EXHIBIT 10.8
RENTAL AGREEMENT
THIS RENTAL AGREEMENT is executed at Garden Grove California this 5th day of
November, 2003, by and between CORNING GARDEN GROVE L.L.C. and Xtreme Companies,
Inc. (hereinafter referred to as "Tenant")
..
1. DESCRIPTION OF PREMISES: Landlord hereby rents to Tenant, and hereby
hires from Landlord on the terms, covenants, and conditions set forth herein,
those premises described as unit #18, (hereinafter referred to as the
"Premises"), which is approximately 2650 square feet, and is commonly known as
00000 Xxxxxxx Xxx., Xxxx #00, Xxxxxxx, Xx 00000.
2. TERM: The term shall commence on November 5, 2003 and shall continue
from month to month. Either party may terminate this rental agreement at any
time by giving written notice thirty (30) days in advance.
3. RENT: Tenant agrees to pay $1595.00 per month, payable in advance on the
1st day of each month and $ -0- representing prorated rent from the date of
possession. First rental payment due on or before 12/1/03.
4. SECURITY DEPOSIT: $3500.00 as security deposit has been deposited.
Landlord may use therefrom such amounts as are reasonably necessary to remedy
Tenant's default in the payment of rent, to repair damages caused by the tenant,
and to clean the Premises if necessary upon termination of tenancy. If used
towards rent or damages during the term of tenancy, Tenant agrees to reinstate
said total security deposit upon five (5) days written notice delivered to
Tenant in person or by mailing. Security deposit, or balance thereof, if any,
shall be mailed to Tenant at last known address within 14 days surrender of
Premises. Tenant shall not be entitled to interest on the security deposit.
5. LATE CHARGE: Tenant agrees to pay as additional rent, a late charge of
6% of any rental payment which is delinquent for more than three (3) days. An
additional charge of twenty-five ($25.00) will be added to each returned NSF
checks for the bank to the management. If check was automatically re-deposited
by owner's bank that check too will incur a $25.00 NSF fee charge. Example: If
check is re-deposited for NSF funds and clears a $25.00 fee will be charged. If
same check is returned again after automatic re-deposit then it will receive
another $25.00 check charge totaling in the amount owed the owner $50.00 in
fees.
6. UTILITIES: Tenant shall pay for all power, heat, light, telephone
service, and all other service metered to the Premises. Landlord further
reserves the right to install separate meters for any public utility servicing
the Premises for which a meter is not presently installed, in which event Tenant
shall make payments when due directly to the public utility involved. Water
charges in excess of $20.00 per month will be added to rental fee.
7. USE OF PREMISES: The Premises may be used and occupied only for assembly
of parts onto boats for no other purpose or purposes without Landlord's consent.
Tenant shall promptly comply with all laws, ordinances, and regulations
affecting the Premises and their cleanliness, safety, occupation, and use.
Tenant shall not do or permit anything to be done in or about the Premises, or
bring or keep anything in the Premises that will in any way increase the fire
insurance upon the building. Tenant will not perform any act or carry on any
practice that may injure the building or be a nuisance or menace to tenants of
adjoining premises.
Page 1
8. REPAIRS: Tenant shall, at its sole cost, keep and maintain the Premises
and appurtenances and every part thereof (excepting exterior walls and roofs
which Landlord agrees to repair), including windows and skylights, any store
front and the interior of the Premises, in good and sanitary order, condition,
and repair. Tenant shall, at its sole cost and expense, keep and maintain all
utilities, fixtures, and mechanical equipment used by Tenant in good order,
condition and repair. In the case of equipment installed by landlord for
Tenant, where Tenant is responsible for maintenance of the equipment, such
maintenance will be provided by a reputable maintenance service company
acceptable to landlord at Tenant's expense. Evidence of such a service contract
will be provided to landlord at its request.
9. ALTERNATIONS, MECHANICS' LIENS:
(A) ALTERATIONS MAY NOT be made to the Premises without the PRIOR WRITTEN
consent of Landlord and any alterations of the Premises excepting movable
furniture and trade fixtures shall Landlord's options become part of the realty
and belong to Landlord. INCLUSIVE IS ANY AND ALL ELECTRICAL UPGRADES AND
INSTALLATIONS. ALL ALTERATIONS MUST BE UP TO CITY CODE STANDARDS. ALL
ALTERATIONS ARE TO BE DONE BY LANDLORD'S APPROVED LICENSED CONTRACTORS.
However, this or other trade equipment in conformance with the ordinances of the
city and county, and the same may be removed upon the termination of this
Agreement, provided Tenant shall not be in default under the terms and
conditions of this Agreement, and the Premises are not damaged by removal.
Tenant shall return the Premises on the termination of this Agreement in the
same condition as when rented to Tenant, reasonable wear and tear excepted.
(b) Tenant shall keep the Premises, the building and the property in which
the Premises are situated free from any liens arising out of any work performed
for, materials furnished to, or obligations incurred by Tenant. Tenant shall
not commit any nuisance or other act or thing which may disturb the quiet
enjoyment of any other tenant in the Building.
10. LIABILITY INSURNACE: Tenant, at its own expense, shall provide and keep in
force with companies acceptable to Landlord public liability insurance for the
benefit of Landlord and Tenant jointly against liability for bodily injury and
property damage in the amount of not less than Two Hundred Fifty Thousand
Dollars ($250,000.00) in respect to injuries to or death of any one person and
in the amount of not less than any one occurrence, and in the amount of not less
than Five Hundred Thousand Dollars ($500,000.00) in respect to or death of more
than any one occurrence, and in the amount of not less than Two Hundred Fifty
Thousand ($250,000.00) per occurrence, in respect to damage to property. TENANT
SHALL FURNISH LANDLORD WITH A CERTIFICATE OF SUCH POLICY and whenever required,
shall satisfy Landlord that such a policy is in full force and effect. Such
policy shall name Landlord as an additional insured and shall be primary and
non-contributing with any insurance carrier by landlord. The policy shall
further provide that it shall not be cancelled or altered without twenty (20)
days prior written notice to Landlord.
11. FIRE INSURANCE: No use shall be made or permitted to be made on the
Premises, which will increase the existing rate of insurance upon the Building
or cause the cancellation of any insurance policy covering the Building, or any
part thereof, nor shall Tenant Sell, or permit to be kept, used or used or sold,
in or about the Premises, any articles which may be prohibited by the standard
form of fire insurance policies. Tenant shall, at its sole cost and expense,
comply with any and all requirements, pertaining to the Premises, of any
insurance organization or company, necessary for the maintenance of reasonable
fire and public liability insurance, covering the Premises and/or Building.
Tenant agrees to pay landlord as additional rent, any increase in premiums on
policies which may be carried by landlord on the Premises covering damage to the
Building and loss of rent caused by fire and the perils normally included in
extended coverage above the rate for the least hazardous type of occupancy for
industrial warehousing, office, and distribution operation.
Page 2
12. WAIVER OF CLAIMS: Tenant hereby waives all claims against Landlord for
damages of goods, wares, and merchandise in, upon or about the Premises and for
injury to Tenant, its agents, employees, invitees, or third persons in or about
the Premises from any cause arising at any time.
13. INDEMNIFICATION BY TENANT:
(A) The Landlord shall not be liable, or suffer loss by reason of injury to
person or property, from whatever cause, all or in any way connected with the
condition or use of the Premises or the improvements of personal property
therein or thereon, including without limitation any liability for injury to the
person or property of tenant or any employee or agent. Tenant shall indemnify
Landlord and hold it harmless from any and all liability, loss, cost, or
obligation on account of, or arising out of, any such injury or loss, however
occurring.
(B) In case any action, suit, or proceeding is brought against Landlord by
reason of any such occurrence, Tenant, upon Landlord's request, will at Tenant's
expense resist and defend such action, suit or proceeding, or cause the same to
be resisted and defended by counsel designated by Tenant and approved by
Landlord. The obligations of Tenant under this section arising by reason of any
occurrence taking place during the term of this Agreement shall survive any
termination of this Agreement.
14, AUCTIONS, SIGNS, LANDSCAPING:
(A) Tenant shall not conduct or permit to be conducted and sale by auction
on the Premises.
(B) Tenant shall place not exterior signs on the Premises without the prior
written consent of Landlord. Landlord shall have the right to approve the
placing of signs and the size and quality of the same.
(C) Tenant shall make not alterations or additions to the Premises,
Building, or landscaping without the prior written consent of the Landlord.
15. ENTRY BY LANDLORD: Tenant shall permit Landlord or Landlord's agents to
enter the Premises at all reasonable times for the purpose of inspecting the
same or for the purpose of making repairs, alterations, or additions to any
portion of the Building, including the erection and maintenance of such
scaffolding, canopies, fences, and props as may be required, or for the purpose
of posting notices of non-responsibility for alterations, additions, or repairs,
or for the purposes of placing upon the building any usual or ordinary, "for
sale" signs, without any rebate of rent and without any liability to Tenant for
any loss of occupation or quiet enjoyment of the Premises thereby occasioned.
16. ASSIGNMENT AND SUBLETTING: Tenant shall not let or sublet all or any
part of the Premises nor assign this Agreement or any interest in it without the
prior written consent of Landlord.
17. ABANDONMENT: Tenant shall not vacate nor abandon the Premises at any
time during the term of this Agreement, nor permit the Premises to remain
unoccupied for a period longer than ten (10) consecutive days during the term.
If Tenant shall abandon, vacate, or surrender the Premises or be dispossessed by
Process of law, or otherwise, any personal property belonging to Tenant and left
on the Premises shall, at the option of the Landlord be deemed abandoned.
18. PERSONAL PROPERTY TAXES: Tenant shall pay before delinquency any and
all taxes, assessments, license fees, and public charges levied, assessed or
imposed and which become payable during the term of this Agreement upon Tenants
fixtures, furniture, appliances, and personal installed or located in the
Premises.
Page 3
19. ATTORNEY'S FEES: If any legal action or proceeding be brought by either
party to enforce any part of this Agreement, the prevailing party shall recover
in addition to all other relief, reasonable attorney's fees and costs. Should
it be necessary for Landlord to employ legal counsel to enforce any of the
provisions herein contained, Tenant agrees to pay as additional rent all
attorneys' fees and court costs reasonably incurred thereby.
20. NOTICES: Except as otherwise expressly provided by law, any and all notices
or other communications required or permitted by this Agreement or by law to be
served on or given to either party hereto by the other party shall be in writing
and shall be deemed duly served and given when personally delivered to the
party, Landlord or Tenant, to whom it is directed, or any managing employee or
such party or, in lieu of such personal service, when deposited in the United
States mail, first class postage prepaid, addressed as follows:
LANDLORD: CORNING GARDEN GROVE L.L.C.
00000 XXXXXXX XXX., #X
XXXXXXX, XX. 00000
TENANT: XXXXX XXXX
XTREME COMPANIES, INC.
00000 XXXXXXX XXX., #00
XXXXXXX, XX. 00000
EITHER PARTY, LANDLORD OR TENANT, MAY CHANGE ITS ADDRESS FOR PURPOSES OF THE
PARAGRAPH BY GIVING WRITTEN NOTICE OF CHANGE TO THE OTHER PARTY IN THE MANNER
PROVIDED IN THIS PARAGRAPH.
21. WAIVER: The waiver of any breach of any of the provisions of this
Agreement by Landlord shall not constitute a continuing waiver of any subsequent
breach by Tenant either of the same or of another provision of this Agreement.
22. TIME OF ESSENCE: Time is expressly declared to be the essence of the
Agreement.
23. SOLE AND ONLY AGREEMENT: This instrument constitutes the sole and only
agreement between Landlord and Tenant respecting the Premises and correctly sets
forth the obligations of Landlord and Tenant to each other as of this date. Any
agreements or representations respecting the Premises not expressly set forth in
this instrument are null and void.
24. SPECIAL LEASE PROVISIONS: Special provisions of this Agreement number
__ through __ are attached hereto and are made a part hereof. If none, so state
in the following space none_______.
LANDLORD:
CORNING GARDEN XXXX L.L.C.
BY: /s/ Xxxx X. Xxxxxxxx
XXXX X. XXXXXXXX
AGENT
TENANT:
BY:/s/ Xxxxx Xxxx
SIGNATURE
XXXXX XXXX
CEO
XTREME COMPANIES, INC.
000 XXXXXX XXX.
XXXX XXXXX, XX. 00000
LIC #A1062117
FED I.D. #: 00-0000000
CELL PH.#: 562/000-0000
