Common use of Effect of Default on Option Clause in Contracts

Effect of Default on Option. (1) Lessee shall have no right to exercise the Option, notwithstanding any provision in the grant of option to the contrary during the time that an Event of Default exists or if Lessor in the twelve (12) months prior to the day on which Lessee exercises the Option, Lessor has given to Lessee two (2) or more notices to cure an Event of Default or if during the last twenty-four (24) months of the original term Lessee has incurred a late charge on account of the late payment of Base Monthly Rent on three (3) or more separate occasions. (2) The period of time within which the Option may be exercised shall not be extended or enlarged by reason of Lessee's inability to exercise such Option because of the provisions of the above paragraph. (3) All rights of Lessee under the provisions of the grant of option shall terminate and be of no further force or effect, notwithstanding Lessee's due and timely exercise of the Option, if, after such exercise and during the term of this Lease, an Event of Default occurs and Lessee fails to cure the default within the period of time required by Paragraph 18 above.

Effect of Default on Option. (1) Lessee shall have no right to exercise the Option, notwithstanding any provision in the grant of option to the contrary during the time that an Event of Default exists or if Lessor in the twelve (12) months prior to the day on which Lessee exercises the Option, Option Lessor has given to Lessee two (2) or more notices to cure an Event of Default or if during the last twenty-twenty four (24) months of the original term Lessee has incurred a late charge on account of the late payment of Base Monthly Rent on three (3) or more separate occasions. (2) The period of time within which the Option may be exercised shall not be extended or enlarged by reason of Lessee's inability to exercise such Option because of the provisions of the above paragraph. (3) All rights of Lessee under the provisions of the grant of option shall terminate and be of no further force or effect, notwithstanding Lessee's due and timely exercise of the Option, if, after such exercise and during the term of this Lease, an Event of Default occurs and Lessee fails to cure the default within the period of time required stated in the notice given by Paragraph 18 aboveLessor to Lessee to cure the notice or Lessee fails to commence to cure a non-monetary default within fifteen (15) days after the date that Lessor gives notice to Lessee of such default and/or Lessee fails thereafter to diligently prosecute said cure to completion.