Common use of Security Deposit Clause in Contracts

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's Upon execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Five Hundred Thousand Dollars ($ 445,132.80 $500,000.00) Dollarsor a Letter of Credit pursuant to the terms of Paragraph 4 (F)(1) below. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefortherefor accompanied by a reasonably detailed written explanation of the basis for Landlord’s use of such funds, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If the Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration of the Lease term and after Tenant has vacated the PremisesPremises less amounts retained to cover uncured defaults. In the event of termination of Landlord's ’s interest in this Leaselease, Landlord shall transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. (1) Tenant shall have the right to provide within 10 days upon the execution of this Lease Agreement, a Letter of Credit in lieu of a Security Deposit, provided the Letter of Credit is to be issued by a financial institution with a Standard & Poors rating of “A” or better with offices in either San Francisco, San Mateo or Santa ▇▇▇▇▇ County, and in the Stated Amount, to be held by Landlord in accordance with the terms, provisions and conditions of this Lease. Tenant shall pay all expenses, points and/or fees incurred by Tenant in obtaining the Letter of Credit. In the event the issuer of the Letter of Credit no longer maintains a Standard & Poors rating of “A” or better, Landlord shall notify Tenant and Tenant shall within fifteen (15) business days thereafter issue a new Letter of Credit with a financial institution with a Standard & Poors rating of “A” or better. If Tenant fails to issue a replacement Letter of Credit with such 15-business day period, Landlord shall be entitled to draw upon the Letter of Credit if the credit rating or financial condition of the issuer of the Letter of Credit is no longer compliant with the requirements of this Paragraph 4(F). Following any such draw by Landlord on the Letter of Credit solely because of the deterioration of the creditworthiness of the issuer of the Letter of Credit, Landlord will disburse such Letter of Credit proceeds to Tenant provided (i) Tenant delivers to Landlord a replacement Letter of Credit from a financial institution with a Standard & Poors rating of “A” or better with offices in either San Francisco, San Mateo or Santa ▇▇▇▇▇ County, and in favor of Landlord in a form, containing terms, issued by a lending institution, and drawable in a location all reasonably preapproved by Landlord within sixty (60) days after Landlord’s draw thereon, (ii) at the time of Tenant’s delivery of the replacement Letter of Credit, there exists no default with respect to any provisions of this Lease, and (iii) Tenant pays all of the fees and expenses charged by the issuer of the Letter of Credit in connection with such disbursement; provided, further, that if any of the three (3) foregoing conditions are not satisfied within such sixty (60) day period, the proceeds received from such draw shall constitute Landlord’s property (and not Tenant’s property or the property of the bankruptcy estate of Tenant) and Landlord shall then use, apply or retain all or any part of the proceeds for the purposes set forth in clauses (1) through (4) of the next paragraph. Tenant shall have the right to replace the Letter of Credit at any time provided it is with a financial institution that meets the qualifications set forth above. The Stated Amount shall be Five Hundred Thousand Dollars ($500,000.00). The Letter of Credit shall state that an authorized officer or other representative of Landlord may make demand on Landlord’s behalf for the Stated Amount of the Letter of Credit, or any portion thereof, and that the issuing bank must immediately honor such demand, without qualification or satisfaction of any conditions, except the proper identification of the party making such demand. In addition, the Letter of Credit shall indicate that it is transferable in its entirety by Landlord as beneficiary and that upon receiving written notice of transfer, and upon presentation to the issuing bank of the original Letter of Credit, the issuer or confirming bank will reissue the Letter of Credit naming such transferee as the beneficiary. Tenant shall be responsible for the payment to the issuing bank of any transfer costs imposed by the issuing bank in connection with any such transfer. If (A) the term of the Letter of Credit held by Landlord will expire prior to the date which is sixty (60) days after the last day of the Lease Term and the Letter of Credit is not extended, or a new Letter of Credit for an extended period of time is not substituted, in either case at least (30) days prior to the expiration of the Letter of Credit, or (B) a default beyond applicable notice and cure periods occurs, or, without regard to notice and cure periods, there occurs a filing of a voluntary petition under Title 11 of the United States Code (i.e., the Bankruptcy Code), or Tenant otherwise becomes a debtor in any case or proceeding under the Bankruptcy Code, as now existing or hereinafter amended, Landlord may (but shall not be required to) draw upon all or any portion of the Stated Amount of the Letter of Credit to the extent reasonably required to cure such default (provided, however that the entire amount of the Letter of Credit may be drawn upon following any occurrence described in item (B) above), and the proceeds received from such draw shall constitute Landlord’s property (and not Tenant’s property or the property of the bankruptcy estate of Tenant) and Landlord shall, at its election, then use, apply or retain all or any part of the proceeds (1) for the payment of any sum which is in default, (2) for the payment of any other amount which Landlord may spend or become obligated to spend by reason of the default, (3) to compensate Landlord for any loss or damage which Landlord may suffer by reason of Tenant’s default or (4) as prepaid rent to be applied against Tenant’s next Rent obligations as they become due until the remaining proceeds are exhausted. If any portion of the Letter of Credit proceeds is so used or applied, Tenant shall, within ten (10) days after demand therefor, post an additional Letter of Credit in an amount to cause the aggregate amount of the unused proceeds and such new Letter of Credit to equal the then-applicable Stated Amount required in this Paragraph 4(F). Landlord shall not be required to keep any proceeds from the Letter of Credit separate from its general funds. Should Landlord sell its interest in the Premises during the Lease Term and if Landlord deposits with the purchaser thereof the Letter of Credit or any proceeds of the Letter of Credit, thereupon Landlord shall be discharged from any further liability with respect to the Letter of Credit and said proceeds and Tenant shall look solely to such transferee for the return of the Letter of Credit or any proceeds therefrom. The Letter of Credit or any remaining proceeds of the Letter of Credit held by Landlord after expiration of the Lease Term, after any deductions described in this Paragraph 4(F), shall be returned to Tenant or, at Landlord’s option, to the last assignee of Tenant’s interest hereunder, within sixty (60) days following the expiration of the Lease Term. The use, application or retention of the Letter of Credit, the proceeds or any portion thereof, shall not prevent Landlord from exercising any other rights or remedies provided under this Lease, it being intended that Landlord shall not be required to proceed against the Letter of Credit, and such use, application or retention of the Letter of Credit shall not operate as a limitation on any recovery to which Landlord may otherwise be entitled. No trust relationship is created herein between Landlord and Tenant with respect to the Letter of Credit. Landlord and Tenant acknowledge and agree that in no event or circumstance shall the Letter of Credit, any renewal thereof or substitute therefor or the proceeds thereof be (i) deemed to be or treated as a “security deposit” within the meaning of California Civil Code Section 1950.7, (ii) subject to the terms of such Section 1950.7, or (iii) intended to serve as a “security deposit” within the meaning of such Section 1950.7. The parties hereto (A) recite that the Letter of Credit is not intended to serve as a security deposit and such Section 1950.7 and any and all other laws, rules and regulations applicable to security deposits in the commercial context (“Security Deposit Laws”) shall have no applicability or relevancy thereto and (B) waive any and all rights, duties and obligations either party may now or, in the future, will have relating to or arising from the Security Deposit Laws. Notwithstanding the foregoing, to the extent California Civil Code Section 1950.7 in any way: (a) is applicable to the Letter of Credit (or any proceeds thereof); or (b) controls Landlord’s rights to draw on the Letter of Credit or apply the proceeds of the Letter of Credit to any amounts due under this Lease or any damages Landlord may suffer following termination of this Lease, then Tenant fully and irrevocably waives the benefits and protections of Section 1950.7 of the California Civil Code (except for subsection (b) of Section 1950.7 of the California Civil Code) as it relates to the Letter of Credit, it being agreed that Landlord may recover from the Letter of Credit (or its proceeds) all of Landlord’s damages under this Lease and California law including, but not limited to, any damages accruing upon the termination of this Lease in accordance with this Lease and Section 1951.2 of the California Civil Code. Provided that no monetary Event of Default (as defined in Paragraph 22 below) has occurred during the Term and then exists and no other Event of Default then exists, Landlord agrees that Tenant may reduce the Security Deposit or the Letter of Credit to the sum of $250,000 after the 30th month of the Lease Term,

Security Deposit. Concurrently with Tenant's the execution of this Lease, Tenant shall deposit with deliver to Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollarscash payment to fulfill the Security Deposit requirement described in Article 1. Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance of this Lease by Tenant of all of the terms, covenants, covenants and conditions of this Lease to be kept and performed Lease. If there is an Event of Default by Tenant during the term hereof. If Tenant defaults with respect to any provision provisions of this Lease, including, Lease (including but not limited to, the provisions relating to the payment of rent and Rent); if Tenant files a petition in bankruptcy, insolvency, reorganization, dissolution or liquidation under any law; makes an assignment for the benefit of its creditors; consents to or acquiesces in the appointment of a receiver of itself or the Premises, or if a court of competent jurisdiction enters an order or judgment appointing a receiver of Tenant or the Premises; or if a court of competent jurisdiction enters an order or judgment approving a petition filed against Tenant under any bankruptcy, insolvency or liquidation law, then in any such case Landlord may, without waiving any of Landlord’s other rights or remedies under this Lease, apply the monetary Security Deposit in whole or in part to remedy any failure by Tenant to pay any sums due herewithunder this Lease, Landlord may (but shall not be required to) useto repair or maintain the Premises, apply or retain all or any part of this Security Deposit for the payment of to perform any other amount which Landlord may spend by reason of Tenant's default terms, covenants or conditions contained in this Lease, to compensate Landlord for any other loss or damage damages which Landlord may suffer by reason as a result thereof, including without limitation any lost rent to which Landlord is entitled in the event the Lease terminates or is rejected as a result of Tenant's defaultany of the foregoing. If Should Landlord so apply any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, shall replenish the Security Deposit to the original amount within ten fifteen (1015) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Leaseby Landlord. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforDeposit.

Security Deposit. Concurrently Subject to Paragraph 50, concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR EIGHTY TWO THOUSAND TWO HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO TWENTY NINE AND 80/100 70/100 ($ 445,132.80 $82,229.70) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, . Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the thc payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, . the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, . Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution Landlord acknowledges receipt of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Thirty Thousand and 00/100THS U.S. Dollars ($ 445,132.80 $30,000.00) Dollarspaid by Tenant upon the execution hereof. Said In addition, the Tenant shall pay to Landlord on December 1, 1997 the sum shall of Twelve Thousand Five Hundred and 00/100ths U.S. Dollars ($12,500.00) for a total security deposit of Forty-two Thousand Five Hundred and 00/100THS U.S. Dollars ($42,500.00), to be held retained by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, terms and conditions of this Lease lease Agreement to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this LeaseTenant, including, but not limited to, the provisions relating to the including payment of rent and any of all rental due under the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Leaseterms hereof. Landlord shall not owe Tenant any interest on the deposit. At Landlord's election, deductions may be required made by Landlord from the amount so retained for the reasonable cost of repairs to keep this Security Deposit separate from its general fundsthe premises which should have been performed by Tenant, for any rental payment or other sum delinquent under the terms hereof, and for any sum used by Landlord in any manner to cure any default in the performance of Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision under the terms of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premiseslease. In the event deductions are so made during the rental term, upon notice by Landlord, Tenant shall redeposit such amounts so expended so as to maintain the security deposit in the amount as herein provided for, within 10 days after receipt of such written demand from Landlord. Nothing herein contained shall limit the liability of Tenant as to any repairs or maintenance of the premises; and nothing herein shall limit the obligation of Tenant promptly to pay all sums otherwise due under this lease and to comply with all the terms and conditions hereof. The security deposit, less any sums withheld by Landlord pursuant to the terms hereof, shall be repaid to Tenant within sixty days after the date of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforlease.

Security Deposit. Concurrently with Tenant has paid or will pay Landlord the amount of Seventy-Two Thousand Eight Hundred Twenty-Four Dollars and Fifty Cents ($72,824.50) as security for the full and faithful performance of each of the terms hereof by Tenant's execution of . Landlord shall not be required to keep this Lease, security deposit separate from its general funds and Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall not be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease entitled to be kept and performed by Tenant during the term hereofinterest thereon. If Tenant defaults with respect to any provision of this Lease, including, including but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (may, but shall not be required to) , use, apply or retain all or any part of this Security Deposit security deposit for the payment of any rent or any other sum in default, or for the payment-of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default, including without limitation, costs and attorneys' fees incurred by Landlord to recover possession of the Premises upon a default by Tenant hereunder. If any portion of said Deposit deposit is so used or applied, Tenant shall, within ten (10) days after written upon demand therefortherefore, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. amount and Tenant's failure to do so shall be constitute a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdefault hereunder by Tenant. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at within thirty (30) days following the later of expiration of the Lease term Term and after Tenant has vacated surrender of possession of the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit Premises to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions upon Tenant’s execution of this Lease to be kept a security deposit in the amount of One Million One Hundred Thousand and performed by Tenant during 00/100 Dollars ($1,100,000.00) (the term hereof“Security Deposit”) as security for Tenant’s faithful performance of Tenant’s obligations under this Sublease. If Tenant fails to pay Rent or otherwise defaults with respect to any provision of under this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithSublease, Landlord may (but shall not be required to) use, apply or retain all or any part of this use the Security Deposit for the payment of any other amount which due Landlord may spend by reason of Tenant's default or to reimburse or compensate Landlord for any other liability, cost, expense, loss or damage (including attorneys’ fees) which Landlord may suffer or incur by reason of Tenant's defaultthereof. If any portion of said Deposit is Tenant shall on demand pay Landlord the amount so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient applied so as to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of the amount set forth in this LeaseSection 6.01. Landlord shall not be required to keep this all or any part of the Security Deposit separate from its general fundsaccounts. Landlord shall, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration or earlier termination of the Lease term Term and after Tenant has vacated the Premises, return to Tenant that portion of the Security Deposit not used or applied by Landlord. No part of the Security Deposit shall be considered to be held in trust, to bear interest, or to be prepayment for any monies to be paid by Tenant under this Sublease. In the event of termination an assignment by Landlord of Landlord's its interest in this under the Master Lease, Landlord shall have the right to transfer said the Security Deposit to Landlord's successors in interest whereupon ’s assignee, and Tenant agrees to release Landlord from liability look to such assignee solely for the return of the Security Deposit and it is agreed that the provisions hereof shall apply to every transfer or assignment made of the Security Deposit to a new landlord. Tenant further covenants that it shall not assign or encumber or attempt to assign or encumber the monies deposited herein as security and that neither Landlord nor its successors or assigns shall be bound by any such Deposit assignment, encumbrance, attempted assignment or the accounting thereforattempted encumbrance.

Security Deposit. Concurrently with TenantUpon Landlord's execution purchase of this Leasethe Property, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by $250,000 in cash and $400,000 in the form of an irrevocable Letter of Credit in form acceptable to Landlord and drawn on a financial institution acceptable to Landlord, as and for a "Security Deposit Deposit" for the full and faithful performance by Tenant of all each and every term, provision, covenant and condition of this Lease. On the first day of each month, Tenant will deposit an additional $9,500 of cash into the Security Deposit. The amount of the Letter of Credit held by Landlord or Landlord's Mortgagee shall be reduced each six months by $1.00 for each $1.00 of any such additional cash deposits made during the preceding six months of the Term until the Letter of Credit is reduced to zero. The Security Deposit in cash and Letter of Credit shall in no event exceed $1,150,000. The cash portion of such Security Deposit shall be maintained by or on behalf of Landlord and/or Landlord's Mortgagee in a separate interest-bearing account reasonably acceptable to Tenant, and shall not be commingled with Landlord's other accounts. The Letter of Credit portion of the Security Deposit shall be issued, at Landlord's request, either in the name of Landlord, or Landlord's Mortgagee and shall be held by either Landlord or an escrow agent, in which case Tenant agrees it will execute any documentation necessary to effectuate the intent of this Section 34. In the event that Tenant fails to pay any Base Rent or other amounts payable under this Lease within three days of the due date, or in the event Tenant defaults beyond the period allowed for cure in the Lease in respect to any of the other terms, covenantsprovisions, covenants and conditions of this Lease Lease, Landlord may use, apply or retain the whole or any part of the security so deposited for the payment of any such amounts or for any sum which Landlord may expend or be required to be kept and performed expend by Tenant during the term hereof. If Tenant defaults with respect to any provision reason of this LeaseTenant's default, including, but not limited to, any damages or deficiency may accrue before or after reentry by Landlord. Tenant shall be entitled to any interest on the provisions relating to Security Deposit, payable quarterly, if the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment is in cash. It is expressly understood and agreed that such deposit is not an advance rental deposit or a measure of any other amount which Landlord may spend by reason of TenantLandlord's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason damages in case of Tenant's default. If Upon application of any portion part of said Deposit is so used or appliedthe deposit by Landlord as provided herein, Tenant shall, within ten (10) days after written shall pay to Landlord on demand therefor, the amount so applied in order to restore the security deposit cash with to its original amount. Any application of the deposit by Landlord shall not be deemed to have cured Tenant's default by reason of which the application is made. Tenant hereby grants to Landlord a security interest in the Security Deposit to secure all of Tenant's obligations to Landlord in connection with the amount sufficient Lease, including without limitation, any claims in favor of Landlord arising out of rejection of the Lease in bankruptcy. Tenant acknowledges that Landlord may assign the Security Deposit to restore Landlord's Mortgagee and consents to said assignment. In the event of a bona fide sale of the Building of which the Premises are a part, Landlord shall have the right to transfer the Security Deposit to its original amount. vendee for the benefit of Tenant's failure to do so , and thereafter Landlord shall be a material breach released of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from all liability for the return of such deposit and Tenant agrees to look to said vendee for the return of its security deposit. It is agreed that this provision shall apply to every transfer or assignment made of the security deposit to any new landlord. This Security Deposit shall not be assigned or encumbered by Tenant. It is expressly understood that the accounting thereforreentry of the Premises by Landlord for any default on the part of Tenant prior to the expiration of the term of this Lease shall not be deemed a termination of this Lease so as to entitle Tenant to recover the security deposit, and the security deposit shall be retained and remain in the possession of Landlord until the end of the term of this Lease, except as set forth below. Actions by Landlord against Tenant for breach of this Lease shall in no way be limited or restricted by the amount of this security deposit and resort to such deposit shall not waive any other rights or constitute an election of remedies which Landlord may have. If Tenant has fulfilled all of its obligations under the Lease through the Initial Term and renews the Lease for the First Renewal Term, the Security Deposit will be reduced to an amount equal to one monthly installment of the Base Rent and other charges then due under this Lease, and the remaining amounts in the Security Deposit (including accrued interest) will be returned to Tenant. If the Lease is not renewed for the First Renewal Term, the Security Deposit will be retained by Landlord and used to pay all costs of operating and maintaining the Premises, marketing the Premises for sale or lease, making repairs and improvements to the Premises, to prepare the Premises for sale or lease, and paying any other costs reasonably incurred in selling or reletting the Premises. Upon sale or lease of all or substantially all of the Premises, Landlord will pay to Tenant any portions of such Security Deposit which have not been used for such purposes. If Tenant performs all of its obligations under this Lease through the First Renewal Term and any subsequent Renewal Terms, any amounts remaining in the Security Deposit (including accrued interest) will be returned to Tenant at the expiration of this Lease following any adjustment of Operating Cost for the last year of the Term.

Security Deposit. Concurrently with TenantLessee's execution of this LeaseLease and submission thereof for Lessor's execution, Tenant Lessee shall deposit with Landlord pay the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum Deposit to Lessor, which Deposit shall be held by Landlord Lessor as a Security Deposit security for the full and faithful performance by Tenant of all of Lessee's covenants and obligations under the termsLease. The Deposit is not an advance Base Rental deposit, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the an advance payment of any other amount which Landlord may spend by reason kind, or a measure of TenantLessor's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason damages in case of TenantLessee's default. If Lessee fails to comply with the full and timely performance of any or all of Lessee's covenants and obligations set forth in this Lease, then Lessor may, from time to time, without waiving any other remedy available to Lessor, use the Deposit, or any portion of said Deposit is so used it, to the extent necessary to cure or applied, Tenant shall, within ten (10) days after written remedy such failure or to compensate Lessor for any or all damages sustained by Lessor resulting from Lessee's failure to comply fully and timely with its obligations pursuant to this Lease. Lessee shall immediately pay to Lessor on demand therefor, deposit cash with Landlord in the amount sufficient so applied in order to restore the Security Deposit to its original amount. Tenant, and Lessee's failure to immediately do so shall be constitute a material breach of default under this Lease. Landlord If Lessee is in compliance with the covenants and obligations set forth in this Lease at the time which is sixty (60) days following the time of both the expiration (or earlier termination) of this Lease and Lessee's vacating of the Premises, Lessor shall return the Deposit to Lessee promptly thereafter. Lessor's obligations with respect to the Deposit are those of a debtor and not a trustee. Lessor shall not be required to keep this Security maintain the Deposit separate and apart from its Lessor's general or other funds, and Tenant Lessor may commingle the Deposit with any of Lessor's general or other funds. Lessee shall not at any time be entitled to interest on such the Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord upon opening for business the sum of FOUR THOUSAND SEVEN HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 FIFTY DOLLARS & 00/100 ($ 445,132.80 4750.00) Dollars. Said sum shall be held by Landlord Dollars as a Security Deposit security for the Tenant's faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant's obligations hereunder. If Tenant fails to pay rent or other charges due hereunder or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any rent or other charge in default or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or applied, deposit Tenant shall, shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. said deposit full amount hereinabove stated and Tenant's failure to do so shall be a material breach of this Lease, and Landlord may at his option terminate this Lease. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed Tenant's obligations hereunder, said deposit or so much thereof as had not theretofore been applied by itLandlord, the Security Deposit or any balance thereof shall be returned returned, without payment of interest or other increment for its use, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at within fifteen (15) days after the expiration of the Lease term and hereof, or after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforwhichever is later.

Security Deposit. Concurrently with Tenant's execution of Subject to the provisions herein, as long as ALZA or an ALZA Affiliate is the Tenant under this Lease, Tenant shall not be required to deposit with Landlord a security deposit ("Security Deposit") under this Lease; however, Landlord shall require a Security Deposit in an amount equal to two times the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said last month's Basic Rent in this Lease in the event this Lease is assigned to an Unaffiliated Assignee and ALZA is released from liability for said Lease, in which case, said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofLease Term. If Tenant defaults with respect to any provision of this LeaseLease and such default is not cured within any applicable cure period, including, but not limited to, the provisions relating to the payment of rent and Rent or any of the other monetary sums due herewithhereunder, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of such amount in default, or any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to the last party recognized by Landlord as Tenant hereunder (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term Term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said the Security Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. Notwithstanding the above, Tenant shall have the right, at Tenant's sole election, to substitute for one-half of the cash Security Deposit to be held by Landlord, an irrevocable letter of credit, drawn upon an institutional lender reasonably acceptable and accessible to Landlord in form and content reasonably satisfactory to Landlord and for a term equal to at least one year (with the letter of credit required to be renewed or replaced by Tenant so as to be available to be drawn on at any time during the Lease Term plus a period of sixty (60) days). Said financial institution must agree that the presentment for demand may be made in at least one of the following locations: San Jose, Santa Clara, San Francisco or Palo Alto, Californi▇. ▇uch irre▇▇▇▇▇le letter of credit shall be renewed by the issuer (or replaced with a similarly qualifying letter of credit reasonably acceptable to Landlord) at least twenty (20) days prior to the expiration date thereof from time to time during the Lease Term, and shall be held by Landlord as security for the faithful performance by Tenant of all the terms, covenants and conditions of this Lease to be kept and performed by Tenant. If, for any reason, Tenant fails to cause the irrevocable letter of credit to be so renewed or replaced at least twenty (20) days prior to its expiration date, Landlord shall have the right to immediately draw upon the letter of credit in full and hold the proceeds thereof as a cash Security Deposit hereunder. If Tenant has theretofore funded the Security Deposit entirely in cash, one half of the cash Security Deposit held by Landlord shall be refunded to Tenant upon Landlord's receipt of an acceptable irrevocable letter of credit. If Tenant defaults with respect to any provisions of this Lease and such default is not cured within any applicable cure period, including but not limited to provisions relating to the payment of Rent, Landlord may (but shall not be required to) draw down on the irrevocable letter of credit for payment of any sum which Landlord may spend or become obligated to spend by reason of Tenant's default, or to compensate Landlord for any loss or damage which Landlord may suffer by reason of Tenant's default. Landlord and Tenant acknowledge that such irrevocable letter of credit will be treated as if it were a cash Security Deposit, and such irrevocable letter of credit may be drawn down upon by Landlord in the amount then due to Landlord upon demand and presentation of evidence of the identity of Landlord to the issuing bank, in the event that Tenant defaults with respect to any provision of this Lease and such default is not cured within any applicable cure period. Landlord acknowledges that it is not entitled to and shall not draw down such irrevocable letter of credit unless Landlord would have been entitled to draw upon a cash Security Deposit pursuant to the terms of this Paragraph 4G. Concurrently with the delivery of the required information to the issuing bank, Landlord shall deliver to Tenant written evidence of the default upon which the draw down was based, together with evidence that Landlord has provided to Tenant the written notice of such default which was required under the applicable provision of the Lease, and evidence of the failure of Tenant to cure such default within the applicable grace period following receipt of such notice of default. If any portion of the irrevocable letter of credit is used or applied pursuant hereto, Tenant shall, within ten (10) days after receipt of a written demand therefor from Landlord, restore and replace the value of such security by either (i) depositing cash with Landlord in the amount equal to the sum drawn down under the irrevocable letter of credit, or (ii) increasing the irrevocable letter of credit to its value immediately prior to such application. Tenant's failure to replace the value of the security as provided in the preceding sentence shall be a material breach of its obligation under this Lease. The letter of credit shall further provide to the effect: (i) that it shall automatically renew for additional periods of one (1) year each from the expiry date or future expiry date, unless at least twenty (20) days prior to any expiry date the issuer notifies Landlord by registered mail of the issuer's election not to renew the letter of credit and (ii) if the issuer is unable or unwilling to so renew the letter of credit, the issuer shall deem such to automatically constitute a draw request from Landlord upon the letter of credit without further demand, and with the issuer on or before the expiration of such letter of credit to deposit for Landlord's account an amount equal to the amount remaining committed but undrawn under the letter of credit (unless issuer has sought and obtained from Landlord prior thereto a written acknowledgment by Landlord of the termination of the requirement of this Lease for such letter of credit to be so renewed, in which event issuer shall not be required to make such a deposit for Landlord's account).

Security Deposit. Concurrently with Tenant's execution If at any time during the Term of this Lease, any Rent or any other sum due Landlord shall be overdue and unpaid, whether as a result of an Event of Default or otherwise, then Landlord, at its option, may appropriate and apply all or any portion of the Security Deposit to the payment of any overdue Rent or other sum due from Tenant to Landlord hereunder. The use, application or retention of the Security Deposit, or any portion thereof, by Landlord shall not prevent Landlord from exercising any other right or remedy provided by this Lease or at law or in equity (it being intended that Landlord shall not first be required to proceed against the Security Deposit) and shall not operate as a limitation on any recovery to which Landlord may otherwise be entitled. Upon Landlord’s request, Tenant shall deposit with forthwith remit to Landlord cash sufficient to restore said sum to the original sum deposited. Tenant’s failure to do so within five (5) business days after receipt of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum a demand therefor shall be held a default under this Lease. Landlord is not required to keep the Security Deposit separate from Landlord’s general fund or segregate the Security Deposit from other funds. No interest will be paid to Tenant on the Security Deposit, except as may be required by applicable law. At expiration of the Term, Landlord shall return the Security Deposit to Tenant less any sum that may be applied from the Security Deposit by Landlord as a Security Deposit for the faithful performance pursuant to this Section 18.7 less any amount reasonably retained by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults Landlord with respect to any provision default (or Event of Default) by Tenant hereunder which has not yet been cured. Upon resolution of such default or Event of Default, as applicable, Landlord shall remit any withheld Security Deposit to Tenant that is in excess of any sum that Landlord is permitted to apply against the Security Deposit pursuant to this Section 18.7, and thereupon Landlord shall be discharged from all liability with respect to such deposit. Neither said deposit nor the application thereof by Landlord, as hereinabove provided, shall be a bar or defense to any action in unlawful detainer or to any action which Landlord may at any time commence for a breach of any of the covenants or conditions of this Lease. Nothing herein shall be construed to limit the amount of damages recoverable by Landlord, including, but not limited to, it being specifically agreed that the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but Security Deposit shall not be required to) usedeemed liquidated damages in the event of a default by Tenant under this Lease. In no event shall the Security Deposit be considered an advance payment of Rent, apply or retain all or any part of this nor shall Tenant be entitled to use the Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforRent.

Security Deposit. Concurrently with Tenant's If an amount is set forth in the Basic Lease Provisions as the Security Deposit, upon execution of this Lease, Tenant shall deposit with Landlord the sum acknowledges receipt of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Tenant’s Security Deposit for the full and faithful performance by Tenant of all of the terms, covenants, covenants and conditions terms of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the ▇▇▇▇▇▇. Such Security Deposit or any balance thereof shall be returned to Tenant within thirty (or at Landlord's option, to the last assignee of Tenant's interest hereunder30) at days after the expiration of this Lease provided ▇▇▇▇▇▇ has fully and faithfully carried out all of Tenant’s obligations hereunder, including the Lease term payment of all amounts due to Landlord hereunder and after Tenant has vacated the Premisessurrender of the Premises to Landlord in the condition required herein. However, Landlord, at ▇▇▇▇▇▇▇▇’s option, may apply such sum on account of the payment of the last month’s Minimum Monthly Rental hereunder. Said sum may be commingled with other funds of Landlord and shall not bear interest. Notwithstanding the above, if ▇▇▇▇▇▇ becomes obligated to pay a Late Charge or upon the occurrence of any Event of Default described in paragraph 24 below, at Landlord’s option, the Security Deposit shall become immediately due and payable in full to Landlord, to be applied against any Late Charge, damages or losses suffered by Landlord as a result of ▇▇▇▇▇▇’s failure to timely pay Rental or an Event of Default. In the event of termination a sale of Landlord's interest in the Building subject to this Lease, Landlord shall transfer said the Security Deposit to Landlord's successors in interest whereupon Tenant agrees the purchaser to release be held under the terms of this Lease, and Landlord shall thereupon be released from all liability for the return of such Deposit or the accounting thereforSecurity Deposit; ▇▇▇▇▇▇ agrees to look solely to the new Landlord for the return of the Security Deposit.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE SIXTY NINE THOUSAND ONE THREE HUNDRED THIRTY TWO TWENTY FOUR AND 80/100 ($ 445,132.80 $469,324.80) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, . Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. [ILLEGIBLE] AND COMMON AREA Subject to the terms and conditions of this Lease and such Rules and Regulations as Landlord may from time to time prescribe, Tenant and Tenant's employees, invitees and customers shall, in common with other occupants of the Complex in which the Premises are located, and their respective employees, invitees and customers, and others entitled to the use thereof, have the non-exclusive right to use the access roads, parking areas, and facilities provided and designated by Landlord for the general use and convenience of the occupants of the Complex in which the Premises are located, which areas and facilities are referred to herein as "Common Area". This right shall terminate upon the termination of this Lease. Landlord reserves the right from time to time to make changes in the shape, size, location, amount and extent of Common Area. Landlord further reserves the right to promulgate such reasonable rules and regulations relating to the use of the Common Area, and any part or parts thereof, as Landlord may deem appropriate for the best interests of the occupants of the Complex. The Rules and Regulations shall be binding upon Tenant upon delivery of a copy of them to Tenant, and Tenant shall abide by them and cooperate in their observance. Such Rules and Regulations may be amended by Landlord form time to time, with or without advance notice, and all amendments shall be effective upon delivery of a copy to Tenant. Landlord shall not be responsible to Tenant for the non-performance by any other tenant or occupant of the Complex of any of said Rules and Regulations. Landlord shall operate, manage and maintain the Common Area. The manner in which the Common Area shall be maintained and the expenditures for such maintenance shall be at the discretion of Landlord. * $140,313.60 Cash due upon Lease execution. $68,486.40 Promissory Note due December 1, 2000. $260,524.80 Promissory Note due May 1, 2001.

Security Deposit. Concurrently Contemporaneously with Tenant's the execution of this Lease, (i) Landlord shall retain and apply the Existing Security Deposit set forth in Section 2.2 above as part of the Security Deposit set forth in Section 10 of the Summary, and (ii) Tenant shall deposit with Landlord the sum balance of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 such Security Deposit in the amount of $38,898.28 ($ 445,132.80 ) Dollarssuch amounts retained by Landlord and deposited by Tenant shall be collectively referred to herein as the "SECURITY DEPOSIT"). Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofLease Term. If Tenant defaults with respect to any provision provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (may, but shall not be required to) , use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or any other sum in default, or for the payment of any amount which that Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason of Tenant's default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. , and Tenant's failure to do so shall be a material breach of default under this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and If Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit Deposit, or any balance thereof thereof, shall be returned to Tenant (or Tenant, or, at Landlord's option, to the last assignee of Tenant's interest hereunderin the Security Deposit, within thirty (30) days following the expiration (or earlier termination for any reason other than an event of default by Tenant) of the Lease Term. Tenant shall not be entitled to any interest on the Security Deposit, except to the extent Landlord fails to return the Security Deposit within thirty (30) days after expiration (or such earlier termination) of the Lease Term, in which case the Security Deposit shall accrue interest at the Interest Rate from and after the expiration of such 30-day period until returned to Tenant. Tenant hereby waives the Lease term provisions of Section 1950.7 of the California Civil Code, and after all other provisions of law, now or hereafter in force, which provide that Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by Tenant has vacated or to clean the Premises. In , it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the event act or omission of termination Tenant or any officer, employee, agent or invitee of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforTenant.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Seventy-Four Thousand Eight Hundred Eighty and No/100 Dollars ($ 445,132.80 ) Dollars$74,880.00). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, covenants and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently Contemporaneously with Tenant's the execution of this Lease, Tenant shall deposit with pay to Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum Security Deposit, which shall be held by Landlord as a to secure Tenant’s performance of its obligations under this Lease. The Security Deposit for the faithful performance by Tenant is not an advance payment of Rent or a measure or limit of Landlord’s damages upon an Event of Default (as defined herein). Landlord may, from time to time following an Event of Default and without prejudice to any other remedy, use all or a part of the terms, covenants, and conditions of this Lease Security Deposit to be kept and performed by perform any obligation Tenant during the term hereoffails to perform hereunder. If Tenant defaults with respect to Following any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any such application of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or appliedDeposit, Tenant shall, within ten (10) days after written shall pay to Landlord on demand therefor, deposit cash with Landlord in the amount sufficient so applied in order to restore the Security Deposit to its original amount. Tenant's failure Subject to do so the requirements of, and conditions imposed by, Laws applicable to security deposits under commercial leases, Landlord shall, within the time required by applicable Law, return to Tenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by Law. Landlord and Tenant agree that such deductions shall be include, without limitation, all damages and losses that Landlord has suffered or that Landlord reasonably estimates that it will suffer as a material result of any breach of this LeaseLease by T▇▇▇▇▇. Landlord shall not be required to keep this The Security Deposit separate from its general may be commingled with other funds, and Tenant no interest shall not be entitled to interest on such Depositpaid thereon. If Tenant fully and faithfully performs every provision of this Lease to be performed by itLandlord transfers its interest in the Premises, Landlord shall assign the Security Deposit or any balance thereof shall be returned to the transferee and, upon such transfer and the delivery to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration an acknowledgement of the Lease term and after Tenant has vacated transferee’s responsibility for the Premises. In the event of termination of Landlord's interest in this LeaseSecurity Deposit as provided by Law, Landlord thereafter shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from have no further liability for the return of such Deposit or the accounting thereforSecurity Deposit.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited or concurrently herewith is depositing with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit set forth in Article 1.F. of the Basic Lease Provisions as security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions every provision of this Lease to be kept and performed by Tenant during the term hereofTenant. If Tenant defaults with respect materially breaches, after notice and failure to cure as provided herein, any provision of this Lease, including, including but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain use all or any part of this Security Deposit security deposit for the payment of any rent or any other amount which Landlord may spend by reason of Tenant's default sums in default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amountthe amount identified above. Tenant's failure to do so shall be a material breach of this Lease. Tenant agrees that Landlord shall not be required to keep this the Security Deposit in trust, segregate it or keep it separate from its Landlord’s general funds, but Landlord may commingle Tenant’s Security Deposit with its general funds and Tenant shall not be entitled to interest on such its Security Deposit. If At the expiration of the Term, and provided there exists no default by Tenant fully and faithfully performs every provision of this Lease to be performed by ithereunder, the Security Deposit or any balance balance, if any thereof shall be returned to Tenant within ninety (or at Landlord's option, to the last assignee of Tenant's interest hereunder90) at the expiration days of the Lease term termination date. Landlord may retain from said Security Deposit (i) any and after all amounts incurred by Landlord to cover the costs to be incurred by Landlord to remove any items required to be removed by Tenant has vacated the Premises. In the event of termination of Landlord's interest under Section 29(b) below and to repair any damage caused by such removal (in this Lease, which case any excess amount so retained by Landlord shall transfer said Deposit be returned to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of within thirty (30) days after such Deposit removal and repair), and (ii) any and all amounts permitted by law or the accounting thereforthis Article 4.

Security Deposit. Concurrently with TenantUpon Lessee's execution of this Lease, Tenant Lessee shall ---------------- deposit with Landlord Lessor the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 set forth in Article 1. i. as the security deposit ($ 445,132.80 ) Dollars"Security Deposit"). Said sum The Security Deposit shall be held by Landlord Lessor as a Security Deposit security for the faithful performance by Tenant Lessee of all of the terms, covenants, covenants and conditions of this Lease to be kept and performed by Tenant Lessee during the term hereofTerm. If Tenant Lessee defaults with respect to any provision of this Lease, including, but not limited to, to the provisions relating to the payment of rent and any Rentals or relating to the condition of the monetary sums due herewithPremises at Lease Termination, Landlord Lessor may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of any Rental or any other sum in default, or for the payment of any amount which Landlord Lessor may spend or become obligated to spend by reason of TenantLessee's default default, or to compensate Landlord Lessor for any other loss or damage which Landlord Lessor may suffer by reason ▇▇▇▇▇ of TenantLessee's default. If any portion of said the Security Deposit is so used or applied, Tenant shall, Lessee shall within ten five (105) days after written demand therefor, deposit cash with Landlord Lessor in the an amount sufficient to restore the Security Deposit to its original amount. Tenantamount and Lessee's failure to do so shall be a material breach of this Lease. Landlord Lessor shall not be required to keep this the Security Deposit separate from its general funds, and Tenant Lessee shall not be entitled to interest on such the Security Deposit. If Tenant fully and faithfully performs every provision Lessor is not a trustee of this Lease to be performed by it, the Security Deposit and may use it in ordinary business, transfer it or assign it, or use it in any balance thereof combination of such ways. Any remaining portion of the Security Deposit shall be returned to Tenant Lessee (or or, at LandlordLessor's option, to the last assignee of TenantLessee's interest hereunder) at the expiration within two (2) weeks after Lease Termination and vacation of the Lease term and after Tenant has vacated Premises by Lessee or its last assignee; provided, however if any portion of the Security Deposit is to be applied to repair damages to the Premises caused by Lessee or Lessee's Agents or to clean the Premises, then the balance of the Security Deposit shall be returned to Lessee (or, at Lessor's option to the last assignee of Lessee's interests hereunder) no later than thirty (30) days from the date Lessor receives possession of the Premises. In Lessee shall not transfer or encumber the event of termination of LandlordSecurity Deposit nor shall Lessor be bound by Lessee's attempt to do so. If Lessor's interest in this LeaseLease is terminated, Landlord shall Lessor may transfer said the Security Deposit to LandlordLessor's successors successor in interest whereupon Tenant agrees interest, and upon such transfer, Lessor shall be released from any liability to release Landlord from liability Lessee with respect to the Security Deposit and Lessee shall look only to the transferee for the any return of such the Security Deposit or the accounting thereforto which Lessee may be entitled.

Security Deposit. Concurrently with Tenant's Upon the execution of this LeaseLease Agreement, Tenant ---------------- shall deposit with Landlord pay to the Owner the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 $19,000.00 as a security deposit. The security deposit will be returned to Tenant, less damages and other lawful deductions, within thirty ($ 445,132.80 30) Dollarsdays of the termination of the tenancy. Said sum The Security Deposit shall be held by Landlord Owner as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, conditions and conditions provisions of this Lease to be kept and performed or observed by Tenant during the term hereofTenant. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and Rent or any of the other monetary sums due herewith, Landlord Owner may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or other monetary sums due herewith and/or for the payment of any other amount which Landlord Owner may spend or become obligated by reason of Tenant's default default, or to compensate Landlord Owner for any other loss or damage which Landlord Owner may suffer by reason of Tenant's defaultthereby. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefortherefore, deposit cash with Landlord Owner in the an amount sufficient to restore the Security Deposit to its original amount. the full amount thereof and Tenant's failure to do so shall be a material breach of this Lease. Landlord Furthermore, whenever the Base Rent increases, Tenant shall not be required to deposit additional cash with Owner so that the amount of the Security Deposit is always at least one full months rent for the entire Leased Premises. Owner shall keep this the Security Deposit separate from its general funds, accounts and Tenant shall not be entitled to interest on such Depositin accordance with provisions of New Hampshire law. If Tenant shall fully and faithfully performs every provision perform all of this Lease to be performed by itits obligations hereunder, the Security Deposit Deposit, or any balance thereof that has not theretofore been applied by Owner, shall be returned to Tenant Tenant, after any lawful deductions, within thirty (or at Landlord's option, to the last assignee of Tenant's interest hereunder30) at the expiration days of the Lease term and after Tenant has vacated the Premises. In the event Termination of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforTenancy.

Security Deposit. Concurrently Tenant has deposited with Tenant's execution of this Lease, Tenant shall deposit with Landlord landlord the sum of FOUR ONE THOUSAND SEVEN HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO SEVENTY DOLLARS AND 80/100 08/100 DOLLARS ($ 445,132.80 THIS IS THE DEPOSIT CARRIED OVER FROM PREVIOUS LEASE) Dollars. Said sum shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit security deposit for the payment of any rent or any other sum in default, or for the payment of any amount which Landlord may spend or become obligated to spend by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit deposit is so used or applied, Tenant shall, shall within ten five (105) days after written demand thereforthereof, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. amount and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premisesterm. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall transfer said Deposit deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforinterest.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord on the sum date of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 this Lease, as security for the performance of all of its obligations an amount equal to one month’s installment of Basic Rent ($ 445,132.80 ) Dollarsthe “Security Deposit”). Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of Tenant’s obligations under this Lease to be kept and performed by Tenant during the term hereofLease. If Tenant defaults with respect fails to make any provision of payment as and when due under this Lease, including, but not limited to, the provisions relating or otherwise fails to the payment of rent and perform any of the monetary sums due herewithits obligations under this Lease, Landlord may (but shall not be required obligated to) use, apply or retain all or any part portion of this the Security Deposit Deposit: (i) against any such payment(s) which Tenant failed to make; (ii) for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default ’s failure to perform; or (iii) to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby; so long as the foregoing is done in compliance with applicable law. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, within ten five (105) business days after written demand therefor, notice shall deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. the full amount required above and Tenant's ’s failure to do so shall be a material breach constitute an Event of Default under this Lease. The Security Deposit, or so much thereof as has not theretofore been applied by Landlord pursuant to the terms of this Lease, shall be returned, without payment of interest, to Tenant (or, at Landlord’s option, to the last assignee, if any, of Tenant’s interest under this Lease within a reasonable period of time after the end of the Term. Landlord shall not be required to keep this the Security Deposit separate from its general fundsaccounts, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of no trust relationship is created in this Lease between Landlord and Tenant with respect to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforDeposit.

Security Deposit. Concurrently with At the time of Tenant's ’s execution of this Leaseand delivery hereof, Tenant shall will deposit with Landlord a security deposit (the sum “Security Deposit”) in the amount of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 One Hundred Twenty Thousand Dollars ($ 445,132.80 $120,000.00) Dollars. Said sum shall to be held by Landlord as a Security Deposit for the faithful duration of the Lease as security for the full performance by Tenant of all of the termsobligations on the part of Tenant hereunder. The Security Deposit shall, covenantsat the option of Landlord, be in the form of an irrevocable demand letter of credit (the “Letter of Credit”), in form and conditions of this Lease substance reasonably acceptable to be kept Landlord, issued by an FDIC-insured commercial banking institution having offices in Massachusetts and performed by Tenant during the term hereofreasonably acceptable to Landlord. If the Security Deposit, or any portion thereof, is in the form of cash, Landlord shall hold the same without liability for interest and without any obligation to segregate such cash from Landlord’s other funds. Tenant defaults with respect shall not mortgage, pledge, grant a security interest in, or otherwise encumber the Security Deposit. Landlord shall have the right from time to time, without prejudice to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, other remedy Landlord may (but shall not be required to) usehave on account thereof, to apply or retain all such Security Deposit, or any part of this Security Deposit for the payment of thereof, to Landlord’s damages arising from any other amount which Landlord may spend by reason Default of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or appliedUpon such application, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to shall promptly restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach Upon the full performance by Tenant of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by itobligations hereunder, the Security Deposit Deposit, or any balance thereof such amount that shall be remaining after application of the same hereunder, shall be returned to Tenant within thirty (30) days after the expiration or earlier termination of this Lease and surrender of possession of the Premises by Tenant to Landlord at Landlord's optionsuch time. If the Security Deposit is in the form of a Letter of Credit, such Letter of Credit shall, throughout the Term, be in full force and in compliance with the terms of this Lease. Tenant shall not mortgage, pledge, grant a security interest in, or otherwise encumber the Letter of Credit or the proceeds of the same. Landlord shall have the right from time to time, without prejudice to any other remedy Landlord may have on account thereof, to draw on the last assignee Letter of Credit and apply the proceeds, or any part thereof, to Landlord’s damages arising from any Default of Tenant (beyond applicable notice and cure periods) on the part of Tenant's interest hereunder) at . Upon such application, Tenant shall promptly restore the expiration Security Deposit to its original amount either by delivering cash or a new Letter of Credit complying with the Lease term and after Tenant has vacated the Premisesprovisions hereof to Landlord. In the event such Letter of Credit will expire by its terms prior to the end of the Term and Tenant fails to provide a substitute Letter of Credit at least thirty (30) days prior to such expiration, then Landlord may draw on the Letter of Credit and hold the proceeds. Any portion of the proceeds of the Letter of Credit not applied to cure a breach or default of Tenant hereunder shall be held by Landlord as a cash Security Deposit pursuant to the provision set forth above unless Landlord shall require a new Letter of Credit complying with the provisions hereof, in which event the unapplied cash proceeds shall be promptly returned to Tenant for such purpose. Upon the full performance by Tenant of its obligations hereunder, the Letter of Credit (or the remaining proceeds thereof if previously drawn and not applied to cure a Default of Tenant hereunder), shall be surrendered to Tenant within thirty (30) days after the expiration or earlier termination of Landlord's interest in this Lease, Lease and surrender of possession of the Premises by Tenant to Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of at such Deposit or the accounting therefortime.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Seven Thousand Two Hundred Seventeen Dollars and Sixty Cents ($ 445,132.80 ) Dollars$7,217.60). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) useusc, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand thereforthereof, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this the Lease. Landlord shall not be required to keep this Security Deposit f7Pposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at al Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in successor interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefortherefore.

Security Deposit. Concurrently with Tenant's execution of this Lease(a) Prior to the Commencement Date, Tenant Sublessee shall deposit with Landlord Sublessor the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 $53,390 ($ 445,132.80 the “Security Deposit”) Dollars. Said which sum shall be held by Landlord Sublessor as a Security Deposit security for the faithful performance by Tenant Sublessee of all of the terms, covenants, covenants and conditions of this Lease Sublease to be kept and performed by Tenant Sublessee during the term hereofperiod commencing on the Commencement Date and ending upon the expiration or termination of Sublessee’s obligations under this Sublease. If Tenant Sublessee is in monetary default or otherwise defaults with respect to any provision of this LeaseSublease, including, but not limited to, the provisions including any provision relating to the payment of rent Rent, in any case beyond applicable notice and any of the monetary sums due herewithcure periods, Landlord then Sublessor may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or any other amount which Landlord may spend by reason of Tenant's default sum in default, or to compensate Landlord Sublessor for any other loss or damage which Landlord that Sublessor may suffer by reason of Tenant's Sublessee’s default. If any portion of said the Security Deposit is so used or applied, Tenant then Sublessee shall, within ten (10) days after written following demand therefor, deposit cash with Landlord Sublessor in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's , and Sublessee’s failure to do so shall be a material breach of this LeaseSublease. Landlord The provisions of this Section 14 shall not be required to keep survive the expiration or earlier termination of this Sublease. (b) In the event of bankruptcy or other debtor-creditor proceedings against Sublessee, the Security Deposit separate from its general fundsshall be deemed to be applied first to the payment of Rent and other charges due Sublessor for all periods prior to the filing of such proceedings. (c) Sublessor may deliver to any purchaser of Sublessor’s interest in the Subleased Premises the funds deposited hereunder by Sublessee, and Tenant thereupon Sublessor shall not be entitled discharged from any further liability with respect to interest on such Depositdeposit. This provision shall also apply to any subsequent transfers. (d) If Tenant Sublessee shall fully and faithfully performs perform every provision of this Lease Sublease to be performed by it, then the Security Deposit Deposit, or any balance thereof thereof, shall be returned to Tenant Sublessee (or or, at Landlord's Sublessor’s option, to the last assignee of Tenant's Sublessee’s interest hereunder) at within thirty (30) days after the expiration or earlier termination of this Sublease. (e) If the Security Deposit shall be in cash, Sublessor shall hold the Security Deposit in an account at a banking organization selected by Sublessor; provided, however, that Sublessor shall not be required to maintain a separate account for the Security Deposit, but may intermingle it with other funds of Sublessor. Sublessor shall be entitled to all interest and/or dividends, if any, accruing on the Security Deposit. Sublessor shall not be required to credit Sublessee with any interest for any period during which Sublessor does not receive interest on the Security Deposit. (f) The Security Deposit may be in the form of cash, a letter of credit or any other security instrument acceptable to Sublessor in its sole discretion. Sublessee may at any time, except when Sublessee is in default, deliver a letter of credit (the “L/C Security”) as the entire Security Deposit, as follows: (i) If Sublessee elects to deliver L/C Security, then Sublessee shall provide Sublessor, and maintain in full force and effect throughout the Term and until the date that is thirty (30) days after the expiration or termination of the Lease Term, a letter of credit in the form reasonable acceptable to Sublessor issued by an issuer reasonably satisfactory to Sublessor, in the amount of the Security Deposit, with an initial term of at least one year. Sublessor may require the L/C Security to be re-issued by a different issuer at any time during the Term if Sublessor reasonably believes that the issuing bank of the L/C Security is or may soon become insolvent; provided, however, Sublessor shall return the existing L/C Security to the existing issuer immediately upon receipt of the substitute L/C Security. If any issuer of the L/C Security shall become insolvent or placed into FDIC receivership, then Sublessee shall immediately deliver to Sublessor (without the requirement of notice from Sublessor) either cash in the amount of the Security Deposit or substitute L/C Security issued by an issuer reasonably satisfactory to Sublessor, and after Tenant has vacated otherwise conforming to the Premises. In the event of termination of Landlord's interest requirements set forth in this LeaseSection 5, Landlord and Sublessor shall transfer said Deposit return the existing L/C Security to Landlord's successors in interest whereupon Tenant agrees the existing issuer immediately upon receipt of the substitute L/C Security. As used herein with respect to release Landlord from liability the issuer of the L/C Security, “insolvent” shall mean the determination of insolvency as made by such issuer’s primary bank regulator (i.e., the state bank supervisor for state chartered banks; the return of such Deposit OCC or OTS, respectively, for federally chartered banks or thrifts; or the accounting thereforFederal Reserve for its member banks). Except with respect to the initial letter of credit delivered prior to the Commencement Date, Sublessee shall reimburse Sublessor’s legal costs (as estimated by Sublessor’s counsel) in handling Sublessor’s acceptance of L/C Security or its replacement or extension.

Security Deposit. Concurrently with Tenant's execution As additional security for the full and prompt performance by Tenant of the terms and covenants of this Lease, Tenant shall deposit has deposited with Landlord the a sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Thirty Thousand Nine Hundred and Twenty Nine Dollars and seventeen cents ($ 445,132.80 $28,525.00) Dollars. Said sum at the time of lease execution, which shall be held not constitute rent for any month unless so applied by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason on account of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with To the extent that Landlord in the amount sufficient to restore has not applied the Security Deposit to its original amount. Tenant's failure to do so shall be on account of a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by itdefault, the Security Deposit or any balance thereof shall be returned to Tenant within thirty (or at Landlord's option, to the last assignee 30) days after termination of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premisesthis Lease. In the event Tenant fails to take possession of the Demised Premises on the Lease Commencement Date or vacates or abandons the Demised Premises during the Term, the Security Deposit shall not be deemed to be liquidated damages, and such application of the Security Deposit shall not preclude Landlord from recovering from Tenant all additional damages incurred by Landlord. If Tenant fails at any time to perform its obligations, Landlord may at its option apply said deposit, or so much thereof as is required, to cure Tenant's default, but if prior to the termination of this lease Landlord depletes said deposit in whole or in part, Tenant shall immediately restore the amount so used by Landlord's interest in . Following termination of this Leaselease and satisfaction of all Tenant obligations thereunder, Landlord shall transfer said Deposit return to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for any unused portion of the return Security Deposit. Upon execution of such Deposit or the accounting thereforLease, the Tenant shall also provide its first (1st) monthly rental payment due hereunder.

Security Deposit. Concurrently Concurrent with Tenant's execution of this Lease, Tenant shall deposit with Landlord a security deposit (the sum "Security Deposit") in the amount set forth in Section 10 of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollarsthe Summary. Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofLease Term. If Tenant defaults with respect to any provision provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (may, but shall not be required to) , use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or any other sum in default, or for the payment of any amount which that Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason of Tenant's default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. , and Tenant's failure to do so shall be a material breach of default under this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and If Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit Deposit, or any balance thereof thereof, shall be returned to Tenant (or Tenant, or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at , as soon as practicable following the expiration of the Lease term and after Term. Landlord shall not be required to keep the Security Deposit separate from other funds, and, unless otherwise required by law, Tenant has vacated shall not be entitled to any interest on the PremisesSecurity Deposit. In no event or circumstance shall Tenant have the event right to any use of termination of Landlord's interest in this Leasethe Security Deposit and, Landlord shall transfer said specifically, Tenant may not use the Security Deposit as a credit or to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit otherwise offset any payments required hereunder, including, but not limited to, Rent or the accounting thereforany portion thereof.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum of FOUR THIRTY-ONE THOUSAND SIX HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO SIXTY-SIX AND 80/100 66/HUNDREDTHS DOLLARS ($ 445,132.80 $31,666.66). In addition, a Letter of Credit, in form and substance acceptable to Landlord for an additional equivalent sum (i.e., $31,666.66) Dollars. will be delivered to Landlord upon written notice from Landlord to Tenant of Landlord's substantial completion of Landlord's Work Said sum and Letter of Credit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit security deposit for the payment of any rent or any other sum in default, or for the payment of any amount which Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit deposit is so used or applied, Tenant shall, shall within ten seven (107) business days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. amount and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premisesterm. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit deposit to Landlord's successors successor in interest whereupon interest. Provided Tenant agrees is not then in default after expiration of any applicable cure period, at the second (2nd) anniversary of the commencement of the term of this Lease, if Landlord determines in Landlord's reasonable discretion that Tenant has a sufficient financial condition, income, profits and net worth, Tenant's security deposit shall be reduced to release Landlord from liability $15,833.33 cash and a Letter of Credit for the return of such Deposit or the accounting thereforan additional equivalent sum (i.e., $15,833.33).

Security Deposit. Concurrently 11.1 Simultaneously with Tenant's ’s execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord Security Deposit Amount as a Security Deposit security deposit for the faithful performance by Tenant of all of the termsTenant’s obligations, covenants, conditions and conditions agreements under this Lease. Landlord shall not be required to maintain such security deposit in a separate account. Tenant shall not be entitled to interest on the security deposit. Within forty-five (45) days after the later of the expiration or earlier termination of the Lease Term or Tenant’s vacating the Premises, Landlord shall return such security deposit to Tenant, less such portion thereof as Landlord shall have appropriated to satisfy any of Tenant’s obligations under this Lease or to be kept and performed by Tenant during satisfy an Event of Default (or such other event which, with the term hereofgiving of notice or the passage of time or both, would constitute an Event of Default) under this Lease. If Tenant fails to pay rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, includingLandlord shall have the right, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) obligated, to use, apply or retain all or any part portion of this the Security Deposit for the payment of any rent or other amount charge in default or for the payment of any other sum to which Landlord may spend become obligated by reason of Tenant's default ’s default, to repair damages to the Premises caused by Tenant, to clean the Premises upon expiration or termination, or to compensate Landlord for any other loss or damage which Landlord may suffer thereby, including, but not limited to, damages recoverable following termination of this Lease by reason of Tenant's defaultan Event of Default as herein provided, and any and all amounts Landlord may spend or become obligated to spend, or for the compensation of Landlord for any losses incurred, by reason of such event. If any portion of said Deposit the security deposit (in whatever form) is so used or applied, then within three (3) business days after Landlord gives written notice to Tenant shallof such use or application, Tenant shall deposit with Landlord cash in an amount sufficient to restore the security deposit to the original Security Deposit Amount, and Tenant’s failure to do so shall constitute an Event of Default under this Lease. 11.2 If and so long as Landlord transfers the security deposit to any purchaser or other transferee of Landlord’s interest in the Building, then Tenant shall look only to such purchaser or transferee for the return of the security deposit, and Landlord shall be released from all liability to Tenant for the return of such security deposit. Tenant acknowledges that the holder of any Mortgage shall not be liable for the return of any security deposit made by Tenant hereunder unless such holder actually receives such security deposit. Tenant shall not pledge, mortgage, assign or transfer the security deposit or any interest therein. 11.3 Tenant shall deliver to Landlord a clean, unconditional, irrevocable letter of credit in lieu of the cash security deposit. Such letter of credit shall be: (a) in form and substance satisfactory to Landlord in its sole and absolute discretion (with the following criteria at a minimum); (b) at all times in the stated face amount of not less than the Security Deposit Amount, and shall on its face state that multiple and partial draws are permitted and either (i) that partial draws will not cause a corresponding reduction in the stated face amount of the letter of credit or (ii) that, within five (5) business days after any such partial draw, the issuer will notify Landlord in writing that the letter of credit will not be reinstated to its full amount in which event Landlord shall have the right to immediately draw on the remainder of the letter of credit and hold the proceeds as a cash security deposit (it being understood that the total security deposit on hand, whether in cash or letter of credit form, shall at all times be not less than the total Security Deposit Amount as so defined); (c) issued by a commercial bank acceptable to Landlord from time to time and located in the Boston metropolitan area for the account of Tenant, and its permitted successors and assigns under this Lease; (d) made payable to, and expressly transferable and assignable one or more times at no charge by, the owner from time to time of the Building or its lender (which transfer/assignment shall be conditioned only upon the execution of a reasonable and customary written document in connection therewith), whether or not the original account party of the letter of credit continues to be the tenant under this Lease by virtue of a change in name or structure, merger, assignment, transfer or otherwise; (e) payable at sight upon presentment to a Boston metropolitan area branch of the issuer of a simple sight draft stating only that Landlord is permitted to draw on the letter of credit under the terms of the Lease and setting forth the amount that Landlord is drawing; (f) of a term not less than one year, and shall on its face state that the same shall be renewed automatically, without the need for any further written notice or amendment, for successive minimum one year periods, unless the issuer notifies Landlord in writing, at least thirty (30) days prior to the expiration date thereof, that such issuer has elected not to renew the letter of credit (which will thereafter entitle Landlord to draw on the letter of credit); and (g) at least thirty (30) days prior to the then current expiration date of such letter of credit, either (1) renewed (or automatically and unconditionally extended) from time to time through the forty-fifth (45th) day after the expiration of the Lease Term, or (2) replaced by Tenant with cash, or another letter of credit meeting the requirements of this Section, in the full amount of the Security Deposit Amount. Tenant shall cooperate with Landlord to effect any modifications, transfers or replacements of the letter of credit requested by Landlord in order to assure that Landlord is at all times fully secured by a valid letter of credit that may be drawn upon by Landlord, its successors and assigns. Notwithstanding anything in this Lease to the contrary, any cure or grace period provided in connection with an Event of Default shall not apply to any of the foregoing requirements of the letter of credit, and, specifically, if any of the aforesaid requirements are not complied with timely, then an immediate Event of Default shall occur and Landlord shall have the right to immediately draw upon the letter of credit without notice to Tenant and apply the proceeds to the security deposit. Each letter of credit shall be issued by a commercial bank that has a credit rating with respect to certificates of deposit, short term deposits or commercial paper of at least A-2 (or equivalent) by ▇▇▇▇▇’▇ Investors Service, Inc., or at least P-2 (or equivalent) by Standard & Poor’s Corporation, and shall be otherwise acceptable to Landlord in its sole and absolute discretion. If the issuer’s credit rating is reduced below A-2 (or equivalent) by ▇▇▇▇▇’▇ Investors Service, Inc. or below P-2 (or equivalent) by Standard & Poor’s Corporation, or if the financial condition of such issuer changes in any other materially adverse way, then Landlord shall have the right to require that Tenant obtain from a different issuer a substitute letter of credit that complies in all respects with the requirements of this Section, and Tenant’s failure to obtain such substitute letter of credit within ten (10) days following Landlord’s written demand therefor (with no other notice or cure or grace period being applicable thereto, notwithstanding anything in this Lease to the contrary) shall entitle Landlord to immediately draw upon the then existing letter of credit in whole or in part, without notice to Tenant, and hold the proceeds as a cash security deposit. In the event the issuer of any letter of credit held by Landlord is insolvent or is placed into receivership or conservatorship by the Federal Deposit Insurance Corporation, or any successor or similar entity, or if a trustee, receiver or liquidator is appointed for the issuer, then, effective as of the date of such occurrence, said letter of credit shall be deemed to not meet the requirements of this Section, and, within ten (10) days after written demand thereforthereof, deposit cash Tenant shall replace such letter of credit with other collateral acceptable to Landlord in the amount sufficient to restore the Security Deposit to its original amount. sole and absolute discretion (and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general fundsshall, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of notwithstanding anything in this Lease to be performed by itthe contrary, the Security Deposit or any balance thereof constitute an Event of Default for which there shall be returned no notice or grace or cure periods being applicable thereto other than the aforesaid ten (10) day period). Any failure or refusal of the issuer to honor the letter of credit shall be at Tenant’s sole risk and shall not relieve Tenant (or at Landlord's option, of its obligations hereunder with respect to the last assignee security deposit. 11.4 Provided that, (i) as of Tenant's interest hereunderthe first day of the third (3rd) at calendar year following the expiration of the Abatement Period (the “Reduction Date”), no default on the part of Tenant under this Lease term shall have theretofore occurred, and after Tenant has vacated (ii) within the Premises. In the event of termination of Landlord's interest in this Leasesixty (60) day period immediately preceding such Reduction Date, Landlord shall transfer said have reviewed Tenant’s then most recent statements (Tenant hereby agreeing to deliver Tenant’s most recent audited financial statements and well as financial statements for Tenant, certified by Tenant, prepared within sixty (60) days of such delivery, to Landlord with Tenant’s request for Landlord’s review and approval of same), which financial statements shall show that Tenant’s net worth has not declined from Tenant’s net worth as of the Execution Date, Tenant shall have the right to request that the amount of the Security Deposit be reduced by the sum of Forty-Four Thousand Two Hundred Five Dollars ($44,205.00) upon written notice to Landlord's successors . If all of the aforesaid conditions are met, Landlord shall so reduce the amount of the Security Deposit. If the Security Deposit has been provided in interest whereupon letter of credit form, such reduction shall occur by means of delivery by Tenant agrees to release Landlord from liability for of a substitute letter of credit in such amount (or an acceptable amendment to the return existing letter of such credit) and in strict conformity with the terms of Section 11.3. Notwithstanding anything in this Lease to the contrary, in no event during the Lease Term shall the amount of the Security Deposit or ever be less than an amount equal to two (2) full monthly installment of Base Rent payable under this Lease with respect to the accounting thereforfirst Lease Year.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord upon execution of this Lease the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum $36,408.00 as a security deposit which shall be held by Landlord Landlord, without liability to Tenant for any interest thereon, as a Security Deposit security for the full and faithful performance by Tenant of all of the termseach and every term, covenants, covenant and conditions condition of this Lease to be kept and performed by Tenant during the term hereofof Tenant. If Tenant defaults with respect is not in default under any of the terms of this Lease at the end of twelve (12) full calendar months, Landlord shall refund the amount of $6,068.00 from the security deposit to Tenant. If Tenant is not in default under the terms of this Lease at the end of twenty-four (24) full calendar months, Landlord shall refund the amount of $6,068.00 from the security deposit to Tenant. If any provision of the rents or other charges or sums payable by Tenant to Landlord shall be overdue and unpaid or should Landlord make payments on behalf of Tenant, or should Tenant fail to perform any of the terms of this Lease, includingthen Landlord may, but not limited toat its option, appropriate and apply the provisions relating security deposit, or so much thereof as may be necessary to compensate Landlord toward the payment of rent and any of the monetary rents, charges or other sums due herewithfrom Tenant, or towards any loss, damage or expense sustained by Landlord may (but shall not be required to) use, apply or retain all or any resulting from such default on the part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, ; and in such event Tenant shall, within ten (10) days after written shall upon demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, security deposit to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premisesoriginal sum deposited. In the event Tenant performs all of Tenant’s other obligations under this Lease including return the Leased Premises to Landlord in the same condition as Landlord initially delivered possession, ordinary wear and tear excepted, the security deposit shall be returned in full to Tenant within thirty (30) days after the date of the expiration and surrender of the Leased Premises or sooner termination of Landlord's interest the term of this Lease and the surrender of the Premises by Tenant in compliance with the provisions of this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of On or before the date when Lessee signs this Lease, Tenant Lessee shall deposit with Landlord Lessor the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars$11,000.00 as a Security Deposit. Said sum The Security Deposit shall be held by Landlord Lessor as a Security Deposit security for the faithful performance by Tenant Lessee of all of the terms, covenants, and conditions provisions of this Lease to be kept and performed or observed by Tenant Lessee. No portion of the Security Deposit may be used for any monetary obligation owed by Lessee during the term hereofof this Lease and any extension thereof, particularly the rental for the last month of the term of this Lease or any extension thereof. If Tenant Lessee fails to pay rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord Lessor may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit for the payment of said obligation or of any other amount sum to which Landlord Lessor may spend become obligated by reason of Tenant's default Lessee’s default, or to compensate Landlord Lessor for any other loss or damage which Landlord Lessor may suffer by reason of Tenant's defaultthereby. If Lessor so uses or applies all or any portion of said the Security Deposit is so used during the term hereof or appliedany extension, Tenant shall, Lessee shall within ten fifteen (1015) days after written demand therefor, therefor deposit cash with Landlord Lessor in the an amount sufficient to restore the Security Deposit to its original amountthe full amount thereof. Tenant's Lessee’s failure to do so shall be deemed a failure to pay rent and shall constitute a material breach of this Lease. Landlord Lessor shall not be required to keep this the Security Deposit separate from its his general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully Lessee performs every provision all of this Lease to be performed by itLessee’s obligations hereunder, the Security Deposit Deposit, or any balance so much thereof as has not theretofore been applied by Lessor, shall be returned returned, without payment of interest or other increment for its use, to Tenant Lessee (or or, at Landlord's Lessor’s option, to the last assignee assignee, if any, of Tenant's Lessee’s interest hereunder) at within a reasonable time after the expiration of the Lease term hereof and after Tenant Lessee has vacated the PremisesPremises and they are returned to Lessor in the condition in which they are obliged to be returned to Lessor, whichever is later. In No trust relationship is created herein between Lessor and Lessee with respect to the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforSecurity Deposit.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord upon execution hereof the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit set forth in paragraph 1 above as security for the Tenant's faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant's obligations hereunder. If Tenant fails to pay Rent or any other charges payable by Tenant hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) at its option use, apply or retain all or any part portion of this the Security Deposit for (i) to remedy Tenant's defaults in the payment of Rent or any other amount which Landlord may spend sums payable by reason of Tenant's default Tenant pursuant to the terms hereof, (ii) to repair any damage to the Premises, (iii) to clean and otherwise maintain the Premises, or (iv) to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. the full amount hereinabove stated and Tenant's failure to do so shall be a material breach of and a default under this Lease. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed by itTenant's obligations hereunder, the Security Deposit Deposit, or any balance so much thereof as has not theretofore been applied by Landlord, shall be returned returned, without payment of interest or other increment for its use, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at the expiration of the Lease term and Term hereof, after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND Four Hundred Ninety Three Thousand Five Hundred Sixteen and 80/100 ($ 445,132.80 $493,516.80) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, . Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee assignees of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. See Paragraph 57.

Security Deposit. Concurrently Tenant shall deposit with Tenant's Landlord, upon execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit set forth in the Basic Lease Provisions as security for the Tenant’s faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant’s obligations hereunder. If Tenant defaults with respect fails to timely pay rent or other amounts due hereunder, or otherwise fails to timely observe or perform any provision of this Lease on Tenant’s part to be observed or performed, Landlord may, without waiving or releasing Tenant from any obligation under this Lease, includingand without waiving Landlord’s right to treat such failure as a default hereof or any other right or remedy with respect thereto, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply apply, or retain all or any part portion of this said Security Deposit for the payment of any such rent or other amount or for the payment of any other sum to which Landlord may spend become obligated by reason of Tenant's default ’s failure to timely observe or perform any such provision of this Lease, or to so compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedSecurity Deposit, Tenant shall, shall within ten five (105) business days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore the said Security Deposit to its original amount. the full amount hereinabove stated and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required If Tenant timely and fully performs and observes all of Tenant’s obligations to keep this perform and observe hereunder, said Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's Tenant’s option, to the last assignee assignee, if any, of Tenant's ’s interest hereunder) at the expiration of the Lease term Term. Tenant hereby waives the provisions of Section 1950.7 of the California Civil Code and after all other provisions of law, now or hereafter in effect, which (i) establish the time frame by which a Landlord must refund a security deposit under a lease, and/or (ii) provide that a Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by a Tenant has vacated or to clean the Premises. In the event premises, it being agreed that Landlord may, in addition, claim those sums specified in this Section 4.06 and/or those sums reasonably necessary to compensate Landlord for any loss or damage caused by Tenant’s breach of termination of Landlord's interest in this Lease, including any damages Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return suffers following termination of such Deposit or the accounting thereforthis Lease.

Security Deposit. Concurrently with Tenant's ▇▇▇▇▇▇ has, upon execution of this Lease, Tenant shall deposit deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit in the amount of Two Thousand Dollars and 00/100 ($2,000.00) as security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions every provision of this Lease to be kept and performed by Tenant during the term hereof▇▇▇▇▇▇. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions including without limitation any provision relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of rent or any other amount which Landlord may spend by reason of Tenant's default sum in default, or to compensate Landlord for any other loss loss, cost or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten (10) days after written demand thereforupon demand, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. , and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this the Security Deposit separate from its general funds, funds and Tenant shall not be entitled to interest earned on such the Security Deposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it▇▇▇▇▇▇, the Security Deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's ’s option, to the last assignee transferee of Tenant's ’s interest hereunder) at within the time required by law after the expiration of the Lease term Term and after the Tenant’s delivery of the Leased Premises to Landlord; provided, however, that Landlord may retain the Security Deposit until such time as any amount due from Tenant has vacated been determined and paid in full, including any portion thereof that may have been utilized by Landlord to cure any default, or applied to any damage suffered by Landlord. Tenant shall not assign or encumber its contingent rights in the PremisesSecurity Deposit separate from this Lease, and neither Landlord nor its successors or assigns shall be bound by any such assignment or encumbrance. In the event of termination any sale or transfer of the Shopping Center by Landlord's interest , by foreclosure, deed in this Leaselieu thereof or otherwise, Landlord Tenant shall transfer said Deposit look only to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability the new landlord for the return of the Security Deposit if such Security Deposit or the accounting thereforis actually transferred to said new landlord.

Security Deposit. Concurrently with Tenant's ’s execution of this Lease, Tenant shall deposit with Landlord Landlord, or secure at its option by a Letter of Credit (defined below, the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 One Hundred Twenty Thousand and 00/100 ($ 445,132.80 $120,000.00) Dollars. If the deposit begins as a cash deposit, Tenant may subsequently change it to a Letter of Credit. If Tenant elects to use a Letter of Credit, then Landlord shall return any cash deposit to Tenant within five (5) business days of the delivery of the Letter of Credit to Landlord. Said sum or Letter of Credit shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required toto ) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at within thirty (30) days of the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. If Tenant chooses to use a letter of credit, then Tenant shall provide to Landlord an unconditional, clean, irrevocable Letter of Credit (“Letter of Credit”) in the amount specified above in favor of Landlord and issued by a bank (which accepts deposits, maintains accounts and will negotiate a letter of credit, and whose deposits are insured by the FDIC) located in the Bay Area and reasonably acceptable to Landlord (“Issuer”). The Letter of Credit shall (1) be fully transferable by Landlord without payment of transfer fees, (2) permit multiple drawings, and (3) provide that draws, including partial draws, at Landlord’s election, will be honored upon the delivery to the Issuer a certificate signed by Landlord, or its authorized agent, that Landlord is entitled to make the requested draw pursuant to the terms of the Lease. The Letter of Credit is to be issued pursuant to ISP98 rather than UCP 500. If Tenant fails to pay Basic Rent or any other sums as and when due hereunder, or otherwise defaults with respect to any provision of this Lease, Landlord may (but shall not be obligated to) use, apply or retain all or any portion of the Letter of Credit for payment of any sum for which Tenant is obligated or which will compensate Landlord for any loss or damage which Landlord may suffer thereby. Any draw or partial draw of the Letter of Credit shall not constitute a waiver by Landlord of its right to enforce its other remedies hereunder, at law or in equity. If any portion of the Letter of Credit is drawn upon, Tenant shall, within ten (10) days after delivery of written demand from Landlord, restore said Letter of Credit to its original amount. The Letter of Credit shall be in effect for the entire Term plus thirty (30) days beyond the expiration of the Term. The parties agree that the provisions of Civil Code Sections 1950.7 and 1951.7 do not apply to the Letter of Credit or any proceeds from the Letter of Credit.

Security Deposit. Concurrently with Tenant's execution Upon listing below the amount, check number, date, or other appropriate information, the Landlord acknowledges the receipt of this Lease, Tenant shall the following security deposit: Until receipt of a security deposit with Landlord the sum of THIRTEEN THOUSAND FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 001100 DOLLARS ($ 445,132.80 $13,400.00) DollarsThis lease shall not be binding on the Landlord. Said sum shall be held by Landlord as a Security Deposit for The security deposit is given to secure the faithful performance by the Tenant of all of the terms, covenants, and conditions of this Lease lease by Tenant to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect agrees that if the Tenant shall fail to any provision of this Leasepay the rent herein reserved promptly when due, includingsaid deposit may, but not limited to, at the provisions relating to the payment of rent and any option of the monetary sums due herewith, Landlord may (but Landlord shall not be required to) use), apply be applied to any rent due and unpaid, and if the Tenant violates any of the other terms, covenants, and conditions of this lease, said deposit may be applied to any damages suffered by Landlord as a result of Tenant's default to the extent of the amount of damages suffered. Nothing contained in this Article shall in any way diminish or retain all be construed as waiving any of Landlord's other remedies as provided in this lease or by law or in equity. Should the entire security deposit, or any part of this Security Deposit portion thereof, be appropriated and applied by Landlord for the payment of any overdue rent or other amount which sums due and payable to Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or appliedTenant hereunder, then Tenant shall, on the written demand of Landlord, forthwith remit to Landlord a sufficient amount of cash within ten (10) days after written demand thereforreceipt of such demand, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so or it shall be constitute a material breach of this Leaselease. Should Tenant comply with all of the terms and covenants and conditions of this lease and promptly pay all of the rental herein provided for as it falls due, and all other sums payable to Landlord by Tenant hereunder, said security deposit shall not be required returned in full to keep Tenant after the end of the term of this Security Deposit separate from its general fundslease. In no event shall Landlord be deemed to be a trustee of the security deposit, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of any sums deposited under this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforsection.

Security Deposit. Concurrently Under the Prior Lease, Tenant has a $15,000 security deposit with Tenant's Landlord. Upon the execution of this Lease, Tenant shall deliver to Landlord, by check, an additional security deposit of Thirty-Five Thousand Dollars ($35,000) (together with Landlord the sum existing security deposit of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars$15,000, the "Security Deposit"). Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions provisions of this Lease to be kept and performed by Tenant during the term hereofLease. If Tenant defaults with respect fails to any provision of pay Rent or other charges due under this Lease, including, but not limited to, the provisions relating to the payment or any other Event of rent and any of the monetary sums due herewithDefault occurs, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit for the payment of Rent or other charge in default or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default the Event of Default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthe Event of Default. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. the full amount stated above and Tenant's failure to do so shall be a material breach of this Lease. No later than 30 days after the end of the term, providing no Event of Default has occurred and is continuing and the Premises is returned to Landlord shall not be in the condition required to keep under this Security Deposit separate from its general fundsLease, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision the unapplied portion of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at . No later than ten days following the expiration of the Lease term and after Tenant has vacated the Premises. In the event of Term or earlier termination of Landlord's interest in this Lease, Landlord and Tenant shall transfer said conduct a joint walkthrough to assess the condition of the Premises. No trust relationship is created herein between Landlord and Tenant with respect to the Security Deposit nor is the Landlord obligated to Landlord's successors in segregate or pay interest whereupon on such Security Deposit. The application by Landlord of the Security Deposit against any obligation owing by Tenant agrees or to release compensate Landlord from liability for the return any damage sustained by it hereunder shall not constitute a waiver by Landlord of such Deposit or the accounting thereforany other remedy that may be available to it.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with This Section 3 will only be applicable if Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as draws down all or a Security Deposit for the faithful performance by Tenant of all portion of the terms, covenants, and conditions Letter of this Lease Credit pursuant to be kept and performed by Tenant during Section 5 of the term hereofRider to Lease. If Tenant fails to pay Rent or other charges due hereunder or otherwise defaults with respect to any provision of this the Lease, including, but not limited to, then following the provisions relating to the payment expiration of rent any notice and any of the monetary sums due herewithcure periods, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any Rent or other charge in default or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which Landlord Lessor may suffer by reason of Tenant's defaultthereby, all to the extent permitted in Section 22 hereof. If Landlord so uses or applies all or any portion of said Deposit is so used or applieddeposit, Tenant shall, shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount herein above stated and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed Tenant’s obligations hereunder, said deposit, or so much thereof as has not theretofore been applied by it, the Security Deposit or any balance thereof Landlord shall be returned returned, without payment of interest or other increment for its use to Tenant (or at Landlord's ’s option, to the last assignee assignee, if any, of Tenant's ’s interest hereunder) at the expiration of the Lease term Term hereof, and after Tenant has vacated the Premises. In No trust relationship is created herein between Landlord and Tenant with respect to said Security Deposit. Landlord shall deliver the funds deposited hereunder by Tenant to the purchaser of Landlord’s interest in the Premises, in the event of termination of Landlord's that such interest in this Leaseis sold, and so long as such deposit is so delivered, Landlord shall transfer be discharged from any further liability with respect to said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforsecurity deposit.

Security Deposit. Concurrently Lessee shall provide Lessor with Tenant's execution of this Lease, Tenant shall deposit a Security Deposit in accordance with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollarsterms set forth in Exhibit A hereto. Said sum The Security Deposit shall be held by Landlord Lessor as a Security Deposit security for the timely and faithful performance by Tenant Lessee of all of Lessee’s obligations under the terms, covenantsLessee’s Documents, and conditions Lessee hereby grants Lessor a continuing security interest therein and in all other sums deposited under this Section 6.4, and in all proceeds thereof. Lessee agrees to execute and file with the appropriate governmental authorities any and all documents necessary or reasonably requested by Lessor to evidence and perfect such security interest in favor of this Lease Lessor. Lessor may commingle the Security Deposit with its general funds. No interest will accrue or be paid at any time to be kept Lessee in respect of the Security Deposit, and performed by Tenant Lessor will have complete unrestricted use of such Security Deposit during the term hereofLease Period, including earning interest thereon for Lessor’s account. If Tenant defaults Lessee fails to comply with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of its obligations under this Agreement or is otherwise in default hereunder and, in either case, any applicable grace periods referred to in Section 15.1 have expired, Lessor may use, apply, enforce or call all or any portion of the monetary Security Deposit in or towards satisfaction of any sums due herewithto Lessor by Lessee or to compensate Lessor for any sums that it may in its discretion advance or expend as a result of any such failure or default by Lessee. If Lessor so uses, Landlord may (but applies, enforces or calls all or any portion of the Security Deposit, such use, application, enforcement or call shall not be required to) use, apply deemed a cure or retain all or any part of this Security Deposit for the payment waiver of any other amount which Landlord may spend by reason of Tenant's default such failure or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shalland Lessee shall immediately, within ten (10) days after upon written demand therefor, deposit provide to Lessor additional cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's failure Any such restoration payment made pursuant to do so the preceding sentence shall be a material breach considered part of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit for all purposes of this Agreement. On or any balance thereof after the Expiry Date, and within ten (10) days after such time as Lessee has complied with all of its obligations under Lessee’s Documents, and provided that no Event of Default shall have occurred and be returned continuing, Lessor shall return the Security Deposit to Tenant (or at Landlord's option, Lessee to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant extent it has vacated the Premises. In the event of termination of Landlord's interest in not been used to satisfy Lessee’s obligations under this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforAgreement.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THIRTY-SEVEN THOUSAND ONE HUNDRED THIRTY TWO SIXTY-FOUR AND 80/100 NO/HUNDREDTHS DOLLARS ($ 445,132.80 ) Dollars. Said $317,164.00), which sum and shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit security deposit for the payment of any rent or any other sum in default, or for the payment of any amount which Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit deposit is so used or applied, Tenant shall, shall within ten seven (107) business days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. amount and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premisesterm. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforinterest.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord upon execution hereof $_______________ as a Security Deposit security for the ▇▇▇▇▇▇’s faithful performance by Tenant of all of Tenant’s obligations hereunder (the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof“Security Deposit”). If Tenant fails to pay Rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit for the payment of any Rent or other amount charge in default or for the payment of any other sum to which Landlord may spend become entitled by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby, including any future damages that Landlord may incur. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's the full amount hereinabove stated and ▇▇▇▇▇▇’s failure to do so shall be a material breach of this Lease. If the Monthly Rent shall, from time to time, increase during the Lease Term, Tenant shall thereupon deposit with Landlord additional funds to increase the Security Deposit so that the amount of the Security Deposit held by Landlord shall at all times bear the same proportion to current Monthly Rent as the original Security Deposit bears to the original Monthly Rent set forth herein. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully ▇▇▇▇▇▇ performs every provision all of this Lease to be performed by itTenant’s obligations hereunder, the Security Deposit Deposit, or any balance so much thereof as has not been applied by Landlord pursuant to the terms hereof, shall be returned returned, without payment of interest or other increment for its use, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's ▇▇▇▇▇▇’s interest hereunder) after ▇▇▇▇▇▇ has vacated the Premises at the expiration of the Lease term Term. No trust relationship is created herein between Landlord and after Tenant has vacated with respect to the PremisesSecurity Deposit. In Tenant explicitly waives the event provisions of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit California Civil Code Section 1950.7 with respect to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefortime periods by which a security deposit must be returned.

Security Deposit. Concurrently with Tenant▇▇▇▇▇▇'s execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR THREE HUNDRED FORTY FIVE FiVE THOUSAND ONE SiX HUNDRED THIRTY TWO FiFTY SiX AND 80/100 N0/100 Dollars ($ 445,132.80 ) Dollars305,656.00). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If , if Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If if any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant▇▇▇▇▇▇'s 'failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant if ▇▇▇▇▇▇ fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant▇▇▇▇▇▇'s interest hereunder) at the expiration of the Lease term and after Tenant ▇▇▇▇▇▇ has vacated the Premises. In in the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord▇▇▇▇▇▇▇▇'s successors successor in interest whereupon Tenant ▇▇▇▇▇▇ agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. * $152,828.00 Cash due upon Lease execution. initials: $152,828.00 Promissory Note due January 1, 2000. initials: 5. ACCEPTANCE AND SURRENDER OF PREMISES. By entry hereunder, ▇▇▇▇▇▇ accepts the Premises as being in good and sanitary order, condition and repair and accepts the building and improvements included in the Premises in their present condition and without representation or warranty by Landlord as to the condition of such building or as to the use or occupancy which may be made thereof. Any exceptions to the foregoing must be by written agreement executed by Landlord and ▇▇▇▇▇▇. Tenant agrees on the last day of the Lease term, or on the sooner termination of this Lease, to surrender the Premises promptly and peaceably to Landlord in good condition and repair (damage by Acts of God, fire, normal wear and tear excepted), with all interior walls painted, or cleaned so that they appear freshly painted, and repaired and replaced, if damaged; all floors cleaned and waxed; all carpets cleaned and shampooed; all broken, marred or nonconforming accoustical coiling tiles replaced; all windows washed; the airconditioning and heating systems serviced by a reputable and licensed service firm and in good operating condition and repair; the plumbing and electrical systems and lighting in good order and repair, including replacement of any burned out or broken light bulbs or ballasts; the lawn and shrubs in good condition including the replacement of any dead or damaged plantings; the sidewalk, driveways and parking areas in good order, condition and repair; together with all alterations, additions, and improvements which may have been made in, to, or on the Premises (except moveable trade fixtures installed at the expense of Tenant) except that Tenant shall ascertain from Landlord within thirty (30) days before the end of the term of this Lease whether Landlord desires to have the Premises or any part or parts thereof restored to their condition and configuration as when the Premises were delivered to Tenant and if ' Landlord shall so desire, then Tenant shall restore said Premises or such part or parts thereof before the end of this Lease at Tenant's sole cost and expense. Tenant, on or before the end of the term or sooner termination of this Lease, shall remove all of Tenant's personal property and trade fixtures from the Premises, and all property not so removed on or before the end of the term or sooner termination of this Lease shall be deemed abandoned by Tenant and title to same shall thereupon pass to Landlord without compensation to Tenant. Landlord may, upon termination of this Lease, remove all moveable furniture and equipment so abandoned by Tenant, at Tenant's sole cost, and repair any damage caused by such removal at Tenant's sole cost. if the Premises be not surrendered at the end of the term or sooner termination of this Lease, Tenant shall indemnify Landlord against loss or liability resulting from the delay by ▇▇▇▇▇▇ in so surrendering the Premises including, without limitation, any claims made by any succeeding tenant founded on such delay. Nothing contained herein shall be construed as an extension of the term hereof or as a consent of Landlord to any holding over by Tenant. The voluntary or other surrender of this Lease or the Premises by Tenant or a mutual cancellation of this Lease shall not work as a merger and, at the option of Landlord, shall either terminate all or any existing subleases or subtenancies or operate as an assignment to Landlord of all or any such subleases or subtenancies.

Security Deposit. Concurrently with TenantSECURITY DEPOSIT The Landlord shall recognize the tenant's security deposit upon execution of this Lease, Lease by the Tenant shall deposit with Landlord for the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Eight Thousand Two Hundred Eighty Six Dollars and 20/100 ($ 445,132.80 $8,286.20) Dollars. Said sum shall be held by Landlord as a Security Deposit deposit on the Landlord to stand as security for the faithful payment by the Tenant of any and all present and future debts and liabilities of the Tenant to the Landlord for the performance by the Tenant of all of the terms, covenants, and conditions of its obligations arising under or in connection with this Lease to be kept (the "Debts, Liabilities and performed by Tenant during the term hereofObligations"). If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. The Landlord shall not be required to keep this Security Deposit the deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination the Landlord disposing of Landlord's its interest in this Lease, the Landlord shall transfer said Deposit credit the deposit to Landlord's successors its successor and thereupon shall have no liability to the Tenant to repay the security deposits to the Tenant. Subject to the foregoing and to the Tenant not being in default under this Lease, the Landlord shall repay the security deposit to the Tenant without interest whereupon at the end of the Term or sooner termination of the Lease provided that all Debts, Liabilities and Obligations of the Tenant agrees to release the Landlord from liability are paid and performed in full, failing which the Landlord may on notice to the Tenant elect to retain the security deposit and to apply it in reduction of the Debts, Liabilities and Obligations and the Tenant shall remain fully liable to the Landlord for payment and performance of the return of such Deposit or the accounting thereforremaining Debts, Liabilities and Obligation.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has previously deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Four Thousand One Hundred and Thirty One and 75/100 Dollars ($ 445,132.80 ) Dollars$4,131.75). There will be an additional sum of $3,218.25 for a total of $7,350.00 required. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, covenants and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefortherefore, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its it’s original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefortherefore.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum set forth in Item 9 of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord the Basic Lease Provisions as a Security Deposit security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions every provision of this Lease to be kept and performed by Tenant during the term hereofTenant. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any rent, the repair of damage to the monetary sums due herewithPremises caused by Tenant or cleaning the Premises upon termination of this Lease, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for security deposit for: (i) the payment of any rent or any other sum in default; (ii) the repair of such damage to the Premises; (iii) the cost of such cleaning; (iv) the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default default; or (v) to compensate Landlord for any other loss or damage which Landlord may suffer by reason of for Tenant's default, to the full extent permitted by law. If any portion of said Deposit deposit is so used or applied, Tenant shall, shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. , and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated term, less the Premises. In the event of termination of Landlord's interest operation expense increase described in this LeaseParagraph 3.10, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforif applicable.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR FORTY EIGHT THOUSAND NINE HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO SIXTY AND 80/100 NO/100 Dollars ($ 445,132.80 ) Dollars$48,960.00). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND Four Hundred Ninety Three Thousand Five Hundred Sixteen and 80/100 ($ 445,132.80 $493,516.80) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee assignees of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. See Paragraph 57.

Security Deposit. Concurrently with Tenant's ’s execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO SIXTY SIX THOUSAND FIVE HUNDRED FIFTY FOUR AND 80/100 56/00 Dollars ($ 445,132.80 ) Dollars$166,554.56). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, funds and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.. SEE PARAGRAPH 51

Security Deposit. Concurrently with Tenant's 33.1 Upon execution of this LeaseLease agreement, Tenant shall deposit has deposited with Landlord a Security Deposit in the sum amount of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Four Thousand Five Hundred Sixty Two and 50/100 ($ 445,132.80 $4,562.50) Dollars, receipt of which is hereby acknowledged. Said sum deposit shall be held by Landlord without liability for interest as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, terms and conditions of this Lease by said Tenant to be kept observed and performed performed. Landlord shall have no obligation to maintain such deposit in a segregated account and may use or commingle the same with other funds. 33.2 If any of the rents herein reserved or any other such sum payable by Tenant during to Landlord shall be overdue and unpaid or should Landlord make payments on behalf of the term hereof. If Tenant, or Tenant defaults with respect shall fail to perform any provision of the terms of this Lease, includingthen Landlord may, but not limited toat its option and with prejudice to any other remedy which Landlord may have on account thereof, the provisions relating appropriate and apply said entire Security Deposit or so much thereof as may be necessary to compensate Landlord toward the payment of rent and any or additional rent or loss of damage sustained by Landlord due to such breach on the part of the monetary sums due herewith, Landlord may (but Tenant and Tenant shall not be required to) use, apply or retain all or any part of this forthwith upon demand restore said Security Deposit for to the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultoriginal sum deposited. If any portion Should Tenant comply with all of said terms and promptly pay all of the rentals as they fall due and all other sums payable by Tenant to Landlord, said Security Deposit is so used or applied, shall be returned in full to Tenant shall, within ten thirty (1030) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with TenantAt the time of ▇▇▇▇▇▇'s execution of this Lease, Tenant shall deposit with Landlord deliver the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Ten Thousand Dollars ($ 445,132.80 $10,000.00) Dollars. Said sum shall be held by (the “Security Deposit”) to Landlord as a Security Deposit security for the faithful performance by Tenant of all of the termsfull, covenantsfaithful, and conditions timely performance of each and every provision of this Lease to be kept and performed by ▇▇▇▇▇▇. Provided Tenant during is not then in default, at the term hereofend of Lease Year 3, Five Thousand Dollars ($5,000.00) of the Security Deposit shall be returned to Tenant. If Tenant defaults with respect to any provision of this Lease, including, including but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (but shall not be required to) may, in Landlord's discretion, use, apply apply, or retain all or any part of this the Security Deposit for the payment of any Rent, or any other sum in default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said the Security Deposit is so used or used, applied, or retained, Tenant shall, shall within ten (10) calendar days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Leasethe amount then required. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such the Security Deposit. If Tenant fully and faithfully performs every provision The Security Deposit shall not be deemed a limitation on Landlord's damages or a payment of this Lease to be performed by it, liquidated damages or a payment of the Rent due for the last month of the Term. Landlord may deliver the Security Deposit or any balance thereof shall be returned to the purchaser of the Leased Premises if the Leased Premises are sold, and after such time, Landlord will have no further liability to Tenant (or at Landlord's option, with respect to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforSecurity Deposit.

Security Deposit. Concurrently Tenant, concurrently with Tenant's the execution of ---------------- this Lease, Tenant shall deposit has deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 eighteen thousand one hundred seventy-five and 30/100 dollars ($ 445,132.80 ) Dollars$18,175.30), receipt of which is hereby acknowledged by Landlord. Said sum deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, covenants and conditions of this Lease by said Tenant to be kept and performed by Tenant during the term Term hereof, provided that Tenant shall not be excused from the payment of any rent herein reserved or any other charges herein provided. If Tenant defaults with respect to any provision of this Lease, includingLandlord may, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply use or retain all or any part of this Security Deposit such security deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default rent, to repair damages to the Leased Property, to clean the Leased Property or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. amount and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit such security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Should Tenant fully comply with all said terms, covenants and faithfully performs every provision conditions and promptly pay all the rental herein provided for as it falls due and pay all other sums payable by Tenant to Landlord hereunder, then the said deposit shall be refunded in full to Tenant thirty (30) days after the end of the Term of this Lease or after the last payment due from Tenant to be performed by itLandlord, whichever last occurs. No beneficiary of any Deed of Trust encumbering the Security Deposit Leased Property or any balance thereof the Complex shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability any time become liable for the return of any security deposit unless such Deposit or the accounting therefordeposit is actually held by such Beneficiary as security for Tenant's performance hereunder.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord prior to occupancy the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord specified in Paragraph 1.8 as a Security Deposit security for the Tenant's faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant's obligations hereunder. If Tenant fails to pay rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any rent or other charge in default, or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaulthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or applieddeposit, Tenant shall, shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount hereinabove stated and Tenant's failure to do so shall be a material breach of this Lease, and Landlord may at his option terminate this Lease. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed Tenant's obligations hereunder, said deposit or so much thereof as had not theretofore been applied by itLandlord, the Security Deposit or any balance thereof shall be returned returned, without payment of interest or other increment for its use, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at within thirty (30) days after the expiration of the Lease term and hereof, or after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforwhichever is later.

Security Deposit. Concurrently On or before the acceptance of the Aircraft for lease hereunder, Lessee shall deposit with TenantLessor in an amount in cash equal to Two Hundred Forty Thousand Dollars ($240,000) to serve as security for Lessee's execution full and faithful performance of all of its obligations under this Lease (the "Security Deposit"). The Security Deposit may be in cash or in the form of an irrevocable standby letter of credit in form and substance satisfactory to Lessor and issued by a U.S. bank acceptable to Lessor. 6.5.1. Lessor hereby acknowledges receipt of $50,000 as the initial installment of the Security Deposit. The balance of the Security Deposit, $190,000, shall be payable by Lessee to Lessor concurrently with the signing of this Lease. In the event Lessor has satisfied the conditions precedent set forth in Section 5.2 hereof and Lessee fails to accept the Aircraft for lease hereunder, Tenant shall deposit with Landlord Lessor may retain the sum Security Deposit in its possession as liquidated damages for loss of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord bargain and not as a penalty. In the event Lessor fails to satisfy the conditions precedent set forth in Section 5.2 hereof within 30 days after written notice from Lessee thereof, Lessor shall return the Security Deposit for the faithful performance by Tenant of all (or whatever portion thereof Lessor has received) to Lessee. 6.5.2. If Lessee fails to pay Rent or any other sums due or fails to perform any of the terms, covenants, and conditions other terms or provisions of this Lease or is otherwise in default hereunder, in addition to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Leaseall other rights Lessor shall have, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord Lessor may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit in partial payment for any sums it may in its discretion advance as a result of a default by the payment of any other amount which Landlord may spend by reason of Tenant's default Lessee or to compensate Landlord for any other loss apply toward losses or damage which Landlord expenses Lessor may suffer by reason of Tenant's defaultincur as a result of such Default. If Lessor uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shallsuch application shall not be deemed a cure of any default, within ten (10) days after and Lessee shall immediately upon receipt of written demand therefor, deposit cash with Landlord in the from Lessor pay an amount sufficient necessary to restore the Security Deposit to its original required amount. Tenant's , and the failure to do so shall be a material breach an Event of Default without further notice. In the event that the Lessee does not make timely payments of Basic Rent in any two consecutive months during the Term, the Lessor, without limitation to any other rights and remedies hereunder, may on each such occasion require the Lessee to increase the Security Deposit by an amount equal to one payment of Basic Rent. The Security Deposit shall remain in effect until after the Aircraft is returned in the condition required by this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant Lessee shall not be entitled to interest on such off-set any Rent against the Security Deposit. If Tenant fully After the return of the Aircraft in the condition required by this Lease, Lessor shall return the Security Deposit, without interest, provided that Lessee has otherwise fulfilled all its obligations hereunder. 6.5.3. Provided Lessee has duly exercised its option to purchase under Section 17 hereof, Lessor shall retain the entire Security Deposit as part of the purchase price of the Aircraft. In the event Lessee has not exercised its option to purchase under Section 17 and faithfully performs every provision the Aircraft has been returned to Lessor in accordance with the provisions of this Lease to be performed by itSection 9 hereof, the Security Deposit or any balance thereof shall be returned refunded to Tenant (or at Landlord's option, to the last assignee of Tenant's Lessee without interest hereunder) at within 30 days following the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforBasic Term.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY NINETY THREE THOUSAND FIVE THOUSAND ONE HUNDRED THIRTY TWO SIXTEEN AND 80/100 ($ 445,132.80 $493,516.80) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage damages which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, . Tenant shall, within ten (10) days after written demand therefor, deposit cash case with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. See Paragraph 56.

Security Deposit. (i) Concurrently with Tenant's the execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Thirteen Thousand Nine Hundred Forty Two and 14/100 Dollars ($ 445,132.80 $13,942.14) Dollars. Said sum shall as a security deposit (the “Security Deposit”), the same to be held by Landlord as a Security Deposit security for the full and faithful performance by Tenant of all the terms and conditions by it to be observed and performed hereunder. Provided that Tenant is not in default of this Lease, the Security Deposit shall be reduced during the last year of the termsTerm so that the Security Deposit is equal to two (2) months’ Minimum Rent. (ii) If any Minimum Rent or Additional Rent payable by Tenant to Landlord becomes overdue and remains unpaid, covenantsor should Landlord make any payments on behalf of Tenant, or should Tenant fail to perform any of the terms and conditions of this Lease to be kept Lease, then Landlord, at its option, and performed by Tenant during the term hereof. If Tenant defaults with respect without prejudice to any provision of this Leaseother remedy which Landlord may have on account thereof, includingshall appropriate and apply said deposit, but not limited toor so much thereof as may be required to compensate or reimburse Landlord, as the provisions relating to case may be, toward the payment of rent and any of the monetary sums due herewithMinimum Rent or Additional Rent payable hereunder, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which sustained by Landlord may suffer by reason due to the breach or failure to perform on the part of Tenant's default. If any portion of said Deposit is so used or applied, and upon demand, Tenant shall, shall restore such security to the original sum deposited and Tenant’s failure to do so within ten (10) days after written receipt of such demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be constitute a material breach of this Lease. Tenant shall not assign or encumber, or attempt to assign or encumber, the Security Deposit, and Landlord shall not be required to keep bound by any such assignment, encumbrance, attempted assignment or attempted encumbrance. (iii) Conditioned upon the full compliance by Tenant of all of the terms of this Security Deposit separate from its general fundsLease, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully the prompt payment of all sums due hereunder, as and faithfully performs every provision of this Lease to be performed by itwhen they fall due, the Security Deposit or any balance thereof said deposit shall be returned in full to Tenant within thirty (or at Landlord's option, to 30) days after the last assignee of Tenant's interest hereunder) at the expiration end of the Lease term and after Tenant has vacated the Premises. Term. (iv) In the event of termination any transfer of Landlord's interest in this Leasetitle to the Real Property, Landlord shall have the right to transfer said the Security Deposit to Landlord's successors in interest whereupon said assignee and Landlord shall thereupon be released by Tenant agrees to release Landlord from all liability for the return of such Security Deposit; and Tenant agrees to look to the new landlord for the return of said Security Deposit. It is hereby agreed that the provisions of this Section shall apply to every transfer or assignment made of the Security Deposit to a new lessor. (v) In the event of bankruptcy or other debtor-creditor proceedings against Tenant, such Security Deposit shall be deemed to be applied first to the accounting thereforpayment of rent and other charges due Landlord for all periods prior to filing of such proceedings. (vi) Notwithstanding anything herein to the contrary, in the event that Tenant exercised the Right of First Offer in accordance with the provisions of Article 34 of this Lease, then Landlord shall have the right to increase the Security Deposit by an amount equal to the increase in the monthly Minimum Rent for the Additional Space.

Security Deposit. Landlord and Tenant confirm that Landlord currently holds a security deposit in the amount of Twenty-One Thousand Nine Hundred Thirty and 00/100 Dollars ($21,930.00) (“Existing Security Deposit”) in connection with the Existing Lease. Concurrently with Tenant's execution of Tenant signing this Lease, Tenant shall deposit with pay Landlord an additional Twelve and 50/100 Dollars ($12.50), which amount shall be added to the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Existing Security Deposit and which combined amount ($ 445,132.80 i.e., $21,942.50) Dollarsshall constitute the Security Deposit under this Lease. Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of Tenant’s obligations under this Lease to be kept and performed by Tenant during the term hereofLease. If Tenant defaults with respect to breaches any provision of obligation under this Lease, including, but not limited towithout limitation, the under provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of any rent or any other sum in default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's ’s default or to help to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten (10) days after written demand thereforupon demand, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this the Security Deposit separate from Table of Contents its general funds, and Tenant shall not be entitled to interest on such the Security Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed To the extent that the Security Deposit has not been applied by itLandlord as permitted hereunder, the Security Deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's ’s option, to the last permitted assignee of Tenant's interest hereunder’s interests under this Lease) at the expiration of the Lease term Term, provided that Landlord may retain the Security Deposit until such time as any amount due from Tenant in accordance with Paragraph 6 has been determined and after Tenant has vacated the Premisespaid in full. In the event of termination of Landlord's If Landlord sells its interest in this Leasethe Premises during the Term and if Landlord deposits with the purchaser of the Premises the then unappropriated portion of the Security Deposit and the purchaser acknowledges in writing its receipt of the Security Deposit, Landlord shall transfer said Deposit be discharged from any further liability with respect to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforSecurity Deposit.

Security Deposit. Concurrently with the execution hereof, Tenant has paid to Landlord the amount of One Hundred Thousand and no/00 DOLLARS ($100,000.00)to be held as a deposit to secure performance of Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofobligations hereunder. If Tenant defaults with respect to any provision is not in default on the first anniversary of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said release the sum of $50,000.00 to Tenant. Upon the occurrence of any Event of Default, or upon the failure by Tenant to timely pay any sum it is obligated to pay hereunder, Landlord may, from time to time, without prejudice to any other remedy, and without prior notice to Tenant, apply all or part of the amount deposited to the curing of such Event of Default or the payment of such sum. Should Landlord so apply such deposit, Tenant shall immediately upon receipt of notice thereof deposit with Landlord a sufficient amount to bring Tenant's total deposit to the level stated in the first sentence of this Section. Upon termination or expiration of this Lease, the security deposit shall be returned to Tenant, to the extent the same is not then applied to curing of any Event of Default or to the payment of any sum owed by Tenant hereunder. Landlord may keep such security deposit in its bank account and commingle same with its other funds. Such interest as Landlord is able to obtain on the Security Deposit shall be paid periodically by Landlord to El Paso Country Day School or other charitable organization selected by Landlord, as a donation on Tenant's behalf. The amount so deposited shall not be considered as an advance payment of rental hereunder, or as a measure of Landlord's successors damages in interest whereupon Tenant agrees the event of any failure to release Landlord from liability for perform on the return part of such Deposit or the accounting thereforTenant.

Security Deposit. Concurrently The Landlord acknowledges receipt from the Tenant of the Security Deposit to be held, without interest, as security (without prejudice to the Landlord’s other rights and remedies) for the observance and performance of the Tenant’s obligations under this Lease. A portion of the Security Deposit shall be applied by the Landlord against the payment of Basic Rent, Operating Costs and Property Taxes plus Rental Taxes accruing due during the calendar months of June 2012, June 2013, June 2014 and June 2015 of the Term with Tenant's execution the balance, if any, to continue to be held as security. If the Tenant defaults in the performance of any of the terms, covenants, conditions and provisions of this LeaseLease as and when the same are due to be performed by the Tenant, Tenant shall deposit with Landlord then the sum Landlord, at its option, may appropriate and apply all or any part of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held the Security Deposit on account of any losses or damages sustained by the Landlord as a result of such default. Upon demand by the Landlord following any such appropriation, the Tenant shall pay to the Landlord an amount sufficient to restore the total original amount of the Security Deposit for Deposit. If the faithful performance by Tenant of complies with all of the terms, covenants, conditions and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of provisions under this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to the Tenant (without interest within 90 days after the expiry or earlier termination of the Term, or, at the Landlord's option, to shall be applied by the Landlord on account of the last assignee month's Rent. Notwithstanding the foregoing, if the Tenant fails to execute and deliver this Lease within five (5) days of Tenant's interest hereunder) at receipt from the expiration Landlord or fails to take possession of the Lease term and after Tenant has vacated Premises by the Premises. In Commencement Date, the event of termination of Landlord's interest in Landlord may, at its sole option, terminate this Lease, whereupon the Security Deposit shall be retained by the Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for as liquidated damages on account of the return of such Deposit or the accounting thereforTenant’s default and not as a penalty.

Security Deposit. Concurrently Concurrent with Tenant's execution of this Lease, ---------------- Tenant shall deposit with Landlord a security deposit (the sum "Security Deposit") in the amount set forth in Section 11 of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollarsthe Summary. Said sum The Security Deposit ---------- shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofLease Term. If Tenant defaults with respect to any provision provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (may, but shall not be required to) , use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or any other sum in default, or for the payment of any amount which that Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason of Tenant's default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten five (105) business days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. , and Tenant's failure to do so shall be a material breach of default under this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and If Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit Deposit, or any balance thereof thereof, shall be returned to Tenant (or Tenant, or, at Landlord's option, to the last assignee of Tenant's interest hereunder, within sixty (60) at days following the expiration of the Lease term and after Term. Tenant has vacated shall not be entitled to any interest on the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforSecurity Deposit.

Security Deposit. Concurrently with Tenant's ’s execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR SEVEN HUNDRED FORTY FIVE ELEVEN THOUSAND ONE HUNDRED THIRTY TWO EIGHTY FOUR AND 80/100 50/100 Dollars ($ 445,132.80 ) Dollars$711,184.50). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall shaft transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.. See Paragraph 50

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the total sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Five thousand 00/100 Dollars ($ 445,132.80 $5,000.00) Dollarson May 11, 1990, check #002, of which two thousand five hundred and 00/100 Dollars ($2,500.00) shall be held for security/damage to the above referenced demised premises. Upon expiration of this lease agreement, any remaining security deposit shall transfer to the demised premises commonly described in the lease agreement dated July 31, 1996 as ▇▇▇▇-▇▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇, Roseville, Minnesota, and be held as additional security deposit by Landlord for said demised premises. Said sum shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision provisions of this Lease, Lease including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit security deposit for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit security deposit is so used or applied, Tenant shall, shall within ten five (105) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. , and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the he last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the PremisesTerm. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforinterest.

Security Deposit. Concurrently with Tenant's ’s execution of this Lease, Tenant shall deposit with Landlord the sum of FIFTY-EIGHT THOUSAND SIXTY-FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 88/100 DOLLARS ($ 445,132.80 ) Dollars$58,064.88). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term Term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent Rent and any of the monetary sums due herewithhereunder, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration or earlier termination of the Lease term Term and after Tenant has vacated the Premises; provided, however, that Landlord may withhold therefrom the amount necessary to cover the cost of restoration of the Premises if Tenant fails to do so as required under Lease Paragraph 8 and to cure any then uncured default by Tenant under this Lease. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. Tenant hereby waives the protection of Section 1950.7 of the California Civil Code.

Security Deposit. Concurrently with Tenant's Tenant shall pay to Landlord, immediately upon execution of this Lease, Tenant shall a security deposit with Landlord in the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 amount ($ 445,132.80 or if a security deposit is currently held by Landlord, then any additional amount as the case may be) Dollarsset forth at Section 1.11 (“Security Deposit”). Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, covenants and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of any rent or any other sum in default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten (10) days after written upon demand therefor, deposit deliver cash with to Landlord in the an amount sufficient to restore the Security Deposit to its original amount. , and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositthereon. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's interest ’s interests hereunder) at the expiration of the Term, provided that Landlord may retain the Security Deposit until such time as any amount due from Tenant under this Lease term has been determined and after Tenant has vacated the Premises. In the event of termination of Landlord's interest paid in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforfull.

Security Deposit. Concurrently with Tenant's Within two (2) business days following execution of this Leasehereof, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Eleven Thousand Dollars ($ 445,132.80 $11,000) Dollarswhich sum shall be held, applied and considered as the first month's rent due hereunder. Said Within ninety (90) days following execution hereof, Tenant shall deposit with Landlord an additional Fourteen Thousand Dollars ($14,000) which sum shall be held by Landlord as a Security Deposit security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions every provision of this Lease to be kept and performed by Tenant during the term hereofTenant. If Tenant defaults with respect fails to pay rent or other charges due hereunder, or otherwise breaches its obligations under any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit the deposit for the payment of any rent or other charge in default or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default breach, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If any Landlord so uses or applies all or a portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, within ten five (105) days after written demand therefortherefore, deposit cash with Landlord in the an amount sufficient to completely restore the Security Deposit to its original amount. Deposit, and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision all of this Lease to be performed by itTenant's obligations hereunder, the Security Deposit or any balance thereof shall be returned applied toward the rental amount due for the last month for which Tenant is obligated to Tenant (or at Landlord's option, pay rent hereunder. The exercise by Landlord of any of its rights under this Article 4 shall be without prejudice to the last assignee exercise by Landlord of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, any other rights or remedies to which Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereformay be entitled.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO TWENTY-EIGHT THOUSAND SEVEN HUNDRED FIFTY-ONE AND 80/100 NO/100 Dollars ($ 445,132.80 ) Dollars$128,571.00). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY FORTY-TWO THOUSAND TWENTY AND 80/100 92/100 DOLLARS ($ 445,132.80 ) Dollars$142,020.92). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term Term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent Rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenanttenant's interest hereunder) at the expiration or earlier termination of the Lease term Term and after Tenant has vacated the Premises; provided, however, that Landlord may withhold therefrom the amount necessary to cover the cost of restoration of the Premises if Tenant fails to do so as required under Lease Paragraph 8 and to cure any then uncured default by Tenant under this Lease. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. Tenant hereby waives the protection of Section 1950.7 of the California Civil Code.

Security Deposit. Concurrently with upon Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum Security Deposit, stated in Section "E" of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord the Basic Lease Information, as a Security Deposit security for the faithful performance by Tenant of all under this Lease. The Security Deposit shall be returned (without interest) to Tenant after the expiration of the termsTerm, covenants, and conditions or sooner termination of this Lease (including without limitation, the termination of this Lease as a result of the failure of the condition precedent set forth in Section 3.1 above) and delivery of possession of the Premises to Landlord in accordance with Section 26 if, at such time, Tenant is not in default under this Lease. If Landlord's interest in this Lease is conveyed, transferred or assigned, Landlord shall transfer or credit the Security Deposit to Landlord's successor in interest, and Landlord shall be released from any liability for the return of the Security Deposit. Landlord may intermingle the Security Deposit with Landlord's own funds, and shall not be deemed to be kept and performed by Tenant a trustee of the Security Deposit. If, during the term hereof. If Term, Tenant defaults with respect fails to timely pay or perform any provision of obligation under this Lease, includingLandlord may, but not limited prior to, the provisions relating concurrently with or subsequent to the payment of rent and exercising any of the monetary sums due herewithother right or remedy, Landlord may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default monetary obligation due under this Lease, or to compensate Landlord for any other expense, loss or damage which Landlord may suffer incur by reason of Tenant's defaultfailure, including any damage or deficiency in the reletting of the Premises. If If, during the Term, all or any portion of said the Security Deposit is so used used, applied or appliedretained, Tenant shall, within ten (10) days after written demand therefor, shall promptly deposit cash with Landlord cash in the an amount sufficient to restore the Security Deposit to its the original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, may withhold the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at after the expiration of the Term or sooner termination of this Lease term and after until Tenant has vacated paid in full Tenant's Operating Expenses for the PremisesFiscal Year in which such expiration or sooner termination occurs and all other amounts payable under this Lease. In the event of termination of The Security Deposit is not a limitation on Landlord's interest in damages or other rights under this Lease, Landlord a payment of liquidated damages or prepaid Rent, and shall transfer said Deposit not be applied by Tenant to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability the Rent for the return last (or any) month of the Term, or to any other amount due under this Lease. If this Lease is terminated due to any default of Tenant, any portion of the Security Deposit remaining at the time of such Deposit or termination shall immediately inure to the accounting thereforbenefit of Landlord as partial compensation for the costs and expenses incurred by Landlord in connection with this Lease, and shall be in addition to any other damages to which Landlord is otherwise entitled.

Security Deposit. Concurrently with Tenant's execution Landlord acknowledges receipt from the Tenant of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Eight Thousand One Hundred Forty Three Dollars ($ 445,132.80 $8,143.00) Dollars. Said sum shall to be held retained by Landlord without responsibility for payment of interest thereon, as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, terms and conditions of this Lease Agreement to be kept and performed by Tenant during Tenant, including payment of all rent due under the term terms hereof. If Tenant defaults with respect to any provision Upon written notice for Landlord, deductions may be made by Landlord from the amount so retained for the reasonable cost of this Lease, including, but not limited to, the provisions relating repairs to the payment of rent Leased Premises (ordinary wear and any of the monetary sums due herewithtear excepted), Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason rent delinquent under the terms hereof and/or for any sum used in any manner to cure any default of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in under the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach terms of this Lease. In the event deductions are so made, the Tenant shall, upon notice from the Landlord, redeposit with the Landlord such amounts so expended so as to maintain the deposit in the amount as herein provided for, and failure to so redeposit shall not be required deemed a failure to keep this Security Deposit separate from its general fundspay rent under the terms hereof. Nothing herein contained shall limit the liability of Tenant as to any damage to the Leased Premises, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision responsible for the total amount of this Lease to be performed any damage and/or loss occasioned by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee actions of Tenant's interest hereunder) at . Landlord may deliver the expiration of the Lease term and after funds deposited hereunder by Tenant has vacated the Premises. In the event of termination to any purchaser of Landlord's interest in this Leasethe Leased Premises in the event such interest shall be sold, and thereupon Landlord shall transfer said Deposit be discharged from any further liability with respect to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefordeposit.

Security Deposit. Concurrently with 9.1 Upon Tenant's execution of this Lease, Tenant shall deposit with Landlord a "Security Deposit" in the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum amount set forth in Section 1.8 hereof, which shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept Lease, it being expressly understood and performed by Tenant agreed that the deposit is neither an advance Rent deposit nor a measure of Landlord's damages in case of Tenant's default. If at any time during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited toLease or any extended term thereof Tenant's Basic Rent is increased pursuant to Article 5 or otherwise, the provisions relating Security Deposit shall be increased in the same proportion and Tenant shall deposit cash with Landlord in an amount sufficient to increase the Security Deposit to the payment of rent and appropriate amount. The Security Deposit may be retained, used or applied by Landlord to remedy any of the monetary sums due herewithdefault by Tenant, Landlord may (but shall not be required to) use, apply or retain all or to repair damage caused by Tenant to any part of this Security Deposit the Project, and to clean the Premises upon expiration or earlier termination of the Lease, as well as to reimburse Landlord for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefortherefore, deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount required hereunder, and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. Tenant may not elect to use any portion of said Security Deposit as a Rental payment although Landlord may elect to do so in the event Tenant is in default hereunder or is insolvent. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant enant at Tenant's last known address (or or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of within thirty (30) days after the Lease term has ended and after the Premises have been vacated by Tenant has vacated in the Premises. In the event of termination of Landlord's interest in manner required by this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE TWENTY-EIGHT THOUSAND ONE HUNDRED THIRTY TWO FORTY THREE DOLLARS AND 80/100 74/100, ($ 445,132.80 $28,143.74) Dollars(Two months rent). Said sum shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this the Lease, including, including but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewithrent, Landlord may (but shall not be required to) use, apply or retain all or any Any part of this Security Deposit security deposit for the payment of any rent or any other sum in default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit deposit is so used or applied, Tenant shall, within ten (10) days after written upon demand therefortherefore, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. amount and Tenant's failure to do so shall be a material breach of Of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and but Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the 13 Lease term and after term, or may be treated by Tenant has vacated at its option as the Premises. In last month's rental of the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforLease term.

Security Deposit. (a) Concurrently with Tenant's its execution of this LeaseSublease, Tenant Subtenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Sublandlord One Hundred Twenty-One Thousand Six Hundred Fifty and No/100 Dollars ($ 445,132.80 $121,650.00) Dollars. Said sum shall be held by Landlord as a Security Deposit security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any every provision of this Lease, includingSublease to be performed by Subtenant. If an Event of Default has occurred (which default shall include, but shall not be limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithrent), Landlord Sublandlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit said security deposit for the payment of any rent and any other sum in default, or for the payment of any other amount which Landlord Sublandlord may spend or become obligated to spend by reason of Tenant's Subtenant’s default or to compensate Landlord Sublandlord for any other loss or damage which Landlord Sublandlord may suffer by reason of Tenant's defaultSubtenant’s default (which may include making a partial draw upon any Letter of Credit provided by Subtenant pursuant to Section 17(b) hereof). If any portion of said Deposit security deposit is so used or applied, Tenant Subtenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord Sublandlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. Tenant's , and Subtenant’s failure to do so shall be a material breach of this LeaseSublease. Landlord Except to the extent required by law, Sublandlord shall not be required to keep this Security Deposit said security deposit separate from its general funds, and Tenant Subtenant shall not be entitled to interest on such Depositany security deposit. If Tenant Subtenant shall fully and faithfully performs perform every provision of this Lease Sublease to be performed by it, the Security Deposit said security deposit or any balance thereof shall be returned to Tenant Subtenant (or or, at Landlord's Sublandlord’s option, to the last assignee of Tenant's Subtenant’s interest hereunder) at within forty-five (45) days after the expiration of the Lease term and after Tenant has vacated Subtenant’s vacation of the Subleased Premises. Nothing herein shall be construed to limit the amount of damages recoverable by Sublandlord or any other remedy to the security deposit. (b) At Subtenant’s election, the security deposit may take the form either of cash or of an unconditional, irrevocable letter of credit (the “Letter of Credit”) from a U.S. banking institution reasonably acceptable to Sublandlord, insured by a federal insurance agency (“Issuer”). The Letter of Credit shall (i) meet the requirements of the “Uniform Customs and Practice for Documentary Credits,” ICC No. 500 (1993 Edition), (ii) name Sublandlord as beneficiary, (iii) be in the amount of the security deposit required hereunder, (iv) be payable in full or partial draws against Sublandlord’s sight draft, (v) include an “evergreen” provision which provides that the Letter of Credit shall be renewed automatically on an annual basis unless the Issuer delivers thirty (30) days prior written notice of cancellation to Sublandlord, (vi) have an initial expiration date no earlier than one year from the date of issue, and (vii) otherwise be in form and substance satisfactory to Sublandlord. In the event the Letter of termination Credit is ever not renewed when required hereunder, Sublandlord shall have the right to draw upon the Letter of Landlord's interest Credit and hold the proceeds thereof as a cash security deposit. Provided that Subtenant is not then in this Leasedefault of any of its obligations hereunder and no act, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for omission, fact, circumstance, condition or event that with the return giving of such Deposit notice or the accounting thereforpassage of time or both would constitute a default hereunder exists, Sublandlord shall return the Letter of Credit to Subtenant within forty-five (45) days after the expiration of this Sublease and Subtenant’s vacation of the Subleased Premises.

Security Deposit. Concurrently with The amount set forth in the Data Sheet as a security deposit is payable by Tenant to Landlord upon Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said which sum shall be held by Landlord as a Security Deposit for the faithful performance security against any default by Tenant in the performance of all the covenants, conditions and agreements of this Lease. The security deposit may, at Landlord's option, be applied by Landlord against any default in any of the terms, covenants, and provisions or conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required obligated to keep this Security Deposit such security deposit in a separate from fund but may commingle the security deposit with its general own funds. A mortgagee-in- possession of the Leased Premises, or any interest therein, through public or private foreclosure or the acceptance of deed in lieu thereof, shall have no liability to Tenant for return of all or any portion of the security deposit, unless, and then only to the extent that, such mortgagee has actually received all or any portion of Tenant's security deposit. In the event Landlord applies the security deposit in whole or in part against a default by Tenant, Tenant shall, upon demand by Landlord, deposit sufficient funds to maintain the security deposit in the initial amount. The failure of Tenant to maintain the security deposit in the initial amount as stated shall constitute a failure to pay Rent and shall carry with it the consequences set forth under Article XIV hereof. Upon the expiration of the Term hereof, the security deposit, if not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision applied toward the payment of Rent in arrears or toward the payment of damages suffered by Landlord by reason of Tenant's breach of this Lease Lease, is to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's optionwithout interest, except as provided by law, but in no event is such security deposit to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after be returned until Tenant has vacated the Leased Premises. In the event of termination of , delivered possession thereof to Landlord, and fully satisfied Tenant's interest in obligations under this Lease. Notwithstanding the acceptance by Landlord of Tenant's security deposit, Landlord this Lease shall transfer said Deposit to Landlord's successors not be deemed effective until the Effective Date (as defined in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforSection 20.20).

Security Deposit. Concurrently with Tenant's execution of oPound Sterling this Lease, Tenant shall deposit with Landlord the sum of FOUR TWELVE HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 DOLLARS ($ 445,132.80 ALREADY PAID) Dollars($1200.00). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, including but not limited to, to the provisions relating to the payment of oPound Sterling rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, therefore deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. ; Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's Landlords' option, . to the last assignee of Tenant's interest interests hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefortherefore.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord upon execution hereof $75,000 as a Security Deposit security for the Tenant’s faithful performance by Tenant of all of Tenant’s obligations hereunder (the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof“Security Deposit”). If Tenant fails to pay Rent, rental taxes, late charges, or any other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent Lease beyond applicable notice and any of the monetary sums due herewithcure periods, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit for the payment of any rent or other amount charges in default, the repair of such damage to the Premises, or for the payment of any other sum to which Landlord may become obligated to spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, within ten (10) days after written demand therefortherefore, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. the full amount hereinabove stated and Tenant's ’s failure to do so in a timely manner shall be a material breach of this Lease. Landlord shall not be required to keep this the Security Deposit separate from its Landlord’s general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed by itTenant’s obligations hereunder, the Security Deposit Deposit, or any balance so much thereof as has not theretofore been applied by Landlord shall be returned returned, without payment of interest or other increment for its use, to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term hereof, and within thirty (30) days after Tenant has vacated the Premises. In No trust relationship created herein between Landlord and Tenant with respect to the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforSecurity Deposit.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord upon the sum earlier of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Tenant's early entry upon, or taking occupancy of, the Premises, one ($ 445,132.80 1) Dollars. Said sum shall be held by Landlord month Rent as a Security Deposit security for the Tenant's faithful performance by Tenant of all Tenant's obligations hereunder, including, without limitation, any liabilities of the terms, covenants, Tenant under paragraph 14.2(d) and conditions of this Lease to be kept and performed by Tenant during the term hereof(i). If Tenant fails to pay rent or other charges due hereunder or otherwise defaults with respect to any provision of this Lease, including, but not limited to, within the provisions relating to the payment of rent and any of the monetary sums due herewithapplicable grace period, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any rent, damages or other amount which Landlord may spend by reason of Tenant's charge in default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or applieddeposit, Tenant shall, shall within ten twenty (1020) days after written demand therefor, therefor deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount hereinabove stated and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed Tenant's obligations hereunder, said deposit, or so much thereof as has not theretofore been applied by it, the Security Deposit or any balance thereof Landlord shall be returned returned, without payment of interest or other increment for its use, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.hereof,

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall A security deposit with Landlord in the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum in the form of a Cashier’s Check made payable to the Orange County Flood Control District shall be held provided to DISTRICT by Landlord as a Security Deposit for the HOLDER. The security deposit shall guarantee HOLDER full and faithful performance by Tenant of all of the terms, covenants, terms and conditions of this Lease to be kept and performed by Tenant during the term hereofAgreement. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but DISTRICT shall not be required toto keep this security deposit separate from its general funds, and HOLDER shall not be entitled to any interest on such deposit. DISTRICT reserves the right to adjust the amount of the security deposit to reflect changes in operations or changes in use fees established by DISTRICT. Within thirty (30) use, apply or retain all or any part days after receipt of this Security Deposit for the payment Director’s written notice to HOLDER of any other amount which Landlord change in required security deposit amount, HOLDER shall submit to DISTRICT any additional security deposit as may spend by reason of Tenant's default be required. All or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used the security deposit shall be available unconditionally to Director for payment of expenses incurred by DISTRICT as a result of HOLDER failure to faithfully perform all terms and conditions of this Agreement. In the event Director withdraws any or appliedall of the security deposit as provided herein, Tenant HOLDER shall, within ten (10) days after days’ written demand therefornotice of any withdrawal by Director, replenish the security deposit cash with Landlord to maintain it in the amount sufficient to restore herein required, throughout the Security Deposit to its original amountAgreement term. Tenant's failure Failure to do so will result in Utility Use - OCFCD to the immediate termination of this Agreement. The security deposit, less any deductions of all amounts due DISTRICT, shall be a material breach released to HOLDER within thirty (30) days following the expiration or sooner termination of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general fundsAgreement, provided HOLDER has fully vacated the Agreement Area and Tenant shall not be entitled to interest on such Deposit. If Tenant has otherwise fully and faithfully performs every provision of performed HOLDER’s obligations under this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforAgreement.

Security Deposit. Landlord and Tenant acknowledge and agree that pursuant to the Expired Lease, Tenant has on deposit with Landlord the sum of Nine Thousand One Hundred Eight Dollars ($9,108.00) as a security deposit. Concurrently with Tenant's the execution and delivery of this Lease, Tenant shall deposit with Landlord the additional sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Twenty Nine Thousand Five Hundred Ninety Two Dollars ($ 445,132.80 $29,592.00) Dollars. Said sum shall be held by Landlord as a with Landlord, bringing the total amount of the Security Deposit to Thirty Eight Thousand Seven Hundred Dollars ($38,700.00) as security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions every provision of this Lease to be kept and performed by Tenant during the term hereofTenant. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithset forth in this Lease, Landlord may (but shall not be required to) use, apply or retain all or any part of this the Security Deposit for the payment of such rent, fees or any other sum in default, or for the payment of any other amount which Landlord may reasonably spend or become obligated to spend by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which Landlord may reasonably suffer by reason of Tenant's default’s breach of the terms of this Lease, or to pay Landlord for any amount due under any indemnification provision contained in this Lease. If any portion of said the Security Deposit is so used or applied, Tenant shall, shall within ten five (105) days after written demand thereforof receipt of notice thereof from Landlord, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. amount and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefordeposit.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord or its agent the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Twenty One Thousand Nine Hundred Forty-One and no/100 Dollars ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord $21,941), as a Security Deposit partial security for the Tenant’s full and faithful performance by Tenant of all of the termseach and every term, covenantscondition, covenant and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease. Thereafter, includingin the event Tenant defaults in the performance of any term, but not limited tocondition, covenant or provision hereof, following the provisions relating to the payment of rent and any of the monetary sums due herewithapplicable Tenant cure period’s lapse, Landlord may (but shall not be required to) use, apply or retain all the whole or any part of this such Security Deposit for the payment of any rent or other amount charge in default or for the payment of any other sum which Landlord may spend incur or for which Landlord may become obligated by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason because of Tenant's ’s default. Under no circumstances shall the Security Deposit be deemed to be the last month’s rent payable hereunder. Any use, application or retention of the Security Deposit by Landlord shall be in addition to, and not in substitution of or as an alternative to, any other rights or remedies Landlord may have at law or under this Lease, shall not prevent Landlord from pursuing its other rights and remedies hereunder or at law or equity, and shall not prevent Landlord from recovering damages in case of default(s) in excess of the amount of the Security Deposit used, applied or retained. If any portion of said the Security Deposit is so used used, applied or appliedretained, Tenant shallthen, within not later than ten (10) days after written demand therefor, notice to Tenant; Tenant shall deposit a sufficient sum in cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. the full amount initially deposited, and Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general fundsIf Tenant, at the end of the Term hereof, including extensions and holdover periods, if any, and Tenant after vacating the Premises shall not be entitled to interest on such Deposit. If Tenant have fully and faithfully performs every provision complied with all of the terms and provisions of this Lease to be performed by itLease, the Security Deposit or any balance thereof not used, applied or retained by Landlord hereunder within thirty (30) days of the date of Tenant’s compliance, shall be returned to Tenant (Tenant, or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at . No interest or other payment shall be made to Tenant on or for the expiration use of the Lease term and after Security Deposit nor shall any trust relationship be created by the deposit of the Security Deposit. Tenant has vacated agrees that if Landlord shall sell or otherwise dispose of the Premises. In the event of termination of Landlord's interest in this LeaseBuilding, Landlord shall transfer said be relieved of its obligation to return the Security Deposit provided that Landlord’s transferee assumes in writing the obligations of Landlord with respect to such Security Deposit. Landlord shall not be required to keep the Security Deposit separate from its general funds. Notwithstanding the first sentence of this paragraph, should Tenant timely exercise its option to renew, Landlord shall reduce the balance of the Security Deposit to Landlord's successors in interest whereupon one (1) month’s rent, and shall return the excess to Tenant agrees to release Landlord from liability for within thirty (30) days of Tenant’s commencement of the return of such Deposit or the accounting thereforextension period.

Security Deposit. Concurrently with Tenant's execution of this LeaseOn or prior to the date hereof, Tenant shall deposit has deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Seventy Thousand and 00/100 Dollars ($ 445,132.80 $70,000.00) Dollars. Said sum shall be held by Landlord (the "Initial Security Deposit"), as a Security Deposit security for the full and faithful performance by Tenant of all of the terms, covenants, and conditions every provision of this Lease and the Workletter to be kept and performed by Tenant during the term hereofTenant. If a Default by Tenant defaults occurs with respect to any provision of this LeaseLease or the Workletter, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit the security deposit then being held by Landlord hereunder for the payment of any Rent and any other sum with respect to which Tenant is in Default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default Default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultDefault. If any portion of said Deposit security deposit is so to be used or applied, Tenant shallTenant, within ten five (105) days after written demand therefor, shall deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. the amount being held by Landlord prior to such application and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit any security deposit being held hereunder separate from its general funds, and Tenant shall not be entitled to interest on such Depositany security deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit The security deposit or any balance thereof being held by Landlord at the end of the Term (or any Letter of Credit [as defined below] then being held by Landlord) shall be returned to Tenant (Tenant, or at Landlord's option, to the last assignee of Tenant's interest hereunder, within thirty (30) at days after the expiration of the Lease term Term and after Tenant's vacation of the Premises, unless Tenant has vacated failed to perform any of its obligations under this Lease and has received notice thereof from Landlord but has not cured such defaults. If all or any portion of the Premises. In security deposit is retained beyond said 30-day period by Landlord pursuant to the event of termination of Landlord's interest in this Leaseimmediately preceding sentence, Landlord shall transfer said Deposit apply such retained amount to Landlord's successors in interest whereupon Tenant agrees cure any existing defaults by Tenant, then Landlord shall pay the balance of any such retained amount, if any, to release Landlord from liability for the return of such Deposit or the accounting thereforTenant.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum shall be held by Landlord as a Security Deposit set forth in Paragraph 1 above as security for the Tenant's faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant's obligations hereunder. If Tenant fails to pay Rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any Rent or other charge in default, or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or applieddeposit, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount stated in Paragraph 1, and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed Tenant's obligations hereunder, said deposit, or so much thereof as has not theretofore been applied by itLandlord, the Security Deposit or any balance thereof shall be returned returned, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at the expiration of the Lease term Term hereof, and after Tenant has vacated the Premises. No trust relationship is created herein between Landlord and Tenant with respect to said Security Deposit. In the event Tenant maintains an audited net worth in excess of termination $2,000,000 as of Landlordthe normal date on which Tenant's interest in this outside auditors examine Tenant's financial statements, the amount of the Security deposit shall be reduced to $80,000 as of July 15, 1998, to $60,000 as of July 15, 1999, to $30,000 as of July 15, 2000 and to $20,000 as of July 15, 2001. The irrevocable letter of credit may have an initial term of one year. Beginning on July 15, 1998 and continuing through the term of the Lease, Tenant may, at its option, deposit cash with the Landlord shall transfer said Deposit to Landlord's successors or provide an irrevocable letter of credit in interest whereupon Tenant agrees to release Landlord from liability fulfillment of the requirement for the return of such Deposit or the accounting therefora Security Deposit.

Security Deposit. Concurrently Concurrent with Tenant's execution of this Lease, Tenant shall deposit with Landlord a security deposit (the sum "Security Deposit") in the amount set forth in Section 10 of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollarsthe Summary. Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofLease Term. If Tenant defaults with respect to any provision provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (may, but shall not be required to) , use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or any other sum in default, or for the payment of any amount which that Landlord may spend or become obligated to spend by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason of Tenant's default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. , and Tenant's failure to do so shall be a material breach of default under this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and If Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit Deposit, or any balance thereof thereof, shall be returned to Tenant (or Tenant, or, at Landlord's option, to the last assignee of Tenant's interest hereunder, within sixty (60) at days following the expiration of the Lease term Term. Landlord shall not be required to keep the Security Deposit separate from its general funds and after Tenant has vacated shall not be entitled to any interest on the Security Deposit. Tenant hereby waives the provisions of Section 1950.7 of the California Civil Code, and all other provisions of law, now or hereafter in force, which provide that Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by Tenant or to clean the Premises. In , it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the event act or omission of termination Tenant or any officer, employee, agent or invitee of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforTenant.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Eighteen Thousand Seven Hundred Fifty and No/100 Dollars ($ 445,132.80 ) Dollars$18,750.00). Said sum shall be held by Landlord as a Security Deposit security deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision provisions of this Lease, including, including but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit security deposit for the payment of any other amount which Landlord may spend or become obligated to spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit deposit is so used or applied, Tenant shall, within ten (10) days after written demand thereforthereof, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit security deposit to its original amount. ; Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit security deposit or any balance thereof shall be returned to Tenant tenant (or or, at Landlord's option, to the last assignee of Tenant's interest interests hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit deposit to Landlord's successors successor in interest interest, whereupon Tenant agrees to release Landlord from all liability for the return of such Deposit deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR TWO HUNDRED FORTY FIVE SEVENTY THREE THOUSAND ONE TWO HUNDRED THIRTY FIFTY TWO AND 80/100 40/100 Dollars ($ 445,132.80 ) Dollars$273,252.40). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term Term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent Rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenanttenant's interest hereunder) at the expiration of the Lease term Term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor. Within forty five (45) after the expiration or earlier termination of the Lease Term, and after Tenant has vacated and surrendered the Premises, Landlord shall return to Tenant the then current balance of Tenant's Security Deposit (except for amounts that Landlord has deducted to cure defaults of Tenant under the Lease, or to compensate Landlord for damages for which Tenant is liable for pursuant to this Lease).

Security Deposit. Concurrently with Tenant's Tenant shall deposit the sum of Seventy Thousand Twenty-Five Dollars ($70,025.00) (the "Security Deposit") upon execution of this Lease, to secure the faithful performance by Tenant of each term, covenant and condition of this Lease. On each date that the Monthly Installment of rent is increased pursuant to Paragraph 4.C above, Tenant shall deposit with Landlord an additional sum to increase the Security Deposit to an amount equal to the Monthly Installment of rent then payable under the Lease. If Tenant shall at any time fail to make any payment or fail to keep or perform any term, covenant or condition on its part to be made or performed or kept under this Lease, Landlord may, but shall not be obligated to and without waiving or releasing Tenant from any obligation under this Lease, use, apply or retain the whole or any part of the Security Deposit (A) to the extent of any sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 due to Landlord; ($ 445,132.80 B) Dollars. Said sum shall be held to make any required payment on Tenant's behalf; or (C) to compensate Landlord for any loss, damages, attorneys' fees or expense sustained by Landlord as a due to Tenant's default. In such event, Tenant shall, within five (5) days of written demand by Landlord, remit to Landlord sufficient funds to restore the Security Deposit for to its original sum. No interest shall accrue on the faithful performance by Security Deposit. Landlord shall not be required to keep the Security Deposit separate from its general funds. Should Tenant of comply with all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during at the end of the term hereof. If Tenant defaults with respect to any provision of this Lease leave the Premises in the condition required by this Lease, includingthen said Security Deposit, but not limited toless any sums owing to Landlord, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant within thirty (or at Landlord's option, to 30) days after the last assignee termination of Tenant's interest hereunder) at the expiration this Lease and vacancy of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforPremises by Tenant.

Security Deposit. Concurrently with Tenant's execution As additional security for the full and prompt performance by Tenant of the terms and covenants of this Lease, Tenant shall deposit ▇▇▇▇▇▇ has deposited with the Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Thirty Thousand One Hundred Fourteen and 58/100 Dollars ($ 445,132.80 $30,114.58) Dollars. Said sum (the “Security Deposit”), which shall be held not constitute rent for any month (unless so applied by Landlord as a on account of Tenant’s default). Landlord may, at its option, hold the Security Deposit for in an interest bearing account at the faithful performance by Tenant state or federally chartered bank of all its choice and shall have no obligation to segregate the Security Deposit from any other funds of the terms, covenantsLandlord, and conditions of this Lease interest earned on the Security Deposit, if any, shall belong to be kept and performed by Landlord. Tenant during the term hereof. If Tenant defaults with respect to any provision of this Leaseshall, includingupon demand, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If immediately restore any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach which is applied by Landlord in accordance with the provisions of this Lease. To the extent that Landlord shall has not be required to keep this applied the Security Deposit separate from on account of a failure of Tenant to comply with its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of obligations under this Lease to be performed by itLease, the Security Deposit or any balance thereof shall be returned (without interest) to Tenant promptly (or at Landlord's optionbut in any event within ninety (90) days) after the expiration of this Lease and the full performance of Tenant hereunder (including, to the last assignee without limitation, any payment due by Tenant as a result of a reconciliation of Tenant's interest hereunder) at ’s additional rent obligations). Until returned to Tenant after the expiration of the Lease term and after the full performance by ▇▇▇▇▇▇ of its obligations hereunder, the Security Deposit shall remain the property of Landlord. Tenant has vacated confirms that Landlord shall have the Premisesright of set-off against the Security Deposit to secure all of Tenant’s obligations to Landlord under this Lease (including all amounts due under Paragraph 3.5 above). In the event of termination a voluntary or involuntary Chapter 11 or 7 Bankruptcy filing by or against Tenant, ▇▇▇▇▇▇ agrees that the Security Deposit shall be used first to satisfy any pre- petition obligations of Tenant and any lease-rejection damages claim of Landlord's interest in this Lease, Landlord and thereafter, any remaining Security Deposit shall transfer said Deposit be used to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return satisfy any post-petition obligations of such Deposit or the accounting thereforTenant.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit the Security Deposit with Landlord on the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum date this Lease is executed by Tenant, which shall be held by Landlord as a to secure Tenant’s obligations under this Lease. The Security Deposit is not an advance rental deposit or a measure of Landlord’s damages for the faithful performance by Tenant an Event of all Default (defined below). Landlord may use any portion of the terms, covenants, and conditions of this Lease Security Deposit to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of satisfy Tenant’s unperformed obligations under this Lease, including, but not limited to, the provisions relating to the payment of rent and reimburse Landlord for performing any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default such obligations or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of its damages arising from Tenant's defaultfailure to perform its obligations, without prejudice to any of Landlord’s other remedies. If any portion of said Deposit is so used or appliedused, Tenant shall, within ten (10) days after written demand thereforupon request, deposit cash with pay Landlord in the an amount sufficient to that will restore the Security Deposit to its original amount. Tenant's failure Landlord also may require Tenant to do so provide Landlord with an additional amount to be held as part of the Security Deposit if Tenant exercises its expansion option hereunder. The Security Deposit shall be a material breach of this LeaseLandlord’s property. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on any security deposit amount and Landlord may commingle such DepositSecurity Deposit with any other of its funds. If Tenant fully and faithfully performs every provision of this Lease agrees that it will not assign or encumber or attempt to be performed by it, assign or encumber the monies deposited with Landlord as the Security Deposit and that Landlord and its successors and assigns shall not be bound by any such actual or any balance thereof shall attempted assignment or encumbrance. The unused portion of the Security Deposit, along with a list of deductions, will be returned to Tenant within forty-five (or at Landlord's option45) days after the Expiration Date, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after provided that Tenant has vacated the Premises. In the event of termination of Landlord's interest in fully and timely performed its obligations under this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit Lease or the accounting thereforcured any deficiencies at that time.

Security Deposit. Concurrently with Tenant's ’s execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR TWO HUNDRED FORTY EIGHTY NINE THOUSAND FIVE THOUSAND ONE HUNDRED THIRTY TWO EIGHTY THREE AND 80/100 58/100 Dollars ($ 445,132.80 $289, 583.58) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, . Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's ’s default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is so used or applied, . Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's ’s option, to the last assignee of Tenant's ’s interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's ’s interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors ’s successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefortherefore. SEE PARAGRAPH 50.

Security Deposit. Concurrently Concurrent with Tenant's ▇▇▇▇▇▇’s execution of this Lease, Tenant shall deposit with Landlord a security deposit (the sum “Security Deposit”) in the amount set forth in Section 10 of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollarsthe Summary. Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofLease Term. If Tenant defaults with respect to any provision provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewithRent, Landlord may (may, but shall not be required to) , use, apply or retain all or any part of this the Security Deposit for the payment of any Rent or any other sum in default, or for the payment of any amount which that Landlord may spend or become obligated to spend by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason of Tenant's ’s default. If any portion of said the Security Deposit is so used or applied, Tenant shall, within ten five (105) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's , and ▇▇▇▇▇▇’s failure to do so shall be a material breach of default under this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and If Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs perform every provision of this Lease to be performed by it, the Security Deposit Deposit, or any balance thereof thereof, shall be returned to Tenant Tenant, within forty-five (or at Landlord's option, to the last assignee of Tenant's interest hereunder45) at days following the expiration of the Lease term Term. Tenant shall not be entitled to any interest on the Security Deposit. Tenant hereby waives the provisions of Section 1950.7 of the California Civil Code, and after all other provisions of law, now or hereafter in force, which provide that Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the act or omission of Tenant or any officer, employee, agent or invitee of Tenant. Notwithstanding the foregoing, and provided (i) Tenant has vacated not previously been in default under this Lease as of the Premises. In Security Deposit Reduction Date as defined and set forth hereinbelow, (ii) Landlord has not applied any portion of the event Security Deposit pursuant to the foregoing as of termination the Security Deposit Reduction Date, and (iii) Tenant has demonstrated to Landlord’s reasonable satisfaction, as of Landlord's interest in this Leasethe Security Deposit Reduction Date, that Tenant has had positive net operating income for the previous two-year period, Landlord shall, on the first (1st) day of the twenty-fifth (25th) month of the initial Lease Term (the “Security Deposit Reduction Date”), reduce the Security Deposit held by Landlord by an amount (the “Security Deposit Reduction Amount”) equal to Seventy Thousand Two Hundred Forty-Eight and 77/100 Dollars ($70,248.77). Landlord shall transfer said apply the Security Deposit to Landlord's successors in interest whereupon Reduction Amount as a credit against the monthly installment(s) of Base Rent first due and payable by Tenant agrees to release Landlord from liability for under this Lease following the return of such Security Deposit or the accounting thereforReduction Date.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Forty Seven Thousand Seventy Dollars ($ 445,132.80 ) Dollars. Said sum $47,070.00), receipt of which is hereby acknowledged, as security for the full performance of the obligations of Tenant under this Lease. 3.6.1 If Tenant shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults in default with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent the Base Monthly Rental or any other covenant contained herein, after the expiration of all applicable notice and any of the monetary sums due herewithcure periods, Landlord may (but shall not be required to) use, apply use or retain all or any part of this Security Deposit the security deposit for the payment of any other sum in default, or for the payment of any amount which Landlord may spend or become obligated to spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said Deposit is security deposit be so used applied or appliedused, Tenant shall, within ten five (105) business days after written demand therefornotice thereof, deposit cash an additional amount with Landlord in the amount sufficient to restore said security deposit to the Security Deposit to its original amount. amount set forth above and Tenant's ’s failure to do so shall be constitute a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. . 3.6.2 If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) is not in default at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of or earlier termination of Landlord's interest in this Lease, Landlord shall transfer return said Deposit security deposit to Tenant within two (2) weeks after said expiration or termination of this Lease, less any amounts required, as a result of Tenant’s failure to comply with its restoration obligations hereunder, to restore the Premises to good condition and repair, reasonable wear and tear excepted, including damage resulting from the removal by Tenant of its trade fixtures or equipment. 3.6.3 Landlord’s obligation with respect to any security deposit is that of a debtor and not as a trustee, consequently, such sums may be commingled with rental receipts or dissipated and no interest shall accrue thereon. 3.6.4 In the event of the sale of the real property of which the Premises constitute a part, Landlord or its agents shall pay over to Landlord's successors ’s successor in interest whereupon the sums held as security or advance rent and notify Tenant agrees to release Landlord from liability for in writing setting forth the return particularity of such Deposit transfer, including the successor’s name and address. Upon such written notification, (and provided Landlord’s successor-in-interest in fact received said security deposit), Tenant shall have no further claim against Landlord with respect to any such security deposit and hereby waives all rights against Landlord in such regard. 3.6.5 In the event of foreclosure by the holder of any mortgage or deed of trust encumbering the accounting Premises, Landlord shall continue to be liable for any security deposit and any such mortgagee shall have no liability or responsibility therefor.

Security Deposit. Concurrently with Tenant's execution of this LeaseWithin three (3) business days after the Consent Date, Tenant Subtenant shall deposit with Landlord Sublandlord $857,290.50 (the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 “Security Deposit”) Dollars. Said sum shall be held by Landlord as a Security Deposit security for the Subtenant’s faithful performance by Tenant of all Subtenant’s obligations hereunder either in cash or, at Subtenant’s election, in the form of a letter of credit, in which case the terms of Article 21 of the termsMaster Lease, covenantsas incorporated herein, shall apply. Sublandlord approves Silicon Valley Bank as the issuing Bank and conditions of this Lease references in such Article to be kept and performed by Tenant during the term hereof▇▇▇▇▇ Fargo Bank shall refer to such bank. If Tenant Subtenant fails to pay Rent or other charges due hereunder, or otherwise defaults with respect to any provision of this LeaseSublease, includingin either case beyond applicable notice and cure periods, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord Sublandlord may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit for the payment of Rent or any other amount charge in default or for the payment of any other sum to which Landlord Sublandlord may spend become obligated by reason of Tenant's default or Subtenant’s default, to compensate Landlord Sublandlord for any other loss or damage which Landlord Sublandlord may suffer by reason or reasonably estimates that it will suffer thereby or to compensate Sublandlord for any and all damages arising out of, or incurred in connection with, the termination of Tenant's defaultthis Sublease, including without limitation those specifically identified in Section 1951.2 of the California Civil Code. If Sublandlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, Subtenant shall within ten (10) business days after written demand therefor, therefor deposit cash with Landlord Sublandlord in the an amount sufficient to restore the Security Deposit to its original full amount. Tenant's , and Subtenant’s failure to do so shall be a material breach of this LeaseSublease. Landlord Sublandlord shall not be required to keep this the Security Deposit separate from its general funds, accounts and Tenant the Security Deposit shall not be entitled to interest on such Depositbear interest. If Tenant fully At the expiration of the Term hereof and faithfully performs every provision following performance of all of Subtenant’s obligations hereunder (including without limitation vacation of the Premises in accordance with the provisions of this Lease to be performed by itSublease, the Security Deposit Deposit, or any balance so much thereof as has not theretofore been applied by Sublandlord, shall be returned to Tenant Subtenant (or at Landlord's Sublandlord’s option, to the last assignee assignee, if any, of Tenant's Subtenant’s interest hereunder) at ). No trust relationship is created herein between Sublandlord and Subtenant with respect to the expiration Security Deposit. Subtenant hereby irrevocably waives the provisions of Section 1950.7 of the Lease term California Civil Code and after Tenant has vacated any successor statute, and all other provisions of law, now or hereafter in effect, that (a) establish the Premises. In time frame by which a landlord must refund a security deposit under a lease, and/or (b) provide that a landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the event payment of termination of Landlord's interest rent, to repair damage caused by a tenant or to clean the premises, it being agreed that Sublandlord may, in addition, claim those sums specified in this LeaseSection 3.3 and/or those sums reasonably necessary to (i) compensate Sublandlord for any loss or damage caused by Subtenant’s breach of this Sublease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.including any damages Sublandlord

Security Deposit. Concurrently with Tenant's execution of this Lease, Lease Tenant shall deposit with Landlord the sum of NINETY EIGHT THOUSAND THREE HUNDRED EIGHTY FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 00/100, ($ 445,132.80 $98 384.00) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, herewith Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, . Tenant shall, . within ten (10) days after written demand therefor, therefor deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its in general funds, and Tenant shall shad not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant for (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at al the expiration of the Lease term and after Tenant has vacated the Premises. In the event of on termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit has deposited with Landlord the sum Security Deposit set forth in Paragraph 1 above as security for Tenant's faithful performance of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) DollarsTenant's obligations hereunder. Said sum The form of Letter of Credit shall be held by Landlord as a Security Deposit for shown on the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofattached Exhibit "F". If Tenant is not in default as of the end of the third year of the Term, and so long as Tenant's "net worth" is in excess of $30,000,000 as of the end of the third year of the Term, the amount of the Letter of Credit shall be reduced to $200,000. If Tenant is not in default, and Tenant's "net worth" is in excess of $30,000,000, as of the end of the fourth year of the Term, then the requirement for a Letter of Credit as an additional Security Deposit shall terminate. If Tenant fails to pay Rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any Rent or other charge in default, or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or applieddeposit, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount stated in Paragraph 1, and Tenant's failure to do so shall be a material breach of this Lease. Tenant shall have the right: i) at Tenant's expense, to audit Landlord's reconciliation of expenses deducted from the Security Deposit; and ii) to the extent of any discrepancy, receive a reimbursement for any overcharges. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease to be performed Tenant's obligations hereunder, said deposit, or so much thereof as has not theretofore been applied by itLandlord, the Security Deposit or any balance thereof shall be returned returned, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at the expiration of the Lease term Term hereof, and after Tenant has vacated the Premises. In No trust relationship is created herein between Landlord and Tenant with respect to said Security Deposit. No part of the event of termination of Landlord's interest in Security Deposit shall be considered to be a prepayment for any monies to be paid by Tenant under this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. Concurrently 5.1 In the event that Tenant determines to use the Landlord’s Allowance (as defined in Section 3 of Exhibit A attached hereto), then as a condition to Landlord’s obligation to disburse all or any portion of Landlord’s Allowance in accordance with Tenant's execution Section 3 of this LeaseExhibit A attached hereto, and prior to Landlord’s disbursement of any of the Landlord’s Allowance, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 $143,000 ($ 445,132.80 the “Security Deposit”) Dollarswith Landlord in accordance with the terms of this Section 5. Said sum The Security Deposit shall be held by Landlord as a Security Deposit security for the faithful performance by Tenant of all of the terms, covenants, covenants and conditions of this the Lease to be kept and performed by Tenant during the term hereofand not as an advance rental deposit or as a measure of Landlord’s damage in case of Tenant’s default. If Tenant defaults with respect to any provision an Event of this Default occurs and is continuing under the Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or use any part of this the Security Deposit for the payment of any rent or any other sum in default, or for the payment of any amount which Landlord may spend or become obligated to spend by reason of Tenant's default ’s default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's ’s default. If any portion of said the Security Deposit is so used or appliedused, Tenant shall, shall within ten (10) days after written demand therefortherefore, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. amount and Tenant's ’s failure to do so shall be a material breach constitute an Event of this Default under the Lease. Except to such extent, if any, as shall be required by law, Landlord shall not be required to keep this the Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant In the event that the Security Deposit has not been fully and faithfully performs every provision released prior to the termination of this Lease to be performed by itthe Lease, then following the termination of the Lease, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee such time when Landlord shall have determined that all of Tenant's interest hereunder’s obligations under the Lease have been fulfilled, but not later than sixty (60) days following the termination of the Lease. 5.2 The required Security Deposit shall be in the form of an irrevocable standby letter of credit in favor of Landlord (the “letter of credit”) in the amount of $143,000. Under any circumstance under which Landlord is entitled the use of all or a part of the Security Deposit, then, Landlord, in addition to all other rights and remedies provided under the Lease, shall have the right to draw down upon the letter of credit for the amount then claimed by Landlord and retain the proceeds. The following terms and conditions shall govern the letter of credit: 5.2.1 The letter of credit shall be returned to Tenant at the expiration of the Lease Term or such earlier date when Tenant is entitled to return of its Security Deposit under Section 5.3 below. 5.2.2 The letter of credit shall be in favor of Landlord, shall be issued by a commercial bank reasonably acceptable to Landlord having a Standard & Poors rating of “A” or better, and branches in either Northern Virginia, Washington, D.C. or Baltimore, Maryland, shall comply with all of the terms and conditions of this Section 5.2 and shall otherwise be in form reasonably acceptable to Landlord. The initial letter of credit shall have an expiration date not earlier than fifteen (15) months after the date of its issuance. A draft of the form of letter of credit must be submitted to Landlord for its approval prior to issuance. 5.2.3 The letter of credit or any replacement letter of credit shall be irrevocable for the term thereof and shall automatically renew on a year to year basis until a period ending not earlier than three (3) months after the expiration date of the Lease (“End Date”) without any action whatsoever on the part of Landlord; provided that the issuing bank shall have the right not to renew the letter of credit by giving written notice to Landlord not less than sixty (60) days prior to the expiration of the then current term of the letter of credit that it does not intend to renew the letter of credit. Tenant understands that the election by the issuing bank not to renew the letter of credit shall not, in any event, diminish the obligation of Tenant to maintain such an irrevocable letter of credit in favor of Landlord through such date. 5.2.4 Landlord, or its then managing agent, shall have the right from time to time to make one or more draws on the letter of credit at any time that an Event of Default has vacated occurred. The letter of credit must state that it can be presented for payment at the Premisesoffice of the issuer or an approved correspondent in the Northern Virginia, Washington D.C. or Baltimore, Maryland. Funds may be drawn down on the letter of credit upon presentation to the issuing or corresponding bank of Landlord’s (or Landlord’s then managing agent’s) certificate stating as follows: “Beneficiary is entitled to draw on this credit pursuant to that certain Lease dated for reference _______________ between [INSERT CURRENT NAME OF LANDLORD], as Landlord and [INSERT CURRENT NAME OF TENANT], as Tenant, as amended from time to time.” It is understood that if Landlord or its managing agent be a corporation, partnership or other entity, then such statement shall be signed by an officer (if a corporation), a general partner (if a partnership), or any authorized party (if another entity). 5.2.5 Tenant acknowledges and agrees (and the letter of credit shall so state) that the letter of credit shall be honored by the issuing bank without inquiry as to the truth of the statements set forth in such draw request and regardless of whether the Tenant disputes the content of such statement. 5.2.6 In the event of termination a transfer of Landlord's ’s interest in the Leased Premises, Landlord shall have the right to transfer the letter of credit to the transferee and thereupon the Landlord shall, without any further agreement between the parties, be released by Tenant from all liability therefore, and it is agreed that the provisions hereof shall apply to every transfer or assignment of said letter of credit to a new landlord; and Tenant shall pay all fees to the issuer necessary to effect and evidence such transfer. 5.2.7 Without limiting the generality of the foregoing, if the letter of credit expires earlier than the End Date, or the issuing bank notifies Landlord that it will not renew the letter of credit, Landlord shall accept a renewal thereof or substitute letter credit (such renewal or substitute letter of credit to be in effect not later than thirty (30) days prior to the expiration of the expiring letter of credit), irrevocable and automatically renewable as above provided to the End Date upon the same terms as the expiring letter of credit or upon such other terms as may be reasonably acceptable to Landlord. However, if (i) the letter of credit is not timely renewed, or (ii) a substitute letter of credit, complying with all of the terms and conditions of this Section is not timely received, then Landlord may present the expiring letter of credit to the issuing bank, and the entire sum so obtained shall be paid to Landlord, to be held by Landlord until Tenant would otherwise be entitled to the return of the letter of credit, and to be retained by Landlord if a default occurs, provided that if Tenant provides Landlord with a new letter of credit for the full amount of the Security Deposit in accordance with the requirements for a letter of credit set forth above, then Landlord shall refund Tenant the cash Security Deposit that it is holding. 5.3 Provided that no Event of Default has occurred and is continuing under this Lease, Landlord then on the first day of the 25th month following the date of Landlord’s receipt of the letter of credit, the Security Deposit shall transfer said be reduced by $47,666, and on the first day of the 37th month following the date of Landlord’s receipt of the letter of credit, the Security Deposit shall be reduced by another $47,666, and on the first day of the 49th month following the date of Landlord’s receipt of the letter of credit, the Security Deposit shall be reduced to zero dollars and released. Each reduction to the letter of credit as set forth below shall be processed by an amendment to the letter of credit or a replacement letter of credit, as reasonably approved by Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

Security Deposit. (a) Concurrently with Tenant's Subtenant’s execution of this LeaseSublease, Tenant Subtenant shall deposit with Landlord Sublandlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 $690,368.00 ($ 445,132.80 the “Security Deposit”). Provided that Subtenant is not then in Default under this Sublease, then the Security Deposit shall be reduced to Three Hundred Forty-Five Thousand One Hundred Eighty-Four and 00/100 Dollars ($345,184.00) Dollars(the “Reduced Security Deposit Amount”) as of the first day of the twenty fifth (25th) month of the Term, and Landlord shall promptly return to Tenant the balance of the Security Deposit which exceeds the Reduced Security Deposit Amount. Said sum In the event Subtenant elects to deliver a Letter of Credit (as defined below) instead of a cash Security Deposit, then in order to effect any such reduction, Subtenant shall either deliver an amendment to the existing Letter of Credit or a replacement letter of credit in the Reduced Security Deposit Amount that otherwise complies with all other applicable requirements specified in Section 4(b) below. The Security Deposit shall be held by Landlord Sublandlord as a Security Deposit security for the faithful performance by Tenant Subtenant of all of the terms, covenants, and conditions provisions of this Lease Sublease to be kept and performed or observed by Tenant during the term hereofSubtenant. If Tenant defaults with respect Subtenant fails to any provision of this Leasepay Base Rent, including, but not limited to, the provisions relating to the payment of rent and any of the monetary Additional Rent or other sums due herewithhereunder, Landlord or otherwise is in Default under this Sublease, Sublandlord may (but shall not be required to) use, apply or retain all or any part portion of this the Security Deposit for the payment of any Base Rent, Additional Rent or other amount past due sum or for the payment of any other sum to which Landlord Sublandlord may spend become obligated by reason of Tenant's default Subtenant’s breach, or to compensate Landlord Sublandlord for any other loss or damage which Landlord Sublandlord may suffer by reason of Tenant's defaultthereby. If Sublandlord so uses or applies all or any portion of said Deposit is so used or appliedthe Security Deposit, Tenant shall, Subtenant shall within ten (10) days after written demand therefor, therefor deposit cash with Landlord Sublandlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's the full amount thereof and Subtenant’s failure to do so shall be a material breach Default. If Subtenant performs all of this LeaseSubtenant’s obligations hereunder, the Security Deposit, or so much thereof as has not theretofore been applied by Sublandlord, shall be returned, without interest, to Subtenant (or, at Sublandlord’s option, to the last assignee, if any, of Subtenant’s interest hereunder) following the expiration of the Term, and after Subtenant has vacated the Subleased Premises. Landlord No trust relationship is created herein between Sublandlord and Subtenant with respect to the Security Deposit. Sublandlord shall not be required to keep this the Security Deposit separate from its general fundsother accounts. (b) In lieu of the cash Security Deposit described in Section 4(a) above, Subtenant may elect to deliver to Sublandlord, as collateral for the full performance by Subtenant of all of its obligations under this Sublease, a standby, unconditional, irrevocable, transferable (with Subtenant responsible for the payment of any transfer fee or charge imposed by the Issuing Bank, as defined below) letter of credit (the “Letter of Credit”) substantially in the form approved in writing in advance by Sublandlord and containing the terms required herein, in the amount specified in Section 4(a) above (the “Letter of Credit Amount”), naming Sublandlord as beneficiary, issued (or confirmed) by a financial institution acceptable to Sublandlord (the “Issuing Bank”), permitting multiple and partial draws thereon from a location in Salt Lake City (or, alternatively, permitting draws via overnight courier or facsimile in a manner acceptable to Sublandlord), with an expiration date no sooner than ninety (90) days after the Term (the “Required Period”), and Tenant shall not be entitled otherwise in form acceptable to interest on such DepositSublandlord in its reasonable discretion. If Tenant fully In addition, in the event that the Letter of Credit has an auto-renewal feature, and faithfully performs every provision the Issuing Bank for any reason provides notice of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, non-renewal prior to the last assignee end of Tenant's interest hereunder) the Required Period, then in such event, failure of Subtenant to provide Sublandlord with a replacement Letter of Credit reasonably satisfactory to Sublandlord at least 30 days prior to the expiration of such the Lease term Letter of Credit shall be deemed a Default which shall not require the giving of notice or the allowance of any grace or cure period, whereupon Sublandlord shall have the right to immediately draw funds under the Letter of Credit in addition to any other rights and after Tenant remedies it has vacated the Premisesunder this Sublease. In the event Sublandlord receives funds in the amount of termination the Security Deposit under the Letter of Landlord's interest Credit from the Issuing Bank in accordance with the terms of the foregoing sentence: (A) such Default shall be deemed to be cured and Sublandlord shall hold and apply the funds so drawn, without interest, and only in accordance with the provisions of this LeaseSection as if cash in such amount had been posted by Subtenant in lieu of the Letter of Credit; and (B) Subtenant shall have the right to substitute a new Letter of Credit meeting the foregoing requirements, Landlord shall transfer said Deposit in which event Sublandlord will return the funds received from the Issuing Bank to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return Subtenant within thirty (30) days after receipt of such Deposit new Letter of Credit. Notwithstanding the foregoing, in the event Sublandlord does not immediately draw funds under the Letter of Credit or receive such funds from the accounting thereforIssuing Bank, in accordance with the terms of the foregoing two sentences, same shall constitute a Default under this Sublease unless within three (3) days after notice from Sublandlord, Subtenant either replaces the Letter of Credit or delivers to Sublandlord a cash deposit in the same amount. If Subtenant breaches any provision hereof, Sublandlord may, at its option, without limiting its remedies and without notice to Subtenant, draw all sums which are necessary to cure such breach and compensate Sublandlord for any loss or damage caused by such breach; provided, however, if Sublandlord has accelerated amounts due to Sublandlord through the end of the Term, Sublandlord may draw and retain the entire amount of the Letter of Credit on account of Subtenant’s obligations under this Sublease and Subtenant shall remain liable for any remaining balance of sums due under this Sublease. Sublandlord hereby pre-approves Silicon Valley Bank as the Issuing Bank.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord upon execution hereof the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Seventeen Thousand & No/100 Dollars ($ 445,132.80 $17,000.00) Dollars. Said sum shall be held by Landlord as a Security Deposit security for the Tenant's faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereofTenant's obligations hereunder. If Tenant fails to pay rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part portion of this Security Deposit said deposit for the payment of any rent or other charge in default or for the payment of any other amount sum to which Landlord may spend become obligated by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or applieddeposit, Tenant shall, shall within ten (10) days after written demand therefor, therefore deposit cash with Landlord in the an amount sufficient to restore said deposit to the Security Deposit to its original amount. full amount hereinabove stated, and Tenant's failure to do so shall be a material breach of this Lease and Landlord may at its option terminate this Lease. Landlord shall not be required to keep this Security Deposit said deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositaccounts. If Tenant fully and faithfully performs every provision all of this Lease Tenant's obligations hereunder, said deposit or so much thereof as has not theretofore been applied to be performed by itLandlord, the Security Deposit or any balance thereof shall be returned returned, without payment of interest or other increment for its use, to Tenant (or or, at Landlord's option, to the last assignee assignee, if any, of Tenant's interest hereunder) at within fifteen (15) days after the expiration of the Lease term and hereof, or after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforwhichever is later.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Thirteen Thousand Five Hundred and no/100 Dollars ($ 445,132.80 ) Dollars$13,500.00). Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, including but not limited to, to the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand thereforthereof, deposit cash with Landlord in the an amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant shall fully and faithfully performs perform every provision of this Lease to be performed by itTenant, the Security Deposit or any balance thereof shall be returned to Tenant (or or, at Landlord's option, to the last assignee of Tenant's interest interests hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting thereforDeposit.

Security Deposit. Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO FOURTEEN THOUSAND EIGHT HUNDRED FIFTY SIX AND 80/100 NO/100 ($ 445,132.80 $114,856.00) Dollars. Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof. If Tenant defaults with respect to any provision of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default. If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount. Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premises. In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit deposit or the accounting therefor.

Security Deposit. Concurrently with Tenant's ▇▇▇▇▇▇’s execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 Thirteen Thousand Seven Hundred Thirty-two Dollars and Twenty Cents ($ 445,132.80 ) Dollars. Said $13,732.20), which sum shall be held by Landlord as a Security Deposit security deposit for the faithful performance by Tenant of all of the terms, covenants, covenants and conditions of this Lease to be kept and performed by Tenant during the term hereof▇▇▇▇▇▇. If Tenant defaults any Event of Default occurs with respect to any provision of this Lease, including, including but not limited to, the provisions relating to the payment of basic rent and any of the monetary sums due herewithcommon area charges, Landlord may (but shall not be required to) use, apply apply, or retain all or any part of this Security Deposit security deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default such Event of Default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's defaultsuch Event of Default. If any portion of said Deposit deposit is so used or appliedused, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit security deposit to its original amount. ; Tenant's ’s failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit security deposit separate from its general funds, funds and Tenant shall not be entitled to interest on such Depositdeposit. If Tenant fully and faithfully performs every provision At the expiration or termination of this Lease Lease, Landlord may retain from the security deposit such amounts as may be necessary to remedy any event that, subject to notice and the expiration of any cure period, would be performed by itan Event of Default under this Lease, and the Security Deposit or any balance thereof of the security deposit shall be returned to Tenant (or at Landlord's option, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant ▇▇▇▇▇▇ has vacated the Premises. In the event of termination of Landlord's ▇▇▇▇▇▇▇▇’s interest in this Lease, Landlord ▇▇▇▇▇▇▇▇ shall transfer said Deposit deposit to Landlord's successors ▇▇▇▇▇▇▇▇’s successor in interest whereupon Tenant interest, and ▇▇▇▇▇▇ agrees to release that Landlord shall thereupon be released from liability for the return of such Deposit deposit or the any accounting therefor.

Security Deposit. Concurrently Tenant shall provide Landlord the letter of credit described in Paragraph 4 of Exhibit "A" of this Lease, concurrently with Tenant's the execution of this Lease, Tenant shall deposit with Landlord the sum of FOUR HUNDRED FORTY FIVE THOUSAND ONE HUNDRED THIRTY TWO AND 80/100 ($ 445,132.80 ) Dollars. Said sum which shall be held retained by Landlord as a Security Deposit security for the Tenant's full, timely and faithful performance by Tenant of all of Tenant's obligations hereunder, including but not limited to the termspayment of Annual Base Rent, covenants, Operating Expenses and conditions of this Lease to be kept and performed by Tenant during the term hereofReal Estate Taxes. If Tenant fails to pay such amount or any other charges hereunder or otherwise defaults with respect to any provision provisions of this Lease, includingLandlord may, but not limited toat its option, apply all or any portion of the Letter of Credit (, the provisions relating "Financial Security"), to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to) use, apply thereof or retain all or any part of this Security Deposit for the payment of any other amount sums for which Landlord may spend become obligated by reason of Tenant's default default, or to compensate Landlord for any other loss or damage which that Landlord may suffer by reason of Tenant's defaultthereby. If Landlord so uses or applies all or any portion of said Deposit is so used or appliedthe Financial Security, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the an amount sufficient to restore the Financial Security Deposit to its original amount. the full amount stated in Section 1.15 and Paragraph 4 of Exhibit "A", and Tenant's failure to do so shall be a material breach of this Lease. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to any interest on such Deposit. If Tenant fully and faithfully performs every provision of this Lease upon the Financial Security, nor shall Landlord be required to be performed by it, segregate or hold the Financial Security Deposit or any balance thereof shall be returned to Tenant (or at separate from Landlord's optionother funds, to the last assignee of Tenant's interest hereunder) at the expiration of the Lease term and after Tenant has vacated the Premisesbut shall carry such sum as a bookkeeping entry only. In the event that Tenant shall fully perform the covenants and provisions of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successors in interest whereupon Tenant agrees to release Landlord from liability for refund the return of such Deposit Financial Security, or the accounting thereforunused balance thereof, if any, to Tenant within thirty (30) days after the expiration or sooner termination of the term of this Lease.