Common use of Tenant Improvement Construction Clause in Contracts

Tenant Improvement Construction. The Commencement Date of this lease shall be delayed until the substantial completion of the tenant improvements described on Exhibit "B" attached hereto and delivery of possession to Tenant, if such occurs after the Commencement Date, as follows: If for any reason Landlord does not substantially complete such construction prior to the Commencement Date, such failure will not affect the validity of this lease, but in such case Tenant shall not be obligated to pay rent until such construction is substantially completed and possession of the premises is delivered to Tenant. However, in the event the Class 1000 clean room is sub contracted to a third party, at the Tenant's sole cost and expense, the Landlord shall not be responsible for the completion of the Class 1000 clean room nor shall there be any delay in the Commencement Date, providing all other tenant improvements have been completed by Landlord. In the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expense, and the Tenant has agreed to the design and specifications on or before August 15, 1996 and the Class 1000 clean room is not complete on the Commencement Date, the Commencement Date shall be adjusted as provided herein. In the event Tenant has not approved the design and specifications on or before August 19, 1996, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered within ten (10) days after the end of the 60-day period, cancel this lease. Landlord shall have no liability to Tenant for failure to substantially complete construction prior to any date or dates. Tenant's only remedy shall be cancellation of the lease. Should construction of the tenant improvements be completed to such an extent as to permit the issuance of a partial certificate of occupancy by the governing authority, Tenant may occupy the portion of the premises so permitted prior to (or after) the Commencement Date and shall pay rent for the occupied portion, prorated in proportion to the number of square feet of building space occupied, beginning on date of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3, 5 and 18.1, herein for the Premises, from the date of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean room.

Tenant Improvement Construction. Landlord and Tenant mutually agree that Landlord shall remove part of the existing corridor and construct a wall within the remaining corridor, as indicated in Exhibit “A”. The Commencement Date of this lease wall which Landlord shall construct, shall be delayed until temporary for the substantial completion limited purpose to allow Tenant to begin accessing the current “Built Space” with limited to no interruption, while construction on the “To Be Built” space continues. Landlord and Tenant agree that in the final phase of construction on the “To Be Built” space, that Landlord shall remove this temporary wall. Additionally, Landlord agrees to construct doorways as necessary to combine the “Built Space” and “To Be Built” spaces as Tenant may need. Landlord also agrees to convert the existing wall in Room #1 facing the corridor, of the tenant improvements described current existing Evolve space, marked on Exhibit "B" attached hereto “A”, into a glass wall of similar design, materials, cost and delivery of possession finishes as Tenant has in its current third floor space conference room. Landlord agrees to deliver the “To Be Built” space in turnkey condition per Tenant’s construction guidelines and specifications, as well as the agreed to changes to the “Built Space” as provided above, up to a $88.33/square foot budget. Tenant will work with Landlord to develop plans, specifications, and pricing based on similar finishes to Tenant’s existing office space, if such occurs after including the Commencement Datenumber of square footage of offices and kitchens and the overall quality and style of finishes, as follows: compared to Tenant’s existing space. If for the build out cost is less than $88.33/square foot, any reason savings will go to Landlord. Because Landlord does not substantially complete such construction prior to anticipates that the Commencement Date, such failure total cost of the build out will not affect the validity of this leaseexceed $88.33/square foot, but in such case Tenant shall not be obligated to pay rent until such construction is substantially completed and possession of the premises is delivered to Tenant. However, in the event the Class 1000 clean room is sub contracted to a third party, at the Tenant's sole cost and expense, the Landlord shall not be responsible for the completion costs associated with the build out in excess of this budgeted amount. Notwithstanding the Class 1000 clean room nor shall there preceding sentence, any changes or improvements that are made by Landlord to the Additional Space during the buildout of such space as contemplated by this Section that are (a) requested by Tenant or Tenant’s designated agents, (b) consented to by Landlord (such consent not to be any delay in the Commencement Dateunreasonably withheld, providing all other tenant improvements have been completed conditioned or delayed), and (c) made by Landlord. In the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expenseor its agents, and (d) that cause such buildout to exceed the Tenant has agreed to the design and specifications on or before August 15budget, 1996 and the Class 1000 clean room is not complete on the Commencement Date, the Commencement Date shall be adjusted as provided herein. In the event Tenant has not approved the design and specifications on or before August 19, 1996, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware sole financial responsibility of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered within ten (10) days after the end of the 60-day period, cancel this lease. Landlord shall have no liability to Tenant for failure to substantially complete construction prior to any date or dates. Tenant's only remedy shall be cancellation of the lease. Should construction of the tenant improvements be completed to such an extent as to permit the issuance of a partial certificate of occupancy by the governing authority, Tenant may occupy the portion of the premises so permitted prior to (or after) the Commencement Date and shall pay rent for the occupied portion, prorated in proportion to the number of square feet of building space occupied, beginning on date of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3, 5 and 18.1, herein for the Premises, from the date of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean room.

Tenant Improvement Construction. The Commencement Date of this lease shall be delayed until the substantial completion of the tenant improvements described on Exhibit "BA" attached hereto and delivery of possession to Tenant, if such occurs after the Commencement Date, as follows: If if for any reason Landlord does not substantially complete such construction prior to the Commencement Date, such failure will not affect the validity of this lease, but in such case Tenant shall not be obligated to pay rent until such construction is substantially completed and possession of the premises is delivered to Tenant. HoweverProvided, in the event the Class 1000 clean room is sub contracted to a third party, at the Tenant's sole cost and expense, the Landlord shall not be responsible for the completion of the Class 1000 clean room nor shall there be any delay in the Commencement Date, providing all other tenant improvements have been completed by Landlord. In the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expense, and the Tenant has agreed to the design and specifications on or before August 15, 1996 and the Class 1000 clean room is not complete on the Commencement Date, the Commencement Date shall be adjusted as provided herein. In the event Tenant has not approved the design and specifications on or before August 19, 1996, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered within ten (10) days after the end of the 60-day period, cancel this lease. Landlord shall have no liability to Tenant for failure to substantially complete construction prior to any date or dates. Tenant's Tenants only remedy shall be cancellation of the lease. Should construction of the tenant improvements be completed to such an extent as to permit the issuance of a partial certificate of occupancy by the governing authority, Tenant may occupy the portion of the premises so permitted prior to (or after) the Commencement Date and shall pay rent for the occupied portion, prorated in proportion to the number of square feet of building space occupied, beginning on date data of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3, 5 and 18.1, herein for the Premises, from the date of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean room.

Tenant Improvement Construction. The Commencement Date of this lease Lease shall be delayed until the substantial completion Landlord delivers possession of the tenant improvements Premises with the Tenant Improvements, described on Exhibit in the Work Letter, Ready for Occupancy (as defined in the Work Letter) (the "B" attached hereto and delivery of possession to Tenant, if such occurs after the Commencement Delivery Date, as follows: "). If for any reason Landlord is delayed and the Delivery Date does not substantially complete such construction occur on or prior to the anticipated Commencement Date, such failure will not affect the validity of this leaseLease, but in such case the Commencement Date shall be postponed, and Tenant shall not be obligated to pay rent Rent, until the Premises are Ready for Occupancy (unless such construction delay is substantially completed due to a delay caused by Tenant, in which case Tenant's Rent obligations and possession the Commencement Date shall occur on the date the Premises would have been Ready for Occupancy had there been no delay by Tenant). If the Delivery Date is other than the first day of the premises is delivered month, then the Commencement Date will be further delayed to Tenant. Howeverthe first day of the month following the Delivery Date but all provisions hereof, in the event the Class 1000 clean room is sub contracted to a third party, at the including Tenant's sole cost and expenseobligation to pay Rent (prorated for a partial month), will be in effect as of the Delivery Date. If the Commencement Date is delayed, the Landlord Expiration Date shall not be responsible extended so that the Initial Term will continue for its full period and end on the completion last day of a calendar month. The postponement of Tenant's obligation to pay Rent is in full settlement of all claims which Tenant may otherwise have by reason of Landlord's delay of delivery of the Class 1000 clean room nor shall there be any delay in Premises. Promptly following the Commencement Date, providing all other tenant improvements have been completed by Landlord. In Landlord and Tenant agree to execute a commencement agreement in the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expense, and the Tenant has agreed to the design and specifications on or before August 15, 1996 and the Class 1000 clean room is not complete on form attached as Exhibit C setting forth the Commencement Date, the Commencement Date shall be adjusted as provided herein. In the event Tenant has not approved the design and specifications on or before August 19, 1996, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered within ten (10) days after the end of the 60-day period, cancel this lease. Landlord shall have no liability to Tenant for failure to substantially complete construction prior to any date or dates. Tenant's only remedy shall be cancellation of the lease. Should construction of the tenant improvements be completed to such an extent as to permit the issuance of a partial certificate of occupancy by the governing authority, Tenant may occupy the portion of the premises so permitted prior to (or after) the Commencement Expiration Date and shall pay rent for the occupied portion, prorated in proportion to the number of square feet of building space occupied, beginning on date of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3, 5 and 18.1, herein for the Premises, from the date of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean roomsuch other matters described therein or requested by Landlord.

Tenant Improvement Construction. The Commencement Date of this lease Lease shall be delayed until the substantial completion Landlord delivers possession of the tenant improvements Premises (the "Delivery Date") with the "Tenant Improvements," described on Exhibit B, "BSubstantially Complete" attached hereto and delivery of possession to Tenant, if such occurs after the Commencement Date, as follows: defined in Exhibit B. If for any reason Landlord is delayed and does not substantially complete such construction prior to the anticipated Commencement Date, such failure will not affect the validity of this leaseLease, but in such case the Commencement Date shall be postponed, and Tenant shall not be obligated to pay rent Rent, until the Tenant Improvements are Substantially Complete (unless such construction delay is substantially completed due to a delay caused by Tenant, in which case Tenant's Rent obligations and possession the Commencement Date shall occur on the date the Premises would have been Substantially Complete had there been no Tenant delay). If the Delivery Date is other than the first day of the premises is delivered month, then the Commencement Date will be further delayed to Tenant. Howeverthe first day of the month following the Delivery Date but all provisions hereof, in the event the Class 1000 clean room is sub contracted to a third party, at the including Tenant's sole cost and expenseobligation to pay Rent (prorated for a partial month), will be in effect as of the Delivery Date. If the Commencement Date is delayed, the Landlord Expiration Date shall not be responsible extended so that the Initial Term will continue for its full period and end on the completion last day of a calendar month. The postponement of Tenant's obligation to pay Rent is in full settlement of all claims which Tenant may otherwise have by reason of Landlord's delay of delivery of the Class 1000 clean room nor shall there be any delay in Premises. Promptly following the Commencement Date, providing all other tenant improvements have been completed by Landlord. In Landlord and Tenant agree to execute a commencement agreement in the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expense, and the Tenant has agreed to the design and specifications on or before August 15, 1996 and the Class 1000 clean room is not complete on form attached as Exhibit C setting forth the Commencement Date, the Commencement Expiration Date shall and such other matters described therein. Notwithstanding anything herein to the contrary, Landlord will use commercially reasonable efforts to cause the Tenant Improvements to be adjusted as provided herein. In Substantially Complete no later than 60 days following commencement of construction of the event Tenant has not approved the design and specifications on or before August 19Improvements, 1996provided, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered within ten (10) days after the end of the 60-day period, cancel this lease. Landlord shall have no liability to Tenant for failure to substantially complete construction prior to any date or dates. Tenant's only remedy period shall be cancellation of the lease. Should construction of the tenant improvements be completed to such an extent extended by any Tenant Delay (as to permit the issuance of a partial certificate of occupancy by the governing authority, Tenant may occupy the portion of the premises so permitted prior to (or after) the Commencement Date and shall pay rent for the occupied portion, prorated in proportion to the number of square feet of building space occupied, beginning on date of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3Exhibit B) and by delays beyond the reasonable control of Landlord, 5 and 18.1including, herein for the Premiseswithout limitation, from the date strikes, shortages in materials, weather or other acts of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean roomGod.

Tenant Improvement Construction. The Commencement Date Landlord shall cause the improvements to the interior of the Premises (“Tenant Improvements”) to be constructed by General Contractor or by Devcon Construction at the election of Tenant to be made on or before June 1, 2006 (the “Tenant GC”), in accordance with plans and outline specifications to be attached as Exhibit “E” (“Tenant Improvement Plans and Specifications”). For purposes of this lease Lease, the “Building Core” means elevators, finished restrooms, down heads of the fire sprinklers, HVAC and electrical systems distributed to each floor, exiting stair finishes, and a finished building lobby. The Tenant Improvements Plans and Specifications shall be delayed until prepared, at Tenant’s expense by Form4, Inc. (“Tenant’s Architect”). On or before July 7, 2006, Tenant shall notify Landlord of its elevator design and specifications to be incorporated into the substantial completion of Shell. On or before August 14, 2006, Tenant shall cause Tenant’s Architect to prepare and deliver to Landlord a space plan for the tenant improvements described on Exhibit "B" attached hereto and delivery of possession to TenantTenant Improvements for Landlord’s approval, if such occurs after the Commencement Date, as follows: If for any reason Landlord does not substantially complete such construction prior to the Commencement Date, such failure will not affect the validity of this lease, but in such case Tenant which approval shall not be obligated unreasonably withheld or delayed. If Landlord fails to pay rent until such construction is substantially completed and possession of approve or disapprove the premises is delivered to Tenant. However, in the event the Class 1000 clean room is sub contracted to a third party, at the Tenant's sole cost and expense, the Landlord shall not be responsible for the completion of the Class 1000 clean room nor shall there be any delay in the Commencement Date, providing all other tenant improvements have been completed by Landlord. In the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expense, and the Tenant has agreed to the design and specifications on or before August 15, 1996 and the Class 1000 clean room is not complete on the Commencement Date, the Commencement Date shall be adjusted as provided herein. In the event Tenant has not approved the design and specifications on or before August 19, 1996, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered proposed space plan within ten (10) business days after the end following delivery of the 60-day proposed space plan to Landlord, the space plan proposed by Tenant shall be deemed to be the approved preliminary plans for the Tenant Improvements (the “Preliminary TI Plans”). The Preliminary TI Plans shall contain sufficient detail in the building core and floor penetrations as to allow Tenant GC to price and order any equipment which lead time requires a early commitment to purchase in order to meet the Target Commencement Date (“Long Lead Items”). If Landlord disapproves the proposed space plan, Landlord shall deliver to Tenant Landlord’s written proposal for required changes, and the parties shall negotiate in good faith to reach agreement on the Preliminary TI Plans. On or before September 18, 2006, Tenant shall submit its design build specifications for the mechanical, electrical, plumbing, and fire designs. On or before January 8, 2007, Tenant shall cause Tenant’s Architect to prepare and deliver to Landlord proposed final Tenant Improvement Plans and Specifications with all detail reasonably necessary for submittal to the Town for issuance of building permits and for construction and shall include any information required by the relevant agencies regarding Tenant’s use of Hazardous Materials if applicable. Within ten business (10) days thereafter, Landlord shall either approve or disapprove the proposed final Tenant Improvement Plans and Specifications, Landlord shall not unreasonably withhold or delay its approval and may not in any event disapprove proposed Tenant Improvement Plans and Specifications so long as they are consistent with the approved Preliminary TI Plans. If Landlord disapproves the proposed Tenant Improvement Plans and Specifications in any respect, Landlord shall specify in reasonable detail the changes that are required, in Landlord’s reasonable opinion, to conform the proposed Tenant Improvement Plans and Specifications to the Preliminary TI Plans. If Landlord fails to approve or disapprove the proposed Tenant Improvement Plans and Specifications within the allowed time period, cancel the final Tenant Improvement Plans and Specifications proposed by Tenant shall be deemed to be the approved Tenant Improvement Plans and Specifications for purposes of this leaseAgreement. The Tenant Improvement Plans and Specifications shall provide for a minimum build-out in all areas of the Premises consisting of: (i) the Building Core, (ii) floor coverings, (iii) t-bar suspended ceiling (iv) distribution of the HVAC system, and (v) 2’ x 4’ drop-in fluorescent lighting. Tenant shall not have the right to delay the completion of the foregoing minimum Tenant Improvement build-out beyond a reasonable time, subject to Section 5.G (Force Majeure) below. The Tenant Improvement Plans and Specifications shall be prepared in sufficient detail to allow the Tenant GC to construct the Tenant Improvements. The Tenant Improvements shall not be removed or altered by Tenant without the prior written consent of Landlord as provided in Section 7. Tenant shall have the right to depreciate and claim and collect any investment tax credits for the Tenant Improvements during the Lease Term and Landlord shall have the right to depreciate and claim any investment tax credits for the Building Shell and Parking Structure. Upon expiration of the Lease Term or any earlier termination of the Lease, the Tenant Improvements shall become the property of Landlord and shall remain upon and be surrendered with the Premises, and title thereto shall automatically vest in Landlord without any payment therefore. As soon as Landlord and Tenant approve the Tenant Improvement Plans and Specifications, Landlord shall submit the approved Tenant Improvements Plans and Specifications to all appropriate governmental authorities for their approval and issuance of all required permits. Landlord shall use its reasonable best efforts to obtain all governmental approvals and permits necessary for construction and installation of the Tenant Improvements in accordance with the approved Tenant Improvement Plans and Specifications as soon as possible, including a building permit from the Town of Los Gatos for the Tenant Improvements. As soon as such governmental approvals and permits have no liability been obtained, Landlord shall cause the Tenant GC to commence and diligently prosecute completion of the construction and installation of the Tenant for failure to Improvements so that the Tenant Improvements will be substantially complete construction prior by the Target Commencement Date. Landlord shall cause the Shell and the Tenant Improvements to any date or datesbe constructed in a good and workmanlike manner, in accordance with the approved Shell Plans and Specifications and Tenant Improvement Plans and Specifications, in compliance with all applicable Laws and Governmental Regulations, and using only new materials of good quality. Tenant's only remedy The Tenant Improvements shall be cancellation of deemed substantially complete when (i) the lease. Should construction of Tenant Improvements have been substantially completed in accordance with the tenant improvements be completed to such an extent Tenant Improvement Plans and Specifications, as to permit evidenced by the issuance of a partial certificate of occupancy or its equivalent by the governing appropriate governmental authority, (ii) Tenant’s Architect has certified that the Tenant Improvements has been completed in accordance with the Tenant Improvement Plans and Specifications and all applicable Laws and Governmental Regulations, (iii) all utilities are hooked up and available for use, (iv) all incomplete or defective construction which interferes with Tenant’s use of the Premises has been remedied and repaired, (v) Landlord has delivered possession of the Premises to Tenant, and (vi) Tenant has had forty-five (45) days within which to install its trade fixtures, furniture and equipment, including, without limitation, Tenant’s telephone, telecommunications, data cabling and security systems, signage, and other operating systems for the Premises. Installation of Tenant’s data and phone cabling, or Tenant’s furniture, shall not, however, be required in order to deem the Tenant Improvements Substantially Complete. When the Premises are substantially complete, including all Tenant Improvements, Landlord shall deliver possession of the completed Premises to Tenant. Tenant shall not, however, have any obligation to accept possession of the Premises or commence payment of rent until the date that the Premises (including all Tenant Improvements), are substantially complete. Landlord acknowledges that its failure to deliver the Premises to Tenant substantially complete on or before June 15, 2008 (subject to extension for Force Majeure or Tenant Delay) will cause Tenant to incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Accordingly, if Landlord fails to deliver to Tenant the Premises (including all Tenant Improvements) substantially complete on or before said date, Landlord shall pay to Tenant, as reimbursement for such costs, an amount equal to Ten Thousand Dollars ($10,000) as liquidated damages for each day delivery of the Premises is delayed beyond such date as its sole and exclusive remedy for Landlord’s failure to achieve substantial completion. The parties agree that such amount represents a fair and reasonable estimate of the cost Tenant will incur by reason of the late delivery of the Premises. At Tenant’s election, Tenant may occupy the portion of the premises so permitted prior to offset any sum due Tenant under this paragraph against rental and other payments otherwise due Landlord (or after) the Commencement Date and shall pay rent for the occupied portionincluding, prorated in proportion to the number of square feet of building space occupiedwithout limitation, beginning on date of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth under paragraph 5.E below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3, 5 and 18.1, herein for the Premises, from the date of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean room).

Tenant Improvement Construction. The Commencement Date of this lease Lease shall be delayed until the substantial completion Landlord delivers possession of the tenant improvements Premises (the "Delivery Date") with the "Tenant Improvements," described on Exhibit B, "BSubstantially Complete" attached hereto and delivery of possession to Tenant, if such occurs after the Commencement Date, as follows: defined in Exhibit B. If for any reason Landlord is delayed and does not substantially complete such construction prior to the anticipated Commencement Date, which Landlord estimates to be on or about October 1, 2014, such failure will not affect the validity of this leaseLease, but in such case the Commencement Date shall be postponed, and Tenant shall not be obligated to pay rent Rent, until the Tenant Improvements are Substantially Complete (unless such construction delay is substantially completed due to a delay caused by Tenant, in which case Tenant's Rent obligations and possession the Commencement Date shall occur on the date the Premises would have been Substantially Complete had there been no Tenant delay). If the Delivery Date is other than the first day of the premises is delivered month, then the Commencement Date will be further delayed to Tenant. Howeverthe first day of the month following the Delivery Date but all provisions hereof, in the event the Class 1000 clean room is sub contracted to a third party, at the including Tenant's sole cost and expenseobligation to pay Rent (prorated for a partial month), will be in effect as of the Delivery Date. If the Commencement Date is delayed, the Landlord Expiration Date shall not be responsible extended so that the Initial Term will continue for its full period and end on the completion last day of a calendar month. The postponement of Tenant's obligation to pay Rent is in full settlement of all claims which Tenant may otherwise have by reason of Landlord's delay of delivery of the Class 1000 clean room nor shall there be any delay in Premises. Promptly following the Commencement Date, providing all other tenant improvements have been completed by Landlord. In Landlord and Tenant agree to execute a commencement agreement in the event the Landlord designs and constructs the Class 1000 clean room, at the Tenant's sole cost and expense, and the Tenant has agreed to the design and specifications on or before August 15, 1996 and the Class 1000 clean room is not complete on form attached as Exhibit C setting forth the Commencement Date, the Commencement Date shall be adjusted as provided herein. In the event Tenant has not approved the design and specifications on or before August 19, 1996, the Commencement Date shall not be adjusted as provided herein. Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that Landlord shall provide written notice to Tenant if Landlord becomes aware of any condition that will delay The Commencement date more than one week. Provided however, if Landlord shall not have substantially completed and delivered possession of the premises within sixty (60) days after the Commencement Date, Tenant may, at Tenant's option, upon notice in writing to Landlord delivered within ten (10) days after the end of the 60-day period, cancel this lease. Landlord shall have no liability to Tenant for failure to substantially complete construction prior to any date or dates. Tenant's only remedy shall be cancellation of the lease. Should construction of the tenant improvements be completed to such an extent as to permit the issuance of a partial certificate of occupancy by the governing authority, Tenant may occupy the portion of the premises so permitted prior to (or after) the Commencement Expiration Date and shall pay rent for the occupied portion, prorated in proportion to the number of square feet of building space occupied, beginning on date of delivery of possession. Rent adjustments shall be similarly prorated. In no event shall Tenant take possession prior to satisfaction of the requirements for Tenant's insurance set forth below. The Tenant shall pay the operating expenses defined in Paragraphs 4.3, 5 and 18.1, herein for the Premises, from the date of issuance of a partial certificate of occupancy, excluding the construction of the Class 1000 clean roomsuch other matters described therein.