ATTORNEY OR PARTY WITHOUT ATTORNEY (Name, State Bar number, and address):

FOR COURT USE ONLY

Dennis P. Block, Esq.
SBN: 70194
- DENNIS P. BLOCK AND ASSOCIATES
5437 Laurel Canyon Blvd., 2nd Floor, Valley Village, CA 91607
TELEPHONE NO.: 323

FAX NO. (Optional): 323 938-6069
938-2868
dennis@evictI23.com
ATTORNEY FOR (Name): Plaintiff
SUPERIOR COURT OF CALIFORNIA, COUNTY OF LOS ANGELES
STREET ADDRESS:
600 East Broadway
MAILING ADDRESS:
600 East Broadway
CITY AND ZIP CODE:
Glendale, 91206
BRANCH NAME:
Glendale Courthouse
E-MAIL ADDRESS (optional):

PLAINTIFF:

DAVID ROSS II, LLC, A CA LTD. LIAB. CO.

DEFENDANT: ROSE GARDEN SUBACUTE & REHABILITATION CENTER, LLC, A CA LTD. LIAB. CO.

0

DOES 1 TO

I

COMPLAINT — UNLAWFUL DETAINER*
0

COMPLAINT

0

AMENDED COMPLAINT (Amendment

CASE NUMBER:

Number):

Jurisdiction (check all that apply):
Q
ACTION IS A LIMITED CIVIL CASE
Amount demanded

0

0
0

does not exceed $10,000
exceeds $10,000 but does not exceed $25,000

ACTION IS AN UNLIMITED CIVIL CASE (amount demanded exceeds $25,000)
ACTION IS RECLASSIFIED by this amended complaint or cross-complaint (check all that

0
0

apply):

from unlawful detainer to general unlimited civil (possession not in issue)

from limited to unlimited

from unlawful detainer to general limited civil (possession not in issue)

from unlimited to limited

1. PLAINTIFF (name each): DAVID ROSS II, LLC, A CA LTD. LIAB. CO.
alleges causes of action against DEFENDANT (name each): Rose Garden Subacute & Rehabilitation Center, Llc, A Ca Ltd.
Liab. Co.
an individual over the age of 18 years. (4)
a partnership.
a public agency.
(5)
a corporation.
other (specify): A CALIFORNIA LIMITED LIABILITY COMPANY
Plaintiff has complied with the fictitious business name laws and is doing business under the fictitious name of (specify):

2. a. Plaintiff is (1) 0

(2) Q
(3) 0

b. 0

3. Defendant named above is in possession of the premises located at (street address, apt no., city, zip code, and county):
1899 N. RAYMOND AVE., PASADENA, CA 91103
4. Plaintiff's interest in the premises is =
as owner M
other (specify): Landlord-Owner
The
true
5.
names and capacities of defendants sued as Does are unknown to plaintiff.
6. a. On or about (date): 04/16/2016
defendant (name each): Rose Garden Subacute & Rehabilitation Center,
Llc, A Ca Ltd. Liab. Co.
(1) agreed to rent the premises as a =
month-to-month tenancy
other tenancy (specify): Lease expires 4/1/2026
(2) agreed to pay rent of $62,285.80
payable 0
monthly
other (specify frequency):
(3) agreed to pay rent on the 0
first of the month =
other day (specify):
b. This 0
written Q
oral agreement was made with
(3)
plaintiff.
plaintiff's predecessor in interest.
(1)
(2) CJ
X plaintiff's agent.
other (specify):
(4)
* NOTE: Do not use this form for evictions after sale (Code Civ. Proc., § 1161 a).
Form Approved for Optional Use
Judicial Council of California
UD-100 [Rev. July 1, 20051

COMPLAINT—UNLAWFUL DETAINER

Page 1 of 3
Civil Code, §
et seq.
Code of Civil Procedure §§ 425.12,
25.1 1166
www.courfinlo.ca.gov
Wallow Doc & Form Bulkler-

 CASE NUMBER:

PLAINTIFF (Name): DAVID ROSS II, LLC, A CA LTD. LIAB. CO.
DEFENDANT(Name): ROSE GARDEN SUBACUTE & REHABILITATION CENTER, LLC, A CA LTD.

6. c.

0

The defendants not named in item 6a are

(1)0

subtenants.
assignees.
(3)C] other (specify):
The agreement was later changed as follows (specify):
(2)

d.

e.

A copy of the written agreement, including any addenda or attachments that form the basis of this complaint, is attached
and labeled Exhibit 1. (Required for residential property, unless item 6f is checked. See Code Civ. Proc., § 1166.)
(For residential property) A copy of the written agreement is not attached because (specify reason):

f. 0

(1)0
(2)Q
7.

0

the written agreement is not in the possession of the landlord or the landlord's employees or agents.
this action is solely for nonpayment of rent (Code Civ. Proc., § 1161(2)).

a. Defendant (name each): Rose Garden Subacute & Rehabilitation Center, Llc, A Ca Ltd. Liab. Co.

was served the following notice on the same date and in the same manner:

(1)0

3-day notice to pay rent or quit
30-day notice to quit
60-day notice to quit

(2)

(3)0

On (date): 09/03/2019

(4)
(5)
(6)

Q
Q

3-day notice to perform covenants or quit
3-day notice to quit
Other (specify): 30-day notice to pay rent or quit premises

the period stated in the notice expired at the end of the day.

b.

(1)

c.

(2) Defendants failed to comply with the requirements of the notice by that date.
All facts stated in the notice are true.

d. EXJ

The notice included an election of forfeiture.

A copy of the notice is attached and labeled Exhibit 2. (Required for residential property. See Code Civ. Proc.,

e. =

§ 1166.)

One or more defendants were served (1) with a different notice, (2) on a different date, or (3) in a different
manner, as stated in Attachment 8c. (Check item 8c and attach a statement providing the information required

f•

by items 7a—e and 8 for each defendant.)

8.

a.

[X

The notice in item 7a was served on the defendant named in item 7a as follows:
(1)

(2)

0

0

by personally handing a copy to defendant on (date):

by leaving a copy with (name or description): Nino Doe - Supervisor (See Exhibit 3)
a person of suitable age and discretion, on (date): 08/03/2019
at defendant's
business AND mailing a copy to defendant at defendant's place of residence on
residence 0
because defendant cannot be found at defendant's residence or usual
(date):08/03/2019

place of business.
by posting a copy on the premises on (date):

(3)

AND giving a copy to a

person found residing at the premises AND mailing a copy to defendant at the premises on

(date):
(a)
(b)
(4)

0

because defendant's residence and usual place of business cannot be ascertained OR
because no person of suitable age or discretion can be found there.

(Not for 3-day notice; see Civil Code, § 1946 before using) by sending a copy by certified or registered
mail addressed to defendant on (date):

(5)

(Not for residential tenancies; see Civil Code, § 1953 before using) in the manner specified in a written
commercial lease between the parties.

b.

(Name):

c.
d•

was served on behalf of all defendants who signed a joint written rental agreement.
Information about service of notice on the defendants alleged in item 7f is stated in Attachment 8c.
Proof of service of the notice in item 7a is attached and labeled Exhibit 3.

UD-100 (Rev. July t, 20051

COMPLAINT— UNLAWFUL DETAINER

Page 2 of 3

 ` PLAINTIFF (Name): DAVID ROSS II, LLC, A CA LTD. LIAB. CO .

CASE NUMBER:

DEFENDANT(Name): ROSE GARDEN SUBACUTE & REHABILITATION CENTER, LLC, A CA LTD.

9.
10.
11.
12.

0
0
0
0

13. 0
14. 0

Plaintiff demands possession from each defendant because of expiration of a fixed-term lease.
At the time the 3-day notice to pay rent or quit was served, the amount of rent due was $124,571.60
The fair rental value of the premises is $ 2,076.19
per day.
Defendant's continued possession is malicious, and plaintiff is entitled to statutory damages under Code of Civil
Procedure section 1174(b). (State specific facts supporting a claim up to $600 In Attachment 12.)
A written agreement between the parties provides for attorney fees.
Defendant's tenancy is subject to the local rent control or eviction control ordinance of (city or county, title of ordinance,
and date of passage):

Plaintiff has met all applicable requirements of the ordinances.
15. 0

Other allegations are stated in Attachment 15.
16. Plaintiff accepts the jurisdictional limit, if any, of the court.
17. PLAINTIFF REQUESTS

f. 0

a. possession of the premises.
b. costs incurred in this proceeding:
c. [X-1 past-due rent of $ 124,571.60

for each day that
(date): 08/01/2019
defendants remain in possession through entry of judgment.

d. F71 reasonable attorney fees.
e. 0

18. 0

forfeiture of the agreement.

Number of pages attached (specify):

damages at the rate stated in item 11 from

-3R

9. 0

statutory damages up to $600 for the conduct alleged in item 12.

h. 0

other (specify):

_ .

UNLAWFUL DETAINER ASSISTANT (Bus. & Prof. Code, §§ 6400-6415)

did not =
did for compensation give advice or assistance
19. (Complete in all cases.) An unlawful detainer assistant M
with this form. (If plaintiff has received any help or advice for pay from an unlawful detainer assistant, state.)
c. Telephone No.:
d. County of registration:

a. Assistant's name:
b. Street address, city, and zip code:

e. Registration No.:
f.

Expires on (date):

Date: 09/04/2019

Dennis P. Block, Esq.

-

(TYPE OR PRINT NAME)

(SIGNATURE

/ & ~, -Z
LAINTIFF OR ATTORNEY)

VERIFICATION
(Use a different verification form if the verification is by an attorney or for a corporation or partnership.)

I am the plaintiff in this proceeding and have read this complaint. I declare under penalty of perjury under the laws of the State of
California that the foregoing is true and correct.
Date: 09/04/2019

See Attached Verification

'
(SIGNATURE OF PLAINTIFF)

(TYPE OR PRINT NAME)

UD-100 (Rev. July 1, 20051

COMPLAINT--UNLAWFUL DETAINER

Page 3 of 3

 AGREEMENT OF LEASE
This Agreement of Lease (the "Lease") is executed in duplicate as of this 161h day of April,
2016, by and between DAVID ROSS II, LLC. a California limited liability company (the
"Landlord"') and ROSE GARDEN SUBACUTE & REHABILITATION CENTER, I LC a
California limited liability company ("Tenant'").
RECITALS
A.
Landlord is the owner of the land, buildings and improvements thereon and the
furniture, fixtures and equipment that contains the operations of that certain ninety-five (95)
bed skilled nursing facility, tvventy-one (21.) of such beds being licensed subacute beds. as defined
in California Health and Safety Code 51250(c), licensed by the California Department of Public
Health C CDPH"), Medicare and Med.i-Cal certified, and commonly known as "Rose Garden
Convalescent Center" located at 1899 North Raymond Avenue, Pasadena, California 9.1103 (the
'Facili.t '" and collectively the "Leased Premises") and as more fully described in the legal
description attached hereto as EXHIBIT A and incorporated herein by this reference.
B.
The Facility is currently leased and licensed to David Ross, Inc., a California
corporation ("Prior Tenant"), pursuant to a lease dated January 1, 2014 (the "Prior Lease") which
Prior Lease shall terminate upon the Commencement Date (hereinafter defined) pursuant to t11e
terms of the Lease Termination attached hereto as Exmff B.
C.
Landlord desires to lease the Facility to Tenant. and Tcnant desires to lease
the Facility from Landlord according to the following terms and conditions.
AGREEMENT
I.

General Undertaking.

That for and in consideration of the rental hereinafter reserved and of the:
1.. I
mutual covenants, agreements and conditions hereinafter contained. Landlord does hereby lease,
let and demise unto Tenant. and Tenant does hereby take, accept and rent from Landlord. those
certain premises as described on Exi-IiE3IT A hereto situated in the County of Los Angeles, State
of California. commonly known as Rosen Garden Convalescent Center, 1899 North Raymond
Avenue. Pasadena, California 9110.3. together with all of Landlord's right, title and interest; if
any, in and. to all machinery, trade equipment. trade fixtures, furniture. furnishings, beds. and
accessories of all kinds used in connection ~. ith the Facility, including all personal property (an
inventory of which is attached hereto as Schedule 1.1), whether tangible or intangible, and all
rights, if any. to apply for licensure and operate the Facility as a licensed nursing facility in the
State of California and all rights. if anv, to apply- for Me'di-Cal and Medicare certification ofthc
beds (collectively the `'Leased. Assets"). The Leased .Assets shall not include any of Tenant's
personal property which is not essential to operation of the Facility or vvhich is not a replacement
of any of the Leased Assets.

2.

flet)resentations and Warranties.
2.1

Landlord Representations and Warranties.

 (a)
Landlord warrants and represents to Tenant that it is the owner
of the Leased Premises. and that it is duly authorized and empowered to make and enter into
this Lease with Tenant.
Landlord represents and warrants that. as of the Commencement
(b)
Date and after the satisfaction of the condition precedent contained in Section 3.2(a) of this
Lease, there are no other tenants to the Leased Premises or any other person who has a right to
possession of the Leased Premises.
(c)
landlord represents and warrants that 1-andlord has no notice.
written or oral, that the Leased Premises are in violation of any, applicable rulings, zoning.
parking requirements or other laws or ordinances,
Landlord represents and warrants that the Facility is licensed by
(d)
CDPH as a ninety-five (95) bed skilled nursing facility, and that the .Facility is certified for
participation in the Medicare and Medi-Cal programs and has active and valid provider
agreements.
pending
Landlord represents and warrants that there is no licigatlon
(e)
u
or
Prior
Tenant.
Leased
Landlord
threatened
against
the
Premises,
or
(f)
Other than as set forth on Schedule IUD, neither the Leased
Premises, nor the propei-t; of either landlord or Prior Tenant are encumbered by any liens of
mechanics, laborers, or materialmen, chattel mortgages. the Internal Revenue Service. any
Governmental Authority (defined below) or any other liens. All liens set forth on Schedule 2.1(f)
shall be released prior to the Commencement Date and "Tenant shall have no liability for any such
lien not so released prior to the Commencement Date or otherwise. ''Governmental Authorityshall mean OSHPD, or any court. board. agency, arbitrator, commission. office or other authority
of any nature whatsoever for any governmental unit (foreign, federal. state, county, district,
municipal, city or otherwise) whether now or hereafter in existence having jurisdiction over the
.Leased Premises.
(g)
Landlord represents and warrants that there are no room size waivers
in place at the facility as of the Commencement Date.
(h)
Except as set forth in Schedule 2.1(h) hereto. Landlord represents
and warrants that all physical plant repairs. replacements and maintenance have been completed
in accordance with applicable law and, if required, with OSPHD approval.
?

Tenant Representations and Warranties.

Tenant is a limited liability company. duly formed and validly
(a)
existing and in good standing under the laws of the State of California. and has the limited liability,
company power and authority to own its property and assets and to carr), on its business as now
being conducted or as will be conducted on and after.- the Commencement Date.

 The execution, delivery and performance of this Lease by Tenant
(b)
not,
as
of
the
Commencement
Date, conflict with or result in. a breach of or default under anv
will
ofthe terms. conditions or provisions of Tenant's articles of organization, or operating agreement.
(c)
This Lease constitutes the valid and Minding obligation of Tenant.
fully enforceable in accordance with its terms.
(d)
As of the Commencement Date. there is no suit, claim, action or
legal, administrative, arbitration, or other proceeding or governmental investigation pending or
threatened, by or against Tenant.
3.

Term of Lease.

The Term of the Lease (or "Lease Term") provided for herein is ten
3.1
(10) years, and shall commence on the Commencement Date and terminate on the tenth (i0`")
anniversary thereof. unless sooner terminated by Landlord or as otherwise provided in this Lease
law.
or by
r
3.2
Tenant shell have two (2) options (each. a "Renewal Option- ), to extend
this Lease for an additional period of five (5) years each (each. an "Extension 'Term"), provided
Tenant is not in default, with all rights of cure expired or impossible, under this Lease at such time
as it exercises such Renewal Option. Each Renewal Option for each Extension Term shall be
exercised by "Fenant, giving written notice (an "Option Notice") to Landlord not less than six (6)
months nor more than twelve (12) months prior to the expiration of the then current term of this
Lease. .Each Renewal Option shall be exercised by Tenant by delivery of an Option Notice to
Landlord stating that Tenant is exercising the Renewal Option. If Tenant fails to give such Option
Notice .in «-rith.ig to Landlord within the time period specified herein, all rights and privileges
granted to Tenant to extend this Lease shall lapse and become null and void. No later option may
be exercised if Tenant fails to exercise a prior option. Fixed Rent due in the first Lease Year of
the Extension Term and each subsequent Lease Year during the Extension Term thereafter shall
be calculated pursuant to the terms and provisions of Section 4.1.(b).
3.3
4.

The Commencement Date shall be April 16. 201.6.

1Zental Payments. Key Money.

For each and evert, trronth of the Lease Term. Tenant agrees to pay as
4.1
Rent for the Leased Premises. the follo-.ving sums, on the first day of each month, as follows.
Any Monthly Rent (hereinafter defined) received by Landlord, after notice by Landlord to Tenant
that such Vlonthly Rent payment has not been received, on the seventh (Vl) day or later of the
month v,.-hen due shall be considered late and subject to a five percent (5°,o) penalty due at thy° time
of payment.
(a)
As of the Commencement Date and until April 30, 2017. Tenant
$600
shall pay!
per month per bed (the "R.ent"' or "Monthly R.ent"). Payment fur the first month's
rent shall be prorated based on the number of days the Tenant leases the Leased Premises
hereunder.
W

 On October 16, 2016. Tenant shall pay the last month's rent due
(b)
under this Lease in the amount of fifty seven thousand dollars ($57.000.00). which Landlord shall
accept as payment in full of the last month's rent, despite any rent increases which may occur
during the Term of the Lease.
(c)
Commencing May 1. 2017. and on each. May I annually- thereafter
during the Lease Term including the Extension Term(s), the then current Monthly Rent shall
be increased by three percent (3%) per year.
4.2
if and so often as the number of licensed beds increases or decreases during
the term of this Lease, effective as of the date of each such increase or decrease, then current
Monthly Rent (as the same may, have previously increased under this Lease, whether as a result of
any prior increase in licensed beds or otherwise) shall be increased or decreased according to the
increase or decrease in licensed beds. The increases in Monthly Rent contemplated by this Section
4.2 shall be in addition to and not in lieu of the 3% annual rent increases.
Tenant hereby agrees that if Tenant fails to pay Rent or any other sum
4.3
required to be paid by Tenant hereunder within the seven-day grace period for any (2) two
consecutive months, or for a..n.y three (3) months during a Lease Year. Rent hereunder for the
remaining Lease Term shall be automatically adjusted to be quarterly rental, payable in advance,
commencing on the first (1 s`) day of the month following such consecutive late month. or the third
(31 ) late month in a Lease Year quarter. and continuing thereafter for the remaining Lease Term
on a quarterly basis in advance.
4.4
Dov E. Jacobs and Miriam Taub will personally guarantee the payment of
Rent, a.11 triple net charges, and all other obligations under the Lease. As approved as to form and
content by the Landlord and appears as ExiiIHtr C. attached hereto.
4.5
"Tenant shall be solely responsible for all general and special real estate taxes
and assessments (together with any excise taxes on such real estate taxes and assessments levied
or imposed by any governmental taxing authority), fire district taxes, liens, impositions. including
capital stock. franchise, ad valorem, sales. use. bed taxes; personal property taxes. assessments
including assessments for public improvements or benefits. whether or not commenced or
completed prior to the date hereof and whether or not to be completed within the Term; ground
rents; water, sewer and other utility levies and charges; excise tax levies; fees including license,
permit, inspection, authorization and similar fees. and all other governmental charges, in each case
whether general or special. ordinary or extraordinary. or foreseen or unforeseen, of every character
in respect of the Leased Premises, and all interest and penalties thereon attributable to any failure
in payment by Tenant which at any tune prior to. during or in respect of the Term hereof may be
assessed or imposed on or in respect of or be a lien upon the Leased Premises (collectively, the
'`Impositions") that accrue from the Commencement Date through the Term.
4.6
Tenant agrees to furnish. to Landlord within thirty (30) days after the
written request of Landlord, official receipts of the appropriate taxing authority or other proof of
satisfactory to Landlord Evidencing the payment thereof.

4

 4.7
All taxes or assessments payable by Tenant pursuant to the terms and
provisions of this section shall be prorated as of the last real property tax year(s) of the Lease
Term . After the Commencement Date Tenant shall pay all taxes or assessments as they become
due,
4.8
Tenant shall have the absolute right to appeal any Impositions of any
Governmental Authority through a tax certiorari or other lawful appeal process at Tenant's
expense.

4.9
Landlord shall not be required to j oin in any such proceeding unless it
shall be necessary for it to do so in order to property prosecute such proceeding.
4.10 All rental and other payments shall be made to Landlord at the address
designated by Landlord, which may be changed by Landlord upon vv ritten Notice to 'tenant, at any
time.
4.11 The terms "rent," " rental" 'Additional bent" and "monthly rent" as used in
this Lease shall be deemed to mean all nllllllllUm iVI.onthly Rent, rental adjustments, Impositions
and any and all other sums, hoNv~ever designated , required to be paid by Tenant hereunder, whether
payable to Landlord or third parties.
4.1? Any taxes or impositions .khich may have been prepaid by Landlord shall
be prorated between Landlord and Tenant within thirty (30) days of the Commencement Date.
4.13 Tcnant shall pay in full: (a) prior in each case to the date when penalties
Would attach , all Impositions, except only those so long as and to the extent that the same shall be
contested in good faith by appropriate and timely proceedings and for vv- bleb adequate reserves
leave been established in accordance with practices consistent with the skilled nursing facility
industry-, provided that 6) no default of this Lease has occurred and remains uncured. beyond all
applicable cure periods, ( ii) such proceeding shall suspend the collection of such .Impositions or
the Impositions shall have been paid. ( iii) such proceeding shall be permitted under and be
conducted in accordance with the provisions of any other instrument to which Tenant is subject
and shall not constitute a default thel•eunder. (iv ) no part of or interest ill the Leased Premises shall
be in danger of being sold , fi~rfeited, terminated" canceled or lost, ( y) Tenant shall have furnished
such security as may be required in the proceeding. to insure the payment of any such Impositions,
and (vi ) Tenant shall promptly upon filial determination thereof pay the amount of SLlcll
Impositions, together with all costs, interest and penalties: (b) all of Tenant ' s wage obligations to
TenanCs employees in compliance with the I`air Labor Standards :Act (29 L.S.C. §§ 206-107) or
any comparable provisions: and (c) all obligations validly otived in connection with any claim.
demand or notice of any overpayment received front tMedicare.. Medi-Cal or other third party
payor.
4.14
Tenant shall have the right, but not the obligation. to offset the amount of
anv Offset Obligation (as defined below ) of Landlord andlor Prior Tenant against amounts
Otherwise due pursuant to Landlord Ul1der this Lease (`. bight of Of"(set"). An "Offset O bligation."
shall lilean : ( i) (for the entire term of the lease including renewals) any tax obligation of Landlord.
Arlene It Rosales. an individual. or any affiliate thereof (other than Tenant's obligations to pay

 taxes and Impositions pursuant to this lease); and (ii) (for the first twelve (1 ?) months of the Lease)
any obligations of David Ross. Inc., a California corporation or other prior operators of the haciIity
for any overpayment, recoupment or takeback by any Governmental Authority or third party payor
as related to dates of service prior to the Commencement Date. Should Tenant receive notice of
an Offset Obligation. Tenant shall provide notice to Landlord of such Offset Obligation and
Landlord shall have seven (7) calendar days to provide Tenant with proof of payment of such
Offset Obligation. Should Landlord fail to provide adequate proof of payment of such Offset
Obligation then within seven (7) calendar days. Tenant may exercise its Right of Offset and may
offset as much as the entire amount of the next month's rent. Should the amount of the Offset
Obligation exceed the total amount of rent owed to Landlord for the next month's rent, the Right
of Offset shall continue indefinitely for future rent payments until the entire Offset Obligation has
been satisfied and paid in full. Tenant's Right of Offset shall not be Tenant's exclusive remedy
by which to seek indemnification under this Lease or the MOTA. nor shall such Right of Offset
be considered a waiver of any other remedy available to Tenant pursuant to applicable law. If
Tenant shall exercise this Right of Offset, Tenant shall not be precluded from making claims for
payment pursuant: to this Lease or the M.OTA. Tenant may exercise the Right of Offset to offset
the entire amount of each monthly payment due to Landlord and/or any other payments due to
Landlord. The filing of any volUntar}- or involuntary petition for bankruptcy or any other
insolvency proceeding by Landlord and/or Prior Tenant shall not affect the enforceability of the
Rights of Offset.
4.15 On October 16, 2016, Tenant shall pay to Landlord a security deposit in the
amount of Fifty-Seven Thousand Dollars ($57.000) (the '`Security Deposit"). If Tenant is in
default beyond all applicable cure periods, Landlord can use the Security Deposit or any portion
thereof to cure the default or to compensate Landlord for all damages sustained by Landlord
resulting from Tenant's default. Tenant shall immediately. on demand, pay to Landlord a sum
equal to the portion of the Security Deposit expended or applied by Landlord as provided for in
this paragraph so that it maintains the Security Deposit in the sum initially deposited with
Landlord. if Tenant is not in default beyond all applicable cure periods at the expiration or
termination of this Lease. Landlord shall return the Security Deposit to Tenant, within ten (10)
days of the termination of this Lease.
4.16 In consideration of the Landlord's grant of this Lease and the extended
business opportunity to be afforded the Tenant as a result thereof; Tenant agrees to pay Landlord
the principal sum of Three Hundred Seventy-Five Thousand .and 00/100 Dollars ($375.000.00)
(the ``Key Money"), over and above the Rent. Such Key Money shall be paid to Landlord upon
the execution of this Lease.
5.

Use and Control of Premises.

The Leased Premises may be used by Tenant for the purpose of operating
S.I
a skilled nursing facility (a '`SNF") or nursing home in accordance with the current licenses and
certifications therefor, and for related and/or additional purposes. xvhether necessar-v or incidental
to such uses. including. but ►got limited to, the addition of services under the current license. and/or
additional 1 icensure.

6

 a.?
Tenant covenants and agrees that it will not use the Leased Premises, nor
permit the Leased Premises to be used, in whole or in part, for any purpose or use in material
violation of any of the lacy, ordinances. regulations or rules of any public authority at any time
applicable thereto. Tenant shall neither use nor permit to be used the Premises or the Facility, or
other improvements or any part thereof for any purpose or purposes other than as a 951-bed SNF,
with the current bed configuration, and for no other purpose whatsoever, without the express
written consent of Landlord first having been obtained. In no event may Tenant change the
existing "classification" of beds to a lower classification (e.g., reclassify skilled nursing beds to
intermediate care beds), change the existing classification of beds to a higher classification, or
increase or decrease the number of beds in the Facility, without Landlord's prior written consent,
which consent may not be unreasonably withheld, conditioned or delayed.
D.:}
Tenant shall. at its own cost, and without expense to Landlord. keep and
maintain the Premises. and every part thereof, including, but not limited to, the roof, exterior,
interior. foundation, structural parts, operational parts, paving. landscaping. sidewalks. buildings.
Surface parking lots, sewers, utility lines. and other improvements of any kind which may be a part
thereof: in very good. sanitary and neat order, condition and repair, and free from hazards,
including replacements as needed, and shall keep the interior in an Upggraded condition, at Tenant's
sole cost and expense. and except as specifically provided herein, restore and rehabilitate any
improvements of any kind which may be destroyed or damaged by fire, casualty or any cause
whatsoever, in such a manner as may be necessary to operate the Facility in accordance with
applicable state and federal laws and regulations. Tenant shall also maintain the grounds in a good
and sightly appearance, including regular mowing, pruning, fertilizing. and other appropriate care
of all grass, plants. and trees. Tenant shall promptly replace dead plants and shall maintain the
extent of landscaping at least to the level as exists on the Commencement Date. Landlord shall not
be obligated to make or bear the cost of any repairs. replacements or renewals of any kind, nature
or description whatsoever to the Premises, the Facility. or other improvements thereon. Tenant
expressly waives the benefit of any lair, whether by statute. judicial decision, ordinance, or
otlter,,,Ose. now or hereafter in effect. that would otherwise accord Tenant the right- to make repairs
at Landlord's expense or to terminate this Lease because of Landlord's failure to keep the Premises
or an\. portion thereof in good order, condition, or repair. if any Mortgage Holder requires deposits
of maintenance costs to be made with such -MortVG74e Holder. Tenant shall either pay to Landlord
monthly the amounts required and Landlord shall transfer such amounts to each Mortgage Holder.
or. pursuant to written direction by Landlord.. "Tenant shall male such deposits directly with such
~lortgtage Holder. Tenant shall also be solely responsible for making all changes required during
the life safety surveys and any other required repairs as stated by OSFIPD. Such repairs shall be
made in compliance with OSHPD requirements and Tenant shall, when obligated b} C~SIIPD
requil-eilients, obtain OSl-11'D approval fur• all such repairs. Landlord shall be permitted, once per
calendar year. to inspect the Leased Premises with regard to upkeep and repairs. Landlord v ill
prepare arl itemized list of items it wishes Tenant to repair. update and'or replace (the "Proposed
Repairs") and Landlord and Tenant shell greet and confer reg;ardingr such repairs and will
rea onabiy work to agree on which Proposed Repairs vvill be performed hiv Tenant.
•.l
Tenant shall have the right durinE( the Term. without the consent of
l..andlord. to make such non-structural interior alterations. changes and improvements to the
Leased Premises as n1.m., be proper and necessary for the conduct of Tenant's business, to cause
the Leased Premises to conform to all La\.•s. for patient comfort and safety, or for the full benericial

 use of the Leased Premises, so long as such improvements, (i) do not interfere with any, of the
purposes for which the Facility was leased. (ii) do not decrease the value of the Leased Premises.
or (iii) such non-structural alterations can be removed at the end of the term of the Lease at
Landlord's request and at Tenant's cost. without material damage to the Leased Premises. 'Tenant
shall pay for all costs, fines and penalties imposed by the applicable state agencies or Center for
Medicare and Medi-Cal Services (`'CMS") or other Governmental Authority in connection with
any change of ownership survey which are not related to issues beginning and/or arising prior to
the Commencement Date. Tenant shall notify Landlord of any alterations. changes or
improvements required by any Governmental Authority prior to the commencement thereof:
Tenant shall give Landlord written notice ten (10) days prior to commencing repairs, construction,
or alterations whose costs exceed Twenty-Five Thousand Dollars ($25,000.00) to allow Landlord
to post notices of non-responsibility.
Tenant agrees to return to Landlord upon the expiration of this Lease. the
5.5
Leased Premises and Leased Assets. Landlord and Tenant acknowleda-e that the Leased Premises.
was, and at all times under the terms of this Lease are. the sole and absolute property of Landlord.
Upon any termination of this Lease. Landlord shall have the sole, complete. unilateral, absolute
and unfettered right to cause the Facility's licenses to be reissued in Landlord's name or in the
name of Landlord's designee upon application therefor to the applicable state licensing authority
and to further have the right to have any and all Medicare. Medi-Cal and any other provider and/or
third party payor agreements issued in Landlord's name or in the name of Landlord's designee. In
the event Landlord exercises its rights pursuant to this Section 5.6. Tenant shall cooperate with
Landlord in transferring the aforementioned items to Landlord"s name or for the benefit of
Landlord or as Landlord may direct, together with all patient records, and such other books and
records relating to the Facility's operations as Landlord or its designee may require to operate the
Facility- as a 95-bed skilled nursing facility, subject to indemnillication for the use of such license,
certification and related provider agreements during such transition period. Tenant shall use its
best efforts to maintain the number of beds at the Facility and to maintain the room size waivers
in place at the Facility on the Commencement Date and shall notify Landlord if Tenant receives
any notice that such room. size waivers are being revoked or denied. but in the event CD.PH denies
any room size waivers and reduces the number of beds Tenant shall not be held in default of this
Lease.
5.6
All improvements and additions made by Tenant to the Leased Premises
which are permanently affixed to the building located thereon shall be deemed to be a part of
the building and Leased Premises, and immediately become the property of Landlord
6.

Materials and Hazardous Waste,

Tenant shall not place or hold any Hazardous Materials on or at the Leased
6.1
Premises, except as is necessary for the ordinary course of its business as a SNR If Tenant's
business requires the use of any Hazardous Materials. other than such materials as are typically
found in skilled nursing facilities, Tenant shall notify Landlord in writing and shall comply vvith
hazard communication and notification requirements of the Occupational Safety and Health Act
("0SH.A") and all laws which require notit1cation of employees, the community or any
governmental agenev of the hazardous properties of such 1azardous Materials.

8

 r

,

r

Tenant shall not place, hold or dispose of any Hazardous Waste on, under
6.2
or at the Leased Premises except as specifically allowed in this Section 6.2. Tenant further agrees
that it shall not use the Leased Prer.nises as a treatment, storage, or disposal (whether permanent or
temporary) facility for Hazardous Waste except in the ordinary course of operating the Facility
and in compliance with all Environmental Laws. If Tenant, in the ordinary course of its business
as a SNF generates Hazardous NVaste. then Tenant shall comply with all applicable federal. state
and local laws, statutes. ordinances. codes, rules, regulations, orders or decrees relating to the
appropriate use. storage, transportation and disposal of Hazardous Waste. For the purposes of this
Lease, "Hazardous Waste means and includes any hazardous material that has entered the waste
stream or any contaminant or pollutant as defined as such in the Resource Conservation and
Recovery Act, the CERCLA, as amended, any so-called "Superfund- or "Superlien" law, the
TSCA. or any other Law. relating to or imposing liability or standards of conduCt concerning. any
hazardous. toxic or dangerous waste. Tenant shall have no liability for any such losses, liabilities.
damages. injuries, costs. expenses or claims asserted or arisira2 under the CERCLA, as amended,
any so-called `'Superfund" or - Su.perlien" law, or any other Law. relating to or imposing liability
r ystandards of conduct concerning, any Hazardous Material. condition. omission or which arise
Clue to any violation of Environmental Law pre-dating the Commencement Date. Tenant further
agrees that it shall properly dispose of all "infectious "waste.. such as laboratory waste, pathological
waste, blood specimens or products, patient or resident waste. including, without limitation,
bandages and disposable gowns. sharp waste and any material g=enerated by the production or
testing of biological agents. Immediately upon receipt of any Environmental Notice (as hereinafter
defined) from any Person. Tenant shall deliver to Landlord a true. correct and complete copy of
swine. '`Environmental Notice" shall mean any note, notice. or report of any suit. proceeding,
investigation, order. consent order. injunction. VkTit, award. or action related to or affecting or
indicating the treatment, storage. handling, disposal, generation. spill. release or discharge of any
Hazardous Waste or Hazardous Materials in or affecting the Leased Premises.
6.3
(..'pon the expiration of the Term, or the earlier termination thereof.
whichever shall be the first to occur. '1-enam shall forthwith remove all Hazardous Materials and
Ulazardous Waste caused. placed or released ora, at or under the Leased Premises or any portion
thereof in accordance with applicable Law (excluding consumable supplies typically used in the
operation ofa skilled r1z11'si1l facility). Landlord shall have the right to inspect the Leased Premises
with regard to the management and disposal of Hazardous Materials and Hazardous Waste at all
reasonable tintes durincy the Term.
7.

t_'tiIities.

7.I
Tenant agrees to pay. or cause to be paid. all charges against the Leased
Premises for gas. vvater. sewer. electricity, light. heat or power. telephone and all other utilities
c.ised. rendered Or supplied upon or in connection with the Leased Premises throwgh the
Lease "berm commencing with the date Tenant enters into possession. and to indemnify Landlord
and to save them harmless tav-ainst ativ liability or damages on such account.
111SUrance.

8.1
At all limes during this Lease. at its own cost and expense. Tenant shall
keep all buildings, h provenwn,ts and Inventor• existing or hereinafter erected or added as a
c}

 part of the Leased Premises, including all alterations, rebuilding, replacements and additions
thereto. insured against loss or damages by fire, and such ether hazards. casualties. risks and
contingencies that may hereafter be considered as included within the standard form fire
insurance policy with extended coverage endorsement, in an amount equal to one hundred
percent ( 100%) of the full replacement value thereof. The carriers of all policies shall have a
Best ' s Rating of "A-" or better. All said policies of insurance shall be written on an occurrence or
claims-made form. Tenant shall not be permitted to provide self-insurance and all such insurance
must be obtained from a third party insurer.
8.2
"rhe term "full replacement value" shall mean actual replacement cost
exclusive of cost of excavation, foundations and footings.
At all times during this (.,ease, at its own cost and expense. Tenant shall
8.3
provide and keep in force single limit comprehensive general liability insurance policies, in
standard form. protecting Landlord and Tenant against any and all liability in an amount of
not less than One Million Dollars ($ 1.000.000.00) per occurrence and Three Million Dollars
($3,000,000.00 ) in the aggregate. 'Tenant shall also maintain workers' compensation insurance
meeting all statutory and regulatory limits. if either party shall at any time believe the limits of
insurance required hereunder to be excessive or insufficient, the parties shall endeavor to agree
in writing on the proper reasonable limits for such insurance and such insurance shall thereafter
be carried with the limits as agreed on until further changed pursuant to the provisions of this
Section . If the parties shall be unable to agree thereon , the proper reasonable limits for such
insurance to be carried shall be determined as described in Section 8.4.
8.4
11' Landlord and Tenant cannot agree on the terms of insurance provided for
hereunder. Landlord and Tenant shall each select an insurance broker . If they cannot a~.?ree on the
proper reasonable limits for such insurance, then they in turn shall select an impartial third broker
who shall determine the reasonable limits of insurance coverage. Such third party shall, ill
rendering its decision , bear in mind the insurance market conditions, availability of insurance
and premium costs for such coverage for the long term care industry in the State of California
and what is reasonably and commercially available for the Tenant . All such policies shall
cover the entire Leased Premises. including parking and common areas therein. and side".-alks
adjacent thereto.

8.5
All such insurance to be provided by Tenant under this section shall name
as an additional insured the Landlord and/or Landlord ' s Mortgage Holder (except workers"
compensation) and Tenant as their respective interests may appear, and Tenant shall provide
certificates of all such insurance to Landlord . In addition, all policies of insurance of the kind
described in Section 8. 1 shall provide for payment of loss to ( i) the Landlord and the Tenant as
their interests may appear, in the case of any particular casualty resultinL; in damage or
destruction to the Leased Premises exceeding $150.000 .00, and ( ii) Tenant in the case of any such
particular casualty resulting in damage or destruction not exceedima $1.50.000.00.
All [let insurance proceeds received bN or on account of Landlord. the
8.6
Tenant or the beneficiary. if anti-, or anv deed of trust on the Leased Premises, as the case nlay be,
under the policies of insurance of the kind described in Section 8.1 shall be held in trust b% the

10

 recipient thereof, who shall administer and apply' such proceeds in accordance with the
provisions of Section I 1 hereof.
All of the policies of insurance provided for in this Lease shall. be in form
8.7
and substance as is then standard in the State of California fur policies of like coverage and
shall be distributed in such amount, and by such responsible companies as Landlord shall
reasonably approve.
8.8
In the event that Tenant fails to obtain and maintain insurance as in this
Lease provided, Landlord may effect any such insurance coverage and pay premiums therefore,
and all premiums so paid by Landlord shall be payable by Tenant to Landlord.
8.9
The obligation of collecting upon the insurance policies furnished and
provided for by Tenant. or obtained by Landlord by reason of the failure of Tenant to obtain
them, shall be Tenant's, but Landlord shall cooperate in such collection (but at the expense of
Tenant if airy expense is incurred) to such reasonable degree as may be requested by Tenant.
9.

Mechanic's Lien.

9.1
Tenant shall not suffer or permit any mechanic's liens to be filed against
the Leased Premises or any part thereof by reason of %:vork, labor. services. or material supplied
or claimed to have been supplied by Tenant or anyone holding the Leased Premises, or any
part thereof, through or tinder Tenant. If any such mechanic's lien should at any time be filed
against the Leased Premises. Tenant shall cause the same to be dischar4(Ted of record within thirty
(30) days after the date of tiling the same. If Tenant shall fail to discharge such mechanic's lien
within such period, then Landlord may. but shall not be obligated to, discharge the same either
bv° .paying the amotint claimed to be due or by procuring the discharge of such lien by deposit in
court or by giving security, or in such other manner as is or may be prescribed by law. Any
amount paid by Landlord for any of the aforesaid purposes in procuring the discharge of such
lien, vvitll all necessary disbursements in connection therewith, shall be repaid by Tenant to
Landlord on demand. and if unp'ciid. may be treated as Additional Rent. Nothing herein
contained shall imply any consent or agreement on the part of Landlord to subject Landlord's
estate to liability under any mechanic's lien law.
9.2
If the Tenant shall desire to contest any claim or lien. it shall furnish the
Landlord adequate security Of the value or in the ~~moui1t of the claim, plus estimated costs
and interests, or a bond of a responsible corporate surety authoriz d to do business in the State
of California. in such iimotiilt. conditioned on the discharge of the lien. If a. final judgment
establishing the validity or existe=nce of a Iien for any amount is entered. the Tenant shall pay
and satisfy' the Sai11e at once.
10.

I ndemn ifictitioil.,"Offsets.

10.1 Tenant agrees to indemnify. defend and save harmless Landlord and its
members, rnan4igers, officers. directors, owners. employees, representatives and agents against
and from any and all claims %-01ch arise as a result of the Tenant's actions. inactions. negligence
or conduct and that arises during the I..:ease Term, that is brOug:ht by and on behalf of ariv
person. arising from the conduct or rna;zazement of or from any work or thing; whatsoever

 done in or about the Leased Premises by or on behalf of Tenant, and wi 1.1 further indemnify.. defend
and save Landlord and its members. managers. officers, directors. o«vners, employees.
representatives and agents ha.rnfless against and from any and all claims by or on behalf of anv
person arising during the Lease Term which relates to events or acts which occurred during the
Lease Term by Tenant from any condition. of the building on the Leased Premises or any
sidewalk adjoining the Leased Premises. or any passageways or spaces therein or appurtenant
thereto, or arising from any breach or default on the part of Tenant in the performance of any
covenant or agreement of Tenant to be performed pursuant to the terms of this tease, or arising
from any act of negligence of Tenant, or of any of its agents, contractors. servants. emplo.ees,
sub-tenants, or licensees. or arising from any accident. injury, or damage whatsoever caused
to any person occurring after the Commencement Date of this Lease in or about the Leased
Premises, or upon or under the sidewalks and the land adjacent thereto, and from and against all
costs, counsel fees, expenses and liabilities incurred in or about any such claim or action or
proceeding brought against Landlord and its trustees. representatives and agents by reason of any
such claim, Tenant upon notice from Landlord covenants to resist or defend such action or
proceeding. This indemnity shall not extend to injury caused by Landlord, its agents,
representatives or employees.
10? Landlord and Landlord ' s principal, Arlene Rosales, agree to indemnify.
defend and save harmless Tenant and its members. managers, officers, directors, owners,
employees, representatives and agents against and from any and all claims which arise as a result
of Landlord ' s actions, inactions, negligence or conduct and that arises during the Lease Term,
that is brought by and on behalf of any person , arising from the conduct or management of
or from any work or thing whatsoever done in or about the Leased Premises by or on behalf of
Landlord. and Nxvill further indemtiifi-,, defend and save Tenant and its members. manag .rs.. officers,
directors, owners, employees, representatives and agents harmless against and from any and all
claims by or on behalf of any person arising during the Lease Term w hich. relates to the Offset
Obligations and any events or acts which occurred prior to the Lease Term by Landlord or
any tenant of Landlord, including, but not limited to Prior Tenant, from any condition of the
building on the Leased Premises or any sidewalk adioi.n.ing the Leased Premises, or any
passageways or spaces therein or appurtenant thereto, or arising from. any° breach or default
on the part of Landlord in the performance of any covenant or agreement of Landlord to be
performed pursuant to the terms of this Lease, or arising from any act of negligence of Landlord.
or of any of its agents. contractors, servants. employees. sub-tenants, or licensees, or arising
from any accident, injury. or damage whatsoever caused to any person occurring prior to the
Commencement Date of this Lease in or about the leased Premises, or upon or under the
sidewalks and the land adjacent thereto, and from and against all costs, counsel fees, expenses
and liabilities incurred in or about any such claim or action or proceeding brought against "Tenant
and its trustees, representative s and agents by reason of any such claim. and Landlord, upon
notice from Tenant, covenants to resist or defend such action or proceeding. This indemnity
shall not extend to injury caused bv °Tenant, its agents, representatives or employees or to any
Quality .Assurance Fees (tile "Q:-,k Fees") imposed on Prior Tenant. ~,t-hich Tenant is otherwise
assuming, or to any liability° assumed by Tenant for the ProC: lean agreement.
.For purposes of this .Article .10 the term " person"* shall mean any- natural person.
corporation. limited liability company , professional association. limited partnership. general
partnership, joint stock company , joint venture, association . company. trust, bank. trust company.
12

 land trust, business trust or other organization, whether or not a legal entity, and/or ally
Governmental Authority,
11.

Damage or Destruction.

11.1 if during the Lease Term the buildings or improvements on, in or
appurtenant to the Leased Premises, or thereafter erected, installed or placed thereon or therein,
shall be destroyed or damaged in whole or in part by fire or other hazard, risk, contingency or
casualty, whether or not covered by insurance pursuant to Section 8.1 hereof, or after partial
condemnation not resulting in termination of this Lease. Tenant shall give to Landlord
immediate notice: thereof; and Tenant shall promptly repair, replace and rebuild the same. at least
to the extent of the value. quality and class equal to the building improvements existing
immediately prior to such occurrence (hereinafter referred to as "Restoration"), all in
accordance with Section 13.1 hereof. provided Tenant has access to the insurance coverage
provided herein. Notwithstanding anything herein to the contrary, in the event that the damage
or the destruction is a result of a casualty not covered by insurance. Tenant shall have the
obligation to repair or restore the Leased Premises. If such destruction or injl►ry reduces by fifty
percent (50%). or more. the number of licensed and certified beds as licensed on the
Commencement Date. then upon written notice by one party to the other, either Landlord or Tenant
►na1- terminate this Lease, unless such damage or destruction was caused by Tenant's negligent or
willful malfeasance (in which event, Tenant shall be obligated to repair or construct the Leased
Premises), Tenant shall be released from any further liability hereunder thereafter accruing with
respect to the f=acility, except as otherwise expressly provided in this Lease. If Tenant shall not so
terminate this Lease. then Tenant shall repair or reconstruct the Leased Premises in substantially
the same condition as just prior to the incident and consistent will all applicable Laws in effect at
the time of the repair or reconstruction, and with the proceeds of the property casualty Insurance
carried by° 1"ena►lt as required hereunder, and Landlord shall make such insurance proceeds
available to Tenant for such put-pose. All such repairs and reconstruction shall be undertaken and
completed in accordance with applicable Law.
11.2 In the event of any damage or destruction as hereinabove referred to, any
insurance money received by or paid to the Landlord. Tenant or beneficiary. if any, of c1lly
deed of trust on the Lensed Premises by reason thereof shall. be applied to such costs of repairing,
restoration. or rebuilding as herein provided for and required pursuant to Section 13.1 hereof,
unless this Lease is ten-ninated as provided herein. To the extent that ally insurance proceeds are
in excess of the cost of repair or restoration. Landlord shall be entitled to retain such excess
insurance proceeds.
I ?.

Conde►llnation.

12.1 11' title to t.11e fee of the xvhole of the Leased premises shall be taken or
condemned br any c0111petClIt autho►'ity for anv public or quasi-public t►se, this Lease shall
cease and terminate as of the date of vesting= of title in said authority, It' title to the fee of less
than the ti hole of the Leased Premises. but more than lift, percent ( 50%) of the licensed bed
capacity of the Leased Premises shall be so taken or condemned, Tenant shall have the option
by v\ rttten notice to Landlord to terminate this Lease: as of the date of resting of title in said
authorivv to the portion of the Leased Premises so taken or condemned. Clpon the exercise of

 such option, this Lease shall cease and terminate as to such portion. In either of such events, all
annual rental shall be apportioned as of the date the Lease shall have been so terminated as
aforesaid.
12.2 "T11e total condemnation award made with respect to any such taking shall
be apportioned between the Landlord and Tenant in accordance with their respective interests
in the Leased Premises immediately prior to such. condemnation or taking. Including but not
limited to Tenant's right-to any compensation from the condemning authority for diminution
in value of the leasehold, loss or damage to Tenant's personal property. Tenant's loss of
business during the remaining Lease Term, Tenant's removal and relocation expenses or the
depopulation expenses incurred by Tenant in connection with transferring the residents to other
SNFs.
12.3 if title to the fee of less than fifty percent (50%) of the licensed bed capacity
of the Leased Premises shall be so taken or condemned. or if Tenant shall be so entitled., but shall
not elect to terminate this Lease as provided for in Section 12.1 hereof. Tenant shall restore
the undertaken portion of any building or improvements on the Leased Premises so that such
building shall constitute a complete architectural unit of the same general character and condition
(as nearly as may be possible under the circumstances) as the buildina and improvements
existing immediately prior to such condemnation or taking. For the purpose of contributing to
the cost of such restoration work, Landlord upon receipt of the award made in such condemnation
proceeding, shall, out of such award. make payment to Tenant in accordance with the provisions
of Section 13 hereof. From and after the date of the last of such payments by Landlord to Tenant,
the annual rent payable by Tenant hereunder shall be reduced by an amount which bears the
same ratio to such annual rental as the amount of the entire award, including compensation.
damages, and interest, if any. made with respect to the portion of the Leased Premises so taken
or condemned (including any severance damages). bears to the value of the Leased Premises
immediately prior to the taking or condemnation. as such value is determined in said
condemnation proceedings.
13.

Restoration.

13.1 The terms and conditions upon which any buildings or other
improvements on. the Leased Premises shall be restored as aforesaid by Tenant, and the terms
and conditions upon which the net proceeds of insurance of the kind described in Section 8.1.
as well as the net award in condemnation described in Section 12.3, which. are held in trust by
the recipient thereof as hereinbefore provided. shall be applied to the cost of such restoration. are
as follows:
(a)
Tenant shall submit to Landlord complete plans and specifications
in compliance with the then existing licensing requirements. which sliall be designated:
if restoration is occasioned by fire or other casualty (except
(1)
partial condemnation), to restore the building at least to its condition immediately prior to
such damage or destruction and as nearly as similar in character as is practicable and
reasonable:

14

 if the restoration is occasioned by partial condemnation, to
(2)
construct the remainder of the building so that the building shall constitute a complete
architectural unit of the sarne general character and condition (as nearly as may be
possible under the circumstances) as the building existing immediately prior to such
commendation or taking.
The plans and specifications shall be subject to the approval of Landlord and approval
shall not be unreasonably withheld. Within fifteen (15) calendar days after submission thereof,
Landlord shall either approve the same or serve written notice upon Tenant of its disapproval
thereof and its objections thereto. in default of which such plans and specifications or such portion
thereof not objected to shall be deemed to be approved by .Landlord, anything herein contained to
the contrary notwithstanding.
Tenant shall obtain consent of Landlord prior to commencing any
(b)
work under this Section 1:x.1.
Tenant shall thereafter furnish the recipient of the proceeds of
(c)
insurance or tile award to condemnation. as the case may be. with a copy of any contract or
contracts which Tenant shall enter into for the maklne of such restoration; or, if the restorat i on
is to be done by ..I-enant, a copy: of all subcontracts made by 1'enant in connection with
such restoration, and an estin.late of the cost thereof.
During, the progress of the restoration, the holder of the insurance
(d)
proceeds or m and in condemnation. as the case may be. shall make payments to Tenant or to
tile: contractors and nlaterialnie:n of Tenant, for the account of Tenant. out of such proceeds of
insurance or mvard in condemnation to the extent available.
the completion or the restoration and following the
disbursement of the final advance to Tenant required to complete the payment of restoration
costs. any such insurance proceeds or condemnation award proceeds remaining shall be paid
by the recipient thereof' to Landlord and credited to the rental required to be paid by Tenant
pursuant hereto during the year" in which such payment is made. Landlord shall have the right. at
its sole option and expense, to inspect or audit the records of 1'enant relating, to the restoration.
(er)

At

Curing such restoration. Landlord and any architect, engineer, or
other- representatk-e designated by Landlord, nine inspect the building in the course of such
restoration. Tenant shalt keep copies of all plans,, shop drawings and specifications relating to
such restoration on the building site and permit Landlord or its architect, engineer, or other
representative to examine them at all reasonable times, orin the alternative, shall furnish
Landlord with copies of such plans. drawings and specifications. In the event that during the
restoration ul Ole btrildin~w, Landlord or its architect, engineer or other representative shrill
reasonably determine that the materials do not substanti~rlly conform to the approved
Specifications or that the building is not being restored in acCord ance with the approved
Flans. or that pricer certificates from Tenant were in error. prompt notice in writing shall be
given to Tenant. specifying in detail the particular deficiency. omission or other respect in
which it is claimed that the restoration does not conform with the plans and specifications as
so approved. Upon receipt of any such notice:. 'Ferrant shall take suciI steps as it deems necessary
(f'}

1J

 to cause corrections to be made as to any deficlencies, omiss ions or otherwise. and if necessdrry
for the purpose of effectuating such corrections. shall immediately remove sue:h materials and
replace such co nSt ructro n and ftrr•rlish materials in accordance with materials equall'y' as good as
those provided for in such glans and specifications.
If "Fenant shall fail to commerracC SUCK restoration withir7 ninety
(__)
(90) days of Such damage or destruction. or having commenced sucl1 restoration shall fail to
complete it in accordance with the previsions of this Lease with reasonable diligence, Landlord
may, at its option. and upon se rving written notice upon Tenant that it elects to do so, make and
complete such restoration . In such event..Landlord shall have the ri~.3:ht, as this restoration
progresses, to use and apply the insurance proceeds or condemnation avva. rd. money to the cost
of such. restoration to the extent that it shall not theretofore: have been applied to the payment
or reimbursement of costs and expenses of Tenant as aforesaid.
If prior to the completion of such restoration whether by Landlord or Tenant .. this Leese
shall terminate or expire for any reason, Landlord shall have the rigelit to receive and retain such
insurance proceeds or condemnation award,. to the extent that it shall not theretofore have been
applied to the; payment or reimbursement of the costs and expenses of Tenant and Landlord. as
aforesaid and Tenant shall thereupon be discharg=ed from anv and all obligations under this Lease.
with respect to such restoration.

14.

Landlord 's Entry Rights.

14.1 Subject to Landlord' s compliance with all applicable law's. rules and
regulations relating to protecting tlle patient's privacy. Tenant shall permit Landlord and the
authorized representatives of Landlord to enter the Leased Prernise: s at all reasonable times for
the purpose of determining whether tlae Premises are in good condition and whether Tenant is
c o nl ply rngY with its obligations under this lease, serving, posting; or ke=eping pasted thereon notices
provided by any law of' the State of California or which na:a~ be reasonably necessary or
appropriate fur the protection of Landlord or its interest, for the purpose of inspecting same: to
post "for rent" or "for lease" signs during the last six (C) months of the term. or during anv period
while Lessee is in def ault; to show the Premises to prospective breakers, agents, buyem— Tenams.
or persons interested in an exchan4ge. at any time during the term; and fur the purpose of making
any necessary repairs to the Leased Premises and performing any work that may be ne=cessary
to comply with tile: lawvs. ordinances, rules. regulations or regUiremCI IIS ofany public authority
or any a pplicable standards that may firom time to be time be established by the National Board
of Fire (Jnderwriters, the National Firc Protection Association. or anv similar bodies, or that
Landlord may deem necessary to prev ent waste. loss. damage or de=terioration to or in connec tion
with the Leased Premise's.
14.2 Landlord shall not in any e=vent be liable for inconvenience. annoyance,
disturbance. loss of business or other damage of Tenant bti. reason of makinc, repairs or the
perform arice of any work in the: Leased Preinises. Or oil account of brinumo maLc.F i,als. supplies
and egr.ripment into or through the Leased Premises dUrin2y the course there o f. arld the
obligations and responsibilities o' ' Fe:nant under this Lease shall not thereby lie: affected in ally
mariner wvhatsoever. l-andlord shall. liowever. in connection wviffi the cl0irlf:= Of ~lIV Suc=h w 0Vk .
1.

16

 cause as little inconvenience, annoyance, disturbance, loss of business or damage to Tenant and
its subtenants as may be reasonable possible under the circUm1stances.
14.3 Upon notice to Tenant and in coordination with Tenant. Landlord shall
and
is
hereby
given the right to enter the Leased Premises at all reasonable times for the
have
purpose of exhibiting the same to prospective purchasers or encurnbrancers.
15.

Bankruptcy and Insolvency.

15.1 If at any time during this Lease, Tenant shall voluntarily file a petition in
Bankruptcy or insolvency. or shall file a voluntary petition for reorganization under the
bankruptcy laws of the United States or under any insolvency act of any state, or shall take
advantaue of any insolvency act by voluntary petition or assignment for the benefit of creditors,
other than by permitted merger, consolidation, or reorganization not connected with insolvency
or bankruptcy, then and in any such event. Landlord may: at its option. serve a written. thirty
(30) day notice of cancellation and termination of this Lease, and upon the expiration of said
thirty (30) days, this Lease shall end and expire by limitation as fully and completely as if the
date of expiration or SLIC.11 thirty (3()? day period were the day herein definitely fixed for the end
r
and expiration of this Lease.
15,.? (a) If Tenant shall be placed in involuntary bankruptcy proceedings, or if
a receiti•cr, trustee. assiornee or other similar custodian of Tenant's property shall be appointed,
and (b) if the rental payable hereunder shall remain unpaid for a period of thirty (30) days
after- the event described in subsection (a) above, then and in Seidl event. Landlord may at its
option serve a written thirty (30) day notice of cancellation and termination upon 'Tenant and
upon the; expiration of said thirty (30) days, this Lease, as wC.11 as all right, title and interest of
Tenant hereunder, shall end and expire as fully and completely as of the date of expiration of
such thirty (30) day- period. provided, however. that the -Tenant. or such receiver, trustee,
assignee or custodian may during said thirty (30) day period, pay to Landlord such delinquent
cent and said thirty (30) day period shall once again commence to run as of the date of payment
of` such delinquent rent and this Lease shall not expire. 'Tenant and Landlord agree this is not ail
executory contract and Tenant shall have no right to reject this Lease in any bankruptcy or
insolvency proceeding.
t
,
15.3 For purpo es of this Section 15 only. the reference to "receiver" shall not
include a receiver of rents. issues and profits in ailaction brought to foreclose a mortgage on such
leasehold estate.
1.5.4 Tenant shall be responsible for all of Landlord's reasonable attorney fees
and expenses incurred as a result of Tenant's insolvency or bankruptcy proceedings.
16.

Defaults.

16.1 In the event that during the Lease Terin: (i) Tenant shall default in the
pa, inient off' any- installment of rent or other sums herein specified to be paid by 'Tenant. such
default shall continue for fifteen (15) days after the due date thereof and such default shall not
be aired within thirty (30) days after Landlord shall have «iven to Tenant written notice
specifying iUch default or defGWlts: or (ii) Tenant shall default in the observance or performance
17

 of any of Tenant's covenants, agreements or obligations hereunder and such default shall not
be cured within thirty (30) day's after Landlord shall have given to Tenant written notice
specifying such default or defaults; or (iii) in the case of default which cannot be cured within
a period of thirty (30) days after receipt of written notice. Tenant shall not have begun proceedings
to cure the same. reasonably satisfactory to Landlord. and shall not prosecute tllti curing of such
default as rapidly as reasonably required by Landlord under the circumstances:
(a)
Then in any such event Landlord shall have the right. at its election
at any time, while such defaults continue, to reenter and take complete and peaceable possession
of the Leased Premises, and to either keep this Lease in effect or to declare the Lease Term
ended, whereupon this Lease and all the right., title and interest of Tenant hel-eUnder shall terminate
and be of no further force and effect. In the event that Landlord shall elect to so terminate this
Lease, then Landlord may recover from 'T'enant:
(1)
the worth at the time of award of any unpaid rent or other
charges which had been earned at the time of'such termination: plus
(2)
the worth at the time of award of the amount by which the
unpaid rent and other charges which would have been earned after termination until the
time of award exceeds the amount of such rental loss Tenant proves could have been
reasonably avoided; plus
(3)
the worth at the time of award of the amount by which the
unpaid rent and other charges for the balance of the Lease Term after the time of award
exceeds the amount of such rental loss that Tenant proves could reasonably be avoided;
(4)
any other amount necessary to compensate Landlord for
aI.l the detriment proximately caused by Tenant's failure toperform its obligation under
this Lease or which. in the ordinary course of things would be likely- to result therefrom
including attorneys fees and costs: and
at Landlord's election. such other amounts in addition to or
(5)
in lieu of the foregoing as may be permitted from time to time by applicable law.
As used in subsections (1) and (2) above, the "worth at the time of award is Computed
by allowing interest at the Wells Fargo Bank Prime R.ate plus two percent. but in no event greater
than ten percent (10%). As used in subsection (3) above, the '`worth at the time of award" is
computed by discounting such amount at the discount rate of the Federal Reserve Bank of Los
Angeles at the time of award plus one percent (l %). The amount recoverable by Landlord pursuant
to Subsection (4) above shall include. but is not limited to. any costs or expenses incurred
by landlord in maintaining or preserving the Premises after such default. preparing said
Premises for reletting to a new tenant, accomplishing any repairs or alterations to the Premises
for the purpose of such reletting. rectifying any damage thereto occasioned by, the act or omission
of Tenant, and any other costs reasonably necessary or appropriate to relet the Premises.
Landlord shall further have the right, withOLIt declaring this lease
(b)
ended, to reenter the Leased Premises and occupy or Lease the whole or any part thereof' -for and
oil account of the Tenant. and upoit such terms and conditions and for such rent as the Landlord
18

 may deem proper, and to collect said rent or any other rent that may thereafter become payable,
and apply the same toward the arnount due or thereafter to come due from the Tenant.. and oil
account of the expense of such subletting and any other damages sustained by Landlord. Should
such rental collected by Landlord be less than the rental payable by Tenant hereunder, the Tenant
agrees to pay such deficiency to the Landlord and to pay to the Landlord forthwith upon any
such reletting; with such deficiency the costs and expenses which Landlord may incur by reason
thereof By way of clarification. Landlord and Tenant agree that Landlord has the remedy
described in California Civil Code Section 1951.4 (Landlord may continue the Lease in effect
after Tenant's breach and abandonment and recover rent as it becomes due, if Tenant has the
right to sublet or assign, subject only to reasonable limitations). Landlord shall have the right.
even though it may have relet the Leased Premises, to thereafter elect to terminate this Lease and
all of` the right of the Tenant in or to the Leased Premises.
1 d.? The following shall also be considered events of default by the 'Tenant and
Tenant shall have the rigllt to cure the event of default as specified and in general after receipt of
written notice from the Landlord except as specified:
if the leasehold interest of Tenant shall be levied upon under
(a)
execution or be liened or attached and such levy, lien or attachment is not renloved within thirty
(30) days ofthe date Tenant receives notice of it;
(b)
in the event of a filing by or against Tenant of a petition under
Cederal or state law pertaining to bankruptcy or insolvency or for a reorganization or other relief,
sinless, in the case of petition tiled against Tenant, the same is dismissed within thirty (30j days;
(c)
it' Tenant is adjudicated as bankrupt or a court of competent
,jurisdiction shall enter an order or decree appointing, Nvith or without the consent of Tenant, a
receiver of "Tenant or of the whole or substantially all of its property and is uncured within thirty.
(3U) days:
(d)
if Tenant nillkes any general assignment for the benefit of creditors
and is uncured within thirty (3)0) days.
(e)
if Tenant abandons the Facility- comprising. the Leased Premises or
if. except as a result of damage. destruction or a partial or complete condemnation. Tenant
voluntarily ceases operations of the Facility comprising the l...eased Premises. or if Tenant files
with any Governmental Authority, or otherwise adopts a closure plan for the Facility or
relinquishes its skilled nursing facility license and Medicare or Medi-Cal provider agreements;
if Tenant receives a state or federal notice of termination of license
(f)
or - fast track" de-certification and such notice has not been ,uspended, extended, kvithdravm or
terininatc:d within the time period required by any Governmental Authority;
(g}
if any of.the representations or warranties made by Tenant underthis
Lease or otherNvise proves to be untrue when Made in any material respect and is uncured within
thirty (30) days of the date Tenant receives notice of it.

19

 16.3 If Tenant shall default in the performance of any covenants required to be
performed by and under this Lease. Landlord may perform the same for the account and at the
expense of Tenant in accordance with the provisions of this Lease. If Landlord at any time is
compelled to pay any sum of money or do any act which will require the payment of any suln of
money by reason of the failure of Tenant to comply wvith any provisions of this Lease, or if
Landlord is compelled to incur any expense. including reasonable attorneys' fees. in instituting;
prosecuting or defending any action or proceeding instituted by reason of any default of Tenant
hereunder. the sum or sums so paid by Landlord shall be due from Tenant to Landlord
immediately upon demand of Landlord. In addition to the aforesaid remedies, Landlord shall have
all other remedies provided by law.
16.4 The Landlord shall not be deemed to have terminated this Lease or the
liability of the Tenant to pay rent thereafter to accrue, or its liability for damages under zany of
the provisions hereof by any such reentry, or by any action in an unlawful detainer or otherwise
obtain possession of the Leased Premises, unless the Landlord shall have notified tlae Tenant
in writing that they have so elected to terminate this Lease and the tenancy of the Tenant
hereunder. Tenant further covenants that the service by the Landlord of anv notice pursuant to
the unlawful detainer statutes of the State of California and the surrender of possession pursuant
to such notice shall not (unless the Landlord elects to the contrary at the time of or at any time
subsequent to the service of such notice and such election can be evidenced by a written notice
to the Tenant) be deemed to be a termination of this Lease. In the event of any entry or taking
possession of the Leased Premises as aforesaid; the Landlord shall have the right. but not
the obligation. to remove therefrom all. or any part of the Tenant's personal property located
therein, and may place the same in storage at a public warehouse at the expense and risk of the
owner or owners thereof.
1.6.5 The remedies given to the Landlord in this Section. 16 shall be in addition
and supplemental to all other rights and remedies which the Landlord may have under the laws
then in force.
1.6.6 The landlord shall be in default of this Lease if the Prior Tenant and
Landlord's previous tenant (as well as an affiliate of Landlord) of the Lease Premises causes
unreimbursed damages to the Tenant resulting from (i) any repayments or recoupments required
by any Governmental Authority or third party payor for dates prior to this Lease. (ii) any losses
incurred as a result of the resurvey by the California Department. of Health due at the Facility, or
(iii) Prior Tenant's failure to timely- file and support the cost reports (for dates prior to this Lease)
with the appropriate Medicare and Medi-Cal agencies which are required to be tiled by law under
the terms of the Medicare and Medi-Cal programs and required to be filed and supported by that
certain Management and Operations Transfer Agreement dated as of even date herewith between
Tenant and Prior Tenant. Tenant shall provide written notice to Landlord of such Landlord's
default and Landlord shall have thirty (30) days to cure. if Landlord fails to cure this default within
thirty (30) days Tenant may elect. to either (i) exercise its bight of Offset against rent payments
due, any losses incurred under this Section 16.6.. or 60 terminate this Lease with thirty (3()) day
written notice to Landlord duriil4-' which thirty (30) clax, termination period Landlord shall continue

to have the right to cure this default.

20

 16.7 Landlord ' s Default . A breach by Landlord of any of its obligations arising
under this Lease shall be an Event of Default hereunder, which. if not cured w ithin thirty (34) days
of Tenant ' s notice of such default to Landlord shall give Tenant the right to terminate the Lease.
For the avoidance of doubt, a default by Licensee under Section 3.4 of the Management and
Operations Transfer Agreement of even date herewith shall not constitute a default of Landlord
under this Lease.
17.

Surrender Upon Termination.

17.1 Tenant shall, upon the termination of the Lease Term. or any earlier
termination of this Lease. surrender to Landlord., the Leased Premises in good condition and
repair, reasonable wear and tear excepted.
17.7

Upon the expiration or termination of. this Lease , the following provisions

shall apply
(a)
To the extent not then prohibited by applicable law. unless otherwise
directed by Landlord. Tenant shall use reasonable g ood faith efforts to and for no fee (i) assign to
Landlord or Landlord ' s nominee ( or to cooperate with Landlord or Landlord ' s nominee in
connection with the processing by Landlord or Landlord ' s nominee of any applications) for all
Healthcare Licenses, as defined below. theta in effect which relate to the operation. of the Leased
Premises and enter into an interim sublease agreement and interim /Management agreement or a
management and operations transfer agreement (collectively the "~1OTA"'}, which M OTA shall
be in form and substance as approved by Landlord and Tenant. in order to permit Landlord or its
nominee to operate the Leased Premises under Tenant ' s Healthcare Licenses and bill for scrvices,
until such time as Landlord or its nominee are able: to se;:ure the same in their own name. and/or
cooperate with Landlord or its nominee in their efforts to secure Healthcare Licenses for which
Landlord or its nominee wishes to apply and which may be required by Landlord or Landlord's
nominee relating to the ownership and operation of the Leased .Premises, Provided , however. that
the costs and expenses of any Such transfer or the processing of wily such application shall be paid
by Landlord or Landlord ' s nominee), and (ii) file aft final cost reports, if an.y, relating to Tenant's
operation of the Leased Premises.
.:Healthcare Licenses" shall mean : all licenses and permits that are required for the
Premises to operate as a licensed skilled nursing facility, by the local , state or federal agencies
having jurisdiction over any aspect of'the operation of the Leased Premises as a licensed skilled
nursing facility . including but not Iimited to : all permits ( including building permits ), the License
and other licenses. certificates (including certificates of occupa.ilcy). certificates of need (if
applicable ). Medi-Cal and Medicare provider agreements and tllfmbers, st.ibmitter identification
numbers, Veteran ' s Administration contracts. and other third party payors, including /Managed care
contracts. and all other governmental approvals.. authorizations and entitlements.
(b)
Tenant acknovvledg,, es and agrees that to the extent and only to the
extent permitted by last, title to (i ) any zoning or building approvals. or other overnmental
approvals other than the Healthcare Licenses ( the - Approvals") which, by their nature, pertain to
the Leased Premises. its ownership and its Use and occupancy . and (ii) all licenses and permits
other than the 1lealthc:: are Licenses which . by their ilaturI_- . pertain specifically to the Leased

21

 Premises, its ownership and its use anal occupancy shall. in eve ry respect, be and remain with tlae
Leased Premises or Landlord. as the case may be, and are not and shall not be the property of
Tenant. Tenant shall take no action and shall have no ri`tht. pmver of aittllC}i•ity ti.110Er111her tiflnl
except in favor of Landlord and then only to the extent permitted by applicable law or to sell.
assign or transfer same t o any third person other than Landlord or its nominee in accordance with
the provisions of this Lease, either during the Term or upon any termination of this Lease. or to
use. in any manner which Would impair or adversely affect the: uSe of Such Approvals with respect
to the Leased Premises. such Approvals at any o ther location.
(c)
l~ffective with the issuance o a SN ficense, byC DPI l to Landlord
car Landlord's nominee', 'Tenant shall execute in favor of Landlord or Landlord's nominee. an
assignment of resident agreements, to the extent and only to tlae extent permitted by law, and an
assignment of contracts and operating leases. In addition. ""Thant shall cooperate with Landlord in
order to ensure a smooth transfer w ithout interruption of the operation of-' the Leased P remises to
Landlord or Landlord's nominee. Such cooperation shall include, without limitation. access to or
transfer of all records and other information with respect to residents and patients of the (..;eased
,
Premises which are in the possession of Tenant or any affiliate of Tenant (subject to applicable
legal requirements riover•nina confidentiality of patient records).
(d)
At the request of Landlord or its nominee. Tenant shall entc;r into a
Management and Operations "Transfer rlfreement (a "MOTA- ) with tlae succ:eSSor operator ol' the
Leased Premises in form and substance acceptable to Landlord and Tenant and as lawtbl and.
customary in the industry at the time of the transfer . T he N:10TA shall define responsibilitN, and
liability for matters related to the conti n uing operation of the [,eased Premises arising prior to the
date operations of the Teased Premises are transferred from Tenant. any sub-tenant. or any
manager ( as applicable ) to tlae successor operator of the Leased Premises (herein the "O perations
Transfer Date") and for matters related to operations ofthe I...ea : ed Premises arising can or Lifter the
Operations Transfer Date. The MOT, . shall address ( as of the O perations Transfer .Date) the
proration of monthly residency fees ', periodic fees due cinder conti till int? service contrii.cts: use of
the healthcare Licenses, billing and coordination of accounts receivables; utility charges and
deposits. employee salaries. wages and other employment benefits for Leased. Premises
employees. The NMOTA shall provide for indemnification of"Tenant by Landlord and any successor
operator of they .Leased Premises for liabilities related to the: transfer of Healthcare Licenses and
operations of the Leased Premises front and after the Olierations Transfer Date.
Notwithstanding the above, and for the avoidance of doubt . the Mo- A shall follotiN the
;:;eneral guidelines and procedures as provided for the N40TA. entered into as of the
Commencement Date, provided however that the final farm and content of the: MOTA shall be
subject to review and approval by l..andlord and Tennant.
(c)
Tenant ack.nowled4yes and agreies that at the expiration or
termination of the i-erase. "Cenant shill ( have paid all fees ( includingr but not limited to quality
assura nce fees oxvinc, to the California Department of Health Ca re Services a nd any fees oNx inLy to
the Califoriia Office of State Wide Health Planning. and Development or ant, SLJCCC stior ;..Wencles
or similar programs in effect at the; tiixae of the termination of the Lease ). penalties and taxes of
any kind , incurred during or attributable to the time periods of . t'enant`s oper~.tion of the Leased
Premises. Tenara further iicknowledoes and agrees to indenintll.. protect. defend. and hold

 harmless Landlord and its respective members, managers, directors. officers. employees, agents
successors and assigns from any and all demands, claims. causes of action , fines. penalties,
damatzes, losses. liabilities (including strict liability ), judgments, and expenses ( including
reasonable attorneys ' fees and other professionals ' fees and court costs) incurred in. connection
with or arising from the Tenant ' s occupancy or operation of the Leased Premises for all periods
prior to the expiration or termination of the Lease Term. for any failure by Tenant to pay any
liabilities in connection with the Leased Premises, including but not limited to, any liabilities to
any third party payor(s), including overpayments. or recovery audits, or investigations of any kind
wihich are attributable to the periods during Tenant's occupancy or operation of the Leased
Premises.

17.3 Notwithstanding anything herein to the contrary. nothing shall require
"Fenant to complete the necessary applications for or on behalf of Landlord or Landlord's
nominees. except with the Tenant' s portion of the application as '`Seller" thereunder.
1.8.

Hold Over,

18.1 In the event that Tenant shall hold the Leased Premises after the; expiration
of any Lease Terrri hereof with the consent of Landlord, express or implied. such holding over
shall, in the absence of written agreement on the Subject, be deemed to have created a tenancy
from month-to-month terminable on thirty (30) days' notice by either party to the other, at a
monthly rental equal to the monthly rental payable during the last year of said term, plus fifty
percent ( 50%), and otherxviSe stit1ject to all the terms and provisions of this Lease.
19.

Quiet Fniovi-r-ent.

1 9.1. Landlord covenants that the Tenant. can paying. the rent reserved and on
performing all the terms. covenants and conditions hereof on the part of Tenant to he
per#armed. and not being in default under any of the terms of this (._ease, shall at all times Burin¢
the Lease Term. peacefully- and quietly have, hold and. enjoy the leased Premises.
0.

Action on this Contract.

20.1 Should either party hereto institute any action or proceeding in cow to
enforce an), provision here-of or for damages by reason of an alleged breach of any provision
of this Lease , the prevailing party shall be entitled to receive from the other such amount as
the court JWIV 3diudue to be reasonable attorneys ' fees foi- the services rendered to it in such
action or proceeding in addition to all reasonable casts.
1.

Notice:s.

1.1 All notices to be „t ~ivcn by either party to this A; reement to the other party
hereto shall be in `truing. and shall be: ( a) given in person. (b) deposited in the United States mail,
certified or registered . postage prepaid. return receipt requested , or (c) sent by national overnight
courier service with Confirmed receipt. each addressed as follows:
fi:;

 If to New Operator:

Rose Garden Subacute & Rehabilitation Center, LLC
Attn : Dov Jacobs
11600 W, Washington Boulevard
Los Auelcs, CA 90066
V

With copies to:

(which shall not
C01Istitute notice)

Sanders R ehaste St e rnshein & 1larve y. LLP
Attn, Jennifer NI. Sterashein. ["'sq.
5316 E. Chapman Aventie
Orange, CA 92869
"Feieplione : (714) 259-7070

Facsimile: (714) 259-7071
E-mail: Jennifer' srshhe althl<. xv.com
If to Landlord:

David Ross 11. LL.0
c/o Arlene Rosales
1 307 Dana Place
Fullerton. CA 92831

With copies to:
(which shall not
constit tite notice)

Siteman Law Group

Attn: Karen B. Sitenian
433 N. Camden Dr.. 4'i' Floor
Beverly Hills. CA 90211{7
Telephone : (-310) 279-5249
Facsimile: (310) 279-;245

E-mail: khsitemanicr*site rnanimvgro Lip XoIll
1.2 Either party- may, from time to time. designate a dif"#erent place by written
notice. Notices, demands. consents or requests served in the manner hereinabove descri bed shall
be deemed sufficiently served or given. at the time of personal delivery or thick: (3) days after
mailinii thereof:
22.

Reporting C~I.~I_ioations.

22. I. Tenant shall, upon request byI...andlord , furnish Landlord a complete and
accurate copy of the annual 41edicare and kledi-Cal cost. report for Tenant, current statements of
Quality Assurance fees teed for the Facility.. ctuarterlr financial statements cif the Ter~ant. and./or
copies of the Tai. Returns as tiled annually. I..1 pdated financial. information on. the Guarantor.
annually. Tenant shall provide. reasonably promptly after receipt oi- tiling of' same. the 2.567 arty
and all Intents to Cite or Citations from any entity governmental or other. ise.
1 2.2

Tenant shall fully cooperate Nvith Landlord andreIr Landlord ' s lender with
respect to financing of 1...andlord and respond to any request for Information, ittclUding. but. not
lirnitecl to financial. Iicensin a , reoulatory and physical 1)1ant iSSUCi alld skull prof idc an lstcyppel
certificate. or other sirnilar d oCtiMC111 Ul)0n re q uest.
Tenant may not voluntarily discharoe residents from the Fac:ilit. , outside t.hC
ordinary course of business so as to C~1L1Se a material ad% e rse e ffect on the Fka ill it\, CeMSLIS.

4

 23.

Inten)retation.

23.1 The words "Landlord" and "Tenant", wherever used herein, shall be
applicable to one or more persons, as the case may be, and the singular shall include the plural,
and the neuter shall include the masculine and feminine, and it' there be more than one, the
obligations hereof shall be joint and several. The word "persons" wherever used, shall include
individuals, firms, associations and corporations.
23.2 Both Landlord and Tenant have been represented by counsel and this Lease
has been freely and fairly negotiated. Consequently. all provisions of this Lease shall be
interpreted according to their fair meaning and shall not be strictly construed against any party.
2=1.

Assignment,

24.1 In the event that Landlord shall voluntarily or involuntarily, or by
operation of law, transfer or convey their interest in the Leased Premises then the Landlord shall
automatically be freed and relieved from all personal liability as respects the performance of any
covenant or obligations on the part of Landlord contained in this Lease thereafter to be performed,
so long as such successor, assignee or other transferee of Landlord shall assume and agree to
be liable and responsible for Same. It is further provided that any amount then due and payable
to Tenant by Landlord under any provisions of this Lease shall be paid to Tenant, and Landlord
shall not be released from any liability as respects performance of any covenants on the part
of' Landlord to be performed prior to such assignment or transfer.
Tenant shall not. without the prior written consent of Landlord. Xvhich maybe provided or withheld in Landlord's absolute discretion, voluntarily.- or itav011,111tal•ily assign.
mortgage, encumber or hypothecate any .interest in this Lease or sublet all or any portion of the
Premises (except for occupancy by patients orresidents of the Facility and/or uses incidental
thereto, such as a barber shop, etc;.). ;notwithstanding the foregoing, Tenant may. without
Landlord's prior written consent. assign this Lease or sublet the Leased Premises or ally portion.
thereof to a wholly owned subsldia.ry of Tenant if all of the following are first satisfied: (v) such
subsidiary-' fully' a.SSUmes Tenant's obli4oations hereunder: and (z) Landlord shall have received an
executed counterpart of all documents for such assignment or lease. At all times during the "Perm
of this Lease, Dov F. Jacobs shall maintain an ownership interest of at least fifty-one percent (51 0110' )
of the 1-enant and Tenant's sole member and shall be the 110anaizer of Tenant.
2.4.2

1
2 .

Ra «11tS Cumulative.

?i.l The various rights. options, elections, poi- ers and remedies of the
Landlord contained in this Lease relating to default on the part of Tenant shall be construed as
cumulative, and no one ,%-A111CRI 4xclusiVe of ianyr othez's or ofany other legal oi- equitable remedy;
which Landlord migh;t otherwise have in the event of any- breach or default in the terms hereof
of.
Landlord. 'Fli: exercise: of one right or remedy by- .̀l.ena.nt shall not in any way
on the part
impair its right to any other right or remedy until all obligations imposed upon Landlord have
been fully performed.
25.2 The v ariotis rights, options, elections, powers and remedies of the Tenant
contained in this Lease relating to any default. breach of x arranty- or other breach on the part of
25

 Landlord. shall be construed as cuniulative, and no one of theirs shall be deemed exclusive of
any ether or of any other legal or equitable remedy 4vhich .Tenant night otherwise ha%e in
the event of any breach or default in tilt. term; ]hereof on the part of. Landlord , T he exercise of
one right or reniedy by Tenant shall not in any w-ay impair its riaht to any other riwaht or remedv
until all obligations imposed upon I...andlord have been fully performed.

6.

Binding oil .Successors,

26. 1 Each. of the parties hereto hereby agrt'.es to each and all of the terms and
conditions of this Lease, it being further agreed that each and all of the covenants and
obligations cif this Tease shall be binding upon and inure to the benefit o f the parties hereto,
as the case may require. and, except as herein otherwise specifically provided. as N ell. their
respective heirs. executors, administrators, successors and assigns. subject at all times,
nevertheless to all agreements and restrictions herein contained with respect to assignment
subletting. or hypothecation of "l"enant's interest in this Lease.
?6.? NothinL, contained in this Lease shall be deenied or construed by the
parties hereto, or by any third person, to create the relationship of principal and agent or of
partnership or of joint venture. or of any association bets-\-een Landlord and Tenant, and no
provision contained in this Lease , or any acts of the parties hereto. shall be deemed to create
any relationship between Landlord and Tenant. ether- than the relationship of Landlord and
Tenant.

27.

Waiver of Riulits.

27.1 No vaiver of any default (.)f' Tenant hereu nder shall be d eemed or
construed by the parties hereto , or by any third person, to create the relationship of principal
and ► gent or of.' partnership or of joint venture, or of any association bet~.veen Landlord and
Tenant, and no provision. contained in this !..,ease. or any a cts of the parties hereto, shall be
deemed to create any relationship bet,,vicen Landlord and J'enant, ether than the: relationship of
Landlord and Tenant.
28.

N.lemorandunr of Least.

28.1 The parties hereto agree. upon the demand of either party, to execute a
Menloran.dul11 of Lease in a forr-n acceptable: to both Landlord and Tenant, and acknowledge
same so as to entitle it to be recorded.

28.2 Tenant shall execute and deliver to Landlord on the expiration or
termination of this I...ease. immediately on I..,andlord ' s request, a Termination of kxlerno off_.ease,
in recordable form, and a Termination of Lease.

29.

Termination of-Current Leas,-.-

29
cI I-Ile Current I_c.:ase by and betNxCen I—and ord and Prior "Fenant shall exl)ire
.
'F
according to the terms of t11e Lease erminatie. n as of the Commencement late. There is no
memorandum of lease recorded in the: Los Anaeles (_'ounty Records.

26

 30.

Force Maieure.

Whenever Tenant shall be required by the terms of this Lease or by law to
a (l. l
perform any contract. act. work , labor. or service, or to discharge any liell against the Leased
Premises, or to perform and comply with an v laws, rules. orders. ordinances, regulations or
zoning; regulations, Tenant shall not be deemed to be in default herein and Landlord shall not
enforce or exercise any of its rights under this Lease, if and so long as non-performance or default
herein shall be directly caused by strikes not caused by Tenant' s actions, non-availability of
materials. Nvar or national defense pre-emptions. governmental restrictions. acts of God, acts of
Landlord , or other similar causes beyond the reasonable control of Tenant . However,
notwithstanding any of the provisions of the foregoing. Tenant shall in any event pay any sum
of money required to discharge any lien incurred by 'Tenant if at an<< time the Leased Premises,
or any part thereof, shall be in clanger of being, foreclosed , forfeited or lost. and Tenant shall
commence such performance and continu C the same with diligence and continuity.
31.

Governing Law.

31.1 This Agreement shall be construed in accordance with, and its performance
shall be V<ioyerned by.
the laws of the `hate of California. Ally and all actions to enforce this
v
Lease shall be conducted ill the County of Los Angeles, California.
3?.

lnte~rated. Agreement.

32.1 This Lease contains all the agreements of tht parties and cannot be amended
or modified except by a written agreement signed by the parties.

~.~l~tttditt{"C'.S' (li7,~fljlt)tit>iit~; ~tt~;~'J

27

 IN WITNESS WHEltl✓Ol°, the part-its hex.l,o li1vf:. Ft:.ret:nty sit their ;ig}1atc:Tc..:~ as
of the cite first above written.
"Landlord"
DAVID ROSS I1: 1A,C,, a C"alifomia
limit%--d liability c011113311Y

N
Name: Arlene Rosales
Its:
President

"'Tenant"
RC~ S E GARDEN SC..~i~~~~"C,~T E &

'~

A

f +I

L

~}

f

a Calil:urnia. linnited Inability company
.B v"
Nan-te, Doc- h.cobs

Title:

Manager

 THIRTY DAY NOTICE TO PAY RENT OR QUIT PREMISES
TO:
ROSE GARDEN SUBACUTE & REHABILITATION CENTER, ~ILC, A CA LTD LIAB CO

AND TO ALL OTHERS IN POSSESSION
- m _YO! .~.tR

~Er~ED~' NO~'1F1E~ that

pursuanr ~v the ?ease or renal

ag~'e~ -

ment under which you hold the possession or the hereinafter described
LS C

Y1
D TY'1 l
~vrt.tca_;~~i..

I

't"' '7 L? 'Y',~
c.sta..L:_.

'i !7

3:J

9'7 /'\ r. 7
3.LiJYtl

• 4
~.iW.v,

s Y+ v~
y
i.:11.j ✓ a_LL.d.

a e~
G~.ZZLd

n 7
r U~1...LZ1t~1,.'..:.11L

d

e

1_.-'J.ZL

'

1_
..L.11

i

1_

,...

~.LZ~..a

7

tCJI...a_!

sum of $124,571.60, representing the rent due for the period
THROUGH JULY 31, 2019.
YOU ARE FURTHER NOTIFIED that within Thirty (30) days after service of
this lV"otice on you, you must pay the amount of said rent in full or

quit said premises and deliver up possession of the same to the landlord/agent or the landlord/agent will institute legal proceedings for
an unlawful detainer against you to recover possession of said premises, to declare said lease or rental agreement forfeited and to
recover rent and punitive damages as allowed by law.
YOU ARE FURTHER NOTIFIED that by this

notice

the landlord/agent elects

to and does declare a forfeiture of said lease or -rental agreement if
said rent is not paid in full within the thirty (30) day period. The
premises herein _referred to are located at the following location:
1899 N. RAYMOND AVE.,
PASADENA, CA 91103
LdI.C:

V //.51~GU1~

DAVID ROSS 11, LLC ,, A CA LTD LIAB. CO.

LANDLORD/AGENT
**The total_ amount includes the following items other

than the

base rent:
THIS IS A REASONABLE ESTIiV1A`i E OF THE MOUNT DUE PURSUAi~TT TO CCP
1161.1. THIS NOTICE IS ALSO
ACCORDANCE WITH CCP 1174.5
The landlord's acceptance of any par-ti a! went payme is does not
constitute a waiver of any of the landlord's rights,
including any'
right the landlord may have to recover possession of the premises

Person to pay-*

ATTN : AR.LENE ROS ALES
~.~ Pay-, 1307 DANA PLACE
92831
FULLERTON,

.

Phone- N--mmhert
~

11aell - 1 T
sr.a
•-` 2. 1 .. X-•a.i~.w

DAVID ROSS II, LLC, A CA LTD LIAE. CO

714-9-00-9-4-35

_=,_=
vtsu easu aa'.t♦.+s-i

BE

MONDAY THROUGH SATURDAY, 8;30 AM THROUGH 5;30 PM

 FOR COURT USE ONLY

DENNIS P. BLOCK & ASSOCIATES
5437 LAUREL CANYON BLVD. SECOND FL. VALLEY VILLAGE, CA 91607
TELEPHONE NO.: (323) 938 - 2868
p gmail.com
E-MAIL ADDRESS (Optional): evict123@

FAX NO. (optional): (323)

PROOF OF SERVICE

938 -6069

DAYI

HEARING DATE:

I I :-1E

Ref No. or File No.:

DEPT.:

AT THE TIME OF SERVICE I WAS AT LEAST 18 YEARS OF AGE AND NOT A PARTY TO THIS ACTION, AND I SERVED
COPIES OF THE:
THIRTY DAY NOTICE TO PAY RENT OR QUIT PREMISES

NAME OF OCCUPANT:
PERSON LEFT WITH:
DATE OF SERVICE:
TIME OF SERVICE:

ROSE GARDEN SUBACUTE & REHABILITATIONCENTER, LLC, A CA LTD LIAB AND ALL
OTHERS IN POSSESSION
NINO DOE - SUPERVISOR
August 3, 2019

9:35 AM

ADDRESS OF PROPERTY

1899 N Raymond Ave,
Pasadena, CA 91103
(BUSINESS)

PHYSICAL DESCRIPTION

Age: 34
Sex: Male
Skin: PHILIPINO

Weight: 160
Height: 5'10"
Marks:

Hair: BROWN
Eyes:

MANNER OF SERVICE:
Substituted Service - By leaving the copies with or in the presence of NINO DOE a person at least 18 years of age apparently in
charge at the office or usual place of business of the person served. I informed him/her of the general nature of the papers.

Fee for Service: $ 77.00
County: Los Angeles
Registration No.: 2016080233
. Countrywide Process, LLC

I declare under penalty of perjury under the laws of the
The State of California that the foregoing information
contained in the return of service and statement of
service fees is true and correct and that this declaration
was executed on August 7, 2019.

5437 Laurel Canyon Blvd.
Valley Village, CA 91607
(818) 980-7378
Ref: 189934

Signature:

ANGELA HENRY

PROOF OF SERVICE
-

982(a)(23)[New July 1, 1987)

r.A

Order#: 356919/30DAY

 FOR COURT USE ONLY

Atte-ney or Party without Attorney:

DENNIS P. BLOCK & ASSOCIATES
5437 LAUREL CANYON BLVD. SECOND FL.
VALLEY VILLAGE, CA 91607
E-MAIL ADDRESS (Optional): evict123@gmail.com
TELEPHONENo.: (323) 938-2868
FAX No. (Optional): (323) 938-6069
Attorneyfor

Plaintiff ROSS ll, LLC
Ref No. or File Nn.:

Insert name of Court, and Judicial District and Branch Court:

None Plaintiff:
Defendant:

ROSS II, LLC
SUBACUTE
HEARING DATE:

I

TIME:

I

CASE NUMBER:

DEPT

PROOF OF SERVICE
BY CERTIFIED MAIL

1. 1 am over the age of 18 and not a party to this action. I am employed in the county where the mailing occurred.
2. 1 served copies of theTHIRTYDAY NOTICE TO PAY RENT OR QUIT PREMISES;
3. By placing a true copy thereof enclosed in a sealed envelope, with Certified Mail postage thereon fully prepaid, in the United States Mail
at Valley Village, California, addressed as follows:
a. Date of Mailing:

August 5, 2019

b. Place of Mailing:

Valley Village, CA 91607

c. Addressed as follows:

ROSE GARDEN SUBACUTE & REHABILITATINCENTER, LLC, A CA LTD LIAB AND ALL
OTHERS IN POSSESSION
1899 N Raymond Ave
Pasadena, CA 91103

4. I am readily familiar with the firm's practice for collection and processing cf documents for moiling. Under that practice, it
would be deposited within the United States Postal Service, on that same day, with postage thereon fully prepaid at Valley
Village, California in the ordinary course of business.

Fee for Service: $ 77.00
County:
Registration:

Countrywide Process, LLC
5437 Laurel Canyon Blvd.
Valley Village, CA 91607
(818) 980-7378
Ref: 189934

I declare under penalty of perjury under the laws of
the The State of California that the foregoing
information contained in the return of service and
statement of service fees is true and correct and that
this declaration was executed on August 7, 2019.

Signature;
Jack Demirchyan

PROOF OF SERVICE BY CERTIFIED MAIL

Order#: 356919/mailproof

 ~a OWF—s

Countrywide Process, LLC
5431 laurel Canyon Blvd #112
V!lpyy
r Vllage, Ca 91607

004.000

02 1P
000211 6645

AUG 05 2019

MAILED FROM ZIP CODE 91 607

r

S09ACVqG
GA

7017 0660 0000 3194 2411

 $OWES

US POSTAGE

Countrywid e Process, LC
5431 La ren Can on B1V
fi
VC, 1~?y village, cc, 914607

-

$004-000

H

L

02 IP
0002116645
AUG 05 2019
MAILED Fi;OM ZiP CODE 91 607

R)t5c1"~~

______

PLACE STICKER AT

OF THE RETURN

TOP

OF ENVELOPE
ADDRESS, F ~lD AT 7O THE RIGHT
DOTTED LINE
_-

~ERMIA6 %CIA%L°`

T

J

 y
A2

Gh

~'

Countrywide Process, LLC
5437 laurel Canyon Blvd #1 1
Vc!!ny Village,, Ca 9160 7

Lu,
PLACE`STICKER AT TOP OF ENVELOPE TO THE RIGHT

OF THE RETURN ADDRESS, FOLD AT DOTTED LINE_

CERTIFIEDMAIL --'--_.
mill

11

1

7017 0660 0000 3194 2435

•~
._

Z05~-

_

L

Ghw~-w

A CA

tg)

ig

60WEs

S 00

PAGE

0

00

p
1P
0
AUG 05 2019
00116645
MAILED FROM ZIP CODE 91 607
02

 ApWES +a
,4
~

Gountryl/mo'e Process,
543 7 laurel Dclmyon Elva # I 1
Vc~!'~y Village, Co 912 60 i

n

a

POSTAGE

US

02 1P
000211 6645

22'

$ 004.00"
AUG 05 2019

MAILED FROM ZIP CODE 91 607

9051E

A`

,

s(),

c~Tt~

ZqM~,R31LFit4SON
A- op" 'LTI:) LrhQ
Los

7017 0660 0000 3194 24142

&,t/&etj

,

C tt

t oq)

.ST
cr

ti

 ra

nj
U7'
r3

M
C:1
C3
Ej

C3
..f1
O
rr-1
C3
C`•

CO
fU
CU
-IG7"
v

frl
C3

ED
C)

C3
._n

CD

rr-

• vy

ixtra Services & Fees (check box, add too as appropriate)
r ~ Return Receipt (hardcopy)
$
[j
$
❑ Return Receipt (electronic)
❑ Certified Mail Restricted Delivery $

Postmark
Here

$
0 Adult Signature Required
❑ Adult Signature Restricted Delivery

'ostage

i

. 115'0

atal Postage and Fees

4. Do
1
PPb 04
Box No
~

_---E--

f
/ ~rD/~ ~ ~1
4Y_I.e ,*-------_---! I7-[^-----

-----------

 Ln

M

rti

A

.:I..

.

Ur'l

M

:xtra JervlceS & Fee8 (check box, add fee as epproprtate)

C Return Receipt (hardcopy)

$

Q

❑

Return Receipt (electronic)

$

❑

Certified Mall Restricted Delivery

C3

0Adult Signature Required

$

13

[- ]Adult Signature Restricted Delivery $

C3

'ostage

J0

otal Postage and Fees

r-7

Postmark
Here

$

. S"~

a

r-

gent To

C3

- or-PD
- Box
- ---IVo.--------Veet and Apt. -No.,

&.9,567 --- G~ KOWCAl

r- _lbv-rt_----I~!_t___l~t~l
cr.r~,
.
1.ry

71f) AO

J(
~~~-1
Ile---~
- - - -.-=
-------------

Glow __~!~~D
-- -+--------.

U.S. Postal Service"'
CERTIFIED MA1LO RECEIPT
Domestic Mail Only
For delivery information, visit our website at www.usps.coni

1r~

fit

M
L3
O
CA

A
Eti
r-~

C3

f--

 1

( VERIFICATION

446 AND 2015.5 C.C.P. )

2
3

STATE OF CALIFORNIA

4

COUNTY OF LOS ANGELES

)
) SS
)

5
6

I, THE UNDERSIGNED SAY: I AM THE MANAGING MEMBER

7

FOR THE PLAINTIFF

IN THE WITHIN ACTION. I HAVE

8

READ THE FOREGOING COMPLAINT FOR UNLAWFUL DETAINER AND KNOW

9

THE CONTENTS THEREOF AND THAT THE SAME IS TRUE OF MY OWN

10

KNOWLEDGE, EXCEPT AS TO MATTERS WHICH ARE THEREIN STATED

11

UPON MY INFORMATION OR BELIEF, AND AS TO THOSE MATTERS THAT I

12

BELIEVE IT TO BE TRUE.

13
14

I CERTIFY (OR DECLARE) UNDER THE PENALTY OF PERJURY, THAT THE

15

FOREGOING IS TRUE AND CORRECT.

16
17

EXECUTED ON

AT LOS ANGELES, CA.

18
19

XX

20

A

21
22
23
24
25
26
27
28

r -1 ~~

T

GN HERE AND RETURN
-F' INT NAME

 NOTICE: EVERYONE WHO )_IVES IN THIS RENTAL UNIT MAY BE EVICTED BY COURT ORDER. READ THIS FORM

I

YOU LIVE HERE AND IF YOUR NAME IS NOT ON THE ATTACHED SUMMONS AND COMPLAINT.
1. it you live here and you do not complete and submit this form within 10 days of the date of service shown on this farm,
you will be evicted without further hearing by the court along with the persons named in the Summons and Complaint.
2. if you file this form, your claim will be determined in the eviction action against the persons named in the Complaint.
3. if you do not file this form, you will be evicted without further hearing.
CLAIMANT OR CLAIMANTS AT'T'ORNEY (Name and Address):

FQR COURT USE ONLY

TELEPHONE NO.

CRN.fax:
e-mail
ATTORNEY FOR (Name)--?_L

AME OF COURT:
STREET ADDRESS:
MAILING ADDRESS:

dITY AND ZIP CODE:
BRANCH NAME:

PLAINTIFF:

DEFENDANT:
CASE NUMBER:

PREJUDGMENT CLAIM OF RIGHT TO POSSESSION
(To -be completed by the process server)
DATE OF SERVICE:

^onnplete this form oniy if ALL of these statements are true:
1. You are NOT named in the accompanying Summons and Complaint.
2. You occupied the premises on or before the date the uniawful detainer
(eviction) Complaint was filed.
3. You still occupy the ,premises.

(Date that this form is served or
delivered, and posted, and mailed by the

officer or process server)

I DECI_A.RF THE FOLLO.Al1NG UNDER PENALTY OF PERiURY:
1. My name is (specify):

.6

2. 1 reside at (street address, unit No., city and ZIP code):

J.

I IfCi GUtJ1Ca5 V1

lhC !.3(CfrIISG$'°

SUt:}JBGt t:0 this claim iS (address):

4. On (insert date):

, the landlord or the landlord's authorized agent filed a complaint to

recover possession of the premises_ (This date is the court filing date on the accompanying Summons and Complaint.

5. 1 occupied the premises on the date the complaint was filed (the date in item 4). 1 have continued to occupy the premises ever since.
F

w3g ah lo?st t Q !2?*<, CF Sy2

+. t~c uatc

LSE ~G1+~R,IaI L yVBS filed (the date in item ).

7 1 claim a righr rn nncses for of to nremiscc 'e-cau52 1

vcou 1cd the pfemises

on the date the complaint was flied (the date in

8. 1 was not named in the Summons and Complaint.
9. ► understand that if I make this claim of right to possession, I will be added as a defendant to the unlawful detainer (eviction) action.
10. (Filing fee) I understand that I most go to*the court and pay a filing fee of $

or file with the court the form
"Application for Waiver of Court Fees and Costs." I understand that if I don't oav the filing fee or file with the court tho form fir
waiver of court fees within 10 days from the date of service on this form (excluding court holidays), I will not be entitled to make a
claim of right to possession
(Continued on reverse)

CP 10.5 (New January 1 , 19911

PREJUDGMENT CLAIM OF RIGHT
TO POSSESSION

ProDoce

Code of Civil Procedure §§ 4.1 S.46,

715.010, 715.020, 1174.25

 U

PLAINTIFF (Name):

CASE N MBER:

DEFENDANT (Name):

NOTICE: If you fail to file this claim, you will be evicted without further hearing.
1. (Response required within five clays after you file this form) I understand that i will have five days (excluding court holidays) to file
a response to the Summons and Complaint after I file this Prejudgment Claim of Right to Possession form.
1 2. Rental agreement. I have (check all that apply to you):

a. [71
b.[ -1
c. Q
d.
e.

an oral rental agreement with the landlord.
a written rental agreement with the landlord.
an oral rental agreement with a person other than the landlord.
a written rental agreement with a person other than the landlord.
other (explain):

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct.
WARNING: Perjury is a felony punishable by imprisonment in the state prison.
Date:
0
(TYPE OR PRINT NAME)

(SIGNATURE OF CLAIMANT}

NOTICE: If you file this claim of right to possession, the unlawful detainer (eviction) action
against you will be determined at trial. At trial, you may be found liable for rent, costs, and, in
some cases, treble damages.

e

NOT

ICE

■

O

OCCUPANTS

YOU MUST ACT AT ONCE if all the following are true:
1.You are NOT named in the accompanying Summons and Complaint.
2.You occupied the premises on or before the date the unlawful detainer (eviction) complaint was filed. (The date is
the court filing gate on the accompanying Summons and Complaint)
3.You still occupy the prerr*.ises
(Where to file this form) You can complete and SUBMIT THIS CLAIM FORM WITHIN 10 DAYS from the date of service
(on the reverse of this form) at the court where the unlawful detainer (eviction) complaint was filed.
((/that will happe.^, :f you do not file this form,)
fnrm

for n

esm

in forma nai incric if

If you do riot complete and submit this form and pay a filing fee or file the

ifo ii CCnr-,n;- ~P.V «k,3

YOU IPPI t B ExPCTED

f r ri hr
After this form is properly riled, you ofill be added as a defendant in the unlawkil detainer ievictinnl action and m
occupy the premises will be decided by the coum if you do not file this claim
. , you will be evicted without a heahng.

CPI 0.5 (New January

1. 1 9911

PREJUDGMENT CLAIM OF RIGHT TO POSSESSION!

rn

Page two