LEASE
In Santiago, on January 25, 1999, the following Leasing Contract is entered into
by and between CENTROVET LTDA., National ID No. 6,510,400-6, represented by Xx.
Xxxxxxx Xxxxxx Xxxxx, Tax No. 3,683,332-7, domiciled at 2973 Blanco Encalada
Street, municipality of Santiago, who hereinafter shall be called THE LESSOR;
and TEPUAL S.A., Tax No. 89,115,400-3, represented by Xx. Xxx Xxxxxx Soubotnik,
Tax No. 4,355,394-2, domiciled at 159 General Ekdhal, municipality of Recoleta,
who hereinafter shall be called THE LESSEE, under the terms and conditions
indicated below:
FIRST: The LESSOR states that he is the owner of the property located at 0000
Xxxxxx Xxxxxxxx Xxxxxx of the municipality of Santiago, which is presently
authorized as a laboratory for veterinary pharmaceutical products.
SECOND: Through this instrument, the LESSOR gives in lease the property
indicated in point one to the LESSEE to be used exclusively in research and
production of veterinary biological products and other related operations.
The parties state that the property given in lease is not authorized by the
Farming and Cattle Service (SAG) for the production of biological products, the
obtaining of said authorization being the responsibility of the LESSEE.
Obtaining this authorization is an indispensable condition for the operation of
this contract for rental, so that the impossibility of obtaining it annuls and
abrogates the contract.
THIRD: The period of this contract shall be indefinite as of March 1, 1999.
Without prejudice to the foregoing, either of the parties can terminate this
contract, without stating just cause, by giving written notarized notice to the
other, with at least four months of advance notice. The parties may exercise
this right of terminating the lease only after the first six months of this
contract have passed.
FOURTH: The monthly rental shall be the equivalent in legal tender of UF 170.00
(Development Units) plus IVA (Tax for Added Value) with possible readjustment at
the end of each period to be agreed upon through direct negotiation of the
parties. This increment shall be applied to the value of the rent for the new
yearly period. This rent of UF 170 shall become effective from the date when the
lessee obtains the license or authorization from SAG for the preparation and
commercialization of biological products, in the real property subject of this
contract.
FIFTH: The monthly rental or payment of rental must be paid by the LESSEE to the
LESSOR in the domicile herein indicated, within the first ten days of each
month, it being established that non-payment for two consecutive months of said
rental payment or reiterated delay in payment of the monthly rent shall be
immediate cause for ending this contract.
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SIXTH: The property subject of this contract shall be delivered in perfect
condition and with full approval on the part of the LESSEE, who undertakes to
return it in the same physical condition, save for normal deterioration through
use. The LESSOR, together with the physical delivery of the property, shall also
deliver to the LESSEE an act in which is attested the state in which the
property and installations or equipment that are part of this contract are
found.
SEVENTH: The LESSEE is prohibited from using the property for purposes different
from those established in this contract, as well as to the subletting to third
parties of all or any part of the property subject of this contract, and partial
or total non-performance of this point shall be cause for immediate termination
of this contract.
EIGHTH: Any problem that may arise out of a defect of construction or hidden
defect shall be the responsibility of the LESSOR, and the maintenance of the
property and repair of damage arising from use of said property shall be the
responsibility of the LESSEE.
NINE: The LESSEE assumes the exclusive and total responsibility for the
production which he shall prepare on the leased site, before all corresponding
authorities, third parties, and others, for any problem arising out of the
production, sale and marketing of those products. For this act, the LESSOR is
free of any civil, criminal, commercial, or sanitary responsibility whatsoever,
which may originate in this sense.
TENTH: In the case of termination of this contract, the LESSEE is required to
return the property to the LESSOR within a lapse of time not greater than 15
days following the date of the period, under the conditions indicated in point
SIXTH.
ELEVENTH: The payment of any and all types of territorial taxes imposed on the
property are for the account of the LESSOR, as well as are the municipal taxes
created and to be created that are imposed directly on the property in
reference.
TWELFTH: For any difficulty which might arise from the interpretation and/or
obligations this contract imposes, the parties in common accord agree to submit
to the rulings of the competent Courts of Justice.
THIRTEENTH: For all effect, the parties set their domicile in the city of
Xxxxxxxx.
(signed) (signed)
Xx. Xxxxxxx Xxxxxx K. Xx. Xxx Xxxxxx S.
CENTROVET LTDA. TEPUAL S.A.
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