COMMERCIAL COLD STORAGE/HANGER BUILDING LEASE AND LAND
USE AGREEMENT
LOCATED AT: 163 RT 201 FAIRFIELD, ME 04937
THIS LEASE AGREEMENT (the “Lease”), made and entered into this ______ day of
____________,
20__, by and between Charlie Sabattis, Jennifer Sabattis and James Howard, ("LANDLORD") and
__________________ ("TENANT"), hereinafter respectively referred to as
Landlord, Landlords, Landlord(s)
and Tenant, without
regard to number or gender.
SECTION 1 - PREMISES
1.01 Lease of Premises. For and in consideration of the rents, covenants and
agreements
hereinafter set out, Landlord hereby leases to Tenant and Tenant leases and
accepts, subject to the terms and
conditions of this Lease, those premises referred to as the "Premises," subject
to any prior, valid, existing
claims or rights of way, including the present existing roads. The Premises described legally
is a building built,
constructed and erected by Jim Roberge whom resides in Fairfield, Maine. The
building is made of a wood
frame construction on a dirt/stone pad and having a metal roof. The current
building size is 2400 square feet,
and shall
include any buildings and improvements thereon as may be constructed pursuant to
the terms of this Lease.
1.02 Condition of Premises. Tenant acknowledges, represents and agrees that (i)
Tenant is
leasing the Premises "AS IS" based on its own inspection and investigation and
not in reliance on any
statement, representation, inducement or agreement of Landlord except as may be
expressly set forth
elsewhere in this Lease, (ii) Tenant shall take possession of the Premises in an
“AS IS” condition, and (iii) this
Lease confers no rights either with regard to the subsurface of the land below
the ground level of the Premises
or with regard to the air space above the top of the roof of any building that
is part of the Premises, except to
the extent necessary for construction or installation of any building, including
fixtures and appurtenances, as
approved by the Town of Fairfield, Maine. Tenant’s taking possession of the Premises on
commencement of the term
shall constitute Tenant’s acknowledgment that the Premises are in good
condition. The Premises was
constructed by the current Tenant as signed on this lease and the Landlord holds
no liability as to the construction
of said Premises and potential failure of said Premises due to it's construction
and act of God. Landlords hold
no responsibility to the contents of the Premises and the contents are the sole
responsibility of the Tenant.
SECTION 2 – TERM
2.01 Initial Term. The initial term of the Lease shall be for a period of one
(1) year, commencing on
the ____ day of __________, 20__ (the "Commencement Date") and ending on the
_____ day of _________,
20__ (“Initial Term”). The Initial Term and all renewal terms shall be referred
to herein as the full term of this
Lease.
2.02 Termination of Lease. This Lease shall terminate without further action on
the earlier of expiration of the
Initial Term, in the event
Tenant does not exercise the option to renew this Lease. The Landlords have the right
to terminate this Lease at any time they deem necessary, want or desire and
additionally Landlords will reimburse
Tenant (Jim Roberge) for the cost of materials only for the construction of the 40' x 60'
hanger erected on the premises provided
the building is standing and in reasonable condition. Cost of building is
currently estimated at $9200.00
SECTION 3 - USES OF THE PREMISES
3.01 Use of Premises. Tenant shall develop, use and operate the leased Premises
for any
lawful purpose provided however, that such purpose is in accordance with the
terms and conditions of the
Development Plan, as defined in Subsection 7.01 hereof, and the most current
Airport Layout Plan for
Fairfield Airfield. The Development Plan, defined below, is incorporated herein with
this reference.
3.02 Compliance with Laws. Tenant shall observe and comply with all present and
future laws,
ordinances, requirements, rules and regulations of all governmental authorities
having jurisdiction over the
Premises or any part thereof and of all insurance companies writing policies
covering the Premises or any
part thereof. Tenant shall also promptly obtain each and every permit, license,
certificate or other
authorization required in connection with the lawful and proper use of the
Premises or required in
connection with any building or improvement now or hereafter erected thereon.
Without limiting the
generality of the foregoing, Tenant shall comply with all provisions of the
Fairfield Town Code, Federal Grant
Programs, Airport Master Plan for Fairfield Airfield (including the current Airport
Layout Plan), Environmental
Regulations, Surplus Property Instruments and Regulations of the Federal
Aviation Administration and
such Rules and Regulations governing Airport operations that exist as of the
date of this Lease, as well as
such modifications and additions thereto as Landlord, in its reasonable
discretion, may hereafter make for
the Airport. Tenant shall further provide copies of documentation and
certification(s) of compliance with all
necessary Maine Department of Environmental Quality rules and regulations
concerning operation of any
underground storage tank (“UST”) system on the Premises. Any violation of the
provisions of this
Subsection 3.02 shall constitute a default under this Lease following an
applicable notice and cure period
of thirty (30) days. Provided, however, if the nature of Tenant’s cure is such
that more than thirty (30) days
are reasonably required to cure a violation, then Tenant shall not be deemed to
be in default if Tenant
commences such cure within said thirty (30) day period and thereafter diligently
pursues such cure to completion.
SECTION 4 - RENTAL
4.01 Rent, Initial Term. Tenant shall pay to Landlord for the Initial Term an
annual rent (“Initial
Annual Rent”) in the amount of ________________ ($_______) plus applicable
taxes. Tenant shall pay the
Initial Rent in advance, on or before ________, 20__ and each
__________________________ thereafter.
4.02 Rental Impositions. Tenant agrees to pay to Landlord, or to the appropriate
governmental
body, with and in addition to the Annual Rent, any and all excise, privilege,
license or sales taxes, or other
governmental impositions imposed by any governmental body on the rentals
received by Landlord from Tenant
during the term hereof payable as additional rent at the same times as Annual
Rent is payable hereunder.
4.03 Payment of Rent. Tenant shall, without prior notice or demand and without
any set off or
deduction whatsoever, pay the Annual Rent and any other rent or other charges
due under this Lease. Tenant
covenants and agrees that all sums to be paid under this Lease, if not paid when
due, shall bear interest on
the unpaid portion thereof at the rate of one and one half percent (1½%) per
month or any fraction thereof that
such sums are unpaid. Tenant further covenants and agrees that for each calendar
year in which the Annual
Rent is not paid to Landlord within ten (10) days after the due date, Tenant
shall promptly pay to Landlord a
sum equal to five percent (5%) of the unpaid rentals as special damages.
SECTION 5 - SECURITY DEPOSIT
5.01 Security Deposit. Tenant shall, at execution of the Lease by Landlord,
deposit with Landlord
one of the following: (i) the sum of $__________; (ii) a surety bond, from a
state approved and licensed
insurance company, in the amount of $___________; or (iii) a Certificate of
Deposit in the amount of
$__________ (“Security Deposit”). The Security Deposit for the Premises shall be
security for the full and
faithful performance by Tenant of all of the terms and conditions of the Lease,
including without limitation,
payment of the Annual Rent. In the event Tenant chooses to deposit a surety bond
as the Security Deposit,
said surety bond shall remain in full force and effect during the full term of
the Lease. In the event Tenant
chooses to deposit a Certificate of Deposit as the Security Deposit, Tenant
shall also deposit a power of
attorney appointing and empowering Landlord to pay over any such cash or
withdraw such funds from the
Certificate of Deposit to Landlord in the event of Tenant’s default under the
Lease. The Security Deposit shall
be returned to Tenant, provided Tenant has fully and faithfully carried out all
terms, covenants and conditions
on Tenant’s part to be performed. Failure of Tenant to maintain a Security
Deposit shall be deemed default
under the terms of this Lease.
SECTION 6 - RENTAL RATE ADJUSTMENT
6.01 Rental Rate Adjustment. The Minimum Annual Rent for the Permanent Term of
this Lease
shall be as provided in Subsection 4.012 hereof. Such Minimum Annual Rent shall
be subject to adjustment at
one (1) year intervals, the first adjustment to be effective on a day that is
two (2) years after the
Commencement Date, with subsequent adjustments to occur each year thereafter.
The amount of said
adjustments shall be determined as set forth in Subsection 6.02 hereof.
6.02 Determination of Adjustment Amount. The Minimum Annual Rent shall be
adjusted during the
Permanent Term as follows: The base for computing the adjustment shall be the
Consumer Price Index for all
urban consumers (base year 1967 = 100) for the United States, published by the
United States Department of
Labor, Bureau of Labor Statistics, which is in effect on the Commencement Date
(hereinafter referred to in this
Section 6 as “Initial Term Index”). The Index published most immediately
preceding the adjustment date in
question (hereinafter referred to in this Section 6 as “Extension Index”) shall
be used in determining the
amount of the adjustment. If the applicable Extension Index has increased over
the Initial term Index, the
Minimum Annual Rent for the Initial Term shall be multiplied by a fraction, the
numerator of which is the
Extension Index and the denominator of which is the Initial Term Index to
determine the adjusted Minimum
Annual Rent. If the Extension Index has not increased over the Initial Term
Index, the adjusted Minimum
Annual Rent shall be as set forth in Subsection 6.04 hereof.
6.03 Example. Application of the formula set forth in Subsection 6.02, above is
illustrated by the
following example: assume that the Minimum Annual Rent for the Permanent Term is
$10,000, that the Initial
Term Index is 400.7 and that the applicable Extension Index is 460.1. Based on
the following computation the
Minimum Annual Rent for the extended period will be $11,483.
$10,000 $11,483
400.7
460.1 × =
6.04 Maximum/Minimum Increases. Notwithstanding any provisions of this Section 6
to the
contrary, the Minimum Annual Rent shall be reviewed every five years from the
first year of the Permanent
Term and shall be subject to the following maximum and minimum limits: All such
five year reviews shall
determine the rate of Minimum Annual Rent increase for the previous five years.
The minimum increase of the
Minimum Annual Rent from the first year of the five year review period shall be
at least 10% from the first year
of that five year period, provided, however, no rental increase shall exceed 30%
from the first year of the five
year period. If the Minimum Annual Rent has not been increased pursuant to
Section 6.01 and 6.02 to meet
the minimum 10% amount required by this subsection, the following year’s Minimum
Annual Rent shall be
raised so that the Minimum Annual Rent to be paid reflects a 10% increase from
the first year of the five year
review period.
6.05 Modifications of Index. If the Index is changed so that the base year
differs from that in effect
when the term commences, the Index shall be converted in accordance with the
conversion factor published
by the United States Department of Labor, Bureau of Labor Statistics. If the
Index is discounted or revised
during the term, such other government index or computation with which it is
replaced shall be used in order to
obtain substantially the same result as would be obtained if the Index had not
been discounted or revised.
6.06 Written Confirmation. On each and every adjustment of the Minimum Annual
Rent as
provided in Section 6.02 hereof, the parties shall immediately execute a written
confirmation stating the new
Minimum Annual Rent.
SECTION 7 – IMPROVEMENTS, CONSTRUCTION AND MAINTENANCE
7.05 Construction of Additional Improvements. Except as expressly authorized
herein, Tenant
shall make no additions, alterations, changes, fixtures, or other improvements
to the Premises
(“Improvements”) without the express written consent of the Landlord, which
shall not be unreasonably
withheld or delayed. Tenant, at its own expense, shall keep and maintain the
Premises and Improvements
neat and orderly at all times and shall perform all repairs to the same to keep
them in proper condition. All
Improvements on the Premises shall be the property of Tenant during the full
term of this Lease. In the event
the Improvements are of the type that would normally require Design Review
approval under Fairfield Town Code,
Tenant shall comply with the requirements of Fairfield Town Codes.
7.06 FAR Notification Requirements. Tenant agrees to comply with the
notification and review
requirements covered in Part 77 of the Federal Aviation Regulations prior to
construction of the initial
Improvements and prior to construction of any other Improvements on the
Premises, or in the event of any
material exterior modification or alteration of any such Improvements.
7.07 No Interference with Airport Operations. Tenant shall conduct all work on
the Premises,
including construction, repair or maintenance work so that such work will in no
way materially interfere with the
operation and use of the Airport by Landlord and other persons and organizations
entitled to use of the same.
7.08 Airport Review of Safety and Security Plans. Tenant shall meet with the
Landlords
to review Tenant’s safety and security plans prior to bringing any
construction related equipment to
the Premises, and prior to starting construction of any improvement, repair or
major maintenance work.
7.09 Approval of Construction and Improvement Plans. All proposed construction
and
Improvement plans must be submitted and approved by the Landlord prior to
submission for Town building
permits. All construction and improvements must comply with the most current
Airport Master Plan and with
the Development Plan. Tenant understands that the Master Plan consists of
recommendations for future
development, and that the recommended alternatives outlined in said Master Plan
in no way constitute a
commitment on the part of the Landlords. It is further understood that proposed
development items in the Master
Plan are subject to the current needs of the Airport, as well as subject to
funding availability.
7.10 Compliance with Town Codes. Tenant agrees that all work on the Premises,
including
construction, repair, and maintenance work, shall comply with the Zoning,
Building, Fire, Plumbing,
Landscaping, Electrical and Mechanical Codes of the Town of Fairfield. Tenant shall
pay all required fees. All
initial improvements, other improvements and repairs constructed under Zoning,
Building, Plumbing,
Landscaping, Electrical, or Mechanical Codes shall have a Town of Fairfield building
permit. Nothing set forth
herein limits Tenant’s obligation to obtain Town Design Review approval in
accordance with Subsections 7.02
and 7.05 hereof.
7.11 Approval of Architectural Plans and Designs. Tenant agrees to submit its
architectural plans
and designs, as prepared by an architect registered in the State of Maine, for
approval of Landlord prior to
construction. Such approval is in addition to Tenant’s obligation to comply with
Town Codes (including Design
Review approval) as previously described and is intended to be limited to
reasonable compatibility of general
or overall design and materials. Such approval shall not be unreasonably
withheld or delayed.
SECTION 8 - MECHANICS' LIENS, ADDITIONAL PERSONS
AIRCRAFT AND/OR PROPERTY
8.01 Mechanic’s Liens. Tenant agrees to keep the Premises free of any mechanics'
or
materialmen's liens of any kind or nature for any work done, labor performed, or
material furnished thereon at
the instance or occasion of Tenant. To the extent permitted by law, Tenant
further agrees to defend,
indemnify and save harmless Landlord for, from, and against any and all claims,
liens, demands, costs, and
expenses of whatsoever nature for any such work done, labor performed, or
materials furnished at Tenant’s
request. Tenant is not authorized to act for or on behalf of Landlord as its
agent, or otherwise, for the purpose
of constructing any improvements to the Premises, or for any other purpose, and
neither Landlord nor
Landlord's interest in the Premises shall be subject to any obligations incurred
by Tenant. If requested by the
Landlord, Tenant agrees to record a Payment Bond with the Somerset County
Recorders Office.
8.02 Tenants Aircraft, Property(s), Additional Persons Aircraft and/or
Property(s) will be the sole responsibility
of the Tenant when stored on or near Tenants building/lease to include not only
the leased said property or building
and to include wherever parked or stored on Airport Property as deemed by
Landlords. The Landlords will not be
held liable for any and all property Tenant agrees to bring in and/or store on
leased property and airport grounds
described in general terms by Landlords.
SECTION 9 - PERFORMANCE BOND
9.01 Performance Bond. If requested by the Landlord, Tenant shall furnish
Landlord with a
performance bond, in the full amount of the Improvements prior to construction
of Improvements. Said bonds
must be issued by a company qualified to do business in the State of Maine and
rated “A” or better by the
current edition of the Best Rating Service. Said bonds shall
ensure faithful and full observance and
performance by Tenant of all the terms,
conditions, covenants and
agreements set forth in Section 7
of this Lease, except Tenant's
agreement to comply with the
notification and review requirements covered
in Part 77 of the Federal Aviation
Regulations for the
construction of any future structures or buildings not
described in this Lease
relating to construction of the
Improvements or in the event of any planned modification
or alteration which is
not described in this Lease.
SECTION 10 - IMPROVEMENTS, OWNERSHIP
10.01 Ownership of Non-UST Improvements. Except as provided in Subsection 10.03
hereof, all
Initial or other Improvements on the Premises, with the exception of Tenant’s
trade fixtures and personal
property, shall become the property of the Landlord upon expiration of this
Lease or upon termination of this
Lease for any reason. At no time shall Tenant have the right to remove any
Improvements from said Premises
unless otherwise agreed to in writing by the Landlord. Notwithstanding the
foregoing, if upon the expiration or
other termination of this Lease, the Initial or other Improvements on the
Premises are not in substantial
conformity with their original condition (normal wear and tear excepted),
Landlord shall have the right to
require Tenant to remove any such Initial or other Improvements or require
Tenant to restore the Initial or other
Improvements to a condition which is in substantial conformity with their
original condition
10.02 . Landlord shall exercise such right by giving written notice to Tenant
within thirty days after
the expiration or other termination of this Lease. If so notified, Tenant, at
Tenant’s sole cost and expense shall
remove or restore the designated Improvements within ninety (90) days after the
date of written notification
and shall restore the Premises to a condition acceptable to Landlord.
10.03 Tenant Ownership of UST Improvements. During the full term of the Lease
and upon the
expiration, cancellation or termination of the Lease for any reason, Tenant
agrees that any and all USTs and
related equipment on the Leased Premises shall remain the property and sole
responsibility of the Tenant and
not of the Landlords. At all times, Tenant shall remain the owner and operator of the USTs
and the Landlords shall not
become the owner or operator of the USTs. In no event shall the Landlords be
responsible for or owner or operator
of the USTs. Prior to and upon expiration of the Lease, Tenant, at its sole
expense, shall comply with all
applicable federal, state and local laws governing the temporary and permanent
closure, removal, remediation,
site restoration and clean up of the UST and all affected property, water, soil,
and related equipment. All such
actions shall be performed pursuant to prescribed standards under the law.
Tenant shall complete all actions
required by this Section within 60 days after expiration or other termination of
this Lease. If said actions are
not performed or said performance is not completed within this 60-day time
period, Landlord shall have the
right to perform such actions on behalf of Tenant, and Tenant shall be
responsible for and pay to Landlord all
costs incurred by Landlord as a result of such performance. Notwithstanding the
foregoing, to the best of
Landlord’s knowledge, no USTs are currently located on the Premises.
SECTION 11 - INSURANCE
11.01 Insurance Requirements
A. Comprehensive General Aircraft Liability Insurance. Tenant, at its cost, shall
maintain
comprehensive general aircraft liability insurance policy with limits of not less than $1,000,000 per
accident
occurrence and $100,000 per person.
B. Standard Fire and Extended Coverage. Tenant, at its cost, may optionally maintain on
the building
and improvements that are part of the Premises, a policy of standard fire and
extended coverage
insurance, with vandalism and malicious mischief endorsements, to the extent of
100% of full
replacement value of the buildings and other insurable Improvements. In the case
of an insurable
loss, an independent third-party trustee shall be appointed to receive and
distribute insurance
proceeds to assure that repair, replacement, or reconstruction is completed
according to the plans
approved by both Tenant and Landlord.
C. Hangar Keeper’s Liability. If hangars are located on the Premises, Tenant
may optionally procure
and maintain, at its sole expense, Hangar Keeper’s Liability Insurance. Tenant
agrees to not hold liable
Landlord for contents in and around hanger as this will be the sole
responsibility of the Tenant.
D. Worker’s Compensation Insurance. If Tenant has employees, Tenant shall
procure and
maintain, at its sole expense, Worker’s Compensation Insurance in such amounts
as will fully comply
with the laws of the State of Maine, which shall indemnify, insure and provide
legal defense to both
Tenant and Landlord against any loss, claim or damage arising from any injuries
or occupational
diseases happening to or any worker employed by Tenant in the course of carrying
out conditions or
activities described within the Lease.
E. Employer’s Liability Insurance. If Tenant has employees, Tenant shall procure
and
maintain, at its sole expense, Employer’s Liability Insurance, with minimum
coverage of $1,000,000.
11.02 General Requirements.
A. Additional Insureds. Comprehensive general liability policy, Standard fire
and extended
coverage insurance, and Hangar keeper’s Liability Insurance shall name Landlord,
its departments,
officers, and employees as additional insureds.
B. Special Items. Each insurance policy shall provide the following: (i) the
policies cannot
be cancelled, or substantially modified until and unless thirty (30) days
written notice is received by
the Landlords for payment of any premium or for assessments under any form of
policy; (ii) the
insurance company shall have no recourse against the Landlords for payment of
any premium or
for assessments under any form of policy; and (iii) the policies are intended as
primary coverage for
the Landlords and that any insurance or self-insurance maintained by the
Landlords
shall apply in excess
of and not contributory with the insurance provided by these policies. Tenant
shall continually
maintain evidence of insurance for Landlord.
C. Certificates of Insurance. Tenant shall deliver Certificates of Insurance,
for the policies of
insurance required hereunder, to the Landlords. Tenant shall
continually maintain
evidence of such insurance for Landlord, and provide such evidence upon
Landlord’s request.
D. Tenant shall, upon obtaining the policies of insurance required hereunder,
give notice to
the insurance carrier or carriers of the waiver of subrogation set forth in this
Lease and shall obtain, at
Tenant’s expense, an appropriate waiver of subrogation endorsement from the
insurer.
11.03 No Limitation of Liability. The procuring of any policy of insurance shall
not be construed to be
a limitation upon Tenant's liability or as a full performance on its part of the
indemnification provisions of this
Lease; Tenant's obligation being, notwithstanding any said policy of insurance,
for the full and total amount of
any damage, injury, or loss caused by the negligence or neglect connected with
the operation under this
Lease.
11.04 Failure to Maintain Insurance. Failure to maintain the minimum insurance
as stated in this
Section 11 shall constitute default of this Lease.
11.05 Tenant’s Insurance Primary. Tenant's insurance shall be primary for all
purposes under this
Lease.
SECTION 12 - HOLD HARMLESS
12.01 No Liability of Landlord. Neither Landlord, nor its departments, officers,
or employees shall
be liable for any loss, damage, death or injury of any kind whatsoever to the
person or property of Tenant or
subtenants or of any other person whomsoever, caused by Tenant's use of the
Premises, Runways, Land(s) or by any defect in
any building or Improvement erected thereon, or arising from any accident, fire,
or from any other casualty on
the Premises or from other cause whatsoever; and Tenant, hereby waives on
Tenant’s behalf all claims
against Landlord, provided however, any liability resulting from the negligent
acts or omissions or willful
misconduct of the Landlords, its departments, officers, or employees shall not be
waived.
Tenant may not act on Landlords behalf to invite, agree or allow other persons
to use Tenants or Landlords property without
prior consent of Landlords. Tenant agrees to use solely the Premises, Runways
and Lands at Tenants own risk and agrees
to not hold Landlords liable for conditions of said Premises, Runways, and Lands
owned by Landlords.
12.02 Tenant Indemnification. To the furthest extent permitted by law, Tenant
shall defend,
indemnify, and hold Landlords, its departments, boards, commissions, council members,
officials, agents, and
employees, individually and collectively, for, from, and against all losses,
expenses (including attorney fees),
damages, claims, charges, fines, suits, actions, demands, or other liabilities
of any kind (“Liability”), including
without limitation Liability for bodily injury, illness, death, or for property
damage, resulting from or arising out of
this Agreement and/or the use or occupancy of the Premises, except for Liability
resulting from the negligent
acts or omissions or willful misconduct of the Landlords, its employees, agents,
or any person under Landlords direction
and control.
SECTION 13 - STORAGE OF EQUIPMENT AND MATERIAL
13.01 Storage. Tenant shall not store on the Premises equipment or material
outside of buildings
unless screened by a method approved in writing in advance by Landlord, which
shall not be
unreasonably withheld or delayed. This provision does not apply to or preclude
Tenant from parking air
worthy aircraft on the Premises, but does preclude the outside parking of
aircraft being held for salvage
purposes or aircraft awaiting repair. Tenant may not store equipment or material
unrelated to its operation
or business at the airport, including, but not necessarily limited to,
recreational vehicles, motor homes,
boats, campers, trailers, semi – tractor trailer trucks , mobile homes, and
vehicles with expired licenses
and registrations, on the Premises for more than two (2) weeks without the prior
written consent of the
Landlord, which may be given or withheld in the Landlord’s sole discretion. The
open storage of nonairworthy
aircraft, wreckage, or unsightly aircraft components is prohibited.
SECTION 14 - ENVIRONMENTAL INDEMNIFICATION -TENANT
14.01 Use of Hazardous Material. Tenant shall not cause or permit any hazardous
material, as
defined in Subsection 14.05, to be generated, brought onto, used, stored, or
disposed of in or about the
Premises or the building by Tenant or its agents, employees, contractors,
subtenants, or invitees, except for
limited quantities of such substances that are required in the ordinary course
of Tenant's business conducted
on the Premises or are otherwise approved by Landlord. Tenant shall:
A. Use, store and dispose of all such hazardous material in strict compliance
with all
applicable statutes, ordinances, and regulations in effect during the Lease term
that relate to public
health and safety and protection of the environment (environmental laws),
including those
environmental laws identified in Subsection 14.03; and
B. Comply at all times during the Lease term with all environmental laws.
14.02 Notice of Release or Investigation. If, during the Lease Term (including
any extensions),
either Landlord or Tenant becomes aware of; (a) any actual or threatened release
of any hazardous material
on, under, or about the Premises or the building, or (b) any inquiry,
investigation, proceeding, or claim by any
government, agency, or other person regarding the presence of hazardous material
on, under, or about the
Premises of the building, that party shall immediately, not to exceed twenty
four (24) hours after learning of it,
notify the other party, and shall provide written notice of the release or
investigation within five (5) days after
learning of it and shall simultaneously furnish to the other party copies of any
claims, notices of violation,
reports, or other writings received by the party providing notice that concern
the release or investigation.
14.03 Asbestos Notification. Tenant acknowledges that Landlord has advised
Tenant that any
building(s) located on the Premises contain or, because of its age, is likely to
contain asbestos-containing
materials (ACM). If Tenant undertakes any alterations, additions, or
Improvements to the Premises, as
permitted by Section 7 , Tenant shall, in addition to complying with the
requirements of Section 7 , undertake
the alterations, additions, or improvements in a manner that avoids disturbing
any ACMs present in the
building. If ACMs are likely to be disturbed in the course of such work, Tenant
shall encapsulate or remove
the ACMs in accordance with an approved asbestos-removal plan and otherwise in
accordance with all
applicable environmental laws, including giving all notices required by law.
14.04 Indemnification. To the furthest extent permitted by law, Tenant shall, at
Tenant's sole
expense and with counsel reasonably acceptable to Landlord, indemnify, defend,
and hold harmless Landlord,
or Landlord’s authorized agents or representatives, with respect to all losses
arising out of or resulting from the
release of any hazardous material in or about the Premises or the building, or
the violation of any
environmental law, by Tenant or Tenant's agents, contractors, or invitees. This
indemnification includes:
A. Losses attributable to diminution in the value of the Premises or the
Airport;
B. Loss or restriction of use of rentable space in the Airport;
C. Adverse effect on the marketing of any space on the Airport; and
D. All other liabilities, obligations, penalties, fines, claims, actions
(including remedial or
enforcement actions of any kind and administrative or judicial proceedings,
orders, or judgments),
damages (including consequential and punitive damages), and costs (including
attorney, consultant
and expert fees and expenses) resulting from the release or violation.
E. If Tenant excavates or removes any soil on the subject property, whether or
not such soil
is contaminated, and notwithstanding Landlord’s remediation responsibilities as
set forth in this Lease,
Tenant shall be responsible for all costs and expenses related to such
excavation or removal
(including, without limitation any cost of disposal of such soil.) If, as a
result of Tenant’s excavation or
removal, Landlord incurs increased remediation costs or expenses, Tenant will
reimburse Landlord for
the amount of such increase within thirty (30) days after written demand. This
indemnification is not
intended to include or extend to acts committed prior to Tenant’s occupancy of
the property in
question, and is only intended to extend to those acts committed by Tenant, and
not those committed
by other previous parties or previous tenants. Tenant has been supplied with the
environmental
history of the prior tenancy.
F. The indemnification set forth in this Subsection 14.04 shall survive the
expiration or
termination of this Lease.
14.05 Remediation Obligations. If the presence of any hazardous material brought
onto the
Premises or the building by Tenant or Tenant's employees, agents, contractors,
or invitees results in
contamination of the building, Tenant shall promptly take all necessary actions,
at Tenant's sole expense, to
return the Premises or the building to the condition that existed before the
introduction of such hazardous
material. Tenant shall first obtain Landlord's written approval of the proposed
remedial action. This provision
does not limit the indemnification obligation set forth in Section 12 or this
Section 14 .
14.06 Definition of Hazardous Material. As used in this Section 14 , the term
"Hazardous Material"
shall mean any hazardous or toxic substance, material, or waste that is or
becomes regulated by the United
States, the State of Maine, or any local government authority having
jurisdiction over the building or
Premises. Hazardous material includes:
A. Any "hazardous substance" as that term is defined in the Comprehensive
Environmental
Response, Compensation, and Liability Act of 1980 (CERCLA) (42 United States
Code §§ 9601-
9675);
B. "Hazardous waste" as that term is defined in the Resource Conservation and
Recovery
Act of 1976 (RCRA) (42 United States Code §§ 6901-6992K);
C. Any pollutant, contaminant, or hazardous, dangerous, or toxic chemical,
material, or
substance, within the meaning of any other applicable Federal, State, or local
law, regulation,
ordinance, or requirement (including consent decrees and administrative orders
imposing Liability or
standards of conduct concerning any hazardous, dangerous, or toxic waste,
substance, or material,
now or hereafter in effect);
D. Petroleum products;
E. Radioactive material, including any source, special nuclear, or byproduct
material as
defined in 42 United States Code §§ 2011-2297G-4;
F. Asbestos in any form or condition; and
G. Polychlorinated biphenyls (PCBs) and substances or compounds containing PCBs.
14.07 Except for customary materials necessary for operation, cleaning and
maintenance of the
Airport, Landlord shall not cause any Hazardous Material to be brought upon,
generated at, stored or kept or
used in or about the Premises without the prior written consent of Tenant (which
Tenant shall not
unreasonably withhold as long as Landlord demonstrates to Tenant’s reasonable
satisfaction that such
Hazardous Material is necessary or useful to Landlord’s business) and all
Hazardous Materials, including
customary materials necessary for operating, cleaning and maintenance of the
Airport, will be used, kept and
stored in a manner that complies with all laws regulating any such Hazardous
Material so brought upon or
used or kept in or about the Premises.
SECTION 15 - DESTRUCTION OF IMPROVEMENTS
15.01 Restoration or Razing of Improvements, Insurance Proceeds. If the
Improvements or any part
thereof are damaged or destroyed by reason of any cause whatsoever, Tenant will
complete one of the
following options upon mutual agreement with Landlord:
A. Within sixty (60) days following such damage or destruction commence and
diligently
pursue to completion, the repair, or reconstruction of the Improvements
(“Restoration”), and this
Lease shall remain in full force and effect; or
B. Raze the Improvements and restore the Premises to the condition existing at
the time of
the Commencement Date of this Lease (“Razing and Restoration of the Premises”).
C. Tenant, in the event of destruction of the Improvements, shall deposit the
insurance
proceeds on account of such damage or destruction under the policies of
insurance provided for in
Section 11 (the "Proceeds") with an escrow agent or trustee (the "Trustee") that
is selected by Tenant
and approved by Landlord. The Proceeds shall be released by the Trustee as
follows:
(i) In the case of Tenant's election to raze the Improvements and restore the
Premises, (1) First, to Tenant, from time to time as the Razing and Restoration
of the
Premises progresses, upon the request of Tenant and Tenant's submittal of
certificates of
costs as described below, and (2) Second, to Landlord, in the case of Tenant's
failure to
complete the Razing and Restoration of the Premises, to enable Landlord to
complete the
Razing and Restoration of the Premises, upon Landlord's submittal of
certificates of costs as
described below.
(ii) In the case of Tenant’s election to restore the Improvements, (1) First, to
Tenant, from time to time as the Restoration progresses, upon the request of
Tenant and
Tenant's submittal of certificates of costs as described below, and (2) Second,
to Landlord, in
the case of Tenant's failure to complete the Restoration, to enable Landlord to
complete the
Restoration or, in the event of Landlord’s election to raze the Improvements, to
complete the
Razing and Restoration of the Premises, upon Landlord's submittal of
certificates of costs as
described below. Notwithstanding anything herein to the contrary, in the event
Tenant fails to
commence restoration of the Improvements within thirty (30) days after their
destruction or
damage, and diligently pursue such restoration until completion, Landlord shall
have the right
to elect to raze the Improvements and restore the Premises to the condition
existing at the
time of the Commencement Date of this Lease, and, then, terminate this Lease.
D. Certificates of Costs. A certificate dated not more than fifteen (15) days
prior to such
request, signed on behalf of Tenant or Landlord, as applicable, shall be
provided to the Trustee
setting forth that the disbursements being requested are to pay or reimburse
Tenant or Landlord, as
applicable, or contractors, subcontractors, materialmen, architects, or other
persons who have
rendered services or furnished materials in connection with the Restoration or
Razing and Restoration
of the Premises, and shall be accompanied by invoices for such amounts. The
Trustee shall make all
certificates and other materials received pursuant to this Section 15 available,
upon request, to
Landlord and Tenant.
E. Disbursement of Remaining Proceeds. Upon receipt by the Trustee of evidence
satisfactory to it that the Restoration or Razing is complete and paid for in
full, and, in the case of
Razing, that the Facility Utilization Commitment Amount and Bond Indebtedness
Amount is fully paid,
the Trustee shall pay to Tenant any remaining balance of the Proceeds.
F. Deficiency. If the Proceeds received by the Trustee shall not be sufficient
to pay the
entire cost of Restoration or Razing and Restoration of the Premises, Tenant
shall pay the amount of
any such deficiency. Under no circumstances shall Landlord be obligated to make
any payment,
reimbursement or contribution towards the cost of the Restoration or Razing and
Restoration of the
Premises.
G. Lease Obligations Continue. In no event shall Tenant be entitled to any
abatement,
allowance, reduction or suspension of Rent because part or all of the Premises
shall be untenantable
due to the partial or total destruction thereof. No such damage or destruction
shall affect in any way
the obligation of Tenant to pay the Rent, and other charges herein reserved or
required to be paid or
release Tenant of or from any obligations imposed upon Tenant hereunder.
H. Termination of Lease. In the event the Improvements are razed and the
Premises are
restored to the condition in which they existed on the Commencement Date, this
Lease shall
automatically terminate thirty (30) days after completion of the Razing and
Restoration of the
Premises. Tenant’s obligations to reimburse Landlord for any amounts expended by
Landlord in the
Razing and Restoration of the Premises, and not reimbursed under paragraph (C)
above, shall
survive any termination of this Lease.
SECTION 16 - MAINTENANCE
16.01 Obligation to Maintain. Tenant shall repair and maintain the Improvements
in good order and
repair and keep the Premises in a neat, safe, clean and orderly condition, and
appearance, as determined by
the Landlord. Such obligation shall include without limitation the prevention of
the accumulation of any refuse
or waste materials that might be or constitute a fire hazard or a public or
private nuisance.
16.02 Landlord’s Right to Effect Repairs. In the event that Tenant does not
properly repair and/or
maintain the Improvements, Landlord shall notify Tenant in writing of those
areas that are not being properly
repaired and/or maintained. If, however, after thirty (30) days, Tenant fails to
make such repair and/or
maintenance, Landlord may cause to have such repair and maintenance made and
shall invoice Tenant for
the repair and maintenance completed. Such amounts shall be payable to Landlord
as additional rent, without
any deduction or set off whatsoever. If Tenant does not pay said costs within
thirty (30) days, this Lease shall
be deemed to be in default, and Landlord shall be entitled to all legal remedies
provided hereunder, subject to
any applicable notice and grace period. Nothing set forth in this subsection
16.02 obligates Landlord to
perform any maintenance of the Premises or repairs to Tenant’s Improvements.
SECTION 17 - REPORTS
17.01 Reports. Tenant shall, within fifteen (15) days after receiving Landlord’s
request, submit a
written report to Landlord’s listing all aircraft that are
located on the Premises. Said report
shall be prepared on a form supplied by Landlord, and include aircraft, make,
model, registration number,
owner’s name, address and telephone number. Landlords are not responsible for
Aircraft or Property
brought to Landlords Property by Tenant.
SECTION 18 - INSPECTION
18.01 Inspection. Landlord shall have the right at any time 24/7 and 365 days of
the year
to inspect the Premises to determine if the provisions of this Lease are being
complied with.
SECTION 19 - NON-EXCLUSIVE RIGHT
19.01 Non-Exclusive Right. Nothing herein contained shall be construed to grant
or authorize the
granting of an exclusive right within the meaning of Section 1349, Title 49, of
the United States Code.
SECTION 20 - DEVELOPMENT OF LANDING AREA
20.01 Development of Landing Area. Landlord reserves the rights to further
develop or improve the
landing area of the Airport as it sees fit regardless of the desires or views of
Tenant and without interference or
hindrance. Tenant agrees to use Runways, Land and Premises at Tenants own risk
and not hold Landlords
liable for conditions of said Runways, Land and Premises.
SECTION 21 - USE OF PRIVATE AIRPORT FACILITIES
21.01 Non-Exclusive Use of Private Airport Facilities. Tenant is granted the
non-exclusive use of
private airport facilities including taxiways, runways and aprons and facilities
relating thereto for purposes of landing, take-off and taxiing of Tenant’s and
Tenants’ subtenants’ or invitees’
aircraft.
All such uses shall be in accordance with the laws of the United
States of America, the State of
Maine, and the rules and regulations promulgated by their authority with
reference to aviation and air
navigation, and in accordance with all reasonable and applicable rules,
regulations and ordinances of Landlord
now in force or hereafter prescribed or promulgated by ordinance or by law.
Tenant agrees to use Premises, Runways
and Land(s) owned by Landlords at Tenants own risk. Tenant agrees there will be
no Flight Training, Scenic Flights or
the carriage of persons or passengers from Landlords property without the
consent of the Landlords and to do so
will violate the terms of this lease and hold Tenant liable.
21.02 Reservation of Rights. Nothing contained herein shall be construed to
prevent Landlord from
closing the runways, taxiways, aprons of the Airport, Premises or Land(s) on
special occasions from time to time
or at any time at the
discretion of Landlord(s).
SECTION 22 - LEASE SUBORDINATE TO AGREEMENTS WITH U.S.A.
22.01 Lease Subordinate to Agreements with USA. This Lease is subordinate and
subject to the
provisions and requirements of all existing and future grant agreements between
Landlord and the United
States of America, all deeds of conveyance from the United States of America,
all United States laws,
including the Federal Aviation Act of 1958, relative to the development,
operation, or maintenance of the
Airport, and all FAA regulations.
SECTION 23 - WAR OR NATIONAL EMERGENCY
23.01 War or National Emergency. This Lease and all the provisions hereof shall
be subject to
whatever rights of the United States Government affecting the control,
operation, regulation and taking over of
the Airport, or the exclusive or non-exclusive use of the Airport by the United
States during the time of war or
national emergency.
SECTION 24 - COMMERCIAL USE AND HIRING OF PERSONS
24.01 Tenant agrees to hire no-one to work or perform duties at or on Landlords
property without prior
permission from Landlords, no exceptions. To do so will void this lease and hold
Tenant responsible.
The Tenant is the only one who is allowed to use the said Premises, Runways and
Land held by the Landowners.
The Tenant agrees to perform no commercial air work from the Premises, Runways
and Land owned by the
Landowners with the exception of prior permission by all Landowners. The
Landowners may grant the Tenant
permission to use the Premises, Runways and Land owned by the Landowners for
commercial use only if
all three Landowners agree. The Tenant will be responsible for all costs
incurred in a commercial venture
such as proper licensing in accordance with the FAA and Airport Liability
Insurance.
SECTION 25 - UTILITIES
25.01 Utilities. Tenant agrees that it will at all times during the term of this
Lease pay for all utilities
of every nature used by it on the Premises before the charges therefore become
delinquent.
SECTION 26 - TAXES
26.01 Taxes. Tenant agrees to pay, prior to their becoming delinquent, all taxes
of every nature
levied or assessed against either the interest of Landlord or Tenant on the
Premises during the term hereof,
and on all property of Tenant placed upon the Premises.
SECTION 27 - LITIGATION, ATTORNEY'S FEES
27.01 Litigation. In the event Landlord shall, without fault on its part, be
made a party to any
litigation commenced against Tenant, Tenant shall pay Landlord's costs of
defense, including but not limited to
court costs and reasonable attorney's fees.
27.02 Attorney’s Fees. If any dispute arising under the terms of this Lease
shall result in litigation,
the prevailing party shall, in addition to any other relief granted or awarded
by the court, be entitled to an
award of a reasonable attorney's fee to be determined by the court.
SECTION 28 - ASSIGNMENT-SUBLETTING
28.01 Assignment. Tenant shall not sell, convey, assign, encumber or transfer
this Lease, or
Tenant’s leasehold or fee interest in the Premises (as the case may be), or any
portion thereof, or transfer or
assign the majority ownership or controlling interest in Tenant (collectively
referred to herein as “Assignment”)
without the prior written consent of the Landlord, which consent shall not be
unreasonably withheld,
conditioned or delayed. Any Assignment without Landlord’s prior written consent
shall be void and shall
constitute a default by Tenant hereunder. The above prohibition on Assignments
shall be construed to include
a prohibition against any assignment by operation of law, assignment for the
benefit of creditors, voluntary or
involuntary bankruptcy or reorganization, or otherwise. The creation of any
partnership, corporation, joint
venture, or any other arrangement under which any person or entity other than
Tenant is entitled to share in
profits derived directly or indirectly from the Premises shall also be deemed an
Assignment of this Lease. Any
sublease or other transfer of a portion of the Premises, whereby the subtenant
or transferee obtains an
ownership interest in all or a part of the Improvements on the Premises, shall
be deemed an Assignment of
this Lease. Any sublease or other transfer of a portion of the Premises shall be
deemed a sublease of the
Premises instead of an Assignment and shall not be subject to the consent
requirements of this Subsection
28.01, provided, however, that Tenant retains full ownership of the Improvements
on the Premises.
28.02 In the event that Landlord consents to an Assignment of this Lease,
pursuant to a request
from Tenant, Tenant shall cause to be executed by its assignee an agreement
satisfactory to Landlords, whereby
such assignee agrees to perform faithfully and to assume and to be bound by all
of the terms, covenants,
provisions and agreements of this Lease for the period covered by the assignment
and to the extent the
Premises assigned.
28.03 Tenant shall include and incorporate into each sublease of the Premises a
requirement that
such subtenant agrees to perform faithfully and to assume and to be bound by all
terms, covenants,
provisions, and agreements of this Lease governing the use, operation and
maintenance of the Premises.
Landlord shall be identified as a third-party beneficiary to such obligation.
SECTION 29 - DEFAULT IN TERMS OF THIS LEASE BY TENANT
29.01 Events of Default. The occurrence of any of the following shall constitute
an event of default
hereunder:
A. The filing of a petition by or against Tenant for adjudication as a bankrupt
or insolvent, or
for its reorganization or for the appointment of a receiver or trustee of
Tenant’s property; an
assignment by Tenant for the benefit of creditors or the taking of possession of
the property of Tenant
by any governmental officer or agency pursuant to statutory authority for the
liquidation of Tenant.
B. Failure of Tenant to pay when due any installment of rent hereunder or any
other sum
herein required to be paid by Tenant, and the continuance of such nonpayment for
fifteen (15) days
after written notice from Landlord.
C. Abandonment of the Premises, as provided in Section 33 hereof.
D. Operation or maintenance of the Premises in violation of law, failure to
maintain the
required insurance, or any other misuse of the Premises.
E. Tenant’s failure to perform any other covenant, condition or agreement of
this Lease
within thirty (30) days after written notice by Landlords. In
addition to correcting the
default, an administrative fee may be charged, as special damages, by Landlord
to Tenant for the cost
of monitoring correction of such default. At no time shall this fee exceed one
percent (1%) of the total
current annual rent paid to Landlord.
SECTION 30 - REMEDIES
30.01 Remedies. In addition to any and all remedies available to Landlord as a
matter of law and
those set forth in other provisions of this Lease, Landlord shall, subject to
any cure periods set forth herein,
have the immediate right, upon Tenant's default in any term or condition of this
Lease, to re-enter the
Premises and occupy it and any improvements made by Tenant and to hold and/or
re-lease the Premises and
any improvements made by Tenant. No such re-entry or taking possession by
Landlord shall be construed as
an election to terminate this Lease unless a written notice of such intention is
given to Tenant. Tenant shall
peaceably quit the Premises upon written notification by Landlord to Tenant of
Landlord's intent to re-enter the
Premises and improvements placed thereon by Tenant. The various rights,
elections, and remedies of
Landlord and Tenant contained in this Lease shall be cumulative, and no one of
them shall be construed as
exclusive of any other or of any right, priority or remedy allowed or provided
by law. Landlord shall use its best
efforts to mitigate cost to Tenant.
SECTION 31 - SIGNAGE
31.01 Signage. Tenant agrees to not construct nor maintain on the Premises
outside of the
Improvements, or that are visible from outside, advertising signs or messages,
of any kind or description,
except those pre-approved in writing by Landlord and are in compliance with the
Fairfield Town Code, which
determination shall be made at its sole discretion, and will not be unreasonably
withheld or delayed.
SECTION 32 - UNLAWFUL USE
32.01 Unlawful Use. No Improvements shall be erected, placed upon, operated or
maintained on
the Premises, nor shall business be conducted or carried on thereon in violation
of the terms of this Lease or
of any regulation, order, law, statute, by-law, or ordinance of any governmental
authorities having jurisdiction
thereof.
SECTION 33 - ABANDONMENT
33.01 Abandonment. If Tenant, prior to the expiration or termination of this
Lease by lapse of time
or otherwise, relinquishes possession of the Premises without Landlord’s written
consent, such
occurrence
shall be deemed to be
an abandonment of the Premises and an event of default under this Lease.
If
Tenant abandons the Premises
or is dispossessed by process of law or otherwise, any personal property
belonging to Tenant and left on the
Premises thirty (30) days following such abandonment or dispossession shall
be
deemed to have been
transferred to Landlord, and Landlord shall have the right to remove and to
dispose
of the same without liability
to account therefore to Tenant or to any person claiming under Tenant.
SECTION 34 - RESERVATIONS TO LANDLORD
34.01 Reservations to Landlord, Utility Easements. Landlord reserves for itself
all utility easements
and rights-of-way over, across, and along the Premises reasonably necessary for
the development of the
Airport, including without limitation, easements for sanitary sewers, drains,
storm water sewers, pipelines,
manholes, connections, water, oil and gas pipelines, electric lines, cable
television lines, and telephone and
telegraph lines drains, and access to such easements. Landlord reserves the
right to determine the location of
such easements on the Premises in its reasonable discretion. Landlord also
reserves the right to grant such
easements and rights-of-way in, over, and upon, along, or across all or a
portion of the Premises to third
parties without the consent of Tenant.
34.02 Reservation to Landlord, Aviation Easements. There is hereby reserved to
Landlord, its
successors and assigns, for the use and benefit of the public, a right of flight
for the passage of aircraft in the
airspace above the surface of the Premises. This public right of flight shall
include the right to create in said
airspace any noise inherent in the operation of any aircraft used for navigation
or flight through said airspace
or landing at, taking off from, or operation of, the Airport.
34.03 Height Restrictions. Tenant, by accepting this Lease, expressly agrees for
itself, its
successors and assigns, that it will not erect nor permit the erection of any
structure or object nor permit the
growth of any tree on the Premises above the height limitations stated in FAR
Part 77. In the event the
aforesaid covenant is breached, Landlord shall have the right, at the expense of
Tenant, to enter upon the
Premises and remove the offending structure or object or cut the offending tree
and charge the reasonable
expense thereof to the Tenant, which Tenant shall assume and pay.
34.04 No Interference with Aircraft. Tenant, by accepting the Lease, agrees for
itself, its successors
and assigns, that it will not make use of the Premises in any manner which will
interfere with the landing and
taking off of aircraft from the Airport or otherwise constitute a hazard to
aircraft or ground operations normally
conducted on an airport. In the event that the aforesaid covenant is breached,
Landlord shall have the right to
enter upon the Premises and cause the abatement of such interference at the
reasonable expense of Tenant.
SECTION 35 - PARTIAL INVALIDITY
35.01 Partial Invalidity. If any term, covenant, condition, or provision of this
Lease is held by a court
of competent jurisdiction to be invalid, void or unenforceable, the remainder of
the provisions hereof shall
remain in full force and effect and shall in no way be affected, impaired, or
invalidated thereby. If any term,
covenant, condition, or provision of this lease is found to be invalid, void, or
in violation of any agreement or
granting instrument from the United States of America, it shall be deemed to
have been deleted from the lease
and the remainder of the provisions shall remain in full force and not be
affected, impaired, or invalidated
thereby.
SECTION 36 - MARGINAL CAPTIONS
36.01 Marginal Captions. The various headings and numbers herein and the
grouping of the
provisions of this Lease into separate sections and subsections are for the
purpose of convenience only, and
shall not be considered a part hereof.
SECTION 37 – NON WAIVER OF REMEDIES
37.01 Non-Waiver of Remedies. It is expressly agreed that neither the taking of
possession of the
Premises nor the institution of any proceedings by way of unlawful detainer,
ejectment, eminent domain,
quiet title, or otherwise,
to secure possession of said Premises, nor the re-entry by Landlord with or
without
the institution of such
proceedings, nor the re-renting or subletting of said Premises, shall operate to
terminate
this Lease in whole or
in part, nor of itself constitute an exercise of Landlord’s option to do so, but
only by the
giving of the written
notice specifically specifying termination shall such termination be effected.
37.02 Continuation of Lease in the Event of Default. In the event Tenant
breaches this Lease, or
any covenant, term or condition hereunder, and abandons the Premises, this Lease
shall continue in force and
effect for so long as the Landlord does not terminate Tenant’s right to
possession, and Landlord may enforce
all rights and remedies of Landlord including, without limitation, the right to
recover rental as it becomes due
hereunder. Acts of maintenance or preservation or efforts to re-let the
Premises, or the appointment of a
receiver upon the initiation of the Landlord to protect the Landlord’s interest
under this Lease shall not
constitute a termination of Tenant’s right to possession.
37.03 Waivers, Landlord’s Right to Accept Rent. No waiver by either party of any
breach, default or
any of the terms, covenants or conditions of this Lease shall be construed or
held to be a waiver or custom of
waiver of any same, similar, succeeding or preceding breach, default or term of
this Lease, as the case may
be. To be effective, all waivers shall be in writing and signed by the party to
be charged. In case of a breach
by Tenant of any of the covenants or undertakings of Tenant, Landlord
nevertheless may accept from Tenant
any payments hereunder without in any way waiving Landlord’s right to exercise
the remedies hereinbefore
provided for by reason of any breach or lapse which was in existence at the time
such payment or payments
were accepted by Landlord.
37.04 No Limitation of Rights. It is expressly understood that the enumeration
herein of express
rights, options and privileges shall not limit Landlord, nor deprive Landlord of
any other remedy or action or
cause of action by reason of any default of Tenant, including the right to
recover from Tenant any deficiency
upon re-renting.
37.05 No Limitation of Remedies. The specific remedies to which Landlord may
resort under the
terms of this Lease are cumulative and are not intended to be exclusive of any
other remedies or means of
redress to which they may be lawfully entitled in case of any breach or
threatened breach by either of them or
of any provisions of this Lease.
SECTION 38 - APPROACH PROTECTION
38.01 Approach Protection. Landlord reserves the right to take any action it
considers necessary to
protect the aerial approaches of the Airport against obstruction, together with
the right to prevent Tenant from
erecting or permitting to be erected, any building or other structure on the
Airport, which in the opinion of
Landlord would limit the usefulness of the Airport or constitute a hazard to
aircraft.
SECTION 39 - FAA APPROVAL
39.01 FAA Approval. The provisions of this Lease are subject to review and
objection by the
Federal Aviation Administration.
SECTION 40 - HOLDING OVER
40.01 Holding Over. Holding over by the Tenant after the expiration of this
Lease shall not
constitute a renewal of this Lease or give Tenant any rights under this Lease or
in the Premises.
Notwithstanding this provision, however, any holding over after the expiration
of the term of this Lease,
with the consent of Landlord, shall be construed to be a tenancy from month to
month, callable upon thirty
(30) days written notice, and at a rental of one hundred fifty percent (150%) of
the total monthly rental as
existed during the last year of the term hereof, and further upon the terms and
conditions as existed other
than rental during the last year of the term hereof.
SECTION 41 – CONDEMNATION
41.01 Condemnation. If at any time during the term of this Lease the Premises or
any part thereof is
taken or condemned under the laws of Eminent Domain by any governmental
authority other than Landlord,
then and in every such case the leasehold estate and interest of the Tenant in
said Premises taken shall
cease and terminate. Tenant shall be entitled to participate and receive any
part of the damages or award,
where said award shall provide for moving or other reimbursable expenses for the
Tenant under applicable
statute in which event the latter sum shall be received by Tenant, and that
portion of any award allocated to
the taking of Tenant’s building, improvements, trade fixtures, equipment and
personal property, or to a loss of
business by Tenant. None of the awards or payments to Landlord shall be subject
to any diminution or
apportionment on behalf of Tenant or otherwise.
SECTION 42 - NOTICES
42.01 Notices. All notices given, or to be given, by either party to the other,
shall be given in writing,
by certified mail return receipt requested, and shall be addressed to the
parties at the addresses hereinafter
set forth or at such other address as the parties may by written notice
hereafter designate. Notices and
payments to Landlord, and notices to Tenant.
42.02 It shall be Tenant's responsibility to notify Landlord in writing of any
changes in the address for
notices.
SECTION 43 - REPRESENTATIONS AND AMENDMENTS TO BE IN WRITING
43.01 Representations and Amendments To Be In Writing. No oral promises,
representations or
agreements have been made by Tenant or Landlord. This Lease is the entire
agreement between the parties
(including employees, leasing personnel and other personnel.) Tenant and
Landlord have no authority to
waive, amend or terminate this Lease or any part of it and no authority is to
make promises, representations or
agreements which impose duties or other obligations of each party unless done so
in writing.
SECTION 44 - SUCCESSORS IN INTEREST
44.01 Successors in Interest. The covenants herein contained shall, subject to
the provisions as to
assignment, apply to and bind the heirs, successors, executors, administrators,
and assigns of all the parties
hereto; and all of the parties hereto shall be jointly and severally liable
hereunder.
SECTION 45 - FORCE MAJEURE
45.01 Force Majeure. If either party hereto shall be delayed or prevented from
the performance of
any act required hereunder by reason of acts of God, strikes, lockouts, or other
cause, without fault and
beyond the control of the party obligated (financial inability excepted),
performance of such act shall be
excused for the period of the delay; and the period for the performance of any
such act shall be extended for a
period equivalent to the period of such delay; provided, however, that nothing
in this Subsection 45.01 shall
excuse Tenant from the payment when due of any rental or other charges required
to be paid by Tenant
hereunder, except as may be expressly provided elsewhere in this Lease.
SECTION 46 - TIME
46.01 Time. Time is of the essence of this Lease.
SECTION 47 - NO PARTNERSHIP; NO THIRD PARTY RIGHTS
47.01 No Partnership; No Third Party Rights. Nothing contained in this Lease
shall create any
partnership, joint venture or other arrangement between Landlord and Tenant.
Except as expressly provided
herein, no term or provision of this Lease is intended to or shall be for the
benefit of any person not a party
hereto, and no such other person shall have any right or cause of action
hereunder.
SECTION 48 – NO BINDING CONTRACT UNTIL EXECUTION; AUTHORITY TO
EXECUTE
48.01 Authority to Execute. The person executing this Lease on behalf of or as
representative for
Tenant warrants that he or she is duly authorized to execute and deliver this
Lease on behalf of Tenant and
that this Lease is binding upon Tenant in accordance with its terms.
48.02 No Binding Contract Until Execution. NEITHER THE PREPARATION NOR THE
DELIVERY
OF THIS LEASE TO TENANT FOR EXAMINATION SHALL BE DEEMED TO BE AN OFFER BY
LANDLORD
TO LEASE THE PREMISES TO TENANT BUT SHALL BE MERELY A PART OF THE NEGOTIATIONS
BETWEEN LANDLORD AND TENANT. THE EXECUTION OF THIS LEASE BY TENANT SHALL BE
DEEMED TO CONSTITUTE AN OFFER BY TENANT TO LEASE THE PREMISES FROM LANDLORD
UPON THE TERMS AND CONDITIONS CONTAINED IN THIS LEASE, WHICH OFFER MAY BE
ACCEPTED
BY LANDLORD ONLY BY THE EXECUTION OF THIS LEASE BY LANDLORD.
SECTION 49 – MISCELLANEOUS PROVISIONS
49.01 Governing Law. This Lease shall be governed by the laws of Maine. The
forum selected for
any proceeding or suit in law or equity arising from or incident to this
Agreement shall be Somerset County,
Maine.
49.02 Survival. The obligations under Section 10 (Improvements, Ownership),
Section 12 (Hold
Harmless), Section 14 (Environmental Indemnification), Section 15 (Destruction
of Improvements), Section
27 (Litigation, Attorney’s Fees), Subsection 28.01 (Assignment), Section 30
(Remedies), Section 33
(Abandonment), Section 35 (Partial Invalidity), Section 36 (Marginal Captions),
Section 37 (Non Waiver of
Remedies), Section 40 (Holding Over), Section 42 (Notices), Section 44
(Successors in Interest), Section 46
(Time), Section 47 (No Partnership; No Third Party Rights), and Section 49 ,
(Miscellaneous Provisions), and
any other obligations which reasonably should survive, shall survive expiration
or other termination of this
Agreement.
SECTION 50 – ADDITIONAL PROVISIONS
IN WITNESS WHEREOF, the parties have caused these presents to be executed the
day and year
first hereinabove written.
LANDLORD(S):
Charlie Sabattis ___________________________________________
Jennifer Sabattis __________________________________________
James Howard ___________________________________________
TENANT:
Jim Roberge _____________________________________________
Address:
________________________________________________________
________________________________________________________
________________________________________________________