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City of San Marcos Airport <br />discharge any lien or charge after the lien occurs or charges become due and <br />payable. In the event the LESSEE disputes the lien or obligation, however, the <br />LESSEE shall have the right to promptly pursue settlement or litigation without <br />paying the claim until the claim becomes final and subject to no further appeal by <br />the LESSEE. The LESSEE shall hold harmless, indemnify and defend the <br />LESSOR, its officers, agents and employees from and against any claims, <br />demands or suits related to such liens or obligations. <br />5.06. The LESSEE shall not do any of the following without the LESSOR's prior <br />written consent, which consent will not be unreasonably withheld: 1) install any <br />exterior lighting, shades or awnings, or any exterior decorations or paintings on <br />the FACILITIES; or 2) erect, install or change any signs, window or door <br />lettering, placards, decorations, or advertising media of any type which can be <br />viewed from the exterior of the FACILITIES. Notwithstanding anything to the <br />contrary contained herein, LESSEE may install "for sale" or "for lease" signs on <br />the LEASED PREMISES without the consent of LESSOR, but subject to <br />applicable sign ordinances and rules. <br />ARTICLE 6. UTILITIES /TAXES <br />6.01. The LESSEE shall promptly pay all charges for electricity, water, telephone <br />service, and other utilities furnished to the LEASED PREMISES. <br />6.02. The LESSOR shall not be liable for any interruption or impairment whatsoever in <br />utility services to the LEASED PREMISES. <br />6.03. In entering into this Lease, LESSEE understands that it will be solely responsible <br />for the payment of ad valorem taxes, if any, that are assessed against all or any <br />portion of the LEASED PREMISES, the FACILITIES, equipment, inventory, <br />personal property, including but not limited to aircraft used for commercial <br />purposes, or the upon the leasehold interest in the LEASED PREMISES. LESSEE <br />agrees to pay all such taxes and assessments when due. <br />6.04. The LESSEE shall also pay when due all sales, excise, income and other taxes <br />levied upon its business operations on the LEASED PREMISES. <br />ARTICLE 7. INSURANCE AND INDEMNITY <br />7.01. Liabilitv Insurance: The LESSEE shall procure and maintain insurance in full <br />force at its expense as set forth in the Minimum Standards, covering claims which <br />arise out of or in connection with the LESSEE's use or maintenance of the <br />LEASED PREMISES. This insurance shall be written so that the LESSOR must <br />be notified in writing at least Thirty (30) days in advance of cancellation, <br />restrictive amendment or non - renewal. The LESSEE shall file certificates of <br />insurance with the LESSOR upon execution of this LEASE and annually during <br />the LEASE term. All insurance required under this paragraph shall be primary <br />Commercial Land Lease Page 6 of 18 <br />