RES 03043 - Laserfiche WebLink

ATTACHMENT A 6.2 Adminiqtration nfCnngtmetinn Fund in the Fvent c~f (~ondernn~tinn or Damage or I-)e~tmetinn of Pm?et In the event that the Loans have been paid in full. and if the Project or any part of it is to be repaired or reconstmcte& after damage or destruction of the Project or its condemnation, all proceeds collected under any and all policies of insurance referred to in Article V above covering such damage or destruction, or all compensation received by Lessee for such taking by the exercise of the power of eminent domain, shall be paid into a special fund to be created and held by the Lessee and to be designated as the Construction Fund. during such repairing or reconstructing. Any surplus of such insurance or condemnation proceeds remaining after the completion of all payments for such repairing or reconstructing shall be held or applied by the Lessee in a manner consistent with the applicable provision of Article V or this Article. If the repairs and reconstruction made pursuant to this Section will exceed One Hundred Thousand Dollars ($100,000). adjusted for inflation, Lessee shall obtain Lessor's written approval before making any such repairs or initiating any such reconstruction. The One Hundred Thousand Dollars ($100,000) shall be adjusted for inflation by increasing or decreasing said number by the percentage increase or decrease in the Consumer Price Index (as defined in 5.1(e)(3)) from the date of this Lease to the date of the repairs and reconstruction performed pursuant to this Section. 6.3 I e?l Prnceading~ (a) In the event proceedings shall be instituted: (i) for the exercise of the power of eminent domain, or (ii) as a result of any damage to or destruction of the Project, the Lessee. the Lessor, and any Lender with a then-outstanding Loan shall be made parties to those proceedings, and if not made parties by the petitioning party, shall be brought into the proceedings by appropriate proceedings of other parties so that adjudication may be made of the damages, if any, to be paid to the Lessee, the kessor and the Lenders as compensation for loss of their rights in the Improvements or the Land, or for damage to or destruction of the Project. Should the Lessor or the Lessee receive notice of institution of any proceedings subject to Section 6.1, the Party receiving such notice shall notify the other in accordance with Section 10.2 of this Lease, not later than thirty (30) days after receiving such notice. (b) The Lessor and the Lessee shall cooperate and consult with each other in all matters pertaining to the settlement, compromise, arbitration, or adjustment of any and all claims and demands for damages on account of damage to or destruction of the Project. or for damages on account of the taking or condemnation of the Project, the Improvements or the Land. 25 144\105\153233.13