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Exhibit 10.16
SATURN'S RENTAL AGREEMENT
By and Between:
Saturn Enterprises Inc.,
0000 Xxxxxx Xx.
Xxxxxxxx, Xxxx 00000
and
Temporary Corporate Housing Inc.,
0000 Xxxxxx Xx.
Xxxxxxxx, Xxxx 00000
WHEREAS, Saturn Enterprises Inc., is a vendor whose primary business is the
short or long term rental needs of the various Temporary Corporate Housing Inc.
operations, in this case more specifically, television sets and microwave ovens
and VCRs, and new model combination TV-VCRs and,
WHEREAS, Temporary Corporate Housing Inc., doing business in Columbus,
Cleveland, Cincinnati, Ohio, and Pittsburgh, PA, wishes to rent this type of
equipment for the benefit of its temporary housing apartments in the cities
identified above, and
WHEREAS, Saturn Enterprises, Inc., through its owners, is willing to provide
this equipment on a rental basis, and is further willing to guarantee delivery
of said equipment to all designated areas maintained by local Temporary
Corporate Housing Inc. management as Saturn storage space. Said storage spaces
shall be rented by Saturn at a monthly charge of $125.00 (one hundred and twenty
five dollars). Said charges shall be deducted from monthly invoices provided to
Temporary Corporate Housing Inc., from Saturn Enterprises, Inc.
Now, therefore, beginning of the 1st day of January, 1996, and for the following
three consecutive years the undersigned officers of the respective corporations
do hereby enter into a rental agreement with rental rates per the following
schedule:
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RENTAL PERIOD TV TV/VCR MICRO
1st Year- 1996 $.80/day $ .95/day $.60/day
2nd Year- 1997 $.85/day $1.10/day $.65/day
3rd Year- 1998 $.85/day $1.25/day $.65/day
Note: All equipment with a manufacturing date prior to 1990 will be billed at
the 1995 rates until such time that they are replaced with new equipment.
In addition to the above schedule, which is to be implemented, on the first day
of January 1996, Saturn agrees that in an effort to assist new cities colonized
by Temporary Corporate Housing Inc., to establish an economically feasible base
that the first (30) Thirty apartment units fully equipped with Saturn inventory
in the next three TCH startup operations shall be charged only 30% (Thirty
percent) of the regularly scheduled rate. Commencing with the (31st) Thirty
first apartment unit all rates for Saturn Enterprises Inc. equipment in the
newly colonized operation shall be invoiced at the standard rates set forth in
the schedule above.
Lessor shall xxxx lessee $100.00 for each remote control device necessary to
replace those originally provided with each TV or TV/VCR combination unit.
Saturn Enterprises, Inc., shall prepare Temporary Corporate Housing Inc. monthly
xxxxxxxx so that they are available for the corporate offices before the 10th of
each month following the month being billed. The terms of payment shall be "Due
Upon Receipt" but payable within 30 days. Amounts remaining unpaid after 30 days
will accrue a late charge of 1% per month.
Saturn Enterprises, Inc., shall carry both property and liability insurance at
its sole cost and expense for the protection of it's equipment at all times, and
Temporary Corporate Housing, Inc., shall carry as part of their personal injury
liability insurance policy, protection for the benefit of TCH against any bodily
injury that might occur as a result of the use of Saturn Enterprises, Inc.
equipment by staff, employees, guests, and invitees of Temporary Corporate
Housing, Inc. and shall protect the value of the equipment at all times that it
is under custody of TCH.
Saturn Enterprises, Inc. shall be responsible for the repairs and maintenance of
all of it's equipment. Lessor can xxxx lessee for damages beyond normal wear and
tear.
Saturn Enterprises, Inc. shall, within the year 1996, implement a bar code
inventory control system to be used with all Saturn equipment.
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The term of this "RENTAL AGREEMENT" shall be in full force and effect for (3)
three years. Both parties shall have the option to renew the agreement for a
second three year term at rates to be determined at the time of renewal. Notice
of desire to renew shall be given 120 days prior to the termination of this
"RENTAL AGREEMENT."
If, any one or more of the provisions contained in this lease shall for any
reason be held invalid, illegal, or unenforceable in any respect, such
invalidity shall not affect any other provision hereof and this lease shall not
be construed as if such invalid, illegal, or unenforceable provision had ever
been contained herein.
The undersigned hereby, understand, agree to, and accept all terms and
conditions of this agreement, this 28th day of December 1995.
IN WITNESS WHEREOF, the parties hereto have executed this lease the day and year
first above written.
Lessor:
Saturn Enterprises, Inc.
/s/ Xxxx Xxxxxxxx III
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Xxxx Xxxxxxxx III
Lessee:
/s/ Xxx X. Xxxxxx
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Temporary Corporate Housing, Inc.
Xxx X. Xxxxxx, Chairman
ADDENDUMS;
Saturn Enterprises shall agree to furnish a vacancy credit for each city equal
to the vacancy of units during the months of December and January of each year.
Saturn Enterprises shall not charge TCH for any VCRs currently being utilized in
the TCH General Stores.
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