Nautilus 2009 Annual Report Download - page 266

The liability policies required in paragraphs (c) and (f) above shall be endorsed to include all additional insureds required or
permitted herein with coverage equivalent to that provided by ISO form CG 20 10 11 85 [NOTE: if necessary, ISO endorsement CG 20 10 10 01
together with CG 20 37 10 01 are acceptable equivalents]. Such additional insured endorsements shall be separate from the certificates of
insurance required herein.
All other policies (except the worker’s compensation policy) shall be endorsed to include the Landlord Related Parties as additional
insureds. All insurance policies shall provide that all additional insureds shall be given thirty (30) days’ prior written notice of any reduction,
cancellation or non-renewal of coverage (except that ten (10) days’ notice shall be sufficient in the case of cancellation for non-payment of
premium) and shall provide that the insurance coverage afforded to the additional insureds shall be primary to any insurance carried
independently by said additional insureds. Certificates for all insurance required hereunder shall be delivered to Landlord before the
commencement of construction and before any contractor’s equipment is moved onto the Property. Tenant shall cause Tenant’s contractors to
provide Landlord with an endorsement evidencing that each required policy herein contains a waiver of subrogation in favor of the additional
insureds required or permitted herein. Insurance companies shall have a rating of A VI, or higher, in the most currently available “
Best Insurance
Guide”.
3. Lien Free Completion .
(a) Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord
to protect Landlord against any liability in connection with the work, including but not limited to a lien and completion bond naming Landlord as
a co-obligee.
(b) Tenant shall use its best efforts to obtain or cause to be obtained a “no-lien” contract from each of Tenant’s contractors. All
subcontractors under each of the contracts shall be given a notice of such no-lien contract before such subcontractor furnishes any labor or
materials. If Tenant is unable to obtain or cause to be obtained a no-lien contract from any proposed contractor, Tenant shall give written notice
of such fact to Landlord, and Landlord shall have the right to disapprove such contractor. Upon completion of the work, Tenant shall furnish
Landlord with full and final waivers of liens and contractors’ affidavits and statements, in such form as may be required by Landlord, Landlord’
s
title insurance company and any Mortgagee, from all parties performing labor or supplying materials or services in connection with the work
showing that all of said parties have been compensated in full.
(c) If Tenant fails to make any payment relating to the work, Landlord, as its option, may complete the work, make such payment and hold
Tenant liable for the costs thereof.
4. Plan Approval . Landlord’s approval of Tenant’s plans will not be unreasonably withheld, provided that (a) they comply with all Laws;
(b) the improvements do not adversely affect (as determined by Landlord) the Premises; (c) the plans are sufficiently detailed to allow
construction of the improvements in a good and workmanlike manner; and (d) construction of the improvements conforms to the requirements
set forth in this Exhibit. Notwithstanding that any plans submitted to Landlord in connection with this Lease (including, without
limitation, pursuant to this Exhibit B ) are reviewed by Landlord and notwithstanding any comments, advice or assistance that Landlord may
render to Tenant, in no event shall any such review, comments, advice or assistance constitute a representation or warranty as to the
completeness, design, accuracy or sufficiency of such plans, compliance of such plans with Laws or as to any other matter, and Landlord shall
have no liability whatsoever with respect thereto.
5. Change Orders . Tenant shall make no changes or modifications to the plans approved by Landlord without Landlord’s prior written
consent. Such approval shall not be unreasonably withheld or delayed, as long as such requested change meets (a) through (d) in Section 4 above
and the same would not delay the completion of the work. If any change order would increase the cost of construction, as a condition of such
approval Landlord may require that Tenant deposit any increased cost with Landlord, or provide Landlord with other security therefor acceptable
to Landlord.
6. Pre-Construction Activity . At least thirty (30) days prior to commencement of any work, Tenant shall submit the following information
and items to Landlord for Landlord’s review and approval:
(a) The proposed plans.
(b) A detailed critical path construction schedule containing the major components of the work and the time required for each, including
the scheduled commencement date of construction of the work, milestone dates and the estimated date of completion of construction.
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