Exhibit 10.38
ASSIGNMENT AND CONSENT OF SUBLEASE
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This Assignment and Consent of Sublease (this "Assignment"), dated as of
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February 29, 2000, by and among reSOURCE PARTNER, INC. a Delaware corporation,
as assignor ("Assigner), reSOURCE PARTNER ACQUISITION CORP, a Delaware
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corporation, as assignee ("Assignee"), and XXXXXX, INC. a New Jersey corporation
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("Xxxxxx"), as assignee ("Assignee"), and XXXXXX, INC, a New Jersey corporation
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("Xxxxxx").
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WHEREAS, Assignor is a party to a Sublease Agreement (the "Sublease"),
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dated January 20, 1999, between Assignor, as subtenant, and Xxxxxx, as
sublandlord, pursuant to which Xxxxxx subleased to Assignor certain portions of
the 13th, 22nd,27th, 31st and 33rd floors of the building located at 000 Xxxx
Xxxxx Xxxxxx, Xxxxxxxx, Xxxx (the "Building"); and
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WHEREAS, Assignor has heretofore vacated the portion of the premises
located on the 27th floor of the Building, (the premises located on the 13th,
22nd, 31st and 33rd floors of the Building being hereinafter referred to as the
"Subleased Premises"); and
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WHEREAS, Assignor and Assignee are parties to an Asset Purchase Agreement
dated as of the date hereof, pursuant to which Assignor has agreed to sell,
transfer and convey, and Assignee has agreed to purchase, certain assets of
Assignor as more fully described therein; and
WHEREAS, Assignor now desires to assign the Sublease to Assignee and
Assignee desires to assume such Sublease from Assignor on the terms and
conditions contained herein.
NOW THEREFORE, in consideration of the foregoing Sublease Premises,
Assignor and Assignee hereby agree as follows:
Section 1. Assignment Assignor hereby assigns to Assignee, and Assignee
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herby assumes from and after the date of this Assignment, the Sublease and the
rights and obligations thereunder, subject to the terms and conditions provided
therein. Assignor and Assignee acknowledge and agree that the portion of the
premises located on the 27th floor of the Building is not included in this
Assignment.
Section 2. Governing Law. This Assignment shall be governed in
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accordance with the laws of the State of Ohio.
Section 3. Consent and Representations. Xxxxxx hereby consents to the
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foregoing Assignment and represents and warrants the following:
(a) the Sublease attached hereto as Exhibit A and made a part
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hereof is a true and correct copy of the Sublease,
(b) the Sublease is valid and in full force and effect, enforceable in
accordance with the terms thereof, and is binding on Xxxxxx and Assignor as
parties thereto;
(c) the current rental paid by Assignor for to Xxxxxx under the Sublease
is an amount equal to One Million Three Hundred Sixty-One Thousand Five Hundred
Ninety-Seven Dollars ($1,361,597) per annum (such amount, which shall increase
pursuant to the terms of the Sublease; being referred to herein as the "Sublease
Rent")
(d) to Xxxxxx'x knowledge, Assignor is current in the payment of
Sublease Rent in monthly installments pursuant to the terms of the Sublease and
no default by Assigner has occurred and is continuing thereunder;
(e) as long as Assignee continues to pay to Xxxxxx an amount equal to
the Sublease Rent in monthly installments pursuant to the terms of the Sublease,
Assignee shall be permitted to remain in occupancy of the Subleased Premises for
the conduct of Assignee's business; and
(f) the consent of the landlord under the lease pursuant to which Border
leases the Subleased Premises is not inquired for this Assignment.
Section 4. Modification of Sublease. Xxxxxx, Assignor and Assignee hereby
acknowledge and agree that the Sublease shall be modified as follows:
(a) Xxxxxx hereby waives its right pursuant to the Sublease to require
to vacate the Subleased Premises on nine (9) months written notice; and
(b) the Sublease shall be terminable on the last day of my calendar
month following the month in which Assignee gives notice to Assignor of election
to terminate the Sublease; provided, however, that in the event Assignee decides
to relocate its business outside of the Building, the Sublease, shall be
terminable upon three (3) months' prior notice to Assignor.
Section 5. Counterparts. This Assignment way be executed in several
counterparts, each of each shall be deemed an original but all of which shall
constitute one and the same agreement.
[END OF TEXT]
IN WITNESS WHEREOF, the parties hereto have duly executed this Assignment
as of the date and year first above written.
reSOURCE PARTNER, INC. Assignor
By: /s/ Xxxxx X.Kiyoe
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Name: Xxxxx X.Xxxxx
Title: V.P. GC and Secretary
reSOURCE PARTNER ACQUISITION CORP., Assignee
By: /s/ Xxxxxxx X. Xxxxxx
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Name: Xxxxxxx X. Xxxxxx
Title: President
XXXXXX,INC.
By: /s/ Xxxxx German Xxxxxx
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Name: Xxxxx German Xxxxxx
Title: Secretary
Exhibit A
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The Sublease
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See Attached
TERMS OF SUBLEASE OF SPACE IN XXXXXX BUILDING
reSOURCE PARTNER, INC.
Term: January 1, 1999 - August 31, 2003
Lease Payment: 1/1/99-12/31/99 $18.00/sq.ft. max. annually payable monthly in advance
1/1/00-12/31/00 $19.00/sq.ft. max. annually payable monthly in advance
1/1/01-12/31/01 $20.00/sq.ft. max. annually payable monthly in advance
1/1/02-12/31/02 $21.00/sq.ft. max. annually payable monthly in advance
1/1/03-8/31/03 $22.00/sq.ft. max. annually payable monthly in advance
Leased Premises: 17,555 sq.ft on floor 13
18,036 sq.ft on floor 22
659 sq.ft on floor 27
18,036 sq.ft on floor 31
18,036 sq.ft on floor 33 Total sq. ft 72,322
Subleasing/Notice: Subtenant may not sublet or assign any of its leased
space without Xxxxxx'x prior written consent. Subtenant
will give Xxxxxx a 9-month written notice of its desire to
vacate any or all of its leased premises. In the event
Xxxxxx requires Subtenant to vacate any or all of its
leased premises, Xxxxxx will also give a 9-month written
notice
Building services The following services are included in the monthly lease
amount
o electric
o food-service area
o health unit
o emergency floor coordinator program
o lobby receptionist services
o janitor and cleaning services
o standard maintenance & repair services of building
related items (not to exceed $50.00)
Additional services requested by Subtenant will be
sourced and managed by Xxxxxx. Invoiced from these
service providers will be reviewed as to correctness by
Xxxxxx then forwarded to Subtenant for payment. Such
invoices must be paid within 30 days.
Insurance: Subtenant must maintain general liability insurance
coverage.
