Sublease (2001)Full Document 

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                                   ARIBA PLAZA
                                   -----------

                                    SUBLEASE

                                     Between

                                   ARIBA, INC.
                             a Delaware corporation
                                       as
                                   SUBLANDLORD

                                       and

                                INTERWOVEN, INC.
                             a Delaware corporation
                                       as
                                    SUBTENANT

                                       for

                                    PREMISES
                                       at
                           803 and 809 Eleventh Avenue
                           Sunnyvale, California 94089





                           BASIC SUBLEASE INFORMATION
                           --------------------------

1.   Sublease Date:  June 28, 2001.

2.   Sublandlord:  Ariba, Inc., a Delaware corporation.

3.   Subtenant:  Interwoven Inc., a Delaware corporation.

4.   Master Landlord:  Moffett Park Drive LLC, a California limited liability
     company.

5.   Project:  Ariba Plaza, 1111 Lockheed Martin Way, Sunnyvale, California.

6.   Rentable Area of Project:  Approximately 715,988 square feet.

7.   Premises:  All four floors of Building One and the 3rd and 4th floors of
     Building Four.

8.   Rentable Area of the Premises (in square feet):  263,823 square feet
     (total), comprised of:

                    43,020.50 square feet (1st floor of Building One; B1F1)
                    43,320.50 square feet (2nd floor of Building One; B1F2)
                    45,020.50 square feet (3rd floor of Building One; B1F3)
                    43,720.50 square feet (4th floor of Building One; B1F4)
                    45,020.50 square feet (3rd floor of Building Four; B4F3)
                    43,720.50 square feet (4th floor of Building Four; B4F4)

9.   Commencement Dates:   2nd and 3rd floors of Building One:  August 1, 2001
                           1st floor of Building One:  October 1, 2001
                           4th floor of Building One:  October 1, 2001
                           3rd and 4th floors of Building Four:  August 1, 2003

10.  Term: 2nd and 3rd floors of Building One: 72 months
           1st floor of Building One: 70 months
           4th floor of Building One: 70 months
           3rd and 4th floors of Building Four: 48 months

11.  Base Rent:



------------------------------------------------ ----------------- -------------- ------------------ --------------------
Period                                           Bldg/Floors       Square Feet      Monthly Base      Monthly Base Rent
                                                                   (SF) (Total)     Rent (Per SF)          (Total)
------------------------------------------------ ----------------- -------------- ------------------ --------------------
                                                                                         
August 1, 2001 - September 30, 2001                B1: F2,3           88,341             $1.04                $ 91,874.64
------------------------------------------------ ----------------- -------------- ------------------ --------------------
October 1, 2001 - July 31, 2002                    B1: F1,2,3,4      175,082             $1.28                $224,104.96
------------------------------------------------ ----------------- -------------- ------------------ --------------------
August 1, 2002 - July 31, 2003                     B1: F1,2,3,4      175,082             $3.51                $614,537.82
------------------------------------------------ ----------------- -------------- ------------------ --------------------





                                                                                         
------------------------------------------------ ----------------- -------------- ------------------ --------------------
August 1, 2003-July 31, 2004                     B1: F1,2,3,4      263,823              $3.79                $999,889.17
                                                 B4: F3,4
------------------------------------------------ ----------------- -------------- ------------------ --------------------
August 1, 2004-July 31, 2005                     B1: F1,2,3,4      263,823              $3.94              $1,039,462.62
                                                 B4: F3,4
------------------------------------------------ ----------------- -------------- ------------------ --------------------
August 1, 2005-July 31, 2006                     B1: F1,2,3,4      263,823              $4.09              $1,079,036.07
                                                 B4: F3,4
------------------------------------------------ ----------------- -------------- ------------------ --------------------
August 1, 2006-July 31, 2007                     B1: F1,2,3,4      263,823              $4.26              $1,123.885.98
                                                 B4: F3,4
------------------------------------------------ ----------------- -------------- ------------------ --------------------


12.  Subtenant's Share:  36.85% (total),
     comprised of: 6.00 % (1st floor of Building One)
                   6.05 % (2nd floor of Building One)
                   6.29 % (3rd floor of Building One)
                   6.11 % (4th floor of Building One)
                   6.29 % (3rd floor of Building Four)
                   6.11 % (4th floor of Building Four)

                                                     
     ------------------------------------ ---------------- --------------------------------
     Period                               Bldg/Floors         Subtenant's Share (Total)
     ------------------------------------ ---------------- --------------------------------
     August 1, 2001-September 30, 2001    B1: F2,3                      12.34%
     ------------------------------------ ---------------- --------------------------------
     October 1, 2001-July 31, 2003       B1: F1,2,3,4                  24.46%
     ------------------------------------ ---------------- --------------------------------
     August 1, 2003-July 31, 2007         B1: F1,2,3,4                  36.85%
                                          B4: F3,4
     ------------------------------------ ---------------- --------------------------------



13.  Security Deposit:  $12,100,000 (letter of credit or cash), in accordance
     with the provisions of Paragraph 4.

14.  Lobby Hours: Mondays through Fridays from 8 a.m. through 5 p.m., excluding
     Holidays, with 24 hours/day, 7 days/week access to the Premises, in
     accordance with Paragraph 7.

15.  HVAC Hours: Mondays through Fridays from 7 a.m. through 6 p.m., excluding
     Holidays, in accordance with Paragraph 7.

16.  Address for Notices:

     Master Landlord:      c/o Jay Paul Company
                           350 California Street, Suite 1905
                           San Francisco, CA 94111

     Sublandlord:          For Payment of Rent:

                           807 Eleventh Avenue
                           Sunnyvale, California 94089
                           Attn: Real Estate Manager

                           For Notices:
                           807 Eleventh Avenue




                           Sunnyvale, California 94089
                           Attn: General Counsel
                           (650) 390-1377 Facsimile

                           807 Eleventh Avenue
                           Sunnyvale, California 94089
                           Attn: Real Estate Manager
                           (650) 390-1315 Facsimile

         Subtenant:        1195 West Fremont Avenue
                           Sunnyvale, California 94087
                           Attn: Tom Smith
                           (408) 220-7558 Facsimile

17.  Brokers:  Cushman & Wakefield (Sublandlord's Broker) and CB Richard Ellis
     (Subtenant's Broker).

18.  Exhibits:

          Exhibit A: Master Lease (exclusive of Exhibit I which shall be
          provided separately to the parties as described below in the note to
          Exhibit M)
          Exhibit B:  Premises
          Exhibit C:  Sublandlord's Rules and Regulations
          Exhibit D:  Commencement Date Memorandum
          Exhibit E:  Ravendale Lease
          Exhibit F:  Letter of Credit
          Exhibit G:  Consent to Sublease
          Exhibit H:  Estoppel Certificate
          Exhibit I: Work Letter Agreement (including Attachment 1 (Conceptual
          Plan) and Attachment 2 (B1F1 Shell Work: Bldg 1 1st Floor Only
          Addendum 5 Revised April 13, 2001 and Supplemental Instruction N)
          thereto)
          Exhibit J:  Cafeteria Access Agreement
          Exhibit K:  Fitness Center Access Agreement
          Exhibit L:  Janitorial Services Description
          Exhibit M: Additional Environmental Report and Materials (For
          convenience, Exhibit M shall be provided along with Exhibit I of the
          Master Lease in a separate "environmental" binder)
          Exhibit N:  Brokers' Letter
          Exhibit O: Site Signage Plan


The Basic Sublease Information set forth above is made a part of the Sublease.
In the event of conflict between the Basic Sublease Information and any of the
provisions contained in the remainder of the Sublease, the provisions contained
in the remainder of the Sublease shall control.




                                TABLE OF CONTENTS
                                -----------------


Paragraph                                                                   Page
---------                                                                   ----

1.            Sublease of Premises..............................               1
   1.1.          Sublease.......................................               1
   1.2.          Common Areas - Definition......................               1
   1.3.          Amenity Areas..................................               2
   1.4.          Common Areas - Subtenant's Rights..............               2
   1.5.          Rules and Regulations..........................               2
   1.6.          Common Areas - Changes.........................               2
   1.7.          Parking........................................               3
2.            Term..............................................               4
   2.1.          Term...........................................               4
   2.2.          Delay In Possession; Fixturing Period..........               4
   2.3.          Subtenant Compliance...........................               5
3.            Rent..............................................               5
   3.1.          Base Rent......................................               5
   3.2.          Shared Expenses................................               6
   3.3.          Abatement Reimbursement Rent...................              10
   3.4.          Generally......................................              11
   3.5.          Late Payment...................................              11
4.            Security Deposit..................................              11
5.            Use...............................................              13
   5.1.          Use............................................              13
   5.2.          Hazardous Materials............................              13
   5.3.          Subtenant's Compliance with Applicable
                  Requirements..................................              15
   5.4.          Inspection; Compliance.........................              15
6.            Delivery of Possession............................              15
   6.1.          Condition......................................              15
   6.2.          Compliance.....................................              16
   6.3.          Acknowledgements...............................              17
7.            Utilities and Services............................              17
   7.1.          Standard Subtenant Utilities and Services......              17
   7.2.          Heating and Air-Conditioning; Lobby Access;
                  Subtenant Access..............................              17
   7.3.          Electricity and Gas............................              17
   7.4.          Water; Trash Disposal..........................              18


   7.5.          Janitorial Services............................              18
   7.6.          Elevator.......................................              18
   7.7.          Overstandard Subtenant Use.....................              18
   7.8.          Interruption of Utilities......................              19
   7.9.          Utility Providers..............................              19
   7.10.         Telecommunications.............................              20
   7.11.         Utility Additions..............................              21
   7.12.         Security.......................................              21
8.            Maintenance and Repairs; Utility Installations,
               Trade Fixtures and Alterations...................              22
   8.1.          Sublandlord's Obligations......................              22
   8.2.          Subtenant's Obligations........................              22
   8.3.          Utility Installations; Trade Fixtures;
                  Alterations...................................              22
   8.4.          Ownership; Removal; Surrender; and Restoration.              23
9.            Insurance; Waiver; Subrogation....................              24
   9.1.          Cost of Sublandlord's Insurance................              24
   9.2.          Subtenant's Insurance..........................              24
   9.3.          Insurance Policies.............................              25
   9.4.          Failure of Subtenant to Purchase and Maintain
                  Insurance.....................................              25
   9.5.          Additional Insureds and Coverage...............              25
   9.6.          Waiver of Subrogation..........................              25
   9.7.          No Representation of Adequate Coverage.........              26
10.           Limitation of Liability and Indemnity.............              26
11.           Property Taxes....................................              26
   11.1.         Payment of Taxes...............................              26
   11.2.         Additional Improvements........................              27
   11.3.         Personal Property Taxes........................              27
12.           Assignment and Subletting.........................              27
   12.1.         Generally......................................              27
   12.2.         Notice.........................................              27
   12.3.         Sublandlord's Election; Recapture..............              28
   12.4.         Sublandlord's Discretion; Factors..............              28
   12.5.         Bonus Rent.....................................              29
   12.6.         Options Personal...............................              30
   12.7.         Encumbrances...................................              30
   12.8.         Merger; Attornment.............................              30
   12.9.         Sublandlord's Costs............................              30




   12.10.        Affiliates.....................................              31
13.           Default; Breach; Remedies.........................              32
   13.1.         Default; Breach................................              32
   13.2.         Remedies.......................................              33
   13.3.         Inducement Recapture...........................              34
   13.4.         Breach by Sublandlord..........................              34
14.           Damage or Destruction; Condemnation...............              34
15.           Brokerage Fees....................................              35
16.           Estoppel Certificates.............................              35
17.           Definition of Sublandlord.........................              35
18.           Severability......................................              36
19.           Days..............................................              36
20.           Limitation on Liability...........................              36
21.           Time of Essence...................................              36
22.           No Prior or Other Agreements......................              36
23.           Notices...........................................              36
   23.1.         Notice Requirements............................              36
   23.2.         Date of Notice.................................              36
   23.3.         Notices from Master Landlord...................              36
24.           Waivers...........................................              37
25.           No Right To Holdover..............................              37
26.           Cumulative Remedies...............................              37
27.           Covenants and Conditions; Construction of
               Agreement........................................              37
28.           Binding Effect; Choice of Law.....................              37
29.           Subordination; Attornment; Non-Disturbance........              37
   29.1.         Subordination..................................              37
   29.2.         Attornment.....................................              37
   29.3.         Self-Executing.................................              38
   29.4.         Nondisturbance Agreement.......................              38
30.           Master Lease Provisions...........................              38
   30.1.         Sublease Subordinate...........................              38
   30.2.         Cooperation With Subtenant.....................              40
   30.3.         Sublandlord Representations....................              40
   30.4.         Modification...................................              40
   30.5.         Consent To This Sublease.......................              40



   30.6.         Defined Terms..................................              40
   30.7.         Multiple New Master Leases.....................              40
   30.8.         Conflict.......................................              40
31.           Attorneys' Fees...................................              40
32.           Sublandlord's Access to Premises..................              40
   32.1.         Generally......................................              41
   32.2.         Subtenant's Waiver.............................              41
   32.3.         Method of Entry................................              41
33.           Auctions..........................................              41
34.           Signs.............................................              41
35.           Termination; Merger...............................              41
36.           Consents..........................................              42
37.           Quiet Possession..................................              42
38.           Options...........................................              42
   38.1.         Definition.....................................              42
   38.2.         Options Personal To Original Subtenant.........              42
   38.3.         Multiple Options...............................              42
   38.4.         Master Lease Options...........................              42
   38.5.         Effect of Default on Options...................              42
39.           Option to Extend Term.............................              43
40.           Substitution of Other Premises....................              44
41.           Reservations......................................              44
42.           Performance Under Protest.........................              44
43.           Authority.........................................              44
44.           Amendments........................................              45
45.           Exhibits..........................................              45




                                    SUBLEASE
                                    --------

     This Sublease is made and entered into as of the 28th day of June, 2001
("Effective Date"), by and between Ariba, Inc., a Delaware corporation ("Ariba"
or "Sublandlord"), and Interwoven, Inc., a Delaware corporation ("Subtenant").


                                    RECITALS

     A.  Ariba, as tenant, and Moffett Park Drive LLC, a California limited
liability company ("Master Landlord"), as landlord, previously entered into the
Technology Corners Triple Net Multiple Building Lease dated March 15, 2000 (the
"Master Lease"), a copy of which is attached hereto as Exhibit A and
incorporated herein by this reference. Under the Master Lease, Master Landlord
leases to Sublandlord certain premises located at 1111 Lockheed Martin Way in
Sunnyvale, California, including four (4) free standing, four-story office and
research and development buildings and one (1) Amenity Building (collectively,
the "Buildings") and appurtenances described in the Master Lease, the Property
and all other improvements built on the Property, including a parking structure
(the "Project"). The four office and research development buildings are commonly
known as: 803 11th Avenue ("Building One"), 807 11th Avenue ("Building Two"),
805 11th Avenue ("Building Three"), and 809 11th Avenue ("Building Four").

     B.  Sublandlord now desires to sublease to Subtenant, and Subtenant now
desires to sublease from Sublandlord, the building described in the Master Lease
as Building One and the third and fourth floors of the building described in the
Master Lease as Building Four (the "Premises"), on the terms and conditions set
forth herein. Capitalized terms used herein without definition shall have the
same meaning as in the Master Lease.

     C.  As of the Effective Date, Sublandlord is one of the tenants of the
Project.

     NOW, THEREFORE, for valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, Sublandlord and Subtenant agree as follows:

                                    AGREEMENT

1.  Sublease of Premises

     1.1.  Sublease.  Sublandlord hereby subleases and demises to Subtenant, and
Subtenant hereby accepts from Sublandlord, on the terms and conditions
hereinafter set forth, the Premises. The Premises are depicted on Exhibit B,
which is attached hereto and incorporated herein by this reference. Sublandlord
and Subtenant conclusively agree, for purposes of this Sublease, that the six
floors comprising the Premises and the Premises as a whole each contain the
number of square feet in the Rentable Area of the Premises shown in the Basic
Sublease Information above. "Rentable Area of the Premises" as defined herein,
shall be the square foot measurement of the Premises (on a per floor basis) as
set forth in the Basic Sublease Information above.

     1.2.  Common Areas - Definition.  The term "Common Areas" is defined as all
areas and facilities outside the Buildings and within the exterior boundary line
of the Project, including parking areas, passenger and other loading and
unloading areas, trash areas, roadways, walkways, driveways and landscaped areas

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