EQUIPMENT LEASE
THIS
EQUIPMENT LEASE (hereinafter referred to as the
"Lease") is made at [Place] and
effective from [Date], by and between [Lessor],
(hereinafter referred to as the
"Lessor"which expression shall, unless
it be repugnant to the context or meaning
thereof, be deemed to mean and include its
successors and assigns) and [Lessee] (hereinafter
referred to as the "Lessee" which
expression shall, unless it be repugnant to the
context or meaning thereof, be deemed to mean and
include its successors and assigns).
WHEREAS
the Lessor desires to lease to Lessee, and Lessee
desires to lease from Lessor, certain tangible
personal property.
NOW,
THEREFORE, in consideration of the mutual
covenants and promises hereinafter set forth, the
parties hereto agree as follows:
1.
Lease.
Lessor
hereby leases to Lessee, and Lessee hereby leases
from Lessor, the following described equipment
(hereinafter referred to as the
"Equipment"): [Equipment].
2.
Term.
The
term of this Lease shall commence on [Start
Date] and shall expire [Lease Length]
months thereafter.
3.
Shipping.
Lessee
shall be responsible for shipping the Equipment
to Lessee's premises.
4.
Rent and Deposit.
A.
The monthly rent for the Equipment shall be paid
in advance in installments of [Installment
Amount] each month, beginning on [Date of
First Payment] and on the first day of each
succeeding month throughout the term hereof, at [Address
for Payments], or at such other place as
Lessor may designate from time to time. Any
installment payment not made by the tenth (10th)
day of the month shall be considered overdue and
in addition to Lessor's other remedies, Lessor
may levy a late payment charge equal to one
percent (1%) per month on any overdue amount.
Rent for any partial month shall be prorated.
B.
Lessee shall pay a deposit in the following
amount prior to taking possession of the
Equipment: [Deposit Amount]. The deposit
will be refunded to Lessee promptly following
Lessee's performance of all obligations in this
Lease.
5.
Use.
Lessee
shall use the Equipment in a careful and proper
manner and shall comply with and conform to all
national, state, municipal, police and other
laws, ordinances and regulations in any way
relating to the possession, use or maintenance of
the Equipment. [Other Restrictions]
[Warranty
Options] LESSOR DISCLAIMS ANY AND ALL OTHER
WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT
LIMITED TO IMPLIED WARRANTIES OF MERCHANTABILITY
AND FITNESS FOR A PARTICULAR PURPOSE, EXCEPT THAT
LESSOR WARRANTS THAT LESSOR HAS THE RIGHT TO
LEASE THE EQUIPMENT, AS PROVIDED IN THIS LEASE.
7.
Repairs.
Lessee,
at its own cost and expense, shall keep the
Equipment in good repair, condition and working
order and shall furnish any and all parts,
mechanisms and devices required to keep the
Equipment in good mechanical working order.
8.
Loss and Damage.
A.
Lessee hereby assumes and shall bear the entire
risk of loss and damage to the Equipment from any
and every cause whatsoever. No loss or damage to
the Equipment or any part thereof shall impair
any obligation of Lessee under this Lease which
shall continue in full force and effect through
the term of the Lease.
B.
In the event of loss or damage of any kind
whatever to the Equipment, Lessee shall, at
Lessor's option:
(i)
Place the same in good repair, condition and
working order; or
(ii)
Replace the same with like equipment in good
repair, condition and working order; or
(iii)
Pay to Lessor the replacement cost of the
Equipment.
9.
Surrender.
Upon
the expiration or earlier termination of this
Lease, Lessee shall return the Equipment to
Lessor in good repair, condition and working
order, ordinary wear and tear resulting from
proper use thereof alone excepted, by delivering
the Equipment at Lessee's cost and expense to
such place as Lessor shall specify within the
city or county in which the same was delivered to
Lessee.
10.
Insurance.
Lessee
shall procure and continuously maintain and pay
for:
A.
All risk insurance against loss of and damage to
the Equipment for not less than the full
replacement value of the Equipment, naming Lessor
as loss payee, and;
B.
Combined public liability and property damage
insurance with limits as approved by Lessor,
naming Lessor as additionally named insured and a
loss payee.
The
insurance shall be in such form and with such
company or companies as shall be reasonably
acceptable to Lessor, shall provide at least
thirty (30) days advance written notice to Lessor
of any cancellation, change or modification, and
shall provide primary coverage for the protection
of Lessee and Lessor without regard to any other
coverage carried by Lessee or Lessor protecting
against similar risks. Lessee shall provide
Lessor with an original policy or certificate
evidencing such insurance. Lessee hereby appoints
Lessor as Lessee's attorney in fact with power
and authority to do all things, including, but
not limited to, making claims, receiving payments
and endorsing documents, checks or drafts
necessary or advisable to secure payments due
under any policy of insurance required under this
Agreement.
11.
Taxes.
Lessee
shall keep the Equipment free and clear of all
levies, liens and encumbrances. Lessee, or Lessor
at Lessee's expense, shall report, pay and
discharge when due all license and registration
fees, assessments, sales, use and property taxes,
gross receipts, taxes arising out of receipts
from use or operation of the Equipment, and other
taxes, fees and governmental charges similar or
dissimilar to the foregoing, together with any
penalties or interest thereon, imposed by any
state, federal or local government or any agency,
or department thereof, upon the Equipment or the
purchase, use, operation or leasing of the
Equipment or otherwise in any manner with respect
thereto and whether or not the same shall be
assessed against or in the name of Lessor or
Lessee. However, Lessee shall not be required to
pay or discharge any such tax or assessment so
long as it shall, in good faith and by
appropriate legal proceedings, contest the
validity thereof in any reasonable manner which
will not affect or endanger the title and
interest of Lessor to the Equipment; provided,
Lessee shall reimburse Lessor for any damages or
expenses resulting from such failure to pay or
discharge.
12.
Lessor's Payment.
In
case of failure of Lessee to procure or maintain
said insurance or to pay fees, assessments,
charges and taxes, all as specified in this
Lease, Lessor shall have the right, but shall not
be obligated, to effect such insurance, or pay
said fees, assignments, charges and taxes, as the
case may be. In that event, the cost thereof
shall be repayable to Lessor with the next
installment of rent, and failure to repay the
same shall carry with it the same consequences,
including interest at ten percent (10%) per
annum, as failure to pay any installment of rent.
13.
Indemnity.
Lessee
shall indemnify Lessor against, and hold Lessor
harmless from, any and all claims, actions,
suits, proceedings, costs, expenses, damages and
liabilities, including reasonable attorney's fees
and costs, arising out of, connected with, or
resulting from Lessee's use of the Equipment,
including without limitation the manufacture,
selection, delivery, possession, use, operation,
or return of the Equipment.
14.
Default.
If
Lessee fails to pay any rent or other amount
herein provided within ten (10) days after the
same is due and payable, or if Lessee fails to
observe, keep or perform any other provision of
this Lease required to be observed, kept or
performed by Lessee, Lessor shall have the right
to exercise any one or more of the following
remedies:
A.
To declare the entire amount of rent hereunder
immediately due and payable without notice or
demand to Lessee.
B.
To sue for and recover all rents, and other
payments, then accrued or thereafter accruing.
C.
To take possession of the Equipment, without
demand or notice, wherever same may be located,
without any court order or other process of law.
Lessee hereby waives any and all damages
occasioned by such taking of possession.
D.
To terminate this Lease.
E.
To pursue any other remedy at law or in equity.
Notwithstanding
any repossession or any other action which Lessor
may take, Lessee shall be and remain liable for
the full performance of all obligations on the
part of the Lessee to be performed under this
Lease. All of Lessor's remedies are cumulative,
and may be exercised concurrently or separately.
15.
Bankruptcy.
Neither
this Lease nor any interest therein is assignable
or transferable by operation of law. If any
proceeding under the Bankruptcy Act, as amended,
is commenced by or against the Lessee, or if the
Lessee is adjudged insolvent, or if Lessee makes
any assignment for the benefit of his creditors,
or if a writ of attachment or execution is levied
on the Equipment and is not released or satisfied
within ten (10) days thereafter, or if a receiver
is appointed in any proceeding or action to which
the Lessee is a party with authority to take
possession or control of the Equipment, Lessor
shall have and may exercise any one or more of
the remedies set forth in Clause 14 hereof; and
this Lease shall, at the option of the Lessor,
without notice, immediately terminate and shall
not be treated as an asset of Lessee after the
exercise of said option.
16.
Ownership.
The
Equipment is, and shall at all times be and
remain, the sole and exclusive property of
Lessor; and the Lessee shall have no right, title
or interest therein or thereto except as
expressly set forth in this Lease.
17.
Additional Documents.
If
Lessor shall so request, Lessee shall execute and
deliver to Lessor such documents as Lessor shall
deem necessary or desirable for purposes of
recording or filing to protect the interest of
Lessor in the Equipment including, but not
limited to a UCC financing statement.
18.
Entire Agreement.
This
instrument constitutes the entire agreement
between the parties on the subject matter hereof
and it shall not be amended, altered or changed
except by a further writing signed by the parties
hereto.
19.
Notices.
Service
of all notices under this Agreement shall be
sufficient if given personally or mailed
certified, return receipt requested, postage
prepaid, at the address hereinafter set forth, or
to such address as such party may provide in
writing from time to time.
If
to Lessor:
[Lessor]
[Lessor's
Address]
If
to Lessee:
[Lessee]
[Lessee's
Address]
20.
Assignment.
Lessee
shall not assign this Lease or its interest in
the Equipment without the prior written consent
of Lessor.
21.
Governing Law.
This
Lease shall be construed and enforced according
to Indian laws
22.
Headings.
Headings
used in this Lease are provided for convenience
only and shall not be used to construe meaning or
intent.
- IN WITNESS WHEREOF, the
parties hereto have executed this Lease
as of the day and year first above
written.
-
- SIGNED SEALED AND DELIVERED
- by the withinnamed Lessor
______
- in the presence of Mr.
___________
-
- SIGNED SEALED AND DELIVERED
- by the withinnamed Lessee
______
- in the presence of Mr.
___________
-
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