CALIFORNIA, STATE OF EMPLOYMENT DEVELOPMENT DEPARTMENT (2)

Home Browse Search

Schedule "J-3" Determinin¢ FMRR. Forpurposea ofdetermining the FMRR, the fallowing procedure shall apply: I If Tenant duly exercises any Extension Option and duly rejects Landlord's determination (in its Market Rent Notice or the FMRR for the Extension; then Landlord and'renant shall endeavor to agree upon the FMRR for the'Extension Term on or befiae the Outside Agreement Date (defined below). If Landlord and Tenant are unable to agree upon the FMRR for the Extension Term on or before the Outside Agreement Date, then Ole FMRR for the Extension Term shall be determined by arbitration pursuant to Section 2 of this Schedule '1-3". The "Outside Agreement Date" means the date that is ten (10) business days after the dale dia4Tennot notifies-Ltmdlord,in its Market Rent Response Notice that Tenant has rejected Landlord's initial determination ofthe FMRR fur theEktension Term, 2 if Landlord and Tenant shall fail to L agree upon the FMRR for die Extension Ternt'oil 'or before the applicable Outside Agreement Date, then within ten (10) business days thereafter,' each -of Landlord and Tenant shall submit to the other its ianl-determination or the FMRR for the Extension Term and such final determinations shall be submitted tp, arbitration (as Tenant's and Landlord's "$ubmitted FMRR," respectively) in accordance with the following: - 2,1 Landlord,arul'Tehant that,, each appoint one arbitrator who shall by, profession be a real estate broker who shall have been active in die leasing of the Froject.and the Coniipagabiej3ulldmgs over the five (5)year perA ending online date'or such appointment. The determination of the arbitrators shall WIjrhited solely,_to t(ne Issue as to whether Landlord's orrTemmtrs Submitted FMkR is,EUiQ closest to -the hctual FMRR for the Extension Term, as detefmined by,.i(te prl itrators, taking into account the ret}uirements of Airs Schedule "`J-3": Each �soch :arbitrator shall be appointed within fifteen (I5) business`days after die Outside Agreement Date 2.2; The (tvo ar(Jitrators so appointed shall, within ten (10) business days ofthe data of the appointment of the second appointed arbitrator, agree upon and appoint -a third arbitrator who shall be qualified ander,the'sumestandard as described in Section 2.1 of this Schedule ".1-3" (with respect to ttppointutent of the initial two arbitrators) ,, ,. • ; ` it - 2,3 The three atbrtra{ors'shnll withinlmty (30) days of the appointment of the third arbitrator, reach a decision as to whether the parties shall use Landlord's or Ten-tlnt's Sutnnrtted FlV1PR 'id. sheq nohfy.La4dlord anti Tenant thereof;'.prrovided that: (a) if either Landlord or Tenant fails to appoint nn-arbt't- tor`Within fifteen (15) busioesa'4ay,-period described in Section-2.1 of this Schedule J 3, thed the arbitrator appointed by the other party shall solely reach,-p decisiciWas to the FMRR for.the Exleosion.Telmt,and notify, Landlord;.and Tenant thereof within thirty (30) days following expiration •of suoV dibeen ,(15)"business day period, and sach'abitra[on'°s: tleclsion shall be binding upon Landlord and Tenant, and (b) i i lie two arbtratorss fail to agree upon aid appolntathird arbitrator, or bothpikies fall to pppolpt an arbitrator, then the. appointment of the third Arbitrator orany arbitrator shd)I be dismissed and th0natter to he decided shall ba,prompfly Submitted (o arbitration under the provisions of due American Arbitration Assocmhon'hhc "AAW 1,'but subiec't tit dre•iu Rim ctiors act forth in III is Srhe,lilie .3 2 a, The decision of die mnlotlty of the three arbitrators (or in the case of a decision made under clause (a) or (b) of 'aot'orn 2.3 of this Schedule "J-3", the decision of the single mtrih•ator or the arbltrator(s) appointed by theAAfy) shall be binding upun Landifird and Tenant, shall be in writing and shall be non-appcatabte; nndcaunterpar[„topics thereof"shall be delivered to Landlrrd anus Tenant. A judgntetit or order based upon such award may lie entered in arty court of competent,j_m•isdictiort In rendering their deciston;a}'d uv ard, the arbitrators 51na11 have) o power to vary, nnoclify or aciiend,aily provisiop a06lis ).ease• 2.5 Landlord and'fenant shall each bear 50% of the cost of the arbitration described in this Sector 2 ufthis Schedule "J-3". B. .r 961 O'Cirir Center Dr- Clry gfYnnat Ana Lean -5- L xhibit .I 961 O'Cirir Center Dr- Clry gfYnnat Ana Lean -5- L xhibit .I