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Lease Agreement

 

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Title:

Lease Agreement

Entities:

International Absorbents Inc.; Seyfarth Shaw

Date:

2004

Size:

Preview shows 6KB of 113KB total

Price:

$48

ID:

#818580

 

 

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                                 LEASE AGREEMENT




between



WAYNE COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY


and



Absorption Corp.



Dated as of September 1, 2004


Relating to
$4,900,000
Wayne County Industrial Development Authority
Tax-Exempt Industrial Development Revenue Bonds
(Absorption Corp. Project),
Series 2004


--------------------------------------------------------------------------------

All right, title and interest of Wayne County Industrial Development Authority
(the "Issuer") in this Agreement has been pledged and assigned to Branch Banking
and Trust Company, as Trustee under an Indenture of Trust dated as of September
1, 2004, between the Issuer and the Trustee.

{PAGE}

TABLE OF CONTENTS

(This Table of Contents is not a part of the Lease Agreement, it is only for
convenience of reference and is not intended to define, limit or describe the
intent or scope of any provisions of the Lease Agreement.)


ARTICLE I. DEFINITIONS .......................................................2

Section 1.1. Definitions..............................................2

Section 1.2. Use of Words and Phrases.................................2


ARTICLE II. REPRESENTATIONS...................................................2

Section 2.1. Representations and Warranties of the Issuer.............2

Section 2.2. Representations by Lessee................................3


ARTICLE III. THE PROJECT......................................................4

Section 3.1. Lease of the Project.....................................4

Section 3.2. Agreement to Acquire, Construct and Equip Project........6

Section 3.3. Agreement to Issue Bonds.................................6

Section 3.4. Establishment of Completion Date and Disposition of
Balance in Project Fund..................................6

Section 3.5. Lessee Required to Complete Project......................6

Section 3.6. Limitation of Issuer's Liability.........................6

Section 3.7. Disclaimer of Warranties.................................7

Section 3.8. Taxes, Other Governmental Charges; Utilities.............7

Section 3.9. Insurance................................................8

Section 3.10. Maintenance of the Project..............................8


ARTICLE IV. PAYMENT PROVISIONS................................................8

Section 4.1. Repayment of Bonds and Payment of Other Amounts
Payable..................................................8

Section 4.2. No Defense or Set-off-Unconditional Obligation...........9

Section 4.3. Assignment of Issuer's Rights............................9

Section 4.4. Letter of Credit........................................10


ARTICLE V. DAMAGE, DESTRUCTION AND CONDEMNATION..............................10

Section 5.1. Parties to Give Notice..................................10

Section 5.2. Damage and Destruction..................................10

Section 5.3. Condemnation and Loss of Title..........................10


ARTICLE VI. SPECIAL COVENANTS AND AGREEMENTS.................................10

Section 6.1. Maintenance of Existence................................10

Section 6.2. Reserved................................................11

Section 6.3. Project List............................................11

Section 6.4. Inspection of Project...................................11

Section 6.5. Use of Proceeds; Other Matters with Respect to
Project, Bonds and Tax Exemption........................11

{PAGE}

Section 6.6. Indemnification by Lessee...............................13

Section 6.7. Qualification of Lessee in the State....................14

Section 6.8. Permits or Licenses.....................................14

Section 6.9. Recording and Filing; Other Instruments.................14

Section 6.10. Arbitrage Covenant.....................................14

Section 6.11. Reference to Bonds Ineffective after Bonds Paid........14

Section 6.12. Notification of a Bankruptcy Filing or Event of
Default................................................15

Section 6.13. Obligations Under Indenture............................15

Section 6.14. Undertaking to Provide Continuing Disclosure...........15


 

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