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<br />(d) Builder's risk insurance during any period of construction of any improvements, insuring the <br />improvements against all casualties on a progressively insured basis for not less than one <br />hundred percent (100%) of the replacement cost of the improvements on a completed value <br />form. <br /> <br />Section 2. Additional Insured. All insurance policies required to be provided and kept in full <br />force and effect under the terms of this Article VIII shall be issued by insurance companies <br />reasonably acceptable to Landlord and shall name Landlord as additional insured. All policies of <br />insurance shall, to the extent obtainable, provide that, in the event any act or negligence of <br />Tenant which might otherwise result in a forfeiture of said insurance, the insurer shall not <br />thereby have a defense to Landlord's claim. All policies of insurance required hereunder shall be <br />endorsed to provide that they shall not be cancelled, the coverage reduced and the terms shall not <br />be materially changed without thirty (30) days' prior written notice to Landlord. Tenant shall <br />deliver to Landlord certificates of insurance for each insurance coverage required hereunder as <br />and when same is issued and/or renewed so that Landlord shall always have in its possession <br />evidence that all required insurance coverage is in force. <br /> <br />Section 3. Indemnity. Tenant agrees to pay, and to protect, defend, indemnify and save <br />harmless Landlord from and against, any and all liabilities, damages, costs, expenses (including, <br />but not limited to, any and all attorneys' fees and expenses of Landlord, including any on appeal), <br />causes of action, suits, claims, demands or judgments of any nature whatsoever arising from (i) <br />any work or thing done following the date the Final Approvals are obtained and vacant, <br />unencumbered possession of the Land has been delivered to Tenant, in, on or about the Land or <br />the Improvements or any part thereof by any party other than Landlord, (ii) injury to or death of <br />persons, or damage to property, following the date the Final Approvals are obtained, on the Land <br />or the Improvements growing out of or connected with the use, condition, operation, <br />maintenance, management or occupation of the Land or the Improvements, excepting however, <br />any such injury, death or damage as may be the result of Landlord's negligence or willful <br />misconduct, (iii) any negligence on the part of Tenant or any of its agents, contractors, servants, <br />employees or invitees, and (iv) any failure on the part of Tenant to perform or comply with the <br />covenants, agreements, terms, provisions, conditions or limitations contained in this Lease on its <br />part to be performed or complied with. <br /> <br />In case any action or proceeding is brought against Landlord by reason, of any such claim, <br />Tenant shall, upon written notice from Landlord and at Tenant's expense, resist or defend such <br />action or proceeding with counsel reasonably acceptable to Landlord. Landlord may employ <br />separate counsel to defend such action or proceeding at Landlord's sole cost and expense. <br />Notwithstanding the foregoing, in the event a conflict of interest shall arise as a result of or in <br />relation to insurer's retention of counselor other obligation(s) to Landlord under this Section 3, <br />then Landlord shall have the right to retain separate counsel at the sole cost and expense of said <br />insurer and/or Tenant. If Tenant has supplied Landlord with evidence of insurance covering any <br />of the aforementioned risks, no claim shall be made against Tenant unless and until the insurer <br />shall fail or refuse to defend and/or pay all or any part thereof. <br /> <br />17 <br /> <br />U:\City Attorney\HANS\2010 Documents\4m Investors\GROUND LEASE WORKING DRAFT I I.l6.10.doc <br />