Abatement. Following an Abatement Event, the Lessor shall diligently proceed to repair or replace the Premises to as nearly as possible the condition existing prior to the happening of the casualty. Except as otherwise provided in this Lease Agreement, the existence or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease as of the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, the Lessee shall be entitled to a Proportionate Abatement in the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion of the Premises is available for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable to damage or destruction of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceeds.
Appears in 1 contract
Samples: Lease Agreement
Abatement. Following an Abatement EventNotwithstanding anything to the contrary contained in this Lease, the Lessor shall diligently proceed to repair if Tenant's use of all or replace a material part of the Premises is materially impaired due to as nearly as possible the condition existing prior to the happening any of the casualty. Except causes identified in subparagraphs (i) through (v) below ("Eligible Causes") and such disruption materially interferes with the conduct of Tenant's business in the Premises for three (3) consecutive business days or twenty (20) days in any calendar year (such three (3) consecutive business day period or twenty (20) day period, as otherwise provided applicable, is referred to herein as the "Eligibility Period"), as any such Eligibility Period may be extended due to Force Majeure Delays (as defined in Section 32.15 of this Lease), then Tenant shall be entitled to an equitable abatement of Monthly Basic Rent and additional rent under this Lease Agreement, based upon the existence or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease as of the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, affected thereby (provided that if the Lessee shall be entitled to a Proportionate Abatement in operation of Tenant's business from the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion remainder of the Premises not affected thereby is available not reasonably practicable under the circumstances and Tenant in fact does not operate for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds business from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration remainder of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee all Monthly Basic Rent and additional rent under this Lease shall be applied subject to such abatement) from the commencement of the Eligibility Period until the applicable material impairment is cured. As used herein, "Eligible Causes" shall mean (i) an interruption of utility or mechanical services to the prepayment Premises, (ii) an inability to access the Premises or parking areas within the Project which Tenant is entitled to use pursuant to this Lease unless resulting from governmental mandate, (iii) entry upon the Premises by Landlord or Landlord's employees, agents or contractors, (iv) repairs, maintenance or other work required to be made to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord, and/or (v) Landlord's failure to conduct repairs, maintenance or other work required to be made to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord. Any impairment of Tenant's use of the outstanding Bonds; providedPremises resulting from acts or omissions of Tenant or any of Tenant's Parties (as defined in Section 6.4 below) shall not constitute Eligible Causes. The provisions of this Section 3.3 shall not, however, that apply in the event the insurance proceeds received of a casualty governed by the Lessor provisions of Section 18 below or in the Trustee are attributable to damage or destruction event of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented taking or condemnation governed by the Bonds, such insurance proceeds shall not be applied to the prepayment provisions of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceedsSection 19 below.
Appears in 1 contract
Samples: Office Lease (Willdan Group, Inc.)
Abatement. Following an Abatement EventNotwithstanding anything to the contrary contained in this Lease, the Lessor shall diligently proceed to repair if Tenant’s use of all or replace a material part of the Premises is materially impaired due to as nearly as possible the condition existing prior to the happening any of the casualty. Except causes identified in subparagraphs (i) through (v) below (“Eligible Causes”) and such disruption materially interferes with the conduct of Tenant’s business in the Premises for five (5) consecutive business days or twenty (20) days in any twelve (12) month period (such five (5) consecutive business day period or twenty (20) day period, as otherwise provided applicable, is referred to herein as the “Eligibility Period”), as any such Eligibility Period may be extended due to Force Majeure Delays (as defined in Section 32.17 of this Lease), then Tenant shall be entitled to an equitable abatement of Monthly Base Rent and Additional Rent under this Lease Agreement, based upon the existence or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease as of the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises affected thereby (provided that if the operation of Tenant’s business from the remainder of the Premises not affected thereby is rendered untenantablenot reasonably practicable under the circumstances and Tenant in fact does not operate for business from the remainder of the Premises, the Lessee shall be entitled to a Proportionate Abatement in the Rental Payments due all Monthly Base Rent and Additional Rent under this Lease Agreement. The Lessor and Lessee hereby agree that shall be subject to such abatement) from the determination of whether all or any portion commencement of the Premises Eligibility Period until the applicable material impairment is available for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Eventcured; provided, however, that such period shall be extended if the Lessor Landlord is prevented from commencing diligently pursuing the repair of such utilities or services and restoration Landlord provides substitute services reasonably suitable for Tenant’s purposes, such as for example, bringing in portable air-conditioning equipment, then there shall not be any abatement of Rent. As used herein, “Eligible Causes” shall mean (i) an interruption of utility or mechanical services to the Premises, (ii) an inability to access the Premises or parking areas within the Project which Tenant is entitled to use pursuant to this Lease unless resulting from governmental mandate, (iii) entry upon the Premises by Landlord or Landlord’s employees, agents or contractors, (iv) repairs, maintenance or other work required to be made to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord, and/or (v) Landlord’s failure to conduct repairs, maintenance or other work required to be made to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord. Any impairment of Tenant’s use of the Premises as a result resulting from acts or omissions of a force majeure event as provided in Section 26(g). Commencement Tenant or any of the repair and restoration Tenant’s Parties shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restorationnot constitute Eligible Causes. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities provisions of this Section 7.6 shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; providednot, however, that apply in the event of a casualty or in the insurance proceeds received event of a taking or condemnation governed by the Lessor or the Trustee are attributable to damage or destruction provisions of a portion of the Premises Sections 17 and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceeds18 below.
Appears in 1 contract
Samples: Office Lease (Inphi Corp)
Abatement. Following Rent and additional rent shall xxxxx in proportion to that area of the Premises that is unfit for use in Tenant’s business. The abatement shall consider the nature and extent of interference to Tenant’s ability to conduct business in the Premises and the need for access and essential services. The abatement shall continue from the date the damage occurred until Landlord completes the repairs and restoration to the Premises or the part rendered unusable. Landlord shall use reasonable efforts to effect any such repair or restoration promptly and in such manner as not unreasonably to interfere with Tenant’s use and occupancy of the Premises but such acts shall be subject to: (i) Landlord’s inability to obtain materials, (ii) Acts of God, (iii) strikes, fire or weather, (iv) acts of governmental authority, or (v) any other cause beyond the control of Landlord. Notwithstanding the above, Landlord shall not be required to incur overtime or additional charges in any such repair or restoration of the Premises or of the Building pursuant to this Section 15. Notwithstanding anything contained herein to the contrary:
(i) if any or all of the areas or offices comprising the Building are substantially damaged by fire or other casualty to such an Abatement Eventextent that the Building cannot, in the Lessor sole judgment of Landlord, be operated as an integrated office building and Landlord decides not to repair and restore the Building, or
(ii) if during the last two (2) years of the term of this lease the Premises or the Building shall diligently proceed be so damaged by fire or other casualty that Landlord decides not to repair or replace rebuild, or
(iii) if the Premises same is damaged by a casualty which is not insurable under Landlord’s standard or extended coverage insurance required hereunder, and Landlord decides in its sole judgment either (A) not to as nearly as possible repair or rebuild, or (B) to demolish the condition existing prior to entire Building and rebuild the same;
(iv) then upon the happening of the casualty. Except as otherwise provided in any such event Landlord may cancel this Lease Agreement(whether or not, the existence or nonexistence Premises are damaged) by giving written notice of insurance proceeds shall have no bearing on said duty such cancellation to repair or replace Tenant within sixty (60) days after the Premises. To happening of such damage and thereupon this Lease and the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments term hereof shall cease and be terminated as of the date of the Abatement Event happening of such damage, and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, the Lessee rent and other charge payable by Tenant shall be entitled to a Proportionate Abatement in the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion of the Premises is available for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect pro-rated to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable to damage or destruction of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion day of such proceedsdamage.
Appears in 1 contract
Abatement. Following an Abatement Event, the Lessor shall diligently proceed to repair or replace the Premises to as nearly as possible the condition existing prior Notwithstanding anything to the happening contrary contained in this Lease, in the event Tenant's use of all or a material part of the casualty. Except Building is materially impaired, for any reason other than the acts or omissions of Tenant or any of the Tenant Parties, such that the disruption materially and adversely interferes with the conduct of Tenant's business in the Building for three (3) consecutive business days after written notice from Tenant to Landlord or ten (10) days after written notice from Tenant to Landlord in any twelve (12) month period (such three (3) consecutive business day period or ten (10) day period after written notice from Tenant to Landlord, as otherwise provided in applicable, is referred to herein as the "Eligibility Period"), due to (i) an interruption of utility or mechanical services to the Building (A) caused by the negligence or misconduct of a Landlord Party, or (B) which is covered by Landlord's rental loss insurance policy, (ii) an inability to access the Building or Parking Areas (A) due to actions of a Landlord Party, or (B) which is covered by Landlord's rental loss insurance policy, (iii) the performance of repairs, maintenance or other work required to be made to the Building which are the responsibility of Landlord under this Lease Agreementor which otherwise are performed by or on behalf of Landlord, the existence and/or (iv) Landlord's failure to perform repairs, maintenance or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises other work required to be rendered untenantablemade to the Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord, all Rental Payments shall cease as of the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, the Lessee then Tenant shall be entitled to a Proportionate Abatement in the Rental Payments due an equitable abatement of Monthly Base Rent under this Lease Agreementbased upon the portion of the Building affected thereby (provided that if the operation of Tenant's business from the remainder of the Building not affected thereby is not reasonably practicable under the circumstances and Tenant in fact does not operate for business from the remainder of the Building, all Monthly Base Rent (but not additional rent) under this Lease shall be subject to such abatement) from the commencement of the Eligibility Period until the applicable material impairment is cured. The Lessor and Lessee hereby agree that provisions of this Section 5(d) shall not, however, apply in the determination event of whether all a casualty governed by the provisions of Section 18 below or in the event of a taking or condemnation governed by the provisions of Section 19 below. No abatement of rent shall apply to any portion of the Premises Building which is available for the use not physically occupied and occupancy of the Lessee following an Abatement Event shall be made actually used by the Department of Public Works of Tenant during the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable to damage or destruction of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceedsEligibility Period.
Appears in 1 contract
Abatement. Following an Abatement EventNotwithstanding anything to the contrary contained in this Lease, in the Lessor shall diligently proceed to repair event Tenant’s use of all or replace a part of the Premises is materially impaired, for any reason other than the acts or omissions of Tenant or any of the Tenant Parties (as defined in Section 1(u) above), such that the disruption materially and adversely interferes with the conduct of Tenant’s business in the Premises for five (5) consecutive business days after written notice from Tenant to Landlord or twenty (20) days after written notice from Tenant to Landlord in any twelve (12) month period (such five (5) consecutive business day period or twenty (20) day period after written notice from Tenant to Landlord, as nearly applicable, is referred to herein as possible the condition existing prior “Eligibility Period”), due to (i) an interruption of utility or mechanical services to the happening of Premises, (ii) an inability to access the casualty. Except as otherwise provided in Premises or parking areas within the Project which Tenant is entitled to use pursuant to this Lease Agreementunless resulting from governmental mandate, the existence (iii) repairs, maintenance or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises other work required to be rendered untenantablemade to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord, all Rental Payments and/or (iv) Landlord’s failure to perform repairs, maintenance or other work required to be made to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord, then Tenant shall cease as be entitled to an equitable abatement of Monthly Base Rent and additional rent under this Lease based upon the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, affected thereby (provided that if the Lessee shall be entitled to a Proportionate Abatement in operation of Tenant’s business from the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion remainder of the Premises not affected thereby is available not reasonably practicable under the circumstances and Tenant in fact does not operate for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds business from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration remainder of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee all Monthly Base Rent and additional rent under this Lease shall be applied subject to such abatement) from the prepayment commencement of the outstanding Bonds; providedEligibility Period until the applicable material impairment is cured. The provisions of this Section 5(d) shall not, however, that apply in the event the insurance proceeds received of a casualty governed by the Lessor provisions of Section 19 below or in the Trustee are attributable to damage or destruction event of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented taking or condemnation governed by the Bonds, such insurance proceeds shall not be applied to the prepayment provisions of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceedsSection 20 below.
Appears in 1 contract
Abatement. Following an Abatement EventIf the Landlord is required to repair Damage to the Premises under Section 10.1, the Lessor Rent payable by the Tenant shall diligently proceed be proportionately reduced to repair or replace the extent that the Premises to as nearly as possible the condition existing prior to the happening of the casualty. Except as otherwise provided in this Lease Agreementare rendered untenantable or inaccessible, the existence or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease as of from the date of the Abatement Event and no further Rental Payments shall accrue casualty until the entire Premises is again ready for occupancy. In earlier to occur of (i) the event that only a portion cure of the applicable untenantable condition or lack of access or (ii) substantial completion by the Landlord of its repairs as described in 10.1 above. Notwithstanding the foregoing, if the Damage is due to the fault or neglect of Tenant or its employees, agents, or invitees, or if the Tenant continues to utilize the Premises is rendered untenantable, the Lessee there shall be entitled no abatement of Rent, provided that, if the Damage was caused due to a Proportionate Abatement in the Rental Payments due under this Lease Agreement. The Lessor negligence of Tenant or its employees, agents or invitees and Lessee hereby agree that the determination of whether all or any portion of the Premises is available following conditions are satisfied, then there shall be an abatement of Rent for the use and occupancy of period during which Tenant is unable to utilize the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy Premises: (a) Tenant reimburses Landlord for the Premisespremiums for Landlord’s business interruption/rent loss insurance (“Rent Loss Insurance”), which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable (b) Landlord is eligible to make a determination claim against such Rent Loss Insurance in connection with the relevant Damage, (c) Landlord’s claim for such Rent Loss Insurance in connection with such Damage is allowed and is actually paid by the insurer, and (d) the amount of such payment is not less than the amount of Rent abated. The Tenant shall effect its own repairs as soon as possible after completion of the availability Landlord's repairs. Furthermore, notwithstanding anything to the contrary set forth herein, there shall be no abatement or reduction of Rent where the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect Landlord's repairs to the Premises may make such a determination, which determination shall be binding upon take less than ten (10) days to complete after the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable to damage or destruction of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceedsDamage occurs.
Appears in 1 contract
Samples: Industrial Lease (CUI Global, Inc.)
Abatement. Following an Abatement EventIf the Demised Premises shall be partially damaged or partially destroyed by fire or other casualty requiring Landlord’s Restoration, the Lessor rents payable hereunder shall diligently proceed to repair or replace the Premises to as nearly as possible the condition existing prior be abated to the happening extent that the Demised Premises shall have been rendered Untenantable (hereinafter defined) as a result of such damage or destruction to the casualtyDemised Premises and for the period from the date of such damage or destruction to the date that Landlord's Restoration to the Demised Premises shall be substantially completed. Except as otherwise provided in this Lease AgreementIf the Demised Premises or a major part thereof shall be totally (which shall be deemed to include substantially totally) damaged or destroyed and rendered completely (which shall be deemed to include substantially completely) Untenantable on account of fire or other casualty requiring Landlord’s Restoration, the existence or nonexistence of insurance proceeds rents shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease xxxxx as of the date of the Abatement Event damage or destruction and no further Rental Payments shall accrue until Landlord's Restoration to the entire Demised Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, the Lessee shall be entitled to a Proportionate Abatement in the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion of the Premises is available for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Eventsubstantially completed; provided, however, that should Tenant reoccupy a portion of the Demised Premises during the period that Landlord's Restoration is taking place and prior to the date that the same are made completely tenantable, rents allocable to such period portion shall be extended if payable by Tenant from the Lessor date of such occupancy. "Untenantable" as used in this Article shall mean that Tenant is prevented from commencing unable to use the repair and restoration Demised Premises or the portion thereof to which reference is made, for the conduct of its business in the Premises as a result of a force majeure event as provided in Section 26(g)normal course. Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism Notwithstanding anything to the Facilities; the actual costs for said activities contrary contained herein, if Landlord or any Superior Lessor or Superior Mortgagee shall be reimbursed unable to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess collect all of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of (including rent insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable proceeds) applicable to damage or destruction of a portion the Demised Premises or the Building by fire or other casualty, by reason of some action or inaction on the part of any Tenant Party, then, without prejudice to any other remedies which may be available against Tenant, there shall be no abatement of Tenant's rents, but the total amount of such rents not abated (which would otherwise have been abated) shall not exceed the amount of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such uncollected insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceeds.
Appears in 1 contract
Samples: Lease Agreement (Original Bark Co)
Abatement. Following an Abatement EventNotwithstanding anything to the contrary contained in this Lease, in the Lessor shall diligently proceed to repair event Tenant’s use of all or replace a part of the Premises is materially impaired, for any reason other than the acts or omissions of Tenant or any of the Tenant Parties (as defined in Section 6(c)(iii) below), such that the disruption materially and adversely interferes with the conduct of Tenant’s business in the Premises for twenty-four (24) hours after written notice from Tenant to Landlord or five (5) days after written notice from Tenant to Landlord in any twelve (12) month period (such 24-hour period or 5-day period after written notice from Tenant to Landlord, as nearly applicable, is referred to herein as possible the condition existing prior “Eligibility Period”), due to (i) an interruption of utility or mechanical services to the happening Premises, (ii) an inability to access the Premises or Parking Areas, (iii) repairs, maintenance or other work required to be made to the Premises or Building which are the responsibility of the casualty. Except as otherwise provided in Landlord under this Lease Agreementor which otherwise are performed by or on behalf of Landlord, the existence and/or (iv) Landlord’s failure to perform repairs, maintenance or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises other work required to be rendered untenantablemade to the Premises or Building which are the responsibility of Landlord under this Lease or which otherwise are performed by or on behalf of Landlord, all Rental Payments then Tenant shall cease as be entitled to an equitable abatement of Monthly Base Rent and additional rent under this Lease based upon the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event that only a portion of the Premises is rendered untenantable, affected thereby (provided that if the Lessee shall be entitled to a Proportionate Abatement in operation of Tenant’s business from the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion remainder of the Premises not affected thereby is available not reasonably practicable under the circumstances and Tenant in fact does not operate for the use and occupancy of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30) days after the filing of a request for such determination by the Lessor or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof in excess of the insurance proceeds business from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration remainder of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee all Monthly Base Rent and additional rent under this Lease shall be applied subject to such abatement) from the prepayment commencement of the outstanding Bonds; providedEligibility Period until the applicable material impairment is cured. The provisions of this Section 5(c) shall not, however, that apply in the event the insurance proceeds received of a casualty governed by the Lessor provisions of Section 17 below or in the Trustee are attributable to damage or destruction event of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented taking or condemnation governed by the Bonds, such insurance proceeds shall not be applied to the prepayment provisions of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds shall be deposited in the Renewal and Replacement Fund after payment of all necessary expenses and the Lessor shall have no claim to any portion of such proceedsSection 18 below.
Appears in 1 contract
Samples: Lease (Ddi Corp)
Abatement. Following an Abatement EventIn the event all or part of the Premises or the Building is Damaged, the Lessor Rent payable by Tenant hereunder shall diligently proceed to repair or replace the Premises to as nearly as possible the condition existing prior to the happening of the casualty. Except as otherwise provided be abated (a) in this Lease Agreement, the existence or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease as of full from the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event such Damage with respect to that only a portion of the Premises is which are thereby rendered untenantableuntenantable and in which Tenant no longer operates Tenant's business, (b) to the Lessee shall be entitled extent fair and equitable from the date of such Damage with respect to a Proportionate Abatement in the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion of the Premises is available for which are thereby rendered untenantable but in which Tenant continues to conduct Tenant's business, and (c) in full from the use and occupancy date Tenant vacates the space with respect to the Related Space as to which Tenant timely makes the election to vacate pursuant to Section 20.4. Such abatement shall continue in either case until the earlier of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30a) sixty (60) days after the filing of a request for such determination by the Lessor Landlord Repair Work is completed, or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor date Tenant re-occupies and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof commences business operations in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable to damage or destruction of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds Unless prohibited by Legal Requirements and subject to Landlord's reasonable requirements in connection with performance of the Landlord Repair Work, Tenant shall have the right to continue to occupy any Damaged portions of the Premises even though the same may be untenantable. Landlord shall be deposited obligated to repair or provide services to such Damaged space only to the extent reasonable under the circumstances. As used in this Article 20, "untenantable" shall include any material adverse effect on the Renewal Premises and Replacement Fund after payment Tenant's use thereof or access thereto, including the inability of all necessary expenses and Tenant to lawfully occupy or use any part of the Lessor shall have no claim to Premises by reason of any order or direction of any governmental authority, whether or not the Premises or any particular portion of such proceedsthereof are damaged.
Appears in 1 contract
Abatement. Following an Abatement EventIn the event all or part of the Premises or the Building is Damaged, the Lessor Rent payable by Tenant hereunder shall diligently proceed to repair or replace the Premises to as nearly as possible the condition existing prior to the happening of the casualty. Except as otherwise provided be abated (a) in this Lease Agreement, the existence or nonexistence of insurance proceeds shall have no bearing on said duty to repair or replace the Premises. To the extent an Abatement Event causes the entire Premises to be rendered untenantable, all Rental Payments shall cease as of full from the date of the Abatement Event and no further Rental Payments shall accrue until the entire Premises is again ready for occupancy. In the event such Damage with respect to that only a portion of the Premises is which are thereby rendered untenantableuntenantable and in which Tenant no longer operates Tenant’s business, (b) to the Lessee shall be entitled extent fair and equitable from the date of such Damage with respect to a Proportionate Abatement in the Rental Payments due under this Lease Agreement. The Lessor and Lessee hereby agree that the determination of whether all or any portion of the Premises is available for which are thereby rendered untenantable but in which Tenant continues to conduct Tenant’s business, and (c) in full from the use and occupancy date Tenant vacates the space with respect to the Related Space as to which Tenant timely makes the election to vacate pursuant to Section 20.4. Such abatement shall continue in either case until the earlier of the Lessee following an Abatement Event shall be made by the Department of Public Works of the County of Los Angeles or such other department or agency of the County of Los Angeles responsible for determining availability for occupancy of the Premises in a manner similar to that which is employed in determining whether similar public buildings are available for use and occupancy and evidenced by the issuance or continuing validity of a certificate of occupancy for the Premises, which determination shall be binding upon the parties hereto. In the event the County of Los Angeles or its departments and agencies are unable to make a determination of the availability of the Premises for use and occupancy within thirty (30a) sixty (60) days after the filing of a request for such determination by the Lessor Landlord Repair Work is completed, or the Lessee, any other public agency with building code enforcement capability with respect to the Premises may make such a determination, which determination shall be binding upon the parties hereto. The Lessor shall apply for all necessary permits and commence the repair and restoration of the Premises within 120 days of the Abatement Event; provided, however, that such period shall be extended if the Lessor is prevented from commencing the repair and restoration of the Premises as a result of a force majeure event as provided in Section 26(g). Commencement of the repair and restoration shall require (a) notification of the appropriate insurance company (or companies) and (b) the placing of the necessary work order(s) and/or contract(s) for obtaining the labor date Tenant re-occupies and materials to accomplish the repair and restoration. The Lessor will be responsible for securing the area to prevent injury to persons and/or vandalism to the Facilities; the actual costs for said activities shall be reimbursed to the Lessor from any insurance proceeds permitted to be so expended. If the Lessor should fail thereafter to pursue said repair and restoration work with reasonable diligence to completion, the Lessee may give the Lessor 30 days’ prior written notice and thereafter perform or cause to be performed the restoration work and deduct the cost thereof commences business operations in excess of the insurance proceeds from the Renewal and Replacement Fund as a charge against the Lessor. In the event the Lessor commences the repair and restoration, any proceeds of insurance deposited with the Lessee or the Trustee shall be paid out to the Lessor or its contractor in accordance with the progress of the repair and restoration. Any insurance proceeds in excess of the amount required to restore the Premises to a tenantable condition and available for use and occupancy by the Lessee shall be deposited into the Renewal and Replacement Fund and applied in accordance with the provisions governing such Renewal and Replacement Fund. In the event the Lessor refuses to commence the repair and restoration of the Premises and the Lessee elects not to undertake such repair and restoration of the Premises, then any proceeds of insurance deposited with the Trustee or the Lessee shall be applied to the prepayment of the outstanding Bonds; provided, however, that in the event the insurance proceeds received by the Lessor or the Trustee are attributable to damage or destruction of a portion of the Premises and the Base Rent payable under this Lease Agreement after such prepayment would not be sufficient to pay the remaining principal and interest represented by the Bonds, such insurance proceeds shall not be applied to the prepayment of the outstanding Bonds but shall instead be applied to the repair and restoration of the Premises. Any excess insurance proceeds Unless prohibited by Legal Requirements and subject to Landlord’s reasonable requirements in connection with performance of the Landlord Repair Work, Tenant shall have the right to continue to occupy any Damaged portions of the Premises even though the same may be untenantable. Landlord shall be deposited obligated to repair or provide services to such Damaged space only to the extent reasonable under the circumstances. As used in this Article 20, “untenantable” shall include any material adverse effect on the Renewal Premises and Replacement Fund after payment Tenant’s use thereof or access thereto, including the inability of all necessary expenses and Tenant to lawfully occupy or use any part of the Lessor shall have no claim to Premises by reason of any order or direction of any governmental authority, whether or not the Premises or any particular portion of such proceedsthereof are damaged.
Appears in 1 contract
Samples: Lease Agreement (Wells Real Estate Investment Trust Inc)