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EXHIBIT 1A SECTION 3 CONSTRUCTION' DELIVERY OF PRENIJEC�t1B,BSTAN'('[p,l; COMPLETION PUNCH LIST ITCMS 3.1 Permits Landlord will cause Landlord's Architect and the Engineers to submit the Approved Working Drawings to the appropriate governments] entities and otherwise apply for all applicable building and other permits and approvals (collectively, "permits") (Irany) necessary or required (in Landlord's good faith discretion) for the Contractor, to commence, perform and fully complete the couslructlon of the Tenant improvements. Neither Landlord nor any Landlord Party shall have any obligedon or liability to Tenant if any permit (including, without dailuddon, any building permit, cart! (I011ie Oro ccupancy, or equivalent) is not timely or otherwise Issued, 3.2 Lnndlor)1'WgctectlonHilo llclendnnoftheconhactut. 3.2.1 Landlord shall submit the Construction Drawings for the Premises on a Bxed contract amount (or OMAX) basis to a general contractor selected by Landlord (the 4COntrartar" ), which Contractor shell be independently retained by Landlord (pursuant to such construction contract form as Landlord shall In good faith determine) to construct the Tenant Improvements in accordance with the Ccllslm❑lion Drawings. Landlord reserves the right to designate lire subcontractor or subcontractors to perform particular trades (or components oF) the Tenant Improvements such as fire/life safety, FIVAC, structural and electrical work. 3.2,2 Landlord reserves the absolute right, without the need for consultation with or ilia consent of Tenant, to lenninate the Contractor for nonperformance (as determined in good faith by Landlord) and in such case Landlord may aelect another general contractor to complete the Tenant Improvements, Notwithstanding any provision of this Work Letter to the contrary, Tenant hereby wolves all claims against Landlord, and Landlord shall have no responsibility or liability to Tenant, on account of any nonperformance or arty misconduct of any Contractor (or any subcontractor thereof) for any reason. 3.2.3 If the Tenant improvements shall constitute "public works: pursuant to Labor Code 91720.2, the following shall apply: (a) Landlord shall require the Contractor to comply with (and to cause its subcontractors to comply with) prevailing wage requirements and be subject to restrictions and penalties in accordance with §1770 et seq. of the Labor Code which requires prevailing wages be paid to appropriate work classifications in all bid specifications and subcontracts, (b) Landlord shall require tie Contractor to Alrnish all subcontractors/employees a copy of the Department or Industrial Relations prevailing wage rates which Lessor will post at the Job site. For further information on prevailing wage: but):hnvivdlrcnaov/dIs/statistics roseavchhtnhl (a) Landlord shall require the Contractor to comply with (and to cause Its subcontractors to comply with) the payroll record keeping and availability requirement of§1776 of the Labor Code, (d) Landlord short require the Contractor to (and to cause its subcontractors to Lessor/cmhtraclor to) make travel and subsistence payments to workers needed for performance orwork in accordance with the Labor Code. (a) Prior to commencement of work, Landlord shall require tine Contractor to contact the Division of Apprenticeship Standards and comply with § 1777.3, § 1777,6, and § 17773 of the Labor Code and Applicable Regulations, 3.3 Delivery or praillisesi Substantial Com hlcliun Punch 1 list Items. 3.3,1 DeNYM of Premises. Landlord shall deliver ilia Premises to 'tenant upon Substantial Completion of tine 'fennut improvements. Subject to Landlord's obligations under this Work Letter (including Landlord's obligation to perform (or cause to be perfonnod) the Landlord's Work and to construct (or cause to be constructed) die Tenant Improvements in accordance with the Construction Drawings) and to all of Landlord's other express obligations under the Lease (including, under Sactloy 9 of the Lease), Landlord shall have no duty or obligation to Improve, or pay for any imprnvenioni for, the Premises or any portion thereof and Tenant shall accept the Santa in Its Tenant shall accept the Premises in its•,then existing condition on the Delivery Date, "AS -IS", "WITH ALL FAULTS", 3.3.2 ulrstantinl Completion. For purposes ortrls Lease, "Substantial Completion" shall occur upon (and the promises shall be';Substaruidly Complule" upmi) the substantial completion orconstructioit of Ito Tenant IinprovemenLs pursuant to the Approved Working Drmviugs, as evidenced by a "signotP' an the building permit card by an Inspector of the applicable governmental authority (typically the city In which the Building is located), with to exceptun of any Punch List Items (defined below) and any tenant fixtures, work -stations, built-in furniture, orequlpment to be installed by Teuanl or under the supervision al'Contractor. 3.13 hilleb List Items. Ailer the Substantial Completion by Landlord of the Tenant Improvements. repmsenatives of Landlord, Temilt Slid Lira Contractor shut[ completely inspect the Prcudses and complete n list (die "Pouch List') or all Punch List Items (dadned below). Authorized representatives ol'L.andlord. Tcnag and ilia Contr cior shall emouto said Poach List to Indicate their approval theteor. Landlord shall unuse the Contractor to coniplee all Punch List Items described on the Punch List as soon a't reasonably possible following tie epprovol ofsuch Puncli List. As listed huein: "ranch List Ilene" moms all items of construeflun which entail one or more details of construction. decoration, mechanical adjustment or installation that tin nor mntcrindy and ndversely effort the use and occupancy of tiny portion orthe Premises hlr the oral Conduct ofTenow's business. ON IV Ch�rr Canner Or-C7profS7ahr aim f.vuvc 3 Iixhihit C 80A-63