Common use of EXTENSION OF LEASE Clause in Contracts

EXTENSION OF LEASE. The right to extend this Lease pursuant to Section 4 above shall not be assignable to any subtenant but shall be considered assigned to any assignee of this Lease under an assignment of the entire Lease by Lessee in compliance with Sections 20 and 40(i) of this Lease. The right to extend shall be for all or part of the Premises. Lessee shall give to Lessor written notice “Initial Notice” of Lessee’s election to so extend this Lease, and such written notice shall be delivered to Lessor on or before July 1, 2006. If Lessee does not desire to lease the entire Premises during the Extended Term, such notice shall contain a description of the exact location of the Premises that Lessee desires to lease during the Extended Term. Lessor shall have ten (10) days from receipt of said notice to approve or disapprove of the Premises specified. In the event Lessor disapproves of the Premises specified, Lessor shall deliver notice of the disapproval which states the reasons for disapproval (and Lessor’s reasons for disapproval must be reasonably based on the functionality of the portion of the Premises not intended to be renewed and Lessor’s expectations of its ability to relet such space) . Lessee shall then have five (5) days to resubmit a revised description of the Premises Lessee desires to lease during the Extended Term. This process shall continue until an agreement is reached. In the event that Lessor and Lessee are unable to agree upon the location of the Premises for the Extended Term within sixty (60) days after Initial Notice, there shall be no extension. If Lessee desires to lease the entire Premises during the Extended Term, then Lessor shall not have the right to approve or disapprove of the Premises specified, and the parties shall proceed to determine the Market Rate in accordance with Section 4 of this Lease.

EXTENSION OF LEASE. The right to extend this Lease pursuant to Section 4 above shall So long as Tenant is not be assignable to then in default beyond any subtenant but shall be considered assigned to applicable cure period, under any assignee term or covenant of this Lease under at the time Tenant delivers an assignment Exercise Notice (as defined below) or as of the entire Lease by Lessee in compliance with Sections 20 and 40(ifirst day of the Extension Period, Tenant is hereby granted the right (each such right, an “Extension Option”) to renew the term of this LeaseLease for two (2) additional periods of five (5) years each (each such period, an “Extension Period”). The right An Extension Option may be exercised as to extend the entire Leased Premises then leased by Tenant, or Tenant may elect on a one-time basis to surrender one full floor of the Leased Premises and exercise the applicable Extension Option with respect to only the remaining portion of the Leased Premises. Any portion of the Leased Premises for which Tenant is not exercising an Extension Option (the “Surrendered Premises”) (a) shall be for all or part surrendered to Landlord at the end of the Premises. Lessee shall give then applicable term of this Lease (and prior to Lessor written notice “Initial Notice” of Lessee’s election to so extend the Extension Period) in the conditioned required by this Lease, and such (b) must be a single full floor of the Building. Tenant may elect to exercise an Extension Option by delivering written notice shall to Landlord (the “Exercise Notice”) indicating that Tenant elects to exercise such Extension Option, which notice must be delivered to Lessor on or before July 1, 2006. If Lessee does not desire to lease Landlord at least twelve (12) months prior the entire Premises during the Extended Term, such notice shall contain a description expiration of the exact then applicable term of this Lease and which Exercise Notice must specify the location of the Premises that Lessee desires to lease during the Extended Term. Lessor shall have ten (10) days from receipt of said notice to approve or disapprove of the Premises specifiedSurrendered Premises, if applicable. In the event Lessor disapproves of the Premises specified, Lessor shall deliver notice of the disapproval which states the reasons for disapproval (and Lessor’s reasons for disapproval must be reasonably based on the functionality of the portion of the Premises not intended Tenant elects to be renewed and Lessor’s expectations of its ability to relet such space) . Lessee shall then have five (5) days to resubmit a revised description of the Premises Lessee desires to lease during the Extended Term. This process shall continue until exercise an agreement is reached. In the event that Lessor and Lessee are unable to agree upon the location of the Premises for the Extended Term within sixty (60) days after Initial Notice, there shall be no extension. If Lessee desires to lease the entire Premises during the Extended Term, then Lessor shall not have the right to approve or disapprove of the Premises specified, and the parties shall proceed to determine the Market Rate Extension Option in accordance with Section 4 the immediately preceding sentence, all terms and conditions set forth in this Lease shall continue to apply during the Extension Period, except that Basic Annual Rent applicable to the first year of this Leasesuch Extension Period shall be equal to the lesser of (i) Basic Annual Rent as of the end of the prior term increased by two and one-half of one percent (2.5%) or (ii) the FMRR (as defined in Exhibit “H”).

EXTENSION OF LEASE. The right to extend this Lease pursuant to Section 4 above shall So long as Tenant is not be assignable to then in default beyond any subtenant but shall be considered assigned to applicable cure period, under any assignee term or covenant of this Lease under at the time Tenant delivers an assignment Exercise Notice (as defined below) or as of the first day of the Extension Period, Tenant is hereby granted the right (each such right, an “Extension Option”) to renew the Term for two (2) additional periods of five (5) years each (each such period, an 5 “Extension Period”). An Extension Option may be exercised as to the entire Lease Leased Premises then leased by Lessee in compliance with Sections 20 and 40(iTenant, or Tenant may elect on a one-time basis to surrender one full floor of the Leased Premises, but not to exceed twenty-five percent (25%) of this Leasethe rentable square footage of the Leased Premised as of the date hereof, and exercise the applicable Extension Option with respect to only the remaining portion of the Leased Premises. The right to extend Any portion of the Leased Premises for which Tenant is not exercising an Extension Option (the “Surrendered Premises”) (a) shall be for all or part surrendered to Landlord at the end of the Premises. Lessee shall give then applicable Term (and prior to Lessor written notice “Initial Notice” of Lessee’s election to so extend the Extension Period) in the conditioned required by this Lease, and such (b) must be a full floor of the Building leased by Tenant. Tenant may elect to exercise an Extension Option by delivering written notice shall to Landlord (the “Exercise Notice”) indicating that Tenant elects to exercise such Extension Option, which notice must be delivered to Lessor on or before July 1, 2006. If Lessee does not desire to lease Landlord at least twelve (12) months prior the entire Premises during the Extended Term, such notice shall contain a description expiration of the exact then applicable Term and which Exercise Notice must specify the location of the Premises that Lessee desires to lease during the Extended Term. Lessor shall have ten (10) days from receipt of said notice to approve or disapprove of the Premises specifiedSurrendered Premises, if applicable. In the event Lessor disapproves of the Premises specified, Lessor shall deliver notice of the disapproval which states the reasons for disapproval (and Lessor’s reasons for disapproval must be reasonably based on the functionality of the portion of the Premises not intended Tenant elects to be renewed and Lessor’s expectations of its ability to relet such space) . Lessee shall then have five (5) days to resubmit a revised description of the Premises Lessee desires to lease during the Extended Term. This process shall continue until exercise an agreement is reached. In the event that Lessor and Lessee are unable to agree upon the location of the Premises for the Extended Term within sixty (60) days after Initial Notice, there shall be no extension. If Lessee desires to lease the entire Premises during the Extended Term, then Lessor shall not have the right to approve or disapprove of the Premises specified, and the parties shall proceed to determine the Market Rate Extension Option in accordance with Section 4 the immediately preceding sentence, all terms and conditions set forth in this Lease shall continue to apply during the Extension Period, except that Basic Annual Rent applicable to the first year of this Leasesuch Extension Period shall be equal to the lesser of (i) Basic Annual Rent as of the end of the prior term increased by two and one-half of one percent (2.5%) or (ii) the FMV (as defined in Exhibit “H”).

EXTENSION OF LEASE. The right to extend this Lease pursuant to Section 4 above shall So long as Tenant is not be assignable to then in default beyond any subtenant but shall be considered assigned to applicable cure period, under any assignee term or covenant of this Lease under at the time Tenant delivers an assignment Exercise Notice (as defined below) or as of the entire Lease by Lessee in compliance with Sections 20 and 40(ifirst day of the Extension Period, Tenant is hereby granted the right (each such right, an “Extension Option”) to renew the term of this LeaseLease for two (2) additional periods of five (5) years each (each such period, an “Extension Period”). The right An Extension Option may be exercised as to extend the entire Leased Premises then leased by Tenant, or Tenant may elect on a one-time basis to surrender one full floor of the Leased Premises and exercise the applicable Extension Option with respect to only the remaining portion of the Leased Premises. Any portion of the Leased Premises for which Tenant is not exercising an Extension Option (the “Surrendered Premises”) (a) shall be for all or part surrendered to Landlord at the end of the Premises. Lessee shall give then applicable term of this Lease (and prior to Lessor written notice “Initial Notice” of Lessee’s election to so extend the Extension Period) in the conditioned required by this Lease, and such (b) must be a single full floor of the Building. Tenant may elect to exercise an Extension Option by delivering written notice shall to Landlord (the “Exercise Notice”) indicating that Tenant elects to exercise such Extension Option, which notice must be delivered to Lessor on or before July 1, 2006. If Lessee does not desire to lease Landlord at least twelve (12) months prior the entire Premises during the Extended Term, such notice shall contain a description expiration of the exact then applicable term of this Lease and which Exercise Notice must specify the location of the Premises that Lessee desires to lease during the Extended Term. Lessor shall have ten (10) days from receipt of said notice to approve or disapprove of the Premises specifiedSurrendered Premises, if applicable. In the event Lessor disapproves of the Premises specified, Lessor shall deliver notice of the disapproval which states the reasons for disapproval (and Lessor’s reasons for disapproval must be reasonably based on the functionality of the portion of the Premises not intended Tenant elects to be renewed and Lessor’s expectations of its ability to relet such space) . Lessee shall then have five (5) days to resubmit a revised description of the Premises Lessee desires to lease during the Extended Term. This process shall continue until exercise an agreement is reached. In the event that Lessor and Lessee are unable to agree upon the location of the Premises for the Extended Term within sixty (60) days after Initial Notice, there shall be no extension. If Lessee desires to lease the entire Premises during the Extended Term, then Lessor shall not have the right to approve or disapprove of the Premises specified, and the parties shall proceed to determine the Market Rate Extension Option in accordance with Section 4 the immediately preceding sentence, all terms and conditions set forth in this Lease shall continue to apply during the Extension Period, except that Basic Annual Rent applicable to the first year of this Leasesuch Extension Period shall be equal to the lesser of (i) Basic Annual Rent as of the end of the prior term increased by two and one-half of one percent (2.5%) or (ii) the FMRR (as defined in Exhibit “G”).

EXTENSION OF LEASE. To the extent the term of the Lease (“Term”) expires prior to the Closing Date, the parties hereby agree that the Term is hereby extended to and including the Closing Date, to be terminated as of the Closing Date by the Lease Termination. Seller and Buyer have executed this Agreement as of the latest of the dates set forth on the signature pages hereof. SELLER: 0000 XXXXXXXXXX XXXXXX CORP. Date: August 8, 2008 By: /s/ Xxx X. Xxxxxxxx Its: President By: Tax ID Number: 00-0000000 Its: BUYER: RIMAGE CORPORATION Date: July 31, 2008 By: /s/ Xxxxxx X. Xxxx Its: CFO By: Tax ID Number: 00-0000000 Its: Acknowledgment of Receipt of Xxxxxxx Money and Escrow Agreement Exhibit A Legal Description of Land Exhibit B Assignment and Assumption of Intangible Property Exhibit C List of Environmental Reports 1. The undersigned, designated as the “Title Company” by the parties to that certain Purchase and Sale Agreement to which this Escrow Agreement is attached (“Purchase Agreement”), acknowledges receipt from the “Buyer” under the Purchase Agreement of $50,000 as “Xxxxxxx Money” under the Purchase Agreement. The “Effective Date” under the Purchase Agreement is July 31, 2008. Except as otherwise defined in this Escrow Agreement, all capitalized terms herein shall have the meaning given to them in the Purchase Agreement. 2. Title Company hereby agrees to act as escrow agent and to hold the Xxxxxxx Money pursuant to the provisions of the Purchase Agreement, subject to the conditions set forth below. 3. Upon receipt of an appropriate Internal Revenue Service Form W-9, all of said Xxxxxxx Money shall be held in an FDIC insured interest bearing account with interest accruing to the benefit of Buyer, unless Seller receives the xxxxxxx money as a result of the cancellation of the PA, in which event the interest shall also be disbursed to Seller. 4. Upon notification by both parties in writing that the transaction has closed or if Title Company is facilitating the Closing of the Purchase Agreement, Title Company will pay said Xxxxxxx Money and interest accrued thereon (the “Deposit”) to Seller at the Closing. 5. The Purchase Agreement contemplates circumstances in which Buyer shall have the unilateral right to extend this Lease pursuant to Section 4 above shall terminate the Purchase Agreement, including, but not be assignable to any subtenant but shall be considered assigned to any assignee of this Lease under an assignment of the entire Lease by Lessee in compliance with Sections 20 and 40(i) of this Lease. The right to extend shall be for all or part of the Premises. Lessee shall give to Lessor written notice “Initial Notice” of Lessee’s election to so extend this Leaselimited to, and such written notice shall be delivered to Lessor on or before July 1the end of the Contingency Date, 2006by delivery of written notice to Seller and Title Company (the “Termination Notice”). Upon Title Company’s receipt of the Termination Notice (provided Title Company receives such Termination Notice on or before the end of the Contingency Date) Title Company shall immediately and simultaneously: (x) deliver a copy of the Termination Notice to Seller, in the manner provided in the Notice Section of the Purchase Agreement, and (y) disburse the full Deposit to Buyer. 6. If Lessee Buyer defaults under its Purchase Agreement obligations and Seller desires to obtain the Xxxxxxx Money from Title Company pursuant to the terms of the Purchase Agreement, Seller shall first be required to present to Title Company Seller’s affidavit of such default (the “Default Affidavit”), executed under penalty of perjury by an authorized representative of Seller, certifying to Buyer and Title Company that: (a) Buyer is in default under the Purchase Agreement, and (b) the Purchase Agreement has been cancelled pursuant to Minn. Stat. Section 559.21, and therefore, Seller is entitled to the Deposit. Upon receipt of the Default Affidavit from Seller, Title Company shall (i) deliver a copy of the Default Affidavit to Buyer in the manner as provided in the notice section of the Purchase Agreement and (ii) if within five (5) business days after the date on which the Default Affidavit is deemed given to Buyer (pursuant to the notice section of the Purchase Agreement), Title Company has not received from Buyer a notice (“Objection Notice”) objecting to Title Company’s compliance with the Default Affidavit, Title Company shall deliver the Deposit to Seller. 7. If after the Contingency Date has expired Seller defaults on any of its obligations under the Purchase Agreement and Buyer desires the return of the Xxxxxxx Money from Title Company pursuant to the terms of the Purchase Agreement, Buyer shall first be required to present to Title Company its own Default Affidavit, executed under penalty of perjury by an authorized representative of Buyer, certifying to Seller and Title Company that Seller is in default under the Purchase Agreement and did not cure such default within any applicable time period set forth in the Purchase Agreement, and therefore, Buyer is entitled to the return of the Deposit. Upon receipt of such Default Affidavit from Buyer, Title Company shall (i) deliver a copy of such Default Affidavit to Seller in the manner required pursuant to the notice section of the Purchase Agreement, and (ii) if within five (5) business days after the date on which the Default Affidavit is deemed given to Seller (pursuant to the notice section of the Purchase Agreement), Title Company has not received from Seller an Objection Notice, objecting to Title Company’s compliance with such Default Affidavit, Title Company shall deliver the Deposit to Buyer. 8. If Title Company receives an Objection Notice from either Seller or Buyer within the time period set forth above, then Title Company shall refuse to comply with the Default Affidavit then in question (“Objectionable Default Affidavit”) until Title Company receives either (a) joint written instructions executed by both Buyer and Seller, or (b) a final non-appealable order with respect to the disposition of the Deposit from a federal or state court of competent jurisdiction (“Court Order”), in either of which events Title Company shall then disburse the Deposit in accordance with such written instructions or such Court Order, as applicable. Notwithstanding the immediately preceding sentence, if the party that delivers the Objection Notice does not desire both (i) commence litigation with respect to lease the entire Premises during Deposit by filing a complaint or action for a declaratory judgment in an appropriate court of competent jurisdiction (“Litigation”), and (ii) provide notice and a file-stamped copy of such complaint or, action for declaratory judgment to Title Company and the Extended Term, such notice shall contain a description other party to this Escrow Agreement within thirty (30) days after delivery of the exact location then-applicable Objection Notice, then Title Company shall disburse the Deposit in accordance with the Objectionable Default Affidavit. 9. The sole duties of Title Company shall be those described herein. Title Company shall be under no obligation to determine whether the Premises that Lessee desires parties to lease during the Extended TermPurchase Agreement are complying with any requirements of law or the terms and conditions of any other agreements among said parties. Lessor Title Company may conclusively rely upon and shall be protected in acting upon any notice, consent, order or other document believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Title Company’s part. Title Company may consult the advice of counsel with respect to any issue concerning the interpretation of its duties hereunder. Buyer and Seller hereby acknowledge such fact and indemnify and hold harmless Title Company from any action taken by it in good faith in reliance thereon. Title Company shall have ten (no duty of liability to verify any such notice, consent, order or other document, and its sole responsibility shall be to act as expressly set forth in this Agreement. Title Company shall be under no obligation to institute or defend any action, suit or proceeding in connection with this Agreement. If any dispute arises with respect to the disbursement of any monies, Title Company may continue to hold the same or commence an action in interpleader and in connection therewith remit the same to a court of competent jurisdiction pending resolution of such dispute, and the parties hereto hereby indemnify and hold harmless Title Company for any action taken by it in good faith in the execution of its duties hereunder. 10) days from receipt of said notice to approve or disapprove of the Premises specified. In the event Lessor disapproves of litigation between the parties with respect to this Escrow Agreement, the performance of their respective obligations, or the effect of a termination under the Purchase Agreement or this Escrow Agreement, the losing party shall pay all costs and expenses incurred by the prevailing party in connection with such litigation, including, but not limited to, court costs and reasonable fees of counsel selected by the prevailing party. Notwithstanding any provision of the Premises specifiedPurchase agreement or this Escrow Agreement to the contrary, Lessor shall deliver notice the obligations of the disapproval which states the reasons for disapproval (and Lessor’s reasons for disapproval must be reasonably based on the functionality parties under this Section shall survive a termination of either or both of the portion Purchase Agreement and this Escrow Agreement. First American Title Insurance Company hereby acknowledges receipt of the Premises not intended foregoing escrow deposit and agrees to be renewed and Lessor’s expectations hold the same as above specified. Dated this 31st day of its ability to relet such space) . Lessee shall then have five (5) days to resubmit a revised July, 2008 TITLE COMPANY: FIRST AMERICAN TITLE INSURANCE COMPANY Address: By: Its: Legal description of the Premises Lessee desires to lease during the Extended TermLand: The North 109.21 feet of Tract F, Registered Land Survey No. This process shall continue until an agreement is reached1283 and that Part of Tract E, Registered Land Survey No. In the event that Lessor and Lessee are unable to agree upon the location 1283 lying South of the Premises for North 16.08 feet thereof, said 109.21 feet and 16.08 feet being measured along the Extended Term within sixty West line of Registered Land Survey No. 1283, files of Registrar of Titles, County of Hennepin, State of Minnesota. THIS ASSIGNMENT AND ASSUMPTION OF INTANGIBLE AND OTHER PERSONAL PROPERTY RIGHTS (60this “Assignment”) days after Initial Notice, there shall be no extension. If Lessee desires to lease the entire Premises during the Extended Term, then Lessor shall not have the right to approve or disapprove is made as of the Premises specified31st day of July, 2008, by and between 0000 XXXXXXXXXX XXXXXX CORP., a Minnesota corporation (“Assignor”), and the parties shall proceed to determine the Market Rate in accordance with Section 4 of this LeaseRIMAGE CORPORATION, a Minnesota corporation (“Assignee”).

EXTENSION OF LEASE. The right to extend this Lease pursuant to Section 4 above shall So long as Tenant is not be assignable to then in default (beyond any subtenant but shall be considered assigned to applicable notice and cure period) under any assignee term or covenant of this Lease under at the time Tenant delivers an assignment Exercise Notice (as defined below) and is not in default of any of its monetary obligations or in Material Non-Monetary Default (as defined below) (beyond any applicable notice and cure period) as of the entire Lease by Lessee in compliance with Sections 20 and 40(i) of this Lease. The right to extend shall be for all or part first day of the PremisesExtension Period, Tenant is hereby granted the right (each such right, an “Extension Option”) to renew the initial Term for up to three (3) additional periods of five (5) years each (each such period, an “Extension Period”). Lessee shall give Tenant may elect to Lessor exercise an Extension Option by delivering written notice to Landlord (the “Initial Exercise Notice” of Lessee’s election ”) indicating that Tenant elects to so extend this Leaseexercise the Extension Option, and such written which notice shall must be delivered to Lessor on or before July 1, 2006. If Lessee does not desire Landlord at least five hundred (500) days prior to lease the entire Premises during the Extended Term, such notice shall contain a description expiration of the exact location of the Premises that Lessee desires to lease during the Extended then applicable Term. Lessor shall have ten (10) days from receipt of said notice to approve or disapprove of the Premises specified. In the event Lessor disapproves of the Premises specified, Lessor shall deliver notice of the disapproval which states the reasons for disapproval (Tenant timely and Lessor’s reasons for disapproval must be reasonably based on the functionality of the portion of the Premises not intended to be renewed and Lessor’s expectations of its ability to relet such space) . Lessee shall then have five (5) days to resubmit a revised description of the Premises Lessee desires to lease during the Extended Term. This process shall continue until properly exercises an agreement is reached. In the event that Lessor and Lessee are unable to agree upon the location of the Premises for the Extended Term within sixty (60) days after Initial Notice, there shall be no extension. If Lessee desires to lease the entire Premises during the Extended Term, then Lessor shall not have the right to approve or disapprove of the Premises specified, and the parties shall proceed to determine the Market Rate Extension Option in accordance with Section 4 the immediately preceding sentence, all terms and conditions set forth in this Lease shall continue to apply during the Extension Period, except that Basic Annual Rent for the first year of such Extension Period shall be equal to ninety five percent (95%) of the Fair Market Rent (as defined in Exhibit “H”), and thereafter, on each anniversary of the Rent Commencement Date during the Extension Period, shall be increased by an amount equal to the Escalation Rate. In addition, the term of this Lease may be extended as provided in that certain Expansion Option Agreement between Tenant and Landlord (or its successors in interest under such agreement), dated on or around the date hereof (the “Expansion Option Agreement”). For purposes of this Lease, a “Material Non-Monetary Default” means (i) Tenant’s default or failure to perform its obligations under the provisions of Article IX, X or XI, excluding any defaults or failures to perform related to Tenant’s obligation to deliver any documentation, (ii) Tenant’s default or failure to perform its obligations under the provisions of Sections 6.1, 6.2, 6.3, or 14.2, and/or (iii) Tenant’s default or failure to perform its maintenance and repair obligations where such failure could reasonably be expected to result in a violation of applicable law, or damage or injury to person or property. A default under this Lease shall not be a “Material Non-Monetary Default” unless and until Landlord provides written notice to Tenant that such default constitutes a “Material Non-Monetary Default”.