Health Net 2009 Annual Report Download - page 442

Download and view the complete annual report

Please find page 442 of the 2009 Health Net annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 575

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176
  • 177
  • 178
  • 179
  • 180
  • 181
  • 182
  • 183
  • 184
  • 185
  • 186
  • 187
  • 188
  • 189
  • 190
  • 191
  • 192
  • 193
  • 194
  • 195
  • 196
  • 197
  • 198
  • 199
  • 200
  • 201
  • 202
  • 203
  • 204
  • 205
  • 206
  • 207
  • 208
  • 209
  • 210
  • 211
  • 212
  • 213
  • 214
  • 215
  • 216
  • 217
  • 218
  • 219
  • 220
  • 221
  • 222
  • 223
  • 224
  • 225
  • 226
  • 227
  • 228
  • 229
  • 230
  • 231
  • 232
  • 233
  • 234
  • 235
  • 236
  • 237
  • 238
  • 239
  • 240
  • 241
  • 242
  • 243
  • 244
  • 245
  • 246
  • 247
  • 248
  • 249
  • 250
  • 251
  • 252
  • 253
  • 254
  • 255
  • 256
  • 257
  • 258
  • 259
  • 260
  • 261
  • 262
  • 263
  • 264
  • 265
  • 266
  • 267
  • 268
  • 269
  • 270
  • 271
  • 272
  • 273
  • 274
  • 275
  • 276
  • 277
  • 278
  • 279
  • 280
  • 281
  • 282
  • 283
  • 284
  • 285
  • 286
  • 287
  • 288
  • 289
  • 290
  • 291
  • 292
  • 293
  • 294
  • 295
  • 296
  • 297
  • 298
  • 299
  • 300
  • 301
  • 302
  • 303
  • 304
  • 305
  • 306
  • 307
  • 308
  • 309
  • 310
  • 311
  • 312
  • 313
  • 314
  • 315
  • 316
  • 317
  • 318
  • 319
  • 320
  • 321
  • 322
  • 323
  • 324
  • 325
  • 326
  • 327
  • 328
  • 329
  • 330
  • 331
  • 332
  • 333
  • 334
  • 335
  • 336
  • 337
  • 338
  • 339
  • 340
  • 341
  • 342
  • 343
  • 344
  • 345
  • 346
  • 347
  • 348
  • 349
  • 350
  • 351
  • 352
  • 353
  • 354
  • 355
  • 356
  • 357
  • 358
  • 359
  • 360
  • 361
  • 362
  • 363
  • 364
  • 365
  • 366
  • 367
  • 368
  • 369
  • 370
  • 371
  • 372
  • 373
  • 374
  • 375
  • 376
  • 377
  • 378
  • 379
  • 380
  • 381
  • 382
  • 383
  • 384
  • 385
  • 386
  • 387
  • 388
  • 389
  • 390
  • 391
  • 392
  • 393
  • 394
  • 395
  • 396
  • 397
  • 398
  • 399
  • 400
  • 401
  • 402
  • 403
  • 404
  • 405
  • 406
  • 407
  • 408
  • 409
  • 410
  • 411
  • 412
  • 413
  • 414
  • 415
  • 416
  • 417
  • 418
  • 419
  • 420
  • 421
  • 422
  • 423
  • 424
  • 425
  • 426
  • 427
  • 428
  • 429
  • 430
  • 431
  • 432
  • 433
  • 434
  • 435
  • 436
  • 437
  • 438
  • 439
  • 440
  • 441
  • 442
  • 443
  • 444
  • 445
  • 446
  • 447
  • 448
  • 449
  • 450
  • 451
  • 452
  • 453
  • 454
  • 455
  • 456
  • 457
  • 458
  • 459
  • 460
  • 461
  • 462
  • 463
  • 464
  • 465
  • 466
  • 467
  • 468
  • 469
  • 470
  • 471
  • 472
  • 473
  • 474
  • 475
  • 476
  • 477
  • 478
  • 479
  • 480
  • 481
  • 482
  • 483
  • 484
  • 485
  • 486
  • 487
  • 488
  • 489
  • 490
  • 491
  • 492
  • 493
  • 494
  • 495
  • 496
  • 497
  • 498
  • 499
  • 500
  • 501
  • 502
  • 503
  • 504
  • 505
  • 506
  • 507
  • 508
  • 509
  • 510
  • 511
  • 512
  • 513
  • 514
  • 515
  • 516
  • 517
  • 518
  • 519
  • 520
  • 521
  • 522
  • 523
  • 524
  • 525
  • 526
  • 527
  • 528
  • 529
  • 530
  • 531
  • 532
  • 533
  • 534
  • 535
  • 536
  • 537
  • 538
  • 539
  • 540
  • 541
  • 542
  • 543
  • 544
  • 545
  • 546
  • 547
  • 548
  • 549
  • 550
  • 551
  • 552
  • 553
  • 554
  • 555
  • 556
  • 557
  • 558
  • 559
  • 560
  • 561
  • 562
  • 563
  • 564
  • 565
  • 566
  • 567
  • 568
  • 569
  • 570
  • 571
  • 572
  • 573
  • 574
  • 575

property of Tenant, except as otherwise set forth in Paragraph 4(b) of this Lease, and (ii) all Alterations and improvements as directed
by Landlord (except that Tenant shall not have to remove any Alterations or improvements to which Landlord consented in writing
unless Landlord indicated, along with such consent, the need for such removal), and Tenant shall repair all damage caused by such
removal, and shall restore the Premises to its original condition, reasonable wear and tear excepted. In no event shall Tenant be
required to remove any portion of the Tenant Improvements. In addition to all other rights Landlord may have, in the event Tenant
does not so remove any such fixtures, furnishings or personal property after ten (10) days prior written notice, Tenant shall be deemed
to have abandoned the same, in which case Landlord may store the same at Tenant’s expense, appropriate the same for itself, and/or
sell the same in its discretion.
(a) Tenant shall use the Premises only for general office uses and shall not use the Premises or permit the Premises to be used
for any other purpose. Landlord shall have the right to deny its consent to any change in the permitted use of the Premises in its sole
and absolute discretion.
(b) Tenant shall not at any time use or occupy the Premises, or permit any act or omission in or about the Premises in violation
of any covenant of record, law, statute, building or zoning code, ordinance, or governmental order, condition of approval, rule or
regulation (including, but not limited to, Title III of the Americans With Disabilities Act of 1990), as well as the same may be
amended and supplemented from time to time (collectively, “Law” or “Laws”) and Tenant shall, upon written notice from Landlord,
discontinue any use of the Premises which is declared by any governmental authority to be a violation of Law. If any Law shall, by
reason of the nature of Tenant’s use or occupancy of the Premises for other than general office use, impose any duty upon Tenant or
Landlord with respect to (i) modification or other maintenance of the Premises, the Building or the Project, or (ii) the use, alteration
or occupancy thereof, Tenant shall comply with such Law at Tenant’s sole cost and expense. This Lease shall be subject to and
Tenant shall comply with all financing documents encumbering the Building or the Project and all covenants, conditions and
restrictions affecting the Premises, the Building or the Project, including, but not limited to, Tenant’s execution of any subordination
agreements requested by a mortgagee of the Premises, the Building or the Project. Landlord shall cause the Building (excluding the
Premises) and Common Areas to be in compliance with all Laws during the Initial Term and any extensions thereof, and Tenant shall
cause the Premises to be in compliance with all Laws during the Initial Term and any extensions thereof. If the Building (excluding
the Premises) or Common Areas are determined by applicable governmental agencies to not be in compliance with Laws applicable
to the Project as of the Commencement Date, then Landlord shall be fully responsible, at its sole cost and expense (which shall not be
included in Operating Costs), for making all alterations and repairs to the Building (excluding the Premises) and the Common Areas
required by such governmental agencies so that the Building (excluding the Premises) or the Common Areas comply with all such
Laws. Notwithstanding the foregoing sentence, if there is a “new” Law (a Law first enacted or made applicable to the Project after the
Commencement Date of this Lease) affecting the Building (excluding the Premises) or the Common Areas, and governmental
agencies require Landlord to make capital expenditures or repairs to the Building (excluding the Premises) or the Common Areas, the
invoiced cost and expense of such capital expenditures or repairs shall be an Operating Cost which shall be reimbursed by the tenants
in the Project over the lesser of (i) the useful life of such capital expenditures, or (ii) ten (10) years. Subject to applicable Laws
(including any “grandfather” provisions pertaining thereto), Landlord agrees to maintain the Building (except the Premises) and
Common Areas in compliance with all Laws. To Landlord’s knowledge, as of the Date of this Lease, Landlord has not received
written notice of any violation of Laws pertaining to the Premises and the Building. The term “to Landlord’s knowledge” shall mean
the current actual knowledge of Steve Silva, without any duty of inquiry or investigation.
(c) Tenant shall not at any time use or occupy the Premises in violation of the certificates of occupancy issued for or restrictive
covenants pertaining to the Building or the Premises, and in the event that any architectural control committee or department of the
State or the city or county in which the Project is located shall at any time contend or declare that the Premises are used or occupied in
violation of such certificate or certificates of occupancy or restrictive covenants, Tenant shall, upon five (5) days’ notice from
Landlord or any such governmental agency, immediately discontinue such use of the Premises (and otherwise remedy such violation).
The failure by Tenant to discontinue such use shall be considered a default under this Lease and Landlord shall have
12
6. USE OF PREMISES