenses incurred in preparation and service of notices of Default
and consultations in connection therewith, whether or not a legal action is subsequently commenced in connection with such Default or resulting Breach. Broker(s) shall be intended third party beneficiaries of this Paragraph 31. 
  
 32. Landlord’s Access; Showing Premises; Repairs. Landlord and Landlord’s
agents shall have the right to enter the Premises at any time, in the case of an emergency, and otherwise at reasonable times for the purpose of showing the same to prospective purchasers, lenders, or tenants, and make such alterations, repairs,
improvements or additions to the Premises or to the Building, as Landlord may reasonably deem necessary. Landlord may at any time place on or about the Premises or Building any ordinary “For Sale” signs and Landlord may at any time during
the last one hundred eighty (180) days of the term hereof place on or about the Premises any ordinary “For Lease” signs. All such activities of Landlord shall be without abatement of rent or liability to Tenant. 
  
 33. Auctions. Tenant shall not conduct, nor permit to be conducted, either voluntarily
or involuntarily, any auction upon the Premises without first having obtained Landlord’s prior written consent. Notwithstanding anything to the contrary in this Lease, Landlord shall not be obligated to exercise any standard of reasonableness
in determining whether to grant such consent. 
  
 34. Signs. Tenant
shall not place any sign upon the exterior of the Premises or the Building, except that Tenant may, with Landlord’s prior written consent, which shall not be unreasonably withheld, install (but not on the roof) such signs as are reasonably
required to advertise Tenant’s own business so long as such signs are in a location designated by Landlord and comply with Applicable Requirements and the signage criteria established for the Industrial Center by Landlord. The installation of
any sign on the Premises by or for Tenant shall be subject to the provisions of Paragraph 7 (Maintenance, Repairs, Utility Installations, Trade Fixtures and Alterations). Unless otherwise expressly agreed herein, Landlord reserves all rights to the
use of the roof of the Building and the right to install advertising signs on the Building, including the roof, which do not unreasonably interfere with the conduct of Tenant’s business; Landlord shall be entitled to all revenues from such
advertising signs. 
  
 35. Termination; Merger. Unless
specifically stated otherwise in writing by Landlord, the voluntary or other surrender of this Lease by Tenant, the mutual termination or cancellation hereof, or a termination hereof by Landlord for Breach by Tenant, shall automatically terminate
any sublease or lesser estate in the Premises; provided, however, Landlord shall, in the event of any such surrender, termination or cancellation, have the option to continue any one or all of any existing subtenancies. Landlord’s failure
within ten (10) days of following any such event to make a written election to the contrary by written notice to the holder of any such lesser interest, shall constitute Landlord’s election to have such event constitute the termination of such
interest. 
  
 36. Consents. 
  
 (a) Except for Paragraph 12 (subleases) and Paragraph 33 (Auctions) or as
otherwise provided herein, wherever in this Lease the consent of a Party is required to an act by or for the other Party, such consent shall not be unreasonably withheld or delayed. Landlord’s actual reasonable costs and expenses (including but
not limited to architects’, attorneys’, engineers’ and other consultants’ fees) incurred in the consideration of, or response to, a request by Tenant for any Landlord consent pertaining to this Lease or the Premises, including
but not limited to consents to an assignment a subletting or the presence or use of a Hazardous Substance, shall be paid by Tenant to Landlord upon receipt of an invoice and supporting documentation therefor. Landlord may, as condition to
considering any such request by Tenant, require that Tenant deposit with Landlord an amount of money (in addition to the Security Deposit held under Paragraph 5) reasonably calculated by Landlord to represent the cost Landlord will incur in
considering and responding to Tenant’s request. Any unused portion of said deposit shall be refunded to Tenant without interest. Landlord’s consent to any act, assignment of this Lease or subletting of the Premises by Tenant shall not
constitute an acknowledgment that no Default or Breach by Tenant of this Lease exists, nor shall such consent be deemed a waiver of any then existing Default or Breach, except as may be otherwise specifically stated in writing by Landlord at the
time of such consent. 
  
 (b) All conditions to Landlord’s
consent authorized by this Lease are acknowledged by Tenant as being reasonable. The failure to specify herein any particular condition to Landlord’s consent shall not preclude the impositions by Landlord at the time of consent of such further
or other conditions as are then reasonable with reference to the particular matter for which consent is being given. 
  
 37. [Intentionally Deleted]. 
  
 38. Quiet Possession. Upon payment by Tenant of the rent for the Premises and the performance of all of the covenants, conditions and provisions on
Tenant’s part to be observed and performed under this Lease, Tenant shall have quiet possession of the Premises for the entire term hereof subject to all of the provisions of this Lease. 
  

					
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 39. Options. 
  
 39.1 Definition. As used in this Lease, the word “Option” has the following meaning: (a) the right to extend the term of this Lease or to
renew this Lease or to extend or renew any lease that Tenant has on other property of Landlord. 
  
 39.2 Options Personal to Original Tenant. Each Option granted to Tenant in this Lease is personal to the original Tenant named in Paragraph 1.1
hereof, and cannot be voluntarily or involuntarily assigned or exercised by any person or entity other than said original Tenant while the original Tenant is in full and actual possession of the Premises and without the intention of thereafter
assigning or subletting. The Options, if any, herein granted to Tenant are not assignable, either as a part of an assignment of this Lease or separately or apart therefrom, and no Option may be separated from this Lease in any manner, by reservation
or otherwise. 
  
 39.3 Multiple Options. In the event that
Tenant has any multiple Options to extend or renew this Lease, a later option cannot be exercised unless the prior Options to extend or renew this Lease have been validly exercised. 
  
 39.4 Effect of Default on Options. 
  
 (a) Tenant shall have no right to exercise an Option, notwithstanding any provision in the grant of Option
to the contrary: (i) during the period commencing with the giving of any notice of Default under Paragraph 13.1 and continuing until the noticed Default is cured, or (ii) during the period of time any monetary obligation due Landlord from Tenant is
unpaid (without regard to whether notice thereof is given Tenant), or (iii) during the time Tenant is in Breach of this Lease, or (iv) in the event that Landlord has given to Tenant three (3) or more notices of separate Defaults under Paragraph 13.1
during the twelve (12) month period immediately preceding the exercise of the Option, whether or not the Defaults are cured. 
  
 (b) The period of time within which an Option may be exercised shall not be extended or enlarged by reason of Tenant’s inability to
exercise an Option because of the provisions of Paragraph 39.4(a) 
  
 (c) All rights of Tenant under the provisions of an Option shall terminate and be of no further force or effect, notwithstanding Tenant’s due and timely exercise of the Option, if, after such exercise and during
the term of this Lease, (i) Tenant fails to pay to Landlord a monetary obligation of Tenant for a period of thirty (30) days after such obligation becomes due, or (ii) Landlord gives to Tenant three (3) or more notices of separate Defaults under
Paragraph 13.1 during any twelve (12) month period, whether or not the Defaults are cured, or (iii) if Tenant commits a Breach of this Lease. 
  
 40. Rules and Regulations. Tenant agrees that it will abide by, and keep and observe all reasonable rules and regulations (“Rules and
Regulations”) which Landlord may make from time to time for the management, safety, care, and cleanliness of the grounds, the parking and unloading of vehicles and the preservation of good order, as well as for the convenience of other
occupants or tenants of the Building and the Industrial Center and their invitees. 
  
 41. Security Measures. Tenant hereby acknowledges that the rental payable to Landlord hereunder does not include the cost of guard service or other security measures, and that Landlord shall have no
obligation whatsoever to provide same. Tenant assumes all responsibility for the protection of the Premises, Tenant, its agents and invitees and their property from the acts of third parties. 
  
 42. Reservations. Landlord reserves the right, from time to time, to grant,
without the consent or joinder of Tenant, such easements, rights of way, utility raceways, and dedications that Landlord deems necessary, and to cause the recordation of parcel maps and restrictions, so long as such easements, rights of way, utility
raceways, dedications, maps and restrictions do not reasonably interfere with the use of the Premises by Tenant. Tenant agrees to sign any documents reasonably requested by Landlord to effectuate any such easement rights, dedication, map or
restrictions. 
  
 43. Performance Under Protest. If at any
time a dispute shall arise as to any amount or sum of money to be paid by one Party to the other under the provisions hereof, the Party against whom the obligation to pay the money is asserted shall have the right to make payment “under
protest” and such payment shall not be regarded as a voluntary payment and there shall survive the right on the part of said Party to institute suit for recovery of such sum. If it shall be adjudged that there was no legal obligation on the
part of said Party to pay such sum or any part thereof, said Party shall be entitled to recover such sum or so much thereof as it was not legally required to pay under the provisions of this Lease. 
  
 44. Authority. If either Party hereto is a corporation, trust, limited
liability company, or general or limited partnership, each individual executing this Lease on behalf of such entity represents and warrants that he or she is duly authorized to execute and deliver this Lease on it’s behalf and that such entity
is duly authorized and existing and qualified to do business in California and that Tenant has the full right and legal authority to enter into this Lease. 
  
 45. Conflict. Any conflict between the printed provisions of this Lease and the typewritten or handwritten provisions shall be
controlled by the typewritten or handwritten provisions. 
  

					
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	 Initials_____/_____
	 	 	 	 

 46. Offer. Preparation of this Lease by either Landlord or Tenant or Landlord’s agent or Tenant’s
agent and submission of same to Tenant or Landlord shall not be deemed an offer to lease. This Lease is not intended to be binding until executed and delivered by all Parties hereto. 
  
 47. Amendments. This Lease may be modified only in writing, signed by the
parties in interest at the time of the modification. The Parties shall amend this Lease from time to time to reflect any adjustments that are made to the Base Rent or other rent payable under this Lease. As long as they do not materially change
Tenant’s obligations hereunder, Tenant agrees to make such reasonable non-monetary modification to this Lease as may be reasonably required by an institutional insurance company or pension plan Lender in connection with the obtaining of normal
financing or refinancing of the property of which the Premises are a part. 
  
 48. Multiple Parties. Except as otherwise expressly provided herein, if more than one person or entity is named herein as either Landlord or Tenant, the obligations of such multiple parties shall be the joint and several
responsibility of all persons or entities named herein as such Landlord or Tenant. 
  
 49. Tenant Improvements. Landlord at Landlord’s sole cost and expense shall do the tenant improvements listed below and as further defined in the space plan done by Landlord dated February 3, 2005 as outlined on Exhibit
“B”, and additional details included in the attached Exhibit “C”, both attached hereto. 
  
 12 total offices, 3 total conference rooms, a board room, a mail area—three labs with VCT flooring (one with a sink located above the sanitary line),
a repair shop and warehouse with concrete flooring, a men’s and women’s shower, a janitors closet, a lunch room with a sink and lower cabinets with VCT flooring, a server room with separate HVAC. All improvements shall be done using the
same finishes as is currently in the space except only offices and conference rooms will have sidelights. 
  
 In addition Tenant shall have the use of 30 cubicles currently in the premises at no additional charge. Said cubicles shall be left in the premises upon
the termination of the Lease. 
  
 Landlord to make available
Landlord’s architect for space planning services. 
  
 Any
additional items shall be paid for by Tenant including any upgrades in finishes, specialized items including any additional electric or HVAC. 
  
 50. Option. Subject to the terms and conditions set forth below, Tenant may at its option extend the Terms of this Lease for (2) periods of five (5) years each.
Such periods are called the “Renewal Terms.” The Renewal Terms shall be upon the same terms contained in this Lease, except that (i) Landlord shall have no obligation to provide Tenant with any Tenant Improvement Allowance or Free
Rent in connection with the Renewal Term, (ii) the Base Rental during the Renewal Term shall be calculated as set forth below, and (iii) any reference in the Lease to the “Term” of the Lease shall be deemed to include the Renewal Term and
apply thereto, unless it is expressly provided otherwise. Tenant shall have no additional extension options. 
  
 A. The Base Rent during the Renewal Term shall be 95% of the then fair market rate (defined hereinafter) and shall increase 3% per year for such space for a term commencing of the first day of the Renewal Term.
“Market Rate” shall mean the then prevailing market rate for a comparable term commencing on the first day of the Renewal Term for tenants of comparable size and creditworthiness for comparable space in the Building and other first
class R&D/Office buildings in the Fremont area. In no event shall the rent be less than the last year of the previous term. 
  
 B. To exercise any option, Tenant must deliver a binding written notice to Landlord not sooner than ten (10) months nor later than six (6) months prior to the expiration
of the initial Term of this Lease for the first option period or prior to the expiration of the first option period in order to exercise the second option period. Thereafter, the Market Rate for the Renewal Term shall be calculated pursuant to
Subsection A above and Landlord shall inform Tenant of the Market Rate. If the parties cannot agree on the Market Rate, the parties shall each appoint a real estate broker or appraiser (with at least 10 years experience in R&D leasing in Silicon
Valley) to determine the Market Rate. If the lower of the two is within 90% of the higher of the two valuations, then the Market Rent shall be the average of the two. If the lower of the two valuations is less than 90% of the higher valuation, then
the two brokers/appraisers originally selected by the parties shall select a third broker/appraiser who shall determine the Market Rate, which shall not be higher than the higher of the two original valuations or lower than the lower of the two
original valuations. The determination of the third broker/appraiser shall be binding on the parties. The market rent shall be determined within 60 days of the date of Tenant’s exercise of its option. In no event shall the rent be less than the
last year of the previous term. If Tenant fails to timely give its notice of exercise, Tenant will be deemed to have waived its option to extend. 
  
 51. Counterparts. This Lease may be executed in two or more counterparts, each of which shall be deemed to be an original, but all of which, taken together, shall
constitute one and the same instrument. 
  
 LANDLORD AND TENANT HAVE CAREFULLY
READ AND REVIEWED THIS LEASE AND EACH TERM AND PROVISION CONTAINED HEREIN, AND BY THE EXECUTION OF THIS LEASE SHOW THEIR INFORMED AND VOLUNTARY CONSENT THERETO. THE PARTIES HEREBY AGREE THAT, AT THE TIME THIS LEASE IS EXECUTED, THE TERMS OF THIS
LEASE ARE COMMERCIALLY REASONABLE AND EFFECTUATE THE INTENT AND PURPOSE OF LANDLORD AND TENANT WITH RESPECT TO THE PREMISES. 
  
 THIS LEASE PREPARED FOR YOUR ATTORNEY’S REVIEW AND APPROVAL. FURTHER, EXPERTS SHOULD BE CONSULTED TO THE PRESENCE OF ASBESTOS, UNDERGROUND STORAGE
TANKS OR HAZARDOUS SUBSTANCES. NO REPRESENTATION OR RECOMMENDATION IS MADE BY THE AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION OR BY THE REAL ESTATE BROKERS OR THEIR CONTRACTORS, AGENTS OR EMPLOYEES AS TO THE LEGAL SUFFICIENCY, LEGAL EFFECT, OR TAX
CONSEQUENCES OF THIS LEASE OR THE TRANSACTION TO WHICH IT RELATES; THE PARTIES SHALL RELY SOLELY UPON THE ADVICE OF THEIR OWN COUNSEL AS TO THE LEGAL 

  

					
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	 	—21—	 	 
	 Initials_____/_____
	 	 	 	 

 
IS IN A STATE OTHER THAN CALIFORNIA, AN ATTORNEY FROM THE STATE WHERE THE PROPERTY IS LOCATED SHOULD BE CONSULTED. 
  
 The parties hereto have executed this Lease at the place and on the dates specified above
their respective signatures. 
  

									
	 Executed at:                                  
                                        
                  
	 	 	 	 Executed at:                                   
                                        
                 

			
	 on:                                      
                                        
                              
	 	 	 	 on:                                      
                                        
                              

			
	 By Landlord:
	 	 	 	 By Tenant:

			
	 Fremont Ventures LLC
	 	 	 	 Rita Medical Systems, Inc.

	 by D&M Ventures LP
	 	 	 	 
	 its Managing Member
	 	 	 	 
	 by David Dollinger Living Trust
	 	 	 	 
	 its General Partner
	 	 	 	 
	 by Dave Dollinger, Trustee
	 	 	 	 
					
	By:	 	 /s/ Illegible
	 	 	 	By:	 	 /s/ Illegible

			
	Name Printed: Illegible	 	 	 	 Name Printed: Illegible

			
	 Title: Trustee
	 	 	 	 Title: CEO

			
	 Address: 555 Twin Dolphin Dr. #600
	 	 	 	 Address:

	 	 	           Redwood City, Ca. 94065
	 	 	 	 	 	 
				
	 Telephone: (650) 508-8666
	 	 	 	 Telephone: (        )
	 	 
				
	 Facsimile: (650) 508-8686
	 	 	 	 Facsimile: (        )
	 	 

  

					
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	 Initials_____/_____
	 	 	 	 

  
 

 

  
 

 

  
 Exhibit C 

 

			
	 PROPOSED - NEW FACILITY Requirements

	  	Qty

	 Conference Rooms
	  	 
	 ...Board Room
	  	1
	 Glass side wall (one side) with blinds
	  	 
	 counter tops (one side facing front; corner side as coffee table)
	  	 
	 construct capability for Tenant to install phone & network lines underneath carpet to come up on table
	  	 
	 construct capability for Tenant to install phone & network lines on wall by counter top facing front
	  	 
		
	 ...Conf Rm#1
	  	1
	 construct capability for Tenant to install phone & network lines underneath carpet to come up on table
	  	 
		
	 ...Conf Rm#2
	  	 
	 construct capability for Tenant to install phone & network lines underneath carpet to come up on table
	  	 
		
	 Exec Offices
	  	5
	 CEO’s office need door to access next office
	  	 
		
	 Regular Offices
	  	11
		
	 Cube Offices
	  	28
		
	 Marketing & Sales Storage room
	  	1
		
	 Media Room
	  	1
	 install at least 15 electrical outlets along walls
	  	 
		
	 Eng’g Hardware & Software Labs
	  	1
	 VCT flooring
	  	 
	 Glass side wall (one side)
	  	 
	 need sink, water, sanitary line
	  	 
	 need fume extractor (hood) installed above counter top (close to sink)
	  	 
	 counter tops & cabinets
	  	 
	 need compressed air line
	  	 

  

			
	 Machine Shop
	  	1
	 sealed concrete flooring
	  	 
	 need 220V outlets on wall (7 minimum)
	  	 
	 regular 110V outlets on wall (6 minimum)
	  	 
	 need compressed air line
	  	 
		
	 Lobby & Reception Area
	  	1
	 need counter tops & cabinets for receptionist
	  	 
		
	 Mailroom
	  	1
	 counter tops & cabinets
	  	 
		
	 Telco & network eqpt room
	  	1
	 separate HVAC
	  	 
		
	 Lunchroom
	  	1
	 Tile flooring
	  	 
	 Glass side wall (one side)
	  	 
	 Cabinets & counter tops
	  	 
		
	 Bathrooms with showers
	  	2
	 need dressing room with privacy
	  	 
	 need lockers, 15 min on each side

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00082-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00082-of-00352.parquet"}]]