LEASE OF COMMERCIAL PROPERTY
1. PARTIES:
Xxxxxxx Xxxxx (hereinafter call Lessor) hereby leases to Oil
Stop, Inc. (hereinafter called Lessee) annexed hereto the following
described premises:
2. PREMISES:
11,000 Square feet of warehouse space at 0000 Xxxxxx Xxxx,
Xxxxxx, Xxxxxxxxx 00000.
3. TERM:
This lease is for a term of one (1) year commencing on the 1st.
day of January, 1998.
4. RENT:
This lease is made for and in consideration of a monthly rental
of Two Thousand and no/100 ($2,000.00) Dollars, payable monthly in
advance, paid on the first day of each month.
5. USE OF PREMISES:
The premises herein leased are to be used for the purpose of
providing industrial sales, supplies or services. Lessee is obligated
not to use the premises for any purpose that is unlawful or that tends
to injure or depreciate the property.
6. CONDITION AND MAINTENANCE:
Lessee hereby accepts all of the improvements on the leased
premises in their condition at the time of commencement of this lease
and Lessee agrees to keep them in the same order as received during
the term of this lease. The care, maintenance and repairs of the
leased premises including but not limited to the entire building
(interior and exterior), its locks, keys, drains, roof, slab, plumbing
(even when injured by freeze), plate glass, rail and switch systems,
septic tanks, and field stream, and signs are assumed by Lessee. The
Lessee agrees to pay all bills for utilities, including water,
sprinkler service, electricity, gas and other service and to comply,
at Lessee's expense, with all ordinances and laws, now existing or to
be enacted, and at the termination of cancellation of this lease to
return the premises broom clean and free from trash, and in like good
order as received by actual delivery of the keys to Lessor or Agent,
the usual decay, wear and tear excepted. The provisions of this
paragraph shall also apply to thereof, which is accepted in its
present condition.
7. INSURANCE:
Lessee hereby assumes all liability for personal injury and/or
property damage arising on the premises and agrees to hold Lessor
harmless from any and all claims, demands, damages, costs and causes
of action for personal injury and/or property damages arising on the
premises. Lessee shall maintain at least $500,000 bodily injury and
property damage liability insurance (C.S.L.), with Xxxxxxx Xxxxx being
included as an additional insured. Lessor shall be furnished with a
certificate of insurance with a thirty (30) day notice of cancellation
or material change coverage. Lessor in his sole judgment shall
determine the insurable value of the building and improvements on the
leased premises and Lessor shall maintain flood, fire, lightning and
extended coverage insurance for said amount providing such insurance
can be procured; and Lessee shall pay to Lessor, as additional rental,
the actual amount of the yearly premium on said insurance provided
however, that Lessee shall be obligated to put nothing on the leased
premises which would forfeit the insurance, should the Lessee's
occupation or business render the Lessor unable to secure proper
insurance, should the Lessee's occupation or business render the
Lessor unable to secure proper insurance, should the Lessee's
occupation or business render the Lessor unable to secure proper
insurance, then Lessee hereby grants to Lessor the option of canceling
this lease, Lessee waiving all delays and agreeing to surrender
possession at once if notified by Lessor to do so. Lessee shall be
further obligated to notify Lessor, in writing, anytime the leased
premises will be unoccupied, so that necessary vacancy permits may be
obtained from Lessor's insurers and failure to comply with this
provision shall make Lessee liable for any loss or damage sustained by
Lessor.
Nothing herein shall prevent Lessee from obtaining additional
insurance for the benefit of Lessee upon improvements or contents on
or in the leased premises.
If the improvements on the leased premises are lost or damaged by
fire or other casualty and such loss or damages may be repaired or
replaced within one hundred twenty (120) days from date of such fire
or casualty, Lessor shall have he option to either repair or replace
the improvements at its costs or to notify Lessee, in writing, within
thirty (30) days from the sate of such loss or damage that it will not
undertake to repair or replace such loss or damage. Should Lessor
refuse to make said repairs or replacements Lessee shall, at its
option, have the right to cause such loss or damage to be repaired or
replaced within one hundred twenty (120) days from date of loss or
damage, at Lessee's expense; provided however, upon completion of said
repair or replacement, Lessee shall certify to Lessor that all items
of repair or replacement have been completed and the total cost
hereof, and within ten (10) days of receipt of such certification,
Lessor shall remit to Lessee either (a) the proceeds received by
Lessor from the policy or policies of insurance covering said
improvements or (b) the cost of such repair or replacement, whichever
is less.
If neither Lessor nor Lessee undertakes such repair or
replacement this lease shall terminate as of the date of said loss or
damage.
Should either Lessor or Lessee undertake the repair or the
replacement of improvements under this lease, such repair or
replacement shall return the premises to as nearly like their
condition prior to such damage as shall be practical unless the
parties agree otherwise in writing.
If Lessor undertakes such repair or replacement, Lessee shall be
entitled only to a reduction or remission of rent that shall be just
and proportionate. If Lessee undertakes such repair or replacement,
the Lessee shall be entitled only to a reduction or remission of rent
that shall be just and proportionate but in no event to exceed the
rental that would be due under this lease for a period on one hundred
twenty (120) days.
8. TAXES:
For every year (or part of year) that this lease is in effect,
Lessee agrees to pay as additional rental, all taxes on both the land
and improvements lease herein and on nay improvements placed upon the
premises by either Lessee or Lessor during the life of this lease,
including all ad valorem taxes and ad valorem assessments and, in
addition, the installment amount including principle and interest, for
each lease year of all assessments now existing or hereafter assessed
against the lease land on an acreage, front footage, or other than ad
valorem basis. All such additional rental shall be paid by Lessee to
Lessor within thirty (30) days after notice from Lessor to Lessee that
the taxes are due. It is distinctly understood and agreed that Lessor
shall have the right to join with others in requesting improvements on
or adjacent to the leased premises to be paid for on an assessment
basis and the fact that Lessor so joins in such request shall not in
any manner relieve Lessee of the obligations with respect to payment
of the amount of all assessments hereafter assessed against the leased
land on an acreage, front footage, or other than ad valorem basis.
9. PUBLIC TAKING:
Should any portion of the premises leased herein, either land or
improvement, be taken or condemned by any public authority or other
authorities, government or private, having the power to condemn or
exercise the power of expropriation or eminent domain, for use as a
street or highway, pipeline, by a utility, or otherwise, Lessee shall
not be entitled to any diminution of rent or any damages from Lessor,
but Lessee shall look solely to such public authority for any damage
or inconvenience Lessee may suffer thereby. Provided that if the
premises and improvements thereon be so altered or destroyed by such
condemnation or taking as to render it totally unfit for the purpose
of Lessee as herein provided, then this lease shall terminate and both
Lessee and Lessor shall be relieved of all further obligations
hereunder.
10. NOTICE:
Any notices, demands or citations under this lease are to be in
writing and addressed as follows:
To Lessor - Xxxxxxx Xxxxx
000 Xxxxx Xxxxxx
Xxxxxx, XX 00000-0000
11. SIGNS OR DECORATIONS:
Lessee is obligated not to display in, or above the leased
premises any sign or decoration, the nature of which, in the judgment
of Lessor is dangerous, unsightly or detrimental to the property.
Lessee is prohibited from painting any signs on the lease property
without the written consent of Lessor, and Lessee is obligated to
promptly remove at or before the expiration of this lease, any and all
signs painted or place in or upon any part of the leased premises, to
Lessor's satisfaction and Lessee is obligated to pay the cost of said
removal, plus agent's or attorney's fees, in event of failure to carry
out this obligation.
Lessor also reserves the right to keep posted on the premises
signs "For Sale" or "By Auction" at any time during the term of this
lease and also cards "For Rent" during the one hundred twenty (120)
days preceding the expiration of this lease; and Lessee must allow
parties authorized by Lessor or agent to visit the premises in view of
buying during the term of this lease and in view of renting for one
hundred twenty (120) days prior to expiration, from 10 a.m. to 5 p.m.
12. RESPONSIBILITY FOR DAMAGES:
Lessee assumes responsibility for the condition of the premises
and Lessor will not be responsible for damage caused by defects in the
sprinkler system, by leaks in the roof, by bursting of pipes by
freezing or otherwise, or by any vices or defects of the leased
property, or the consequences thereof, except in the case of positive
neglect or failure to take action toward the remedying of such defects
as are required by the lease to be remedied by Lessor within
reasonable time after having received written notice from Lessee of
such defects and the damage caused thereby. Should Lessee fail to
promptly so notify Lessor, in writing, of any such defects, Lessee
will become responsible for any damage resulting to Lessor or other
parties.
13. VACATING PREMISES:
In the event of the Lessee being absent from the premises, Lessor
or his agent shall be notified in writing where keys may be had in
order that the premises may be shown to prospective tenants or
purchasers. In case of the failure of the Lessee to comply with the
foregoing conditions, or should Lessee not permit the posting of signs
or allow prospective tenants or purchasers to inspect the property, as
provided herein, Lessor has the option to consider this lease renewed
for one year under the same terms and conditions, or may hold Lessee
responsible for damages, and Lessor or agent has the further option to
enter the premises by any means, without responsibility to Lessee for
any loss or damage resulting there from.
Should the premises be vacated or abandoned by Lessee because of
ejectment for breach hereof, or otherwise, or should the Lessee begin
to remove personal property or goods to the prejudice of the Lessor's
lien, then the rent for the unexpired term with Attorney's fees, shall
at once become due and eligible, and Lessor, at his option, has the
right to cancel the lease, or re-enter and let said premises for such
price and on such terms as may be immediately obtainable and apply the
net amount realized to the payment of the rent.
14. SURRENDER OF PREMISES:
At the expiration of this lease, or its termination for other
causes, Lessee is obligated to immediately surrender possession, and
should Lessee fail to do so, he consents to pay any and all damages,
but in no case less than five (5) times the rent per day, with
attorney's fees, costs, etc. Lessee also expressly waives any notice
to vacate the expiration or termination of these lease and all legal
delays, and hereby confesses judgment with costs placing Lessor in
possession to be executed at once. Should Lessor allow or permit
Lessee to remain in the leased premises after the expiration or
termination of this lease, this shall not be construed as a
reconduction of this lease, the lease shall continue in effect but on
a month to month basis. In the event of any such month to month
continuance the rent may be changed or the lease terminated upon
thirty (30) days prior written notice. The time of this lease shall
not be reconducted but all other conditions thereof shall continue to
govern on a month to month basis.
15. SUB-LEASE:
Lessee shall not be permitted to mortgage its lease hold interest
or any improvements upon the lease premise, to assign this lease, to
rent or sub-let or grant use or the possession of the premises to any
other party, without the written consent of the Lessor, and then only
in accordance with the terms of this lease. Should Lessee desire to
sub-let, permission must be obtained in writing through Lessor or
Agent and such sub-lease shall be handled by Lessor's agent at expense
of Lessee.
No auction sales, or any sales of furniture, fixtures, etc.,
shall be conducted on the premises without the written consent of the
Lessor or Agent.
16. NON-PAYMENT OF RENT, ETC.:
Should the Lessee at anytime violate any of the conditions of
this lease, or discontinue the use of the premises for the purposes
for which they are rented, or fail to pay the rent, water xxxx, or
other expenses assumed under this lease, punctually at maturity, as
stipulated; or upon the adjudication of Lessee in bankruptcy, the
appointment of a receiver for Lessee, or the filing of a bankruptcy,
receivership or respite petition by the Lessee, or upon Lessee's
suspension, failure or insolvency; and should such violation continue
for a period of ten (10) days after written notice has been given
Lessee, then, at the option of the Lessor, the rent for the whole
unexpired term of this lease shall at once come due and eligible; and
Lessor shall have the further option to at once demand the entire rent
for the whole term, or to immediately cancel this lease, or to proceed
for past due installments only, serving the right to later proceed for
the remaining installments, all without putting Lessee in default,
Lessee to remain responsible for all damages or losses suffered by
Lessor, Lessee hereby assenting thereto and expressly waiving the
legal notices to vacate the premise. Should an agent or attorney be
employed to give special attention to the enforcement or protection of
any claim or Lessor arising from this lease, Lessee shall pay, as fees
and compensation to such Agent or Attorney an addition sum of ten
(10%) percent of the amount of such claim, the minimum fee, however,
to be $100.00, or if the claim be not for money, then such sum as well
constitute a reasonable fee, together with all costs, charges and
expenses.
Failure to strictly and promptly enforce these conditions shall
not operate as a waiver of Lessor's rights, Lessor expressly reserving
the right to always enforce prompt payment of rent, or to cancel this
lease, regardless of any indulgences or extensions previously granted.
The receiving by Lessor, or Lessor's representative of any rent in
arrears, or after notice of institution of any suit for possession, or
for cancellation of this lease, will not be considered as a waiver of
such notice of suit, or of any of the rights of Lessor.
17. ADDITIONAL IMPROVEMENTS:
Lessee is obligated not to make any additions or alterations
whatever to the premises without Lessor's written approval. All
additions, alterations or improvements made by Lessee with or without
consent of Lessor, no matter how attached must remain the property of
Lessor, unless otherwise stipulated herein, Lessor expressly waives
all rights to compensation therefore. The Lessor, at his option, may
require the building to be replaced in its original condition. Lessor
or agent or workmen shall have the right to enter the premises at any
time for the purpose of making repairs necessary for the preservation
of the property.
18. NUISANCES:
Lessee agrees not to use the leased premises for, or to carry on
or permit upon said premises any offensive or dangerous trade,
business or occupation or any nuisance, including but not limited to
offensive odors, dust or smoke; and Lessee shall not commit, or suffer
to be committed, any waste upon the premises.
19. RENOVATIONS:
Lessee agrees to reimburse Lessor for all materials necessary to
construct dividing wall running entire length of workshop. Lessor
will provide labor to erect this wall. Lessee will be responsible for
all costs assumed with necessary electrical service to suit his own
electrical requirements.
IN WITNESS WHEREOF the parties hereunto affixed their signatures
at of this 2nd day of January, 1997.
XXXXXXX XXXXX: WITNESS:
BY: /s/ Xxxxxxx Xxxxx /s/ Xxxxx Butlon
XXXXXXX XXXXX
OIL STOP, INC.: WITNESS:
BY: /s/ Xxxxxxx Xxxxx /s/ Xxxxx Butlon
President
