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EXHIBIT 1C <br />EXNI E IT "F1" <br />RrIVIEDICS <br />Ecredlcs rat' 6vclits of Default <br />1.1_ Lantllmd's Right To Terminate Unau Tenant D¢fxidt. In the event of auy Event of Default by Tenant as provided in Section <br />JU of ilia Lease, Landlord shall have the right to teammate this Leon and recover possession of the Premises by giving written notice to Tl of <br />Landlord's election to terminate this Lease, In which event Landlord shall be entitled to receive from Tenant; (a) the worth at the time of award or <br />Oily unpaid Rent which had been earned at the time orsuch termination; plus (b) die worth at the time of award of die amount by which the unpaid <br />Rent which would have been earned after Elimination until the time or®ward exceeds the amount of such rental loss Tenant proves could have been <br />reasonably avoided; plus (a) die worth at the time of award of the amount by which ilia unpaid Rent for die balance of the Term after the time or <br />award exceeds dig Omomhl of such rental loss that Tannnt proves could be reasonably avoided; plus (d) any other amount necessary to compensate <br />Landlord for all the detriment proximately caused by Tenant's failure to perlomm its obligations under this Lease or which in the ordinary course of <br />things would be likely to result therefrom; and (a) at Lundlord's election, such other amounts lit addition to or in lieu of the foregoing as may be <br />permitted from time to lime by applicable low, As used In clauses (a) and (b) above, "worth at the time of award" shall be computed by allowing <br />Interest at the then highest lawful problem rate of interest. As used in clause (a) above, "worth at the time of award" ahall be computed by <br />discounting such amount at the interest Rate. <br />1.2 L-guatdlord's Right To Court p a Lesse Uioon..Tenant Default, In the event of an Event of Default of this Lease and <br />abandonment of the Premises by Tanant, if Landlord does not elect to terminate this Lease as provided in Section 1.1 of this Exhibit "H" Landlord <br />may from time to time, without terminating this Lease, enforce all of its rights and remedies under tlds Lease. Without holing the foregoing, <br />Landlord has ilia remedy described in California Civil Code Section 1951.4 (Landlord may continue Ellis Lease in effect after Tenant's breach and <br />abandonment and recover Rent as It becomes due, if Tenant has the right to sublet or assign, subject only to reasonable limitations). <br />1.3 Right of Landlord to Perform, All covenants and agreements to be performed by Tenant under this tease shall be performed <br />by Tenant at reacer's sole cost find expense. If Tenant shall tail la pay ally sum of money, other than Base Rent, required to be paid by it hereunder <br />or shall fail to perform any other act on its part to be performed hereunder, then, in addition to and without prejudice to say other light or remedy of <br />Landlord, Landlord may cure the same at the expense of Tenant: (0) immediately and Mflutut notice in the case; (1) of emergency, (If) where such <br />cletanit unreasonably interferes with any other tenant in the Project, (Iv) a failure to satisfy or otherwise discharge any Encumbrance, (iv) where such <br />default will result in the violation of Law or the cancellation of tiny Insurance policy maintained by Landlord, or I any failure of Tenant to perfemh <br />any of its obligations under Section 3 3 I end §;Shan 10 5 of this Lease above and (i)) in any other ease Watch default continues for ten (10) days <br />I die receipt by Tenant of notice of such default from Landlord. Any sums so paid by Landlord and all incidental costs plus Landlord's <br />reasonable administration foe thereon, together with interest thereon at the Default Rate from the dale of such payment, shall be payable to Landlord <br />as Additional Rent on demand, and Landlord shall have (lie sane rights and remedles in the event of nonpayment as in the case of default by Tenant <br />in the payment of Rent. This Section 1.3 of this 'Exhibit °H>, shall survive the expiration or termination all Lease, <br />1.4 Late Payment. If two (2) or more Rent Delinquencies shall occur In any twelve (12) month period, Landlord may, without <br />prejudice to any other tights or remedies available to it, upon written notice to Tenant: (a) require all remaining montty installments of Rent to be <br />paid three (3)months In advance and/or(b) require Tenant to increase the Security Deposit (ifany) by an amount equal to ere nondn's Rent. <br />1.5. Subleases of'renxnt. Whether or not Landlord elects to terminate this Lease on account oran Event of De Fault, Landlord shall <br />have the right to either: (a) terminate any and all subleases, licenses, concessions or other consensual arrangements entered into by Tenant dint affect <br />die Premises or (b) in its sole discretion, elect to succeed to Tenant's Interest in such subleases, licenses, concessions or arrangements (in which ease, <br />as oFthe date of such election, Tenant shall have no further right to or interest in the rent or Oliver consideration receivable thereunder). <br />2. Efforts to ]later. No re-entry or taking of possession orthe Premises by Landlord following all Event of Default shall be construed as on <br />election to lerm(nnte this Lease unless a writen notice of such citation shall he given to Tenant or unless the termination thereof be decreed by u <br />court Of onmpelent Jurisdiction, and Tenant's right to possession shall not be deemed to have been tetrninatad by efforts of Landlord to role[ tie <br />Prenhises, by its acts of maintenance or preservation with respect to the Premises, or by appointment or receiver to protect Landlord's interests <br />under the Lease. The Foregoing enumeration is not exlhnustve, but merely illustrative of acts which may be pertbrmed by Landlord without <br />terminating Tenunt's right to possession, Notwitlistanding any retailing of die Promises Fallowing any Event of Default without termination of this <br />Lease by Landlord, Landlord may, at any tittle after such retailing, elect to terminate this Lease for any Event of Default. To die Rillest extent <br />permitted by Law, the proceeds of any retailing orthe Premises shall be applied: (a) first, to pay to Landlord all costs and expenses of suoln retetthng <br />(Including, without limitation, costs and expanses or retaking or repossessing ilia Premises, removing persons and prOl ly therellonn, spearing new <br />tenants, Including expenses fur redecoration, alterations and other costs in connection with preparing ilia Premises For the new tenant, and if Landlord <br />shall mphrain and operate the Premises, the costs thereof) and receivers' fees incurred in connection with ilia appointment around performance by a <br />mcolver to pruttct the Premises and Landlord's interest under this Lease and any necessary or reasonable alterations; (b) second, to the payment of <br />any Indebtedness of Tenant to Landlord other than Rent due and unpaid hereunder; (c) third, to the paymenL of Rau due and unpaid hereunder; and <br />(d) the residue, irony, short be hell by Landlord and applied hit payment efother or future obligaiiona orTenam to Landlord aslhe same may become <br />due and payable, and Tannnt shall not be entitled h) receive any portion or such revenue. This $action 3 of ahis BIlibit "Id" shall survive line <br />eaphutiOn o' ICa'anllnminn (Il'this Lease. <br />3, Cumulative Vemedies. 'Ilia spccite remedies u) which Landlord may resort under [lie terms of Iris Lease are cumulative and are not <br />intended to be cxchusive orally other remediesor means of redress to which it may be Imviully entitled in cost, of any breach or threatened breach by <br />Tenant crony provisions orthis Lease. In addition to tiro other remedies provided lit title Lease, Landlord shall be cutitled to a restraint by injunethon <br />orthe violudon or ullcmpted fir rlinotened violation orally orthe covenants. conditions or provisions or This Lease or to a decree compelling spcellle <br />perrurmmnce of any such covenalts. conditions or provisions. In addition, upon the occurrence of an Event of Dulbult by Tenant, if Imo Promise or <br />any pnrirtn diereof are sublet, Landlord, in addition and without prejudice In any other remedies herein provided or provided by Law, may, at Its <br />,Ylll I1+04h' Cantor Dr— Cih' OrSSw1a; tea Lowe <br />Exhibit II <br />80A-278 <br />