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<br />FROM :~SSOCI~TES DETROIT
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<br />')1212 TO
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<br />1e, INDEMNIFICATION, Lessee .halllndemnlfy Lessor sgalnat, and
<br />hOld ~.uDr harmless from. Qny and .U claims. aOllcns proCeedings.
<br />expense., damages Or liabiUtes. Including attOrney's fees. and court
<br />costs, arising In connection with Ihe Equipment, Including, bUI nol
<br />limited to, Its .eleclion, purcha.e, delivary, Installation, posseSsiOn, us..
<br />operation, rejection, or relurn and the recovery of cleims under
<br />Insurence pollcle. thereon, Th. Indllmnlflcatlon providod und.r this
<br />Soctlon shall conlinull In full torce end e"ect notwithstanding the full
<br />payment of all obligations under this Loase or the tormlnation of the
<br />Lease Term for any J8ason,
<br />
<br />n, ASSIGNMENT, Wlthoul LlISso,'sprior wrln.n consent, L.....
<br />will not either (i) assign,transhn, pl.dge, hypothecale. grant any security
<br />Interut In Or olh.rwls. dlsposo of this L.... or the Equlpm.nt 0' any
<br />interest In this L$ftse or the Equipment or (ll) 8ublot Or lend the
<br />Equipment Or permit II to be usad by anyone other than L.ss.e or
<br />Lessee'. .mployees. Leuor m.y assign it. rights, tlti. and Interest
<br />in and to the L.a.e Docum.nt., the Equlpm.nt and/or grent Or sssien
<br />a attcurity interest in this Lease and the Equipmenl, In whole or In part,
<br />and L'ss.... right. will b. .ubordinol.d th.r.tO. Any .uCh "slgn..s
<br />shan hava all of the right. Of Lessor und.r this L.ase, SubJ.ct to th.
<br />foregoing, this L9aSQ Inures. to tho boneflt of and IS binding upon the
<br />.ucceseor. and assigns of tl,e parties herato, Lesse. cov.nants and
<br />agre.. not to as.ort ageln.t lha a.slgn.e any claim. or delensO& by
<br />w.yot abatem.nt setoff. oOuntercl.lm, racoupm.nt or the Ilk. which
<br />LeSSOG may have against Le:uor. Upon assIgnment of Lessor', Interesta
<br />herein, Leasor will ceuse written nollc. of such as.lgnm.nt to b. sent
<br />'to I.eSSe<l which will be sufficient If It disclo... the name of the assignee
<br />and address 10 whiCh further p.yments heroundor should be mado.
<br />No further action will ba r.qulr.d by Lessor or by L.ss.. to .vldenc.
<br />tho a.slgnment, bul Lessee will .cknowledg. euch asslgnmenls In
<br />writing If so requeated, Lesse. Shall relaln all notlc.. of assignment
<br />and maintain a book-enlry record (as refarred to In Section 21) which
<br />Identifies each owner of Lessor's Int.r.st in tho Lease, Upon L.s...'.
<br />rooelpt of written notlca of Lessor's assignment of all or eny part of
<br />its Intaresl In the L8C1S9. Lessee agroes 10 attorn to e.nd recognl:e any
<br />such assignee as the owner of Le$$or's interest In this Lease, and
<br />Les.ee shall thereafter make such paym.nts, Including without
<br />limitation such Lease Payments, as .re indic.ted in tho notice cf
<br />aS8ignment. to sueh I1sslgn99,
<br />
<br />1a, EVENT OF DEFAULT, Th. t.rm "Event of Dofault," as uud
<br />h.,ein. m.on. the OCCurranc. of any on. or more of th. following
<br />events: (i) L..... falls to make any LMs, P.yment (or any other
<br />payment) aa.lt becomes due in accordance with the terms of this Leaso,
<br />and any such fallur. continues for Ion (10) days aner the due date
<br />th.roof: (II) Lea..lI falls to perform Or Ob..rv. any oth.r covenant,
<br />condition, or agr..ment to b. p.rformod or obs.rved by It hereund.r
<br />and such failure Is not curod within twenty (20) dBYS after written notice
<br />th.r.of by Lessor: (III) the disoovory by Lessor that any Slatement,
<br />representstion, or warranty mede by Lesse. In this L.ase or In any'
<br />writing .ver deliv.red by L..... pursuant herelO or in COnnection
<br />h.r.with was tal.e, mlsl.adlng, or erronoou. In any mstorlal resp.ct:
<br />(Iv) l....o becomes Insolvent, or Ie unable to PaY Its debt. as they
<br />become due, or mak.s an a.signment for tho benefit of c,edltors.
<br />appli.s or cons.nls 10 Ihe appointment of a reCeiver. trustee,
<br />conservator or liquidator or Lessee or of any of its assets, Or a petition
<br />for reliet is flied by L.ssee under .ny bankruptcy, Insolv.ncy,
<br />reorganinllon or .Imilar law., or a p.tltlon In, or a proc.edlng under,
<br />any b.n~ruptcy, In.olvency, ,eorganlzatlon or similar law. I. filed or
<br />InsUtutM aga\nsl Le'se. .nd I. not di.mls..d or fully stayed within
<br />twenty (20) days aNor the filing or Institution thereof: (v) L....e fall.
<br />to make any payment wh.n ,due or lolls to perform cr ob.erve any
<br />COv.nant, condition, or agreemenl to be perfOrm.d by It under any Other
<br />egreeme"t or obHgalion with Lessor or an affiliate of LOS$or and any
<br />sppllcabl. grece period or notice with r.sp.ct th.reto shell heve .Iapsed
<br />or be.n giv.n: or (vi) an ouachm.nt, I.vy Or execution i. threaten.d
<br />or levied upcn Or again.t the Equipment.
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<br />19, REMEDIES, Upon the occurronc. of sn Event of D.f.ull, .nd
<br />a.long as sucn Event of D.t.uli I. continuing, L..sor may. at Its option,
<br />8l(Qrci99 eMy one or more of the following remed!es.: (I) by wringn notice
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<br />2147858519
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<br />,991,11-11
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<br />06:05PM #408 P.09/1S
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<br />10 leU8&. declare an amount equal 10 all Bmount& then dU.Q under Ihe
<br />leese, end all remaining l.as. Payments due during the filclIl ye4ir
<br />of Lestoe in whlOh the default occurs to be immediately due Elnd
<br />p.yable, wh.reupon the same shall become immediat.iy d.. and
<br />payable: (II) by written noti06 to Lo.s... reque.I I.e.... to (and L.ssee
<br />agrees that It will), at Less..'s ..p.nse. promptly l'8lurn tM EqUlpm.nt
<br />to lessor in tho manner set forth In Section 5 hereof, or Lessor, at Its
<br />option, may enter upon Ihe premises where the Equipment Is located
<br />and take Immediate p09Slesslon of .nd remove the same; (Hi) sell or
<br />lease the Equipment or aubleaae It for the account of Lessee, holding
<br />L..s.. liable for all L.... paym.nts and oth.r p.ym.nts duo to the
<br />effective date of such selling, 1...lng or subl.aslng and for th.
<br />diNerence betw.en the purcl,..e price, renlal and oth.r amcunts paid
<br />by tha purchaser, I..s.e 0' .Ubl..... pur.uant to .uch sele. lease
<br />or .ublease and tho amounts otherwls. payabl. by le.see her.under:
<br />and (Iv) .x.rcl.. any oth.r right, remedy or prlvil.ge whiCh may be
<br />av.llabl. to It und.r applicable taws of the state where the Equipm.nt
<br />Is tMn locat.d or any other epplicable Isw or proc..d byapproprlat.
<br />court aclion 10 enforce the terms of this L.ase or to recover damage.
<br />for the br.aOh 01 this L...e or tc r.sclnd thl. Lease as 10 any or ell
<br />a/the Equipment. In addition, Lessee will remain liable for all cov.nant.
<br />and Ind.mnltl.. under Ihls L.as. end for alll.gal fa.. and oth.r costs
<br />.no exp.ns.s, Including court OOSlS. Inourr.d by Lessor with respecl
<br />to the .nforcement of any of the remedies nsted above or any oth.r
<br />ram.dy avanable to Lessor,
<br />
<br />20, PURCHASE OPTION, Upon thirty (30) day. prior wrlll.n notic.
<br />Irom L.ss... and provided that lhare Is no Ev.nt ot DOfault. or an ov.nt
<br />which with notice or lapse of time, or both, could bReams en Event
<br />of D.fault, th.n ..Istlng, L..... will have the right to purchas. til.
<br />Equipment on any l.... P.yment date set forth In SChedule A horeto
<br />by paying to L.ssor, on .uch dat., the Laasa Ppyrnont Ihon due tog.th.r
<br />wltn the Conoluding rayment amount s.t forth In Sch.dul. A opposite
<br />S1uch date. Upon sstlsfeotlon by Lessee 01 such purchase conditions,
<br />l.seor will transfer any and all of It. righI, IIl1e .nd Inlar..l in Ih.
<br />Eoui~m.nt to Leu.. AS IS, WITHOUT WARRANTV, EXPRESS OR
<br />IMPLIED, .xcopllessor will warrent th.l the Equlpm.ntls fr.. and
<br />Claar of any liens cr.ated by Le.sor,
<br />
<br />21. TAX ASSUMPTION; OOVENANTS, Th. portlos .ssum. that
<br />L..sor can .xcIUd. from Federal gross Incom. the Int.re.t portion of
<br />..ch L.as. Paymenl ." forth In Schedul. A und.r the column
<br />caplloned "Interost ~ortlon,"
<br />L.ssoo covenants that II will (I) r.glat.r this L.... and tr.nsf.rs
<br />ther.ot In accordance wllh ..cllon 149(a) of the COd. and the
<br />regulations Iheraund.r, (i1) timely fII. . .Iatam.nt wllh 'espact to thi..
<br />L.... in the required form In .ccord.nce with section 149(e) 01 the
<br />Code, (III) not p.rmlt the p'operty financed by this Lea.e to b. dlr.ctly
<br />or indlrectiy u.ed fa, a privata buslnass use within the meaning Of
<br />s.ction 141 of the Code, (Iv) not take any action which re.ulls. dir.ctly
<br />or Indlrectiy, In the Inter..t portion of .ny Lease Payment not being
<br />.xcludabl. f,om Fed.ral gross incom. pursuant to s.ction '03 01 th.
<br />COd. and wllltak. .ny reasonabl. action neces.ary to prev.nt SUCh
<br />result, snd (v) not take any sctlon which r.sults In this L.ase beccming,
<br />and will take any reasOnabl. action to prevent this L..se lrom b.coming
<br />(a) an arbitr.g. obligation within the meaning of sootion 148 01 the Code
<br />or (b) federally guaranto.d within the meaning of seotion 149 of the
<br />COde,
<br />Notwlth.t.nding the ..rller t.rmlnatlon or .xplratlon of this L....,
<br />tho obligotlons provld.d for in thl. Section 21 shall.urvlv. such ..,Ii.r
<br />termInation Or fxplratlon.
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<br />22, NOTICES, All notice. to b. glv.n under this L.... shall 00 mao.
<br />In writing 8nd mailed by cartlliad mall. return receipt requost.d, to Ih.
<br />oth.r porty ot Its addr.ss s.t lorth h.rein or al .ucn .ddress as th.
<br />party may provide In writing from time to time. Any .uch notic. sn.1I
<br />b. d..med to h.v. b..n r.celv.d flv. d.ys .ubO'quont to mailing,
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<br />23, SECTION HEADINGS, All s.ctlon headlng8 contained h.r.in ar.
<br />lor the convenience of reference only and IlrO nol intende:d to dellne
<br />or limit the ,cop. of .ny provl.ion of Ihi. Leu.,
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