This Lease Contract (“Contract”)
Exhibit
10.1
This
Lease Contract (“Contract”)
Party
A (“Lessor”): China Construction Bank Tianjin Tariff-free Zone Branch
And
Party
B (“Lessee”): Tianjin Shisheng Investment Group Ltd.
According
to <Chinese Contract Law> and related regulations, the Lessor and Lessee
made the following agreements upon friendly negotiation:
Article
1 Location,
area, decoration and facilities
1.1
|
The
Lessor rents real estate property located
Xx.00
Xxxxxx Xxxx, Xxxxxxx Xxxxxx-xxxx Xxxx, Xxxxx Construction Bank
Building
to
Party B.
|
1.2
|
Total
area is 1521
square meters,
which including 1000
square meters
on
second floor and 521
square meters
on
first floor
|
1.3
|
The
decoration and facilities conditions are as appendix of this contract
and
this appendix shall be used as the checking and accepting standard
at the
expiration.
|
1.4
|
The
leasing period is 84
months
from March
31, 2003 to April 1, 2010
|
1.5
|
The
property will be used as Party B’s office
only
|
1.6
|
Party
A is entitled to withdraw the property at expiration and Party B
shall
give the property back to Party A
|
1.7
|
If
Party B has the intension to extend the contract, it shall write
to Party
A one month prior to the expiration
|
1.8
|
The
Lessee is entitled to the priority of renewal of the Contract when
it
expires
|
1.9
|
Annual
rental is RMB 100,000 and the total value of this contract is RMB
700,000
|
1.10
|
Party
B shall pay the full contract amount at the execution.
|
Article
2 Fee
and Tax during the leasing
2.1 Fees
shall be covered by Party A
A.
Party
A shall pay property tax and land tax during the leasing period, if any fee
claimed by government not listed here occurred, Party A shall cover.
2.2 Fees
shall be covered by Party B
A. Party
B
shall pay to Party A RMB 20,000 hydro per quarter to Party A and Party A shall
issue valid invoices
B.
Party
B
shall pay for air-conditioning fee and central heating fee base on the leasing
area, Party B shall pay the fee monthly to Party A and Party A shall issue
valid
invoices.
2.3 Party
B
shall pay its proper motion on time
2.4 Party
A
shall not presume fee paid by Party B which not are listed in this contract
Article
3 Usage
and Maintenance
3.1 Party
A
ensures the safety usage of the property during the leasing, all the maintenance
is Party A’s responsibility during the leasing except damaged by Party B.
3.2 Maintenance
or fixation shall be noticed to Party B 10 days in advance and Party B shall
cooperate with Party A
3.3 If
Party
B send the maintenance requirements to Party A, Party A shall provide the
service on time
3.4 Party
A
is not responsible for decoration part completed by Party B.
3.5 Party
B
shall use the property properly, and the damages caused by improper usage is
Party B’s responsibility.
3.6 If
Party
B needs to change the inside structure or decoration of the property, it shall
require the approval by written, and the design plan, construction and
decorating materials shall be approved by Party A in written before usage.
At
the expiration or the contract terminated due to Party B’s reason, Party A has
the right to choose from the following:
A. Decoration
of the property belongs to Party A
B. Require
Party B to return the property to original
C. Require
Party B to cover the expenses occurred for pay for the recover
expenses
3.7 During
the leasing period, Party A has right to transfer the title of the property,
this contract keeps being valid for the new party and Party B after the title
transfer
3.8 Party
B
has right to sub-lease the property wholly or partially
3.9 If
Party
A is to sell the property, it shall send written notice to Party B one month
in
advance and Party B is entitled to have the purchase priority
Article
4 Adjustment,
dissolution and termination of contract
4.1 Both
parties can adjust or terminate this contract upon the negotiation and approval
by the other party
4.2 Party
B
can terminate the contract if Party A:
A. Cannot
provide the property for usage or the condition of the property cannot meet
the
agreed terms, which seriously affected the usage of the property by Party B
B. Party
A
does not fulfill the maintenance responsibilities which seriously affected
the
usage of the property by Party B
4.3 Party
A
can withdraw the property if Party B:
A.
Change
the structure of the property without written approval by Party A
B. Party
B
damages the property and doesn’t repair within the required period
C. Change
the usage of the property without written approval by Party A
D. Use
the
property to store dangerous articles or pursue illegal activities
E. Doesn’t
pay occurred expenses for more than 3 months, which induce the losses on Party
A
4.4 If
Party
B has intension to extend the contract it shall give written notice to Party
A 1
month prior to the expiration. If Party A continuously lease the property after
contract expiration, Party B has priority of the lease under same
condition
4.5 Contract
will be automatically terminated at expiration
4.6 Contract
will be terminated under force majeure
Article
5 Compensation
5.1 Party
A
shall compensate 20% of total contract value to Party B if Party A cannot
provide the property and Party A shall reimburse Party B the related
losses
5.2 If
Party
B performs the maintenance or repair of the property under emergency or due
to
Party A’s negligence, Party A shall reimburse Party B the occurred expenses and
Party B shall provide to Party A invoices
5.3 Party
A
shall reimburse Party B 20% of total contract value if it withdraw the property
before expiration, and the compensation amount shall cover all the losses
5.4 If
the
contract is not legally binding due to Party A’s ownership issue or the leasing
the illegal, Party A shall reimburse Party B’s losses
5.5 If
Party
B delays the rental payment, Party B shall reimburse Party A the daily rental
amount per delayed day
5.6 At
the
expiration, Party B shall return the property to Party A, Party B shall pay
daily rental for each day of delayed return of property and Party B is
responsible for the losses caused
5.7 Both
parties has no responsibilities to compensate each other under Force
Majeure
5.8 The
losses caused by government’s reform or restructure order shall be excluded by
both parties
5.9 If
the
contract is terminated due to the reasons as hereinabove, the rental shall
be
calculated by the real usage
Article
6
Settlement of Disputes
Both
parties shall try to resolve any disputes based on friendly negotiations before
appealing to local jurisdiction
under where the real estate is governed.
Article
7
The
contract is in quadruplicate
with Lessor and Lessee holding two copies each.
Party
A (“Lessor”): China Construction Bank Tianjin Tariff-free Zone Branch
(Legal
Representative signature, Corporate Seal)
Party
B (“Lessee”): Tianjin Shisheng Investment Group Ltd.
(Legal
Representative signature, Corporate Seal)