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<br />that, beginning on the date of such tennination without cause but not before, Article 27 in <br />its then current form, is invalid as applied to the Adult Bookstore. If such a challenge is <br />made, the City may not argue laches or assert statute of limitations as a defense with <br />respect to any period before the City terminates the Agreement. <br />(c) Terminationfor Cause by the City. The City may terminate <br />this Agreement for cause at any time if the Adult Bookstore materially breaches this <br />Agreement. In the alternative, if the City believes the Adult Bookstore has materially <br />breached this Agreement during any term of this Agreement and does not desire to renew <br />this Agreement because ofthe breach, the City shall notify the Adult Bookstore of its <br />decision at least 10 days prior to the end of the tenn of this Agreement. In either case, <br />sections 5, 7 and 9 below, shall remain in full force and effect after such termination or <br />nonrenewal and shall survive the Agreement. <br />(d) Alternative Damages for Material Breach. As an <br />alternative to terminating this Agreement for a material breach, and at the sole option of <br />the City, the City may recover from the Adult Bookstore or David Sturman up to a total <br />of$200 per day for each day the Adult Bookstore materially breaches this Agreement. <br />(e) Dispute Resolution Concerning Adult Bookstore 's Material <br />Breach. Disputes concerning whether the Adult Bookstore materially breached this <br />Agreement shall be settled by arbitration administered by the American Arbitration <br />Association under the Expedited Procedures for its Commercial Arbitration Rules, except <br />as otherwise specifically stated herein, and judgment on the award rendered by the <br />arbitrator(s) may be entered in any court having jurisdiction thereof. Such arbitration <br />shall take place in Redwood City, California. or at some other place mutually agreeable <br />to the parties. Each party shall bear their own costs and attorney's fees, and a prevailing <br />party in the arbitration shall not be entitled to recover attorney's fees or costs from a <br />losing party. If the arbitrator finds that the Adult Bookstore materially breached this <br />Agreement, this Agreement shall terminate except sections 3(f), 5, 7 and 9 below, which <br /> <br />5 <br />