05/01/1973 Lease
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THIS INDENTURE OF LEASE, made and entered into by and between
MONROE COUNTY, FLORIDA (hereinafter referred to as "LESSOR "), and
SOUTHEAST AIRLINES, INC., a Florida corporation (hereinafter referred to
as "LESSEE"),
WITNESSETH:
WHEREAS, Lessor owns an airport known as Marathon Airport,
located in Marathon, Monroe County, State of Florida (hereinafter called the
"AIRPOR T"), and
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WHEREAS, Lessee is engaged in the business of transportation with
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respect t9 persons, property, cargo and mail at the Airport, and
WHEREAS, Lessee desires to lease certain premises, facilities and
rights in connection with and on the Airport and Lessor is willing to lease
same to Lessee upon the terms and conditions hereinafter stated,
NOW, THEREFORE, for and in consideration of the premises and of
the mutual covenants and agreements herein contained, and other valuable
considerations, Lessor does hereby demise and let unto Lessee and Lessee
does hereby hire and take from Lessor certain premises, facilities, and
rights in connection with and on the' Airport as follows, to-wit:
AR TICLE I - TERM: The term of this lease shall be for a period of
one year commencing on the first day of May, 1973, and ending on the 30th
day of April, 1974.
ARTICLE II - RENTAL: Lessee agrees to pay Less'or for the' use of
the Airport" all premises, facilities and rights granted hereunder for domestic
operations only, except as hereinafter set forth, an annual rental of $2, 400.00
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payable in equal monthly amounts of $200. 00 each, such payments to be made
within ten days of receipt of Lessor's billing therefor; but not earlier than the
first day of each month for which the rent is applicable.
The above payments are based upon the Lessee's use of facilities
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assigned to.it in the Airport Terminal Building, and the other privileges here-
inafter contained in Article IV.
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In addition to the foregoing monthly payments, Lessee covenants
and agrees with Lessor to pay the required State Rental Tax.
The Less,ee further agrees that in the event the Lessor is required
to post guards at said Airport to inspect luggage and passengers flying on
LesseeJs aircraft that Lessee will pay for the cost of said guards.
ARTICLE III - EXCLUSIVE SPACE IN ADMINISTRATION BUILDING:
The exclusive use of the space referred to under Article II herein for, such
uses as the Lessee may desire to make thereof in connection with or incidental
to its operation of a domestic air transportation system, including specifically
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but not by way of limitation the use of said space for ticket counter area,
operations room and cargo storage area.
ARTICLE IV - GENERAL USE OF AIRPORT, LEASED PREMISES
AND FACILITIES: As duly authorized by competent Governmental authority,
Lessee shall have the right to operate a domestic transportation system, at
the Airport, by aircraft, for the carriage of persons, property, cargo and
mail, which right shall include the following:
(1) The right to use, in common with other domestic operators
authorized to do so, the common areas of the Airport and appurtenances there-
to, which have been designated by Le'ssor for common use, including, but not
limited to, landing areas, aprons, taxiways, roadways, flood lights, ramp
lighting, beacons, signals, radio aids, sewerage, control tower, fire and
crash equipment and other conveniences for flying, landing and take-offs of
aircraft of Lessee.
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(2) The rig,ht to land, take-off, fly, taxi, tow on the ground, load and
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unload aircraft and equipment used by Lessee in its operation of a domestic
air transportation system on the Airport.
(3) The right~ test and park or store aircraft or other eq':1-ipment of
Lessee or, with prior permission of Lessor, of any other scheduled domestic
air transpor.tati~i[ company, on premises leased to Lessee or on ,Premises
leased to such other scheduled domestic air transportation companie s.
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(4) The right to train personnel in the employ of, or to be employed
by, the Lessee.
(5)
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The right to install, maintain and ,operate, at Lessee's expense,
by Lessee alone or in conjunction with any other air transportation companies
who are lessees at the Airport, or through a nominee, radio, telephone, tele-
type and other communications equipment, meteorological and aerial Iiavi-
gation equipment and facilities in or on premises leased exclusively to Lessee,
subject to the approval of Lessor so as to enable Lessor to prevent inter-
ference with the reasonable use of the Airport by other '"authorized persons,
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such approval not to be unreasonably withheld.
(6) The right to install, maintain and operate, without cost to Lessor,
by Lessee alone, or in conjunction with any other air transportation cqmpanies
who are lessees at the Airport, or through a nominee, a message tube system
and other communication systems between suitable locations in the aircraft
loading areas and suitable locations in or about Lessee's hangars and between
any or all of the said locations and Lessee's offices, the locations to be sub-
ject to the approval of Lessor, insofar as the interests of safety and conven-
ience of all are concerned, which approval shall not be unreaso~ably withheld.
(7) The right, directly, or through a contractor of Lessee's choice,
to transport Lessee's cargo, property and mail to, from and at the Airport
by such vehicles as Lessee or Lessee's contractor may desire or require.
This operation of such vehicles shall be subject to the reas()rtable regulations
of the Airpprt relative to the use of ground vehicles on Airport property.
(8) The right to install and operate on the interior of the premises
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exclusively leased, at Lessee's expense, advertising signs representing its
business, which signs shall be substantially uniform in size, type and location
with those of other air transportation companies leasing space on,ihe pre-
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mises. The ..umber, size, type, design and location of all such signs shall 11///1
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be subject, .however, to the prior written approval of Lessor.
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(9) Consolidation of Ground Services: The rights and privileges
granted Lessee herein, with respect to the performance of ground services
and activities in connection with its air transportation system at the Airport,
may be exercised by Lessee for and on behalf of any other domestic air trans-
portatibn company or companies authorized by Lessor to use the Airport.
Without limitation, such rights and privileges shall be deemed to incl~de all
activities incidental to the handling of reservations, the ticketing of passen-
gers, the receipt, dispatch, loading, unloading and storage of passengers and
their baggage, property, cargo and mail, and all ramp, repair, maintenance
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of its own aircraft and dispatching services incidental to the operations of
aircraft at the Airport. The foregoing shall not be construed to authorize
such other company or companies to use the Airport without the payment of
fees and charges established by Lessor.
( 10) Parking Space: The use by Le s see and its employee s in com-
mon only with the other air transport operators who may be lessees of space
at the Airport and their employees, of adequate vehicular parking space
located as near as possible to said Administration Building, without charge
to Lessee, or to said employees.
(11) Right of Inli{ress and Egress: The right of ingress to and egress
from premises and facilities of the Airport herein leased, without charge to
Lessee, its employees, agents, passengers and invitees.
(12) Maintenance and Operation of Airport: Lessor agrees that it
will at all t.imes maintain and operate and keep clean with adequate and
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efficient personnel, and keep in good repair, said Airport and the appurten-
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ances, facilities and services connected therewith, and keep said Airport
and its approaches free from obstruction, congestion and interference for
the safe, convenient-and proper use thereof by Lessee, and will ~aintain
and operate said Airport so as to entitle it to the approved rating by the
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Federal Aviation Agency and all other appropriate regulatory au~horities.
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(13) Use of Public Address System: Lessee shall have the privilege
of using the Airport public address system and operating a sufficient ~umber
of microphones and units to properly conduct its business in the area in the
Terminal Building leased hereunder, without further charge. Lesseeshall
have th'e use of such units presently installed in the leased space. However,
additional units used by Lessee may be procured and installed at Lessee's
expense and any expense involved in relocation of any units will be borne by
Lessee.
(14) Alterations and Improvements: Lessee is not authorized to
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make any alterations or iIn:provements to the premises leased herein without
prior written approval of Lessor, such approval not to be unreasonably with-
held.
AR TICLE V - USE OF TERMINAL BUILDING: The use of space in
the Terminal Building leased hereby shall be for purposes incidental to the
operation of Lessee's domestic air transportation business and will be in
accordance with the following conditions:
(1) General: It is expressly understood that Lessor will keep the
public space in the Terminal Building attractively furnished, and will provide
and supply adequate light, electricity, water, janitors and other cleaners
necessary to keep the Terminal Building at all times clean, neat, orderly
sanitary and presentable. ,
(2) The operations of Lessee shall be conducted in an orderlY, and
proper ma~ner and so as not to annoy, disturb or be offensive to others at
the Airport.
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(3)
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It shall be the Lessor's responsibility to maintain and replace
all glass bordering both on the field side of the leased space and on the public
corridor of leased space, except in instances where damage to su~h glass
should occur through the acts of the Lessee, its agent, suppliers, passengers,
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or others dQing business with it at the Airport, in which event the Lessee will
assume~such responsibility.
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(4) The personal property placed or installed by Lessee in the ex-
elusively leased area shall remain the property of Lessee and must be re':'
moved on or before the expiration of the term hereby granted. In the event
of expiration or other termination, Le ssee shall have ten days, exclu!!,ive
of Saturdays, Sundays or, holidays, after such termination, in which to re-
move its property.
(5) If Lessee shall fail to remove its property upon the expiration or
termination hereof, Lessor may, at its option, after expiration of period of
grace granted by the preceding paragraph hereof, as agent for Lessee and
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at Lessee's expense and risk, remove such property to a public warehouse
for deposit, or retain the same in its own possession, and after the expiration
of 30 days therefrom, sell the same at public auction, the proceeds of which
shall be applied first to the, expenses of sale, second to any sums owed by
Lessee to Lessor, and any balance remaining shall be paid to Less,ee or Les-
sor may take such other action as may be necessary or desirable.
(6) Unless otherwise expressly provided or agreed, Lessee shall not'
use the leased space (or permit it to be used) for the sale to its employees
or to any other person, of any beverages, food,. candy, gum, ice cream or
ice cream products, tobacco or tobacco products, periodicals, .books, drugs,
toys, games, souvenirs, jewelry" novelties, clothing, flowers, sporting
goods, photographic goods or toilet articles, or for the furnishing, :Dr a
consideration, of theatre tickets, shoe shines, pressing and cleaning (ex-
cept of its ~mployees' uniforms), developing and printing of photographs
and films, ground baggage' checking services or for the display of U~ adver-
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J tising of third parties, except in cases in which Lessee handles ground ser-
vices for another air transportation company, pursuant to paragraph (11)
of ARTICLE IV, onorthe installation of any coin-operated mach~Res or
devices, or for any other purpose beyond those herein expressly authorized.
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(7) Lessor, or its authorized representative, shall have the right at
any time and as often as it considers necessary, upon request to Lessee, to
inspect the space and (without obligation to do so) enter thereon to make
ordinary repairs and, in the ,event of an em~rgency, to take such action, nor
Lessee' is obligated by this'lease to make any repairs, replacements, improve-
ments, alterations or additions of any nature, other than those specifically
agreed upon in this lease, except that Lessor shall make such structural re-
pairs as may be required to keep the leased space usable for the purpose
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leased.
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ARTICLE VI - INSURANCE AND INDEMNITY: Lessee shall maintain
public liability, Airport liability, aircraft liability, fire and property damage
insurance, and shall carry Workmen's Compensation and employers' liability
insurance as required by law. Lessee shall indemnify and hold harmless
Lessor from any and all demands, losses, liabilities or judgments, together
with costs and expenses incident thereto, which may accrue against, be
charged to, or be recoverable from Lessor as a result of the negligent acts or
omissions of Lessee, its employees or agents in connection with Lessee's use
and occupancy of the demised premises, excluding, however, such as may be
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occasioned by the negligence of Lessor, its employees or agents. Lessor shall
give to Lessee prompt and timely notice of any claim made or suit ins,tituted,
which in any way, directly or indirectly, contingently, or otherwi.se, affects or
might affect, Les see, and Lessee shall have the right to compromise 'or parti~
cipate in th~e defense of the same to the extent of its own interests.
AR TICLE VII - QUIET ENJOYMENT: Lessor agrees that, on pay-
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ment of the rentals, fees and charges herein provided for, and performance
of the covenants and agreements on the part of Lessee to be performed here-
under, Lessee shall peaceably have and enjoy the leased premises,,. rights
and facilities herein granted.
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ARTICLE VIn ~ CANCELLATION BY LESSOR: In the event Lessee
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ahall fil~ a voluntary petition in bankruptcy or, proceeding's in bankruptcy
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shall be instituted against it a.nd L,essee is thereafter adjudicated banKrupt,
pu'rsuant to, such pr,ocee,ding~, or that the court take jurisdiction 0' 'LesBee
and its assets, pursuant to proceedings 'brought under the provisions of
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any,~ederal reorganiz~tion act', or that a receiver of Lessee's assets
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shall be appoirited, or that Lessee 'shall be prevent'e'd by any final. ~ction '
: oi any Federal or ~tate authority from conduct~ng and operating its trar,s-
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port,~tion system f~r the carriage, of" persons, property and mail by air-
· craft at the Airport, or that Lessee shall iail to periorm, keep and obser'vo
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any of the terms, covenants or condit~ons ,herein ,~ontained on its part to' b. '
performed, kept or observed,. Lessor may give Lessee 'notice in wri\.in~
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to correct such c~mdition or cure '~uch' defaul~, and, if any such condition
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or default shall continue for '30r days after the receipt of such notice by
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" ' L~ssee, Lessor may, af~er the lapse of said 30'da:y period and prior to
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. the ,co'rrection or curing of ~;uch ~ondition or default, tarminate this, lease
by 20 day~ written n'otice, a~d the term hereb,Y demis'ed shall the'reupon
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cease an<;i expire at the end of such 20 days in the same manner 'fond to the .': ::,
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s~me effect as if it were the expiration of the original te~m.
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ARTICLE IX - CANCELLATION BY LESSEE:. Lesse,.e, ,in a.ddition
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to any right of cancellation or any other right herein given to it, may can-
cel this tease in its entirety and term~nate all or'any"of its obligations here. ' ,'~,
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under at any time by 30 days writte~ notice ,or after the, h~ppenin~ of any " " .
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,<a) Any lailure or refusal. by the Fed~ral Aviation Agency-t'o permit
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. Lessee to operate into, lrom or tnrough said 4~rport with the type ,of equip.:" :......'..,
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ment ~hich Les,see happens to 'ow~' at any time, '
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(b) The breac~ by Lessor 01 any., 01 the covenants or agreements here-
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in contained an9.jhe failure of Lessor to reme4y auch breach lor a period.ol', ':'
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~~ 'ciay~ alter receipt 01 written notice of the' exi~tence ol auch breach. '
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(~) The inability of Lessee to,use said premises and {acUities con-
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~:regulation oi any appropriate Governmental authority having jurisdict~on '
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\ o~er the premises or the, o'perations of Les~ee, except that, upon, the ln~,
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'. ability of Lessee to use the Airport and leased premises becauseo! war"
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eart~qu~ke 'or. other '~asualty, 'Lessee 'may susp'end this lease during ~ such
inability., "During the'period',of any such S\1Spellsion the Lessor ~etains
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the right' to utilize the leased premises as it' deem,S .advisable.' The inability' . .
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of Lessee to use said prem~~es a~d.f~<=ilities d,ue to Btrikes of its employ- , .
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. ees shall not' b'e considered grounds lor LeBseeto tuminate or cancel'
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, (d)'The termination of L~ssee's obiigations or right to carry passen-, ,'..'
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, gers, and/or UnitE)d States Air Mail'to, from..9r through Key Weit, ,Florida.. :
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ARTICLE ,X - ASSIGNMENT AND SUBLETTING: Lessee shall not,
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at any time, ,unless provided for elsewhere in this lease, assign,t'his'leaBe ,.'..
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0,1", any part,thereoi,nor shall Lessee sublet th'e pr~mises nor any part'
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th"ereoi here~n leased to it~ W~~,h~u: t~e prior written:consent .oi Less~z:, <. ,I"
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except that without such consent, Lessee may assign this iease to any 'cor-,', .
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','i ,poration, with which Lessee is afiiliated, may' m~rge; consolidate, or' which
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ARTICLE XI - SUCCESSORS AND ASSIGNS BOUND BY THI~ AGREE _,:' , <,
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MENT:, All ,the covenants and, agree~ent8 in '~hi8 lease s,hali exte~d to
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~nd bind 'the legal ~epres~ntatives, successors and assigns of,there,spective ' :,,:.'':
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,p.a~ties ..l1,~reto.
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'ARTICLE XII .':DAMAGE OR DESTRUCTION OF PREMISES: Ii'any
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building of Lessor in whichOLessge occupies ~~cl\1sive ~pace"hereunder
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'casualty ~.ut not ,rendered uz:tenantable, s~me sha,ll,be repaire~'with due ",'
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'diligence by Lessor at its ,own cost and expen~e.' 'If the damage shall be so~ '.',', 'I
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extensiv~ as to render such building untenanta.ble but capable 'of being re~ . ,
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pai~e'd ,in 30 days, _ame .hall be repaii-ed with d~. diligence by +....801' a.t ' .
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'its own cost and expense and tne rent payable therefor hereunder, with
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rcspect to Lessee's exclusive, ~pace in such building, mall be proportion-
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ately paid up to the time of such,damage and shall thenceforth ceas'e until
such time: as sai,d building shall be fully restored. In case any such building
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is completely destroyed by fire, 'the elements, the public' enemy o~ other .
casualty, or so damaged t~at it will 'or doe's remain untenantable for more
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than ,30 days, 'at the option of the Lessee, oither:
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(l) said building shall be repaired or reconstructed with due diligence
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respect to Lessee's exClusive space in said building shall be proportionately'. ,"
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paid up to the time of such damage or destruction and shall thenceforth
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cease Ul'ltil, such time as said building shall be fully re.stored; o~
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(2)'ii with~n a re~sonable period after the time of such damage or
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: ,:' destruction, said ,building sha.ll not have been repaired or reconstructed lor
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~es'see'~' ,use, ~essee may give Lesso'r written notice of its intention ~o'cancel
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this l~ase in its enti~ety or to canc~l as of the date of_,such damage or
destruction, such part of this lease as related only to said building.:
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In th~ event that the Airport, .01' any other premises herein leased,' ,..",
.shall be' rendered untenantable or unusable because of the condition 'thereof,"';'. "
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there ~~all be a reasonable a~d prop~rtionate al?atemtmt of the rentals, ,; ", " ~''','''. 'r
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fees and charges provided for herein during the period that the same, are so' " . ,',.
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'untenantable or unusable,
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AR TICLE XIII - NOTICES: A bill or statement may be rendered or : :,~, ' '
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any notice' or communication which Lessor may desire to give Lessee 4Ihall : ' .': ~ ..,
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be dcemE!ci suft'iciently rendere'd or given if tho 'sarno' be in writin'g and sent', "
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bY,'registered or certified mail, addressed ~o Lessee at P, O. Box.
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~,.. A. M. F. Miami, Florida,.; or at the address Lessee
may substitute therefor by notice to Lessor, or left at such addres,s, and
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'the time of rendition of such bill or statement and the giving of'~uch notice'
or communication shall be deemed to be the time when the same is mailed, .
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left or de'livered as herein provided, Any notice from Lessee to Lessor shall. ,..
bc validly given if sent by registered or certified mail, address'ed to '
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delivercd as herein provided. 0 Any notice from Less,ee to Lessor shall be
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\ validly given if ~ent ~y r~gistered or ce~tif~ed mail, addressed to the Board
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of County Commissioners, Monroe County Courthouse, Key West, Florida,
or such other address as Lessor shall hereafter designate by notice to Lessee.
AR TICLE XIV: The Lessee hereby agrees to operate a minimum of
two scheduled flights per day during the term of this lease and further ~grees
not to ~perate a charter service out of th~ Marathon Airport and will transport
passengers only on its ~cheduled flights and will not solicit any flights, originating
from the Marathon Airport, except to Key West and to Miami, Florida, it being
understood by and between the parties hereto that the Lessor has an exclusive
contract with the Marathon Air Charter, Inc. to operate charter flights from ..
the Marathon Airport.
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AR TICLE XV: The Lessee shall have the right to renew this lease
for an additional term of one year, at rentals to be mutually agreed'upon at
the time of such renewal between Lessor and Lessee,
IN WITNESS WHEREOF, ~he parties have caused these presents to be
executed as of the /,-,!-
day of
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, A. D. 1973.
Signed, Sealed and Delivered
in Our Presence:
MONROE COUNTY, FLORIDA
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By
Mayor of M
Chairman 0 the Board of County
Commissioners
As to the Lessor
(SEAL)
Attest:
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Clerk of the Circuit Court of Monroe
County, Florida and ex officio Clerk of
the Board of County Commissioners of
Monroe County, Florida. "
1i$:)h , P.. Cj=J.-,> t/
t ~ / I? Cia.AJJ~ r:=
As to the Lesse(j
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SOUTHEAST AIRLINES, INC.(
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By ''(-/~~d.' /J. >>t/(L-~
President
(SEAL)
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{~-'7"Z--t:~_~L-4L-------
Secretary