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Damage or Destruction. <br />9A Definitions. <br />(a) "Premises Partial Damage" shall mean damage or destruction to the improvements on the <br />Premises, other than Lessee Owned Alterations and Utility Installations, which can reasonably be repaired in 6 months or less from the <br />date of the damage or destruction, and the cost thereof does not exceed a sum equal to 6 month's Base Rent. Lessor shall notify Lessee <br />in writing within 30 days from the date of the damage or destruction as to whether or not the damage is Partial or Total. <br />(b) "Premises Total Destruction" shall mean damage or destruction to the improvements on the <br />Premises, other than Lessee Owned Alterations and Utility Installations and Trade Fixtures, which cannot reasonably be repaired in 6 <br />months or less from the date of the damage or destruction and/or the cost thereof exceeds a sum equal to 6 month's Base Rent. Lessor <br />shall notify Lessee in writing within 30 days from the date of the damage or destruction as to whether or not the damage is Partial or <br />Total. <br />(c) "Insured Loss" shall mean damage or destruction to improvements on the Premises, other than <br />Lessee Owned Alterations and Utility Installations and Trade Fixtures, which was caused by an event required to be covered by the <br />insurance described in Paragraph 8.3(a), irrespective of any deductible amounts or coverage limits involved. <br />(d) "Replacement Cost" shall mean the cost to repair or rebuild the improvements owned by Lessor <br />at the time of the occurrence to their condition existing immediately prior thereto, including demolition, debris removal and upgrading <br />required by the operation of Applicable Requirements, and without deduction for depreciation. <br />(e) "Hazardous Substance Condition" shall mean the occurrence or discovery of a condition <br />involving the presence of, or a contamination by, a Hazardous Substance, in, on, or under the Premises or Common Areas which <br />requires restoration. <br />9.2 Partial Damage - Insured Loss. If a Premises Partial Damage that is an Insured Loss occurs, then Lessor shall, at <br />Lessor's expense, repair such damage (but not Lessee's Trade Fixtures or Lessee Owned Alterations and Utility Installations) as soon <br />as reasonably possible and this Lease shall continue in full force and effect. Notwithstanding the foregoing, if the required insurance <br />was not in force or the insurance proceeds are not sufficient to affect such repair, the Insuring Party shall promptly contribute the <br />shortage in proceeds as and when required to complete said repairs. In the event, however, such shortage was due to the fact that, by <br />reason of the unique nature of the improvements, full Replacement Cost insurance coverage was not commercially reasonable and <br />available, Lessor shall have no obligation to pay for the shortage in insurance proceeds or to fully restore the unique aspects of the <br />Premises unless Lessee provides Lessor with the funds to cover same, or adequate assurance thereof, within 10 days following receipt <br />of written notice of such shortage and request therefor. If Lessor receives said finds or adequate assurance thereof within said 10 day <br />period, the party responsible for making the repairs shall complete them as soon as reasonably possible and this Lease shall remain in <br />full force and effect. If such funds or assurance are not received, Lessor may nevertheless elect by written notice to Lessee within 10 <br />days thereafter to: (i) make such restoration and repair as is commercially reasonable with Lessor paying any shortage in proceeds, in <br />which case this Lease shall remain in fill force and effect, or (ii) have this Lease terminate 30 days thereafter. Lessee shall not be <br />entitled to reimbursement of any funds contributed by Lessee to repair any such danage or destruction. Premises Partial Damage due <br />to flood or earthquake shall be subject to Paragraph 9.3, notwithstanding that there may be some insurance coverage, but the net <br />proceeds of any such insurance shall be made available for the repairs if made by either Party. <br />9.3 Partial Damage - Uninsured Loss. If a Premises Partial Damage that is not au Insured Loss occurs, unless caused <br />by a grossly negligent or willful act of Lessee (in which event Lessee shall make the repairs at Lessee's expense), Lessor may either: <br />(i) repair such damage as soon as reasonably possible at Lessor's expense, in which event this Lease shall continue in full force and <br />effect, or (ii) terminate this Lease by giving written notice to Lessee within 30 days after receipt by Lessor of knowledge of the <br />occurrence of such damage. Such termination shall be effective 60 days following the date of such notice. In the event Lessor elects to <br />terminate this Lease, Lessee shall have the right within 10 days after receipt of the termination notice to give written notice to Lessor <br />of Lessee's commitment to pay for the repair of such damage without reimbursement from Lessor. Lessee shall provide Lessor with <br />said funds or satisfactory assurance thereof within 30 days after making such commitment. Iu such event this Lease shall continue in <br />full force and effect, and Lessor shall proceed to make such repairs as soon as reasonably possible after the required furids are made <br />available to Lessor. If Lessee does not make the required commitment, this Lease shall terminate as of the date specified in the <br />termination notice. <br />9.4 Total Destruction. Notwithstanding any other provision hereof, if a Premises Total Destruction occurs, this Lease <br />shall terminate 60 days following such Destruction. If the damage or destruction was caused by the gross negligence or willful <br />misconduct of Lessee, Lessor shall have the right to recover Lessor's damages from Lessee, except as provided in Paragraph 8.6. <br />9.5 Damage Near End of Term. If at any time during the last 12 months of this Lease there is damage for which the <br />cost to repair exceeds one month's Base Rent, whether or not an hnsured Loss, Lessor may terminate this Lease effective as of the date <br />of occurrence of such damage by giving a written termination notice to Lessee within 90 days after the date of occurrence of such <br />damage. Notwithstanding the foregoing, if Lessee at that time has an exercisable option to extend this Lease and the damage is an <br />Insured Loss, then Lessee may preserve this Lease by, (a) exercising such option and (b) providing Lessor with any shortage in <br />insurance proceeds (or adequate assurance thereof) needed to make the repairs on or before the earlier of (i) the date which is 10 days <br />after Lessee's receipt of Lessor's written notice purporting to terminate this Lease, or (ii) the day prior to the date upon which such <br />12 <br />