BUSINESS DEVELOPMENT CENTER SAMPLE LEASE AGREEMENT LEASE AGREEMENT Lease made

BUSINESS DEVELOPMENT CENTER SAMPLE LEASE AGREEMENT LEASE AGREEMENT ("Lease") made this first day of (month/year)between Chattanooga-Hamilton County Business Development Center ("Landlord") and (tenant) 1. LEASE OF PREMISES. In consideration of the rent, the Landlord leases to Tenant, the space ("Premises"), located at the following address: 100 Cherokee Boulevard, Suite #, Chattanooga, Tennessee ("Property"). The number of square feet leased is (#), office/manufacturing. 2. PARKING. Shared in common with all tenants at no charge. 3. TERM. Tenant shall lease the Premises for the term of One year beginning (date) and ending on (date). Landlord shall not be liable for failure to deliver the Premises to Tenant on the beginning date of this Lease for reasons beyond Landlord's control. 4. RENT/ADDITIONAL OBLIGATIONS: Rate shall be (amount and lease year) A. Rent: Tenant agrees to pay Landlord rent at the annual rate of (amount) or in equal monthly payments of (amount), in advance, by the first day of each calendar month during the term. In the event that the term agreed to does not begin on the first day of the month, or end on the last day of the month, the first and/or last monthly rental payment shall be prorated. B. Additional Obligations: Tenant agrees to pay all charges incurred under separate agreement or otherwise, including services under the Business Development Center Services Agreement (BDC Services Agreement) which is attached and made a part of this Lease Agreement. Tenant specifically understands that failure to pay for Services or other charges due under separate agreements will give Landlord the right to terminate this Lease according to the provisions of Paragraph 12. 5. CARE OF PREMISES AND PROPERTY. In addition to the other provisions of this Lease, Tenant agrees: A. To comply with all applicable laws, including common law, ordinances or regulations of any governmental body having jurisdiction over the Premises and the Property and to conform to all reasonable rules or regulations which Landlord may establish. B. Not to damage any part of the Premises or the Property. C. Not to permit any trade or occupation which is unlawful or any activity which would create a hazard which would adversely affect any insurance on the Premises or the Property. D. Not to place any sign on the Premises or the Property except that which Landlord has first approved in writing. E. Not to permit any employee, agent, customer or visitor of Tenant to violate any obligation of Tenant under this Lease. 6. USE OF PREMISES. The Premises shall only be used for: Company Name. 7. SECURITY DEPOSIT. as a deposit A. Landlord requires receipt of a Security Deposit in the amount of $ Amount for the faithful performance by Tenant of all of its obligations under this Lease as well as any extensions or renewals thereof. Subsequent security deposits may be required if/as leased spaced expansion is undertaken. No interest shall be paid on Tenant's Security Deposit. Security Deposit in said amount will be refunded upon Lease Termination, subject to Tenant's return of all keys and inspection of the vacated Premises. Said Security Deposit may be applied by Landlord to satisfy in whole or in part any obligations of Tenant under this Lease. B. TENANTS WHO DO NOT FULFILL THE LEASE TERM WILL FORFEIT THE SECURITY DEPOSIT AND MUST PAY THE BALANCE OF THE LEASE TERM. 8. INDEMNIFICATION BY TENANT: LIABILITY INSURANCE. A. Landlord shall not be liable to Tenant or to any other person for any damage to any person or property caused by any act, omission, or neglect of any employee, agent, customer or visitor of Tenant. Tenant agrees to indemnify and hold Landlord harmless from any such liability. In addition, Tenant shall, during the term of this Lease, maintain comprehensive public liability insurance, issued by a reputable insurance company, licensed to transact business in the State of Tennessee, with limits of not less than five hundred thousand dollars ($500,000.00) for bodily injury and death and not less than one hundred thousand dollars ($100,000.00) for property damage or five hundred thousand dollars ($500,000.00) combined single limit of bodily injury, death and property damage, which insurance shall protect Landlord and Tenant against liability for any accident, injury or damage on the premises or the Property. B. For all insurance required to be maintained under this Article, Tenant shall send to Landlord evidence of the coverage. Failure to do so will result in a lockout of tenant premises. Each insurance policy shall contain an agreement that the policy shall not be canceled without prior written notice to Landlord. C. Tenant agrees to maintain, at Tenant's own expense, property damage insurance (fire, etc.) in sufficient amounts to cover personal property owned by the Tenant located on the Premises described in this Lease. Tenant agrees to hold Landlord harmless for all claims for loss, damage, cost or expense in connection with such property resulting from fire, casualty or other occurrence. 9. SUCCESS OR FAILURE OF TENANT'S BUSINESS. Tenant specifically recognizes and acknowledges that the business venture to be undertaken by Tenant under this Lease depends upon the ability of Tenant as an independent business person, as well as other factors, such as market and economic conditions beyond the control of Landlord and Tenant. Tenant acknowledges that success or failure of Tenant's business enterprise will be dependent on the business acumen and diligence of Tenant. Tenant agrees that success or failure of Tenant's business will not depend on Landlord's performance under this Lease of BDC Service Agreement, and Landlord makes no representations or warranties as to the success of Tenant's business. 10. TENANT ALTERATIONS, INSTALLATIONS, AND CHANGES IN PREMISES. A. Tenant may at its own expense make alterations to the Premises only with Landlord's prior written approval of the alterations and the contractor, if any. Any alternation shall not impair the safety or the appearance of the Premises and the Property and shall be made according to all applicable laws, ordinances or regulations. B. All alterations made or installed on the Premises by Tenant under Article 10A above shall be the property of Landlord and shall be surrendered with the Premises at the end of this Lease without compensation to Tenant. If at the termination of this Lease, Landlord directs by written notice to Tenant, Tenant shall, at its own expense promptly remove any alterations designated by Landlord and repair any damage to the Premises caused by the removal. C. Tenant agrees to promptly pay all sums allegedly due and payable by Tenant for any labor or services performed or materials supplied to the Premises. Tenant shall indemnify and hold Landlord harmless from any and all claims, liens or costs (including attorney's fees) which arise from Tenant's alterations. 11. TENANT DEFAULT. Any one or more of the following events shall be a default by Tenant under this Lease: A. Tenant fails to pay on the due date any rent or additional obligation provided for in this Lease; B. Tenant fails to observe or perform any other promise or obligation of this Lease; C. Tenant fails to provide proof of insurance as required in Section 8, paragraph B; D. After three days notice from Landlord, Tenant fails to immediately cure any hazardous condition which Tenant has created; or E. Tenant abandons the Premises. 12. LANDLORD'S RIGHTS AND REMEDIES. If a Tenant default occurs, Landlord shall have the following rights and remedies: A. Landlord may terminate this Lease by giving Tenant written notice. B. If Landlord terminates this Lease as provided above, Landlord shall be entitled to recover from Tenant all unpaid rent up to the end of the Lease term reduced by any rent collected by Landlord from any successor tenant prior to the end of the lease term, as well as any additional sums provided for by law (including attorney's fees) or as otherwise provided in this Lease for which Tenant is liable or for which Tenant has agreed to indemnify Landlord under the provisions of this Lease. C. If Landlord terminates the Lease as provided above, Landlord may enter the Premises and take possession without being guilty of trespass, and re-rent the Premises at its discretion. D. The failure of Landlord to declare a default of this Lease for the violation of any term, condition or covenant shall not be construed as a waiver of Landlord's rights to declare a default of this Lease upon the occurrence of any subsequent act or omission, the right to declare a breach or forfeiture being a continuing one. 13. LANDLORD'S LIEN FOR RENT. Tenant hereby grants a lien, to Landlord, of Tenant's interest in all improvements, fixtures or personal property on the Premises. In the event Tenant fails to cure a default under this Lease, Tenant authorizes Landlord to take possession of the property free and clear of Tenant's interest therein. 14. SUBORDINATION. Tenant agrees that this Lease and Tenant's interest in this Lease shall at Landlord's option be secondary to any mortgage, deed of trust or other method of financing or refinancing now or hereafter placed on the Premises, the Property, the land underlying the Premises and/or the building of which the Premises is a part. Tenant further agrees that it will execute and deliver any and all documents necessary to show that Tenant's rights under this Lease are secondary. 15. RELOCATION. Lessor hereby reserves the right to locate Tenant to comparable space within the Building during the Lease-Term so long as the number of square feet so substituted equals or exceeds the number of square feet in the Leased Premises. 16. HOLDING OVER. ** Paragraph Deleted** 17. ASSIGNMENT AND SUBLETTING. Tenant shall not assign or sublet its interest in this Lease without the prior written consent of Landlord. Any assignment or sublease shall not relieve Tenant of any of its obligations under this Lease. 18. NOTICE TO TERMINATE LEASE. Tenant shall give Landlord thirty (30) days written notice of the decision to move out of the Building. 19. MISCELLANEOUS. A. Entry by Landlord. Landlord shall have the right to examine the Premises at all reasonable times for all reasonable purposes. B. End of Term. Tenant shall surrender the Premises at the end of this Lease in good order and condition except for reasonable wear and tear. C. Relationship of Landlord and Tenant. Tenant shall not use any trademark, service mark or trade name of Landlord, nor shall Tenant hold itself out as having any business affiliation with Landlord without having specific written agreement from Landlord. D. No Waiver of Breach. Any failure or neglect by Landlord to assert or enforce any rights or remedies because of any breach or default by Tenant under this Lease shall not (except as to those specific instances when express time limits are provided for taking action) prejudice Landlord's rights or remedies with respect to any existing or subsequent breaches or defaults. Acceptance of any partial payment from Tenant will not waive Landlord's right to pursue Tenant for any remaining balance due nor shall any endorsement or statement on any check or any letter which acknowledges a check or payment as rent be deemed an accord and satisfaction. E. Burden and Benefit. This Lease shall be binding upon and shall inure to the benefit of the respective successors and assigns of Landlord and Tenant. F. Applicable Law. This Lease shall be construed according to the laws of the State of Tennessee. G. Notices. Whenever any payment notice, consent or request is given or made under this Lease, it shall be in writing and delivered in person or mailed by certified mail. Communications and payments to Tenant shall be addressed to: Principal(s) Names : Home Address: Home Telephone: SSN: or to any other address as may have been specified by prior notice to Landlord. Communications and payments to Landlord shall be addressed to: Business Development Center 100 Cherokee Boulevard Chattanooga, Tennessee 37405 H. Entire Agreement. This lease contains all the agreements and understandings made between the parties and may only be modified in a writing signed by the parties or their respective successors in interest. I. Partial Invalidity. If any provision of this Lease shall be deemed invalid by a court of competent jurisdiction, the remainder of this Lease shall not be affected thereby. J. Titles. The titles and Article headings are inserted only for convenience and are not to be construed as part of this Lease. 20. RIDER TO LEASE. Articles 1 or 2 and 3 on the Rider attached to this Lease are hereby made a part of this Lease. 21. BUSINESS PLAN AND FINANCIAL STATEMENTS. Business plans, financial projections and P & L statements are required at the inception of this agreement and updated annually. 22. TENURE LIMIT. Your tenure here at the Business Development Center is limited to a maximum of three (3) years. IN THE WITNESS WHEREOF, the parties have caused this Lease to be executed as of the day and year first above written. Tenant: Company Name Landlord: Business Development Center By: __________________________________ By: Witness: _____________________________ By: ___________________________________ Witness: ________________________________ BUSINESS DEVELOPMENT CENTER PERSONAL GUARANTEE This Personal Guarantee is given by (Company Principal(s) to the BUSINESS DEVELOPMENT CENTER ("Partnership") whose address is 100 Cherokee Boulevard, Chattanooga, Tennessee, 37405 as of the first day of (month/year) in order to induce Partnership to enter into a Lease Agreement ("Agreement") providing office space to (Company Name) located at 100 Cherokee Boulevard, Suite #, Chattanooga, TN, 37405, the first day of (month/year). Guarantor hereby absolutely and unconditionally personally guarantees the full, prompt and faithful performance of each and all of the terms, covenants and conditions of the Agreement to be kept or performed by the Company, including all payments of rent, additional obligations and all other charges, expenses and costs of every kind and nature which are or may be due now or in the future under the terms of the Agreement irrespective of the validity, regularity or enforceability of the Agreement. This Personal Guarantee extends to any and all liability which Guarantor has or may have to Partnership by reason of matters occurring before, during and after the term of the Agreement. In the event there is a breach of the Agreement, Guarantor shall pay, reimburse and indemnify Partnership for any and all damages, costs, expenses, losses and other liabilities arising or resulting from the breach. The liability of Guarantor is primary, direct, immediate, absolute, continuing, unlimited and Partnership may, at its option, proceed against Guarantor without having commenced any action or having obtained any judgment against the Company. Guarantor shall not be discharged or released for any reason including bankruptcy, receivership or other proceedings. The Guarantor hereby waives notice of default in the payment of covenants thereunder or hereunder. This Personal Guarantee is binding upon Guarantor, its legal representatives and assigns and is binding upon and shall inure to the benefit of Partnership and its successors and assigns. No assignment or delegation by Guarantor shall release Guarantor of its obligations under this Personal Guarantee. This Personal Guarantee shall not be modified orally, but only by a writing signed by both Guarantor and Partnership. In witness whereof, Guarantor has duly signed this Personal Guarantee on the date stated above. _______________________________________ (Signature / Title) _______________________________________ (Signature/Title) _______________________________________ (Witness) ARTICLE 3 RIDER CLAUSE LATE CHARGES TENANT NAME NAMES OF PRINCIPAL(S) LATE CHARGES (RENT, UTILITIES, CLERICAL, COPIER, FAX, AND MISCELLANEOUS) 10% of current charges after the tenth of the month or the Friday before when the tenth of the month falls on Saturday or Sunday. A flat fee of $25.00 is charged for any return check. The face value plus this fee must be paid immediately via cashier’s check, money order or cash. No checks will be deposited twice. I, the undersigned, (name), as authorized representative(s) for Company Name, Suite #, acknowledge receipt of this attachment and fully understand the terms and conditions of these late charges. By: _________________________________ (Signature/Title) By: _________________________________ (Signature/Title) _______________________________________ (Date) ________________________________________ (Witness) BUSINESS DEVELOPMENT CENTER ACCESS RELEASE I, __________________________________ as authorized representative(s) for _______________________________________ (tenant) do hereby authorize the management staff of the Business Development Center to allow the following persons access to my leased area, Suite ______________. Furthermore, I agree to release, hold harmless and indemnify the Business Development Center with regard to any and all liability resulting from such access. _____________________________________________ _____________________________________________ _____________________________________________ _____________________________________________ _____________________________________________ _____________________________________________ Date: ___________________________________ By: ______________________________________ Witness: __________________________________ This form may be revised at any time as tenant deems necessary.