Fill and Sign the Personal Property Lease Agreement Form

Personal Property Lease Lease Agreement made on the ___ day of __________, 20___, between _____________________ of __________________________________________ (street address, city, county, state, zip code) , referred to herein as Lessee, and _____________________, 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. I. Property Leased Lessor leases to Lessee, and Lessee leases from Lessor, the personal property described, and the value of which is specified, in Exhibit A, attached to and made a part of this Agreement. II. The term of this Lease shall be for a period commencing on __________________ (date), and ending on __________________ (date), or as set forth in Exhibit A attached to this Agreement . III. Rent Lessee agrees to pay Lessor, as rent for the property, $_________per (e.g., week, month or year) , such rental to be paid on or before the first day of each __________________ (e.g., week, month or year). Rent unpaid when due shall bear interest at the rate of _____% per year. IV. Security Agreement On the execution of this Agreement, Lessee shall deposit $________ with Lessor as security for the faithful performance by Lessee of its obligations under this Agreement. Such amount shall not bear any interest. The security deposit may be applied by Lessor to pay any indebtedness of Lessee under this Agreement by giving written notice to Lessee. On such notification, Lessee, within _____days, shall restore the security deposit to the full original amount. Any portion of the deposit that has not been so applied by Lessor shall be returned to Lessee at the termination of this Lease. V. Ownership of Property Lessor warrants that the property leased under this Agreement is Lessor's sole and exclusive property. Lessee shall have no right or interest in such property except as expressly set forth in this Agreement. VI. Identification Marks on Property The property leased under this Agreement shall be identified or marked by Lessor with appropriate labels, plates, or other markings stating that the property is owned by Lessor and identifying the property with specific numbers. Lessee, without Lessor's prior consent, shall not remove any such identifying markings. VII. Lessor’s Right to Inspect Lessor shall have the right at any time during normal business hours to enter on the premises where the leased property is located for the purpose of inspecting it or observing its use, maintenance, and operation. VIII. Lessee’s Inspection and Acceptance Lessee acknowledges that he has inspected every item of property delivered pursuant to this Lease, that they are in good condition, and that Lessee has accepted such property in good condition. IX. Return of Property On the expiration or termination of this Lease, Lessee agrees to return to Lessor at Lessee's own expense the property leased, in as good a condition as it was when delivered to Lessee, ordinary wear and tear resulting from proper use alone excepted, and free from all liens and encumbrances, to ____________________________________ (street address, city, county, state, zip code), or to such other place as Lessor may designate, provided that such designated place does not increase the cost of return. X. Warranties Lessor does not make any warranties, express or implied, nor shall any warranties arise by operation of law, as to the property leased, including fitness for any particular use, merchantability, design, capacity, or performance. Warranties made by the seller or manufacturer of the leased property are assigned by Lessor to Lessee. In the event of any claim concerning the repair or use of the property leased or any other claim concerning the property, regardless of cause or consequence, Lessee's only remedy, if any, shall be against the seller or manufacturer of the property. No defect, regardless of the cause or consequence, shall relieve Lessee from performing its obligations under this Agreement, including the payment of rentals. XI. Status of Property as Personalty The property leased under this Agreement is, and will at all times remain, personal property, notwithstanding that such property or any part may now be, or may become, attached to, or permanently rest on, real property. XII. Use, Care, and Operation of Property Lessee shall use the property in a careful and proper manner, and shall comply with all laws and regulations prescribed by governmental authority and with the seller's or manufacturer's instructions relating to the possession, use, maintenance, repair, and operation of the property. The cost of maintenance and repair shall be the sole responsibility of Lessee without right of reimbursement from Lessor. All replacement parts, additions, and accessories to any of the property shall become a part of the property, and shall likewise be the property of Lessor. Lessee shall provide for the registration and licensing of any property leased, whenever required. Lessee shall permit the property to be used only by competent and qualified personnel. XIII. Alterations Lessee shall not make any alterations, additions, or improvements to the property leased without the prior written consent of Lessor. All such additions and improvements shall immediately become the property of Lessor and subject to the terms of this Lease. XIV. Loss or Damage A. Lessee assumes all risks of loss of or damage to the leased property from any cause. No loss of or damage to the property shall impair any obligation of Lessee under this Lease, including the payment of rentals, and all such obligations shall continue in full force and effect until otherwise discharged. B. In the event of loss of or damage to the leased property, the following shall apply: 1. If, in Lessor's judgment, the property is properly and permanently lost or damaged beyond repair so as to be unusable for the purpose for which the property is intended, and if Lessor is indemnified to the extent of the agreed insurable value specified in the attached Exhibit A for that particular item of property, the Lease shall terminate with respect to such property. If the property is not insured, or the insurance is not collectible, or the property is lost or destroyed by a peril not insured against, then, at the option of Lessor, Lessee shall either replace the property with like property in good condition, which property shall become the property of Lessor and subject to this Lease, or pay Lessor the agreed on insurance valuation of the property as specified in the attached schedule, and on payment, Lessee shall become the owner of such property, and the Lease with respect to such property shall be terminated. 2. In the event the loss or damage to any of the leased property is capable of being replaced or repaired, and if Lessor shall be indemnified in an amount less than the agreed on insurance valuation specified in the attached schedule, Lessor shall have the option of repairing or replacing the property at Lessee's cost, and the proceeds of any insurance recovered, including the portion applicable to Lessor's interest, shall be applied in paying for the costs of repair or replacement. If no insurance is maintained by Lessee , or if such insurance is uncollectible, or if the damage or loss is caused by a peril not insured against, Lessee shall be responsible for the costs of repair or replacement. This Lease shall continue uninterrupted after such loss or destruction until the Lease is otherwise terminated. C. Lessee shall notify Lessor in writing within ____days of the occurrence of any loss or damage to the leased property, and shall cooperate fully with Lessor and the insurance company in the investigation and processing of all claims, and in the recovery of damages from third persons who are or might be liable. XV. Personal Injuries or Death Liability and responsibility for personal injuries or death of any person in connection with the use, operation, or transportation of the leased property shall be born by Lessee, and Lessee shall indemnify Lessor against all such liability. XVI. Insurance Lessee shall obtain and maintain at all times during the term of this Lease, at Lessee's sole expense, fire, vandalism, malicious mischief, burglary, and theft insurance in an amount not less than the agreed on insurance valuation as specified in the attached schedule. Lessee shall cause Lessor to be named as an additional insured, to the extent of Lessor's interest in the property. Such insurance shall be indorsed to constitute primary insurance with respect to any other insurance that Lessor may have covering such property. If Lessee fails to pay the premiums of the insurance policies when due, Lessor may, but is under no obligation to, pay the premiums. Lessee shall within ___days from notice that Lessor has paid the premiums, reimburse Lessor for such payment. If Lessee fails to reimburse Lessor for such premiums within the period provided, the amount of unreimbursed premiums shall bear interest at _____% per year. XVII. Taxes and Fees Lessee shall pay all taxes, assessments, licenses, and registration fees that may now or later be imposed on the ownership, leasing, possession, or use of the leased property. Lessee shall furnish Lessor satisfactory proof that such payment has been made before such taxes, assessments, license and registration fees become delinquent. If Lessee fails to pay the charges before the delinquency date, Lessor may, but is not obligated to, pay them. Lessee shall reimburse Lessor for any such payment within days from written notice of payment from Lessor. Any such amounts that remain unreimbursed shall bear interest at the rate of _____% per year. XVIII. Investment Tax Credit Any investment tax credit with respect to the leased property allowed by the Internal Revenue Code, as amended, shall belong to lessor; or shall be passed on to and be made available by Lessor for the benefit of Lessee, in which event Lessor shall prepare and file with Lessee the statement of property leased during its taxable year with respect to which this election is made and will attach the statement to its income tax return during the term of this Lease. XIX. Liens Lessee shall keep the leased property free from any claim, levy, lien, encumbrance, or other legal process. Lessee shall notify Lessor of such process in writing within ____days from the receipt of notice of the claim, levy, lien, or legal process. Lessee shall pay cost of defending or removing the claim, levy, lien, or legal process, unless the cost is attributable to the acts or omissions of Lessor. XX. Default Any of the following events shall constitute a default under this Agreement: A. The nonpayment by Lessee for a period of ____ days of any amount required under this Lease to be paid by Lessee. B. The nonperformance by Lessee of any term or condition of this Lease if it is not cured within _____ days after written notice of nonperformance from Lessor. C. The filing by or against Lessee of any petition under the bankruptcy laws, debt moratorium laws, or any law for the relief of, or relating to, debtors. D. Appointment of any receiver or trustee to take possession of the property of Lessee, unless the appointment is set aside or withdrawn or stayed within _____ days of the date of the appointment. E. The subjection of Lessee's property to any levy, seizure, attachment, garnishment, assignment, or sale for or by any creditor or governmental agency, unless the process is set aside within days from the date of such subjection. XXI. Right to Prevent Default If Lessee fails to make any payment or do any act as provided in this Lease, Lessor shall have the right, but not the obligation, without notice to or on demand on Lessee, and without releasing Lessee from any obligation under this Lease, to pay, purchase, contest, or compromise any encumbrance, charge, or lien that, in the sole judgment of Lessor, affects the property leased, and in exercising such right, Lessor may incur any liability and expend whatever amounts it may deem necessary. All such expenses incurred by Lessor shall be reimbursed by Lessee within ______ days from written notice of their being incurred from Lessor. The amount paid by Lessor on behalf of Lessee shall bear interest at ____% per annum from the date Lessor made the payment. XXII. Lessor’s Remedies on Default On the occurrence of any of the events specified in Section XX as constituting default, Lessor, without notice to or demand on Lessee, may: A. Take possession of the property leased and lease any part or all of it, to such persons, for such period of time, and at such rentals, as Lessor shall determine. The rents received from such new Lessee shall be applied to the payment of the rent and other obligations due from Lessee to Lessor, after deducting all costs and expenses incurred in connection with recovery, repair, storage, and renting of the property. Lessee shall be responsible for any deficiency; or B. Take possession of the property and sell any part or all of it at public or private sale without demand or notice of intention to sell, and apply the proceeds of such sale, after deducting all costs and expenses incurred in connection with the recovery, repair, storage, and sale of the equipment and any rentals and other obligations of Lessee then due under this Lease, against the agreed on valuation of the property as is specified in the attached schedule. Lessee shall be responsible for any deficiency. XXIII Termination Lessee, if not in default in any of its obligations under this Agreement, may terminate this Lease with respect to any or all items or property leased at any time after _____months from the date of delivery of such property, by giving _____days' written notice of termination to Lessor. Lessor, at its option, within days after return of such property, may sell the property at public or private sale for the highest cash offer made. If, after making such deductions, the net proceeds are less than the amount set forth in Exhibit A , Lessee shall pay to Lessor the amount of the difference, on written demand from Les sor. Such amount shall bear interest at the rate of ____% per annum from the date of demand. XXIV. Lessee’s Option to Purchase Lessee, if not in default in any of its obligations under this Lease, shall have an option to purchase any or all items of property leased on the expiration of the rental period specified for such personal property. Lessee shall exercise this option by giving written notice of his or her intention at least ____days prior to the expiration of the rental period. If Lessee exercises this option, ______ % of the sum paid as rent shall be applied to the purchase price of the property, and on payment by Lessee to Lessor of the balance of the option price for such property as is specified in Exhibit A attached to this Lease, plus any applicable unpaid sales or use taxes, Lessor will transfer title of the particular item of property to Lessee, and this Lease will terminate with respect to such property. XXV. Assignment or Subleasing by Lessee Lessee shall not assign, sublet, transfer, pledge, or mortgage any of its rights under this Lease or any of the property subject of this Lease, without the prior written consent of Lessor. Lessee shall not lend or allow the property leased to be used by any person, without the prior written consent of Lessor. Lessor may assign this Lease or any of its rights under this Agreement without prior notice to Lessee and without obtaining Lessee's consent. Any such assignee shall have all the rights and obligations of Lessor under this Lease. However, Lessor shall not be relieved from performing any of its obligations and responsibilities under this Lease in the event its assignee is unable to do so. XXVI. Waiver No delay or omission to exercise any right of Lessor under this Lease shall be construed as a waiver of any such right or as impairing any such right. Any waiver by Lessor of a single breach or default shall not be construed as a waiver of any prior or subsequent breach or default. XXVII. Place of Giving and Making Payments Any notice to be given, and any payments to be made, under this Lease, shall be personally delivered or mailed by registered mail, postage prepaid, at the address set forth in this Lease. Such notice or payment shall be deemed given or made when actually received. XXVIII. Mandatory Arbitration Notwithstanding the foregoing, and anything herein to the contrary notwithstanding, 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. XXIX. Attorney’s Fees If judicial or arbitration proceedings are instituted in connection with this lease, the unsuccessful party shall pay to the successful party a reasonable amount for the successful party's attorney's fees to be fixed by the court or arbitrator. XXX. Survival of Lessee’s Covenants Lessee's covenants under this Lease shall survive the return of the property leased, whenever the context permits. XXXI. Entire Agreement This Lease constitutes the entire agreement between the parties. This Lease shall not be amended except by written agreement signed by both parties. XXXII. Governing Law This Lease shall be governed by the laws of the state of ______________. WITNESS our signatures as of the day and date first above stated. ___________________, INC. ________________________ By__________________________ Lessee (Name and Office in Corporation)