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Unassociated Document

    EXHIBIT
      10.6

    
 

    
      	State of South
              Carolina 	 	 
	 	 	 
	County of
              Charleston 	 	
              Lease
                Agreement

            

    

          

    THIS
      LEASE, made
      and
      entered into this the 17th
      day of
      January, 2005 by and between BELLE-HALL
      DEVELOPMENT PHASE III LIMITED PARTNERSHIP, a
      South
      Carolina Limited Partnership (hereinafter called “Landlord”) and DGSE
      COMPANIES, INC.,
      a Nevada
      corporation (hereinafter called “Tennant”); 

    

    

    WITNESSETH:

    

    That
      for
      and in consideration of the mutual agreement of the parties, including the
      rental agreed to be paid by Tenant to Landlord, Landlord leases and demises
      to
      Tenant, and Tenant leases, demises and rents from Landlord the following
      described Premises on the terms and conditions set out in this Lease and in
      the
      schedule annexed hereto and entitled Fundamental Lease Provisions,
      to-wit:

    

    
      
        1.
          Description
          of Leasehold Premises.

      

    

    The
      Premises this day leased, demised and rented (hereinafter called the “Premises”)
      are identified in the schedule annexed hereto entitled Fundamental Lease
      Provisions and are cross-hatched and labeled on the sketch of the Shopping
      Center (the “Shopping Center”) which is attached hereto and incorporated herein
      as Exhibit “A”. The square feet of Gross Leasable Area within the Premises is
      set forth on the schedule annexed hereto entitled Fundamental Lease
      Provisions.

    

    2. Use.

    Tenant
      shall use the Premises solely for the purposes described as “Permitted Uses” in
      the schedule annexed hereto entitled Fundamental Lease Provisions, and for
      no
      other use or purpose.

    

    3. Common
      Areas.

    Tenant
      and its employees, agents, invitees and licensees are also granted the right,
      in
      common with others, to the non-exclusive use of such of the areas as are from
      time to time designated by Landlord as “Common Areas” within the Shopping
      Center, subject to the exclusive control and management thereof at all times
      by
      Landlord and the exclusive rights of certain tenants and/or other occupants
      of
      the Shopping Center in and to portions of such areas. The Common Areas shall
      include the facilities in the Shopping Center which are designated for the
      general use, in common, of the occupants of the Shopping Center, and to the
      extent the same are provided, the parking areas, sidewalks, roadways, loading
      platforms, restrooms, ramps, maintenance and mechanical areas, management
      offices, promotion offices, and landscaped areas. Landlord will operate and
      maintain or will cause to be operated and maintained the Common Areas in a
      manner deemed by Landlord to be reasonable and appropriate and in the best
      interests of the Shipping Center. Landlord will have the right (i) establish,
      modify and enforce reasonable rules and regulations with respect to the Common
      Areas; (ii) enter into, modify and terminate easements and other agreements
      pertaining to the use and maintenance of the Common Areas and any portions
      thereof; (iii) close any or all portions of the Common Areas to such extent
      as
      may, in the opinion of Landlord, be necessary to prevent a dedication thereof
      or
      the accrual of any rights by an person or by the public therein; (iv) close
      temporarily and or all portions of the Common Areas; (v) change the number
      and
      location of buildings, building dimensions, number of floors in any of the
      buildings, store dimensions, driveways, Common Areas, the identity and type
      of
      other stores and tenants, provided only that the size of the Premises (as herein
      defined), reasonable access to the Premises and the parking facilities to be
      provided shall not be materially impaired, and (vi) do and perform such other
      acts in and to the Common Areas and improvements therein as, in the exercise
      of
      good business judgment, Landlord shall determine to be advisable.

    

    4. Tenant’s
      Acceptance of Property.

    Neither
      the Landlord nor its agents have made any representations with respect to the
      Premises, the building or the land upon which it is erected, except as expressly
      set forth herein or as may be agreed to, in writing, by both parties, and no
      rights, easements, or licenses are acquired by the Tenant by implication or
      otherwise except as expressly set forth in the provisions of this Lease. The
      taking of possession of the Premises by Tenant shall be conclusive evidence
      that
      the Tenant accepts the same “as is”, that all obligations imposed upon Landlord
      under this Lease have been fully performed and that the Premises were in good
      condition at the time possession was taken, except such items as may be agreed
      upon in writing, by both parties prior to entry.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      
        5.
          Landlord’s
          Work and Tenant’s Work.

      

    

    Landlord,
      at its cost, shall construct upon and provide to the Premises for use and
      occupancy by Tenant such items of work, material and fixtures as may be
      specifically identified as Landlord’s Work on Exhibit “B” which is attached
      hereto and incorporated herein by reference and Tenant, at its cost, shall
      provide such items of work, material and fixtures as may be identified as
      Tenant’s Work on said “Exhibit B”. All Tenant’s work will be done in a
      workmanlike manner in accordance with the Tenant Construction Criteria Handbook
      provided by Landlord. Tenant acknowledges that it has been received from
      Landlord a copy of the Tenant Construction Criteria Handbook. Tenant’s
      contractor must be approved by the Landlord prior to the commencement of any
      construction.

    

    

    6. Lease
      Term and Lease Year.

    The
      term
      of this Lease shall be the period specified on the schedule annexed hereto
      entitled Fundamental Lease Provisions and shall begin on the Beginning Date.
      The
      Beginning Date shall be the date shown on the schedule annexed hereto entitled
      Fundamental Lease Provisions.

    

    The
      term,
“Lease Year,” as used herein shall be a calendar year and each Lease Year shall
      begin on January 1. The first full Lease Year of the term of this Lease shall
      begin on the first day of January next following the Beginning Date (unless
      the
      Beginning Date should occur on January 1) and each succeeding Lease Year shall
      begin on the first day of each succeeding January during the term of this Lease.
      Any portion of the term of this Lease which is prior to January 1 of the first
      Lease Year or after December 31 of the final full Lease Year shall be deemed
      a
“partial Lease Year”.

    

    If
      the
      Premises are vacant prior to the Beginning Date, Tenant shall have the right
      with the prior written consent of Landlord, at its own risk, to enter upon
      the
      Premises for the purpose of taking measurements therein and for any other
      reasonable purpose permitted by Landlord; provided, however, that such entry
      shall not interfere with any work being done by or on behalf of Landlord, and
      Tenant shall indemnify Landlord against any loss or liability arising
      therefrom.

    

    Tenant
      agrees to occupy the Premises and commence the operation of business therein
      promptly upon commencement of the Lease Term.

    

    
      
        7.
          Rental;
          When Paid.

      

    

    Throughout
      the term of this Lease, Tenant shall pay to Landlord in equal monthly
      installments the Fixed Minimum Rent which is shown on the schedule annexed
      hereto entitled Fundamental Lease Provisions, without notice, demand, set-off
      or
      deduction.

    

    The
      Fixed
      Minimum Rent and the sums designated as additional rental shall be paid in
      equal
      monthly installments as shown on the schedule attached and entitled Fundamental
      Lease Provisions or as adjusted as herein provided in advance on or before
      the
      first day of the month for which said amounts are due (or in any lump sum if
      so
      provided under this Lease); however, if the term of this Lease shall commence
      and/or end on a day other than the first day of the calendar month, the rental
      for the portions of a month at the beginning and end of the Lease Term shall
      be
      prorated and paid in advance. All amounts due but unpaid after the fifth
      (5th)
      day
      of
      each month shall be subject to a late fee of ONE
      HUNDRED
      DOLLARS
      ($100.00)
      per
      month.

    

    Failure
      of Landlord to furnish to Tenant a statement for amounts owed by Tenant within
      time as herein set forth shall not affect Tenant’s obligation to pay when such
      amounts are billed.

    

    In
      addition to the fixed minimum rent, throughout the term of this Lease, Tenant
      shall pay to Landlord in equal monthly installments as additional rent the
      following sums without notice, demand, set-off or deduction:

    

    
      	 	
              a.

            	
              Percentage
                Rent.
                -
                Not Applicable

            

    

    

    
      	 	
              b.

            	
              Common
                Area Maintenance Charge.

            

    

    An
      amount
      equal to Tenant’s proportionate share of the Common Area Expenses as hereinafter
      defined. The Common Area Maintenance Charge for the first Lease Year or for
      any
      partial Lease Year which precedes the first Lease Year shall be an estimated
      amount which is specified as Common Area Maintenance Charge on the schedule
      annexed hereto entitled Fundamental Lease Provisions. The Common Area
      Maintenance Charge for each succeeding Lease Year or partial Lease Year shall
      be
      reasonably estimated by Landlord at the beginning of each such year and the
      amount payable in such Lease Year or partial Lease Year shall be determined
      by
      multiplying such estimated Common Area Expenses by a fraction, the numerator
      of
      which shall be the number of square feet of Gross Leasable Area of the Premises
      and the denominator of which shall be the total leasable space in the Shopping
      Center. This Article 7b is further subject to the provisions set forth in
      Addendum A attached hereto and incorporated herein by reference.

    

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    If
      the
      actual Common Area Expenses in any Lease Year or partial Lease Year exceed
      the
      estimates for the applicable year, Tenant shall within thirty (30) days after
      receipt of a statement from Landlord certifying the actual Common Area Expenses
      for the certified year and Tenant’s proportionate share thereof pay to Landlord
      a lump sum in an amount which will effect the necessary adjustment. Landlord
      shall determine such amount within a reasonable period of time after the end
      of
      any Lease Year or partial Lease Year.

    

    If
      the
      Common Area Maintenance Charge paid by Tenant in any Lease Year or partial
      Lease
      Year exceeds Tenant’s share of the Common Area Expenses for that period,
      Landlord shall credit any excess payments made by Tenant against future
      installments of Common Area Maintenance Charges payable by Tenant hereunder
      or,
      during the last Lease Year, Landlord will refund such excess to Tenant within
      a
      reasonable period of time following the expiration of the Lease Term, provided
      Tenant is not then in default of any of its obligations under this
      Lease.

    

    The
      term
“Common Area Expenses” shall mean and include the total cost and expense paid or
      incurred in operating, managing and maintaining the Common Areas (including
      appropriate reserves), including, but not limited to, landscaping, parking
      lot
      repair, security, painting, lighting, insurance, removal of snow, trash, pest
      control, refuse, lights, payment for utilities, water, electricity and gas,
      Common Area maintenance and security personnel payroll, operation of maintenance
      equipment and supplies; services, if any, furnished by Landlord for the
      nonexclusive use of all tenants; as well as administrative costs equal to
      fifteen percent (15%) of the total cost of operating and maintaining the Common
      Area.

    

    
      	 	
              c.

            	
              Taxes.

            

    

    An
      amount
      equal to Tenant’s proportionate share of the Taxes. The Taxes for the first
      Lease Year or for any partial Lease Year which precedes the first Lease Year
      shall be an estimated amount which is specified as Taxes on the schedule annexed
      hereto entitled Fundamental Lease Provisions. The Taxes for each succeeding
      Lease Year or partial Lease Year shall be reasonably estimated by Landlord
      at
      the beginning of each such year and the amount payable in such Lease Year or
      partial Lease Year shall be determined by multiplying such estimated Taxes
      by a
      fraction, the numerator of which shall be the number of square feet of Gross
      Leasable Area in the Premises and the denominator of which shall be the total
      leasable area in the Shopping Center. This Article 7c is further subject to
      those provisions set forth in Addendum A attached hereto.

    

    If
      the
      actual Taxes in any Lease Year or partial Lease Year exceed the estimates for
      the applicable year, Tenant shall within thirty (30) days after receipt of
      a
      statement from Landlord certifying the actual Taxes for the certified year
      and
      Tenant’s proportionate share thereof pay to Landlord a lump sum in an amount
      which will effect the necessary adjustment. Landlord shall determine such amount
      within a reasonable period of time of receipt of all the bills for Taxes for
      each Lease Year or partial Lease Year. If the Taxes paid by Tenant in any Lease
      Year or partial Lease Year exceed Tenant’s share of Taxes for that period,
      Landlord shall credit any excess payments made by Tenant against future
      installments of Taxes payable by Tenant hereunder or, during the last Lease
      Year, Landlord will refund such excess to Tenant within a reasonable period
      of
      time following the expiration of the term of this Lease, provided Tenant is
      not
      then in default of any of its obligations under this Lease.

    

    The
      term
“Taxes” shall mean all governmental imposes, levies, fees, taxes, assessments or
      charges of every kind and nature whatsoever which are levied, assessed or
      imposed against the Shopping Center or any portion thereof or by reason of
      its
      ownership and operation of the Shopping Center and its receipt of rent therefrom
      including, without limitation, ad
      valorem
      taxes,
      real estate taxes, any other tax on rents or real estate, water or sewer and
      all
      other governmental exactions from time to time directly or indirectly assessed
      or imposed upon the Shopping Center including any interest on the same that
      may
      be incurred and/or the portion of the land upon which it is situated, including
      all costs and fees paid or incurred by Landlord in contesting, or in negotiating
      with the public authorities as to the amount of such assessments, charges or
      taxes or the basis upon which the same shall be assessed.

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    During
      the entire term of this Lease, Tenant shall pay promptly when due all taxes
      imposed upon Tenant’s business and upon all personal property and improvements
      of Tenant used in connection therewith.

    

    
      	 	
              d.

            	
              Insurance.

            

    

    An
      amount
      equal to Tenant’s proportionate share of Insurance. The insurance costs for the
      first Lease Year or for any partial Lease Year which precedes the first Lease
      Year shall be an estimated amount which is specified as Insurance on the
      schedule annexed hereto entitled Fundamental Lease Provisions. The insurance
      cost for each succeeding Lease Year or partial Lease Year shall be reasonably
      estimated by Landlord at the beginning of each such year and the amount payable
      in such Lease Year or partial Lease Year shall be determined by multiplying
      such
      estimated costs by a fraction, the numerator of which shall be the number of
      square feet of Gross Leasable Area in the Premises and the denominator of which
      shall be the total leasable area in the Shopping Center. This article 7d is
      further subject to those provisions set forth in Addendum A attached
      hereto.

    

    If
      the
      actual insurance costs in any Lease Year or partial Lease Year exceed the
      estimates for the applicable year, Tenant shall within thirty (30) days after
      receipt of a statement from Landlord certifying the actual insurance costs
      for
      the certified year and Tenant’s proportionate share of such insurance costs pay
      to Landlord a lump sum in an amount which will effect the necessary adjustment.
      Landlord shall determine such amount within a reasonable period of time after
      the end of each Lease Year or partial Lease Year. If the insurance cost paid
      by
      Tenant in any Lease Year or partial Lease Year exceed Tenant’s share of
      insurance costs for that period, Landlord shall credit any excess payments
      made
      by Tenant against future installments of insurance costs payable by Tenant
      hereunder or during the last Lease Year, Landlord will refund such excess to
      Tenant within a reasonable period of time following the expiration of the term
      of this Lease, provided Tenant is not then in default of any of its obligations
      under this Lease.

    

    The
      term
“insurance costs” shall mean and include the cost to Landlord of insurance
      obtained by Landlord in connection with the Shopping Center, including, without
      limitation, any liability insurance or extended coverage; personal injury;
      death
      and property damage; fire; theft or other casualty insurance; Workmen’s
      Compensation Insurance; fidelity bonds for personnel and insurance against
      liability for defamation and false arrest occurring in or about the Common
      Area.

    

    Tenant
      further agrees to pay on demand from Landlord the full amount of any increase
      in
      premiums on insurance carried by Landlord to the extent that such increase
      is
      connected to Tenant’s use of the Premises and/or the Shopping
      Center.

    

    
      	 	
              e.

            	
              Trash.

            

    

    In
      the
      even Landlord provides trash collection service, an amount equal to Tenant’s
      proportionate share of the cost of trash collection. The trash cost for the
      first Lease Year or for any partial Lease Year which precedes the first Lease
      Year shall be an estimated amount which is specified as Trash on the schedule
      annexed hereto and entitled Fundamental Lease Provisions. Tenant’s share of
      trash costs for each succeeding Lease Year or partial Lease Year shall be
      estimated by Landlord at the beginning of each such Lease Year and subsequently
      adjusted in the manner provided in subparagraph (b) of this Paragraph 7 with
      respect to Common Area Maintenance Charge.

    

    
      	 	
              f.

            	
              Utilities
                and Services.

            

    

    From
      and
      after the delivery of the Premises to Tenant by Landlord, Tenant shall pay
      for
      all electricity, gas, heating, lighting, ventilating, air conditioning, water,
      sewer, garbage disposal, custodial services and other utilities and services
      supplied to the Premises. If any such utilities or charges are not separately
      metered or assessed or are only partially separately metered or assessed and
      are
      used in common with other tenants in the Shopping Center, Tenant will pay to
      Landlord its proportionate share of such utility charges.

    

    Landlord
      may install reregistering meters and collect any and all utility charges as
      aforesaid from Tenant, making returns to the proper public utility company
      or
      governmental unit, provided that Tenant shall not be charged more than the
      rates
      it would be charged for the same services if furnished direct to the Premises
      by
      such companies or governmental units. At the option of Landlord, any utility
      or
      related service which Landlord may at any time elect to provide to the Premises
      my be furnished by Landlord or any agent employed, or independent contractor
      selected, by Landlord, and Tenant shall accept the same therefrom to the
      exclusion of all other suppliers so long as the rates charged by the Landlord
      or
      by the supplier of such utility or related service are competitive.

    

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    
      	 	
              g.

            	
              Additional
                Rent.

            

    

    In
      the
      event Tenant shall fail to comply with its covenants (which covenants are
      specifically set forth under Paragraph 12 of this Lease); (1) to use and occupy
      the Premises continuously and uninterruptedly throughout the term of this Lease,
      (2) to be open for business during at lease the minimum hours set forth in
      Paragraph 12 hereof, and (3) to refrain from conducting any auction, fire,
      bankruptcy, selling out or going out of business sale on or about the Premises,
      then in any of such events, in addition to any remedy Landlord may otherwise
      have pursuant to this Lease, at law or in equity, Tenant shall pay to Landlord
      as liquidated damages the sum of $100.00
      per day
      as additional rent hereunder for Tenant’s breach of such covenants for so long
      as Tenant is in breach of such covenants. Landlord and Tenant agree that actual
      damages to Landlord in the event Tenant does not comply with these covenants
      would be difficult, if not impossible, to ascertain. Landlord’s right to receive
      such additional rent as liquidated damages for Tenant’s breach shall be in
      addition to its other rights and remedies set forth in this Lease, and the
      receipt of additional rent by Landlord hereunder shall not constitute a waiver
      by Landlord of its other right to exercise the rights and remedies set forth
      in
      this Lease. 

    

    The
      fixed
      minimum rent, together with the sums payable pursuant to subparagraphs 7a
      through 7g above shall constitute the “contract rent”, as such term is used in
      N.C.G.S. § 42-34(b).

    

    8.
      Address.

    All
      rentals to be paid under the provisions of Paragraph 7 herein, all other sums
      to
      be paid by Tenant to Landlord and all written communications by Tenant to
      Landlord shall be delivered to Landlord at 3800 Arco Corporate Drive, Suite
      200,
      Charlotte, North Carolina 28273, or to such address as is shown on the schedule
      annexed hereto entitled Fundamental Lease Provisions or to such other person,
      firm or corporation and/or at such other place shall be designated by Landlord
      by written notice to Tenant.

    

    All
      written communications by Landlord to Tenant shall be delivered to the Premises
      unless a different address has been specified in the schedule annexed hereto
      entitled Fundamental Lease Provisions in which case such written communications
      shall be delivered to the address specified.

    

    All
      notices required under this Lease shall be in writing, signed by the party
      giving such notice and transmitted by certified mail, postage prepaid, and
      shall
      be deemed given when deposited in the United States Mail addressed to the Tenant
      or Landlord as set forth above.

    

    
      
        9.
          Repairs.

      

    

    Landlord
      shall be responsible for repairs upon the roof and exterior walls of the
      Premises. Such repairs to be completed within a reasonable period following
      receipt of written notice from Tenant of the need for any such repairs. Tenant
      shall be responsible for the maintenance, repair and replacement of any glass
      and doorways, and any roofing and exterior walls if the necessity therefore
      should be the result of Tenant’s negligence or intentional act(s) or the
      negligence or intentional act(s) of any agent, employee, customer, invitee
      or
      licensee of Tenant, as well as for the maintenance, repair and replacement
      of
      any other portions of the Premises not otherwise expressly required to be
      maintained by Landlord pursuant to the terms hereof. Tenant shall keep the
      interior of the Premises in good repair, maintaining and replacing, when
      necessary, all electrical, plumbing, heating, air conditioning and other
      mechanical installations and shall maintain and repair all doors (exterior
      and
      interior) and all plate glass and window glass, effecting all such repairs
      and
      replacements at its own expense and employing materials and labor of a kind
      and
      quality equal to the original installations. If Tenant fails to replace or
      repair equipment or other installations in or about the Premises as above
      provided, then immediately after advising Tenant in writing as to the necessity
      therefore, Landlord may accomplish the required work and add the cost thereof
      to
      the next due rental installment(s) but Tenant shall not be liable to the
      Landlord for any failure to fulfill obligations of this paragraph until such
      time as the Tenant shall be notified in writing of such failure.

    

    Tenant
      agrees to keep in force during the term of this Lease a standard maintenance
      agreement on all heating and air conditioning equipment and to provide a copy
      of
      such maintenance agreement to Landlord. The agreement shall require a semiannual
      inspection of equipment and Tenant will furnish Landlord with semiannual
      certifications by the inspection company that such equipment is in good repair.
      

    

    Any
      repairs or replacement required to be made to such equipment shall be done
      or
      made only by such persons or corporations as have been approved in advance
      by
      Landlord.

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    10.
      Alterations.

    Tenant
      shall effect no structural or exterior alteration to the Premises without the
      prior written consent of 

    Landlord
      and any alteration or improvement made within the Premises which results in
      any
      damage to the floor, ceiling or walls of the Premises shall be immediately
      repaired by Tenant and in any event at the termination of the Lease. Except
      as
      otherwise provided, all alterations, improvements and additions to the Premises
      shall remain thereon at the termination of the Lease and shall become the
      property of Landlord unless Landlord shall notify Tenant to remove same, in
      which latter event Tenant shall comply to the end that the Premises shall be
      restored to the same condition in which they were found prior to the
      commencement of work resulting in the alterations, improvements and
      additions.

    

    
      
        11.Furniture
          and Fixtures.

      

    

    Tenant
      may install furniture and fixtures within the Premises at Tenant’s sole expense
      and, subject to Paragraph 26 hereof, the same shall remain Tenant’s property if
      Tenant removes such furniture and fixtures prior to the expiration of the Lease.
      If the removal or installation of such furniture and fixtures results in any
      damage to the Premises, Tenant shall repair same to the end that the Premises
      shall be restores to the condition in which they were found immediately prior
      to
      the installation, normal wear and tear expected.

    

    
      
        12.
          Covenants.

      

    

    Tenant
      covenants with and for the benefit of Landlord:

    

    
      	 	
              a.

            	
              To
                comply with all requirements of any State or Federal statute or local
                ordinance or regulation applicable to Tenant or its use of the Premises
                and to save Landlord harmless from penalties, fines, costs, expenses
                or
                damages resulting from failure to do so;

            

    

    
      	 	
              b.

            	
              To
                give Landlord prompt written notice of any accident, fire or damage
                occurring on or to the Premises and the Common
                Area;

            

    

    
      	 	
              c.

            	
              To
                load and unload goods only at such times, in such areas and through
                such
                entrances as may be designated for such purposes by Landlord and
                to
                prohibit all trucks and trailers which have entered onto the Shopping
                Center property on account of Tenant’s conduct of business from remaining
                overnight in any portion of the Shopping
                Center;

            

    

    
      	 	
              d.

            	
              To
                make such arrangement as Landlord may reasonably require from time
                to time
                for the storage and disposal of all garbage and
                refuse;

            

    

    
      	 	
              e.

            	
              To
                keep the Premises sufficiently heated to prevent freezing of water
                in
                pipes and fixtures;

            

    

    
      	 	
              f.

            	
              To
                keep the outside areas immediately adjoining the Premises clean and
                free
                from ice and snow, and not to burn, place or permit any rubbish,
                obstructions or merchandise in such
                areas;

            

    

    
      	 	
              g.

            	
              To
                keep the Premises clean, orderly, sanitary and fee form objectionable
                odors and from insects, vermin and other
                pests;

            

    

    
      	 	
              h.

            	
              To
                park Tenant’s vehicles and to require Tenant’s directors, officers,
                employees, agents, contractors, sub-tenants, licensees and concessionaires
                to park their vehicles only in those portions of the parking area
                or at
                such other as are designated for that purpose by Landlord. Tenant
                agrees
                to pay to Landlord a daily rate to be established by Landlord (not
                to
                exceed $10.00 per vehicle per day) for any such vehicle parked in
                any part
                of the Shopping Center other than the designated area and from time
                to
                time upon written notice from Landlord, to promptly furnish Landlord
                with
                the State automobile license numbers assigned to the hereinabove
                designated vehicles;

            

    

    
      	 	
              i.

            	
              To
                keep its display windows, including window and shadow boxes in the
                Premises, dressed and illuminated and its exterior and interior signs
                and
                lights continuously well lighted every day of the Lease Term from
                10:00a.m. to 10:00p.m. or as Landlord may reasonably
                require;

            

    

    
      	 	
              j.

            	
              To
                use and occupy the Premises continuously and uninterruptedly from
                and
                after its initial opening for business (which shall occur not later
                than
                the Beginning Date, subject to delays in opening for business caused
                by
                force majeure matters) and throughout the term of this Lease and
                to be
                open for business during such reasonable business hours as Landlord
                may
                prescribe from time to time, but at least from 10:00a.m. to 6:00p.m.
                five
                days per week (Monday through Friday) and 10:00a.m. to 5:00p.m. on
                Saturday, except when prevented from so doing by casualty, strike,
                Act of
                God or other causes beyond Tenant’s control, subject to the agreement that
                Tenant shall be required to remain open only on such days and during
                such
                hours as the majority of the remaining tenants in the Shopping Center
                are
                open;

            

    

    
      	 	
              k.

            	
              To
                conduct its business in the Premises under Tenant’s Trade Name and in all
                respects in a diligent and dignified manner, to refrain from using
                any
                sales promotion device or practice that would tend to mislead or
                deceive
                the public or, directly or indirectly detract from or impair the
                reputation or dignity of the Shopping Center, to refrain from installing
                or permitting the installation of video or other electronic games
                and keep
                the Premises in first class condition in accordance with the highest
                standards of operation of similar businesses, maintaining at all
                times
                during the term of this Lease a full staff of well trained and high
                grade
                personnel and a full and complete stock of seasonable merchandise
                so as to
                attain the highest possible sales
                volume;

            

    

    
    

     

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    
      	 	
              l.

            	
              To
                comply with any reasonable rules and regulations of Landlord in connection
                with the Premises, the building of which the Premises are a part
                or the
                Shopping Center, which are in effect at the time of the execution
                of this
                Lease as set forth in this Lease or which may be from time to time
                promulgated by Landlord in its sold discretion (collectively, the
“Rules
                and Regulations”);

            

    

    
      	 	
              m.

            	
              To
                install such fire extinguishers and other safety equipment as Landlord
                may
                require and to comply with the recommendations of Landlord’s insurance
                carriers and their rate making
                bodies;

            

    

    
      	 	
              n.

            	
              To
                pay promptly to Landlord all minimum and additional rentals and all
                other
                charges due to Landlord pursuant to the terms of this Lease before
                the
                same shall become delinquent;

            

    

    
      	 	
              o.

            	
              To
                paint and keep the Premises, including the store front, in good condition
                and repair and to deliver the Premises to Landlord at the end of
                the term
                of this Lease in as good condition as they were when received by
                Tenant,
                excepting only normal wear and tear and repairs required to be made
                by
                Landlord;

            

    

    
      	 	
              p.

            	
              To
                operate a business in the Premises only for the Permitted Uses shown
                on
                the schedule annexed hereto entitled Fundamental Lease
                Provisions;

            

    

    
      	 	
              q.

            	
              To
                contract for termite and pest extermination services for the Premises
                which shall be rendered no less frequently than semi-annually and
                to
                deliver to Landlord a certificate evidencing such
                services;

            

    

    
      	 	
              r.

            	
              To
                participate in any reasonable window cleaning program that may be
                established by Landlord for stores in the Shopping
                Center;

            

    

    
      	 	
              s.

            	
              To
                spend at lease two percent (2%) of its annual Gross Receipts in
                advertising, either by newspaper, radio, television or other media
                approved by Landlord;

            

    

    
      	 	
              t.

            	
              Tenant’s
                heating or air conditioning facilities shall be operated during all
                hours
                that Tenant is open for business, including but not limited to the
                minimum
                hours referred to above, and at such times as Tenant is using the
                Premises
                for inventory or other non-business purposes; and
                

            

    

    
      	 	
              u.

            	
              To
                refrain from doing each and every one of the
                following:

            

    

    
      	 	
              1.

            	
              Using
                the Premises in any manner which, in Landlord’s opinion, is or may be
                harmful to the buildings or disturbing to other tenants in the Shopping
                Center;

            

    

    
      	 	
              2.

            	
              Installing
                or permitting the installation of video or other electronic
                games;

            

    

    
      	 	
              3.

            	
              Pasting
                or otherwise affixing and merchandise or any advertising material
                closer
                than twelve inches (12”) to the interior side of any such display window
                or door;

            

    

    
      	 	
              4.

            	
              Placing
                any machines, equipment or materials of any kind outside of the confines
                of the Premises;

            

    

    
      	 	
              5.

            	
              Permitting,
                allowing or causing to be used in or about the Premises or other
                portions
                of the Shopping Center any phonographs, radios, public address systems,
                sound production or reproduction devices, mechanical or moving display
                devices, motion picture or television devices, excessively bright
                lights,
                changing, flashing, flickering or moving lights or lighting devices
                or any
                similar advertising media or devices, the effect of which shall be
                visible
                or audible from the exterior of the
                Premises;

            

    

    
      	 	
              6.

            	
              Causing
                or permitting any noxious, disturbing or offensive odors, fumes or
                gases,
                or any smoke, dust, steam or vapors, or any loud or disturbing noise
                or
                vibrations to originate in or be emitted from the
                Premises;

            

    

    
      	 	
              7.

            	
              Permitting
                any act to be performed or any practice to be adopted or followed
                in or
                about the Premises which, in Landlord’s opinion, may detract from or
                impair the reputation of the Shopping
                Center;

            

    

    
      	 	
              8.

            	
              Causing
                or suffering to be done, any act, matter or thing objectionable to
                insurance companies whereby any property insurance or any other insurance
                now in force or hereafter to be placed on the Shopping Center or
                on any
                part thereof may become void or be suspended, or whereby the insurance
                premiums payable by Landlord, or by any tenant of Landlord, may be
                increased;

            

    

    
      	 	
              9.

            	
              Conducting
                any auction, fire, bankruptcy, selling out or going out of business
                sale
                on or about the Premises;

            

    

    
      	 	
              10.

            	
              Attaching
                any awning, antenna or other projection to the roof or the outside
                walls
                of the Premises or the building of which the Premises are a
                part;

            

    

    
      	 	
              11.

            	
              Committing
                or suffering to be committed by any person any waste upon the Premises
                or
                any nuisance or other act or thing which may disturb the quiet enjoyment
                of any other tenant in the Shopping Center, or which may disturb
                the quiet
                enjoyment of any person within five hundred feet of the boundaries
                of the
                Shopping Center;

            

    

    
      	 	
              12.

            	
              Soliciting
                business for itself, or permitting its licensees, concessionaires
                or
                subtenants to solicit business in the parking areas or other Common
                Areas
                or distributing handbills or other advertising matter in or on automobiles
                parked in a parking area or in other Common Areas; or
                

            

    

    
      	 	
              13.

            	
              Vacating
                or abandoning the Premises or allowing the same to appear to be vacated
                or
                abandoned.

            

    

    

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    13.
      Hazardous
      Waste.

    a.
      In
      General. Tenant shall not use, generate, manufacture, produce, store, transport,
      treat, dispose of or permit the escape or release on, under, about or from
      the
      Premises, or any part thereof, of any Hazardous Materials. As used herein,
      “Hazardous Materials” means any chemical, compound, material, substance or other
      matter that: (a) is defined as a hazardous substance, hazardous material or
      waste, or toxic substance under any Hazardous Materials Law, (b) is regulated,
      controlled or governed by any Hazardous Materials Law or other applicable law,
      (c) is petroleum or a petroleum product, or (d) is asbestos, formaldehyde,
      a
      radioactive material, drug, bacteria, virus, or other injurious or potentially
      injurious material (by itself or in combination with other materials). As used
      herein, “Hazardous Materials Law” means any and all federal, state or local
      laws, ordinances, rules, decrees, orders, regulations or court decisions
      relating to hazardous substances, hazardous materials, hazardous waste, toxic
      substances, environmental conditions on, under or about the Premises, or soil
      and ground water conditions, including, but not limited to, the Comprehensive
      Environmental Response, Compensation and Liability Act of 1980, the Resource
      Conservation and Recovery Act, the Hazardous Materials Transportation Act,
      any
      other law or legal requirement concerning hazardous or toxic substances, and
      any
      amendments to the foregoing. If Tenant’s Permitted Use requires the use and/or
      storage of any Hazardous Materials on, under or about the Premises, Tenant
      shall
      provide written notice to Landlord, prior to final execution of this Lease,
      of
      the identity of such materials and Tenant’s proposed plan for the use, storage
      and disposal thereof; such use, storage and disposal shall be subject to
      Landlord’s approval, in Landlord’s sole and absolute discretion. If Landlord
      approves such proposed use, storage and disposal of specific Hazardous
      Materials, Tenant may use and store upon the Premises only such specifically
      approved materials and shall comply with any conditions to such approval as
      Landlord may impose in its sole and absolute discretion. Tenant shall fully
      and
      promptly comply with all Hazardous Materials Laws at all times during the Lease
      Term, and at the expiration or earlier termination of the Lease Term, Tenant
      shall remove and dispose of all Hazardous Materials affecting the Premises
      resulting from the use or occupancy thereof by Tenant or its agents, employees,
      suppliers, contractors, subtenants, successors and assigns. Notwithstanding
      the
      foregoing, Landlord consents to Tenant’s above-ground use, storage, transport
      and off-site disposal of products containing small quantities of Hazardous
      Materials (e.g. cleaning solutions and materials), provided Tenant shall handle,
      use, store, transport and dispose of such Hazardous Materials in a safe and
      lawful manner and in accordance with all applicable manufacturer’s
      recommendations and shall not allow such Hazardous Materials to contaminate
      the
      Premises.

    

    b.
      Indemnity. Tenant indemnify, protect, defend and hold Landlord (and its
      partners, joint venturers, shareholders, affiliates and property managers,
      and
      their respective officers, directors, employees and agents) and Landlord’s
      mortgagee(s) harmless from and against any claim, demand, investigation,
      proceeding, action, suit, judgment, award, fine, lien, loss, damage, expense,
      charge or cost of any kind or character and liability (including reasonable
      attorneys’ fees and court costs arising out of, in connection with, or directly
      or indirectly arising out of the use, generation, manufacture, production,
      storage, treatment, release, disposal or transportation of Hazardous Materials
      by Tenant, or any successor, assignee or sublessee of Tenant, or their
      respective agents, contractors, employees, licensees, or invitees, on, under,
      about or from the Premises, including, but not limited to, all foreseeable
      and
      unforeseeable costs, expenses and liabilities related to any testing, repair,
      cleanup, removal costs, detoxification or decontamination and the preparation
      and implementation of any closure, remedial action, site assessment costs or
      other required plans in connection therewith deemed required, necessary or
      advisable by Landlord or any governmental authority, and any foreseeable or
      unforeseeable consequential damages. Any defense of Landlord pursuant to the
      foregoing indemnity shall be by counsel reasonably acceptable to Landlord.
      Neither the consent by Landlord to the use, generation, storage, release,
      disposal or transportation of Hazardous Materials nor Tenant’s strict compliance
      with all Hazardous Materials Laws shall excuse Tenant from Tenant’s
      indemnification obligations hereunder. The foregoing indemnity shall be in
      addition to and not a limitation of the other indemnification provisions of
      this
      Lease. Tenant’s obligations under this Paragraph 13 shall survive the
      termination or expiration of this Lease.

    c.
      Reporting. Tenant shall notify Landlord in writing immediately after any of
      the
      following (i) Tenant has knowledge, or has reasonable cause to believe, that
      any
      Hazardous Materials have been released, discharged or located on, under or
      about
      the Premises, whether or not the same is in quantities that would otherwise
      be
      reportable to a public agency, (ii) Tenant receives any warning, notice of
      inspection, notice of violation or alleged violation, or Tenant receives notice
      or knowledge of any proceeding, investigation, order or enforcement action,
      under any Hazardous Materials Law concerning the Premises, (iii) Tenant becomes
      aware of any claims made or threatened by any third party concerning the
      Premises respecting Hazardous Materials.

    

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    14. Tenant’s
      Signs and Advertising.

    Tenant,
      at its expense, shall furnish and install, prior to the opening of its business,
      and maintain at an appropriate location on the exterior of the Premises, an
      identification sign of such design, content, form and material as it may select
      for the purpose of designating its business. Such sign shall be approved by
      Landlord in writing prior to installation and shall comply with the Sign
      Criteria set out Exhibit “C” which is attached hereto and incorporated herein.
      In the event Tenant requests any change to its sign which requires Landlord’s
      review and approval of sign drawings, Tenant shall pay Landlord’s actual legal
      fees, if any, and an administrative fee of $500.00, for review and approval
      of
      such document.

    

    Tenant
      shall not install any temporary sign(s) upon or about the interior or exterior
      of the Premises at anytime prior to or after the opening of its business without
      the prior written consent of Landlord. Violation of this provision shall
      constitute a default under this Lease, and furthermore shall obligate Tenant
      to
      pay daily to Landlord as liquidated damages ONE HUNDRED DOLLARS ($100.00) for
      each day any temporary sign not prior approved in writing by Landlord remains
      installed in, upon or about the interior or exterior of the Premises. Landlord
      and Tenant agree that actual damages to Landlord in the event Tenant does not
      install a sign on the Premises would be difficult, if not impossible, to
      ascertain. Landlord’s right to receive such additional rent as liquidated
      damages for Tenant’s breach shall be in addition to its rights and remedies set
      forth in this Lease, and the receipt of additional rent by Landlord hereunder
      shall not constitute a waiver by Landlord of its right to exercise the rights
      and remedies set forth in this Lease.

    

    Tenant
      further agrees that its failure to have its exterior identification sign (and
      if
      applicable, its under-canopy sign), as required under this Lease and in
      accordance with the Sign Criteria (Exhibit “C”) of this Lease, installed prior
      to the opening of its business shall: 

     

    
      	 	(i) 	constitute a default under this
              Lease; 

      	 	
              (ii)

            	
              prohibit
                Tenant from operating its business on the Premises until said sign(s)
                is
                installed, or in the event Tenant has opened its business then Tenant
                shall be required to close its business until said sign(s) is installed,
                which in any event shall not release Tenant from its covenant to
                pay rent
                or otherwise relieve Tenant from any monetary obligation under its
                Lease;
                and

            

    

    
      	 	
              (iii)

            	
              require
                Tenant to pay daily to Landlord as liquidated damages ONE HUNDRED
                DOLLARS
                ($100.00) for each day Tenant remains in violation of this provision,
                in
                addition to all other rent and any other monetary sums due and payable
                by
                Tenant to Landlord under this Lease. Landlord and Tenant agree that
                actual
                damages to Landlord in the event Tenant does not comply with these
                covenants would be difficult, if not impossible, to ascertain. Landlord’s
                right to receive such additional rent as liquidated damages for Tenant’s
                breach shall be in addition to its rights and remedies set forth
                in this
                Lease and the receipt of additional rent by Landlord hereunder shall
                not
                constitute a waiver by Landlord of its right to exercise the rights
                and
                remedies set forth in this Lease. Only with the prior written consent
                of
                Landlord shall Tenant be permitted to open its business on the Premises
                prior to the date Tenant has installed said identification
                sign.

            

    

    

    Tenant
      will advertise a minimum of six times each year in shopping center cooperative
      advertising newspaper sections, tabloids, or mail pieces in an amount of at
      lease twenty newspaper inched per individual advertising program. Such
      advertising may be applied toward the required two percent (2%) required under
      the provisions of Paragraph 12. Tenant agrees to refer to the name and address
      of the Shopping Center in designating the location of the Premises in all
      newspaper and other advertising, stationery, other printed material and all
      other references to location of the Premises; to include the address and
      identity of its business activity in the Premises in all of its advertising
      in
      which the address and identity of any other business activity of like character
      conducted by Tenant within the area serviced by the Shopping Center shall be
      mentioned and to use the Tenant’s Trade Name as set forth in this Lease in all
      such advertising.

     

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    
      
        15.
          Landlord’s
          Privileges.

      

    

    In
      addition to the other rights and privileges of Landlord herein or by law
      granted, Landlord shall have the following rights and privileges:

    

    a.
      To go
      upon and inspect the Premises at any reasonable time and at Landlord’s option
      make repairs, alterations and additions thereto or to other portions of the
      Shopping Center, which right, in the event of an emergency, shall include the
      right of Landlord to forcibly enter said Premises without rendering Landlord
      or
      Landlord’s agents or employees liable therefore;

    b.
      To
      install, maintain, use and repair pipes, ducts, conduits, vents and wires
      leading in, through, over or under the Premises;

    c.
      To
      display “For Rent” signs within the Premises at prominent locations at any time
      within the last six (6) months of the term of this Lease;

    d.
      To
      install, place upon or affix to the roof and exterior walls of the Premises
      such
      signs, displays, antennae and other objects or structures as Landlord shall
      deem
      necessary or appropriate for the promotion, operation, expansion, maintenance
      or
      repair of the Shopping Center; and

    e.
      To
      make alterations on or additions to the building in which the Premises are
      located, to build additional stories thereon, and to build adjacent to or
      adjoining the Premises. Landlord reserves the right to construct and improve
      other buildings and add to any existing building or improvement in the Shopping
      Center, and to permit others to do so. Said alterations or additions may
      temporarily restrict or diminish the free flow of traffic in the Shopping Center
      or temporarily create noise or other annoyances which, absent this provision,
      could be construed to interfere with Tenant’s enjoyment of the Premises and to
      the enjoyment of an access to the Premises by Tenant’s subtenants, employees and
      invitees. The exercise by Landlord of any of its rights, whether herein
      enumerated or otherwise, shall never be deemed to be an eviction of Tenant
      (or
      of Tenant’s subtenant) nor a disturbance of the use and possession of said
      Premises by Tenant, Tenant’s subtenants, employees and customers.

    

    16. Damages
      to Premises.

    If
      the
      Premises or the Shopping Center are damaged or destroyed by fire, storm, Act
      of
      God, war, riot, unavoidable accident, public enemy or other casualty to an
      extent greater than twenty percent (20%) of the replacement cost thereof,
      Landlord reserves the right, at Landlord’s sole discretion, of either
      terminating this Lease or restoring the Premises (if and to the extent damaged)
      to the condition in which they were prior to such damage or destruction (not
      to
      include any replacement or other installation of trade fixtures, equipment
      or
      other property of Tenant ). If Landlord should elect to reconstruct the
      Premises, Tenant is to be advised in writing by Landlord within a period of
      forty five (45) days after said damage or destruction that Landlord will as
      soon
      as practicable repair and restore the Premises to the condition above set forth.
      During the time required for repairing and restoring the Premises as aforesaid,
      to the extent that the same are rendered untenantable the fixed minimum rent
      shall abate on a per
      diem
      basis in
      proportion to that portion of the Premises rendered untenantable and the Base
      Receipts amount used in computing percentage rent shall be reduced in like
      manner. If the Premises, or any part thereof, should be damaged by fire, storm,
      war, riot, Act of Gold, unavoidable accident, public enemy or other casualty
      to
      an extent that is less than twenty percent (20%) of the replacement cost,
      Landlord shall, to the extent that the same is covered by insurance repair
      such
      damage and the rent shall not be abated. If by reason of any such event, the
      Premises shall be rendered untenantable in part, Landlord shall speedily and
      as
      soon as practicable after such destruction repair and restore the Premises
      to
      the condition in which they were prior to such damage or destruction (not to
      include any replacement or other installation of trade fixtures, equipment
      or
      other property of Tenant).

    

    Notwithstanding
      the above, if the Premises are damaged or destroyed by a casualty not covered
      by
      Landlord’s insurance, or if such damage to the Premises is suffered during the
      last two year of the then current term of this Lease and the damage is
      sufficiently extensive to result in the entire suspension of Tenant’s business,
      however temporary, or if the proceeds of any insurance are not made available
      to
      Landlord by its lender, then Landlord at its option may elect not to repair
      the
      Premises and upon so notifying Tenant in writing this Lease shall terminate
      as
      of the date on which the damage occurred.

    

    17. Eminent
      Domain

    If
      more
      than twenty percent (20%) of the floor area of the Premises is taken for any
      public or quasi-public use under any governmental law, ordinance or regulation
      or by right of eminent domain or by private purchase in lieu thereof, then
      either party hereto shall have the right to terminate this Lease effective
      on
      the date physical possession is taken by the condemning authority.

    

    If
      less
      than twenty percent (20%) of the floor area of the Premises is taken for any
      public or quasi-public use in said manner, this Lease shall not terminate.
      However, in the event any portion of the Premises is taken and the Lease not
      terminated, the fixed minimum rent specified herein shall be reduced during
      the
      unexpired term of this Lease in proportion to the area of the Premises so taken
      and the Base Receipts amounts used in computing percentage rent shall also
      be
      reduced in the same proportion. Any such reduction shall be effective on the
      date physical possession is taken by the condemning authority.

    

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    If
      any
      portion of the Common Area of the Shopping Center is taken for any public or
      quasi-public use under any governmental law, ordinance or regulation, or by
      right of eminent domain, or by private purchase in lieu thereof, this Lease
      shall continue in full force and effect, without reduction in rentals or other
      changes in the terms of this Lease unless the area so taken shall exceed
      twenty-five percent (25%) of the total number of square feet in the Common
      Area
      of the Shopping Center, in which event either party may terminate this
      Lease.

    

    Any
      election to terminate this Lease following condemnation shall be evidenced
      by
      written notice of termination delivered to the other party not later than
      fifteen (15) days after the date on which physical possession is taken by the
      condemning authority and shall be deemed effective as of the date of said
      taking. If, however, the lease is not terminated following a partial
      condemnation, Landlord shall promptly make all necessary repairs or alterations
      to the Premises and/or Shopping Center which are necessary to restore the
      Premises and/or Shopping Center to an architectural whole.

    

    All
      compensation awarded for any taking (or the proceeds of private sale in lieu
      thereof) whether for the whole or a part of the Premises, shall be the property
      of the Landlord, whether such award is compensation for damages to Landlord’s or
      Tenant’s interest in the Premises, and Tenant hereby assigns all of its interest
      in any such award to Landlord; provided, Landlord shall have no interest in
      any
      award made to Tenant for loss of business or for the taking of Tenant’s fixtures
      and other property within the Premises if a separate award for such items is
      made to Tenant and such award does not reduce the award made to
      Landlord.

    

    18. Default.

    a. 
      If one
      or more of the following events (herein called “Events
      of Default”)
      shall
      occur: (i) if Tenant shall fail to pay any rent or any other charge or sum
      to be
      paid by Tenant to Landlord when due in accordance with the terms of this Lease
      and such default shall continue for a period five (5) days; or (ii) if Tenant
      shall fail to keep or perform or abide by any other requirement, term,
      condition, covenant or agreement of this Lease or of the Rules and Regulations
      now in effect or hereafter adopted or of any notice given Tenant by Landlord
      pursuant to the terms of this Lease and such default shall continue for a period
      of ten (10) days after notice to Tenant of such default; or (iii) if Tenant
      (or,
      if Tenant is a partnership, if any partner in Tenant) or any guarantor of this
      Lease shall file a petition in bankruptcy or take or consent to any other action
      seeking any such judicial decree, or shall file any debtor proceedings or a
      petition for an arrangement or for corporate reorganization, or shall make
      any
      assignment for the benefit of its creditors or shall admit in writing its
      inability to pay its debts generally as they become due, or if any court of
      competent jurisdiction shall enter a decree or order adjudicating it bankrupt
      or
      insolvent, or if any trustee or receiver for Tenant or for any substantial
      parrot of its property shall be appointed, of if any person shall file a
      petition for involuntary bankruptcy against Tenant and such appointment or
      petition shall not be stayed or vacated within a reasonable period of time
      or
      entry thereof (not to exceed 90 days) , or if Tenant’s interest hereunder shall
      pass to another by operation of law in any other manner; or (iv) if Tenant’s
      interest in this Lease or the Premises shall be subjected to any attachment,
      levy or sale pursuant to any order or decree entered against Tenant in any
      legal
      proceeding and such order or decree shall not be vacated within fifteen (15)
      days of entry thereof; or (v) if any audit conducted by or for Landlord under
      Paragraph 7(a) of this Lease shall disclose Gross Receipts to be understated
      by
      more than two percent (2%) of the amount theretofore reported by Tenant to
      Landlord for any period of three (3) consecutive months or should such
      understatement occur more than once during the term of this Lease; or (vi)
      if
      Tenant shall vacate or abandon the Premises or shall fail to strictly comply
      with its agreement in Paragraph 12 above to maintain minimum business hours;
      then and in any such event Landlord without declaring a termination of this
      Lease (which right is, however, unconditionally and absolutely reserved) may
      at
      its election exercise any one or more or all of the following remedies in
      addition to any other remedies available to Landlord at law, in equity or
      pursuant to the terms of this Lease. To the extent permitted by applicable
      state
      law, the time periods provided in this Paragraph 18 for cure of Tenant’s
      defaults under this Lease shall be in lieu of, and not in addition to, any
      similar time periods prescribed by applicable state law as a condition precedent
      to the commencement of legal action against Tenant for possession of the
      Premises. Any notice given pursuant to this Paragraph 18 is in lieu of any
      written notice required by statute or law, and Tenant waives (to the fullest
      extent permitted by law) the giving of any notice other than that provided
      for
      in this Paragraph 18.

    

    
      
         

      

      
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    b.
      Upon
      the occurrence of an Event of Default, the Landlord shall have the right and
      remedies allowed at law, in equity, or by statute. Without limiting the
      generality of the foregoing, Landlord, upon the occurrence of an Event of
      Default, shall have the immediate right, after any applicable grace period
      expressed herein, to terminate and cancel this Lease and/or to reenter and
      remove all persons and properties from the Premises and dispose of such property
      as it deems fit, all without being guilty of trespass or being liable for any
      damages caused thereby. If Landlord reenters the Premises, it may either
      terminate this Lease or, from time to time without terminating this Lease,
      make
      such alterations and repairs as may be necessary or appropriate to relet the
      Premises and relet the Premises upon such terms and conditions as Landlord
      deems
      advisable without any responsibility whatsoever to account to Tenant for any
      surplus rents collected. No retaking of possession of the Premises by Landlord
      shall be deemed as an election to terminate this Lease unless a written notice
      of such intention is given by Landlord to Tenant at the time of reentry; but,
      notwithstanding any such reentry or reletting without termination, Landlord
      may
      at any time thereafter elect to terminate for such previous default. In the
      event of an elected termination by Landlord, whether before or after reentry,
      Landlord may recover from Tenant damages, including the costs of recovering
      the
      Premises, and Tenant shall remain liable to Landlord for the total rental (which
      may at Landlord’s election be accelerated to be due and payable in full as of
      the Event of Default and recoverable as damages in a lump sum) as would have
      been payable by Tenant hereunder for the remainder of the term less the rentals
      actually received from any reletting or, at Landlord’s election, less the
      reasonable rental value of the Premises for the remainder of the term. In
      determining the rental which would be payable by Tenant subsequent to default,
      the rental for each year of the unexpired term shall be equal to the rental
      payable by Tenant (including, without limitation, Fixed Minimum Rent, percentage
      rent and all other charges payable hereunder by Tenant) for the last year prior
      to default. If any rent owing under this Lease is collected by or through an
      attorney, Tenant agrees to pay Landlord’s reasonable attorneys’ fees to the
      extent allowed by applicable law.

    

    19. Landlord’s
      Performance For Account of Tenant.

    If
      Tenant
      shall continue in default in the performance of any of the covenants or
      agreements herein contained after the expiration of the time limit hereinabove
      set forth for the curing of said default(s), then Landlord may cure said
      default(s) on behalf of Tenant. Any amount paid or expense or liability incurred
      by Landlord in the performance of any such matter for the account of Tenant
      shall be deemed to be additional rent and the same together with interest
      thereon at the rate of the lesser of the maximum interest rate allowed by law
      or
      eighteen percent (18%) per annum from the date upon which any such expense
      shall
      have been incurred may be added, at the option of Landlord, to any rent then
      due
      or thereafter falling due hereunder. Nothing contained herein shall be construed
      to prevent Landlord from immediately collecting from Tenant by suit or
      otherwise, any such sums with interest.

    

    20. Insurance-Indemnity.

    During
      the term of this Lease, Tenant, its assignees and sublessees shall protect,
      defend, indemnify and save Landlord harmless from any and all claims, penalties,
      or demands, including court costs and attorneys’ fees, whatsoever arising,
      directly or indirectly, out of or from Tenant’s use or occupancy of the
      Premises.

    

    Tenant
      shall keep in force, upon delivery of the Premises by Landlord and during the
      full term of this Lease or any renewal or extension thereof, workmen’s
      compensation insurance, commercial general liability insurance (occurrence
      coverage) and special risk property insurance, all issued by a nationally
      recognized insurance company licensed to do business in South Carolina and
      having a rating of “A” or better in the most current available Best’s Insurance
      Reports, with such limits as may be reasonably requested by Landlord from time
      to time, but with minimum commercial general liability limits not less than
      $1,000,000.00 single limit coverage and $2,000,000.00 combined coverage (with
      broad form contractual liability coverage) and, for property damage, not less
      than the greater of $100,000.00 or the full replacement cost of all property
      of
      Tenant within or about the Premises (and any policy proceeds shall be used
      for
      the repair or replacement of any property of Tenant damaged or destroyed).
      Said
      liability policy shall name Landlord and Landlord’s mortgagee(s) as additional
      insureds, shall provide that it shall not be canceled, allowed to lapse, reduced
      or changed for any reason unless and until Landlord is given fifteen (15) days
      notice in writing by the insurance company and shall insure Tenant’s performance
      of the indemnity provisions of this Lease (but the amount of such insurance
      shall not limit Tenant’s liability nor relieve Tenant of any obligation
      hereunder). Said insurance policies or other evidence of coverage satisfactory
      to Landlord shall be deposited with Landlord upon occupancy of Premises by
      Tenant and from time to time upon the request of Landlord during the term
      hereof. All liability, property damage or other casualty insurance policies
      shall be written as primary policies, not contributory with or secondary to
      coverage that Landlord may carry.

    

    Landlord
      (for itself and its insurer) waives any rights, including rights and
      subrogation, and Tenant (for itself and its insurer) waives any rights,
      including rights of subrogation, each may have against the other for
      compensation of any loss or damage occasioned to Landlord or Tenant arising
      from
      any risk generally coverable by a standard all-risk policy of insurance or
      which
      is actually covered by the property insurance carried by Landlord or Tenant
      as
      applicable. The foregoing waivers of subrogation shall be operative only so
      long
      as available in the State of South Carolina. The foregoing waivers shall be
      effective whether or not the parties maintain the insurance required to be
      carried pursuant to this Lease.

    

    
      
         

      

      
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    21. Personal
      Property.

    Tenant
      agrees that all personal property in said Premises shall be and remain at
      Tenant’s sold risk, and Landlord shall not be liable for any damage to, or loss
      of such personal property arising from any acts of negligence of any persons
      other than Landlord’s employees or from fire, or from the leaking of the roof,
      or from the bursting, leaking, or overflowing of water, sewer, or steam pipes,
      or from malfunctions of the heating, plumbing, or electrical systems, or from
      any other cause whatsoever. Tenant expressly agrees to indemnify and save
      Landlord harmless in all such cases.

    

    22. Competing
      Business.

    Tenant,
      its principals, affiliates, subsidiaries, officers and owners, agree and
      covenant that it shall not, directly or indirectly, during the term of this
      Lease or any renewals or extensions thereof, own, operate, manage or have any
      interest in the profits of any similar business establishment that Tenant
      operates in the Shopping Center within a radius of three (3) miles from the
      outer perimeter of the Shopping Center.

    

    23. Marketing
      Fund.

    a. Landlord
      may establish a Marketing Fund to provide and maintain a professional
      advertising and sales promotions and activities for the benefit of the Shopping
      Center (the “Marketing Fund”). In connection with said fund, Landlord agrees to
      provide promotional and sufficient secretarial services and pay the salaries
      and
      expenses for all personnel and to pay for such rental, utilities, supplies,
      telephone and all equipment and space necessary for providing the services
      of
      such Marketing Fund. Tenant agrees to pay to Landlord the greater of the amount
      set forth in the Fundamental Lease Provisions or a minimum annual fee of fifty
      cents ($.50) per square foot of Gross Leasable Area of the Premises. If the
      first Lease Year is less than twelve (12) months, Tenant’s payment hereunder
      shall be decreased on a per diem basis. Tenant agrees that at the tend of every
      Lease Year during the term hereof, the per square foot Marketing Fund fee set
      forth above or in the Fundamental Lease Provisions shall be increased in
      proportion to the increase in the cost of living between the Beginning Date
      under this Lease and the ending date of such Lease Year. The cost of living
      on
      each such date shall be measured by the Consumer Price Index for All Urban
      Consumers specified for all items, U.S. City Average (1982-84=100) published
      on
      the date nearest to each such date by the Bureau of Labor Statistics of the
      United States Department of Labor; or, if such Index is not then in use, by
      the
      most nearly comparable thereto.

    b. At
      such
      time or times as Landlord shall not elect to provide the Marketing Fund service
      hereinabove set forth in Subparagraph (a) hereof, Landlord may cause to be
      established a Merchants Association for the tenants of the Shopping Center,
      and
      Tenant agrees to become and remain a member of such Merchants Association for
      the entire team of this Lease and any renewal or extension thererof. Tenant
      agrees to pay as dues to said Merchants Association the amounts hereinabove
      set
      forth in Subparagraph (a) hereof as if Landlord had established the Marketing
      Fund therein referred to.

    c. In
      addition to the foregoing, Tenant agrees to advertise in any and all special
      Marketing Fund newspaper sections or other advertisements and agrees to
      cooperated in the Marketing Fund center wide sales and advertisements, except
      that Tenant shall not be required to participate in or contribute to more than
      six (6) Shopping Center-wide advertisements of more than one-eighth
      (1/8th)
      of an
      eight (8) column wide by twenty-one inch (21”) deep page or equivalent each in
      any calendar year.

    d. The
      payments required to be made pursuant to this Paragraph 23 shall be paid by
      Tenant in monthly installments in advance on the first day of each month and
      shall be treated as additional rent.

    e. Except
      for increases referred to in subparagraph (a) above, Landlord may increase
      the
      Marketing Fund fee only upon written notice to and with written approval of
      fifty percent (50%) of all tenants of the Shopping Center.

    

    24. Application
      of Payments Received From Tenants.

    Landlord,
      acting in its sole discretion, shall have the right to apply any payments made
      by Tenant to the satisfaction of any debt or obligations of Tenant to Landlord
      regardless of the instructions of Tenant as to application of any sum whether
      such instructions be endorsed upon Tenant’s check or otherwise, unless otherwise
      agreed upon by both parties in writing. The acceptance by Landlord of a check
      or
      checks drawn by others than Tenant shall in no way affect Tenant’s liability
      hereunder nor shall it be deemed an approval of any assignment of this Lease
      by
      Tenant.

    

    
      
         

      

      
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    25.
      Assignment
      or Subletting.

    Tenant
      shall not assign, mortgage, or encumber this Lease nor sublet or permit the
      Premises or any part thereof to be used by others, without the prior written
      consent of Landlord and payment by Tenant to Landlord of its actual legal fees,
      if any, and $500.00 for Landlord’s documentation fee. If this Lease is assigned
      by Tenant or if the Tenant sublets the Premises for rent in excess of the rent
      payable hereunder, Tenant shall pay any such excess in the event of a sublet
      (or
      any consideration received in the event of assignment) to Landlord as additional
      rental. If this Lease is assigned or if the Premises or any part thereof is
      sublet, or occupied other than by Tenant, Landlord, in the event of default
      by
      Tenant, may collect rent directly from the assignee, subtenant, or occupant
      and
      apply the amount collected to the rent due from Tenant. Such action by Landlord
      shall not constitute a waiver of this provision nor a release of Tenant from
      any
      obligation under this Lease. The consent of Landlord to an assignment or
      subletting shall not be construed to relieve Tenant from obtaining the written
      consent of Landlord to any further assignment or subletting and shall not
      relieve Tenant from liability hereunder. Any assignment or subletting under
      this
      Lease automatically cancels any options to extend the term of this Lease which
      may have been granted hereunder.

    

    
      
        26.
          Lien
          on Fixtures.

      

    

    During
      the term of this Lease or any renewals or extensions thereof, Landlord shall
      have an express lien (in addition to statutory liens) for the payment of rent
      and to secure full and complete performance of all the terms and conditions
      hereof upon all the trade fixtures, goods, stock in trade, and personal property
      of Tenant which shall have been or thereafter may be placed upon the Premises.
      Tenant agrees upon request of Landlord to execute and deliver from time to
      time
      all documents necessary to perfect said lien.

    

    
      
        27.
          Mechanics
          Liens.

      

    

    a. General.
      Tenant shall pay or cause to be paid all costs of labor, services and/or
      materials supplied in the prosecution of any work done in the Premises by or
      on
      behalf of Tenant or persons claiming under Tenant, and Tenant shall keep the
      Premises free and clear of all mechanics’ liens and other liens arising out of
      any work done for Tenant or persons claiming under Tenant. Tenant shall promptly
      notify Landlord of any claim or lien filed against the Premises or the
      commencement of any action affecting the title thereto.

    b. Contest
      of Lien. If Tenant desires to contest the claim of any mechanics’ lien, Tenant
      shall (i) either post a release bond issued by a responsible corporate surety
      as
      prescribed by law or furnish Landlord with adequate security for the amount
      of
      the claim plus estimated costs and interest, and (ii) promptly pay or cause
      to
      be paid any and all sums awarded to the claimant on its suit.

    c. Landlord’s
      Right to Cure. If Tenant fails to provide security for or satisfaction of any
      mechanics’ lien, then Landlord, in addition to any other rights or remedies it
      may have under this Lease or at law or in equity, may (but shall not be
      obligated to) discharge said lien by (i) paying the claimant an amount
      sufficient to settle and discharge the claim, (ii) posting a release bond,
      or
      (iii) taking such action as Landlord shall deem appropriate, and Tenant shall
      pay to Landlord on demand (and as additional rent hereunder) all costs incurred
      by Landlord in setting and discharging such lien (including reasonable
      attorneys’ fees and bond premiums).

    d. Notice
      of
      Non-Responsibility. Landlord or its representatives shall have the right to
      go
      upon and inspect the Premises at all reasonable times and shall have the right
      to post and keep posted thereon notices of non-responsibility or such other
      notices that Landlord may deem to be proper for the protection of Landlord’s
      interest or the interest of Landlord’s agents, employees or contractors in the
      Premises. Tenant shall give Landlord at least ten (10) days advance written
      notice of its intention to commence any work that might result in a
      lien.

    

    
      
        28.
          Change
          of Control of Tenant.

      

    

    If
      at any
      time during the term of this Lease any part or all of the corporate shares
      of
      Tenant (if Tenant is a corporation), or the interest of any proprietor of Tenant
      (if Tenant is a proprietorship), or the interest of any member of Tenant (if
      Tenant is a limited liability company), or the interest of any partner of Tenant
      (if Tenant is a partnership) shall be transferred by sale, assignment, bequest,
      inheritance, operation of law or other disposition so as to result in a change
      in the control of Tenant, Tenant shall promptly notify Landlord, in writing,
      of
      such change.

    

    
      
        29.
          Estoppel
          Certificates.

      

    

    At
      any
      time and from time to time upon request from Landlord, Tenant agrees to execute,
      acknowledge and deliver to Landlord within fifteen (15) days after notice by
      Landlord, a statement in writing certifying that this Lease is unmodified and
      in
      full force and effect (or if there have been modifications, that the same is
      in
      full force and effect as modified and stating the modifications), the dates
      to
      which the fixed minimum rent, percentage rent, and other charges payable
      hereunder have been paid, and any other factual data relating to this Lease
      or
      the Premises which Landlord’s lender or lenders may request.

     

    
      
         

      

      
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        30.
          Brokerage.

      

    

    Tenant
      warrants that it has no dealings with any broker or agent in connection with
      this Lease other than Landlord’s broker (American Asset Corporation)
and
      Tenant’s Broker (CBRE Carmody, LLC),
      and
      covenants to pay, hold harmless and indemnify Landlord from and against any
      and
      all cost, expense or liability for any compensation, commissions and charges
      claimed by any other broker or agent with respect to this Lease or the
      negotiation thereof.

    

    
      
        31.
          Force
          Majeure.

      

    

    Not
      withstanding anything in this Lease to the contrary, Landlord shall not be
      deemed in default with respect to the performance of any of the terms,
      covenants, and conditions of this Lease to be performed by it if any failure
      of
      its performance shall be due to any strike, lockout, civil commotion, war,
      warlike operation, invasion, rebellion, hostilities, military or usurped power,
      sabotage, governmental regulations or controls, inability to obtain any material
      or service, Act of God, or any other cause whatever (including failure of Tenant
      to supply necessary data or instructions) beyond the reasonable control of
      Landlord, or inability of Landlord to obtain financing satisfactory to Landlord,
      and the time for performance by Landlord shall be extended by the period of
      delay resulting from or due to any of said causes.

    

    
      
        32.
          Release
          From Liability.

      

    

    Tenant
      agrees not to hold Landlord responsible or liable in damages by abatement of
      rent or otherwise for any damage sustained by Tenant or any other person due
      to
      the state of repair of the building in which the Premises is located or any
      part
      thereof or appurtenance thereto, the happening of any accident (unless resulting
      from affirmative acts of gross negligence on Landlord’s part), damage caused by
      water, snow, windstorm, tornado, gas, steam, electric wiring, plumbing, or
      heating apparatus, any acts or omissions of cotenants or other occupants of
      the
      Shopping Center or losses by theft.

    

    Notwithstanding
      any other provision in this Lease, Tenant hereby releases Landlord from any
      claim with respect to water or other damage sustained by Tenant from the
      sprinkler system, except that, subject to the waiver of subrogation in Paragraph
      20 hereof, Tenant does not hereby waive any claim for such damage resulting
      from
      (a) faulty installation or maintenance of said sprinkler system, or (b) the
      negligence of Landlord or any of Landlord’s servants, agents or
      employees.

    

    
      
        33.
          Security.

      

    

    Landlord
      may, from time to time and to the extent it deems appropriate, determine whether
      to arrange for security services in the Common Areas or manned traffic control
      for special events at the Shopping Center. Notwithstanding any other provision
      of this Lease, Landlord shall not be liable for any loss or damages suffered
      by
      Tenant or anyone else for failure to supply such services or manned traffic
      control. It is agreed that Landlord’s supplying such security services shall not
      relieve Tenant of its duty to maintain security within the
      Premises.

    

    
      
        34.
          Financial
          Information of Tenant.

      

    

    Tenant
      shall at any time and from time to time during the term of this Lease, within
      (15) days of written request by Landlord, deliver to Landlord such financial
      information concerning Tenant and Tenant’s business operations (and the
      Guarantor of this Lease, if the Lease be guaranteed) as may be reasonably
      requested by any mortgagee or prospective mortgagee or purchaser. If Tenant
      fails to provide such information promptly, then, without limiting any other
      remedy by which Landlord may have for such failure, Landlord may thereupon
      terminate this Lease on not less than ten (10) days written notice.

    

    
      
        35.
          Holding
          Over.

      

    

    Tenant
      shall not acquire any right or interest in the Premises by remaining in
      possession after the termination of this Lease. If Tenant continues to occupy
      the Premises after the last day of the term hereof or after the last day of
      any
      renewal or extension of the term hereof, and Landlord elects to accept rent
      thereafter, a monthly tenancy termination at will by either party of not less
      than thirty (30) days written notice shall be created; such monthly tenancy
      which shall be on the same terms and conditions as those herein specified,
      except that Fixed Minimum Rent and other charges payable hereunder will be
      increased to 150% of Fixed Minimum Rent and other charges being paid immediately
      prior to the expiration of the Lease term. The foregoing shall not constitute
      Landlord’s consent for Tenant to holdover. In the event Tenant remains in
      possession of the Premises after the expiration of this Lease without Landlord’s
      consent, Tenant shall also pay to Landlord all damages, direct and
      consequential, sustained by Landlord resulting from retention of possession
      by
      Tenant, including without limitation damages from the loss of any proposed
      subsequent tenant for any portion of the Premises. 

     

    
      
         

      

      
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        36.
          Waiver.

      

    

    It
      is
      understood and agreed that waiver by Landlord of any default or breach of any
      covenant, condition or agreement herein shall not be construed to be a waiver
      of
      that covenant, condition or agreement or of any subsequent breach thereof.
      The
      acceptance of rent by Landlord with knowledge of the breach of any covenant
      of
      this Lease shall not be deemed a waiver of such breach. No delay or omission
      of
      Landlord to exercise any right or power arising from any default on part of
      Tenant shall impair any such right or power, or shall be construed to be a
      waiver of any such default or acquiescence thereto.

    

    
      
        37.
          Warranty.

      

    

    Landlord
      covenants, represents and warrants that it has the full right and authority
      to
      lease the Premises upon the terms and conditions herein set forth and that
      Tenant shall peacefully and quietly hold and enjoy the Premises for the full
      term hereof so long as it does not default in the performance of any of its
      agreements hereunder.

    

    
      
        38.
          Transfer
          of Landlord’s Interest.

      

    

    The
      term
“Landlord” as used in this Lease means only the owner or the mortgagee in
      possession for the time being of the land and building or the owner of the
      lease
      or of the building or of the land and building of which the Premises are a
      part
      so that in the event of any sale or sales of said land and building or of said
      lease, or in the event of a lease of said building, or of the land and building,
      said Landlord shall be and hereby is entirely freed and relieved of all
      covenants and obligations of Landlord hereunder and it shall be deemed and
      construed without further agreement between the parties or their successors
      in
      interest or between the parties and the purchaser at any such sale or the lessee
      of the building or of the land and building, that the purchaser or the lessee
      of
      the building has assumed and agreed to carry out any and all covenants and
      obligations of Landlord hereunder.

    

    Notwithstanding
      anything to the contrary contained in this Lease, it is specifically understood
      and agreed that the liability of the Landlord hereunder shall be limited to
      the
      equity of the Landlord in the Shopping Center in the event of a breach or the
      failure of Landlord to perform any of the terms, covenants, conditions and
      agreements of this Lease to be performed by Landlord. In furtherance of the
      foregoing, the Tenant hereby agrees that any judgment it may obtain against
      Landlord as a result of the breach of this Lease as aforesaid shall be
      enforceable solely against the Landlord’s interest in the Shopping
      Center.

    

    Any
      security given by Tenant to Landlord to secure performance of Tenant’s
      obligations hereunder may be assigned and transferred by Landlord to the
      successor in interest to Landlord; and, upon acknowledgment by such successor
      of
      receipt of such security and its express assumption of the obligation to account
      to Tenant for such security in accordance with the terms of this Lease, Landlord
      shall thereby be discharged of any further obligation relating
      thereto.

    

    Landlord’s
      assignment, sale or transfer of the Lease or of any or all of its rights herein
      shall in no manner affect Tenant’s obligations hereunder. Tenant shall
      thereafter attorn and look to such assignee, as Landlord, provided Tenant has
      first received written notice of such assignment of Landlord’s
      interest.

    

    
      
        39.
          Security
          Deposit.

      

    

    Not
      Applicable.

    

    
      
        40.
          Landlord
          Not Partner.

      

    

    It
      is
      expressly understood and agreed that the Landlord is not a partner, joint
      venturer or associate of Tenant in the conduct of Tenant’s business, that the
      provisions of this Lease with respect to the payment by Tenant of percentage
      rentals are payment of additional rent and not sharing of profit and that the
      relationship between the parties hereby is and shall remain at all times that
      of
      Landlord and Tenant.

    

    No
      provision of this shall be construed to impose upon the parties hereto any
      obligation or restriction not expressly set forth herein.

    

    
      
        41.
          Additional
          Instruments

      

    

    The
      parties agree to execute and deliver any instruments in writing, including
      a
      Memorandum of Lease suitable for recording (which shall be at Tenant’s sole
      cost), necessary to carry out any agreement, term, condition, or assurance
      in
      this Lease whenever occasion shall arise and request for such instrument shall
      be made. This lease shall not be recorded.

    

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

    If,
      following the execution of this Lease, Tenant requests that Landlord execute
      any
      document or instrument that is other than (i) a document or instrument the
      form
      of which is attached hereto as an exhibit, or (ii) a document that solely
      sets
      forth facts or circumstances that are then existing and reasonably ascertainable
      by the requested party with respect to the lease, then Tenant shall be
      responsible for paying the out-of-pocket costs and expenses, including without
      limitation, the attorneys fees, and an administrative fee of $500.00, incurred
      by Landlord in connection with the review (and, if applicable, the negotiations)
      related to such document(s) or instrument(s), regardless of whether such
      document(s) or instrument(s) is (are) ever executed by Landlord. All such costs
      and expenses incurred by Landlord in connection with its review and negotiation
      of any such document(s) or instrument(s) shall be deemed to be additional rental
      due hereunder and shall be payable by Tenant promptly upon demand.

    

    
      
        42.
          Pronouns.

      

    

    All
      pronouns and any variations thereof shall be deemed to refer to the masculine,
      feminine, neuter, singular or plural, as the identity of the person(s), firm(s)
      or corporation(s) may require.

    

    
      
        43.
          Counterparts.

      

    

    This
      Lease may be executed in counterparts all of which taken together shall be
      deemed one original when executed by both parties.

    

    
      
        44.
          Amendment
          and Modifications.

      

    

    This
      Lease embodies the full agreement of the parties and supersedes any and all
      prior understandings or commitments concerning the subject matter of this Lease.
      Any modification or amendment must be in writing and signed by both
      parties.

    

    
      
        45.
          Binding
          Effect.

      

    

    This
      Lease shall be binding upon and inure to the benefit of the parties hereto,
      their assigns, administrators, successors, estates, heirs and legatees
      respectively, except as herein provided to the contrary.

    

    
      
        46.
          Controlling
          Law.

      

    

    This
      Lease and the rights of the Landlord and Tenant hereunder shall be construed
      and
      enforced in accordance with the law of the State in which the premises are
      located.

    

    
      
        47.
          Partial
          Invalidity.

      

    

    In
      the
      event that any part or provision of this Lease shall be determined to be invalid
      or unenforceable, the remaining parts and provisions of said Lease which can
      be
      separated from the invalid, unenforceable provision shall continue in full
      force
      and effect.

    

    
      
        48.
          Captions.

      

    

    The
      index, paragraph and marginal titles, numbers and captions contained in this
      Lease are inserted only as a matter of convenience and for reference, and in
      no
      way define, limit, extend, modify, or describe the scope or intent of this
      Lease
      nor any provision herein.

    

    
      
        49.
          Subordination.

      

    

    This
      Lease is subject and subordinate to any mortgage or deed of trust now or
      hereafter placed on the property of which the Premises is a part; provided,
      however, that at the option of the mortgagee the Lease or portions of the Lease
      can be made superior to the mortgage or deed of trust; provided further that
      unless the entire Lease is made superior to such mortgage or deed of trust,
      the
      holder of said mortgage or the trustee of such deed of trust shall agree that
      this Lease shall not be divested or in any way affected by a foreclosure or
      other default proceedings under said mortgage or deed of trust or the
      obligations secured thereby, so long as Tenant shall not be in default under
      the
      terms of this Lease; and Tenant agrees that this Lease shall remain in full
      force and effect notwithstanding any default proceeding under said mortgage
      or
      deed of trust or obligation secured thereby, including foreclosure. Tenant
      further agrees that it will attorn to the mortgagee, trustee or beneficiary
      of
      such mortgage or deed of trust, and their successors or assigns and to the
      purchaser or assignee at any such foreclosure. Tenant will, upon request by
      Landlord, execute and deliver to Landlord, or to any other person designated
      by
      Landlord, any instruments required to give effect to the provisions of this
      paragraph.

    

    
      
        50.
          Lease
          Rider.

      

    

    Addendum
      A (Common Area Maintenance, Insurance and Taxes) and Addendum B (Option to
      Extend) are hereby attached hereto made a part hereof.

    

    
      
         

      

      
        17

        
          

        

      

      
         

      

    

    

    
      
        51.
          Surrender
          of Premises.

      

    

    Subject
      to Paragraph 26 hereof, at the expiration or earlier termination of this Lease,
      Tenant shall remove from the Premises all of its fixtures, furniture,
      furnishings, signs and other personal property not permanently affixed to the
      Premises and surrender possession of the Premises to Landlord in broom clean
      condition and good state of repair, except ordinary wear and tear.

    

    
      
        52.
          Attorneys’
          Fees.

      

    

    If
      either
      Landlord or Tenant institutes any action or proceeding against the other
      relating to the provisions of this Lease or any default hereunder, the
      nonprevailing party in such action or proceeding shall reimburse the prevailing
      party for the reasonable expenses of attorneys’ fees and all costs and
      disbursements incurred therein by the prevailing party, including, without
      limitation, any such fees, costs or disbursements incurred on any appeal from
      such action or proceeding. The prevailing party shall recover all such fees,
      costs or disbursements as costs taxable by the court in the action or proceeding
      itself without the necessity for a cross-action by the prevailing
      party.

    

    
      
        53.
          Guaranty.

      

    

    Not
      Applicable.

    

    
      
        54.
          Declaration.

      

    

    At
      any
      time prior to or following the execution of this Lease, Landlord shall have
      the
      right, at Landlord’s election, to prepare and record a declaration of easements,
      covenants, conditions and restrictions (as amended, the “Declaration”) governing
      the operation, maintenance and use of the Shopping Center, including, without
      limitation, the Premises. Notwithstanding any term or provision hereinto the
      contrary, Tenant agrees to subordinate this Lease to and comply with and abide
      by the terms of said Declaration, if and when recorded by Landlord in the
      Charleston County Public Registry, in connection with Tenant’s use and operation
      of the Premises. In this regard, the Declaration, if and when recorded, shall
      be
      employed in conjunction with this Lease; provided, however, if there is an
      express conflict between the terms of the Declaration and terms of this Lease,
      the terms of the Declaration shall control and prevail. The mere fact that
      the
      terms of the Declaration may be more restrictive than the terms of this Lease,
      or vice versa, shall not be construed as an express conflict, and in such case
      the most restrictive provision shall control and prevail.

    

    
      
        55.
          Prohibited
          Uses.

      

    

    Notwithstanding
      any term or provision herein to the contrary, in no event shall the Premises
      and/or any improvements located thereon be used for any use or purpose set
      forth
      on Exhibit “E” attached hereto and incorporated herein by
      reference.

    

    
      
        56.
          Exclusive
          Use.

      

    

    Notwithstanding
      any term or provision herein to the contrary, Landlord shall abide by the
      Exclusive Use granted to Tenant as set forth on Exhibit F, attached hereto
      and
      incorporated herein by reference.

    

    
      
         

      

      
        18

        
          

        

      

      
         

      

    

    

     

    

    IN
      WITNESS WHEREOF, the
      parties have set their hands and seals on the day and year first above
      mentioned.

     

    LANDLORD:

    

    BELLE-HALL
      DEVELOPMENT PHASE III LIMITED

    PARTNERSHIP,

    a
      South
      Carolina Limited Partnership

    

    By:
      AAC-Belle-Hall Development Phase III GP, LLC, 

    Its
      sole
      general partner

    

    By:
      /s/
      Paul L. Herndon

    Name:
      Paul L. Herndon

    Title:
      Vice President

    

    

    

    TENANT:

    

    DGSE
      COMPANIES, INC., 

    a
      Nevada
      corporation

    

    By:
      /s/
      W. H. Oyster

    Name:
      William H. Oyster

    Title:
      President

    

    
      
         

      

        19AGREEMENT

     

    THIS
      AGREEMENT
      (this
“Agreement”) dated February 20 2007, is entered into between CORNELL
      CAPITAL PARTNERS, LP
      (the
“Purchaser”) and HEADLINERS
      ENTERTAINMENT GROUP, INC.
      (the
“Company”).

    

    1. Purchase
      and Sale.
      Subject
      to the terms and conditions set forth in this Agreement, the Buyer shall
      purchase from the Company and the Company shall issue to the Buyer a Secured
      Convertible Debenture in the form attached hereto as Exhibit A (the
“Debenture”)
      in the
      face amount of $35,000 for a purchase price of $35,000.

     

    2. Closing.
      The
      closing of the issuance of the Debenture shall occur within 1 business day
      of
      the satisfaction of all conditions precedent set forth in Section 6 hereof
      at
      the offices of the Buyer (the “Closing”).

     

    3. Closing
      Procedure.
      At the
      Closing, the Company shall execute and deliver the Debenture and the Buyer
      shall
      pay the Purchase Price in accordance with the disbursement instructions set
      forth on Schedule I attached hereto. 

     

    4. Representations
      and Warranties of the Company.  The
      Company makes the following representations, warranties and agreements and
      confirms the following understandings:

     

    (a) Organization
      and Qualification.
      The
      Company and its subsidiaries are corporations duly organized and validly
      existing in good standing under the laws of the jurisdiction in which they
      are
      incorporated, and have the requisite corporate power to own their properties
      and
      to carry on their business as now being conducted. Each of the Company and
      its
      subsidiaries is duly qualified as a foreign corporation to do business and
      is in
      good standing in every jurisdiction in which the nature of the business
      conducted by it makes such qualification necessary, except to the extent that
      the failure to be so qualified or be in good standing would not have a material
      adverse effect on the Company and its subsidiaries taken as a
      whole.

     

    (b) SEC
      Documents: Financial Statements.
      Since
      January 1, 2005, the Company has filed all reports, schedules, forms, statements
      and other documents required to be filed by it with the SEC under the Securities
      Exchange Act of 1934, as amended (the “Exchange
      Act”)
      (all
      of the foregoing filed prior to the date hereof or amended after the date hereof
      and all exhibits included therein and financial statements and schedules thereto
      and documents incorporated by reference therein, being hereinafter referred
      to
      as the “SEC
      Documents”).
      As of
      their respective dates, the financial statements of the Company disclosed in
      the
      SEC Documents (the “Financial
      Statements”)
      complied as to form in all material respects with applicable accounting
      requirements and the published rules and regulations of the SEC with respect
      thereto. Such financial statements have been prepared in accordance with
      generally accepted accounting principles, consistently applied, during the
      periods involved (except (i) as may be otherwise indicated in such Financial
      Statements or the notes thereto, or (ii) in the case of unaudited interim
      statements, to the extent they may exclude footnotes or may be condensed or
      summary statements) and, fairly present in all material respects the financial
      position of the Company as of the dates thereof and the results of its
      operations and cash flows for the periods then ended (subject, in the case
      of
      unaudited statements, to normal year-end audit adjustments). No other
      information provided by or on behalf of the Company to the Subscribers which
      is
      not included in the SEC Documents, including, without limitation, information
      referred to in this Agreement, contains any untrue statement of a material
      fact
      or omits to state any material fact necessary in order to make the statements
      therein, in the light of the circumstances under which they were made, not
      misleading.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

     

    (c) 10(b)-5.
      The SEC
      Documents do not include any untrue statements of material fact, nor do they
      omit to state any material fact required to be stated therein necessary to
      make
      the statements made, in light of the circumstances under which they were made,
      not misleading.

     

    (d) Legal
      and Other Proceedings. Neither
      the Company, nor any of its affiliates or its executive officers or directors
      (in their capacity as executive officers or directors), is a party to any
      pending or, to the best knowledge of the Company, threatened, or unasserted
      but
      considered by it to be probable of assertion, claim, action, suit,
      investigation, arbitration or proceeding, or is subject to any order, judgment
      or decree that is reasonably expected by management of the Company to have,
      either individually or in the aggregate, a material adverse effect on the
      condition (financial or otherwise), earnings or results of operations of the
      Company. The Company is not, as of the date hereof, a party to or subject to
      any
      enforcement action instituted by, or any agreement or memorandum of
      understanding with, any federal or state regulatory authority restricting its
      operations or requiring that actions be taken, and no such regulatory authority
      has threatened any such action, memorandum or order against the Company and
      the
      Company has not received any report of examination from any federal or state
      regulatory agency which requires that the Company address any problem or take
      any action which has not already been addressed or taken in a manner
      satisfactory to the regulatory agency.

     

    (e) Authorization;
      Conflict; Valid and Binding Obligation. When
      issued in accordance herewith, the Debenture will be duly and validly authorized
      by all requisite corporate action of the Company. The Company has full right,
      power and capacity to execute, deliver and perform its obligations under the
      Debenture. No governmental license, permit or authorization and no registration
      or filings with any court, governmental authority or regulatory agency is
      required in connection with the Company's execution, delivery and/or performance
      of the Debenture, other than any filings required by applicable federal and
      state securities laws. The execution, delivery and performance of the Debenture,
      the consummation of the transactions herein contemplated and the compliance
      with
      the terms of the Debenture by the Company will not violate or conflict with
      any
      provision of the Articles of Incorporation, as amended or By-laws of the
      Company, or any agreement, instrument, law or regulation to which the Company
      is
      a party or by which the Company may be bound. The Debenture, upon execution
      and
      delivery by the Company, will represent the valid and binding obligation of
      the
      Company enforceable in accordance with its terms.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

     

    5. Use
      of Proceeds. The
      Company shall use the net proceeds of the Debenture to pay the amounts set
      forth, to the persons or entities set forth, in Schedule II hereto. The Company
      authorizes the Buyer to send the net proceeds directly to the payees as set
      forth in Schedule II for the benefit of the Company. 

     

    6. Other
      Agreements to Continue.
      The
      Company acknowledges that the documents set forth in Schedule III hereto shall
      remain in full force and effect. 

     

    7. (RESERVED)   

     

    

    REMAINDER
      OF PAGE INTENTIONALLY LEFT BLANK

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF,
      the
      undersigned have executed this Agreement as of the date written
      above.

    

    
      	 	
              BUYER:

               

            
	 	
              CORNELL
                CAPITAL PARTNERS, LP

            
	 	 
	 	
              By:
                

            	Yorkville
              Advisors,
              LLC
	 	
              Its:
                

            	Investment
              Manager
	 	 	 
	 	 	 
	 	
              By:

            	
              /s/
                Mark Angelo

            
	 	
              Name:
                

            	Mark
              Angelo
	 	
              Title:
                

            	Portfolio
              Manager
	 	 	 
	 	 	 
	
               

            	
              COMPANY:

               

            
	 	
              HEADLINERS
                ENTERTAINEMENT GROUP, INC.

            
	 	 	 
	 	
              By:

            	
              /s/
                Frank J. Orlando

            
	 	
              Name:
                

            	Frank
              J. Orlando
	 	
              Title:
                

            	Chief
              Restructuring
              Officer

    

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A

    

    FORM
      OF DEBENTURE

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      I

    

    DISBURSEMENT
      INSTRUCIONS

    

    

    

    The
      purchase price shall be disbursed in immediately available U.S. funds, payable
      to the following parties:

    

    

    
      	
               

            	
               

            	
               

            	
               

            	
               

            
	
              Gross
                Proceeds:

            	 	 	
               

            
	
               

            	
              Gross
                Proceeds from Cornell Capital Partners, LP

            	 	
              $
                35,000.00 

            	
               

            
	
               

            	 	 	 	
               

            
	
              Disbursements:

            	 	 	
               

            
	
               

            	
              Rosenberg
                Rich Baker Berman & Company

            	 	
              $
                5,000 

            	
               

            
	
               

            	
              Kathy
                Suplee

            	 	
              $
                7,500 

            	
               

            
	
               

            	
              Eduardo
                Rodriquez

            	 	
              $
                5,000 

            	
               

            
	
               

            	
              Frank
                J Orlando

            	 	
              $
                5,000 

            	
               

            
	
               

            	 	 	 	
               

            
	
              Net
                Proceeds:

            	 	 	
               

            
	
               

            	
              Net
                Proceeds Payable to the Company:

            	
               

            	
              $
                12,500 

            	
               

            
	
               

            	 	 	 	
               

            
	
               

            	
               

            	
               

            	
               

            	
               

            

    

    

    
 

    REMAINDER
      OF PAGE LEFT BLANK

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      II

    

    AUTHORIZED
      PAYEES

    

    Proceeds
      of the Debenture shall be used by the Company to pay the following persons
      or
      entities:

    

    

    
      	
              NAME

            	 	
              AMOUNT

            	 
	
              Rosenberg
                Rich Baker Berman & Company

            	 	
              $

            	
              5,000

            	 
	
              Kathy
                Suplee

            	 	
              $

            	
              7,500

            	 
	
              Eduardo
                Rodriquez

            	 	
              $

            	
              5,000

            	 
	
              Frank
                J Orlando

            	 	
              $

            	
              5,000

            	 

    

    

    

    

    

    

    

    

    REMAINDER
      OF PAGE LEFT BLANK

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      III

    

    CONTINUING
      AGREEMENTS

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    

    REMAINDER
      OF PAGE LEFT BLANK

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      	
              HEADLINERS
                ENTERTAINMENT GROUP, INC.

            	 	
              Cornell
                Capital Partners, LP

               

            
	 	 	 	
              By:
                

            	Yorkville
              Advisors,
              LLC
	 	 	 	
              Its:
                

            	General
              Partner
	 	 	 	 	
               

            
	
              By:

            	
              /s/
                Frank J. Orlando

            	 	
              By:
                

            	
              /s/
                Mark Angelo

            
	
              Name:
                Frank J. Orlando

            	
              Name:
                Mark Angelo

            
	
              Its:
                Chief Restructuring Officer

            	 	
              Its:
                Portfolio Manager

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