Common use of Security Deposit Clause in Contracts

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit 40.01. Tenant shall be deposited deposit with Landlord by Tenant contemporaneously with on the delivery by Tenant to Landlord signing of this Lease. The Lease the Security Deposit shall be held by Landlord, without liability for interestDeposit, as security for the faithful performance and observance by Tenant of Tenant’s covenants the terms, provisions and conditions of this Lease. Tenant agrees that in the event Tenant has defaulted in the performance of any of its obligations under this Lease, it being expressly understood that including the Security Deposit shall not be considered an advance payment of Rent any item of rental, and whether or not the transmittal of a measure of Tenant’s liability for damages in case Notice of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any is barred by applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Leaselaw, Landlord may assign use, apply or retain the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all whole or any part of the Security Deposit, to the extent required for the payment of any basic annual rent or additional rent as to which Tenant must upon demand is in default, or for any sum that Landlord may expend or may be required to expend by reason of the default (including any damages or deficiency accrued before or after summary proceedings or other re-entry by Landlord). If Landlord applies or retains any portion or all of the Security Deposit, Tenant shall forthwith restore the Security Deposit to amount so applied or retained by delivering additional cash so that, at all times, the amount required hereunder, from time to time. No application of the Security Deposit shall be the amount set forth on the Reference Page. Provided there is no uncured default, any balance of the Security Deposit held by Landlord will and not used, applied or retained by Landlord as above provided shall be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released returned to Tenant within thirty (30) days after the Expiration Date and after delivery of possession of the surrender of the Premises entire demised premises to Landlord subject to any deductions made by Landlord pursuant to in accordance with the terms of this Lease. Notwithstanding anything Tenant shall not be entitled to any interest on the contrary contained hereinSecurity Deposit. 40.02. At Landlord’s sole option, Tenant shall provide give Landlord, upon its demand, a Letter(s) of Credit (as defined and further described in this Section). After Landlord’s receipt from Tenant of the Letter(s) of Credit, if so requested by Landlord, Landlord shall return to Tenant any cash Security Deposit then held by Landlord as security under this Lease. “Letter of Credit” shall mean a clean irrevocable and unconditional standby letter of credit issued and drawn upon any commercial bank approved by Landlord having a net worth of at least One Billion U.S. Dollars and with offices for banking purposes in the continental United States of America (“Issuing Bank”). Tenant shall cause each Letter of Credit to have a term of not less than one year, be in form and content satisfactory to Landlord, be for the account of Landlord and be in the amount of the Security Deposit set forth in the form of a Reference Page. Landlord, at its sole option, may at any time require Tenant to deliver more than one (1) (as determined by Landlord in its absolute discretion) Letter of Credit from different Issuing Banks, each having a net worth of at least One Billion U.S. Dollars and each meeting the other requirements set forth in accordance with Exhibit “M” attached hereto.this Article 40 that an Issuing Bank must satisfy. Landlord, in its sole judgment, shall determine the dollar amount of each Letter of Credit, but in no event shall the combined Letters of Credit exceed the Security Deposit. Tenant shall cause the Letter(s) of Credit to provide that:

Security Deposit. The Subtenant shall deposit with Sublandlord the sum of $23,364.84 (the “Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, Deposit”) as security for the performance by Tenant Subtenant of Tenant’s covenants and obligations under the provisions of this LeaseSublease. If Subtenant defaults with respect to any provision of this Sublease, it being expressly understood that the Security Deposit shall not be considered an advance including payment of Rent the Rent, Sublandlord may use, apply, draw upon or a measure retain all or any part of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good for the payment of any arrearages of Rent Rent, or to satisfy compensate Sublandlord for any other covenant loss, cost or obligation damage which Sublandlord may suffer by reason of Tenant hereunder following the expiration of Subtenant’s default. If any applicable cure periods. Following any such application portion of the Security DepositDeposit is so used, Tenant shall pay to Landlord on demand the applied, or drawn upon, Subtenant shall, within ten (10) days after notice thereof, deposit cash with Sublandlord in an amount so applied in order sufficient to restore the Security Deposit to the amount required hereunder, from time its original amount. Subtenant’s failure to time. If Landlord transfers its interest in the Complex during the term do so shall be a breach of this LeaseSublease. Sublandlord shall not, Landlord may assign unless otherwise required by law, be required to keep the Security Deposit separate from its general funds, nor pay interest to the transferee Subtenant. If Subtenant shall fully and upon assumption faithfully perform every provision of this Sublease to be performed by such transferee of liability for the Security Depositit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit or any balance thereof shall be returned to Subtenant (or to the amount required last transferee of Subtenant’s interest hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days after the expiration of the surrender Term (or sooner termination of this Sublease) and upon Subtenant’s vacation of the Premises to Landlord subject to any deductions made by Landlord pursuant to in accordance with this Sublease. If the terms of this Lease. Notwithstanding anything to the contrary contained hereinLease is assigned, Tenant shall provide the Security Deposit in shall be transferred to the form of a Letter of Credit in accordance assignee, and thereupon Sublandlord shall be discharged from further liability with Exhibit “M” attached heretorespect thereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease. If Tenant fails to pay Rent, it being expressly understood that the or otherwise an Event of Default occurs under this Lease, Landlord may use, apply or retain all or any portion of said Security Deposit shall not be considered an advance for the payment of Rent any amount already due Landlord, for Rents which will be due in the future, and/or to reimburse or a measure of Tenant’s liability compensate Landlord for damages in case of default any liability, expense, loss or damage which Landlord may suffer or incur by Tenantreason thereof. If Landlord may, from time to time, without prejudice to uses or applies all or any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security Deposit, Tenant shall pay to within 10 days after written request therefor deposit monies with Landlord on demand the amount so applied in order sufficient to restore the said Security Deposit to the full amount required hereunder, from time to timeby this Lease. If Landlord transfers its interest in the Complex Base Rent increases during the term of this Lease, Tenant shall, upon written request from Landlord, deposit additional monies with Landlord may assign so that the total amount of the Security Deposit shall at all times bear the same proportion to the increased Base Rent as the initial Security Deposit bore to the initial Base Rent. Should the Permitted Use be amended to accommodate a material change in the business of Tenant or to accommodate a sublessee or assignee, Landlord shall have the right to increase the Security Deposit to the transferee extent necessary, in Landlord's reasonable judgment, to account for any increased wear and upon assumption by such transferee tear that the Premises may suffer as a result thereof. Landlord may use, apply or retain all or any portion of liability the Security Deposit (i) first, for Tenant's repair obligations, including without limitation, the obligation to restore the Premises to the condition required under this Lease, (ii) second, to the payment of any rent or other sum in default or for the payment of any other sum to which Tenant may become obligated by reason of Tenant's default, and (iii) third, to compensate Landlord for any loss or damage which Landlord may suffer thereby. If a change in control of Tenant occurs during this Lease and following such change the financial condition of Tenant is, in Landlord's reasonable judgment, significantly reduced, Tenant shall deposit such additional monies with Landlord as shall be sufficient to cause the Security DepositDeposit to be at a commercially reasonable level based on such change in financial condition. Landlord shall not be required to keep the Security Deposit separate from its general accounts. Within 90 days after the expiration or termination of this Lease, Landlord shall have no further liability for return that portion of the return Security Deposit not used or applied by Landlord. Landlord shall upon written request provide Tenant with an accounting showing how that portion of such the Security DepositDeposit that was not returned was applied. Upon application of all or any No part of the Security DepositDeposit shall be considered to be held in trust, to bear interest or to be prepayment for any monies to be paid by Tenant must upon demand restore the Security Deposit to the amount required hereunderunder this Lease (including, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s defaultwithout limitation, Base Rent). Tenant hereby waives California Civil Code Section 1950.7, and all other provisions of Lawslaw, now or hereinafter hereafter in force, which restrict the amount or types of may provide that Landlord can claim that a landlord may make upon from a security deposit or imposes upon a landlord (or its successors) any obligation with respect only those sums reasonably necessary to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit remedy defaults in the form payment of a Letter rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the act or omission of Credit in accordance with Exhibit “M” attached heretoTenant or any officer, employee or agent of Tenant.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with Owner agrees to pay to the delivery by Tenant to Landlord Marina the amount of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance specified above, to secure the faithful performance of Owner's obligations hereunder. In addition to all remedies that ▇▇▇▇▇▇ ▇▇▇ have under this Agreement, ▇▇▇▇▇▇ ▇▇▇ at its sole option and judgment apply such amounts of said Security Deposit Fee as are reasonably necessary to: (a) remedy Owner's default in payment of Rent the fees and other charges due hereunder; (b) repair damage to Marina property caused by Owner's or a measure of Tenant’s liability for damages Owner's family, guests, agents or other invitees; (c) clean the berth/mooring/storage space; (d) pay attorneys' fees, litigation expenses and costs incurred in case of default by Tenant. Landlord may, from time enforcing the Marina's rights and remedies relating to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or this Agreement; and/or (e) to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Owner's obligations hereunder. In the event this Security DepositDeposit or any portion thereof is applied as provided herein, Tenant shall pay Owner agrees to Landlord on deposit with the Marina, within ten (10) days after written demand the from ▇▇▇▇▇▇, an amount so applied in order sufficient to restore the said Security Deposit to its original sum. If the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit is increased during any term of the Agreement, Owner agrees to pay additional sums as will cause the Security Deposit paid by Landlord will be deemed him/her/it to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict equal the amount or types required by the Marina's then current "Rate Schedule." Failure to do so shall constitute a material breach of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) this Agreement. All Security Deposits are fully earned at the time of payment to Marina. Upon termination of this Agreement any obligation with respect to the handling or return remaining portion of security deposits. The said Security Deposit will be released returned to Tenant Owner within thirty (30) 30 days following the date the Marina has regained possession of the surrender berth/mooring/storage space and is able to determine the amount of the Premises to Landlord subject to any deductions made by Landlord pursuant refund if any, to the terms Owner. Unless the Marina expressly so approves in writing, Owner may not use any portion of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in as payment of the form last month's wharfage fees. ▇▇▇▇▇▇ shall have the right to combine said Security Deposit with other funds of a Letter of Credit in accordance with Exhibit “M” attached heretothe Marina. ▇▇▇▇▇▇ shall not be obligated to, and shall not, pay interest on the Security Deposit.

Security Deposit. The Security Deposit Upon signing this Lease, Tenant shall be deposited immediately deposit with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The amount set forth in Article 1 as the “Security Deposit shall be held by Landlord, without liability for interest, Deposit” as security for the performance by Tenant of the terms of this Lease to be performed by Tenant’s covenants , and obligations under this Lease, it being expressly understood that not as prepayment of rent. Landlord may apply such portion or portions of the Security Deposit shall not be considered an advance as are reasonably necessary for the following purposes: (i) to remedy any default by Tenant in the payment of Base Monthly Rent or Additional Rent or a measure late charge or interest on defaulted rent; (ii) to repair damage to the Leased Premises caused by Tenant; (iii) to clean and repair the Leased Premises following their surrender to Landlord if not surrendered in the condition required pursuant to the provisions of Article 2; and (iv) to remedy any other default of Tenant to the extent permitted by Law including, without limitation, paying in full on Tenant’s liability behalf any sums claimed by materialmen or contractors of Tenant to be owing to them by Tenant for damages in case of default by work done or improvements made at Tenant’s request to the Leased Premises. Landlord mayIn this regard, from time Tenant hereby waives any restriction on the uses to time, without prejudice to any other remedy, use which the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application may be applied as contained in Section 1950.7(c) of the California Civil Code and/or any successor statute. In the event the Security DepositDeposit or any portion thereof is so used, Tenant shall pay to Landlord on demand the Landlord, promptly upon demand, an amount so applied in order cash sufficient to restore the Security Deposit to the amount full original sum. Landlord shall not be deemed a trustee of the Security Deposit. Landlord may use the Security Deposit in Landlord’s ordinary business and shall not be required hereunder, to segregate it from time its general accounts. Tenant shall not be entitled to timeany interest on the Security Deposit. If Landlord transfers its interest in the Complex Building during the term of this LeaseLease Term, Landlord may assign shall pay the Security Deposit to any subsequent owner in conformity with the transferee and upon assumption by such transferee provisions of liability for Section 1950.7 of the Security DepositCalifornia Civil Code and/or any successor statute, Landlord in which event the transferring landlord shall have no further be released from all liability for the return of such the Security Deposit. Upon application Tenant specifically grants to Landlord (and hereby waives the provisions of all or any part California Civil Code Section 1950.7 to the contrary) a period of sixty days following a surrender of the Leased Premises by Tenant to Landlord within which to return the Security Deposit (less permitted deductions) to Tenant, it being agreed between Landlord and Tenant that sixty days is a reasonable period of time within which to inspect the Leased Premises, make required repairs, receive and verify workmen’s ▇▇▇▇▇▇▇▇ therefore, and prepare a final accounting with respect to such deposit. In no event shall the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunderor any portion thereof, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoconsidered prepaid rent.

Security Deposit. The Tenant shall deposit with Landlord, upon delivery of an copy of this Lease to Landlord, a security deposit (the “Security Deposit”) for the performance all of Tenant’s obligations hereunder in the amount set forth in Section 1.1 of this Lease, which Security Deposit shall be deposited in the form of an unconditional and irrevocable letter of credit (the “Letter of Credit”): (i) in form and substance satisfactory to Landlord, (ii) naming Landlord as beneficiary, (iii) expressly allowing Landlord to draw upon it at any time from time to time by delivering to the issuer notice that Landlord is entitled to draw thereunder, (iv) issued by an FDIC-insured financial institution satisfactory to Landlord, (v) redeemable by presentation of a sight draft in the state of Landlord’s choice, and (vi) transferable without fee or cost to Landlord. Landlord hereby approves Silicon Valley Bank as the issuer of the Letter of Credit. If Tenant not provide Landlord with a substitute Letter of Credit complying with all of the requirements hereof at least 10 days before the stated expiration date of any then current Letter of Credit, Landlord by Tenant contemporaneously with shall have the delivery by Tenant right to Landlord draw the full amount of this Leasethe current Letter of Credit and hold the funds drawn in cash without obligation for interest thereon as the Security Deposit. The Security Deposit Letter Credit shall be held by Landlord, without liability for interest, Landlord as security for the performance by Tenant of Tenant’s covenants and obligations under Lease. The Letter of Credit is not an advance rental deposit or a measure of Landlord’s damages case of Tenant’s default. Upon each occurrence of a Default (as defined in Section 16.1), Landlord may draw all or any part of the Letter of Credit to pay delinquent payments due under this Lease, it being expressly understood that future rent damages, and the Security Deposit shall not be considered an advance payment cost of Rent any damage, injury, expense or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to timecaused such Default, without prejudice to any other remedyremedy provided herein or provided by law. Landlord’s right to use the Letter of Credit under this Section includes the right to use the Letter Credit to pay future rent damages following the termination of this Lease pursuant to Section below. Upon any use of all or any portion of the Letter of Credit, use Tenant shall on demand a new Letter of Credit or amend the existing Letter of Credit to restore the Letter of Credit to the amount set forth on Page 1 of this Lease. Tenant hereby waives the provisions of any law, now hereafter in force which provide that Landlord may claim from a security deposit only those reasonably necessary to remedy defaults in the payment of Rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the Default of Tenant. Upon bankruptcy or other debtor-creditor proceedings against Tenant, the Letter of Credit shall be deemed to be applied first to the of Rent and other charges due Landlord for periods prior to the filing of such proceedings. The Letter of Credit, or any balance thereof (i.e., after deducting therefrom all amounts to which Landlord is entitled under the provisions of this Lease), shall be returned to Tenant (or, at Landlord’s option, to the last assignee of Tenant’s interest hereunder) within 90 days after the expiration or earlier termination of this Lease. Provided that no Default (as defined in Section 16.1) or event that with the passage of or the giving of notice, or both, would constitute a Default has occurred that remains uncured, amount of the Security Deposit shall be reduced to $862,274.00 effective as of the extent necessary to make good Rent Commencement Date, whereupon, within thirty (30) days following receipt of Tenant’s written request, any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security DepositDeposit in excess of the respective reduced amounts shall, Tenant if held by Landlord in cash, be refunded to Tenant, without interest, or Landlord shall pay agree to Landlord on demand an appropriate replacement or amendment of the amount so applied Letter of Credit in order to restore effect such reduction. Notwithstanding the Security Deposit to foregoing, if any uncured monetary Default exists as of such reduction date, such reduction will occur at the amount required hereunderlater of: (i) one year from the original reduction date; or (ii) such time as the Default shall have been cured. If any uncured material non-monetary Default exists of such reduction date, such reduction will occur at the later of: (i) six months from the original reduction date; or (ii) such time to as the Default shall have been cured. If any event that with the passage of time, or the giving of notice, or both, would constitute a monetary Default or material non-monetary Default exists as of such reduction date, such reduction will occur at such time as the uncured default shall have been cured. If Landlord transfers its interest in the Complex during the term of Project or this Lease, Landlord may assign shall either (a) transfer any Security Deposit then held by Landlord to a person or entity assuming Landlord’s obligations under this Section, or (b) return to Tenant any Security Deposit then held by Landlord and remaining after the deductions permitted herein. Upon such transfer to such transferee or the return of the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security DepositTenant, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or Security Deposit, and Tenant’s right to the return of security depositsthe Security Deposit shall apply solely against Landlord’s transferee. The Security Deposit will be released to Tenant within thirty (30) days is not an advance rental deposit or a measure of the surrender Landlord’s damages in case of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this LeaseTenant’s default. Notwithstanding anything to the contrary contained herein, Tenant shall provide Landlord’s obligation respecting the Security Deposit in the form is that of a Letter of Credit in accordance with Exhibit “M” attached heretodebtor, not a trustee, and no interest shall accrue thereon.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with On or before the delivery by Tenant to Landlord Execution Date of this Lease. The , Tenant shall deposit with Landlord the initial installment of the Security Deposit as set forth in Section 2.2, which sum shall be held by Landlord, without liability for interest, Landlord as security for the faithful performance by Tenant of Tenant’s all of the terms, covenants and obligations under conditions of this Lease, it being expressly understood that Lease to be kept and performed by Tenant during the Term. Interest shall accrue on the Security Deposit for the benefit of Tenant and shall be paid to Tenant to the extent that Tenant is entitled to the return of the Security Deposit as provided in this Lease. Landlord shall not be considered an advance payment of Rent or required to maintain a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability separate account for the Security Deposit, but may intermingle it with other funds of Landlord; provided however, Landlord shall have no further liability keep the Security Deposit in a federally insured, interest-bearing account for the return benefit of such Security DepositTenant. Upon application If Tenant Defaults with respect to any provision of this Lease, then without notice to Tenant, Landlord may (but shall not be required to), apply all or any part of the Security DepositDeposit for the payment of any Rent or any other sum in Default. If any portion of the Security Deposit is so used or applied, then Tenant must shall, upon demand therefor, restore the Security Deposit to its original amount. So long as no default has occurred and is continuing, the amount required hereunder, from time to time. No application unapplied portion of the Security Deposit by Landlord will shall be deemed returned to have cured Tenant’s default, or, at Landlord's option, to the last assignee of Tenant's interest hereunder, within sixty (60) days following the expiration of the Term. Tenant hereby irrevocably waives and relinquishes any and all provisions rights, benefits, or protections, if any, Tenant now has, or in the future may have under any provision of Lawslaw which (a) establishes the time frame by which a landlord must refund a security deposit under a lease, now or hereinafter in force, which restrict the amount or types of claim (b) provides that a landlord may make upon claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by a tenant, or imposes upon a landlord to clean the subject premises. Tenant acknowledges and agrees that (or its successorsx) any obligation with respect to statutory time frames for the handling or return of a security deposits. The deposit are superseded by the express period identified in this Section 5.4, and (y) rather than be so limited, Landlord may claim from the Security Deposit will be released (i) any and all sums expressly identified in this Section 5.4, and (ii) any additional sums reasonably necessary to Tenant within thirty (30) days compensate Landlord for any and all losses or damages caused by Tenant's default of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms this Lease, including, but not limited to, all damages or rent due upon termination of this Lease. Notwithstanding anything to In the contrary contained hereinevent of bankruptcy or other debtor-creditor proceedings against Tenant, Tenant shall provide the Security Deposit in shall be deemed to be applied first to the form payment of a Letter Rent and other charges due Landlord for all periods prior to the filing of Credit in accordance with Exhibit “M” attached heretosuch proceedings.

Security Deposit. The (a) Tenant shall deliver to Heritage Title Company of Austin, Inc. (“Escrow Agent”) upon execution and delivery of this Lease by Tenant the Security Deposit shall be deposited with Landlord as security for the full and faithful performance of each of the terms hereof by Tenant contemporaneously with the delivery by Tenant to Landlord of this LeaseTenant. The Security Deposit shall be held delivered to Landlord by the Escrow Agent upon Landlord, without liability for interest, as security for ’s achievement of the performance by Delivery Date Milestone and delivery to the Escrow Agent and Tenant of Tenant’s covenants the evidence of completion for such Milestone as set forth in Section 2.3 above. Landlord and obligations under Tenant shall execute a commercially reasonable escrow agreement regarding the escrow of the Security Deposit promptly after execution of this Lease, it being expressly understood agreed that the Escrow Agent’s standard escrow agreement is commercially reasonable. Landlord shall be required to keep the Security Deposit separate from its general funds and Tenant shall be entitled to interest thereon. If an Event of Default occurs, Landlord may, but shall not be considered required to, use, apply or retain all or any part of the Security Deposit for the payment of any Rent or any other sum in default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of such Event of Default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of such Event of Default, including, without limitation, costs and attorneys’ fees incurred by Landlord to recover possession of the Premises. If any portion of the Security Deposit is so used or applied, Tenant shall, upon demand therefor, deposit cash with Landlord in an amount sufficient to restore the Security Deposit to its original amount and Tenant’s failure to do so shall constitute an Event of Default. The Security Deposit is not an advance payment of Rent or a measure or limit of TenantLandlord’s liability for damages upon an Event of Default. (b) Except as expressly set forth in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Depositthis Lease, Tenant shall pay acknowledges that Landlord has the right to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers transfer or mortgage its interest in the Complex during the term of Building and in this Lease, and Tenant agrees that in the event of any such transfer or mortgage, Landlord may shall have the right to transfer or assign the Security Deposit to the transferee and upon assumption by or mortgagee. Upon such transferee transfer or assignment of liability for the Security Deposit, Landlord shall have no further be deemed released by Tenant from all liability or obligation for the return of the Security Deposit and Tenant shall look solely to such Security Deposit. Upon application of all transferee or any part mortgagee for the return of the Security Deposit. If Tenant shall fully and faithfully perform every provision of this Lease to be performed by it, Tenant must upon demand restore the Security Deposit or any balance thereof shall be returned to Tenant (or, at Landlord’s option, to the amount required last assignee of Tenant’s interest hereunder, from time to time. No application ) within sixty (60) days following the expiration of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions Term and surrender of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender possession of the Premises to Landlord subject to any deductions made by Landlord pursuant to in compliance with the terms provisions of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Within ten (10) days of the Effective Date, Tenant shall deposit with Landlord the Security Deposit as set forth in Item 13 of the Summary of Basic Lease Terms as security for the full and faithful performance by Tenant of all Tenant’s obligations hereunder. No interest shall be deposited with paid upon the Security Deposit nor shall Landlord by Tenant contemporaneously with be required to maintain the delivery by Tenant to Landlord of this Leasedeposit in a segregated account. The Security Deposit shall not be held construed as prepaid Rent. In the event that Tenant shall default in the full and faithful performance of any of the terms hereof, then Landlord may either retain the Security Deposit as liquidated damages, or a portion thereof, for damages caused by Tenant beyond ordinary wear and tear, or Landlord may retain the same and apply it toward any damages sustained by Landlord, without liability for interest, as security for including but not limited to actual damages sustained by the performance Landlord by Tenant reason of the default of Tenant’s covenants and obligations under this Lease, it being expressly understood including any past due Rent. Upon each such application, Tenant shall, on demand, pay to Landlord the sum so applied, which shall be added to the Security Deposit so that the same shall be restored to the amount first set forth above. In the event of bankruptcy or other debtor-creditor proceedings, either voluntarily or involuntarily instituted by or against Tenant, the Security Deposit shall not be considered an advance payment deemed to be applied in the following order: to actual damages caused by Tenant beyond ordinary wear and tear, obligations and other charges, including any damages sustained by Landlord, other than unpaid Rent, due to Landlord for all periods prior to the filing of such proceedings; to accrued and unpaid Rent or prior to the filing of such proceeding, and thereafter to actual damages, obligations, other charges and damages sustained by Landlord and Rent due the Landlord for all periods subsequent to such filing. In the event of a measure sale of Tenant’s liability for damages in case of default by Tenant. the Land and the Building, Landlord may, from time to time, without prejudice to any other remedy, use shall transfer the Security Deposit to the extent necessary buyer, and shall confirm the same to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Depositin writing, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee after which transfer and upon assumption by such transferee of liability for the Security Deposit, written confirmation Landlord shall have no further liability for obligation regarding the return of such Security Deposit. Upon application Notwithstanding the foregoing, and so long as Tenant is not in default of all this Lease beyond any applicable cure period, Landlord shall return to Tenant (or, at Tenant’s option, or any part apply to subsequent payments of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required Rent due hereunder, from time to time. No application ) a portion of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim Sixty Thousand and 00/100 Dollars ($60,000.00) upon the first anniversary of the Commencement Date and also upon the date that a landlord may make upon a security deposit or imposes upon a landlord is eighteen (or its successors18) any obligation with respect to months after the handling or return of security depositsCommencement Date. The remaining balance of the Security Deposit will shall be released held until the expiration of the Lease Term. If Tenant fully and faithfully complies with all of the terms hereof, the Security Deposit or any balance thereof shall be returned to Tenant within thirty (30) days after expiration of the surrender of Lease Term or thirty (30) days after the Premises to Landlord subject to any deductions made by Landlord pursuant to final day Tenant occupies the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoPremises.

Security Deposit. The Security Deposit shall be deposited Tenant agrees to deposit with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, $198,800.00 as security for the performance by Tenant of every covenant and condition of this Lease by Tenant to be performed (the “Security Deposit”). Notwithstanding the foregoing, Landlord has waived the requirement of Tenant to deposit with Landlord the Security Deposit in the amount set forth in this Section 3.06 concurrently upon the execution of this Lease. Nevertheless, if Tenant defaults in the timely payment of the Base Rent or any Additional Rent required under this Lease on more than two (2) occasions during the Term of this Lease, then Tenant shall be required, within ten (10) days written notice from Landlord to deposit with Landlord the Security Deposit as security for Tenant’s covenants and complete performance of its obligations under this Lease, it being expressly understood that Lease and the remainder of the terms and provisions of this Section 3.06 shall be applicable to the Security Deposit. The failure by Tenant to deposit with Landlord the Security Deposit as required hereunder shall constitute a material default under this Lease and Landlord shall not be considered an advance payment required to deliver to Tenant any further notice of Rent such default or a measure allow any grace period for the cure of Tenant’s liability for damages in case such default. Said deposit may be commingled with other funds of default by TenantLandlord, and shall bear no interest. Landlord may, from time to time, without prejudice to any other remedy, use Upon the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application deposit of the Security Deposit, if Tenant shall pay default with respect to any covenant or condition of this Lease, including, but not limited to, the payment of any sum due hereunder, then Landlord on demand may use such portion of the amount Security Deposit as is necessary to cure such default. In the event Landlord so applied uses the Security Deposit in order to part or in whole, Tenant will restore the Security Deposit to the required amount required hereunder, from time upon notice of said default and failure to timedo so shall be a default under this Lease. If Landlord transfers its interest in Should Tenant comply with all of the Complex during the term covenants and conditions of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part balance thereof shall be returned to Tenant at the expiration of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security depositsTerm thereof. The Security Deposit will shall not be released to Tenant within thirty (30) days deemed an advanced payment of the surrender Rent or measure of the Premises to Landlord subject to Landlord’s damages for any deductions made default hereunder by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoTenant.

Security Deposit. The (a) Tenant shall deposit with Landlord upon ▇▇▇▇▇▇'s execution hereof the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord set forth in Paragraph 1.6 of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, lease as security for the Tenant's faithful performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of lease. If Tenant fails to pay Base Rent or a measure of Tenant’s liability for damages in case of Additional Rent or otherwise defaults under this lease, and such failure or default by Tenant. Tenant continues after the giving of all required notices by Landlord mayand the expiration of all applicable cure periods, from time to timethen and in any such event, without prejudice to any other remedy, Landlord may use the Security Deposit to for the extent necessary to make good payment of any arrearages of Rent amount due Landlord or to satisfy reimburse or compensate Landlord for any other covenant liability, cost, expense, loss or obligation of Tenant hereunder following the expiration of any applicable cure periodsdamage (including reasonable attorney's fees) which Landlord may suffer or incur by reason thereof. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand pay Landlord the amount so used or applied in order so as to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest set forth in the Complex during the term Paragraph 1.6 of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, lease. Landlord shall have no further liability for the return of such Security Deposit. Upon application of not be required to keep all or any part of the Security DepositDeposit in an interest bearing account. Landlord shall, at the expiration or earlier termination of the Term and after ▇▇▇▇▇▇ has vacated the demised premises, return to Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application that portion of the Security Deposit not used or applied by Landlord. No part of the Security Deposit shall be considered to be prepayment for any monies to be paid by Tenant under this lease. (b) Tenant shall have the right to deliver to Landlord an unconditional, irrevocable letter of credit in substitution for the cash Security Deposit required in Paragraph 5(a) above, subject to the following terms and condition. Such letter of credit shall be: (i) in the form attached to and hereby made a part of this lease as Exhibit B; (ii) at all times in the amount of the Security Deposit set forth in Paragraph 1.6 of this lease and shall permit multiple draws without a corresponding reduction in the amount of the letter of credit; (iii) issued by a commercial bank reasonably acceptable to Landlord from time to time and located in the United States of America; (iv) made payable to Landlord and expressly transferable and assignable at no charge, which transfer/assignment shall be conditioned only upon delivery of notice to the issuer of the letter of credit; (v) payable at sight upon presentment to a local branch of the issuer of a sight draft stating only that Landlord is entitled to draw on the letter of credit pursuant to this lease; (vi) for a term not less than one year; and (vii) contain an "evergreen" provision which provides that the letter of credit will be deemed automatically renewed on an annual basis unless the issuer delivers at least 30 days prior written notice of cancellation to have cured Landlord and Tenant’s default, such that the letter of credit remains in existence through the date occurring 90 days after the expiration of the Term. At least 30 days prior to the then current expiration date of such letter of credit, Tenant waives all provisions shall either: (A) cause such letter of Laws, now credit to be renewed (or hereinafter automatically and unconditionally extended) from time to time for a period of one year through the 90th day after the expiration of the Term; or (B) cause such letter of credit to be replaced with cash in force, which restrict the amount of the Security Deposit. Notwithstanding anything in this lease to the contrary, any cure or types grace period set forth in Paragraph 13.1 of claim this lease shall not apply to any of the foregoing, and, specifically, if Tenant fails to timely comply with the foregoing terms of this Paragraph, then Landlord shall have the right to immediately draw upon the letter of credit without notice to Tenant and hold the proceeds as the Security Deposit. Each letter of credit shall be issued by a commercial bank that has a landlord may make upon a security deposit credit rating with respect to certificates of deposit, short term deposits or imposes upon a landlord commercial paper of at least A-3 (or equivalent) by Moody's Investment Service, Inc., or at least AA (or equivalent) by Standard & Poor's, a division of McGraw Hill, and shall be otherwise acceptable to Landlord, in its successorsreasonable discretion. If the issuer's credit rating is reduced below A-3 (or equivalent) by Moody's Investment Service, Inc. or below AA (or equivalent) by Standard & Poor's, a division of McGraw Hill, or if the financial condition of such issuer changes in any obligation other materially adverse way, then Tenant shall obtain from a different issuer a substitute letter of credit that complies in all respects with the requirements of this paragraph, and ▇▇▇▇▇▇'s failure to obtain such substitute letter of credit within 10 days following its receipt of Landlord's demand therefor (and Tenant's failure to do so shall, notwithstanding anything in this lease to the contrary, constitute a Default for which there shall be no notice or grace or cure period applicable thereto other than the aforesaid 10 day period) shall entitle Landlord to immediately draw upon the then existing letter of credit in whole or in part, without notice to Tenant and to hold the proceeds thereof as the Security Deposit. If the issuer of the letter of credit is insolvent or placed into receivership or conservatorship by the Federal Deposit Insurance Corporation or Resolution Trust Corporation, or any successor or similar entity, or if a trustee, receiver or liquidator is appointed for the issuer, then Tenant shall obtain from a different issuer a substitute letter of credit that complies in all respects with the requirements of this paragraph, and ▇▇▇▇▇▇'s failure to obtain such substitute letter of credit within 10 days following its receipt of Landlord's demand therefor (and ▇▇▇▇▇▇'s failure to do so shall, notwithstanding anything in this lease to the contrary, constitute a Default for which there shall be no notice or grace or cure periods applicable thereto other than the aforesaid 10 day period) shall entitle Landlord to immediately draw upon then existing letter of credit in whole or in part, without notice to Tenant and to hold the proceeds thereof as the Security Deposit. Landlord shall have the right to assign its interest (including, without limitation, a collateral assignment thereof) in any letter of credit delivered to it by Tenant pursuant to this paragraph to the holder of any Mortgage and Landlord shall give notice of any such assignment to Tenant. If requested by any such Mortgagee, Tenant shall obtain an amendment to such letter of credit which names such Mortgagee as the beneficiary thereof in lieu of Landlord. Any failure or refusal of the issuer to honor the letter of credit shall be at Tenant's sole risk and shall not relieve Tenant of its obligations hereunder with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoDeposit.

Security Deposit. The On the Effective Date, Tenant shall deposit with Landlord the Security Deposit as set forth in Paragraph 16 of the Summary of Basic Lease Terms as security for the full and faithful performance by Tenant of all Tenant’s obligations hereunder. No interest shall be deposited with paid upon the Security Deposit nor shall Landlord by Tenant contemporaneously with be required to maintain the delivery by Tenant to Landlord of this Leasedeposit in a segregated account. The Security Deposit shall not be held construed as prepaid Rent. In the event that Tenant shall fail to cure a default under this Lease within the time allowed for cure, then Landlord may retain the Security Deposit, or a portion thereof, and apply it toward any damages sustained by Landlord, without liability for interest, as security for including but not limited to actual damages sustained by the performance Landlord by Tenant reason of the default of Tenant’s covenants and obligations under this Lease, it being expressly understood including any past due Rent. Upon each such application, Tenant shall, on demand, pay to Landlord the sum so applied, which shall be added to the Security Deposit so that the same shall be restored to the amount first set forth above. In the event of bankruptcy or other debtor-creditor proceedings, either voluntarily or involuntarily instituted by or against Tenant, the Security Deposit shall not be considered an advance payment deemed to be applied in the following order: to actual damages caused by Tenant beyond ordinary wear and tear, obligations and other charges, including any damages sustained by Landlord, other than unpaid Rent, due to Landlord for all periods prior to the filing of such proceedings; to accrued and unpaid Rent or prior to the filing of such proceeding, and thereafter to actual damages, obligations, other charges and damages sustained by Landlord and Rent due the Landlord for all periods subsequent to such filing. In the event of a measure sale of Tenant’s liability for damages in case of default by Tenant. the Building, Landlord may, from time shall have the right to time, without prejudice to any other remedy, use transfer the Security Deposit to the extent necessary buyer, and, assuming the buyer assumes all of Landlord’s obligations under this Lease and with respect to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for obligation regarding the return of such Security Deposit. Upon application of all or any part of the Security DepositIf Tenant is not then in default under this Lease, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will or any balance thereof shall be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released returned to Tenant within thirty forty-five (3045) days after expiration of the surrender of Lease Term or forty-five (45) days after the Premises to Landlord subject to any deductions made by Landlord pursuant to final day Tenant occupies the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoLeased Premises.

Security Deposit. The Security Deposit shall be Section 15.01. Tenant has deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interestsum stipulated in the Basic Lease Provisions, as security for the full and faithful performance by Tenant of Tenant’s covenants and obligations under every provision of this Lease, it being expressly understood that the Security Deposit shall not Lease to be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default performed by Tenant. Landlord may, from time to time, without prejudice If Tenant defaults with respect to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages provision of Rent or to satisfy any other covenant or obligation of Tenant hereunder following this Lease (after notice and the expiration of any applicable cure periods. Following any such application of the Security Depositperiod), Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit including but not limited to the amount required hereunder, from time provisions relating to time. If Landlord transfers its interest in the Complex during the term payment of this LeaseBasic Rent and Additional Rent, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposituse, Landlord shall have no further liability for the return of such Security Deposit. Upon application of apply or retain all or any part of this security deposit for the Security Depositpayment of any Basic Rent or Additional Rent or other sum in default, Tenant must upon demand restore or for the Security Deposit payment of any other amount which Landlord may spend or become obligated to the amount required hereunderspend by reason of Tenant’s default, from time or to time. No application compensate Landlord for any other loss or damage which Landlord may suffer by reason of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. If any portion of said deposit is so used or applied, Tenant waives all provisions shall within five (5) days after written demand therefor deposit cash with Landlord in amount sufficient to restore the security deposit to its original amount and Tenant’s failure to do so shall be an Event of LawsDefault under this Lease. Landlord shall not be required to keep this security deposit separate from its funds, now or hereinafter in forceand Tenant shall not be entitled to interest on such deposit. If Tenant shall fully and faithfully perform every provision of this Lease to be performed by it, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord any balance thereof shall be returned to Tenant (or its successors) any obligation with respect or, at Landlord’s option, to the handling last assignee of Tenant’s interest hereunder) at the expiration of the Term. In the event of the insolvency of Tenant or return in the event of security deposits. The Security Deposit will be released to the entry of a judgment in bankruptcy in any court against Tenant which is not discharged within thirty (30) days after entry, or in the event a petition is filed by or against Tenant under any chapter of the surrender bankruptcy laws of the Premises State of New Jersey or the United States of America, then and in such event Landlord may require the Tenant to Landlord subject deposit additional security in an amount which in Landlord’s sole judgment would be sufficient to any deductions adequately assure Tenant’s performance of all of its obligations under this Lease, including all payments subsequently accruing. Failure of Tenant to deposit the security required by this Section within ten (10) days after Landlord’s written demand shall constitute a material breach of this Lease by Tenant. The security deposit is being made by Landlord pursuant means of an irrevocable “evergreen” letter of credit, which shall be in form and substance, and drawn on a bank which is a member of the New York clearinghouse, satisfactory to Landlord. It shall have a final expiry of not less than six (6) months after the Expiration Date. In the event that the “Guarantor Loan” (hereinafter defined) shall be accepted by Landlord, then, provided that Tenant shall not be in default in the performance or observance of any of its obligations hereunder, not later than ninety (90) days after the Rent Commencement Date, the security deposit shall be reduced by an amount equal to two (2) months Basic Rent and a new letter of credit, in such reduced amount (but otherwise conforming to the terms provisions hereof) shall be substituted therefor. As the Basic Rent increases throughout the Term, the amount of this Lease. Notwithstanding anything the security shall be increased accordingly, so that Landlord shall at all times have a security deposit letter of credit in an amount equal to ten (10) or twelve (12) months Basic Rent, as the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretocase may be.

Security Deposit. The Upon the Execution Date, Tenant shall deposit with Landlord the Security Deposit shall be deposited as security for Tenant’s faithful performance of Tenant’s obligations hereunder. If Tenant fails to timely pay rent or other charges due hereunder, or otherwise defaults with Landlord by Tenant contemporaneously with the delivery by Tenant respect to Landlord any provisions of this Lease. The Lease beyond applicable notice and cure periods hereunder, Landlord may use, apply, or retain all or any portion of the Security Deposit for the payment of any rent or other charge in default or for the payment of any other sum to which Landlord may become obligated by reason of Tenant’s default, or to compensate Landlord for any loss or damage which Landlord may suffer thereby. Landlord shall be held have no obligation to apply the Security Deposit against any amount due or owing from Tenant under this Lease or against any Advance made by Landlord, without liability for interest, as security for nor shall the performance by Tenant rights and remedies of Tenant’s covenants and obligations Landlord under this Lease, it being expressly understood Lease be affected in any manner by the fact that Landlord holds the Security Deposit shall not be considered an advance payment of Rent Deposit. If, however, Landlord so uses or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to applies all or any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security Deposit, Tenant shall pay to within ten (10) days after written demand therefor, deposit with Landlord on demand the an amount so applied in order sufficient to restore the Security Deposit to the full amount stated above, and Tenant’s failure to do so shall constitute a default under this Lease. Landlord shall not be required to keep the security deposit separate from its general accounts or to pay interest thereon, unless otherwise required by applicable law. If Tenant performs all of Tenant’s obligations hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, or so much thereof after application thereof by Landlord in accordance with this Section 3.7, as has not been applied by Landlord, shall have no further liability be returned, in cash, without payment of interest or other increment for its use, to Tenant at the return of such Security Deposit. Upon application of all or any part expiration of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to timeLease Term. No application of the Security Deposit by trust relationship is created herein between Landlord will be deemed to have cured Tenant’s default. and Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoDeposit.

Security Deposit. The Security Deposit Tenant shall be deposited deposit with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord amount set forth in Article 1 (“Security Deposit”), upon Tenant’s execution and submission of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, serve as security for the prompt, full and faithful performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term provisions of this Lease. If Tenant commits a Default, or owes any amounts to Landlord upon the expiration or earlier termination of this Lease (including estimated amounts under Article 3, which shall remain subject to reconciliation against actual amounts as further provided therein), Landlord may assign use or apply the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all whole or any part of the Security Deposit, Tenant must upon demand restore Deposit for the Security Deposit to the amount required payment of Tenant’s obligations hereunder, from time to time. No The use or application of the Security Deposit or any portion thereof shall not prevent Landlord from exercising any other right or remedy provided hereunder or under any Law and shall not be construed as liquidated damages. In the event the Security Deposit is reduced by such use or application, Tenant shall deposit with Landlord will within ten (10) days after notice, an amount sufficient to restore the full amount of the Security Deposit. Landlord shall not be deemed required to have cured keep the Security Deposit separate from Landlord’s general funds or pay interest on the Security Deposit. Any remaining portion of the Security Deposit not used or applied hereunder shall be returned to Tenant (or, at Landlord’s option, to the last assignee of Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter interest in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successorsthis Lease) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days after Tenant (or such assignee) has vacated the Premises in accordance with Article 23 and this obligation shall survive termination of the surrender of Lease. If the Premises to Landlord subject to shall be expanded at any deductions made by Landlord pursuant to time, or if the terms Term shall be extended at an increased rate of this Lease. Notwithstanding anything to the contrary contained hereinRent, Tenant shall provide the Security Deposit shall thereupon be proportionately increased. Tenant shall not assign, pledge or otherwise transfer any interest in the form Security Deposit except as part of a Letter an assignment of Credit in accordance this Lease approved by Landlord under Article 13, and any attempt to do so shall be null and void. Landlord shall provide Tenant with Exhibit “M” attached heretowritten notice of the transfer of the Security Deposit to any other party.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord 9.1 Upon execution of this Lease. The Security Deposit , Tenant shall be held by Landlord, without liability for interest, deposit with Landlord cash in the amount of $268,583 as security for the faithful performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application all of the Security Depositterms, covenants, and conditions of this Lease to be kept and performed by Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term and any extension term hereof If Tenant defaults with respect to any provision of this Lease, including but not limited to any provision relating to the payment of Rent, and subject to any notice requirements and cure periods for Tenant’s benefit set forth in Article 24, Landlord may assign (but shall not be required) to use, apply or retain the Security Deposit to the transferee and upon assumption by such transferee of liability security deposit for the Security Deposit, Landlord shall have no further liability for the return payment of such Security Deposit. Upon application of all any Rent or any part other sum in default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Landlord may use the security deposit without giving notice of default to Tenant waives all as otherwise required by Article 24 if Landlord is precluded from giving such notice by any provision of the Bankruptcy Code. Tenant hereby grants to Landlord a security interest in the security deposit in accordance with the applicable provisions of Laws, now the California Commercial Code to secure the obligations of this Lease. 9.2 In the event any or hereinafter in force, which restrict all of the amount or types of claim that a landlord may make upon a security deposit is used to cure a Tenant default, Tenant shall within fifteen (15) days after request therefore replenish the security deposit to the full amount set forth above. 9.3 In the event of bankruptcy or imposes upon a landlord (or its successors) other debtor/creditor proceedings against Tenant, the security deposit shall be deemed to be applied first to the payment of Rent and other charges due Landlord for all periods prior to the filing of such proceedings. 9.4 Landlord shall deliver the security deposit to any obligation purchaser of Landlord’s interest in the Premises, and thereupon Landlord shall be discharged from any further liability with respect thereto provided that such purchaser has agreed to assume in writing the handling or return obligations of Landlord hereunder. This provision shall also apply to any subsequent transfers. 9.5 The security deposits. The Security Deposit will deposit shall be released returned to Tenant within thirty (30) days of following the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms expiration of this Lease. Notwithstanding anything , except for amounts which are actually used to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretopay or reimburse Landlord for costs incurred by Landlord to cure any default by Tenant.

Security Deposit. The (a) Tenant's Security Deposit Deposit, which shall be deposited with Landlord delivered by Tenant contemporaneously to Landlord, together with the first (1st) month's payment of Base Rent and Equipment Space Rent concurrently with Tenant's delivery by Tenant to Landlord of this Lease. The Security Deposit Lease as executed by Tenant, shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that . Landlord shall not be required to keep the Security Deposit segregated from other funds of Landlord. Tenant shall not be considered an advance payment assign or in any way encumber the Security Deposit. Upon the occurrence of Rent or a measure of Tenant’s liability for damages in case of any default by Tenant. Tenant (beyond the giving of acceptable notice and the passage of applicable grace periods), Landlord may, from time to timeshall have the right, without prejudice to any other remedy, to use the Security Deposit Deposit, or portions thereof, to the extent necessary to make good pay any arrearages of Rent or to satisfy in Rent, and any other covenant damage, injury or obligation of Tenant hereunder following the expiration of any applicable cure periodsexpense. Following any such application of all or any portion of the Security Deposit, Tenant shall pay to Landlord Landlord, on demand demand, the amount so applied in order to restore the Security Deposit to the its original amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign (or if the Security Deposit to the transferee and upon assumption by such transferee is a Letter of liability for the Security DepositCredit, Tenant may either deliver cash, a replacement Letter of Credit, or an additional Letter of Credit). Provided Tenant is not in default hereunder, Landlord shall have no further liability for the will return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application unapplied portion of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days following the later to occur of (i) the expiration of the surrender Term, and (ii) Tenant's vacancy of the Premises to Landlord subject to any deductions made by Landlord pursuant to and Building in accordance with the terms provisions of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide . (b) If the Security Deposit is in the form of a Letter of Credit , the Letter of Credit shall (i) be in accordance form and substance satisfactory to Landlord; (ii) name Landlord as its beneficiary; (iii) be drawn on an FDIC insured financial institution satisfactory to the Landlord; (iv) expressly allow Landlord to draw upon it: (A) in the event that the Tenant is in default under the Lease by delivering to the issuer of the Letter of Credit written notice that Landlord is entitled to draw thereunder pursuant to the terms of this Lease; or (B) if Tenant, within sixty (60) days prior to expiration of the Letter of Credit then held by Landlord, fails to provide Landlord with Exhibit “M” attached heretoa replacement Letter of Credit meeting the requirements herein; (v) expressly state that it will be honored by the issuer without inquiry into the accuracy of any such notice or statement made by Landlord; (vi) expressly permit multiple or partial draws up to the stated amount of the Letter of Credit; (vii) expressly provide that it is transferable to any successor of Landlord; and (viii) expire no earlier than sixty (60) days after the Expiration Date (alternatively, the Letter of Credit [and any renewals or replacements thereof] may be for a term of not less than one (1) year; in such event Tenant agrees that it shall from time to time, as necessary, [whether as a result of a draw on the Letter of Credit by Landlord pursuant to the terms hereof or as a result of the expiration of the Letter of Credit then in effect], renew or replace the original and any subsequent Letter of Credit so that a Letter of Credit, in the amount required hereunder, is in effect until a date which is at least sixty (60) days after the Expiration Date. If Tenant fails to furnish such renewal or replacement at least thirty (30) days prior to the stated expiration date of the Letter of Credit then held by Landlord, Landlord may draw upon such Letter of Credit and hold the proceeds thereof [and such proceeds need not be segregated] as a Security Deposit pursuant to the terms of this Article 18). (c) Any renewal of or replacement for the original or any subsequent Letter of Credit shall meet the requirements for the original Letter of Credit as set forth above, except that such replacement or renewal shall be issued by a national bank satisfactory to Landlord at the time of the issuance thereof. Landlord agrees that in the event of any event which would give Landlord the right to draw upon the Letter of Credit, Landlord shall only draw down such amount as Landlord reasonably believes to be necessary to cure or remedy any default on the part of Tenant and to reimburse Landlord for any costs, expenses or liability incurred in connection with such default; notwithstanding the foregoing, if the amount of any draw upon the Letter of Credit exceeds the amount necessary to reimburse Landlord for such costs, expenses or liability, any excess proceeds of any draw on the Letter of Credit shall be held by Landlord as a Security Deposit pursuant to the provisions of this Article 18.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with If LICENSEE defaults under any of the delivery by Tenant to Landlord terms or conditions of this Lease. The Agreement more than two times during any twelve consecutive months during the term of this Agreement, LICENSEE agrees, that in addition to curing such event of default, it shall pay LICENSOR a security deposit equal to $25,000 ("Security Deposit shall Deposit"), which will be held by Landlord, LICENSOR without liability for interest, interest as security for the full and faithful performance by Tenant LICENSEE of Tenant’s LICENSEE's covenants and obligations under this LeaseAgreement, it being expressly understood that the Security Deposit shall such deposit is not be considered an advance payment of Rent license fees or a measure of Tenant’s liability for LICENSOR's damages in case if LICENSEE defaults again. Following the payment of the Security Deposit, upon the occurrence of any event of default by Tenant. Landlord LICENSEE, LICENSOR may, from time to time, without prejudice to any other remedyremedy provided in this Agreement or by law, use the Security Deposit to the extent necessary to make good any arrearages of Rent payment owed by LICENSEE to LICENSOR or any amount as to satisfy which LICENSEE is in default or for any other covenant damage, injury, expense, or obligation liability caused to LICENSOR by such event of Tenant hereunder following the expiration default, regardless whether such damages or deficiency accrue before or after termination of any applicable cure periodsthis Agreement. Following any such application of the Security Deposit, Tenant shall LICENSEE agrees to pay to Landlord LICENSOR on demand the amount so applied in order to restore the Security Deposit to its original amount and LICENSEE's failure to do so within ten days of the amount required hereunderdate of demand will be, from time to timeat LICENSOR's election, a material default under this Agreement. If Landlord transfers its interest LICENSEE is not in the Complex during the term default of this LeaseAgreement upon the termination of this Agreement, Landlord may assign LICENSOR agrees to return any remaining balance of such Security Deposit to LICENSEE within thirty days of the date of the termination of this Agreement. LICENSOR's deduction of any amounts owed by LICENSEE to LICENSOR from the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have will in no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, event release LICENSEE from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter being in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to default under the terms of this LeaseAgreement. Notwithstanding anything LICENSOR will not be required to the contrary contained herein, Tenant shall provide the keep this Security Deposit separate from its general funds. LICENSEE agrees that it will not assign or encumber, or attempt to assign or encumber, the monies deposited under this Agreement as security, and that LICENSOR and its successors and assigns will not be bound by any such actual or attempted assignment or encumbrance. If LICENSEE cures the event of default that triggered the obligation to put up the $25,000 Security Deposit and is not then in default, LICENSOR agrees to refund the form $25,000 amount put as a Security Deposit within ten days of a Letter the date of Credit in accordance with Exhibit “M” attached heretoLICENSEE's request.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant due and payable to Landlord within ten (10) business days after the execution of this Lease (but in no event later than the commencement of any Early Occupancy), and shall be held by Landlord as security for the performance of Tenant’s obligations. The Security Deposit is not an advance rental deposit, or a measure of Landlord’s damages in an Event of Default (as hereinafter defined). Upon any Event of Default, Landlord may use all, or part of, the Security Deposit to pay delinquent payments due under this Lease, and the cost of any damage, injury, expense or liability caused by such Event of Default, without prejudice to any other remedy provided herein or provided by law. Tenant shall pay Landlord within ten (10) business days of Landlord’s demand the amount that will restore the Security Deposit to its original amount. ▇▇▇▇▇▇▇▇’s obligation respecting the Security Deposit is that of a debtor, not a trustee. The Security Deposit shall be held by the property of Landlord, without liability for interest, as security for the performance by Tenant and any remaining amount of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall be paid to Tenant when Tenant’s obligations under this Lease have been fulfilled. Landlord shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time required to time, without prejudice to any other remedy, use keep the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsseparate from its general accounts, and no interest shall accrue thereon. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, be released from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling Security Deposit upon transfer of this Lease and the Premises to a person or return of security depositsentity assuming Landlord’s obligations. The Security Deposit will under the Lease shall be released to Tenant within thirty (30) days USD$150,000.00, in the form of the surrender an unconditional, irrevocable letter of the Premises credit from a bank reasonably acceptable to Landlord subject and in compliance with the material terms shown in Exhibit G attached hereto (“Letter of Credit”). The Letter of Credit shall either provide that it does not expire until 60 days following the Expiration Date or, if it is for less than the full Lease Term, shall be renewed by Tenant at least 60 days prior to its expiration during the Lease Term. The Letter of Credit shall provide that it may be drawn down upon by Landlord at any deductions made time Landlord delivers its site draft to the bank. If Landlord sells or conveys the Premises, Tenant shall, at ▇▇▇▇▇▇▇▇’s request, cooperate in having the Letter of Credit transferred to the purchaser and Landlord agrees to notify Tenant in the event of such transfer. If the Letter of Credit is ever drawn upon by Landlord pursuant to the terms of this the Lease, Tenant shall within ten (10) business days thereafter cause the Letter of Credit to be restored to the then existing amount at the time immediately prior to the draw down. Notwithstanding anything contained herein to the contrary contained hereincontrary, Tenant shall provide the Security Deposit in the form of a event Tenant fails to renew the Letter of Credit in accordance with Exhibit “M” attached heretothe terms and conditions as set forth in this Paragraph 7, or in the event that Tenant shall commence any proceeding for relief, as defined in Paragraph 24(b) of the Lease, an immediate Event of Default shall be deemed to have occurred, without the requirement of notice or opportunity to cure, in which case Landlord may immediately draw down on the Letter of Credit.

Security Deposit. The Tenant shall deposit with Landlord upon execution hereof that sum identified in the Summary as the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with (the delivery by Tenant to Landlord of this Lease. The “Security Deposit shall be held by Landlord, without liability for interest, Deposit”) as security for the Tenant’s faithful performance by Tenant of Tenant’s covenants and obligations under this Leasehereunder. If Tenant fails to pay rent or other charges due hereunder (all of which, it being expressly understood that the Security Deposit shall not collectively, are defined to be considered an advance payment of Rent “Rent”), or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice otherwise defaults with respect to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term provision of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposituse, Landlord shall have no further liability for the return of such Security Deposit. Upon application of apply, or retain all or any part portion of said deposit for the Security Depositpayment of any rent or other charge in default or for the payment of any other sum to which Landlord may become obligated by reason of Tenant’s default, Tenant must upon demand restore the Security Deposit or to the amount required hereundercompensate Landlord for any loss or damage which Landlord may suffer thereby. The use, from time to time. No application application, or retention of the Security Deposit by Landlord will shall not prevent Landlord from exercising any other remedy provided hereunder or at law and shall not be deemed construed as liquidated damages. If Landlord so uses or applies all or any portion of said deposit, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in an amount sufficient to have cured restore said deposit to the full amount then required of Tenant. Landlord shall not be required to keep the Security Deposit separate from its general accounts and Tenant shall not be entitled to, and Tenant hereby specifically waives any requirement that Landlord pay interest on the Security Deposit. If Tenant performs all of Tenant’s defaultobligations hereunder, the Security Deposit, or so much thereof as has not theretofore been applied by Landlord, shall be returned, without payment of interest or other increment for its use, to Tenant or, at Landlord’s option, to the last assignee, if any, of Tenant’s interest hereunder. at the expiration of the Term hereof, and after Tenant waives all provisions of Laws, now has vacated the Leased Premises. No trust or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation fiduciary relationship is created herein between Landlord and Tenant with respect to the handling or return of security depositsSecurity Deposit. The Security Deposit will be released to Tenant within thirty (30) days of If Landlord transfers the surrender of Leased Premises during the Premises to Term hereof, Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide may pay the Security Deposit to Landlord’s successor in the form of a Letter of Credit interest in accordance with Exhibit “M” attached heretoCivil Code § 1950.7 or any successor statute, in which event the transferring Landlord shall be released from all liability for the return of the Security Deposit.

Security Deposit. The Security Deposit shall be Tenant has deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, set forth in the Basic Provisions as security for the full and faithful performance of every provision of this Lease to be performed by Tenant. If Tenant fails to pay Base Rent, Additional Rent or other charges due hereunder or otherwise defaults with respect to any provision of the Lease, Landlord may use, apply or retain all or any portion of the Security Deposit for the payment of any Base Rent, Additional Rent or other charge in default or for the payment of any other sum to which Landlord may become entitled by reason of Tenant’s covenants default, or to compensate Landlord for any loss or damage which Landlord may suffer thereby. Tenant acknowledges and obligations under this Lease, it being expressly understood agrees that the Security Deposit shall is not be considered an advance payment of Rent or Rent, nor a measure of Tenantor limit on the amount of Landlord’s liability for damages in case the event of any default by Tenant. If Landlord may, from time to time, without prejudice to uses or applies all or any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security Deposit, Tenant shall pay to within ten (10) days after written demand, deposit cash with Landlord on demand the in an amount so applied in order sufficient to restore the Security Deposit to the full amount required hereunder, from time stated above and Tenant’s failure to time. If Landlord transfers its interest in the Complex during the term do so shall be a material breach of this Lease, . Landlord may assign shall not be required to keep the Security Deposit separate from its general accounts or to the transferee and upon assumption by such transferee of liability for pay interest on the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application The balance of the Security Deposit after deducting any amounts applied by Landlord will as provided above, shall be deemed returned, without payment of interest for its use, to have cured Tenant (or at Landlord’s option, to the last assignee, if any, of Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successorsinterest hereunder) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender later of (i) the last day of the Premises to Term, (ii) the date Tenant vacated the Premises, or (iii) the date Tenant has fulfilled all its obligations hereunder. No trust relationship is created between Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, and Tenant shall provide regarding the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoDeposit.

Security Deposit. The Tenant agrees to deposit the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with on the delivery by Tenant to Landlord of this Leasedate hereof. The Security Deposit shall be held retained by Landlord, without liability for interest, Landlord as security for the faithful performance and observance by Tenant of Tenant’s covenants and its obligations under this Lease, it being expressly understood agreed that the Security Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of Tenant’s liability for damages Landlord's damages. Except as may otherwise be required by applicable law, (a) Tenant shall not be entitled to any interest on the Security Deposit, (b) Landlord shall not be obligated to hold the Security Deposit in case trust or in a separate account, and (c) Landlord shall have the right to commingle the Security Deposit with its other funds. If Tenant defaults under this Lease and such default extends beyond any applicable grace or cure period (following notice of default by Tenant. Landlord may, from time being given to timeTenant to the extent required hereunder), without prejudice to limiting any other remedyright or remedy of Landlord, use Landlord may also apply the whole or any part of the Security Deposit to the extent necessary to make good required for the payment of any arrearages of Rent or other sums payable under this Lease as to satisfy any other covenant which Tenant is in default or obligation of Tenant hereunder following the expiration on account of any applicable cure periodssum which Landlord may expend or may be required to expend by reason of Tenant's default. Following If any such application portion of the Security DepositDeposit is applied by Landlord for any such purpose, Tenant shall pay to shall, within ten (10) days after demand is made by Landlord, deposit cash with Landlord on demand the in an amount so applied in order sufficient to restore the Security Deposit to the amount required hereunder, from time to timeits original amount. If Landlord transfers its interest in Tenant shall fully and faithfully comply with all of the Complex during the term covenants and conditions of this Lease, Landlord may assign the Security Deposit shall be promptly returned to Tenant after the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part expiration date of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of Term and the surrender of the Premises to Landlord. In no event shall the Security Deposit be applied to the last monthly installment of Base Rent or Additional Rent due prior to the expiration date of the Term. In the event of a sale of the Premises, Landlord shall have the right to transfer the Security Deposit to the purchaser subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to , whereupon Landlord shall be released by Tenant from all liability for the contrary contained herein, Tenant shall provide return of the Security Deposit in and Tenant shall look solely to the form of a Letter of Credit in accordance with Exhibit “M” attached heretonew landlord for its return.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this Lease, Tenant shall deposit with Landlord the Security Deposit in the amount set forth in Article 1. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the full and faithful performance by Tenant of Tenant’s all of the terms, covenants and obligations under provisions of this Lease during the term hereof. In no event shall Landlord be obligated to pay, or Tenant is entitled to receive, any interest or other earnings on the security deposit. Landlord shall not be obligated to hold the Security Deposit in trust or in a separate account but may freely commingle the security deposit with Landlord’s other funds. In the event Tenant fails to keep and perform any of the terms, covenants or provisions of this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenantthen Landlord, at Landlord’s liability for damages in case of default by Tenant. Landlord mayoption, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of may appropriate and apply the Security Deposit, or so much thereof as may be necessary to pay any Rent or other sums due hereunder for which Tenant shall pay be in default of payment. Tenant, upon notice from Landlord, immediately shall remit to Landlord on demand the an amount so applied in order sufficient to restore the this Security Deposit to the amount required hereunderto be maintained in accordance with this Article. Upon ▇▇▇▇▇▇’s full and complete performance and compliance with all of the terms, from time to time. If Landlord transfers its interest in the Complex covenants and provisions of this Lease during the term of this Leaselease term, Landlord may assign upon the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part expiration of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant term and within thirty (30) days of the following ▇▇▇▇▇▇’s surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to in accordance with the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in shall be returned to Tenant. In the form event of a Letter sale of Credit in accordance the Building, Landlord may deliver the Security Deposit to the purchaser, and upon such delivery, Landlord shall be discharged from any further liability with Exhibit “M” attached heretorespect to the Security Deposit.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this Lease. The Security Deposit , Tenant shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that deposit with Landlord the Security Deposit shall not be considered an advance payment specified in Section I. Landlord may apply all or part of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of unpaid Rent or to satisfy cure any other covenant or obligation defaults of Tenant hereunder following the expiration of Tenant. If Landlord uses any applicable cure periods. Following any such application part of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount within 10 days after Landlord’s written request. Tenant’s failure to do so shall be a default under this Lease and the overdue amount required hereundershall accrue interest as any delinquent payment. If twice within any 12 month period, from time late charges are assessed against Tenant by Landlord. Landlord may, by written notice to timeTenant, require Tenant to pay Landlord an amount equal to two months Base Rent as an increase in the Security Deposit, due within 5 days after Tenant’s receipt of the notice. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may assign shall transfer the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Depositits successor in interest, whereupon Landlord shall have no further be automatically released from any liability for the return of such the Security Deposit. Upon application of all or any part If, at the end of the Security DepositTerm, Tenant must upon demand restore has fully complied with all obligations under this Lease, then the remaining Security Deposit shall be returned to Tenant after Landlord has verified that Tenant has fully vacated the amount required hereunderPremises, from time to time. No application removed all of its property and surrendered the Premises in the condition required; provided that Landlord may hold back a portion of the Security Deposit by Landlord will be deemed to have cured until final determination of Tenant’s defaultShare of Common Expenses due hereunder, whereupon any final adjustment shall be made and any remaining Security Deposit shall be returned to Tenant. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation Landlord’s obligations with respect to the handling or return Security’ Deposit are those of security deposits. The Security Deposit will be released to Tenant within thirty (30) days a debtor and not of the surrender of the Premises to a trustee, and Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide can commingle the Security Deposit in with Landlord’s general funds and no interest shall be paid to Tenant on the form of a Letter of Credit in accordance with Exhibit “M” attached heretoSecurity Deposit.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with shall, at the delivery by time that Tenant executes and delivers this Lease to Landlord, pay to Landlord of a security deposit (the “Security Deposit”) in the amount set forth in Exhibit 1 securing Tenant’s obligations under this Lease. The In no event shall the Security Deposit be deemed to be a prepayment of rent or a measure of liquidated damages. ▇▇▇▇▇▇ agrees that no interest shall be held by accrue on the Security Deposit and that Landlord shall have the right to commingle the Security Deposit with other funds of Landlord, without liability for interest, as security for . In the performance by event that Tenant shall default in any of Tenant’s covenants and its obligations under this Lease, it being expressly understood that Landlord shall have the right, without prior notice to Tenant, to apply the Security Deposit (or any portion thereof) towards the cure of any such default. Tenant shall not be considered an advance payment promptly, upon notice from Landlord, pay to Landlord any amount so applied by Landlord in order to restore the full amount of Rent the Security Deposit. In addition, in the event of a termination based upon the default of Tenant under this Lease, or a measure rejection of Tenant’s liability for damages in case this Lease pursuant to the provisions of default by Tenant. the Federal Bankruptcy Code, Landlord may, shall have the right to apply the Security Deposit (from time to time, without prejudice if necessary) to cover the full amount of damages and other amounts due from Tenant to Landlord under this Lease. Any amounts so applied shall, at ▇▇▇▇▇▇▇▇’s election, be applied first to any unpaid rent and other remedy, use the Security Deposit charges which were due prior to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application filing of the Security Deposit, Tenant shall pay to Landlord on demand petition for protection under the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to timeFederal Bankruptcy Code. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon The application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to any obligation or default of Tenant under this Lease shall not deprive Landlord of any other rights or remedies Landlord may have or constitute a waiver by Landlord. Provided that Tenant is not in default of any of its obligations under this Lease at the amount required hereunderexpiration of the Term, from time Landlord shall refund to time. No application Tenant any portion of the Security Deposit by which Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretois then holding.

Security Deposit. The Security Deposit shall be 9.1. Tenant has deposited with Landlord the sum set forth in Section 2.6 (the “Security Deposit”), which sum shall be held by Landlord as security for the faithful performance by Tenant contemporaneously with of all of the delivery terms, covenants and conditions of this Lease to be kept and performed by Tenant to Landlord during the period commencing on the Execution Date and ending upon the expiration or termination of this Lease. The If Tenant defaults with respect to any provision of this Lease, including, but not limited to, any provision relating to the payment of Rent, then Landlord may (but shall not be required to) use, apply or retain all or any part of the Security Deposit shall be held by Landlord, without liability for interest, as security for the performance payment of any Rent or any other sum in default, or to compensate Landlord for any other loss or damage that Landlord may suffer by Tenant reason of Tenant’s covenants and obligations under this Lease, it being expressly understood that default. If any portion of the Security Deposit shall not be considered is so used or applied, then Tenant shall, within ten (10) days following demand therefor, deposit cash with Landlord in an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order sufficient to restore the Security Deposit to its original amount, and Tenant’s failure to do so shall be a material breach of this Lease. The provisions of this Article 9 shall survive the expiration or earlier termination of this Lease. TENANT HEREBY WAIVES THE REQUIREMENTS OF SECTION 1950.7 OF THE CALIFORNIA CIVIL CODE, AS THE SAME MAY BE AMENDED FROM TIME TO TIME. 9.2. In the event of bankruptcy or other debtor-creditor proceedings against Tenant, the Security Deposit shall be deemed to be applied first to the payment of Rent and other charges due Landlord for all periods prior to the filing of such proceedings. 9.3. Landlord may deliver to any purchaser of Landlord’s interest in the Premises the funds deposited hereunder by Tenant, and thereupon Landlord shall be discharged from any further liability with respect to such deposit. This provision shall also apply to any subsequent transfers. 9.4. If Tenant shall fully and faithfully perform every provision of this Lease to be performed by it, then the Security Deposit, or any balance thereof, shall be returned to Tenant (or, at Landlord’s option, to the last assignee of Tenant’s interest hereunder) within thirty (30) days after the expiration or earlier termination of this Lease. 9.5. Provided that Tenant is not then in default of its obligations under this Lease, upon the expiration of the thirty-sixth (36th) month of the Term, the Security Deposit requirement shall be reduced to $78,889.20 and (a) Landlord shall, on or before the end of the thirty-seventh (37th) month of the Term, refund to Tenant the amount of the Security Deposit held by Landlord in excess thereof or (b) the amount of the L/C Security (as defined below) shall be reduced accordingly, as applicable. 9.6. If the Security Deposit shall be in cash, Landlord shall deposit the Security Deposit into an interest-bearing account at a banking organization selected by Landlord. All interest and/or dividends, if any, accruing on the Security Deposit, less a one percent (1%) per annum charge on the Security Deposit for administrative expenses, shall be added to, held and included within the term Security Deposit and, provided that no Default shall have occurred and be continuing, shall accrue to the account of Tenant. Landlord shall not be required hereunderto credit Tenant with any interest for any period during which Landlord does not receive interest on the Security Deposit. 9.7. The Security Deposit may be in the form of cash, a letter of credit or any other security instrument acceptable to Landlord in its sole discretion. Tenant may at any time, except during Default, deliver a letter of credit (the “L/C Security”) as the entire Security Deposit, as follows. (a) If Tenant elects to deliver L/C Security, then Tenant shall provide Landlord, and maintain in full force and effect throughout the Term, a letter of credit in the form of Exhibit H issued by an issuer reasonably satisfactory to Landlord, in the amount of the Security Deposit, with an initial term of at least one year. Landlord hereby approves of Silicon Valley Bank as the issuer of Tenant’s L/C Security. If, at the Term Expiration Date, any Rent remains uncalculated or unpaid, then: (i) Landlord shall with reasonable diligence complete any necessary calculations; (ii) Tenant shall extend the expiry date of such L/C Security from time to timetime as Landlord reasonably requires; and (iii) in such extended period, Landlord shall not unreasonably refuse to consent to an appropriate reduction of the L/C Security. Tenant shall reimburse Landlord’s actual legal costs (as calculated by Landlord’s counsel) in handling Landlord’s acceptance of L/C Security or its replacement or extension. (b) If Tenant delivers to Landlord satisfactory L/C Security in place of the entire Security Deposit, Landlord shall remit to Tenant any cash Security Deposit Landlord previously held. (c) Landlord may draw upon the L/C Security, and hold and apply the proceeds in the same manner and for the same purposes as the Security Deposit, if: (i) an uncured Default exists; (ii) as of the date 30 (thirty) days before any L/C Security expires (even if such scheduled expiry date is after the Term Expiration Date) Tenant has not delivered to Landlord an amendment or replacement for such L/C Security, reasonably satisfactory to Landlord, extending the expiry date to the earlier of (1) six (6) months after the then-current Term Expiration Date or (2) the date one year after the then-current expiry date of the L/C Security; (iii) the L/C Security provides for automatic renewals, Landlord asks the issuer to confirm the current L/C Security expiry date, and the issuer fails to do so within ten (10) business days; (iv) Tenant fails to pay (when and as Landlord reasonably requires, provided that Tenant shall not be required to pay any such charges earlier than twenty (20) days following Landlord’s demand therefor) any bank charges for Landlord’s transfer of the L/C Security; or (v) the issuer of the L/C Security ceases, or announces that it will cease, to maintain an office in the city where Landlord may present drafts under the L/C Security, and Tenant fails to obtain a replacement letter of credit conforming to the requirements of this Lease at least fifteen (15) business days prior to such cessation. This paragraph does not limit any other provisions of this Lease allowing Landlord to draw the L/C Security under specified circumstances. (d) Tenant shall not seek to enjoin, prevent, or otherwise interfere with Landlord’s draw under L/C Security, even if it violates this Lease. (e) If Landlord transfers its interest in the Complex during Premises, then Tenant shall at Tenant’s expense, within five Business Days after receiving a request from Landlord, deliver (and, if the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Depositissuer requires, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit consent to) an amendment to the amount L/C Security naming Landlord’s grantee as substitute beneficiary. If the required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter changes while L/C Security is in force, which restrict then Tenant shall deliver (and, if the amount or types of claim that issuer requires, Landlord shall consent to) a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect corresponding amendment to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoL/C Security.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, Landlord without liability obligation for interest, interest thereon as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of Tenant’s liability for Landlord's damages in case of default Tenant's default. Upon each occurrence of a Default (as defined in Section 20), Landlord may use all or part of the Security Deposit to pay delinquent payments due under this Lease, future rent damages under Chapter 83, Florida Statutes, 2006, and the cost of any damage, injury, expense or liability caused by Tenant. Landlord may, from time to timesuch Default, without prejudice to any other remedy, remedy provided herein or provided by law. Landlord's right to use the Security Deposit under this Section 6 includes the right to use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder pay future rent damages following the expiration termination of this Lease pursuant to Section 21(c) below. Upon any applicable cure periods. Following use of all or any such application portion of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to that will restore the Security Deposit to its original amount. Upon bankruptcy or other debtor-creditor proceedings against Tenant, the amount required Security Deposit shall be deemed to be applied first to the payment of Rent and other charges due Landlord for periods prior to the filing of such proceedings. Landlord's obligation respecting the Security Deposit is that of a debtor, not a trustee; no interest shall accrue thereon. The Security Deposit shall be the property of Landlord, but shall be paid to Tenant when Tenant's obligations under this Lease have been completely fulfilled. Landlord shall be released from any obligation with respect to the Security Deposit upon transfer of this Lease and the Premises to a person or entity assuming Landlord's obligations under this Section 6. Tenant hereby waives the provisions of any law, now or hereafter in force, including, without limitation, Chapter 83, Florida Statutes, 2006, which provide that Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of Rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the act or omission of Tenant or any officer, employee, agent or invitee of Tenant. The Security Deposit, or any balance thereof (i.e., after deducting therefrom all amounts to which Landlord is entitled under the provisions of this Lease), shall be returned to Tenant (or, at Landlord's option, to the last assignee of Tenant's interest hereunder, from time to time) within 90 days after the expiration or earlier termination of this Lease. If Landlord transfers its interest in the Complex during the term of Project or this Lease, Landlord may assign shall either (a) transfer any Security Deposit then held by Landlord to a person or entity assuming Landlord's obligations under this Section 6 or (b) return to Tenant any Security Deposit then held by Landlord and remaining after the deductions permitted herein. Upon such transfer to such transferee or the return of the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security DepositTenant, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or Security Deposit, and Tenant's right to the return of security depositsthe Security Deposit shall apply solely against Landlord's transferee. The Security Deposit will be released to Tenant within thirty (30) days is not an advance rental deposit or a measure of the surrender Landlord's damages in case of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this LeaseTenant's default. Notwithstanding anything to the contrary contained herein, Tenant shall provide Landlord's obligation respecting the Security Deposit in the form is that of a Letter of Credit in accordance with Exhibit “M” attached heretodebtor, not a trustee, and no interest shall accrue thereon.

Security Deposit. The Security Deposit shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be and held by Landlord, Landlord without liability for interest, interest (unless required by Law) as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the obligations. The Security Deposit shall is not be considered an advance payment of Rent or a measure of Tenant’s liability for damages damages. If Tenant is in case of default by Tenant. Default, Landlord may, may from time to time, time and without prejudice to any other remedyremedy provided in this Lease or by Law, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages of satisfy past due Rent or to satisfy any other covenant loss or obligation of Tenant hereunder following the expiration of damage resulting from Tenant’s Default under this Lease. If Landlord uses any applicable cure periods. Following any such application portion of the Security Deposit, Tenant Tenant, within 10 days after written demand, shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. Landlord shall return any unapplied portion of the amount required hereunder, from time Security Deposit to time. If Landlord transfers its interest in Tenant within forty-five (45) days following the Complex during the term Termination Date or earlier expiration of this Lease, . Landlord may assign the Security Deposit to a successor or transferee and, following the transferee and upon assumption by such transferee of liability for the Security Depositassignment, Landlord shall have no further liability for the return of such the Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore Landlord shall not be required to keep the Security Deposit separate from its other accounts. Notwithstanding anything in this Section 6 to the amount required hereundercontrary, from time to time. No application Tenant shall satisfy the requirement of delivery of the Security Deposit by the delivery to Landlord will of an unconditional and irrevocable letter of credit (“Letter of Credit”) in the amount of the Security Deposit set forth in Section 1.10 above, and in a form acceptable to Landlord in its reasonable discretion. The Letter of Credit shall be deemed issued by a bank reasonably satisfactory to have cured Tenant’s defaultLandlord; provided that Landlord hereby approves Silicon Valley Bank as the issuing bank. Tenant waives shall ensure that at all provisions times after the execution and delivery of Lawsthis Lease until forty-five (45) days after the Termination Date, now or hereinafter as the same may be extended, an unexpired Letter of Credit in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return Security Deposit set forth in Section 1.10 above shall be in the possession of security depositsLandlord. The Security Deposit will Letter of Credit shall contain a so-called “evergreen” clause providing that the Letter of Credit shall not be released to Tenant within canceled unless the issuing bank delivers thirty (30) days’ prior written notice to Landlord. Tenant shall deliver to Landlord, no later than ten (10) days prior to the expiry date of the surrender then outstanding and expiring Letter of Credit (a) a replacement Letter of Credit or (b) cash in the amount then required as the Security Deposit. Landlord shall be entitled to draw on the Letter of Credit (i) if Tenant fails to deliver any replacement Letter of Credit or pay the amount of the Premises Security Deposit in cash as required, in which event Landlord shall be permitted to retain the entire proceeds of such Letter of Credit for application as the Security Deposit hereunder, (ii) to cure or attempt to cure, in whole or in part, any Default by Tenant under this Lease, in which event Tenant shall replenish the amount so drawn upon demand by Landlord, and (iii) if the credit rating of the long-term debt of the issuer of the Letter of Credit (according to ▇▇▇▇▇’▇ or similar national rating agency) is downgraded to a grade below investment rate), or if the issuer of the Letter of Credit shall enter into any supervisory agreement with any governmental authority, or if the issuer of the Letter of Credit shall fail to meet any capital requirements imposed by applicable Law, unless Tenant delivers to Landlord subject a replacement Letter of Credit complying with the terms of this Lease or cash in the amount required as the Security Deposit within ten (10) days after written demand therefor from Landlord. Each Letter of Credit shall be for the benefit of Landlord and its successors and assigns and shall entitle Landlord or its successors or assigns to any deductions made draw from time to time under the Letter of Credit in portions or in whole upon presentation of a sight draft and statement by Landlord that Landlord is entitled to draw thereunder pursuant to the terms and provisions of this Lease. Notwithstanding anything Landlord shall have an unrestricted right to transfer the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit at any time and to any party selected by the Landlord. Tenant shall pay any transfer commission (fee) and all other costs (hereinafter collectively referred to as the “Transfer Fee”) which may be imposed by the bank issuing the Letter of Credit for the transfer of the Letter of Credit by Landlord. The Tenant’s failure to pay the Transfer Fee, which failure continues for ten (10) days following written notice from Landlord of same, shall constitute a Default of this Lease, and Landlord shall have the right to pursue any and all remedies provided Landlord under this Lease, in accordance with Exhibit “M” attached heretoequity and at law.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon Tenant’s execution of this Lease. The , Tenant shall deposit with Landlord, cash in the amount of the Security Deposit shall be held by Landlordset forth in the Principal Lease Provisions, without liability for interest, as security for to secure the performance by Tenant of Tenant’s covenants and its obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of including without limitation Tenant’s liability for obligations (i) to pay Basic Monthly Rent and Additional Rent (as defined below), (ii) to repair damages to the Premises and/or the Project caused by Tenant or Tenant’s agents, employees, contractors, licensees, and invitees (collectively, “Tenant’s Invitees”), (iii) to surrender the Premises in case the condition required by Paragraph 24, below, and (iv) to remedy any other Event of default Default by TenantTenant in the performance of any of its obligations under this Lease. If Tenant commits an Event of Default under this Lease, Landlord may, from time to time, without prejudice to any other remedyat its election, use the Security Deposit to the extent necessary cure such Event of Default, and to make good any arrearages compensate Landlord for all damage suffered by Landlord which are directly attributable to such Event of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsDefault, including, without limitation, reasonable attorneys’ fees and costs incurred by Landlord. Following any such application of the Security DepositUpon demand by Landlord, Tenant shall promptly pay to Landlord on demand the amount so applied in order a sum equal to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application portion of the Security Deposit so used by Landlord will be deemed Landlord, in order to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide maintain the Security Deposit in the form amount set forth in the Principal Lease Provisions. Following the Expiration Date, and within the earlier of a Letter 30 days or the time frame otherwise required by applicable law, Landlord shall deliver to Tenant, at Tenant’s last known address, any portion of Credit the Security Deposit not used by Landlord, as provided in accordance this Paragraph. Landlord may commingle the Security Deposit with Exhibit “M” attached heretoLandlord’s other funds and Landlord will not pay interest on such Security Deposit to Tenant.

Security Deposit. The Security Deposit shall be deposited Concurrently with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Subtenant’s execution of this LeaseSublease, Subtenant shall deposit with Sublandlord the sum of $31,160.00 (the “Security Deposit”). The Security Deposit shall be held by Landlord, without liability for interest, Sublandlord as security for the faithful performance by Tenant Subtenant of Tenant’s covenants all the provisions of this Sublease to be performed or observed by Subtenant. If Subtenant defaults in its obligation to pay Rent or other sums due hereunder, or otherwise defaults with respect to any provisions of this Sublease and obligations under this Leasefails to cure such default within the applicable cure period, it being expressly understood that Sublandlord may use, apply or retain all or any portion of the Security Deposit shall not be considered an advance for the payment of Rent any rent or a measure other sum in default or for the payment of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedysum to which Sublandlord may become obligated by reason of Subtenant’s default, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy compensate Sublandlord for any other covenant loss or obligation of Tenant hereunder following the expiration of damage which Sublandlord may suffer thereby. If Sublandlord so uses or applies all or any applicable cure periods. Following any such application portion of the Security Deposit, Tenant Subtenant shall pay to Landlord on within ten (10) days after demand the therefor deposit cash with Sublandlord in an amount so applied in order sufficient to restore the Security Deposit to the full amount required thereof and Subtenant’s failure to do so shall be a material breach of this Sublease. If Subtenant performs all of Subtenant’s obligations hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord or so much thereof as has not theretofore been applied by Sublandlord, shall have no further liability for be returned, without interest, to Subtenant (or, at Sublandlord’s option, to the return last assignee, if any, of such Security Deposit. Upon application of all or any part Subtenant’s interest hereunder) following the expiration of the Security DepositTerm, Tenant must upon demand restore and after Subtenant has vacated the Security Deposit to the amount required hereunder, from time to timeSubleased Premises. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation trust relationship is created herein between Sublandlord and Subtenant with respect to the handling or return of security depositsSecurity Deposit. The Security Deposit will Sublandlord shall not be released required to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide keep the Security Deposit separate from its other accounts. Subtenant hereby waives any and all rights under and the benefits of Section 1950.7 of the California Civil Code, and all other provisions of law now in force or that become in force after the date of execution of this Sublease, to the extent the same provide that Sublandlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the form payment of a Letter Rent, to repair damage caused by Subtenant, or to clean the Subleased Premises. Sublandlord and Subtenant agree that Sublandlord may, in addition, claim those sums reasonably necessary to compensate Sublandlord for any other foreseeable or unforeseeable loss or damage caused by the act or omission of Credit in accordance with Exhibit “M” attached heretoSubtenant or Subtenant’s officers, agents, employees, independent contractors, or invitees.

Security Deposit. The Security Deposit shall be Tenant has deposited with Landlord the Security Deposit in the amount set forth above for the performance of each and every covenant and agreement to be performed by Tenant contemporaneously with the delivery by Tenant to Landlord of under this Lease. The Security Deposit Landlord shall be held by Landlordhave the right, without liability for interestbut not the obligation, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that to apply the Security Deposit in whole or in part as payment of such amounts as are reasonably necessary to remedy Tenant's defaults in the payment of rent or in the performance of the covenants or agreements contained herein. Landlord's right to possession of the Property for non-payment of rent or any other reason shall not be considered an advance payment of Rent or a measure of affected by the fact that Landlord holds security. Tenant’s 's liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit is not limited to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application amount of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part give Tenant written notice of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant part thereof within thirty (30) days of said application. If the surrender application is on account of maintenance, repairs or replacements necessitated by tenant, said notice shall include the estimated or actual cost of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms same, attaching estimates or paid receipts. Upon receipt of this Lease. Notwithstanding anything to the contrary contained hereinsaid notice, Tenant shall provide at once pay to Landlord an amount sufficient to restore the Security Deposit in full. Upon termination of this Lease, full payment of all amounts due and performance of all Tenant's covenants and agreements (including surrender of the form of a Letter of Credit Property in accordance with Exhibit “M” attached heretoParagraph 15), the Security Deposit or any portion thereof remaining unapplied shall be returned to Tenant in accordance with applicable law. In the event of a sale, lease, or other transfer of the Building, Landlord may transfer or assign said Security Deposit to Landlord's grantee, lessee or assignee. Provided said grantee, lessee or assignee by written undertaking addressed to Landlord assumes all Landlord's obligations hereunder, Tenant agrees to look to such grantee, lessee or assignee solely for the return of said Security Deposit. The provisions hereof shall apply to each and every sale, lease or other transfer of the Building.

Security Deposit. The Security Deposit shall be deposited Concurrently with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Tenant’s execution of this Lease. The Security Deposit , Tenant shall be held by Landlord, without liability for interest, deliver to Landlord a sum equal to the amount stated in Section l(i) as security for the performance by Tenant of Tenant’s covenants every covenant and obligations under condition of this Lease, it being expressly understood that . Landlord’s obligations with respect to the Security Deposit shall are those of a debtor and not be considered an advance a trustee. Landlord may maintain such sums separate and apart from Landlord’s general funds or may commingle them with Landlord’s general or other funds. Landlord is not required to pay Tenant interest on such sums, or any portion thereof. If Tenant defaults with respect to any covenant or condition of this Lease beyond any applicable notice and cure period, including but not limited to the payment of Rent rent, Landlord may apply the whole or a measure part of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good payment of any arrearages of Rent sum in default or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, sum which Landlord may assign the Security Deposit be required to the transferee and upon assumption spend by such transferee reason of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) shall replenish any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made amounts spent by Landlord pursuant to the terms of Section 23 below within thirty (30) days following receipt of notice from Landlord. Within a reasonable period of time (not to exceed thirty (30) days) after expiration of the Lease Term or earlier termination of this Lease, the Security Deposit shall be returned to Tenant, less those amounts that may be required by Landlord under the terms of this Lease (a) to remedy defaults on the part of Tenant in the payment of Rent or otherwise, (b) to repair damages to the Premises caused by Tenant, provided Landlord is entitled to the same under the terms of this Lease, and (c) to restore the Premises to the condition required by this Lease. Notwithstanding anything to If Landlord disposes of its interest in the contrary contained hereinPremises, Tenant Landlord shall provide deliver or credit the Security Deposit to Landlord’s successor in interest in the form Premises and provided such successor assumes Landlord’s obligations hereunder, Landlord shall be relieved of a Letter of Credit in accordance further responsibility with Exhibit “M” attached heretorespect to the Security Deposit.

Security Deposit. The To the extent that the unapplied amount of the security deposit held by Existing Landlord under the Existing Lease (such amount, the “Original Security Deposit”) is less than the amount of the Security Deposit specified in the Basic Provisions, on the Commencement Date, Tenant shall deposit with Landlord the difference between such amount of the Security Deposit and the Original Security Deposit, which, when combined with the Original Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations its obligation under this Lease. Tenant agrees that if Tenant defaults in its performance of this Lease, it being expressly understood that or in the Security Deposit payment of any sums owing to Landlord, or in the payment of any other sums required from Tenant under the provisions of this Lease, then Landlord may, but shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedyobligated to, use the Security Deposit Deposit, or any portion thereof, to cure such default or to compensate Landlord for any damage, including Rent that is unpaid either before or after the termination of this Lease, late charges and costs of enforcement, and any other damages suffered by Landlord before or after the termination of this Lease which Landlord is entitled to recover pursuant to the extent necessary to make good terms of this Lease, and which are sustained by Landlord resulting from Tenant's default or nonpayment. If Landlord does so apply any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security Deposit, Tenant shall immediately pay to Landlord on demand the amount so applied in order sufficient cash to restore the Security Deposit to the amount required hereunder, from time to timeof the then current Minimum Monthly Rent. If Landlord transfers its interest Tenant is not in default at the Complex during the term expiration or termination of this Lease, Landlord may assign shall return the unexpended portion of the Security Deposit to Tenant within sixty (60) days following expiration or termination of this Lease, without interest. Landlord's obligations with respect to the transferee Security Deposit shall be those of debtor, and upon assumption by such transferee not of liability for a trustee, and Landlord shall be entitled to commingle the Security Deposit with the general funds of Landlord. With the understanding that it is the parties’ intent that the terms of this Lease control their obligations regarding the Security Deposit, Landlord shall have no further liability for to the return of such Security Deposit. Upon application of all or any part maximum extent permitted by applicable law (it being the specific intent of the Security Depositparties that, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time extent applicable law permits Landlord to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation reserve greater rights with respect to the handling or return of security deposits. The Security Deposit will under the terms of this Lease than would otherwise be released available under applicable law, Landlord be allowed to reserve such greater rights), Tenant within thirty hereby waives (30a) days any and all terms of applicable law, including, without limitation, California Civil Code Section 1950.7, applicable to security deposits in the surrender of commercial context to the Premises to Landlord subject to any deductions made by Landlord pursuant to extent inconsistent with the terms of this Lease. Notwithstanding anything , including, without limitation, any laws that provide that Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of rent, to repair damage caused by Tenant or to clean the Premises (“Security Deposit Laws”), and (b) to the contrary contained hereinextent inconsistent with the terms of this Lease, Tenant shall provide any and all rights, duties and obligations either Party may now or, in the future, will have under, relating to or arising from the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoLaws.

Security Deposit. The Security Deposit Tenant shall be deposited with deliver to Landlord at the time of execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, security deposit set forth in Section 1.16 as security for the Tenant’s faithful performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of hereunder. If Tenant fails to pay Base Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord mayother charges due hereunder, from time to time, without prejudice or otherwise defaults with respect to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term provision of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord (but shall have no further liability for the return obligation to), after expiration of such Security Deposit. Upon application of any applicable notice and opportunity to cure, use all or any part portion of said deposit for the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required payment of any Base Rent or other charge due hereunder, from time to time. No application pay any other sum to which Landlord may become obligated by reason of the Security Deposit by Landlord will be deemed to have cured Tenant’s default, or to compensate Landlord for any loss or damage which Landlord may suffer thereby. If Landlord so uses or applies all or any portion of said deposit, Tenant waives all provisions of Laws, now or hereinafter shall within ten (10) days after written demand therefor deposit cash with Landlord in force, which restrict the an amount or types of claim that a landlord may make upon a sufficient to restore said deposit to its full amount. Landlord shall not be required to keep said security deposit separate from its general accounts. If Tenant performs all of Tenant’s obligations hereunder, said deposit, or imposes upon a landlord so much thereof as shall not then have been applied by Landlord, shall be returned, without payment of interest or other amount for its use, to Tenant (or its successors) any obligation with respect or, at Landlord’s option, to the handling or return last assignee, if any, of security deposits. The Security Deposit will be released to Tenant Tenant’s interest hereunder) within thirty (30) days after the expiration of the surrender term hereof, and after Tenant has vacated and delivered the Premises as required hereunder. Landlord may retain an amount reasonably calculated to be sufficient to pay any final amount of Taxes or Operating Expenses for the Comparison Year in which the Term ends. No trust relationship is created herein between Landlord and Tenant with respect to said security deposit. Tenant acknowledges that the security deposit is not an advance payment of any kind or a measure of or limit on Landlord’s damages in the event of Tenant’s default. Any application of the Premises to security deposit by Landlord subject shall be without prejudice to any deductions made other right or remedy. If Landlord conveys Landlord’s interest under this Lease, the security deposit, or any part thereof not previously applied, shall be turned over by Landlord pursuant to Landlord’s grantee, and, when so turned over, Tenant agrees to look solely to such grantee for proper application of the security deposit in accordance with the terms of this LeaseSection 5, and the return thereof in accordance herewith. Notwithstanding anything The holder of a mortgage shall not be responsible to Tenant for the return or application of any such deposit, whether or not it succeeds to the contrary contained hereinposition of Landlord hereunder, unless such deposit shall have been received in hand by such holder. Tenant shall provide hereby waives the Security Deposit in the form provisions of a Letter of Credit in accordance any law which is inconsistent with Exhibit “M” attached heretothis Section 5.

Security Deposit. with the execution and delivery of this Lease by Tenant, Tenant shall deliver to Landlord an unconditional, irrevocable and renewable standby letter of credit (the “Letter of Credit”) naming Landlord as beneficiary, in favor of Landlord and in the form attached hereto as Appendix 5, or other form reasonably acceptable to Landlord. The Security Deposit Letter of Credit shall be deposited with Landlord issued by Tenant contemporaneously with the delivery by Tenant a bank reasonably satisfactory to Landlord with a branch located in California in the principal amount of this Lease$179,697.00 (hereinafter, the “Stated Amount”). The Security Deposit form and content of the Letter of Credit shall be held by conform to International Standby Practices 1998 International Chamber of Commerce Publication No. 590. The Letter of Credit shall state that an authorized officer or other representative of Landlord may make demand on Landlord, without liability for interest, as security ’s behalf for the performance by Tenant of Tenant’s covenants Stated Amount, or any portion thereof, upon certifying that such sum is due and obligations owing to Landlord under this Lease, it being expressly understood and that the Security Deposit issuing bank must immediately honor such demand, without qualification or satisfaction of any conditions, except the proper identification of the party making such demand. In addition, the Letter of Credit shall indicate that it is freely transferable in its entirety by Landlord as beneficiary to any person or entity to whom Landlord’s leasehold interest in the Building is transferred by Landlord, and that upon receiving written notice of transfer certifying that Landlord’s leasehold interest in the Building has been transferred to such transferee, and upon presentation to the issuing bank of the original Letter of Credit together with Landlord’s payment of the issuing bank’s fee required for transfer of the Letter of Credit from Landlord to such transferee, the issuer or confirming bank will reissue the Letter of Credit naming such transferee as the beneficiary. The Letter of Credit may be re-issued or renewed provided that except as provided herein, the Letter of Credit amount shall not be considered an advance payment reduced below the Stated Amount at any time during the Term of Rent the Lease. Each renewal or a measure replacement Letter of Tenant’s liability for damages Credit shall be in case substantially the same form as the original Letter of default by TenantCredit or such form as is otherwise reasonably acceptable to Landlord. Landlord may, from time In the event that Tenant fails to time, without prejudice renew or re-issue the Letter of Credit at least twenty (20) days prior to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of the then existing Letter of Credit, Landlord shall be entitled to make demand for the Stated Amount of said Letter of Credit and, thereafter, to hold such funds as a cash security deposit in accordance with Section 2.6.5 of the Lease. Once deposited with Landlord, the Letter of Credit (or a replacement thereof reasonably acceptable to Landlord) shall remain in effect for a period of at least sixty (60) days following the Term Expiration. Upon any Default by Tenant beyond the applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Leaseperiod, Landlord may assign (but shall not be required to) draw upon all or any portion of the Security Deposit to Stated Amount of the transferee Letter of Credit, and upon assumption by Landlord may then hold such transferee of liability for the Security Depositproceeds as a cash security deposit and/or use, Landlord shall have no further liability for the return of such Security Deposit. Upon application of apply or retain all or any part of the Security Depositproceeds for the payment of any sum which is in default, Tenant must upon demand restore or for the Security Deposit payment of any other amount which Landlord may spend or become obligated to the amount required hereunder, from time spend by reason of Tenant’s default or to time. No application compensate Landlord for any loss or damage which Landlord may suffer by reason of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. If any portion of the Letter of Credit proceeds is so used or applied, Tenant waives shall, within ten (10) days after demand therefor, post an additional Letter of Credit in an amount to cause the aggregate amount of the unused proceeds and such new Letter of Credit to equal the Stated Amount required in this Section 2.6. Landlord shall not be required to keep any proceeds from the Letter of Credit separate from its general funds. Should Landlord transfer its interest in the Premises during the Lease Term Landlord shall deposit with the purchaser thereof the Letter of Credit and all provisions proceeds of Lawsthe Letter of Credit required under this Lease to be held by Landlord immediately prior to such transfer, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) thereupon Landlord shall be discharged from any obligation further liability with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit and said proceeds. Any remaining proceeds of the Letter of Credit held by Landlord after expiration of the Lease Term, after any deductions described in accordance with Exhibit “M” attached heretothis Section 2.6.1, shall be returned to Tenant or, if there has been an assignment of the Lease, to the last assignee of Tenant’s interest hereunder, after all of Tenant’s obligations have been fulfilled.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with Upon the delivery by Tenant to Landlord later of execution of this Lease. The Amendment and Landlord's receipt of Tenant's deposit in the amount of $150,000.00 (the "Security Deposit shall be held by LandlordDeposit"), without liability for interest, Landlord agrees to waive the requirement of a letter of credit as security for the performance by Tenant of Tenant’s covenants and 's obligations under this the Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use may apply all or part of the Security Deposit to the extent necessary to make good any arrearages of unpaid Rent or to satisfy cure any other covenant or obligation defaults of Tenant hereunder following the expiration of Tenant. If Landlord uses any applicable cure periods. Following any such application part of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount within 1O business days after Landlord's written request. Tenant's failure to do so shall be a default under the Lease and the overdue amount required hereundershall accrue interest as any delinquent payment. If twice within any 12 month period, from time late charges are assessed against Tenant by Landlord, Landlord may, by written notice to timeTenant, require Tenant to pay Landlord an amount equal to two months Base Rent as an increase in the Security Deposit, due within 5 business days after Tenant's receipt of the notice. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may assign shall transfer the Security Deposit to its successor in interest, and notify Tenant in writing of such transfer, including the transferee date of the transfer, the amount transferred, and upon assumption by such transferee the name and address of liability for the Security Deposittransferee, whereupon Landlord shall have no further be automatically released from any liability for the return of such the Security Deposit. Upon application of all or any part If, at the end of the Security DepositTerm, Tenant must upon demand restore has fully complied with all obligations under the Lease, then the remaining Security Deposit shall be returned to Tenant after Landlord has verified that Tenant has fully vacated the amount required hereunderPremises, from time to time. No application removed all of its property and surrendered the Premises in the condition required; provided that Landlord may hold back a reasonable portion of the Security Deposit by Landlord will be deemed to have cured until final determination of Tenant’s default. Tenant waives all provisions 's Share of Laws, now or hereinafter in forceCommon Expenses due hereunder, which restrict shall be made no later than 6 months following the amount expiration of the Term or types earlier termination of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) the Lease, whereupon any obligation final adjustment shall be made and any remaining Security Deposit shall be returned to Tenant. Landlord's obligations with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days are those of the surrender a debtor and not of the Premises to a trustee, and Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide can commingle the Security Deposit with Landlord's general funds and no interest shall be paid to Tenant on the Security Deposit. If the Premises is further increased in size due to any option Tenant exercises or otherwise, the form Security Deposit shall be increased to an amount to be determined by Landlord at the time of a Letter of Credit in accordance with Exhibit “M” attached heretoexpansion.

Security Deposit. (a) Simultaneously with the execution and delivery of this Lease, Tenant shall deliver to Landlord the Security Deposit in cash or immediately available funds. (b) The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as is security for the faithful performance and observance by Tenant of Tenant’s covenants the terms and obligations under conditions of this Lease, it being expressly understood that the Security Deposit shall Lease and is not be considered an advance payment of Rent rent. If an Event of Default occurs, Landlord may use, apply or a measure retain all or any part of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good required for payment of any arrearages of Base Rent or to satisfy any other covenant sum as to which Tenant is in default or obligation for any sum which Landlord may expend or may be required to expend by reason of Tenant hereunder following the expiration occurrence of an Event of Default, including, but not limited to, any applicable cure periodsdamage or deficiency accrued before or after summary proceedings or other re-entry by Landlord, including the costs of such proceeding or re-entry and further including, without limitation, reasonable attorneys’ fees. Following any such application If an Event of Default occurs, Landlord shall have the right to apply the Security Deposit, or any part thereof, as aforesaid, without additional notice and without prejudice to any other remedy or remedies which Landlord may have, or Landlord may pursue any other such remedy or remedies in lieu of applying the Security Deposit or any part thereof. No interest shall be payable on the Security Deposit and Landlord shall have the right to commingle the Security Deposit with other funds of Landlord. If Landlord applies the Security Deposit in whole or in part, Tenant shall immediately upon demand pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. In the amount required event of a sale or other transfer of Landlord’s Property, or leasing of Landlord’s Property subject to Tenant’s tenancy hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign shall transfer the Security Deposit then remaining to the transferee and upon assumption by such transferee of liability for the Security Depositvendee or lessee, in which event Landlord shall have no further thereupon be released from all liability for the return of such Security DepositDeposit to Tenant; and Tenant shall look solely to the new landlord for the return of the Security Deposit then remaining. Upon The holder of any mortgage on Landlord’s Property shall not be responsible to Tenant for the Security Deposit or its application of all or any part of return unless the Security Deposit shall actually have been received by such holder. Tenant shall not assign or encumber or attempt to assign or encumber the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunderand Landlord shall not be bound by any such assignment, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Lawsencumbrance, now attempted assignment or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoattempted encumbrance.

Security Deposit. The If so specified in the Basic Lease Information, Tenant shall deposit with Landlord the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with upon the delivery by Tenant to Landlord execution of this LeaseLease by Tenant. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the performance by Tenant of Tenant’s covenants and all its obligations under this Lease. If Tenant fails to pay any Rent due hereunder, it being expressly understood that or otherwise commits a default (after applicable notice and cure periods) with respect to any provision of this Lease, Landlord may use, apply or retain all or any portion of the Security Deposit for the payment of any such Rent or for the payment of any other amounts expended or incurred by Landlord by reason of Tenant's default, or to compensate Landlord for any loss or damage which Landlord may incur thereby (subject to the provisions of California Civil Code Section 1950.7(c) and any similar or successor statute providing that Landlord may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of Rent, to repair damage caused by Tenant, or to clean the Premises). Exercise by Landlord of its rights hereunder shall not be considered an advance payment of Rent constitute a waiver of, or a measure of Tenant’s relieve Tenant from any liability for damages in case of default by Tenantfor, any default. If Landlord may, from time to time, without prejudice to so uses or applies all or any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security Deposit, Tenant shall pay to shall, within ten (10) days after demand by Landlord, deposit cash with Landlord on demand the in an amount so applied in order sufficient to restore the Security Deposit to the amount required its full amount. If Tenant performs all of Tenant's obligations hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord or so much thereof as has not theretofore been applied by Landlord, shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Depositbe returned, without interest, to Tenant must upon demand restore the Security Deposit (or, at Landlord's option, to the amount required hereunderlast assignee, from time to time. No application if any, of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors's interest under this Lease) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days after the later of (i) the surrender date of expiration or earlier termination of this Lease, or (ii) vacation of the Premises to Landlord subject to any deductions made by Landlord pursuant to Tenant if the terms of Premises has been left in the condition specified by this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide Landlord's receipt and retention of the Security Deposit shall not create any trust or fiduciary relationship between Landlord and Tenant and Landlord need not keep the Security Deposit separate from its general accounts. Subject to Section 22.1, upon termination of the original Landlord's (or any successor owner's) interest in the form of a Letter of Credit in accordance Premises, the original Landlord (or such successor) shall be released from further liability with Exhibit “M” attached heretorespect to the Security Deposit upon the original Landlord's (or such successor's) compliance with California Civil Code Section 1950.7(d), or successor statute.

Security Deposit. The Tenant shall deposit the Security Deposit with Landlord on the date this Lease is executed by Tenant, which, in the manner described in and subject to the provisions of ,Section (M) of the Basic Lease Terms, shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of secure Tenant’s obligations under this Lease. The Security Deposit shall be held by is not an advance rental deposit or a measure of Landlord, without liability ’s damages for interest, as security for an Event of Default (defined below). Landlord may use any portion of the performance by Tenant of Security Deposit to satisfy Tenant’s covenants and unperformed obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent to reimburse Landlord for performing any such obligations or a measure of to compensate Landlord for its damages arising from Tenant’s liability for damages in case of default by Tenant. Landlord may, from time failure to timeperform its obligations, without prejudice to any of Landlord’s other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsremedies. Following any such application of the Security DepositIf so used, Tenant shall shall, upon request, pay to Landlord on demand the an amount so applied in order to that will restore the Security Deposit to its original amount. The Security Deposit shall be Landlord’s property. The Security Deposit shall be maintained by Landlord in a segregated, non-interest bearing account. The unused portion of the amount required hereunderSecurity Deposit will be returned to Tenant within forty-five (45) days following the Expiration Date (or the date on which Tenant surrenders the Premises, from time to time. If Landlord transfers its interest in the Complex during the term if later) or sooner termination of this Lease, provided that Tenant has vacated the Premises. In the event of a sale or other transfer of the Building, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee shall be relieved of all liability for the Security Deposit, Deposit provided that Landlord shall have no further liability for transfers the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit same to the amount required hereunderpurchaser or transferee, from time to time. No application of and provided that the Security Deposit by Landlord will purchaser or transferee assumes Landlord’s obligations under this Lease in writing (which may be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretogeneral assignment).

Security Deposit. The Security Deposit shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit and shall be held by Landlord, Landlord without liability for interest, interest (except as required by law) and as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s 's liability for damages in case of default by Tenantdamages. Landlord may, from time to time, without prejudice to any other remedy, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages arrearage of Rent Rent, to repair damages to the Premises, to clean the Premises upon termination of this Lease or otherwise to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodshereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. If Tenant is not in default at the amount required hereundertermination of this Lease, after Tenant surrenders the Premises to Landlord in accordance with this Lease and all amounts due Landlord from time Tenant are finally determined and paid by Tenant or through application of the Security Deposit, the balance of the Security Deposit remaining after any such application shall be returned to timeTenant. If Landlord transfers its interest in the Complex Premises during the term of this LeaseLease Term, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all Tenant agrees to look solely to such transferee or any part assignee for the return of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application Landlord and its successors and assigns shall not be bound by any actual or attempted assignment or encumbrance of the Security Deposit by Tenant, provided, however, if Tenant's interest in this Lease has been assigned, Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Lawsshall, now or hereinafter in force, which restrict the amount or types of claim provided that Landlord has been furnished with a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days fully executed copy of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained hereinagreement assigning such Security Deposit, Tenant shall provide return the Security Deposit in the form of a Letter of Credit to such assignee in accordance with Exhibit “M” attached heretothe terms and conditions hereof. If Landlord return the Security Deposit to Tenant's assignee as aforesaid, Landlord will have no further obligation to any party with respect thereto. Landlord shall not be required to keep the Security Deposit separate from its other accounts.

Security Deposit. The Section 29.1 Tenant has deposited the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the full and faithful performance of every provision of this Lease to be performed by Tenant through the Term and all renewals thereto. If an Event of Tenant’s covenants Default shall have occurred with respect to any provision of this Lease, including but not limited to the provisions relating to the payment of Fixed Rent and obligations Additional Rent, Landlord may use, apply or retain all or any part of this Security Deposit for the payment of any Fixed or Additional Rent or any other sum as to which Tenant is in default or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of such Event of Default, or to compensate Landlord for any other loss, cost or damage which Landlord may suffer by reason of such Event of Default to the extent permitted under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, shall give Tenant notice contemporaneously with such use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration application of any applicable cure periods. Following any such application portion of the Security Deposit. Tenant shall, Tenant shall pay to within ten (10) Business Days after the giving of such notice, deposit with Landlord on demand the cash (or other suitable collateral such as an additional letter of credit) in an amount so applied in order sufficient to restore the Security Deposit to the amount then required hereunder, from time pursuant to time. If Landlord transfers its interest in the Complex during the term terms of this Article 29 and Tenant’s failure to do so shall be a breach of this Lease. Landlord shall not, Landlord may assign the Security Deposit unless otherwise required by Laws, pay interest to the transferee and upon assumption by such transferee of liability for Tenant on the Security Deposit, and if Landlord is required to maintain the Security Deposit in an interest bearing account, Landlord will retain the maximum amount permitted under Laws as a bookkeeping and administrative charge. Tenant shall have no further liability for the return of such Security Deposit. Upon application of all not assign or encumber any part of the Security Deposit, and no assignment or encumbrance by Tenant must of all of any part of the Security Deposit shall be binding upon demand restore Landlord, whether made prior to, during, or after the Term. Landlord shall not be required to exhaust its remedies against Tenant or against the Security Deposit before having recourse to any other form of security held by Landlord and recourse by Landlord to any Security Deposit shall not affect any remedies of Landlord which are provided in this Lease or which are available to Landlord in law or in equity. If Tenant shall fully and faithfully perform every covenant and provision of this Lease to be performed and observed by Tenant, the Security Deposit or any balance thereof shall be returned to Tenant reasonably promptly after the expiration or sooner termination (other than a termination pursuant to Article 17) of the Term and Tenant’s surrender to Landlord of the Premises, but in no event later than sixty (60) days after such expiration or termination. In the event the Building is sold, Landlord shall transfer the Security Deposit to the amount required hereundernew owner and Landlord shall thereupon be released by Tenant from all liability for the return of said Security Deposit; and Tenant agrees to look to the new owner solely for the return of the Security Deposit. A lease of the entire Building shall be deemed a transfer within the meaning of the foregoing sentence. Landlord shall notify or cause Tenant to be notified in the event of any transfer of the Building. Section 29.2 Landlord agrees to reduce the Security Deposit as set forth below. Landlord shall have no obligation to reduce and Tenant shall have no right to request a reduction in the Security Deposit unless all of the following conditions have been satisfied on the date of the scheduled reduction to the Security Deposit: (a) No Event of Default shall have occurred and be continuing under this Lease; and (b) there shall not have occurred any material adverse change in the financial condition of Tenant from the condition described in the financial statements submitted by Tenant to Landlord in connection with this Lease. Notwithstanding the foregoing, from time to time. No application if an Event of Default existed on the date of the scheduled reduction of the Security Deposit and Tenant subsequently cures said Event of Default without Landlord having terminated this Lease, Tenant shall then be entitled to an immediate reduction of said Security Deposit at the time of said cure by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict by the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect as to the handling or return of security deposits. The which said Security Deposit will be released to Tenant within thirty would have been reduced had such Event of Default not existed. Section 29.3 (30a) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant Subject to the terms of this Lease. Notwithstanding anything to the contrary contained hereinin Section 29.2, Tenant shall provide the Security Deposit in shall be reduced from the form original Two Hundred Ninety-Five Thousand and no/100 Dollars ($295,000.00): (i) on the first day of a Letter December 2006, the Security Deposit shall be reduced by Seventy-Two Thousand Four Hundred Forty-Six and 80/100 Dollars ($72,446.80) and such amount shall be credited towards the monthly Rent for December 2006 and January 2007; (ii) on the first day of Credit in accordance with Exhibit “M” attached heretoDecember 2007, the Security Deposit shall be reduced by Seventy-Two Thousand Four Hundred Forty-Six and 80/100 Dollars ($72,446.80) and such amount shall be credited towards the monthly Rent for December 2006 and January 2008; and (iii) on the first day of December 2008, the Security Deposit shall be reduced by Seventy-Two Thousand Four Hundred Forty-Six and 80/100 Dollars ($72,446.80) and such amount shall be credited towards the monthly Rent for December 2008 and January 2009.

Security Deposit. The Security Deposit shall Letter of Credit. BLC Holdings shall, upon the execution of this Agreement by BLC Holdings, either (i) cause to be deposited with Landlord PSLT-BLC Holdings cash in the amount of the Security Amount (the "Security Deposit"), or (ii) cause to be delivered to PSLT-BLC Holdings a letter of credit (the "Letter of Credit") issued in favor of PSLT-BLC Holdings in the amount of the Security Amount, as security for the performance and observance by Tenant contemporaneously with BLC Holdings of the delivery by Tenant to Landlord terms, conditions and provisions of this Agreement and as security for the performance and the observance by each of the Brookdale Lessees of the terms, conditions and provisions of the Property Leases, including, without limitation, the surrender of possession of the Facilities by the Brookdale Lessees as provided in the Property Leases. Upon the occurrence and during the continuance of an Event of Default, PSLT-BLC Holdings may draw upon the Letter of Credit or apply any portion of the Security Deposit to the extent required for the payment of any sum as to which BLC Holdings or the Brookdale Lessee(s) under the Property Lease(s) to which the applicable Event of Default relates is in default or for any sum which PSLT-BLC Holdings may have expended or may be required to expend by reason of the occurrence of such Event of Default, including any damages or deficiency accrued before or after summary proceedings or other re-entry by any Provident Lessor pursuant to any Property Lease. Subject to the provisions of Paragraph 10(b) hereof, if PSLT-BLC Holdings draws upon the Letter of Credit and applies or retains any portion or all of the sum received upon such draw, or applies any portion of the Security Deposit, BLC Holdings shall forthwith take such action as is necessary to restore the face amount of the Letter of Credit to the Security Amount or pay any deficiency to PSLT-BLC Holdings such that the Security Deposit is at all times equal to the Security Amount. The Security Deposit shall be held by Landlordin a segregated bank account and shall be invested in Permitted Investments. BLC Holdings or the party posting the Security Deposit in accordance with the terms and conditions set forth in Paragraph 33(d) below shall be responsible for payment of any federal, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that state or local income or other tax applicable to income earned from Permitted Investments. All interest accruing on the Security Deposit shall not be considered an advance payment held by PSLT-BLC Holdings for the account of Rent BLC Holdings or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any such other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of party posting the Security Deposit, Tenant and shall pay be distributed to Landlord BLC Holdings or such other party on demand the amount so applied in order to restore fifteenth (15th) day after the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term end of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoeach Lease Year.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of Tenant’s liability for Landlord's damages in case of default Tenant's default. Upon each occurrence of a Default, Landlord may use all or part of the Security Deposit to pay delinquent payments due under this Lease, and the cost of any damage, injury, expense or liability caused by Tenant. Landlord may, from time to timesuch Default, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent remedy provided herein or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsprovided by law. Following Upon any such application use of all or any portion of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to that will restore the Security Deposit to the amount required hereunderits original amount. Upon bankruptcy or other debtor-creditor proceedings against Tenant, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit shall be deemed to be applied first to the transferee payment of Rent and upon assumption by such transferee of liability other charges due Landlord for periods prior to the Security Deposit, Landlord shall have no further liability for the return filing of such Security Depositproceedings. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore Landlord's obligation respecting the Security Deposit to the amount required hereunderis that of a debtor, from time to timenot a trustee; no interest shall accrue thereon. No application of the The Security Deposit by shall be the property of Landlord, but the balance remaining, if any, after Tenant's obligations under this Lease have been completely fulfilled shall be paid to Tenant. Landlord will shall be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) released from any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days upon transfer of the surrender of this Lease and the Premises to a person or entity assuming Landlord's obligations under this Section 6. Tenant hereby waives the provisions of any law, now or hereafter in force, which provide that Landlord subject may claim from a security deposit only those sums reasonably necessary to remedy defaults in the payment of Rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any deductions made other loss or damage, foreseeable or unforeseeable, caused by Landlord pursuant the act or omission of Tenant or any officer, employee, agent or invitee of Tenant. If Tenant shall fully perform every provision of this Lease to be performed by Tenant, the Security Deposit, or any balance thereof, shall be returned to Tenant (or, at Landlord's option, to the terms last assignee of Tenant's interest hereunder) within 60 days after the expiration or earlier termination of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited Concurrently with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord its execution of this Lease. The , Tenant shall deliver to Landlord the amount identified in the Basic Lease Information as the Security Deposit shall to be held by Landlord, Landlord without liability for interest, interest (unless required by Law) as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the obligations. The Security Deposit shall is not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenantdamages. Landlord may, may from time to time, without prejudice to any other remedyremedy provided in this Lease or by Law, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages of satisfy past due Rent or to satisfy Tenant’s Default under this Lease or to reimburse or compensate Landlord for any other covenant liability, expense, loss or obligation damage which Landlord may suffer or incur and has a right of Tenant hereunder following recovery for the expiration of same from Tenant. If Landlord so uses or applies all or any applicable cure periods. Following any such application portion of the Security Deposit, then within fifteen (15) days after demand therefore, Tenant shall pay deposit cash with Landlord in an amount sufficient to restore the deposit to the full amount thereof, and Tenant’s failure to do so shall constitute a Default under this Lease. If there are no payments to be made from the Security Deposit as set out in this paragraph, or if there is any balance of the Security Deposit remaining after all payments have been made, the Security Deposit, or such balance thereof remaining, will be refunded to the Tenant after the expiration or earlier termination of this Lease. Tenant hereby waives the benefit of the provisions of California Civil Code Section 1950.7. In the event of an act ▇▇▇▇▇▇▇▇.v9 of bankruptcy by or insolvency of Tenant or the appointment of a receiver for Tenant or general assignment for the benefit of ▇▇▇▇▇▇’s creditors, the Security Deposit shall be deemed immediately assigned to Landlord. Except in the event of a current unresolved Tenant Default, at the end of the Term the Landlord will deliver the Security Deposit to Tenant within forty five (45) days following the Landlord’s acceptance of the surrender of the Premises upon the expiration date of this Lease delivered by Tenant in accordance with the surrender conditions set forth herein. Provided that Tenant is not in default under the terms and conditions of this Lease, Tenant will have the right to substitute the cash Security Deposit described in the Basic Lease Information for a clean, irrevocable, unconditional and transferable standby letter of credit in the same amount (“Letter of Credit”) issued by and drawn upon a reputable commercial bank or financial institution (the “Issuing Bank”), which Letter of Credit shall have a term of not less than one year, and, be in the amount of $188,023.50. If in accordance with the terms of Section 4.1(a) above, Tenant has not provided the Letter of Credit to Landlord on demand with the amount so applied in order to restore delivery of the Lease and has delivered the Security Deposit to the Landlord then upon delivery to Landlord of an approved original Letter of Credit the Landlord shall deliver to Tenant the cash Security Deposit within ten (10) business days of receipt of the approved original Letter of Credit. The Letter of Credit shall provide that: (i) the Issuing Bank shall pay to Landlord an amount required hereunderup to the face amount of the Letter of Credit upon presentation of a signed draw down demand form acceptable to Issuing Bank delivered either by electronic mail or facsimile to cure a default by Tenant after notice of default from Landlord and certification from Landlord that a default has occurred under the Lease and is continuing; (ii) the Letter of Credit shall be automatically renewed, from time without amendment, for consecutive periods of one year each during the Term of this Lease not to time. If extend beyond the Expiration Date; (iii) the Issuing Bank will retain the right to deliver written notice (the “Non-Renewal Notice”) to Landlord transfers its interest not less than thirty (30) days preceding the then expiration date of the Letter of Credit, that it elects not to renew such Letter of Credit and in the Complex during event that the term Issuing Bank sends a Non-Renewal Notice, Tenant shall have thirty (30) days to provide Landlord with a substitute Letter of this Lease, Credit acceptable to Landlord may assign in the commercially reasonable exercise of its judgment or to post the cash Security Deposit Deposit. In the event that ▇▇▇▇▇▇ fails within said thirty (30) day period to the transferee and upon assumption by such transferee provide Landlord with a substitute Letter of liability for the Credit or cash Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part right to draw the full amount of the Security Deposit, Tenant must upon demand restore the Letter of Credit (which moneys shall be held by Landlord as a cash Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this LeaseSection 7). Notwithstanding anything If Landlord makes a draw upon the Letter of Credit then any balance of the drawn monies received by Landlord not applied to the contrary contained herein, Tenant shall provide the cure a default will be held by Landlord as Security Deposit in for the form remainder of the Term. If a draw upon the Letter of Credit is made by Landlord due to a default of Tenant the right to provide Landlord a Letter of Credit as alternative security to delivery of the cash Security Deposit shall be suspended for the remainder of the Term unless, in accordance Landlord’s sole and absolute discretion without any obligation to approve the same, ▇▇▇▇▇▇▇▇ agrees to permit Tenant to provide a replacement clean, irrevocable, unconditional and transferable standby letter of credit upon the terms described in this Section 7 with Exhibit “M” attached hereto.any other commercially reasonable conditions required by Landlord. Tenant acknowledges and agrees that the Letter of Credit shall be at all times a third party obligation of the Issuing Bank to the Landlord and independent of the terms of this Lease. The terms of this Section 7 shall expressly survive the expiration or earlier termination of the Lease. 60447235.v9

Security Deposit. The Security Deposit shall be deposited with Tenant hereby agrees to pay to Landlord a security deposit of eight thousand four hundred forty dollars and fifty cents ($8,440.50), which is equal to first month’s Base Rental, on the day this Lease is executed by Tenant contemporaneously with (the delivery by Tenant to Landlord “Security Deposit”). Upon the occurrence of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant any Event of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default Default by Tenant. , Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages arrears of Rent Base Rental or to satisfy Additional Rental or any other covenant payment obligation hereunder, including, but not limited to, the cost of any damage, injury, expense, or obligation liability caused by any Event of Default by Tenant hereunder following hereunder. Any remaining balance of the Security Deposit shall be returned by Landlord to Tenant within a reasonable period of time after the termination or expiration of this Lease and the satisfaction of Tenant’s obligations hereunder. The Security Deposit shall not be considered an advance payment of rental or a measure of Landlord’s damages in case of default by Tenant. Tenant shall not be entitled to receive and shall not receive any applicable cure periodsinterest on the Security Deposit, and Landlord may commingle the same with other monies of Landlord. Following In the event Landlord applies the Security Deposit or any portion thereof to the payment of any sum described above and this Lease is not terminated, Tenant shall immediately deposit with Landlord an amount of money equal to the amount so applied, and such amount shall be deemed to be part of the Security Deposit. In the event of a sale or transfer of Landlord’s interest in the Premises, Landlord shall have the right to transfer the Security Deposit to the purchaser or lessor, as the case may be, and upon any such application transfer and acknowledgement of receipt of Security Deposit by such transferee, Landlord shall be relieved of all liability to Tenant for the return of the Security Deposit, and Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit look solely to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability new owner or lessor for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this Lease, Tenant shall deposit with Landlord the Security Deposit. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the faithful performance of all the terms of this Lease to be observed and performed by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the . The Security Deposit shall not be considered an advance payment mortgaged, assigned, transferred or encumbered by Tenant and any such act on the part of Tenant shall be without force and effect and shall not be binding upon Landlord. Tenant shall cause the Security Deposit to be maintained throughout the term in the amount set forth in Section 1.1. If the Annual Fixed Rent or a measure Additional Rent payable hereunder shall be overdue and unpaid or should Landlord make any payment on behalf of the Tenant’s liability for damages in case , or Tenant shall fail to perform any of default by Tenant. the terms of this Lease, then Landlord may, from time to time, at its option and without notice or prejudice to any other remedyremedy which Landlord may have on account thereof, use appropriate and apply the entire Security Deposit to the extent or so much thereof as may be necessary to make good any arrearages compensate Landlord toward the payment of Annual Fixed Rent, Additional Rent or other sums or loss or damage sustained by Landlord due to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, breach by Tenant; and Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must forthwith upon demand restore the Security Deposit to the amount required hereunderstated in Section 1.1. Notwithstanding the foregoing, from time to time. No upon the application by Landlord of all or any portion of the Security Deposit (with or without notice thereof to Tenant) to compensate Landlord for a failure by Landlord will Tenant to pay any Annual Fixed Rent or Additional Rent when due or to perform any other obligation hereunder, and until Tenant shall have restored the Security Deposit to the amount required by Section 1.1, Tenant shall be deemed to be in default in the payment of Additional Rent for purposes of Section 8.1(i) hereof. So long as Tenant shall not be in default of its obligations under this Lease, Landlord shall return the Security Deposit, or so much thereof as shall have cured Tenant’s default. Tenant waives all provisions not theretofore been applied in accordance with the terms of Lawsthis Section 4.7, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days promptly following the expiration or earlier termination of the term of this Lease and the surrender of possession of the Premises by Tenant to Landlord subject to any deductions made by Landlord pursuant to in accordance with the terms of this Lease. Notwithstanding anything While Landlord holds the Security Deposit, Landlord shall have no obligation to pay interest on the contrary contained hereinsame and shall have the right to commingle the same with Landlord’s other funds. If Landlord conveys Landlord’s interest under this Lease, the Security Deposit, or any part thereof not previously applied, shall be turned over by Landlord to Landlord’s grantee, and Tenant shall provide look solely to such grantee for proper application of the Security Deposit in accordance with the form terms of this Section 4.7 and the return thereof in accordance herewith. The holder of a Letter mortgage on the Property shall not be responsible to Tenant for the return or application of Credit in accordance with Exhibit “M” attached heretothe Security Deposit, whether or not it succeeds to the position of Landlord hereunder, unless such holder actually receives the Security Deposit.

Security Deposit. The Subject to the terms of Article 35 below, the Security Deposit Deposit, if any, shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit and shall be held by Landlord, Landlord without liability for interest, interest (unless required by Law) as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the obligations. The Security Deposit shall is not be considered an advance payment of Rent or a measure of Tenant’s liability for damages damages. The amount of the Security Deposit shall be subject to reduction in case the manner and at the times specified as though it were a Letter of default by TenantCredit (as described in Article 35). Landlord may, from time to time, without prejudice to any other remedy, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages of satisfy past due Rent or to satisfy cure any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsuncured default by Tenant. Following any such application of If Landlord uses the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. At the amount required hereunderlater of (1) termination of this Lease, or (ii) the date Tenant surrenders the Premises to Landlord in accordance with the provisions of this Lease, Landlord shall return any unapplied portion of the Security Deposit (less any amounts retained to reimburse Landlord for any uncured defaults) to Tenant within 10 Business Days after the date this Lease expires or terminates and Tenant surrenders possession of the Premises to Landlord in accordance with this Lease. In addition to any other deductions Landlord is entitled to make pursuant to the terms hereof, Landlord shall have the right to make a good faith estimate of any unreconciled Expenses and/or Taxes as of the Termination Date and to deduct any anticipated shortfall from time to timethe Security Deposit. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for and, following the Security Depositassignment, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore provided that such transferee has agreed in writing to assume the obligations of Landlord under this Lease with respect to the Security Deposit. Landlord shall not be required to keep the Security Deposit to separate from its other accounts. Tenant hereby waives the amount required hereunder, from time to time. No application provisions of Section 1950.7 of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of LawsCalifornia Civil Code, or any similar or successor Laws now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoeffect.

Security Deposit. Tenant shall deposit the Security Deposit with a financial institution in an account of Landlord to be designated by Landlord upon signing this Lease (the “Security Account”). Landlord shall be required to segregate the Security Deposit from the other funds of Landlord and maintain the Security Deposit in the account together with all interest accrued thereon until the Security Deposit is applied or returned in accordance with the terms hereof. The Security Deposit Account shall be deposited with an interest bearing account offering the highest yield generally available for deposits similar in amount to the Security Deposit. Landlord shall instruct the financial institution maintaining the Security Account to deliver a copy of the account statements regarding the Security Account to Tenant. Any balance shown in the Account, whether or not resulting from the deposit of the Security Deposit or the reinvestment interest accrued thereunder, shall become a part of the Security Deposit and may not be disposed of by Tenant contemporaneously Landlord except if disposed of in accordance with the delivery by Tenant to Landlord terms of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for All interest or any other return resulting from the performance by Tenant deposit of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit in the Security Account minus any applicable expenses resulting from the account fees payable for the maintenance of the Security Account and income tax derived from interest payments thereunder, if any, shall not be reinvested in the Security Account (and hence bear interest) any such amount to be considered an advance payment as a part of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit subject to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following terms and conditions set forth in the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to timeLease). If Landlord transfers Tenant does not fulfill any of its interest in obligations under the Complex during the term of this Lease, Landlord may assign apply the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return on account of such Security Depositobligation or to reimburse Landlord for any sum which Landlord may expand due to Tenants default. Upon application of all or If Landlord applies any part of the Security Deposit, Tenant, immediately after written notice from Landlord, shall deposit with Landlord the amount so applied so that Landlord shall have the full Security Deposit available at all times during the Term. If Tenant must upon demand restore complies with all the terms, covenants and conditions of this Lease, the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successorsany balance thereof, including anciliary amounts thereto) any obligation shall be returned to Tenant, together with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within interest accrued thereon, not later than thirty (30) days after the Expiration Date and delivery of possession of the surrender of the entire Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoLandlord.

Security Deposit. The 7. ▇▇▇▇▇▇ agrees to pay LANDLORD the sum of $<<Security Deposit shall be deposited with Landlord Charges>> as a security for faithful performance by Tenant contemporaneously with the delivery by Tenant to Landlord TENANT of all terms, covenants and conditions of this Leaselease. The Security Deposit shall deposit may be held applied by Landlordthe LANDLORD for any monies owed by TENANT under the lease or Florida law, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for physical damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary premises, costs, and attorney’s fees associated with TENANT’s failure to make good fulfill the terms of the lease and any arrearages of Rent monetary damages incurred by LANDLORD due to TENANT’s default. TENANT cannot dictate that this deposit be used for any rent due. If TENANT breaches the lease by abandoning, surrendering, or being evicted from the rental premises prior to satisfy any other covenant or obligation of Tenant hereunder following the lease expiration date(or the expiration of any applicable cure periodsextension)TENANT will be responsible for any unpaid rent, physical damages, future rent due, attorney’s fees, costs and any other amounts due under the terms of the tenancy or Florida Law. Following Failing to vacate the premises the time and date designated on the lease agreement will result in forfeiture of the entire security deposit. The security deposit (and advance rent, if applicable) will be held in the following manner: Deposited in a separate non-interest-bearing account with Prime Meridian Bank located at ▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇ ▇▇▇▇▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇. Florida statutory law 83.49(3) provides: (a) Upon the vacating of the premises for the termination of the lease, if the landlord does not intend to impose claim on the security deposit, the LANDLORD shall have 15 days to return the security deposit together with interest if otherwise required, or the LANDLORD shall have 30 days to give the TENANT written notice by certified mail to the TENANT last known mailing address of his intention to impose a claim on the deposit, and the reason for imposing the claim. The notice shall contain a statement in substantially the following form: This is a notice of my intention to impose a claim for damages in the amount of upon your security deposit, due to . It is sent to you as required by s. 83.49(3), Florida Statutes. You are hereby notified that you must object in writing to this deduction from your security deposit within 15 days from the time you receive this notice or I will be authorized to deduct my claim from your security deposit. (b) Unless the TENANT objects to the imposition of the landlord’s claim or the amount thereof within 15 days after receipt of the landlord’s notice of intention to impose a claim, the landlord may then deduct the amount of his claim and shall remit the balance of the deposit to the TENANT within 30 days after the date of the notice of intention to impose a claim for damages. (c) If either party institutes an action in a court of competent jurisdiction to adjudicate his right to the security deposit, the prevailing party is entitled to receive his court costs plus a reasonable fee for his attorney. The court shall advance the cause on the calendar. (d) Compliance with this subsection by an individual or business entity authorized to conduct business in this state, including Florida licensed Real Estate Brokers and salespersons, shall constitute compliance with all other relevant Florida Statutes pertaining to security deposits held pursuant to a rental agreement or other landlord-tenant relationship. Enforcement personnel shall look solely to this subsection to determine compliance. This subsection prevails over any such application conflicting provisions in chapter 475 and in other sections of the Florida Statutes. Security deposit refunds if any shall be made by mail only, as provided by law, made out in the names of the Security Depositdeposit holder in one check, Tenant shall pay to Landlord on demand and, may not be picked up in person from LANDLORD. (e) One-time cleaning fee will be charged (this does not include removal of left behind items, damages, or steam cleaning of any kind) of $150.00 for one bedroom, $300.00 for two bedrooms, $450.00 for three bedrooms, $600.00 for four bedrooms, $750.00 for five bedrooms and $900.00 for six bedrooms. If the amount so applied in order to restore the Security Deposit cleaning service is above these amounts due to the amount required hereunderway the tenants have left the unit, from time they will be charged the difference. Tenants will also be charged for utilities if any work needs to be done to unit once they have vacated. The deposit will be returned to the security deposit holder listed above within 30 days as provided for in Chapter 83, Florida Statutes. The deposit may not be used in lieu of a rental payment at any time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord THE DEPOSIT WILL BE FORFEITED AS LIQUIDATED DAMAGES (or its successorsAT OPTION OF OWNER) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty IF THE KEY RETURN/SURRENDER OF PROPERTY FORM IS NOT RETURNED UPON MOVE OUT (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoOR AS OTHERWISE DIRECTED).

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of Tenant’s liability for Landlord's damages in case of default Tenant's default. Upon each occurrence of an Event of Default (hereinafter defined), Landlord may use all or part of the Security Deposit to pay delinquent payments due under this Lease, and the cost of any damage, injury, expense or liability caused by Tenant. Landlord may, from time to timesuch Event of Default, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent remedy provided herein or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsprovided by law. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to that Will restore the Security Deposit to its original amount. Landlord's obligation respecting the amount Security Deposit is that of a debtor, not a trustee; no interest shall accrue thereon. Subject to the requirements of, and conditions imposed by, laws applicable to security deposits under commercial leases, Landlord shall within the time required hereunderby applicable law (BUT IN NO EVENT LATER THAN THIRTY (30) DAYS AFTER THE FINAL WALK-THROUGH AND COMPLETION OF THE FINAL WALK-THROUGH PUNCH-LIST ITEMS OR AN EARLIER, from time MUTUALLY AGREEABLE, TERMINATION OF THIS LEASE), return to timeTenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by law. Landlord and Tenant agree that such deductions shall include, without limitation, all damages and losses that Landlord has suffered or that Landlord reasonably estimates that it will suffer as a result of any breach of this Lease by Tenant. If Landlord transfers its interest in the Complex during the term of this Lease, Premises Landlord may assign the Security Deposit to the transferee and, upon such transfer and upon assumption by such transferee the delivery to Tenant of liability an acknowledgement of the transferee's responsibility for the Security DepositDeposit as provided by law, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit Subject to the provisions of Section 5 of the Addendum attached hereto, Tenant shall be deposited deliver to Landlord at the time it executes this Lease the security deposit set forth in section 1.11 as security for Tenant’s faithful performance of Tenant’s obligations hereunder. If Tenant fails to pay Base Rent or other charges due hereunder, or otherwise defaults with respect to any provision of this Lease beyond applicable notice and cure periods, Landlord may use all or any portion of said deposit for the payment of any Base Rent or other charge due hereunder, to pay any other sum to which Landlord may become obligated by reason of Tenant’s default, or to reimburse Landlord for any loss or damage which Landlord may suffer thereby. If Landlord so uses or applies all or any portion of said deposit. Tenant shall within ten (10) days after written demand therefor deposit cash with Landlord by in an amount sufficient to restore said deposit to its full amount. Landlord shall not be required to keep said security deposit separate from its general accounts. If Tenant contemporaneously with the delivery by Tenant to Landlord performs all of this Lease. The Security Deposit shall be held Tenant’s obligations hereunder, said deposit, or so much thereof as has not heretofore been applied by Landlord, shall be returned, without liability payment of interest or other amount for interestits use, as security for to Tenant (or, at Landlord’s option, to the performance by Tenant last assignee, if any, of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following interest hereunder) at the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Leasehereof, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or in any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant event within thirty (30) days after Tenant has vacated the Premises. No trust relationship is created herein between Landlord and Tenant with respect to said security deposit. Tenant acknowledges that the security deposit is not an advance payment of the surrender any kind or a measure of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit Landlord’s damages in the form event of a Letter Tenant’s default. Tenant hereby waives the provisions of Credit in accordance any law which is inconsistent with Exhibit “M” attached heretothis section.

Security Deposit. Tenant shall deposit with Landlord, upon execution of this Lease, an amount equal to one (1) month’s Basic Monthly Rent, which shall be held by Landlord as security for the faithful performance by Tenant of all provisions, covenants and conditions of this Lease to be performed by Tenant. Said Security Deposit shall not bear interest and may be commingled with Landlord’s general funds. The Security Deposit may not be mortgaged, assigned, transferred or encumbered by Tenant and any such attempted act on the part of Tenant shall be deposited with Landlord by Tenant contemporaneously with the delivery without force and effect. If, at any time, any sum payable by Tenant to Landlord shall be overdue and unpaid (beyond applicable notice and cure periods), or if Tenant fails to keep and perform any other provision, covenant or condition of this Lease. The Security Deposit shall be held by LandlordLease (beyond applicable notice and cure periods), without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to timeat its option, without prejudice to appropriate and apply all or any other remedy, use portion of the Security Deposit to the extent necessary to make good payment of any arrearages of Rent such overdue sum or to satisfy compensate Landlord for all loss or damage suffered by Landlord due to such breach. Should any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security DepositDeposit be so appropriated and applied by Landlord, Tenant shall shall, upon written demand by Landlord, pay to Landlord on demand the within ten (10) days an amount so applied in order sufficient to restore the Security Deposit to the amount required hereunderoriginal amount. Should Tenant comply with all of the provisions, from time to time. If Landlord transfers its interest in the Complex during the term covenants, and conditions of this LeaseLease and promptly pay, Landlord may assign when due, all sums payable by Tenant, the Security Deposit to or the transferee balance remaining after the appropriations described herein and upon assumption by such transferee less the standard post move out cleaning charge of liability for the Security Deposit$300.00, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released returned to Tenant within thirty (30) days of after the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms termination of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide Landlord may deliver the Security Deposit to any person acquiring or succeeding to Landlord’s interest in this Lease, and the form original or preceding Landlord shall thereupon be discharged from any further liability with respect to such amount. The rights and remedies granted to Landlord pursuant to this Article are in addition to all other remedies of a Letter of Credit in accordance with Exhibit “M” attached heretoLandlord hereunder.

Security Deposit. The Security Deposit shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall and may be held by Landlord, Landlord in commingled accounts (without liability for interest, except to the extent required by Law) as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedytime while an event of default after expiration of the applicable cure period remains uncured, use all or a portion of the Security Deposit to cure any uncured default by Tenant, or for the extent necessary payment of any amount that Landlord may spend or become obligated to make good any arrearages spend by reason of Rent Tenant’s default, or to satisfy compensate Landlord for any other covenant loss or obligation damage that Landlord may suffer by reason of Tenant hereunder following the expiration of any applicable cure periodsTenant’s default. Following any such application of If Landlord uses the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. Provided that Tenant has performed all of its obligations hereunder, Landlord shall return any unapplied portion of the Security Deposit to Tenant within sixty (60) days after the later to occur of: (A) the date Tenant surrenders possession of the Premises to Landlord in accordance with this Lease; or (B) the Expiration Date. Tenant does hereby authorize Landlord to withhold from the Security Deposit all amounts allowed by Law and the amount required hereunderreasonably anticipated by Landlord to be owed by Tenant as a result of an underpayment of Tenant’s Pro Rata Share of any Operating Expenses for the final year of the Term. To the fullest extent permitted by applicable Law, Tenant agrees that the provisions of this Section 6 shall supersede and replace all statutory rights of Tenant under applicable Law regarding the retention, application or return of security deposits, including the provisions of Section 1950.7 of the California Civil Code, or any similar or successor Laws now or hereinafter in effect which (i) establish the time frame by which Landlord must refund collateral or security for performance of a tenant’s obligations under a lease, and/or (ii) provide that Landlord may claim from time collateral or security for performance of a tenant’s obligations under a lease only those sums reasonably necessary to timeremedy defaults in the payment of rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the act or omission of Tenant or any officer, employee, agent or invitee of Tenant. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may shall assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, thereafter Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord in a ---------------- separate account, i.e., an account expressly identified as being Tenant's Security Deposit and without Landlord's using any monies in the account for purposes other than refunding the Security Deposit or applying all or a portion of the Security Deposit to cure Tenant's defaults. The account will be maintained in a financial institution selected by Landlord; and provided that Tenant complies with the reasonable requests of the financial institution (such as supplying Tenant's taxpayer identification number and executing forms required by the financial institution), without liability for interest, all interest accruing on the account shall be paid annually to Tenant. It is expressly understood and agreed that the Security Deposit is intended solely as security for the performance by Tenant of Tenant’s 's covenants and obligations under this Lease, Lease and it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent rental or a measure of Tenant’s liability for Landlord's damages in case of default by TenantTenant upon the occurrence of any event of default by Tenant or upon termination of this Lease. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodshereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to timeits original amount. If Tenant is not in default at the conclusion of the 81st month of the Lease Term, then Landlord shall immediately return to Tenant one-sixth of the Security Deposit, thereby retaining in Landlord's account five-sixths of the Security Deposit which Landlord held through the first 81 months of the Lease Term. If Tenant is not in default at the conclusion of the 82nd month of the Lease Term, then Landlord shall immediately return to Tenant another one-sixth of the Security Deposit, thereby retaining in Landlord's account two-thirds of the Security Deposit which Landlord held through the first 81 months of the Lease Term. If Tenant is not in default at the conclusion of the 83rd month of the Lease Term, then Landlord shall immediately return to Tenant another one-sixth of the Security Deposit, thereby retaining in Landlord's account one-half of the Security Deposit which Landlord held through the first 81 months of the Lease Term. If Tenant is not in default at the conclusion of the 84th month of the Lease Term, then Landlord shall immediately return to Tenant another one-sixth of the Security Deposit, thereby retaining in Landlord's account one-third of the Security Deposit which Landlord held through the first 81 months of the Lease Term. If Tenant is not in default at the conclusion of the 85th month of the Lease Term, then Landlord shall immediately return to Tenant another one-sixth of the Security Deposit, thereby retaining in Landlord's account one-sixth of the Security Deposit which Landlord held through the first 81 months of the Lease Term. Upon the termination of this Lease, the balance of the Security Deposit shall be returned by Landlord to Tenant, except to the extent applied by Landlord to make good any arrearages of rent or to satisfy any other covenant or obligation of Tenant hereunder. If Intervest-Parkway, Ltd. or any subsequent Landlord transfers its interest in the Complex Premises during the term of this Lease, the assigning Landlord may shall assign the Security Deposit to the transferee transferee; and upon such assignment and the assignee's assumption by such transferee of liability for the Security DepositLandlord's obligations under this Lease, the assigning Landlord shall not have no any further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Concurrently with Tenant’s execution of this Lease, Tenant shall provide Landlord a letter of credit (“Letter of Credit”) in the amount of Two Hundred Nine Thousand Dollars ($209,000.00) and in a form reasonably acceptable to Landlord (the Letter of Credit and all proceeds thereof being referred to as the “Security “Deposit”). If Tenant defaults with respect to any provisions of the Lease, including but not limited to the provisions relating to payment of (i) Base Monthly Rent or other charges in default; or (ii) any other amount which Landlord may spend or become obligated to spend by reason of Tenant’s default, Landlord shall be entitled to draw the full amount of the Letter of Credit at any time by certifying the occurrence of such default to the issuer; thereafter, the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with in the delivery by Tenant to Landlord form of this Lease. The Security Deposit shall be cash held by Landlord. Landlord may, but shall not be obligated to, and without liability for interest, as security for the performance by waiving or releasing Tenant of Tenant’s covenants and obligations from any obligation under this Lease, it being expressly understood that use, apply or retain the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all whole or any part of the Security DepositDeposit reasonably necessary for the payment of any amount which Landlord may spend by reason of Tenant’s default or as necessary to compensate Landlord for any loss or damage which Landlord may suffer by reason of Tenant’s default, including without limitation loss of future rents due under this Lease upon termination of this Lease due to a default by Tenant must upon demand restore and other damages recoverable under California Civil Code Section 1951.2. Tenant shall keep the Letter of Credit in effect during the entire Lease Term, as the same may be extended, plus a period of four (4) weeks following the Expiration Date. At least thirty (30) days prior to expiration of any Letter of Credit, the term thereof shall be renewed or extended for a period of at least one (1) year. Tenant’s failure to so renew or extend the Letter of Credit shall be a material default of this Lease by Tenant. In the event Landlord draws against the Letter of Credit and the Security Deposit reverts to a cash held by Landlord, Tenant shall replenish the remaining Security Deposit such that the aggregate amount of Security Deposit available to Landlord at all times during the Lease Term is the amount required hereunder, from time to time. No application of the Security Deposit originally required. If Tenant performs every provision of this Lease to be performed by Landlord will Tenant, the Letter of Credit shall be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released returned to Tenant within thirty (30) days of after the Expiration Date and surrender of the Premises to Landlord, less any amount deducted in accordance with this Section, together with Landlord’s written notice itemizing the amounts and purposes for such deduction. Tenant hereby waives California Civil Code Section 1950.7(except section 1950.7(b)), or any similar law now or hereafter in effect which may have the effect of limiting the circumstances under which Landlord subject would be allowed to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide use or apply the Security Deposit or amount that could be so used or applied, or imposing a deadline for the return of the Security Deposit. In the event of termination of Landlord’s interest in this Lease, Landlord shall deliver the form of a Letter of Credit to Landlord’s successor in accordance interest in the Premises and thereupon be relieved of further responsibility with Exhibit “M” attached heretorespect to the Letter of Credit.

Security Deposit. The 9.1. Tenant has deposited with Landlord the sum set forth in Section 2.1.8 (together with all interest earned thereon, the "Security Deposit") in cash, ---------------- which Security Deposit shall be deposited held by Landlord as security for the performance by Tenant of all of the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the Term. If a Default occurs with respect to any provision of this Lease, including, but not limited to, any provision relating to the payment of Rent, Landlord may (but shall not be required to) use, apply or retain all or any part of the Security Deposit for the payment of any Rent or any other sum in Default, or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's Default. If any portion of the Security Deposit is so used or applied, Tenant shall, upon demand therefor, deposit cash with Landlord by Tenant contemporaneously with in an amount sufficient to restore the delivery by Tenant Security Deposit to Landlord its original amount, and Tenant's failure to do so shall be a material breach of this Lease. The Security Deposit shall be held by in an interest bearing account separate from Landlord's general fund. 9.2. In the event of bankruptcy or other debtor-creditor proceedings against Tenant, without liability the Security Deposit shall be deemed to be applied first to the payment of Rent and other charges due Landlord for interestall periods prior to the filing of such proceedings. 9.3. Landlord shall deliver the Security Deposit, as security for or any balance thereof following application of any portion of the performance by Tenant Security Deposit pursuant to the provisions of Tenant’s covenants Section 9.1, to any purchaser of Landlord's interest in the Demised Premises, and, upon such purchaser's written confirmation of receipt of the Security Deposit and assumption of Landlord's obligations under this Lease, it being expressly understood that Landlord shall be discharged from any further liability with respect to the Security Deposit Deposit. This provision shall not also apply to any subsequent transfers. 9.4. If Tenant shall fully perform every provision of this Lease to be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default performed by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon or any balance thereof following application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application portion of the Security Deposit by Landlord will be deemed pursuant to have cured Tenant’s default. Tenant waives all the provisions of LawsSection 9.1, now or hereinafter in forceshall be returned to Tenant (or, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect at Landlord's option, to the handling or return last assignee of security deposits. The Security Deposit will be released to Tenant Tenant's interest hereunder) within thirty (30) days of after the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms expiration or earlier termination of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Contemporaneously with the execution of this Lease, Tenant shall pay to Landlord the Security Deposit Deposit, which shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant’s performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or nor a measure or limit of TenantLandlord’s liability for damages upon an Event of Default (defined in case of default by TenantSection 17). Landlord may, from time to time, time following an Event of Default and without prejudice to any other remedy, use all or a part of the Security Deposit to perform any obligation Tenant fails to perform hereunder. Upon the extent necessary to make good any arrearages commencement of the 19th full calendar month of the Term, provided that an Event of Default by Tenant has not occurred hereunder, the amount of one (1) months’ Gross Full Service Rent or to satisfy any other covenant or obligation shall be taken from the Security Deposit and applied toward Gross Full Service Rent hereunder. Upon the commencement of the 31st full calendar month of the Term, provided that an Event of Default by Tenant hereunder following does not then exist hereunder, the expiration amount of any applicable cure periodsone (1) months’ Gross Full Service Rent shall be taken from the Security Deposit and applied toward Gross Full Service Rent hereunder. Following any such application of the Security DepositDeposit pursuant to an Event of Default, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount (or to its reduced amount, in accordance with the amount required foregoing provisions allowing for reduction of the Security Deposit on the 19th and 31st full calendar months of the Term, respectively). Provided that Tenant has performed all of its obligations hereunder, from time Landlord shall, within 30 days after the Term ends, return to timeTenant the portion of the Security Deposit which was not applied to satisfy Tenant’s obligations. The Security Deposit may be commingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during Premises and the term of transferee assumes Landlord’s obligations under this Lease, then Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The 22.01 Tenant shall deposit the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with upon the delivery by Tenant to Landlord execution of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, Lease in cash as security for the faithful performance and observance by Tenant of Tenant’s the terms, covenants and obligations under conditions of this Lease, it being expressly understood that including the surrender of possession of the Premises to Landlord as herein provided. Landlord shall not be required to pay Tenant any interest on the Security Deposit and shall not be considered an advance permitted to commingle the Security Deposit with other deposits and funds being held by Landlord. 22.02 If Tenant Defaults, beyond applicable notice and cure periods, in the payment or performance of any the terms, covenants or conditions of this Lease, including the payment of Rent Rent, Landlord may use, apply or a measure retain the whole or any part of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the cash Security Deposit to the extent necessary to make good required for the payment of any arrearages of Rent or to satisfy any other covenant sum as to which Tenant is in Default, including (a) any sum which Landlord may expend or obligation may be required to expend by reason of Tenant hereunder following the expiration of Tenant's Default, and (b) any damages to which Landlord is entitled pursuant to this Lease or applicable cure periods. Following any Laws, whether such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to timedamages accrue before or after summary proceedings or other reentry by Landlord. If Landlord transfers its interest in the Complex during the term of this Leaseuses, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all applies or retains any part of the Security Deposit, Tenant, upon demand, shall deposit with Landlord the amount so applied or retained so that Landlord shall have the full Security Deposit on hand at all times during the Term. If Tenant must upon demand restore shall fully and faithfully comply with all of the terms, covenants and conditions of this Lease, the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successorsso much thereof as remains) any obligation with respect to the handling or return of security deposits. The Security Deposit will shall be released returned to Tenant within thirty (30) no later than 45 days following the Expiration Date and after delivery of the surrender possession of the Premises to Landlord subject to any deductions made in the manner required by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant expressly agrees that Tenant shall provide have no right to apply any portion of the Security Deposit against any of Tenant's obligations to pay Rent hereunder. 22.03 Upon a sale of the Building or the Property or a leasing of the Building, or any financing of Landlord's interest therein, Landlord shall have the right to transfer the cash Security Deposit to the vendee, Tenant or Mortgagee. Tenant shall look solely to the new landlord or Mortgagee for the return of such cash Security Deposit, and the provisions of this Section shall apply to every transfer or assignment made of the Security Deposit to a new landlord. Tenant will not assign or encumber, or attempt to assign or encumber, the cash Security Deposit, and neither Landlord nor its successors or assigns shall be bound by any such actual or attempted assignment or encumbrance. 22.04 The cash Security Deposit, if any, shall not be deemed an advance Rent deposit or an advance payment of any other kind, or a measure or limitation of Landlord's damages or constitute a bar or defense to any of the Landlord's other remedies under this Lease or at Law or in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoequity upon Tenant's Default.

Security Deposit. The Contemporaneously with the execution of this Lease, Tenant shall pay to Landlord the Security Deposit (as defined in the Basic Lease Information), which shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant’s performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or a measure or limit of TenantLandlord’s liability for damages upon an Event of Default (as defined in case of default by TenantSection 17). Landlord may, at Landlord’s discretion, from time to time, time following an Event of Default and without prejudice to any other remedy, use all or a part of the Security Deposit to put the extent necessary Premises in the condition required under this Lease and to make good perform any arrearages of Rent obligation Tenant fails to perform hereunder or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsin connection with Landlord’s remedies under this Lease. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. Subject to the amount requirements of, and conditions imposed by, Laws applicable to security deposits under commercial leases, Landlord shall, within the time required hereunderby applicable Law, from time return to timeTenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by Law. Landlord and Tenant agree that such deductions shall include, without limitation, all damages and losses that Landlord has suffered or that Landlord reasonably estimates that it will suffer as a result of any breach of this Lease by Tenant. Unless required otherwise by applicable Law, the Security Deposit may be commingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may assign the Security Deposit to the transferee and, upon such transfer (and upon assumption by such transferee the delivery to Tenant of liability an acknowledgment of the transferee’s responsibility for the Security DepositDeposit if required by Law), Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will shall be released in the form of an irrevocable, unconditional letter of credit (the “Letter of Credit”). The Letter of Credit shall be addressed to Tenant within Landlord, issued in a form and substance similar to that attached hereto as Exhibit G and by a financial institution approved by Landlord, in Landlord’s sole discretion, shall be freely transferable without fee, and having an expiration date falling no sooner than ten (10) years and thirty (30) days of after the surrender of the Premises to Landlord subject to Commencement Date. Tenant agrees that upon any deductions made default by Landlord pursuant to Tenant under the terms and provisions of this Lease, Landlord shall have the right to receive payment under any Letter of Credit of the entire amount of such Letter of Credit at such time, and any such amounts received by Landlord shall be held by Landlord and applied in accordance with this Lease in the same manner as for a cash Security Deposit. Notwithstanding anything Provided no Event of Default shall have occurred under this Lease, the amount of the Security Deposit shall be reduced by $11,600.00 as of the second (2nd) anniversary of the Commencement Date, and by $54,800.00 as of each subsequent anniversary of the Commencement; provided, however, that in no event shall the Security Deposit be reduced to the contrary contained hereinan amount less than $127,794.00. Prior to any such reduction, Tenant shall provide the Security Deposit in the form of be required to have furnished to Landlord a replacement Letter of Credit in accordance with Exhibit “M” attached heretothe reduced amount of such Security Deposit.

Security Deposit. The Security Deposit, Guaranty or such other amount or form of security required by this Lease or held by Landlord (which amounts shall all be deemed subject to the provisions affecting the Security Deposit as provided in this Section 6) shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be and held by Landlord, Landlord without liability for interest, including on any amounts drawn or paid under such Guaranty, or other security (unless required by an unwaivable provision of Law) as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the obligations. The Security Deposit shall is not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenantdamages. Landlord may, may from time to time, time and without prejudice to any other remedyremedy provided in this Lease or by Law, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages of satisfy past due Rent or to satisfy any other covenant loss or obligation of Tenant hereunder following the expiration of damage resulting from ▇▇▇▇▇▇’s breach under this Lease. If Landlord uses any applicable cure periods. Following any such application portion of the Security Deposit, Tenant Tenant, within 5 days after demand, shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. Landlord shall return any unapplied portion of the amount required hereunderSecurity Deposit, minus a non-refundable cleaning fee equal to 10% of the first month’s Base Rent or $125, whichever is greater, to Tenant within 45 days after the later to occur of: (a) determination of the final Rent due from time Tenant; or (b) the later to timeoccur of the Expiration Date or the date Tenant surrenders the Premises to Landlord in compliance with Section 25. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to a successor or Transferee and, following the transferee and upon assumption by such transferee of liability for the Security Depositassignment, Landlord shall have no further liability for the return of such the Security Deposit. Upon application of Landlord shall not be required to keep the Security Deposit separate from its other accounts. To the fullest extent permitted by Law, Tenant hereby waives any and all or any part of applicable statutory requirements with respect to the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation including with respect to the handling how it is held, when it is returned or return of security deposits. The Security Deposit will interest due thereon, and agrees that any such matters shall be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant solely to the terms express provisions of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, Landlord without liability obligation for interest, interest thereon as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the . The Security Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of TenantLandlord’s liability for damages in case of default Tenant’s default. Upon each occurrence of a Default (as defined in Section 16), Landlord may use all or part of the Security Deposit to pay delinquent payments due under this Lease, and the cost of any damage, injury, expense or liability caused by Tenant. Landlord may, from time to timesuch Default, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent remedy provided herein or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsprovided by law. Following Upon any such application use of all or any portion of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to that will restore the Security Deposit to the amount required hereunderits original amount. Upon bankruptcy or other debtor-creditor proceedings against Tenant, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit shall be deemed to be applied first to the transferee payment of Rent and upon assumption by such transferee of liability other charges due Landlord for periods prior to the Security Deposit, Landlord shall have no further liability for the return filing of such Security Depositproceedings. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore Landlord’s obligation respecting the Security Deposit to the amount required hereunderis that of a debtor, from time to timenot a trustee; no interest shall accrue thereon. No application of the The Security Deposit by Landlord will shall be deemed the property of Landlord, but shall be paid to have cured Tenant when Tenant’s defaultobligations under this Lease have been completely fulfilled. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) Landlord shall be released from any obligation with respect to the handling Security Deposit upon transfer of this Lease and the Premises to a person or return entity assuming Landlord’s obligations under this Section 5. Tenant hereby waives the provisions of any law, now or hereafter in force, which provide that Landlord may claim from a security depositsdeposit only those sums reasonably necessary to remedy defaults in the payment of Rent, to repair damage caused by Tenant or to clean the Premises, it being agreed that Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the act or omission of Tenant or any officer, employee, agent or invitee of Tenant. The Security Deposit will be released Deposit, or any balance thereof (i.e., after deducting therefrom all amounts to Tenant within thirty (30) days of which Landlord is entitled under the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms provisions of this Lease. Notwithstanding anything ), shall be returned to Tenant (or, at Landlord’s option, to the contrary contained herein, Tenant shall provide last assignee of Tenant’s interest hereunder) within 90 days after the Security Deposit in the form expiration or earlier termination of a Letter of Credit in accordance with Exhibit “M” attached heretothis Lease.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, Landlord without liability for interest, interest and as security for the performance by Tenant of Tenant’s 's covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent rent or a measure of Tenant’s liability for Landlord's damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodshereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time its original amount. Landlord shall be entitled to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign commingle the Security Deposit to the transferee with other funds of Landlord, and upon assumption by such transferee of liability for the Security DepositDeposit shall not be deemed to be held in trust by Landlord for Tenant or any other person. Although the Security Deposit shall be deemed the property of Landlord, any remaining balance of such deposit shall be returned by Landlord to Tenant or Tenant's last permitted assignee at such time after termination of this Lease when Landlord shall have no further liability for determined that all of Tenant's obligations under this Lease (including, without limitation, the return obligations, of such Tenant to maintain and repair the Premises) have been fulfilled. On the occurrence of any events of default as described in the Lease, said Security DepositDeposit shall become due and payable to Landlord. Upon application of all or any part of If the Building is conveyed by Landlord, said Security DepositDeposit shall become due and payable to Landlord. If the Building is conveyed by Landlord, said Security Deposit may be paid over to Landlord's successor and, if so, Tenant must upon demand restore the Security Deposit to the amount required hereunder, hereby releases Landlord from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives any and all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation liability with respect to the handling said Security Deposit and its application or return of security depositsreturn. The Security Deposit will shall not be released to assigned or encumbered by Tenant within thirty (30) days without the written consent of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant and such assignment or encumbrance without Landlord's consent shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretobe void.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this LeaseLease by Landlord, Tenant shall deposit the sum of $120,000.00 (the “Escrow Deposit”) into an escrow account at Commercial Bank & Trust Co., ▇▇▇ ▇. The Security Deposit ▇▇▇▇▇▇▇▇▇▇ Road, Memphis, Tennessee 38117, (“Escrow Agent”) which sum shall be held by Landlord, without liability for interest, as security for the full, timely and faithful performance by Tenant of Tenant’s 's covenants and obligations under this Lease, it being expressly understood agreed that the Security such Escrow Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of Tenant’s liability for damages Landlord's damages. Provided Tenant is not, nor has been in case default of any material obligation hereunder, $24,000.00 of the amount held in escrow shall be released and disbursed to Tenant on each anniversary of the Commencement Date. Upon the occurrence of any event of default by Tenant. , Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit such funds to the extent necessary to make good any arrearages arrears of Rent rent or to satisfy other payments due Landlord hereunder, and any other covenant damage, injury, expense or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, liability caused by Tenant's default; and Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security security deposit to its original amount or to such lesser amount as shall then be required to be maintained by Tenant after any annual disbursements to Tenant previously made as stated above. Such escrow shall be held by Escrow Agent under its standard form of escrow agreement. The escrow agreement shall provide that the funds held in escrow will be invested and the interest paid to Tenant annually. Although the Escrow Deposit to shall be deemed the amount required hereunderproperty of Landlord, from any remaining balance of such deposit shall be returned by Landlord at such time to time. If Landlord transfers its interest in the Complex during the term after termination of this Lease, Landlord may assign whether by expiration of the Security Deposit term or exercise of Tenant's option to the transferee and upon assumption by such transferee of liability for the Security Depositterminate provided in Section 31.01c below, when Landlord shall have no further liability for the return of such Security Deposit. Upon application of determined that all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to Tenant's obligations under this Lease have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretobeen fulfilled.

Security Deposit. The Security Deposit shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with and shall be held by Landlord (without liability for interest, except to the delivery extent required by Tenant to Landlord Law) as security for the performance of Tenant’s obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenantdamages. Landlord may, from time to timetime while an event of default remains uncured, without prejudice to any other remedy, use all or a portion of the Security Deposit to the extent necessary to make good satisfy past due Rent, cure any arrearages uncured default by Tenant, or repay Landlord for damages and charges for which Tenant is legally liable under this Lease or resulting from Tenant’s breach of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsthis Lease. Following any such application of If Landlord uses the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount and such use by Landlord of the Security Deposit shall not constitute a cure of the existing event of default until such time as the entire amount owing to Landlord is paid in full and the Security Deposit is fully restored. Provided that Tenant has performed all of its obligations hereunder, Landlord shall return any unapplied portion of the Security Deposit to Tenant within 30 days after the later to occur of: (A) the date Tenant surrenders possession of the Premises to Landlord in accordance with this Lease; or (B) the Expiration Date. Tenant does hereby authorize Landlord to withhold from the Security Deposit all amounts allowed by Law and the amount required hereunderreasonably anticipated by Landlord to be owed by Tenant as a result of an underpayment of Tenant’s Pro Rata Share of any Excess Operating Expenses for the final year of the Term. To the fullest extent permitted by applicable Law, from time to timeTenant agrees that the provisions of this Article 6 shall supersede and replace all statutory rights of Tenant under applicable Law regarding the retention, application or return of security deposits. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may shall assign the Security Deposit to the transferee and, following the assignment and upon assumption by such transferee the delivery to Tenant of liability an acknowledgement of the transferee’s responsibility for the Security DepositDeposit if required by Law, Landlord shall have no further liability for the return of such the Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore Landlord shall not be required to keep the Security Deposit to the amount required hereunder, separate from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoother accounts.

Security Deposit. The Section 30.1 Tenant has deposited the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the full and faithful performance of every provision of this Lease to be performed by Tenant Tenant. If an Event of Tenant’s covenants and obligations under Default shall have occurred with respect to any provision of this Lease, it being expressly understood that including but not limited to the provisions relating to the payment of Fixed Rent and Additional Rent, Landlord may use, apply or retain all or any part of this Security Deposit for the payment of any Fixed or Additional Rent or any other sum in default or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of such Event of Default, or to compensate Landlord for any other loss, cost or damage which Landlord may suffer by reason of such Event of Default Landlord shall give Tenant notice contemporaneously with such use or application of any portion of the Security Deposit shall not be considered Tenant shall, within five (5) days after the giving of such notice, deposit with Landlord cash in an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order sufficient to restore the Security Deposit to the amount then required hereunder, from time pursuant to time. If Landlord transfers its interest in the Complex during the term terms of this Article 30 (Tenant’s obligation to make such payment shall be deemed a requirement that Tenant pay an item of Additional Rent) and Tenant’s failure to do so shall be a breach of this Lease. Landlord shall not, Landlord may assign the Security Deposit unless otherwise required by Legal Requirements, pay interest to the transferee and upon assumption by such transferee of liability for Tenant on the Security Deposit, and if Landlord is required to maintain the Security Deposit in an interest bearing account, Landlord will retain the maximum amount permitted under Legal Requirements as a bookkeeping and administrative charge. Tenant shall have no further liability for the return of such Security Deposit. Upon application of all not assign or encumber any part of the Security Deposit, and no assignment or encumbrance by Tenant must of all of any part of the Security Deposit shall be binding upon demand restore Landlord, whether made prior to, during, or after the Term. Landlord shall not be required to exhaust its remedies against Tenant or against the Security Deposit before having recourse to any other form of security held by Landlord and recourse by Landlord to any Security Deposit shall not affect any remedies of Landlord which are provided in this Lease or which are available to Landlord In law or in equity. If Tenant shall fully and faithfully perform every covenant and provision of this Lease to be performed and observed by Tenant, the Security Deposit or any balance thereof shall be returned to Tenant reasonably promptly after the expiration or sooner termination (other than a termination pursuant to Article 17) of the Term and Tenant’s surrender to Landlord of the Premises. In the event the Building is sold, Landlord shall transfer the Security Deposit to the amount required hereunder, new owner and Landlord shall thereupon be released by Tenant from time all liability for the return of said Security Deposit; and Tenant agrees to time. No application look to the new owner solely for the return of the Security Deposit by Landlord will Deposit. A lease of the entire Building shall be deemed a transfer within the meaning of the foregoing sentence. Landlord shall use reasonable efforts to notify or cause Tenant to be notified in the event of any transfer of the Building. Section 30.2 Landlord agrees to reduce the Security Deposit as set forth below. Landlord shall have cured Tenant’s default. no obligation to reduce and Tenant waives shall have no right to request a reduction in the Security Deposit unless all provisions of Laws, now or hereinafter in force, which restrict the amount or types following conditions have been satisfied on the date of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect the scheduled reduction to the handling or return Security Deposit: (a) No Event of security deposits. The Security Deposit will Default shall have occurred and be released to continuing under this Lease; and (b) there shall not have occurred any material adverse change in the financial condition of Tenant within thirty (30) days of from the surrender of condition described in the Premises financial statements submitted by Tenant to Landlord subject to any deductions made by Landlord pursuant in connection with this Lease. Section 30.3 Subject to the terms in Section 30.2, the Security Deposit shall be reduced from the original Two Hundred Thousand Dollars ($200,000.00), as follows: (a) On July 1, 2002, the Security Deposit shall be reduced by Twenty Five Thousand Dollars ($25,000.00) and such amount shall be applied to Fixed Rent; (b) On August 1, 2002, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; (c) On September 1, 2002, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; (d) On October 1, 2002, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; (e) On November 1, 2002, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; (f) On December 1, 2002, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; (g) On January 1, 2003, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; (h) On February 1, 2003, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent; and (i) On March 1, 2003, the Security Deposit shall be reduced by Twelve Thousand Five Hundred Dollars ($12,500.00) and such amount shall be applied to Fixed Rent. Notwithstanding anything herein to the contrary, the Security Deposit shall not be reduced below Seventy Five Thousand Dollars ($75,000.00) through the Term and all renewals of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, Landlord without liability for interest, interest and as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent rent or a measure of TenantLandlord’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodshereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. Landlord shall be entitled to commingle the amount required hereunderSecurity Deposit with other funds of Landlord, from and the Security Deposit shall not be deemed to be held in trust by Landlord for Tenant or any other person. Although the Security Deposit shall be deemed the property of Landlord, any remaining balance of such deposit shall be returned by Landlord to Tenant or Tenant’s last permitted assignee at such time after termination of this Lease when Landlord shall have determined that all of Tenant’s obligations under this Lease (including, without limitation, the obligations of Tenant to timemaintain and repair the Premises) have been fulfilled. On the occurrence of any events of default as described in the Lease, said Security Deposit shall become due and payable to Landlord. If the Building is conveyed by Landlord, said Security Deposit may be paid over to Landlord’s successor and, if so, Tenant hereby releases Landlord transfers from any and all liability with respect to said Security Deposit and its interest application or return. The Security Deposit shall not be assigned or encumbered by Tenant without the written consent of Landlord and such assignment or encumbrance without Landlord’s consent shall be void. (a) Tenant’s Security Deposit shall be in the Complex during form of a clean, irrevocable and unconditional letter of credit payable at sight in a form acceptable to Landlord in its sole discretion (“Letter of Credit”), which Letter of Credit shall be tendered by Tenant to Landlord on or before the term date of this Lease. and shall be in the form of the letter of credit attached hereto as Exhibit “E”. The Letter of Credit shall be issued by a bank or financial institution and branch, all approved by Landlord in its sole discretion (hereinafter referred to as the “Bank”) in favor of Landlord, as security for the faithful performance and observance by Tenant of the terms, conditions and provisions of this Lease, including without limitation the surrender of possession of the Premises to Landlord as herein provided. Landlord hereby approves ▇▇▇▇▇ Fargo Bank as the issuer of the Letter of Credit. Provided that Tenant is not in default under this Lease beyond any applicable grace or cure period on each annual anniversary of the issuance of the Letter of Credit, the amount of the Letter of Credit may assign be reduced by the Security Deposit to amount of Twenty-Five Thousand and 00/100 ($25,000.00) on the transferee first day of the sixteenth (16th) month following the Commencement Date, and upon assumption each twelve (12) months thereafter. The Letter of Credit shall have a term which expires no sooner than forty-five days after the Expiration Date, or Tenant may deliver a one (1) year unconditional and irrevocable Letter of Credit which by such transferee of liability its terms automatically, for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part remainder of the Security DepositTerm, Tenant must upon demand restore renews for successive one (1) year periods unless the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within Bank provides no less than thirty (30) days written notice to Landlord that such Letter of Credit shall not be renewed, in which event Landlord shall have the right to draw down the entire amount of the surrender Letter of Credit unless Tenant substitutes, prior to the expiration of such letter of Credit, a new Letter of Credit which meets the requirements of this Paragraph 32. The Letter of Credit shall permit multiple drawings and be fully transferable by Landlord without the payment of any fees or charges by Landlord. If Tenant defaults in respect of any of the Premises terms, conditions or provisions of this Lease including, but not limited to, the payment of Rent, and Tenant fails to cure any such default after any required notice and within any applicable cure period hereunder or if Landlord receives a notice that the Letter of Credit shall not be renewed, (i) Landlord shall have the right to require the Bank to make payment to Landlord subject or its designee of the entire proceeds of the Letter of Credit required to cure such default, and (ii) Landlord may, at the option of Landlord (but Landlord shall not be required to) apply or retain the whole or any deductions made part of such sum so paid to it by Tenant or the Bank to the extent required for the payment of any Rent or any other sum as to which Tenant is in default, and any damages to which Landlord is entitled pursuant to the terms Lease, whether such damages accrue before or after summary proceedings or other reentry by Landlord, and (iii) Landlord or any Superior Mortgagee shall hold the remainder of such sum paid to it by the Bank or Tenant, if any, for Landlord’s benefit, as security for the faithful performance and observance by Tenant of the terms, covenants, and conditions of this Lease on Tenant’s part to be observed and performed, with the same rights as hereinabove set forth to apply or retain the same in the event of any further default by Tenant under this Lease. If Landlord applies or retains any part of the proceeds of the Letter of Credit, Tenant shall, within five (5) business days after demand from Landlord, restore the Letter of Credit to its original amount and deliver it to Landlord or its designee the so that Landlord or its designee shall have the full Letter of Credit on hand at all times during the Term of this Lease (and any extension). Tenant’s failure to do so within ten (10) days of receipt of such demand shall constitute a breach of this Lease. Notwithstanding anything to Landlord shall, at the contrary contained hereinexpiration or earlier termination of this Lease (provided that such earlier termination was not the result of Tenant’s default that exhauster the Letter of Credit), Tenant shall provide return the Security Deposit in the form of a Letter of Credit to Tenant (but subject to offset by any draws made by Landlord as of such date or permitted under this Lease.) (b) In the event of a transfer, sale or lease of Landlord’s interest in the Building, Landlord shall transfer or cause to be transferred either the cash or Letter of Credit or any sums collected thereunder by Landlord, together with any other sums then held by Landlord or its designee as such security, to the transferee, vendee or lessee; Tenant, at its sole cost, shall arrange for the transfer of the Letter of Credit, and Landlord thereupon shall be released by Tenant from all liability under this Paragraph. Tenant agrees to look solely to the new landlord for the return of the cash or Letter of Credit or any sums collected thereunder and any other security, and it is agreed that the provisions hereof shall apply to every transfer or assignment made of the Letter of Credit or any sums collected thereunder and any other security to a new landlord. Tenant further covenants that it shall not assign or encumber, or attempt to assign or encumber, any part of such security and that neither Landlord nor its successors or assigns shall be bound by any such assignment, encumbrance, attempted assignment, or attempted encumbrance. Landlord shall not be required to exhaust its remedies against Tenant before having recourse to the Letter of Credit or such cash security held by Landlord. Recourse by Landlord to the Letter of Credit or such security shall not affect any remedies of Landlord which are provided in this Lease or which are available to Landlord in law or equity. (c) In the event that Tenant shall fully and faithfully comply with all of the terms, provisions, covenants and conditions of this Lease, the Letter of Credit except as same may have been applied by Landlord in accordance with Exhibit “M” attached heretothis Lease, shall be returned to Tenant promptly after the expiration of this Lease.

Security Deposit. The (i) On the Commencement Date, Charterer shall pay the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with into the delivery by Tenant designated account of the Participant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as further security for the prompt payment and performance by Tenant of Tenant’s covenants all existing and obligations future obligations, liabilities and indebtedness of Charterer arising under this LeaseCharter or under any additional Charter Document. Upon an Event of Default, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord Owner may, from time to time, without prejudice to any other available remedy, use apply the Security Deposit towards either the cure of the Event of Default (if a cure can be effected by the payment of money) or as compensation for any loss or damage arising from the Event of Default for which a monetary loss or damage is ascertainable. If at any time Owner applies part or all of the Security Deposit as specified above, the Charterer shall pay to Owner the amount so applied, so that Owner shall have on hand the full original Security Deposit or such lesser amount as is required under this Charter at such time after giving effect to those provisions of this Charter that authorize or permit the amount of the Security Deposit to be reduced from time to time. At the expiration of the Term of this Charter, if no Event of Default has occurred and is then continuing, Owner shall return the unapplied balance of the Security Deposit to the extent necessary Charterer. The Charterer agrees that it shall have no right to make good apply any arrearages portion of Rent or the Security Deposit against any of its obligations to satisfy any other covenant or obligation of Tenant hereunder following pay charter hire except as provided below in this Section 23(b). If Owner assigns its rights under this Charter and the expiration of any applicable cure periods. Following any such application of Charter Documents, and forwards the Security Deposit, Tenant to a transferee who assumes the obligations of Owner hereunder, Owner shall pay be released from liability with respect to Landlord the Security Deposit, but any transferee shall be and remain subject to all the provisions hereof with respect to the Security Deposit. The Charterer shall not mortgage, assign or encumber its interest in the Security Deposit, and any attempt to do so shall be void. (ii) Upon request by Charterer at any time after the thirty-sixth (36th) month of the Term, Owner shall return the Security Deposit (or any portion thereof requested by Charterer) to Charterer, provided that (A) no Event of Default under this Charter or under any other Charter Document has occurred and is then continuing, (B) there has not been any material adverse change in the business, condition (financial or otherwise), operations or properties of Charterer and/or the Guarantor, as determined by Owner and the Participants in their reasonable discretion, and (C) the Approved Time Charter has been renewed by ******, or a substitute time charter in form and substance satisfactory to Owner and the Participants in their reasonable discretion has been placed by Charterer, on demand equal or better terms and at or above then existing rates. Upon the amount so applied in order to restore return of any portion of the Security Deposit to Charterer, the amount required hereunderinstallments of charter hire payable under Section 2(a) will be adjusted by Owner, from time if necessary, to timemaintain the same net economic return as realized by Owner and the Participants prior to the release. If Landlord transfers its interest Owner shall notify Charterer of any such increase in the Complex during rate of charter hire payable hereunder and provide reasonable calculations evidencing the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by basis for such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord increase not less than ten (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (3010) days of the surrender of the Premises to Landlord subject prior to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoincrease.

Security Deposit. The Contemporaneously with the execution of this Lease, Tenant shall pay to Landlord the Security Deposit Deposit, which shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant’s performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or a measure or limit of TenantLandlord’s liability for damages in case upon an Event of default by TenantDefault (as defined herein). Landlord may, from time to time, without prejudice to any other remedytime following an Event of Default, use all or a part of the Security Deposit to the extent necessary perform any obligation Tenant fails to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsperform hereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its determined amount for that given calendar year. Subject to the amount requirements of, and conditions imposed by, Laws applicable to security deposits under commercial leases, Landlord shall, within the time required hereunderby applicable Law, from time return to timeTenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by Law. Landlord and Tenant agree that such deductions shall include, without limitation, all damages and losses that Landlord has suffered or that Landlord reasonably estimates that it will suffer as a result of any breach of this Lease by ▇▇▇▇▇▇. The Security Deposit may be commingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may will assign the Security Deposit to the transferee and, upon such transfer and upon assumption by such transferee the delivery to Tenant of liability an acknowledgement of the transferee’s responsibility 5 Approved Texas Industrial Lease Form Based On Master Lease Version 22 for the Security DepositDeposit as provided by Law, Landlord thereafter shall have no further liability for the return of such the Security Deposit. Upon application Provided no monetary Event of all or any part Default occurs prior to each anniversary of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained hereinCommencement Date, Tenant shall provide be entitled to a reduction of the Security Deposit in the form amount of a Letter $25,000.00 upon each anniversary of Credit the Commencement Date during the initial Term. The remainder of the Security Deposit as exists from time to time will be held and applied by Landlord in accordance with Exhibit “M” attached heretothe terms of this Section 6. To the extent Tenant is entitled to any such reduction, Landlord shall automatically apply the amount of such reduction as a credit against the monthly installment(s) of Basic Rent from Tenant next becoming due to Landlord with such credit being clearly delineated on the invoice submitted to Tenant.

Security Deposit. The Contemporaneously with the execution of this Lease, Tenant shall pay to Landlord the Security Deposit Deposit, which shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant’s performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an on advance payment of Rent or a measure or limit of TenantLandlord’s liability for damages in case upon an Event of default by TenantDefault (as defined herein). Landlord may, from time to time, time following an Event of Default and without prejudice to any other remedy, use all or a part of the Security Deposit to the extent necessary perform any obligation Tenant fails to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsperform hereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on within 15 days after demand the amount so applied in order to restore the Security Deposit to its original amount. Subject to the amount requirements of, and conditions imposed by. Laws applicable to security deposits under commercial leases, Landlord shall, within the time required hereunderby applicable Law, from time return to timeTenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by Law. Landlord and Tenant agree that such deductions shall include, without limitation, all damages and losses that Landlord has suffered as a result of any breach of this Lease by Tenant which have not been previously reimbursed by ▇▇▇▇▇▇. The Security Deposit may be comingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may assign the Security Deposit to the transferee and, upon such transfer and upon assumption by such transferee the delivery to Tenant of liability an acknowledgement of the transferee’s responsibility for the Security DepositDeposit as provided by Law, Landlord thereafter shall have no further liability for the return of such the Security Deposit. Upon application of all or any part of Notwithstanding the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s defaultforegoing. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict shall have the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect right to the handling or return of security deposits. The Security Deposit will be released elect to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of an unconditional, irrevocable and transferable letter of credit (such letter of credit and any renewals or substitutions thereof herein called the “Letter of Credit”) in the amount of the Security Deposit in a form mutually acceptable to all parties. The Letter of Credit shall at all times be (1) in accordance favor of Landlord, with amounts drawn thereunder available solely to Landlord upon Landlord’s delivery of a draft to the issuing bank in the form attached as Schedule I to Exhibit “M” 1 attached hereto., (2) issued by a national bank with a long term debt rating of AA (or better) as issued by ▇▇▇▇▇’▇ Investors Services, Inc., and otherwise acceptable to Landlord in its reasonable discretion, (3) in effect from the date of the Lease throughout the Term, as may be extended (or if for a shorter initial period, then subject to replacement/renewal as hereinafter provided), and (4) transferable (but only to a successor to Landlord, including without limitation Landlord’s Mortgagee, or any successors thereof or to an assignee of this Lease) solely upon Landlord’s delivery of a notice to the issuing bank in the form attached as Schedule II to Exhibit I.

Security Deposit. The Tenant concurrently with the execution of this Lease shall deposit the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interestand will keep on deposit at all times during the Term, and any extensions thereof, the sum set forth in the Basic Lease Information, the receipt of which is hereby acknowledged, as security for the performance payment by Tenant of Tenant’s all sums herein agreed to be paid and for the faithful performance of all the terms, conditions, and covenants and obligations under of this Lease. If, it being expressly understood that at any time during the Term, Tenant shall be in default in the performance of any provision of this Lease (after any applicable notice and cure periods), Landlord shall have the right to use said Security Deposit shall not be considered an advance Deposit, or so much thereof as necessary, in payment of Rent or a measure any sums in default as aforesaid, in reimbursement of any expense incurred by Landlord, and in payment of any damages incurred by Landlord by reason of Tenant’s liability for damages default. In such event, Tenant shall, on written demand of Landlord, forthwith remit to Landlord a sufficient amount in case of default by Tenant. Landlord may, from time cash to time, without prejudice to any other remedy, use restore the Security Deposit to its original amount. In the extent necessary event Security Deposit has not been utilized as aforesaid, the Security Deposit, or as much thereof as has not been utilized for such purposes, shall be refunded to make good any arrearages Tenant, without interest, within sixty (60) days after the later of Rent (i) termination of the Lease or to satisfy any other covenant or obligation (ii) surrender and acceptance of Tenant hereunder following the expiration Premises; provided, however, Landlord may retain the same as security for payment of any applicable cure periodsAdditional Rent attributable to the period prior to such termination until said amounts are calculated and paid in accordance with the provisions hereof. Following any Landlord shall have the right to commingle the Security Deposit with other funds of Landlord. Landlord shall deliver the funds deposited herein by Tenant to the purchaser of Landlord’s interest in the Premises in the event such application interest shall be sold, and thereupon Landlord shall be discharged from further liability with respect to the Security Deposit. If claims of Landlord exceed the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability remain liable for the Security Deposit, Landlord shall have no further liability for the return balance of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoclaims.

Security Deposit. The Security Deposit shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit and shall be held by Landlord, Landlord without liability for interest, interest (except as required by law) and as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s 's liability for damages in case of default by Tenantdamages. Landlord may, from time to time, without prejudice to any other remedy, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages arrearage of Rent Rent, to repair damages to the Premises, to clean the Premises upon termination of this Lease or otherwise to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodshereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. If Tenant is not in default at the amount required hereundertermination of this Lease, after Tenant surrenders the Premises to Landlord in accordance with this Lease and all amounts due Landlord from time Tenant are finally determined and paid by Tenant or through application of the Security Deposit, the balance of the Security Deposit remaining after any such application shall be returned to timeTenant. If Landlord transfers its interest in the Complex Premises during the term of this LeaseLease Term, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all Tenant agrees to look solely to such transferee or any part assignee for the return of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application Landlord and its successors and assigns shall not be bound by any actual or attempted assignment or encumbrance of the Security Deposit by Tenant, provided, however, if Tenant's interest in this Lease has been assigned, Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Lawsshall, now or hereinafter in force, which restrict the amount or types of claim provided that Landlord has been furnished with a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days fully executed copy of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained hereinagreement assigning such Security Deposit, Tenant shall provide return the Security Deposit in the form of a Letter of Credit to such assignee in accordance with Exhibit “M” attached heretothe terms and conditions hereof. If Landlord returns the Security Deposit to Tenant's assignee as aforesaid, Landlord will have no further obligation to any party with respect thereto. Landlord shall not be required to keep the Security Deposit separate from its other accounts.

Security Deposit. The Security Deposit shall be deposited Concurrently with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Tenant’s execution of this Lease. The Security Deposit , Tenant shall be held by Landlord, without liability for interest, deposit with Landlord the amount of $20,385.00 as security for the performance by Tenant of all of Tenant’s covenants and obligations under this Leaselease. Each time monthly fixed rent is increased, it being expressly understood that Tenant shall deposit additional cash with Landlord sufficient to increase the Security Deposit security deposit to the then current monthly fixed rent. Upon any default by Tenant under this lease, Landlord may, but shall not be considered an advance obligated to, use, apply or retain all or any part of the security deposit for the payment of Rent any rent in default, or any other liabilities which Landlord may incur as a measure result of or in connection with Tenant’s default. If any portion of the security deposit is so used or applied, Tenant shall, within five (5) days after written demand therefor, deposit cash with Landlord in an amount sufficient to restore the security deposit to the full amount required. Tenant’s failure to do so shall constitute a material default hereunder. Landlord shall not be required to keep the security deposit separate from its general funds, and Tenant shall not be entitled to receive interest on the security deposit unless required by applicable law. If Tenant complies with all of the provisions of this lease, the unused portion of the security deposit shall be returned to Tenant (or, at Tenant’s option, to the last assignee of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following interest hereunder) within thirty (30) days after the expiration of any applicable cure periods. Following any such application or sooner termination of the Security Deposit, Tenant shall pay lease term and the surrender of possession of the premises to Landlord on demand in the amount so applied in order to restore the Security Deposit to the amount condition required hereunder, from time to timehereby. If Landlord transfers or mortgages its interest in the Complex premises during the lease term and transfers or assigns any unapplied portion of this Lease, Landlord may assign the Security Deposit security deposit to the transferee and upon assumption by such transferee of liability for the Security Depositor mortgagee, Landlord shall have no further liability to Tenant (or any assignee of Tenant’s interest hereunder) with respect to the security deposit and Tenant shall look solely to such transferee or mortgagee for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretodeposit.

Security Deposit. The Security Deposit Tenant shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant pay to Landlord upon execution of this Lease a security deposit in the amount set forth in the Basic Lease Information as security for the faithful performance of all terms, covenants and conditions of this Lease. The Security Deposit security deposit shall be held increased on each Adjustment Date to equal the then-applicable Minimum Base Rent. Tenant agrees that Landlord may (but shall not be required to) apply the security deposit in whole or in part to remedy any damage to the Premises caused by LandlordTenant, Tenant’s Agents or Tenant’s Invitees, or any failure of Tenant to perform any other terms, covenants or conditions contained in this Lease, without waiving any of Landlord's other rights and remedies hereunder or at Law or in equity. Should Landlord use any portion of the security deposit to cure any Event of Default by Tenant hereunder, Tenant shall immediately replenish the security deposit to the original amount, and Tenant's failure to do so within five (5) days of Landlord's notice shall constitute a material Event of Default under this Lease. Landlord's obligations with respect to the security deposit are solely that of debtor and not trustee. Landlord shall not be required to keep the security deposit separate from its general funds, and Tenant shall not be entitled to any interest on such deposit. The amount of the security deposit shall not be deemed to limit Tenant's liability for interest, as security for the performance by Tenant of Tenant’s covenants and any of its obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to To the extent necessary that Landlord is not entitled to make good any arrearages of Rent retain or apply the security deposit pursuant to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security DepositSection, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty forty-five (3045) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms termination of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit (a) Tenant shall be deposited with pay Landlord upon execution and delivery hereof by Tenant contemporaneously with the delivery by Tenant to Landlord amount of this Lease. The $ (the “Security Deposit shall be held by Landlord, without liability for interest, Deposit”) as security for the full and faithful performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that each of the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default terms hereof by Tenant. Landlord may, from time shall [not] be required to time, without prejudice to any other remedy, use keep the Security Deposit separate from its general funds and Tenant shall [not] be entitled to the extent necessary to make good interest thereon. If an Event of Default occurs, Landlord may, but shall not be required to, use, apply or retain all or any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application part of the Security DepositDeposit for the payment of any Rent or any other sum in default, or for the payment of any other amount which Landlord may spend or become obligated to spend by reason of such Event of Default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of such Event of Default, including, without limitation, costs and attorneys’ fees incurred by Landlord to recover possession of the Premises. If any portion of the Security Deposit is so used or applied, Tenant shall pay to shall, upon demand therefor, deposit cash with Landlord on demand the in an amount so applied in order sufficient to restore the Security Deposit to its original amount and Tenant’s failure to do so shall constitute an Event of Default. (b) Tenant acknowledges that Landlord has the amount required hereunder, from time right to time. If Landlord transfers transfer or mortgage its interest in the Complex during the term of Building and in this Lease, and Tenant agrees that in the event of any such transfer or mortgage, Landlord may shall have the right to transfer or assign the Security Deposit to the transferee and upon assumption by or mortgagee. Upon such transferee transfer or assignment of liability for the Security Deposit, Landlord shall have no further be deemed released by Tenant from all liability or obligation for the return of the Security Deposit and Tenant shall look solely to such Security Deposit. Upon application of all transferee or any part mortgagee for the return of the Security Deposit. If Tenant shall fully and faithfully perform every provision of this Lease to be performed by it, Tenant must upon demand restore the Security Deposit or any balance thereof shall be returned to Tenant (or, at Landlord’s option, to the amount required last assignee of Tenant’s interest hereunder, from time to time. No application ) within 30 days following the expiration of the Security Deposit by Landlord will be deemed Term and surrender of possession of the Premises to have cured Tenant’s defaultLandlord. Tenant hereby waives all provisions of Lawslaw, now or hereinafter hereafter in force, which restrict the amount or types of provide that Landlord may claim that a landlord may make upon from a security deposit or imposes upon a landlord (or its successors) any obligation with respect only those sums reasonably necessary to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit remedy defaults in the form payment of a Letter Rent, to repair damage caused by Tenant or to clean the Premises; rather, Landlord may, in addition, claim those sums reasonably necessary to compensate Landlord for any other loss or damage, foreseeable or unforeseeable, caused by the act or omission of Credit in accordance with Exhibit “M” attached heretoTenant or any officer, employee, agent or invitee of Tenant.

Security Deposit. The Security Deposit shall be SECTION 29.1 Tenant has deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord sum of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, One Million and 00/100 Dollars ($1,000,000.00) as security for the full and faithful performance of every provision of this Lease to be performed by Tenant (all or any part of Tenant’s covenants and obligations under such amount, the "Security Deposit"). If an Event of Default shall have occurred with respect to any provision of this Lease, it being expressly understood that including but not limited to the provisions relating to the payment of Fixed Rent and Additional Rent, Landlord may use, apply or retain all or any part of this Security Deposit shall not be considered an advance for the payment of any Fixed or Additional Rent or a measure any other sum in default or for the payment of Tenant’s liability any other amount which Landlord may spend or become obligated to spend by reason of such Event of Default, or to compensate Landlord for damages in case any other loss, cost or damage which Landlord may suffer by reason of default by Tenantsuch Event of Default. Landlord may, from time to time, without prejudice to any other remedy, shall give Tenant notice contemporaneously with such use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration application of any applicable cure periods. Following any such application portion of the Security Deposit. Tenant shall, Tenant shall pay to within five (5) days after the giving of such notice, deposit with Landlord on demand the cash in an amount so applied in order sufficient to restore the Security Deposit to the amount then required pursuant to the terms of this Article 29 (Tenant's obligation to make such payment shall be deemed a requirement that Tenant pay an item of Additional Rent) and Tenant's failure to do so shall be a breach of this Lease. Landlord shall not, unless otherwise required by Legal Requirements, pay interest to Tenant on the Security Deposit, and if Landlord is required to maintain the Security Deposit in an interest bearing account, Landlord will retain the maximum amount permitted under Legal Requirements as a bookkeeping and administrative charge. Tenant shall not assign or encumber any part of the Security Deposit, and no assignment or encumbrance by Tenant of all of any part of the Security Deposit shall be binding upon Landlord, whether made prior to, during, or after the Term. Landlord shall not be required to exhaust its remedies against Tenant or against the Security Deposit before having recourse to any other form of security held by Landlord and recourse by Landlord to any Security Deposit shall not affect any remedies of Landlord which are provided in this Lease or which are available to Landlord in law or in equity. If Tenant shall fully and faithfully perform every covenant and provision of this Lease to be performed and observed by Tenant, the Security Deposit or any balance thereof shall be returned to Tenant reasonably promptly after the expiration or sooner termination (other than a termination pursuant to Article 16) of the Term and Tenant's surrender to Landlord of the Premises. In the event the Building is sold, Landlord shall transfer the Security Deposit to the new owner and Landlord shall thereupon be released by Tenant from all liability for the return of said Security Deposit; and Tenant agrees to look to the new owner solely for the return of the Security Deposit. A lease of the entire Building shall be deemed a transfer within the meaning of the foregoing sentence. Landlord shall use reasonable efforts to notify or cause Tenant to be notified in the event of any transfer of the Building. SECTION 29.2 In lieu of a cash deposit, Tenant may deliver to Landlord a clean, irrevocable, non-documentary and unconditional Letter of Credit issued by and drawn upon any commercial bank, trust company, national banking association or savings and loan association having offices for banking purposes in the City of New York and which is a member of the New York Clearinghouse Association (the "Issuing Bank") and which (or the parent company of which) shall have outstanding unsecured, uninsured and unguaranteed indebtedness, or shall have issued a letter of credit or other credit facility that constitutes the primary security for any outstanding indebtedness (which is otherwise uninsured and unguaranteed), that is then rated, without regard to qualification of such rating by symbols such as "+" or "-" or numerical notation, "Aa" or better by Mood▇'▇ ▇▇▇estors Service and "AA" or better by Standard & Poor's Corporation, and has combined capital, surplus and undivided profits of not less than $500,000,000.00, which Letter of Credit shall have a term of not less than one year, be in form and content satisfactory to Landlord (and substantially as shown on Exhibit D attached hereto and made a part hereof), be for the account of Landlord, be in the amount of the Security Deposit then required to be deposited hereunder, from time and be fully transferable by Landlord to timesuccessor owners of the Building without the payment of any fees or charges, it being agreed that if any such fees or charges shall be so imposed, then such fees or charges, shall be paid by Tenant. If Landlord transfers its interest in the Complex The Letter of Credit shall provide that it shall be deemed automatically renewed, without amendment, for consecutive periods of one year each thereafter during the term of this Lease, unless the Issuing Bank sends notice (the "Non-Renewal Notice") to Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Depositcertified mail, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Depositreceipt requested, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within not less than thirty (30) days next preceding the then expiration date of the surrender Letter of Credit that it elects not to have such Letter of Credit renewed. Additionally, the Letter of Credit shall provide that Landlord shall have the right, exercisable within twenty (20) days of its receipt of the Premises Non-Renewal Notice, by sight draft on the Issuing Bank, to Landlord subject receive the monies represented by the existing Letter of Credit and to any deductions made by Landlord hold such proceeds pursuant to the terms of this Section 29.2 as a cash security pending the replacement of such Letter of Credit. If an Event of Default shall have occurred and be continuing with respect to any provision of this Lease. Notwithstanding anything , including but not limited to the contrary contained hereinprovisions relating to the payment of Fixed Rent and Additional Rent, Tenant shall provide Landlord may apply or retain the Security Deposit in whole or any part of the form of a cash security so deposited or may notify the Issuing Bank and thereupon receive all the monies represented by the Letter of Credit and use, apply, or retain the whole or any part of such proceeds, as provided in accordance with Exhibit “M” attached heretothis Section 29.2. Any portion of the cash proceeds of the Letter of Credit not so used or applied by Landlord in satisfaction of the obligations of Tenant as to which such Event of Default shall have occurred shall be deposited by Landlord and retained in an interest-bearing account as provided in Section 29.

Security Deposit. The Security Deposit shall be Concurrently with the execution of this Lease, Tenant has deposited with Landlord the Security Deposit set forth in Subparagraph l(m) above to secure the full and faithful performance by Tenant contemporaneously with the delivery by Tenant to Landlord of this LeaseTenant's covenants and obligations hereunder. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants not bear interest and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent rent or a measure of Tenant’s liability for Landlord's damages in case of default by Tenant. Landlord shall have the right to commingle the Security Deposit with the other funds of Landlord. In the event Tenant defaults in the performance of any of the covenants and obligations to be performed by it hereunder, including, but not limited to the payment of all rent to be paid hereunder, Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent in rent or any sum as to satisfy which Tenant is in default and any other covenant damage, injury, expense or obligation liability caused to Landlord by such default, including any damages or deficiency in the reletting of Tenant hereunder following the expiration Premises, whether such damages or deficiency may accrue before or after termination of any applicable cure periodsthis Lease and including reasonable attorneys' fees incurred by Landlord in connection with such default or damage. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required its original amount. If Tenant is not then in default hereunder, from time any remaining balance of the Security Deposit shall be returned by Landlord to timeTenant upon termination of this Lease and after delivery of the entire possession of the Premises to Landlord in accordance with this Lease. If Landlord transfers assigns its interest in the Complex Premises during the term of this LeaseTerm, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Depositassignee and, thereafter, Landlord shall have no further liability for the return of such the Security Deposit, and Tenant agrees to look solely to the new landlord for the return of the Security Deposit. Upon application The provisions of all the preceding sentence shall apply to each and every transfer or assignment made of the Security Deposit to a new landlord. Tenant agrees that it will not assign or encumber or attempt to assign or encumber the moneys deposited herein as security, and that Landlord and its successors and assigns shall not be bound by any such actual or attempted assignment or encumbrance. Regardless of any assignment of this Lease by Tenant, Landlord may return the Security Deposit to the original Tenant in the absence of evidence satisfactory to Landlord to an assignment of the right to receive the Security Deposit or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretobalance thereof.

Security Deposit. The Security Deposit shall be deposited with delivered to Landlord upon the execution of this Lease by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit and shall be held by Landlord, Landlord without liability for interest, interest (except as required by law) and as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s 's liability for damages in case of default by Tenantdamages. Landlord may, from time to time, without prejudice to any other remedy, use all or a portion of the Security Deposit to the extent necessary to make good any arrearages arrearage of Rent Rent, to repair damages to the Premises, to clean the Premises upon termination of this Lease or otherwise to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodshereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. If Tenant is not in default at the amount required hereundertermination of this Lease, after Tenant surrenders the Premises to Landlord in accordance with this Lease and all amounts due Landlord from time Tenant are finally determined and paid by Tenant or through application of the Security Deposit, the balance of the Security Deposit remaining after any such application shall be returned to timeTenant. If Landlord transfers its interest in the Complex Premises during the term of this LeaseLease Term, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all Tenant agrees to look solely to such transferee or any part assignee for the-return of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application Landlord and its successors and assigns shall not be bound by any actual or attempted assignment or encumbrance of the Security Deposit by Tenant, provided, however, if Tenant's interest in this Lease has been assigned, Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Lawsshall, now or hereinafter in force, which restrict the amount or types of claim provided that Landlord has been furnished with a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days fully executed copy of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained hereinagreement assigning such Security Deposit, Tenant shall provide return the Security Deposit in the form of a Letter of Credit to such assignee in accordance with Exhibit “M” attached heretothe terms and conditions hereof. If Landlord returns the Security Deposit to Tenant's assignee as aforesaid, Landlord will have no further obligation to any party with respect thereto. Landlord shall not be required to keep the Security Deposit separate from its other accounts.

Security Deposit. Upon execution of this Second Amendment, Tenant shall deposit with Landlord a Security Deposit in the amount of $33,615.40. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with secure Tenant’s obligations under this Lease to pay rent and other monetary amounts, to maintain the delivery by Tenant Premises and repair damages thereto, to surrender the Premises to Landlord in clean and sanitary condition and repair upon termination of this LeaseLease as required pursuant to Article 18.15 of the Lease and to discharge Tenant’s other obligations hereunder. Landlord may use and commingle the Security Deposit with other funds of Landlord. If Tenant fails to perform Tenant’s obligations hereunder, Landlord may, but without any obligation to do so, apply all or any portion of the Security Deposit towards fulfillment of Tenant’s unperformed obligations after giving notice to Tenant of Landlord’s intentions, the reason for such application, and documentation or other evidence supporting Landlord’s decision. If Landlord does so apply any portion of the Security Deposit, Tenant, shall immediately pay Landlord a sufficient amount in cash to restore the Security Deposit to the full original amount. In the event that Landlord shall expend the same in order to cure Tenant’s default hereunder, Tenant’s failure to forthwith remit to Landlord a sufficient amount in cash to restore the Security Deposit to the original sum deposited within five (5) days after Tenant’s receipt of notice from Landlord that such amounts have been so expended shall constitute an Event of Default. The Security Deposit shall be held by Landlord, Landlord without liability for interest. Upon termination of this Lease, as security for the performance by if Tenant has then performed all of Tenant’s covenants and obligations hereunder, Landlord shall return the Security Deposit to Tenant within 15 business days. If Landlord sells or otherwise transfers Landlord’s rights or interest under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use may deliver the Security Deposit to the extent necessary transferee, whereupon Landlord shall be released from any further liability to make good any arrearages of Rent or Tenant with respect to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay . The Letter of Credit delivered to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part accordance with Section 4.05 of the Security DepositLease shall, upon payment by Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit required by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Lawsthis Section 6, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released and delivered to Tenant within thirty (30) days of by Landlord; provided Tenant is not in default under the surrender of the Premises to Landlord subject to Lease beyond any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoapplicable cure period.

Security Deposit. The Upon executing this Lease, Tenant shall deliver to Landlord cash (the “Security Deposit”) in the amount specified as the Security Deposit shall be deposited with Landlord by Tenant contemporaneously with in the delivery by Tenant to Landlord of this LeaseBasic Lease Information. The Security Deposit shall be held by Landlord, without liability for interest, as security for secure the performance by Tenant of all of Tenant’s covenants and obligations under this Lease, it being expressly understood that including ▇▇▇▇▇▇’s obligation to pay Rent and other monetary amounts, to maintain the Premises and repair damages thereto, and to surrender the Premises to Landlord upon termination of this Lease in the condition required pursuant to Section 8 below. Landlord may use and commingle the Security Deposit shall not be considered an advance payment with other funds of Rent Landlord. If ▇▇▇▇▇▇ fails to perform Tenant’s obligations hereunder, Landlord may, but without any obligation to do so, apply all or a measure any portion of the Security Deposit towards fulfillment of Tenant’s liability for damages in case of default by Tenantunperformed obligations. If Landlord may, from time to time, without prejudice to does so apply all or any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security DepositDe posit, Tenant Tenant, upon written demand by Landlord, shall immediately pay to Landlord on demand the a sufficient amount so applied in order cash to restore the Security Deposit to the full original amount. Tenant’s failure to pay to Landlord a sufficient amount required hereunder, from time in cash to timerestore the Security Deposit to its original amount within five (5) days after receipt of such demand shall constitute an Event of Default. If Landlord transfers its Tenant shall not be entitled to interest in on the Complex during Security Deposit. Within thirty (30) days after the term expiration or earlier termination of this Lease, if ▇▇▇▇▇▇ has then performed all of Tenant’s obligations hereunder, Landlord may assign shall return the Security Deposit to Tenant. If Landlord sells or otherwise transfers Landlord’s rights or interest under this Lease, Landlord deliver the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposittransferee, whereupon Landlord shall have no be released from any further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, to Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoDeposit.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this Lease, Tenant shall deposit a security deposit ("SECURITY DEPOSIT") in the amount set forth in Paragraph 1. The Security Deposit shall be held by with Landlord. If Tenant is in default, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, can use the Security Deposit or any portion of it to cure the default or to compensate Landlord for any damages sustained by Landlord resulting from Tenant's default. Upon demand, Tenant shall immediately pay to Landlord a sum equal to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application portion of the Security Deposit, Tenant shall pay to Deposit expended or applied by Landlord on demand the amount so applied in order to restore the Security Deposit to its full amount including any interest which would have been earned on the amount required hereunderportion of the Security Deposit expended or applied by the Landlord, from time the date of such expense or application. In no event will Tenant have the right to timeapply any part of the Security Deposit to any Rent due under this Lease. If Landlord transfers its interest Tenant is not in default at the Complex during the term expiration or termination of this Lease, Landlord may assign shall return the Security Deposit to Tenant. Landlord's obligations with respect to the transferee Security Deposit are those of a debtor and upon assumption by such transferee of liability for not a trustee, and Landlord can commingle the Security Deposit with Landlord's general funds. Landlord shall not be required to pay Tenant interest on the Security Deposit. Landlord shall be entitled to immediately endorse and cash Tenant's Security Deposit; however, such endorsement and cashing shall not constitute Landlord's acceptance of this Lease. In the event Landlord does not accept this Lease, Landlord shall have no further liability for the return of such said Security Deposit. Upon application Subject to the provisions of all or any part of Paragraph 30. below, each time the Security DepositBase Rent is increased, Tenant must upon demand restore shall deposit additional funds with Landlord sufficient to increase the Security Deposit to an amount which bears the amount required hereunder, from time same relationship to time. No application of the Base Rent as the initial Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect bore to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoinitial Base Rent.

Security Deposit. The If Tenant shall pay to Landlord a Security Deposit, or if any amount tendered by Tenant to Landlord shall become a Security Deposit pursuant to the terms of this Lease, such Security Deposit shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant’s performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or a measure or limit of TenantLandlord’s liability for damages in case upon an Event of default by TenantDefault (as defined herein). Landlord may, from time to time, time following an Event of Default and without prejudice to any other remedy, use all or a part of the Security Deposit to the extent necessary perform any obligation Tenant fails to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsperform hereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required its original amount. Provided that Tenant has performed all of its obligations hereunder, from time Landlord shall, within 30 days after the expiration of the Term and Tenant’s surrender of the Premises in compliance with the provisions of this Lease, return to timeTenant the portion of the Security Deposit which was not applied to satisfy Tenant’s obligations. The Security Deposit may be commingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during Premises and the term of transferee assumes Landlord’s obligations under this Lease, then Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord thereafter shall have no further liability for the return of such the Security Deposit. Upon application The rights and obligations of all or Landlord and Tenant under this Section 31 are subject to any part of other requirements and conditions imposed by Laws applicable to the Security Deposit. LANDLORD AND TENANT EXPRESSLY DISCLAIM ANY IMPLIED WARRANTY THAT THE PREMISES ARE SUITABLE FOR TENANT’S INTENDED COMMERCIAL PURPOSE. This Lease is executed on the respective dates set forth below, Tenant must upon demand restore the Security Deposit to the amount required hereunderbut for reference purposes, from time to time. No application this Lease shall be dated as of the Security Deposit by Landlord will date first above written. If the execution date is left blank, this Lease shall be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days executed as of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Leasedate first written above. Notwithstanding anything to the contrary contained hereinLANDLORD: BMC SOFTWARE TEXAS, Tenant shall provide the Security Deposit in the form of L.P., a Letter of Credit in accordance with Exhibit “M” attached hereto.Texas limited partnership By: BMC Software Texas, Inc., a Texas corporation, its general partner By: /s/ ▇▇▇▇▇ ▇▇▇▇▇▇▇ Name: ▇▇▇▇▇ ▇▇▇▇▇▇▇ Title: Vice President Execution Date: August 18, 2005 TENANT: OMEGA PROTEIN CORPORATION, a Nevada corporation By: /s/ ▇▇▇▇ ▇. Held Name : ▇▇▇▇ ▇. Held Title: Executive Vice President Execution Date: August 18, 2005

Security Deposit. The Security Deposit This Section 4 shall be deposited with Landlord by Tenant contemporaneously with not apply to Pharmedium Healthcare Corporation as the delivery by Tenant original tenant under this Lease, or to Landlord any affiliate of Pharmedium Healthcare Corporation (either, a “Pharmedium Party”), but shall apply to any subsequent party succeeding to the interests of a Pharmedium Party under this Lease. The Upon the earlier of (i) the execution of any assignment of the tenant’s interest in this Lease to any party other than a Pharmedium Party, or (ii) the date on which any party other than a Pharmedium Party shall take possession of the Premises, Tenant shall deposit with Landlord the amount specified in the Basic Lease Information as the Security Deposit shall be held by Landlord, without liability for interest(the “Security Deposit”), as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, may (but shall have no obligation to) use the Security Deposit or any portion thereof to the extent necessary to make good cure any arrearages Event of Rent Default under this Lease or to satisfy compensate Landlord for any other covenant or obligation damage Landlord incurs as a result of Tenant hereunder following the expiration Tenant’s failure to perform any of any applicable cure periodsTenant’s obligations hereunder. Following any In such application of the Security Deposit, event Tenant shall pay to Landlord on demand the an amount so applied in order sufficient to restore replenish the Security Deposit to the amount required hereunder, from time to timeDeposit. If Landlord transfers its interest Tenant is not in default at the Complex during the term expiration or termination of this Lease, Landlord shall return to Tenant the Security Deposit or the balance thereof then held by Landlord and not applied as provided above. Landlord may assign commingle the Security Deposit with Landlord’s general and other funds. Landlord shall not be required to pay interest on the Security Deposit to the transferee and upon assumption by such transferee Tenant. The provisions of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all this Section 4 do not in any way alter or expand any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now (including any Pharmedium Party) rights or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation obligations with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days assignment of the surrender of Lease or subletting the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of as otherwise provided in this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this Lease. The , Tenant shall pay to Landlord the Security Deposit shall be held by Landlord, without liability for interest, specified in Paragraph 1.7 above as security for the Tenant’s performance by Tenant of all of Tenant’s covenants and obligations under this Lease; provided, however, that the Security Deposit is not an advance rent deposit or an advance payment of any other kind, nor a measure of Landlord’s damages upon Tenant’s default. Landlord shall not be required to segregate the Security Deposit from its other funds and no interest shall accrue or be payable to Tenant with respect thereto. Landlord may (but shall not be required to) use the Security Deposit or any portion thereof to cure any Event of Event of Default or to compensate Landlord for any damage Landlord incurs as a result of Tenant’s failure to perform any of its covenants or obligations hereunder, it being expressly understood that any use of the Security Deposit shall not be considered an advance payment of Rent constitute a bar or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice defense to any other remedyof Landlord’s remedies under this Lease or at law. In such event and upon written notice from Landlord to Tenant specifying the amount of the Security Deposit so utilized by Landlord and the particular purpose for which such amount was applied, use Tenant shall immediately deposit with Landlord an amount sufficient to return the Security Deposit to an amount equal to one hundred ten percent (110%) of the extent necessary amount specified in Paragraph 1.7 as the same may have been increased by prior applications of this Paragraph 5. Tenant’s failure to make good any arrearages such payment to Landlord within five (5) business days of Rent or to satisfy any other covenant or obligation Landlord’s notice shall constitute an Event of Event of Default. If Tenant hereunder following is not in default at the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term or termination of this Lease, Landlord may assign shall return to Tenant the Security Deposit or the balance thereof then held by Landlord; provided, however, that in no event shall any such return be construed as an admission by Landlord that Tenant has performed all of its covenants and obligations hereunder. No holder of a Superior Interest (as defined in Paragraph 16.8 below), nor any purchaser at any judicial or private foreclosure sale of the Industrial Center or any portion thereof, shall be responsible to the transferee and upon assumption by such transferee of liability Tenant for the Security Deposit, Landlord Deposit unless and only to the extent such holder or purchaser shall have no further liability for actually received the return same. Tenant hereby unconditionally and irrevocably waives the benefits and protections of California Civil Code Section 1950.7, and, without limitation of the scope of such Security Deposit. Upon application of waiver, acknowledges that Landlord may use all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, compensate Landlord for damages resulting from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms termination of this LeaseLease and the tenancy created hereunder (including, without limitation, damages recoverable under California Civil Code Section 1951.2). Notwithstanding anything to the contrary contained hereinabove, Tenant shall provide if additional space is added to the Premises after the date hereof, then the amount of the Security Deposit provided for above shall, effective as of the Lease commencement date as to the subject additional space, be increased so that, based on the new total rentable square footage of the Premises (with the additional space added thereto) the amount of the Security Deposit is the same amount per rentable square foot of the Premises that was in effect on the form of a Letter of Credit in accordance with Exhibit “M” attached heretodate immediately prior to the date the subject additional space was added to the Premises.

Security Deposit. Upon execution of the Concession Agreement, Concessionaire shall deposit with the Trust the amount provided in Part I, Section 1.8 (“Security Deposit”) by certified check payable to “▇▇▇▇▇▇ River Park Trust” or to the order of such other entity as The Trust may designate in writing. The Trust may use, retain or apply all or any portion of the Security Deposit shall be deposited with Landlord to satisfy any cost or expense arising from the occurrence of a default by Tenant contemporaneously Concessionaire hereunder, or any other cost or expense incurred by The Trust in connection with the delivery failure of Concessionaire to pay Fees hereunder, when such Fees or other amount becomes due and payable, or the failure of Concessionaire to perform when due any other term, covenant or condition of the Concession Agreement, or to satisfy any liability incurred by Tenant Concessionaire to Landlord the Trust, provided that the application of this Leaseany portion of the Security Deposit to the cure of any such default shall not be deemed to have cured such default unless the entire outstanding amount due or damages suffered by the Trust shall have been paid in full. If the Trust uses or applies the Security Deposit or any part thereof for any of the foregoing purposes, Concessionaire shall immediately deposit with The Trust an amount sufficient to restore the Security Deposit to its amount prior to such use or application. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit returned to the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant Concessionaire within thirty (30) days after the expiration or termination of the surrender Concession Agreement, without interest, subject to any outstanding substantiated claims, costs or liabilities that the Trust, has or may reasonably expect to have, that are attributable to or arise out of the use of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoConcessionaire.

Security Deposit. The On or before January 1, 2021, Tenant shall pay to Landlord the Security Deposit Deposit, which shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant's performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or a measure or limit of Tenant’s liability for Landlord's damages in case upon an Event of default by TenantDefault (as defined herein). Landlord may, from time to time, time following an Event of Default and without prejudice to any other remedy, use all or a part of the Security Deposit to the extent necessary perform any obligation Tenant fails to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsperform hereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. Subject to the amount requirements of, and conditions imposed by, Laws applicable to security deposits under commercial leases, Landlord shall, within the time required hereunderby applicable Law, from time return to timeTenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by Law. Landlord and Tenant agree that such deductions shall include, without limitation, all damages and losses that Landlord has suffered as a result of any breach of this Lease by Tenant. The Security Deposit may be commingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may shall assign the Security Deposit to the transferee and, upon such transfer and upon assumption by such transferee the delivery to Tenant of liability an acknowledgement of the transferee's responsibility for the Security DepositDeposit as provided by this Lease and the Law, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Tenant hereby agrees to pay to Landlord a security deposit of eight thousand seven hundred twenty-seven dollars ($8,727), which is equal to first month’s Base Rental, on the day this Lease is executed by Tenant contemporaneously with (the delivery by Tenant to Landlord “Security Deposit”). Upon the occurrence of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant any Event of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default Default by Tenant. , Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages arrears of Rent Base Rental or to satisfy Additional Rental or any other covenant payment obligation hereunder, including, but not limited to, the cost of any damage, injury, expense, or obligation liability caused by any Event of Default by Tenant hereunder following hereunder. Any remaining balance of the Security Deposit shall be returned by Landlord to Tenant within a reasonable period of time after the termination or expiration of this Lease and the satisfaction of Tenant’s obligations hereunder. The Security Deposit shall not be considered an advance payment of rental or a measure of Landlord’s damages in case of default by Tenant. Tenant shall not be entitled to receive and shall not receive any applicable cure periodsinterest on the Security Deposit, and Landlord may commingle the same with other monies of Landlord. Following In the event Landlord applies the Security Deposit or any portion thereof to the payment of any sum described above and this Lease is not terminated, Tenant shall immediately deposit with Landlord an amount of money equal to the amount so applied, and such amount shall be deemed to be part of the Security Deposit. In the event of a sale or transfer of Landlord’s interest in the Premises, Landlord shall have the right to transfer the Security Deposit to the purchaser or lessor, as the case may be, and upon any such application transfer and acknowledgement of receipt of Security Deposit by such transferee, Landlord shall be relieved of all liability to Tenant for the return of the Security Deposit, and Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit look solely to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability new owner or lessor for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, Landlord as security for the performance by Tenant of Tenant’s covenants and 's obligations under this Lease, it being expressly understood that the . The Security Deposit shall is not be considered an advance payment of Rent rental deposit or a measure of Tenant’s liability for Landlord's damages in case of default Tenant's default. Upon each occurrence of an Event of Default (hereinafter defined), Landlord may use all or part of the Security Deposit to pay delinquent payments due under this Lease, and the cost of any damage, injury, expense or liability caused by Tenant. Landlord may, from time to timesuch Event of Default, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of Rent remedy provided herein or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsprovided by law. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to that will restore the Security Deposit to its original amount. Landlord's obligation respecting the amount required hereunderSecurity Deposit is that of a debtor, from time not a trustee; no interest shall accrue thereon. The Security Deposit shall be the property of Landlord, and unless used by Landlord as set forth above, shall be paid to time. If Landlord transfers its interest in Tenant within 30 days of the Complex during the term expiration or termination of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, . Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, be released from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days upon transfer of the surrender of this Lease and the Premises to a person or entity assuming Landlord's obligations under this Paragraph 5. At Tenant's election, the Security Deposit may be in the form of an unconditional, irrevocable letter of credit from a bank reasonably acceptable to Landlord, and in substantially similar form as attached hereto as Addendum 5 to this Lease or in another form reasonably acceptable to Landlord. The letter of credit shall either provide that it shall automatically renew during each year of the Lease Term or shall otherwise be renewed at least 30 days prior to its expiration during the term of the Lease (it being agreed that Tenant may elect at any time to substitute cash for the letter of credit). The letter of credit shall provide that it may be drawn down upon by Landlord subject at any time Landlord delivers its sight draft to any deductions made the bank, together with a "drawing" request in the form of Exhibit E annexed hereto. If Landlord sells or conveys the Premises, Tenant shall, at Landlord's request (and at no expense to Tenant), cooperate in having the letter of credit transferred to the purchaser. If the letter of credit is ever drawn upon by Landlord pursuant to the terms of this Lease. Notwithstanding anything the Lease and Addendum 5 to the contrary contained hereinLease, Tenant shall provide within ten (10) days thereafter cause the Security Deposit letter of credit to be restored to its original amount. Landlord shall not draw on the letter of credit unless and until (i) an Event of Default occurs or (ii) the expiration or termination of the Lease Term occurs and Tenant has defaulted in the form of a Letter of Credit in accordance with Exhibit “M” attached heretoits obligations under Paragraph 21 below.

Security Deposit. The Tenant shall deposit with Landlord, upon ▇▇▇▇▇▇’s execution of this Lease, the sum of Four Thousand Four Hundred Forty-One Dollars and 67/100 ($4,441.67), to be held by Landlord as Tenant’s “Security Deposit.” Such Security Deposit shall be deposited with equal to one monthly installment of Base Rent unless otherwise adjusted as provided for in 3.G. above. 1. If at any time during this Agreement the Security Deposit then held on account by Landlord by becomes less than the prevailing monthly installment of Base Rent, Tenant contemporaneously with the delivery by Tenant will make an additional payment to Landlord of this Lease. The so that the Security Deposit shall be held by LandlordLandlord is increased to equal one monthly installment of Base Rent, unless otherwise adjusted as provided for in 3.G. above. 2. Landlord shall hold such Security Deposit without liability for interest, interest as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that . Landlord may commingle the Security Deposit with Landlord's other funds, and no trust relationship is created with respect to the Security Deposit. Tenant shall not assign, otherwise transfer, or encumber or attempt to assign, otherwise transfer, or encumber the Security Deposit, and Landlord and its successors and assigns shall not be considered bound by any actual or attempted assignment, other transfer, or encumbrance. Regardless of any assignment, other transfer, or encumbrance of the Security Deposit by ▇▇▇▇▇▇, Landlord may return the Security Deposit to the Tenant. 3. The Security Deposit is not an advance payment of Rent or a measure of Tenant’s liability for liquidated damages in case of default by Tenant. Upon the occurrence of any event of default, Landlord may, from time to time, without prejudice to any other remedyremedy provided herein or provided by Law, use the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy and any other covenant damage, injury, expense or obligation liability caused to Landlord by such event of Tenant hereunder following the expiration of any applicable cure periodsdefault. Following any such application of the Security Deposit, Tenant shall pay to Landlord Landlord, on demand demand, the amount so applied in order to fully restore the Security Deposit to the amount its required amount. 4. If Tenant is not then in default hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord less any lawful deductions by Landlord, shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit be returned by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within with an accounting of said deductions taken no later than thirty (30) days following the termination or expiration of this Hangar Lease. Permitted deductions from the surrender Security Deposit may include but not be limited to: unpaid Base Rent; unpaid utility charges incurred by Tenant; unpaid service charges; damages by Tenant to the Premises (beyond normal wear and tear) or repairs by Landlord; replacement cost of Landlord’s property that was in or attached to the Premises and is missing; cost to replace unreturned keys; agreed reletting charges; Landlord’s cost of cleaning the Premises to a broom- swept condition if required; Landlord’s cost of removal of any trash or debris left in the Premises; Landlord’s cost of the removal and storage of Tenant’s personal property left or abandoned by Tenant or otherwise disposed of by Landlord; Landlord’s cost of removal of unauthorized vehicles or aircraft left on the Premises; government fees or fines against Landlord subject to any deductions made because of Tenant; late fees and other costs of collection incurred by Landlord pursuant to the terms of in connection with this Lease. Notwithstanding anything to the contrary contained herein; interest that would have been earned by Landlord on unpaid balances; attorneys’ fees, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretocourt costs and filing fees.

Security Deposit. The Security Deposit At the time of signing this Lease, Tenant shall ---------------- deposit with Landlord an unconditional, irrevocable letter of credit in Landlord's favor in the amount set forth in Item 5 of the Schedule (the "LOC"), which LOC shall be deposited with freely assignable by Landlord, issued by a "Qualified Issuer" approved by Landlord, drawable in Chicago, Illinois and in the form of the letter of credit attached hereto as Exhibit G, which deposit is to be retained by Landlord as security for the faithful performance and observance by Tenant contemporaneously with of the delivery by Tenant to Landlord covenants, agreements and conditions of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as LOC and any proceeds drawn thereunder or any other cash or security for the performance deposited by Tenant of Tenant’s covenants and obligations with Landlord under this LeaseLease are hereinafter collectively called the "Security Deposit." If and to the extent permitted by applicable law, it being expressly understood that (a) Tenant shall not be entitled to any interest on the Security Deposit, (b) Landlord shall not be obligated to hold the Security Deposit in trust or in a separate account, and (c) Landlord shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenanthave the right to commingle the Security Deposit with its other funds. Landlord maymay use, from time to time, without prejudice to apply or retain the whole or any other remedy, use part of the Security Deposit to the extent necessary required for the payment of any Rent payable hereunder as to make good any arrearages of Rent which Tenant is in Default or to satisfy any other covenant or obligation of Tenant hereunder following the expiration extent required for the reimbursement to Landlord of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, sum which Landlord may assign the Security Deposit expend or may be required to the transferee and upon assumption expend by such transferee reason of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Depositany Default. Upon notice by Landlord of Landlord's application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application portion of the Security Deposit as aforesaid, Tenant shall replenish the Security Deposit in full by promptly paying to Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict cash the amount or types so applied. If Tenant shall fully and faithfully comply with all of claim that a landlord may make upon a security deposit or imposes upon a landlord the covenants, agreements and conditions of this Lease, the Security Deposit (or its successorsbalance thereof) any obligation with respect to the handling or return of security deposits. The Security Deposit will shall be released returned to Tenant within thirty (30) days after the date fixed as the expiration of the Term and surrender of the Premises to Landlord. If the Building is sold to a bona fide purchaser, Landlord subject shall have the right to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide transfer the Security Deposit in to such purchaser, by which transfer Landlord shall be released from all liability for the form return thereof, and Tenant shall look solely to the new landlord for the return thereof. Landlord shall promptly respond to Tenant's request at the time of a Letter such transfer concerning the status of Credit in accordance with Exhibit “M” attached heretothe Security Deposit.

Security Deposit. The Landlord shall hold the Security Deposit Deposit, which shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord paid upon execution of this Lease. The Security Deposit shall be held by Landlord, without liability for interestinterest and not in trust or in a separate account, as security for the performance by Tenant of Tenant’s 's covenants and obligations under this Lease, it being expressly understood that . Tenant shall not consider the Security Deposit shall not be considered an advance payment of Rent rental or a measure of Tenant’s liability for Landlord's damages in case of default by Tenant. Upon the occurrence of any Event of Default by Tenant, Landlord may, from time to timetime in its sole discretion, without prejudice to any other remedy, use and apply the Security Deposit to the extent necessary to make good any arrearages of Rent or to satisfy rent and any other covenant damage, injury, expense or obligation liability suffered by Landlord by such Event of Tenant hereunder following the expiration of any applicable cure periodsDefault. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand as Additional Rent the amount so applied in order to restore the Security Deposit to the amount required its original amount. If Tenant is not then in default hereunder, from any remaining balance of the Security Deposit shall be returned by Landlord to Tenant within a reasonable period of time after the termination of this Lease and (i) Tenant shall have surrendered the entire Premises to timeLandlord, (ii) Landlord shall have inspected the Premises after such vacation, and (iii) Tenant shall have complied with all of the terms, conditions and covenants in the Lease including payment of Basic Rental, Additional Rent, and accrued but unpaid late charges. If Landlord transfers its interest in the Complex Premises during the term of this LeaseLease term, Landlord may shall assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord thereafter shall have no further liability for the return of such Security Deposit. Upon application the Lease Commencement Date for Premises B, the Tenant shall tender to Landlord the amount of all or any part of the Security Deposit, Tenant must upon demand restore cash required to increase the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto$5,000.00 total.

Security Deposit. The Security Deposit shall be deposited with Tenant hereby agrees to pay to Landlord a security deposit of forty-three thousand seven hundred eighty-two dollars ($43,782), which is equal to first month’s Base Rental, on the day this Lease is executed by Tenant contemporaneously with (the delivery by Tenant to Landlord “Security Deposit”). Upon the occurrence of this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant any Event of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default Default by Tenant. , Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages arrears of Rent Base Rental or to satisfy Additional Rental or any other covenant payment obligation hereunder, including, but not limited to, the cost of any damage, injury, expense, or obligation liability caused by any Event of Default by Tenant hereunder following hereunder. Any remaining balance of the Security Deposit shall be returned by Landlord to Tenant within a reasonable period of time after the termination or expiration of this Lease and the satisfaction of Tenant’s obligations hereunder. The Security Deposit shall not be considered an advance payment of rental or a measure of Landlord’s damages in case of default by Tenant. Tenant shall not be entitled to receive and shall not receive any applicable cure periodsinterest on the Security Deposit, and Landlord may commingle the same with other monies of Landlord. Following In the event Landlord applies the Security Deposit or any portion thereof to the payment of any sum described above and this Lease is not terminated, Tenant shall immediately deposit with Landlord an amount of money equal to the amount so applied, and such amount shall be deemed to be part of the Security Deposit. In the event of a sale or transfer of Landlord’s interest in the Premises, Landlord shall have the right to transfer the Security Deposit to the purchaser or lessor, as the case may be, and upon any such application transfer and acknowledgement of receipt of Security Deposit by such transferee, Landlord shall be relieved of all liability to Tenant for the return of the Security Deposit, and Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit look solely to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign the Security Deposit to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability new owner or lessor for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.

Security Deposit. The Contemporaneously with Tenant’s execution of this Lease, Tenant shall pay to Landlord the Security Deposit (as defined in the Basic Lease Information), which shall be deposited with held by Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord secure Tenant’s performance of its obligations under this Lease. The Security Deposit shall be held by Landlord, without liability for interest, as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall is not be considered an advance payment of Rent or a measure or limit of TenantLandlord’s liability for damages upon an Event of Default (as defined in case Section 17). Notwithstanding anything to the contrary contained herein, upon the first day after the expiration of the twelfth (12th) Lease Month of the Term (the “Reduction Date”), provided that Tenant is not then in default of this Lease and Landlord has not applied any portion of the Security Deposit in accordance herewith, the Security Deposit shall be reduced to $46,935.90, with any balance being held by TenantLandlord in excess of such amount to be returned Tenant within thirty (30) days of the Reduction Date. Landlord may, at Landlord’s discretion, from time to time, time following an Event of Default and without prejudice to any other remedy, use all or a part of the Security Deposit to the extent necessary perform any obligation Tenant fails to make good any arrearages of Rent perform hereunder or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periodsin connection with Landlord’s remedies under this Lease. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount then required hereunderto be held by Landlord pursuant hereto. Subject to the requirements of, from and conditions imposed by, Laws applicable to security deposits under commercial leases, Landlord shall, within the time required by applicable Law, return to timeTenant the portion of the Security Deposit remaining after deducting all damages, charges and other amounts permitted by Law. Landlord and Tenant agree that such deductions shall include, without limitation, all damages and losses that Landlord has suffered or that Landlord reasonably estimates that it will suffer as a result of any breach of this Lease by Tenant. Tenant hereby waives the protections of Section 1950.7(c) of the California Civil Code, as it may hereafter be amended, or similar laws of like import. Unless required otherwise by applicable Law, the Security Deposit may be commingled with other funds, and no interest shall be paid thereon. If Landlord transfers its interest in the Complex during the term of this LeasePremises, Landlord may assign the Security Deposit to the transferee and, upon such transfer (and upon assumption by such transferee the delivery to Tenant of liability an acknowledgement of the transferee’s responsibility for the Security DepositDeposit if required by Law), Landlord thereafter shall have no further liability for the return of such the Security Deposit. Upon application of all or any part of the Security DepositOFFICE LEASE AGREEMENT ▇▇▇▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇, Tenant must upon demand restore the Security Deposit to the amount required hereunder▇▇▇▇▇▇▇▇ ▇▇▇▇, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws▇▇▇▇▇▇▇▇▇▇ Arcutis, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached hereto.Inc. 6

Security Deposit. The Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord Upon execution of this Lease. The , Tenant shall pay to Landlord the Security Deposit shall be held by Landlord, without liability for interest, specified in Paragraph 2.d. above as security for the Tenant's performance by Tenant of all of Tenant’s 's covenants and obligations under this Lease; provided, however, that the Security Deposit is not an advance rent deposit or an advance payment of any other kind, nor a measure of Landlord's damages upon Tenant's default. Landlord shall not be required to segregate the Security Deposit from its other funds and no interest shall accrue or be payable to Tenant with respect thereto. Landlord may (but shall not be required to) use the Security Deposit or any portion thereof to cure any Event of Default or to compensate Landlord for any damage Landlord incurs as a result of Tenant's failure to perform any of its covenants or obligations hereunder, it being expressly understood that any use of the Security Deposit shall not be considered an advance payment of Rent constitute a bar or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord may, from time to time, without prejudice defense to any other remedyof Landlord's remedies under this Lease or at law. In such event and upon written notice from Landlord to Tenant specifying the amount of the Security Deposit so utilized by Landlord and the particular purpose for which such amount was applied, use Tenant shall immediately deposit with Landlord an amount sufficient to return the Security Deposit to an amount equal to one hundred ten percent (110%) of the extent necessary amount specified in Paragraph 2.d. as the same may have been increased by prior applications of this Paragraph 6. Tenant's failure to make good any arrearages such payment to Landlord within five (5) days of Rent or to satisfy any other covenant or obligation Landlord's notice shall constitute an Event of Default. If Tenant hereunder following is not in default at the expiration of any applicable cure periods. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term or termination of this Lease, Landlord may assign shall return to Tenant the Security Deposit or the balance thereof then held by Landlord; provided, however, that in no event shall any such return be construed as an admission by Landlord that Tenant has performed all of its covenants and obligations hereunder. No holder of a Superior Interest (as defined in Paragraph 21 below), nor any purchaser at any judicial or private foreclosure sale of the Real Property or any portion thereof, shall be responsible to the transferee and upon assumption by such transferee of liability Tenant for the Security Deposit, Landlord Deposit unless and only to the extent such holder or purchaser shall have no further liability for actually received the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit in the form of a Letter of Credit in accordance with Exhibit “M” attached heretosame.

Security Deposit. The In order to secure the payment of the Termination Damages Buyer, upon execution hereof, shall wire transfer, in immediately available funds, in USD and to an account specified by the Seller, an amount equal to 30% of the Purchase Price (the “Security Deposit shall be deposited with Landlord by Tenant contemporaneously with Deposit”). Buyer hereby pledges to Seller, as the delivery by Tenant to Landlord of this Lease. The Security Deposit shall be held by Landlord, without liability for interestsecured party, as security for the performance by Tenant payment of Tenant’s covenants the Termination Damages, and obligations under this Leasegrants to Seller, it being expressly understood that a first priority continuing prenda against the Security Deposit. In no event the Security Deposit shall not be considered an construed as a down, advance or anticipated payment of Rent or the Purchase Price. The transfer of the Security Deposit shall be deemed a measure necessary condition for the execution of Tenant’s liability for damages in case this Agreement. Seller shall exercise reasonable care to assure the safe custody of default by Tenant. Landlord may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary required by applicable law, and in any event Seller shall be deemed to make good any arrearages have exercised reasonable care if it exercises at least the same degree of Rent or care as it would exercise with respect to satisfy any other covenant or obligation its own property. Except as specified in the preceding sentence, Seller shall have no duty with respect to the Security Deposit. The Security Deposit shall accrue no interest in favor of Tenant hereunder following B▇▇▇▇, provided, however, that if the expiration of any applicable cure periods. Following any such application Security Deposit is returned to Buyer as provided in Sections 9.4 (a) then, together with the reimbursement of the Security Deposit, Tenant the Seller shall pay to Landlord on demand the Buyer an amount so applied in order equal to restore the interest accrued by the Security Deposit as provided in Section 9.4(a). Seller shall be entitled to the amount required hereunder, from time to time. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign hold the Security Deposit or to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part of the Security Deposit, Tenant must upon demand restore appoint an agent (a “Custodian”) to hold the Security Deposit to for the amount required hereunder, from time to timeSeller. No application The holding of the Security Deposit by Landlord will a Custodian shall be deemed to have cured Tenant’s default. Tenant waives all provisions be the holding of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days of the surrender of the Premises to Landlord subject to any deductions made by Landlord pursuant to the terms of this Lease. Notwithstanding anything to the contrary contained herein, Tenant shall provide the Security Deposit by Seller for which the Custodian is acting. Seller shall have the right to invest, use, commingle or otherwise dispose of, or otherwise use in its business the form Security Deposit. Seller shall be liable vis a vis Buyer for the Custodian´s performance of a Letter of Credit in accordance with Exhibit “M” attached heretoits obligations.

Security Deposit. The Landlord hereby acknowledges receipt of a security deposit in the amount of (the "Security Deposit shall be deposited with Landlord by Tenant contemporaneously with the delivery by Tenant to Landlord of this Lease. The Security Deposit Deposit"), which shall be held by LandlordLandlord without interest throughout the Term, without liability for interestand Tenant hereby pledges such Security Deposit to Landlord and grants Landlord a continuing, as unconditional security for interest in such Security Deposit to secure the full payment by Tenant of all sums due under this Agreement and the full performance by Tenant of all of Tenant’s covenants and obligations under hereunder. Should Tenant fail to leave the Unit in the condition required hereunder at the expiration or earlier termination of this LeaseAgreement, it being expressly understood that or should Tenant otherwise fail to pay any sums due or to perform any of Tenant’s obligations hereunder, then Landlord may use, apply or retain the whole or any part of the Security Deposit shall not be considered an advance for the payment of Rent any such sum in default, or a measure for any other sum which Landlord may expend or be required to expend by reason of Tenant’s liability for 's failure, including without limitation any costs of cure and any damages in case that Landlord may have incurred by reason of default by Tenantsuch failure. If Landlord mayuses, from time to time, without prejudice to applies or retains any other remedy, use of the Security Deposit to as aforesaid during the extent necessary to make good any arrearages of Rent or to satisfy any other covenant or obligation of Tenant hereunder following the expiration of any applicable cure periods. Following any such application of the Security DepositTerm, Tenant shall immediately pay to Landlord on demand the amount so applied in order necessary to restore the Security Deposit to the amount required hereunder, from time to timeits original amount. If Landlord transfers its interest in the Complex during the term of this Lease, Landlord may assign In no event shall the Security Deposit be considered to be a prepayment of the Occupancy Charge. Subject to the transferee and upon assumption by such transferee of liability for the Security Deposit, Landlord shall have no further liability for the return of such Security Deposit. Upon application of all or any part requirements of the Security Depositnext sentence, Tenant must upon demand restore the Security Deposit to the amount required hereunder, from time to time. No application of the Security Deposit by Landlord will be deemed to have cured Tenant’s default. Tenant waives all provisions of Laws, now or hereinafter in force, which restrict the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. The Security Deposit will be released to Tenant within thirty (30) days after the last to occur of the surrender expiration of the Premises Agreement or the date on which Tenant vacated the Unit, and provided that Tenant is in full compliance with this Agreement at such time, Landlord shall refund to Tenant any unused portion of the Security Deposit. The following provisions shall also apply to the Security Deposit: a. Tenant will be eligible for a Security Deposit refund upon termination of the tenancy only if Tenant has given Landlord at least 30 days’ advance written notice of intent to move, permanently vacated the Unit, returned to Landlord subject to any deductions made by Landlord pursuant the keys to the terms Unit and given to Landlord Tenant’s new address. b. Landlord will inspect the Unit after Tenant has vacated it, complete a Unit Inspection Report and permit Tenant upon request to accompany Landlord during the inspection. c. Landlord will give Tenant a written list of this Leasecharges that were deducted from the Security Deposit. Notwithstanding anything Landlord will meet with Tenant upon request to the contrary contained herein, informally discuss any disputed fees or charges. d. Tenant shall provide acknowledges that no portion of the Security Deposit in will be applied to the form of a Letter of Credit in accordance with Exhibit “M” attached heretolast month's Occupancy Charge.