Common use of Reconstruction After Casualty Clause in Contracts

Reconstruction After Casualty. If, during the Term, the Improvements are wholly or partially damaged or destroyed (whether or not such casualty is covered by insurance, or required to be covered by insurance under the terms of this Lease), Tenant shall promptly give written notice of such damage or destruction to Landlord. Except as provided in Section 9.2.2 or 9.2.3, such damage or destruction shall not terminate this Lease, and Tenant shall promptly repair and restore the Improvements to substantially the same floor area, size, type, quality and nature as existed immediately prior to such damage or destruction unless Landlord gives its prior written approval to do otherwise pursuant to Section 9.1. Tenant shall utilize any available insurance proceeds to fund the costs of such repair and restoration and to the extent insurance proceeds do not cover such costs, all further costs shall be at Tenant’s sole cost and expense. Such repair and restoration shall be commenced promptly and prosecuted with due diligence. If the Improvements are not repaired and restored and if this Lease is terminated, each with the consent of Landlord or as provided in Section 9.2.2 or 9.2.3, then any insurance proceeds shall be applied as follows and in the following order of priorities.