Agreement of Lease

Lease of Taxicab

Agreement made on the day of , 20 , between , Inc., a corporation organized and existing under the laws of the state of , with its principal office located at (street address, city, county, state, zip code), referred to herein as Lessor, and of (street address, city, county, state, zip code), referred to herein as Lessee.

Whereas, Lessor is the owner and operator of radio equipment designed for taxicab-telephone-radio-dispatch service in , hereinafter referred to as City, and the owner of certain taxicabs equipped to conduct such telephone-radio-dispatch service, one of which taxicabs Lessor desires to lease to Lessee; and

Whereas, Lessee is licensed by the City of to operate a taxicab in City; and

Whereas, Lessee desires to lease from Lessor one of Lessor's taxicabs equipped to conduct such telephone-radio-dispatch service on the terms and conditions set forth in this agreement;

Now, therefore, for and in consideration of the matters described above, and of the mutual benefits and obligations set forth in this agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows:

I. Maintenance of Telephone Service

Lessor will maintain a telephone service for the purpose of securing calls from persons desiring transportation. Lessor will maintain a radio-dispatch service for the purpose of disseminating this information to the various lessees of its taxicabs equipped to conduct such telephone-radio-dispatch service.

II. Notification of Call

Lessor will notify the various lessees of its taxicabs equipped to conduct such telephone-radio-dispatch service of calls received from persons desiring transportation on an impartial basis in rotation or by notifying lessee of that taxicab nearest the location of the call.

III. Lease of Taxicab

Lessor will lease to Lessee one taxicab equipped to conduct such telephone-radio-dispatch service for use as a taxicab for a period of hours per day.

IV. Maintenance of Equipment

Lessor will maintain the radio-dispatch equipment in such taxicab in good operating condition and will furnish all oil and lubricants for and maintain such taxicab in good operating condition, except as against abuse or misuse by Lessee.

V. Liability of Insurance

Lessor agrees to purchase and pay the premium for a policy of liability insurance that meets the minimum requirements of the ordinances of the City.

VI. Operation by Lessee

Lessee will operate such radio-dispatch equipment and taxicab in a careful manner and in conformity with all applicable federal and state laws and city ordinances. On failure of Lessee to conform to such laws and ordinances, Lessor shall have the right to terminate this lease immediately.

VII. Payment for Damage

Lessee will pay Lessor for all damage to the radio-dispatch equipment and taxicab that is caused by Lessee's negligence or willful abuse or misuse.

VIII. Rental

Lessee will pay to Lessor a daily rental for such taxicab equipped to conduct the telephone-radio-dispatch service of % of the fares collected each day from the operation of the taxicab, but only such fares collected in excess of the cost of the fuel to operate such taxicab.

IX. Term of Lease

The term of this lease is for a period of hours per day, but this lease shall be automatically renewed for a period of hours per day from day to day under the stated terms and conditions unless one of the parties to this lease gives notice to the other party in writing that this lease shall not be so renewed.

X. Entire Agreement

This lease constitutes the only agreement between Lessor and Lessee concerning the subject matter.

XI. Control by Lessee

Except as otherwise provided in this agreement, Lessor reserves no right to direct or control Lessee in the operation of the taxicab equipped to conduct such telephone-radio-dispatch service.

XII. Relationship Between Parties

Lessor is not an employer of Lessee. Lessee is not an employee of Lessor, but is an independent contractor. The only relationship between Lessor and Lessee is that of lessor-lessee.

XIII. Unemployment Insurance

Inasmuch as the relationship between the parties is that of lessor and lessee, Lessor shall not make any remittances for unemployment insurance and Lessee shall not make any application for benefits under the (Unemployment Compensation Act of the State of ________) on the termination of this lease.

IX. Records and Tax Returns

Lessee shall keep all necessary records and file all appropriate federal, state, and local income tax returns required of other self-employed persons.

X. Mandatory Arbitration

Any dispute under this agreement shall be required to be resolved by binding arbitration of the parties hereto. If the parties cannot agree on an arbitrator, each party shall select one arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall arbitrate said dispute. The arbitration shall be governed by the rules of the American Arbitration Association then in force and effect.

XI. Severability

If any part of this lease is held to be invalid, the remaining provisions of this lease shall remain in full force and effect.

WITNESS our signatures as of the day and date first above stated.