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;~ ~lled elsewhere, and any sums received from pay telephones, stamp machines, amusement machines, <br />and vending machines located on the Premises. Any transaction on an installment basis or involving <br />,~ extension of credit shall be treated as a sale for the full price at the time of the transaction, regardless of <br />j the tirne or amount of payment received. Gross Sales shall not include, or if included there shall then be <br />deducted (but only to the extent they have been included), the following: <br />(1) The purchase price of all merchandise returned by purchasers and accepted for full <br />credit or the amount of discounts, refunds, and allowances made on such returned merchandise. <br />(2) Any sums paid to third ~atties for the use or rental of pay telephones, stamp <br />machines; music machines, amusement machuies, and other vending machines. <br />(3) Sums received from casuai sales of trade fixtures, equipment, or other personal <br />property on the Premises provided that such property is not inventory or stock in trade, and such sales <br />are permitted under this Lease. <br />(4) Amounts received in written settlement of ciaims made for loss of or damage to <br />merchandise on the Premises. . <br />(5) Sates and use taxes and other similar taxes now or in the futnre.imposed on the sale of <br />merchandise or services, but only if such taxes aze added to the selling price, separately-stated, and <br />collected from customers or purchasers. , <br />On or before the 10th day of each calendar month during the Lease Term and any extensions <br />or renewals of the Term, Lessee shail furnish to Lessor a statement of Gross Sales for the preceding <br />calendar month. Each statement shall be signed and certified by Lessee or its authorized representative <br />to be correct (and if Lessee is a corporation, the statement shall be signed and certified to be correct by <br />an officer of Lessee). If Lessee fails to fiunish Lessor with the statement as set forth in this section and <br />such repoR is not furnished to Lessor within 10 days following Lessor's written notice to Lessee of such <br />failure, then the Gross Sales for such L,ease Year shall be deemed equal to the highest previously <br />reported Gross Sales and Lessee shall pay to Lessor, as liquidated damages, the additional sum of $100 <br />per month until such report is furnished. In the event Lessee is delinquent in furnishing Lessor with the <br />repoR for two consecutive I.case Years, Lessor shall have the right to condnct an andit of the books and <br />records of Lessee, its permitted sublessees, licensees, or concessionaires with the cost, together with any <br />chazges resulting from the audit, to be the obligation of Lessee and payable on demand. <br />Lessee shall keep full and accurate books of account, records, cash receipts, and other <br />pertinent data showing its Gross Sales. Lessee, its permitted sublessees, licensees, or concessionaires shall <br />mstall and maintain accurate receipt-printing cash registers and shall record on the cash registers every <br />sale and other transaction made from the Premises; or, if Lessee, its permitted sublessees, licensees, or <br />concessionaires-does not have and dces not wish to install receipt-printing cash registers, Lessee, its <br />permitted sublessees, licensees, or concessionaires shall use serialized sales slips and shall record every <br />sale and other transaction made fisom the Premises on such sales slips. Such receipts or sales slips shall <br />be ~kept and maintained as provided in this section. Lessee shall also furnisl~to Lessor copies of sales <br />and use tax returns at the time each is filed with the State of Oregon. <br />{, The books of account, records, cash receipts, sales slips, and other pertinent data shall be kept <br />for a period of two years from the end of each calendar year during the Lease Term. The receipt by <br />~,i Lessor of any statement, or any payment of the Percentage Rent for any peiiod, shall not bind Lessor as <br />to the correcmess of the statement or the payment. Lessor shall be entitled, during the Term and for two <br />- years after the end of the Term, to inspect and examine all books of accounts, records, cash receipts, <br />t sales slips, and other pertinent data of Lessee, its permitted sublessees, licensees, or concessionaires for <br />~3` the purpose of~ ascertaining and verifying Gross Sales. Lessee, its permitted sublessees, licensees, or <br />concessionaires shall cooperate fully with Lessor in making such inspection. Lessor shall also be <br />? entitled, no more frequently than once every calendaz year during the Term and once after the end of <br />; the Term, to an independent audit of books of accounts, records, cash receipts, sales slips, and other <br />pertinent data of Lessee, its permitted sublessees, licensees, or concessionaires to determine Gross Sales, <br />~, <br />~~ North Pad Ground Lease Courthouse Square ` <br />, - , Page - 4 ' <br />