Lease Agreement for Factory Building and Dormitory
Exhibit
10.16
Lease
Agreement for Factory Building and Dormitory
Lessor
(hereinafter referred to as Party A)
Fuyong
Town Qiaotou Economic Development Co
Lessee
(hereinafter referred to as Party B)
Shenzhen
Ritar Power Co., Ltd.
In
accordance with Regulations of Shenzhen Special Economic Zone on Lease of Houses
and the Implement Rules of it, Party A and Party B have reached the following
Agreement through friendly negotiations.
| 1. |
Party
B shall guarantee to use the leased premises in accordance with relevant
Chinese laws, decrees and pertinent rules and regulations during the
lease
term.
|
| 2. |
Party
A will lease to Party B the Factory Building 9 (with area of 6,100
square
meters) and Dormitory Building 6 (with area of 2,160 square meters)
located at Fuqiao Second Industrial Zone, Qiaotou Village, Fuyong Town,
Bao’an District, Shenzhen.
|
| 3. |
The
lease term will be five years from 15 May 2002 to 30 April 2007.
|
| 4. |
The
rental will be RMB 87,480 Yuan monthly (RMB10.08 Yuan per square
meter).
|
Party
B
shall pay the rent to Party A before the end of each month.
| 5. |
Before
the lease commences, Party A grants Party B a 90 day period during
which
Party B may decorate the premise. The lease term is deemed to commence
from August 15, 2002.
|
| 6. |
Party
B shall render security deposit at the
amount of one
month rent (RMB 87,480) and shall render the payment of the first month
(RMB 87,480) within three days after the lease is executed.
|
| 7. |
Party
A shall insure the utility systems including the plumbing and electricity
are in good working conditions. Party A shall equip each building with
a
100KVA transformer and two elevators. Party B is responsible for any
addition on the transformer.
|
| 8. |
Party
A has the liability to guarantee security of the house and its facilities
in accordance with the relevant laws, regulations and policies. Party
A is
responsible for maintaining the main supporting structure of the building.
Party B is responsible for damages caused by overloading which exceeds
the
maximum supporting capability (700 kilogram per square meter) of the
floors.
|
| 9. |
Party
A shall designate a manager to facilitate the use of the premises at
the
expense of Party B. The salary for such manager shall be RMB 2,000
per
month.
|
| 10. |
Party
B is responsible for management fees regarding the security, sanitary
control, water system and staff expense at the amount of RMB 1,500
per
month per building.
|
| 11. |
During
the term of the lease, Party B is responsible for operational expense,
and
Party A is responsible for lease tax.
|
| 12. |
Both
Party shall not breach the lease for any reason. The breaching party
shall
reimburse the non-breaching party all the damages incurred by the breach.
If Party B intends to terminate the lease for the reason that the Party
B
is economically depressed, Party B shall notify Party A with written
notice 3 months before the lease is to be terminated, and resolve such
issues through negotiations.
|
| 13. |
Any
issue not covered by this lease agreement can be addressed by supplements
by both parties.
|
| 14. |
There
are two originals of this Lease Contract. Each party shall keep one
original and each original copy bears equivalent legal effect.
|
| 15. |
This
Contract would come into effect in the sighed
day.
|
Party
A
Fuyong
Town Qiaotou Economic Development Co.
(Corporate
Seal)
Party
B
Shenzhen
Ritar Power Co., Ltd
(Corporate
Seal)
By:
/s/▇▇▇▇▇▇▇
▇▇▇▇
Name:
▇▇▇▇▇▇▇ ▇▇▇▇
Date:
March 18, 2002