Fill and Sign the Rental Option Purchase Agreement Form

Lease of Equipment with Option to Purchase Agreement made on the ________________________ (date) , between ____________________________ (Name of Lessee) of ______________________________ _____________________________________ (street address, city, county, state, zip code) , referred to herein as Lessee , and __________________________ (Name of Lessor) , of ____________________________________________________________________________ (street address, city, county, state, zip code) , referred to herein as Lessor . For and in consideration of the mutual covenants contained in this agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: Whereas, Lessor desires to lease to Lessee , and Lessee desires to lease from Lessor , certain tangible personal property. Now, therefore, for and in consideration of the mutual covenants contained in this agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. Lease. Lessor hereby leases to Lessee , and Lessee hereby leases from Lessor , the equipment (hereinafter called Equipment) described in Exhibit A attached hereto and made a part hereof and initialed by both parties. 2. Term of Agreement The period of this Lease is _____ (number) months beginning on __________________ (date) and ending on ____________________ (date) . 3. Rental Lessee agrees to pay as rental for the use of the Equipment the sum of $___________ (Dollars) per month, the first payment to made on _____________________ (date) , and each subsequent payment to be made in advance on ____________________ (date ) . A late fee of $10.00 per days shall be charged and paid for any rental payment more than 14 days past due. 4. Use of Equipment Lessee will not use the Equipment in any manner which may vitiate the insurance or increase the rate of insurance on the Equipment . 5. Assignment and Subletting Lessee shall not sublet the Equipment , or any part thereof, or assign this lease agreement without Lessor’s prior written consent. 6. Deposit Lessee agrees to deposit the sum of $________________ (Dollars) with Lessor , the receipt of which is hereby acknowledged, as assurance that the Equipment will be returned in the same condition as it is delivered to Lessee , the deposit to be refunded if the condition of the Equipment upon its return, is acceptable to Lessor . Reasonable wear and tear on the Equipment due to normal use is acceptable. 7. Indemnification Lessee agrees to indemnify Lessor for any and all claims resulting from, or incidental to, the operation of the Equipment during the term of this Lease. Lessee assumes all risks and liabilities from the use and operation of the Equipment . 8. Warranties Lessor is not the manufacturer of the Equipment and makes no warranty against patent or latent defects in material or workmanship of the Equipment . 9. Reports Lessee shall furnish Lessor , within ______ (number) hours after its occurrence, a complete report concerning any accident, collision, and/or damages to or involved with the Equipment . 10. Repairs Lessee shall be solely responsible for all repairs and replacements necessary or desirable. 11. Insurance and Indemnification A. Lessee will acquire, pay for, and maintain insurance for the Equipment , including property damage insurance, issued by a responsible company or companies, protecting the interests of both Lessee and Lessor against liability for damage, to the extent of not less than $___________ (Dollars) . Lessee agrees that the policy will include Lessor as a "named insured" and shall not be cancelled until after ______ (number) days notice to Lessor of Lessee ’s intention to cancel. B. Should any claim be made or any action be commenced against Lessor arising from any of the causes covered by the insurance referred to in Sub-Paragraph A above , Lessor will promptly notify Lessee and Lessee will conduct the defense of any such claim or action at Lessee's expense, including all costs and attorneys' fees. 12. Return of Equipment Lessee agrees to return the Equipment to Lessor at ___________________________ __________________ (street address, city and state) on or before __________ (time) , on the final date of this Lease. 13. Area of Use Lessee agrees not to remove the Equipment from the continental United States or the State of _________________ (Name of State) . 14. Assignment of Rights The rights of each party under this Agreement are personal to that party and may not be assigned or transferred to any other person, firm, corporation, or other entity without the prior, express, and written consent of the other party. 15. Default and Remedies A. If any default shall be made by Lessee in the payment when due, of any rent or other sum due under this Agreement, or in the performance of any other provision of this Agreement, or if the Lessee shall otherwise, in any manner whatever, become unable to pay the rent specified here or to perform any of the provisions to be kept or performed by Lessee , then Lessor shall have the option, without notice to Lessee or demand for performance, to require Lessee to redeliver the Equipment to Lessor at a location designated by Lessor at Lessee's expense. B. Upon any such default, and with or without terminating or forfeiting this Lease Agreement and without in any way affecting any other right or remedy of Lessor or any duties or obligations of Lessee under this Agreement, Lessor may lease the Equipment as the agent and for the account of Lessee upon such terms and conditions as Lessor may deem advisable, in which event the rents received on any such Lease shall be applied first to the expenses of leasing and collecting, including any necessary renovation or repairs, then toward payment of all sums due or to become due to Lessor under this Agreement, and if a sufficient sum shall not thus be realized to pay such rent and other charges, Lessee shall pay to Lessor monthly any deficiency. C. Upon any such default, Lessor may terminate this Lease Agreement, in which event Lessee shall pay to Lessor the amount of rent that would have been paid to Lessor had there been no such default. D. The foregoing remedies for default shall not be exclusive but shall be cumulative and in addition to all other remedies. 16. Other than the Option to Purchase set forth in Paragraph 18 below, this is a Lease only, and the Lessee has acquired no right, title or interest in the Equipment , except the right to use the same pursuant to the provisions of this Lease Agreement. 17. The term of this Lease Agreement shall be extended for an additional term of _______ (number) months pursuant to the terms of this Lease Agreement, including this paragraph for renewal, unless either Lessor or Lessee , at least ______ (number) days before the end of the term of this Lease Agreement, gives written notice to the other of intention to terminate this Lease Agreement on expiration of the term provided for in this Agreement. 18. Option to Purchase Lessor hereby grants to Lessee the option to purchase the Equipment in its then- current condition at any time during this Agreement for the sum of $___________ (Dollars) less _______ (number) % of rent that has been paid pursuant to this Lease Agreement or any renewal thereof. If Lessee desires to exercise the option to purchase , Lessee shall do so by giving Lessor written notice of that intent no less than ______ (number) days prior to the date for the next scheduled lease payment under this Agreement. Lessor and Lessee agree that Lessor will be selling Equipment in its “as is” condition on the date of any such sale and makes no warranty as to the condition of the Equipment and waives any implied warranty of fitness for a particular purpose or merchantability. 19. 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. 20. Entire Agreement This Agreement shall constitute the entire agreement between the parties and any prior understanding or representation of any kind preceding the date of this Agreement shall not be binding upon either party except to the extent incorporated in this Agreement. 21. Modification of Agreement Any modification of this Agreement or additional obligation assumed by either party in connection with this Agreement shall be binding only if placed in writing and signed by each party or an authorized representative of each party. 22. Counterparts This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which together shall constitute but one and the same instrument. In this contract, any reference to a party includes that party's heirs, executors, administrators, successors and assigns, singular includes plural and masculine includes feminine. WITNESS our signatures as of the day and date first above stated. ________________________ _________________________ (P rinted name of Lessor) (P rinted name of Lessee ) ________________________ _________________________ (Signature of Lessor) (Signature of Lessee)