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City of San Marcos <br />Airport <br />actionable conduct of the LESSOR, its officers, agents or employees, or <br />from the acts or omissions of third parties. <br />C. The LESSEE shall give prompt notice to the LESSOR of any accident on the <br />LEASED PREMISES, and of defects in the runways, taxiways, lighting <br />systems or other FACILITIES at the AIRPORT of which the LESSEE is <br />aware. <br />D. In case the LESSOR is made a party to any litigation commenced by or <br />against the LESSEE that is covered by this paragraph, then the LESSEE <br />shall hold the LESSOR harmless from and pay all costs and expenses of the <br />LESSOR related to the litigation, including the fees of attorneys and expert <br />witnesses. <br />ARTICLE 8. CONDEMNATION <br />8.01. Total If the whole of the LEASED PREMISES is taken by eminent domain, then <br />this LEASE shall terminate as of the date the title vests in the proceeding. <br />8.02. Partial: If a portion of the LEASED PREMISES is taken by eminent domain, and <br />the partial taking renders the remaining portion unsuitable for the business of the <br />LESSEE, then this LEASE shall terminate. If the partial taking is not extensive <br />enough to render the premises unsuitable for the business of the LESSEE, then this <br />LEASE shall continue in effect, except that the fixed annual rental shall be reduced <br />and adjusted in an appropriate manner. <br />8.03. If this LEASE is terminated as provided in this section, rent shall be paid up to the <br />date that possession is taken by the condemning authority, and the LESSOR shall <br />make an equitable refund of any rent paid by the LESSEE in advance. <br />8.04. Division of Award: The LESSOR and the LESSEE shall each be entitled to <br />receive and retain separate awards, or portions of lump sum awards, as are allocated <br />to their respective interests in the condemnation proceeding. Without limiting the <br />generality of the preceding sentence, the LESSOR has no interest in any award <br />made to LESSEE for LESSEE's moving and relocation expenses or for the loss of <br />LESSEE's leasehold interest, fixtures and other tangible personal property if a <br />separate award for such items is made to LESSEE. The termination of this LEASE <br />under this Paragraph shall not affect the rights of the respective parties to such <br />awards. <br />ARTICLE 9. DAMAGE BY CASUALTY <br />9.01. The LESSEE shall give immediate verbal notice, and prompt written notice to the <br />LESSOR of any damage caused to the LEASED PREMISES by fire or other casualty. <br />Commercial Land Lease Page 9 of 22 <br />