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This Business Lease Agreement is made between a Landlord and a Tenant whereby the Tenant leases premises from the Landlord to conduct its business. This business lease provides for a net lease clause whereby the Tenant is responsible for paying a portion of the taxes for the premises. This form contains terms and conditions which are standard for this type of agreement, however, additional language may be added by the contracting parties to ensure that their needs are met. This form is most useful to persons wishing to lease a space for a business or for persons that want to lease out premises to a business owner for the purpose of running that business.
This Business Lease Agreement is made between a Landlord and a Tenant whereby the Tenant leases premises from the Landlord to conduct its business. This business lease provides for a net lease clause whereby the Tenant is responsible for paying a portion of the taxes for the premises. This form contains terms and conditions which are standard for this type of agreement, however, additional language may be added by the contracting parties to ensure that their needs are met. This form is most useful to persons wishing to lease a space for a business or for persons that want to lease out premises to a business owner for the purpose of running that business. Business Lease BUSINESS LEASE THIS LEASE AGREEMENT (the “Agreement”) is made this _____ day of __________________, 2_____. B E T W E E N: _______________________________________ (hereinafter called the "Landlord") OF THE FIRST PART, - and - _______________________________________ (hereinafter called the "Tenant") OF THE SECOND PART. 1. RECITALS WHEREAS: A. The Tenant has agreed to lease from the Landlord the Leased Premises (as herein defined); B. The Landlord has agreed to lease to the Tenant the Leased Premises (as herein defined); NOW THEREFORE IN CONSIDERATION OF the reciprocal covenants herein contained the parties agree as follows: 2. PREMISES The Landlord is the owner of the lands and premises as described on Schedule "A" annexed hereto, known municipally as _____________________________, (hereinafter called the "Leased Premises"), on which a commercial building (hereinafter called the "Building") is erected; 3. GRANT In consideration of the rents, covenants and agreements hereinafter reserved and contained on the part of the Tenant to be paid, observed and performed the Landlord does hereby lease unto the Tenant, who hereby accepts the Lease of the same, the Leased Premises. 4. TERM To hold for and during the term of ___________ (___) [Instruction: insert any number] year(s) (hereinafter called the "Term") to be computed from the _____ day of _________________, 2_____, (hereinafter called "the Commencement Date") and thenceforth next ensuing and fully to be completed on the ______ day of ________________, 2_____, subject to the conditions herein set forth and payment of rentals hereinafter covenanted to be paid by the Tenant. 5. RENEWAL The Tenant shall not have the right to renew this Lease except upon the further written agreement of the parties hereto. 6. USE OF PREMISES The Leased Premises are leased to the Tenant for use and occupation only as __________________________ and for no other purpose. The Landlord covenants that to the best of their knowledge, there are no lawful restrictions that prohibit the Tenant's use as described. 7. RENTAL The Tenant covenants and agrees to pay to the Landlord a fixed annual minimum rent for the Leased Premises for each and every year during the term hereof in the amount of _____________________ ($_________) Dollars of lawful money of _________________ (hereinafter called the "Annual Rent") payable each year in advance in twelve equal consecutive monthly installments of ________________ ($_________) Dollars, payable on the ______ day of each and every month during the Term of the Lease. 8. PAYMENT A. The Tenant shall make all payments from time to time due hereunder without set off, compensation or deduction whatsoever promptly to the Landlord at ____________________________ or at such other place as the Landlord may designate from time to time. B. In the event the Tenant fails to pay the monthly installments of the Annual Rent strictly on the due date the Landlord may, without prejudice to the Landlord's rights, require the Tenant to furnish the Landlord with a series of post-dated checks covering the next twelve monthly installments or such number of installments as remain in the term, payable on the due dates of such installments, and the Tenant shall forthwith deliver such checks to the Landlord. 9. ADDITIONAL RENT A. The Tenant shall pay or pay to the Landlord as the case may be as Additional Rent and as may be further enumerated in Section “Tenant’s Covenants” herein as the case may be of all expense charges chargeable to the Tenant under a completely carefree net Lease to the Landlord including, without limiting the generality of the foregoing, the cost of all: i. heating costs, ventilation and air conditioning expenses including, without limitation, maintenance and repair of the machinery and equipment providing such services; ii. public and private utilities including, without limitation, water, gas, electric power or energy to the Leased Premises; iii. fire, all risk and liability insurance; iv. snow, garbage, trash removal and grounds maintenance including, without limitation landscaping costs; v. cleaning costs, building maintenance and repair costs; vi. all realty taxes, assessments, rates, charges and duties including without limitation, local improvement charges, upon invoice from the Landlord; vii. all administrative, audit and legal costs and expenses incurred by the Landlord in the collection of any of the rents or other amounts due or payable hereunder; and viii. management and administrative charges in connection with the maintenance and upkeep of the Building. B. The Tenant shall pay all amounts of additional rent in equal monthly installments, based upon the Landlord's reasonable estimate of such additional rent for the year, subject to adjustment at year’s end. C. Any additional payments contemplated by this Lease shall be deemed to be and be treated as rent and payable and recoverable as rent, but in the manner herein provided, and the Landlord shall have all rights against the Tenant for default in any such payment as in the case of arrears of rent. 10. CONDITION OF PREMISES The Tenant shall be deemed to have examined the Leased Premises prior to taking possession and such taking of possession shall be conclusive evidence as against the Tenant that at the time thereof the Leased Premises were in good order and satisfactory condition. The Tenant acknowledges and agrees that there is no promise, representation or undertaking by or binding upon the Landlord with respect to any alteration, remodeling, decoration, or the installation of equipment or fixtures in or on the Leased Premises. 11. TENANT'S COVENANTS A. Rent - To pay rent. B. Additional Rent - To pay as additional rent the items set out in paragraph 9A and as enumerated in this Section. C. Business Taxes - In every year of the Term, to pay when due the business taxes and all other taxes and assessments levied in respect of the occupancy of the Leased Premises by the Tenant, and if in respect of any year of the Term the Leased Premises is assessed for business taxes, to pay the business taxes levied in respect of such assessment whether such business taxes are assessed against the Tenant or against the Landlord, and if such business taxes are assessed against the Landlord to pay the same to the Landlord as additional rent within _________ (___)[Instruction: insert any number] days after it is demanded in writing. D. Other Taxes - In every year during the Term, within ________ (_____)[Instruction: insert any number] days after the Landlord notifies the Tenant in writing that he has paid them, to pay the Landlord as additional rent: i. the amount of all charges, taxes, rates, duties and assessments whatsoever, whether municipal, parliamentary or otherwise, charged, levied, rated or assessed against the Leased Premises, or any part thereof, and any equipment, facilities, installations and improvements now or at any time during the Term made in or brought on the Leased Premises or against the Landlord on account thereof, and including but without restricting the generality of the foregoing realty taxes and municipal taxes for local improvements for works assessed or charged against the Leased Premises and any similar taxes not now in existence or contemplated but levied at any time during the Term by any competent government or municipal body in addition to, or in lieu of, the taxes, rates, duties and assessments hereinbefore referred to; and ii. if the taxes in respect of the Building, or any part thereof shall be increased by reason of any installations made in or alterations made to the Leased Premises by the Tenant, the amount of such increase to the extent that such amount is not included in the taxes referred to in this paragraph; and any such amounts payable by the Tenant under this paragraph and unpaid after _________ (___) [Instruction: insert any number] days shall be recoverable by the Landlord as if they were rent in arrears. E. To deliver to the Landlord any assessment or tax bill relating to the Leased Premises within ______ (___) [Instruction: insert any number] days after the receipt thereof. F. Repairs - Save as hereinafter provided, at all times during the Term as often as need be to carry out promptly at its own expense all repairs and maintenance of the Leased Premises and all repairs, maintenance and painting of the Building, including the interior walls and all machinery and equipment therein so as to keep the Leased Premises in as good a state of repair and condition as they are in when this lease commences and, subject as aforesaid, to repair, replace, rebuild, and reconstruct the Building, or any part thereof excluding the exterior walls and roof thereof and without limiting the generality of the foregoing to repair and replace, rebuild and reconstruct the plumbing, heating and electrical systems, the interior of the Building, water, sewer, and gas connections, wiring, sprinkler system, pipes and water mains and all other fixtures, machinery, facilities and equipment belonging to or connected to the Leased Premises, or any part thereof, and used in their operation, excluding such work that be commonly known as work of a capital or structural nature; PROVIDED that if the Tenant defaults under the provisions of this paragraph the Landlord may proceed with such repairs, replacement, rebuilding or reconstruction, and the Tenant shall forthwith pay all costs and expenses incurred by the Landlord in so doing and such costs and expenses shall be recoverable by the Landlord as if they were rent in arrears under this Lease; but the Tenant shall not be obliged to repair, maintain, paint, replace, rebuild or reconstruct any part of the premises, whenever such work is required solely by reason of damage to the premises caused by fire, lightning, tempest, inherent defects, acts of God, or of the Landlord, its servants, agents or workmen or any additional perils from time to time defined and covered in the standard fire insurance broad-extended-coverage contract in use during the Term and the Tenant shall not be liable to maintain any part of the driveways, parking areas, lawns and shrubs appurtenant to the Building or to repair any damage thereto, except where such damage is caused by the act or default of the Tenant, its servants, agents or workmen employed by or for them. G. Maintenance Costs - To pay to the Landlord every year during the Term as additional rent, and within _________ (____)[Instruction: insert any number] days after written demand therefore, the costs of operating, cleaning and snow removal from and maintenance (including such repairs to and replacements of paving, curbs, walkways, lighting and landscaping) of all parking areas, entrance areas, driveways, walkways, lawns, ramps and other outside areas, or of any other parts of the lands described in paragraph 2 as may be from time to time necessary. H. Notice of Accident or Defect - The Tenant will give to the Landlord prompt written notice of any accident or any other defect in the water pipes or heating apparatus, telephone, electric light or other wires or any substantial damage to the Leased Premises and will permit the Landlord at all times to enter upon and view the state of repair of the Leased Premises and to comply with all reasonable requirements of the Landlord with regard to the care, maintenance and repair thereof to the extent that the Tenant is responsible under his Lease for such care, maintenance and repair. I. Insurance i. To maintain with an insurance company satisfactory to the Landlord a contract of public liability insurance in an amount of __________________ ($________) Dollars and a fire insurance policy with extended coverage to the full insurable value of the Leased Premises with loss payable to the Landlord and Tenant as their interest may appear and to provide the Landlord with a Certificate of such Insurance coverage; ii. If the Tenant does not certify to the Landlord within ______ (____)[Instruction: insert any number] days of the commencement of the Term that it has put in place the insurance coverage referred to in under the Section “Insurance,” to pay to the Landlord as additional rent, within _________ (___)[Instruction: insert any number] days after written demand therefore, the premiums for all insurance that may be placed by the Landlord against loss of or damage to the Building and the appurtenances and equipment therein by fire and the additional perils defined in the standard fire broad-extended-coverage contract in use during the Term up to the amount of the full replacement value of the Building and appurtenances and equipment therein, and against all other risks required to be insured against under the provisions of any mortgage or charge on the lands described in paragraph 2. during the Term and against loss of rent; PROVIDED that any loss, under such contracts of insurance shall be payable to the Landlord subject to the interest of the holder or holders of any mortgage or charge on the lands described in paragraph 2 as such interest shall from time to time appear; PROVIDED THAT the Landlord shall not be liable for injury or damage, to persons or to the Leased Premises, including consequential damage caused by fire or other hazards; iii. To pay to the Landlord as additional rent and within the terms hereinbefore limited, the premiums for all insurance placed by the Landlord indemnifying the Landlord against public liability and property damage in such amounts as the Landlord may reasonably deem necessary. J. Use - Not to use the Leased Premises for any purpose other than that set out in paragraph 6 hereto without the written consent of the Landlord and in any event not to do or permit to be done in, upon or about the Leased Premises any act or thing which shall or may be or become a nuisance. K. Insurance Risk - Not to do or permit to be done in, upon or about the Leased Premises any act or thing which may make void or voidable, or result in the increase of the premium payable in respect of, any policy of insurance on the Building. L. Laws - To observe and comply with every applicable statute, law, by-law, regulation, ordinance and order at any time or from time to time in force during the Term including, without limitation, all requirements of all governmental authorities, including federal, provincial and municipal legislative enactments, by-laws and other regulations which pertain to or affect the Leased Premises, the Tenant's use of the Leased Premises or the conduct of any business in the Leased Premises, or the making of any repairs, replacements, alterations, additions, changes, substitutions or improvements of or to the Leased Premises. M. Regulations - To observe and comply with all police, fire, and sanitary regulations imposed by any governmental authority or made by any fire insurance underwriter. N. Required Alterations - To carry out all modifications, alterations or changes of or to the Leased Premises required by such authorities as are set out hereinbefore. O. Inspection - To permit the Landlord or his agents at any time within three months next preceding the expiration or sooner determination of the Term to enter upon the Leased Premises and to affix upon any suitable part thereof a notice for re-letting the same or any part thereof and not to remove or obscure the same and to permit all persons authorized in writing by the Landlord and his agents to view the Leased Premises at all reasonable hours. P. Debris - The Tenant will not during the Term allow any refuse or debris to accumulate in or about the Leased Premises and will at all times keep the Leased Premises in a clean and wholesome condition and will observe all municipal by-laws and regulations affecting the Leased Premises and will © Copyright 2013 Docstoc Inc. 8 observe all municipal by-laws and regulations relating to the drains and sewers servicing the Leased Premises. Q. Leave In Good Repair i. At the end of the Term or upon sooner termination of the Term, the Tenant shall leave the Leased Premises neat, clean, free of all waste material and in good repair, save and except for reasonable wear and tear, and damage by fire, lightening and tempest. ii. If the Leased Premises are not left in the condition prescribed under this Section 11 by the Tenant, then the Landlord may carry out the work as agent of and at the expense of the Tenant and the Tenant shall pay to the Landlord all costs incurred in so doing. R. Storage of Material - The Tenant will not at any time during the Term store any material or supplies of any kind on or about any part of the Leased Premises outside the Building erected thereon without the prior written consent of the Landlord. S. Removal or Sale of Chattels - The Tenant will not without the consent in writing of the Landlord, at any time during the Term, sell, dispose of, or remove any of its goods and chattels from the Leased Premises except in the ordinary course of the Landlord's business, even though there are not arrears of rent, save to the extent it is immediately replaced, substituted or upgraded by other equipment or chattels of similar type save and except obsolete goods and chattels. T. Signs i. No signs, advertisements or notices shall be affixed or exposed to or near the Leased Premises without the prior written consent of the Landlord and such signs as may be allowed by the Landlord shall be the ordinary business signs of the Tenant and shall be of a neat and appropriate character subject always to the approval of the Landlord and shall be removed by the Tenant at the end or sooner termination of the Lease. Any injury or holes made in the walls or grounds shall be neatly and properly repaired by the Tenant at its expense and made to conform in appearance to the rest of the Building or grounds. ii. Such signs shall be located as follows: a. ____________________________________________ b. ____________________________________________ © Copyright 2013 Docstoc Inc. 9 U. Tenant's goods free from encumbrance - That the Tenant is the sole owner of all goods and chattels that are to be brought upon the Leased Premises and that such goods and chattels are free from any mortgage, lien or other charge or encumbrance except such encumbrances as are granted by the Tenant in the ordinary course of its business. V. No attachments on roof without consent - That the Tenant shall not erect on, or affix to the roof of the Building any television or radio antenna, sign, fixture or attachment of any kind without first receiving the written consent of the Landlord, which may be arbitrarily withheld or issued upon such terms and conditions as the Landlord, in its sole and absolute discretion, may deem advisable. W. Net Lease - The Tenant acknowledges and agrees that it is intended that this Lease be a completely carefree net Lease to the Landlord, except as expressly herein set out, that the Landlord is not responsible during the Term for any costs, charges, expenses and outlays of any nature whatsoever arising from or relating to the Leased Premises or the use and occupancy thereof or the contents thereof or the business carried on therein. The Tenant shall pay all charges, impositions, costs and expenses of every nature and kind relating to the Leased Premises except as expressly herein set out. X. Over holding - If the Tenant shall continue to occupy the Leased Premises after the expiration of the Term hereby granted, with the consent of the Landlord, then unless there shall be some written agreement to the contrary, the Tenant shall be deemed to be a monthly Tenant at a monthly rental equivalent to the rent payable in advance and all terms and conditions hereof shall so far as applicable, apply to such monthly tenancy. 12. LANDLORD'S COVENANTS The Landlord hereby covenants and agrees with the Tenant as follows: A. Quiet Enjoyment - For quiet enjoyment. B. Heating - To heat the Building, at the expense of the Tenant as set out aforesaid, to a temperature of not less than __________________ during the period from the _____ day of _____________ in each year of the Term to the _______ day of _____________ next following, and during normal business hours, by means of the heating equipment installed in the Building. C. Water and Hydro - To provide the Leased Premises with reasonable amounts of water and hot water and hydro at the expense of the Tenant as set out aforesaid. © Copyright 2013 Docstoc Inc. 10 13. MUTUAL COVENANTS The Landlord and the Tenant hereby mutually covenant and agree as follows: A. Renovations - It is understood and agreed between the parties hereto that the Tenant will make no renovations to the Leased Premises without the consent of the Landlord. It is agreed that all such renovations are to be paid for by the Tenant. It is further agreed that the Tenant will indemnify and hold harmless the Landlord with respect to any damage or loss suffered by the Landlord with respect to the completion of any renovations by the Tenant and without limiting the generality of the foregoing, such damage or loss to include that which may be occasioned by the Tenant's failure to pay any person engaged by it to complete the subject renovations; any physical damage occasioned to the Leased Premises as a result of the completion of the renovations; and any physical damage or loss occasioned by any individual as a result of the completion of the renovations. It is further agreed between the parties hereto that all such renovations are to remain in the Leased Premises at the termination of this Lease and that the same shall not be removed by the Tenant. B. Decorating - Subject to paragraph 11 the Tenant shall, at all times during the Term at its sole cost, keep and maintain the Leased Premises in good order, first-class condition and repair, which shall include, without limitation, painting and decorating as the Landlord may from time to time reasonably deem necessary. C. Installation of Equipment - The Tenant shall not install any equipment which will exceed or overload the capacity of any utility, electrical or mechanical facilities in the Leased Premises and the Tenant will not bring into the Leased Premises or install any utility, electrical or mechanical facility or service which the Landlord does not approve. The Tenant agrees that if any equipment installed by the Tenant requires additional utility, electrical or mechanical facilities, the Landlord may, in its sole discretion, if they are available, elect to install them at the Tenant's expense and in accordance with plans and specifications to be approved in advance in writing by the Landlord. D. Machinery - The Tenant shall not bring upon the Leased Premises or any part thereof, any machinery, equipment, article or thing that by reason of its weight, size or use, might in the opinion of the Landlord damage the Leased Premises and shall not at any time overload the floors of the Leased Premises. If any damage is caused to the Leased Premises by any machinery, equipment, object or thing or by overloading, or by any act, neglect or misuse on the part of the Tenant, or any of its servants, agents or employees, or any person having business with the Tenant, the Tenant will forthwith repair such damage, or at © Copyright 2013 Docstoc Inc. 11 the option of the Landlord, pay the Landlord forthwith on demand the cost of repairing such damage plus a sum equal to fifteen (15%) per cent of such costs representing the Landlord's overhead. E. Distress - The Tenant waives and renounces the benefit of any present or future act of the Legislature of the State of ______________________ taking away or limiting the Landlord's right to distress, and agrees with the Landlord that notwithstanding any such act, the Landlord may seize upon and sell all the Tenant's goods and chattels for payment of rent and costs as might have been done if such Act had not been passed. 14. ASSIGNMENT OR SUBLETTING A. The Tenant shall not assign this Lease nor sub-let the whole or any part of the Leased Premises without the prior written approval of the Landlord, such approval not to be arbitrarily withheld; provided, however, it shall not be unreasonable for the Landlord to refuse approval in respect of any proposed assignee or subtenant for whose respectability and financial responsibility the Tenant cannot produce satisfactory evidence. B. The Tenant shall reimburse the Landlord for all reasonable costs and expenses incurred by the Landlord in respect of giving its approval to assign or sublet to the Tenant hereunder. C. Upon the Tenant obtaining the approval of the Landlord to assign or sublet the whole or part of the Leased Premises, all monies payable by the assignee or the subtenant of the Leased Premises shall be paid directly to the Landlord who shall credit it when received, to the rent and other payments reserved hereunder. D. Any sublease or assignment entered into by the Tenant after obtaining the approval of the Landlord as described in paragraph 14 hereof, shall contain a covenant by the subtenant or assignee, as the case may be, not to assign, sublet or part with possession of the Leased Premises or any part thereof without the prior written consent of the Landlord. E. Notwithstanding any other provision herein, no assignment or subletting shall in any way affect or release the liability of the Tenant under the Lease and the prohibition against assignment or subletting herein shall remain in full force. 15. DESTRUCTION OF PREMISES © Copyright 2013 Docstoc Inc. 12 A. If the Leased Premises are totally destroyed by fire or the elements or otherwise, or are partially destroyed, so as to render the same wholly unfit for occupancy, or if they shall be so badly injured that they cannot be repaired with reasonable diligence within sixty (60) days of the happening of such injury, then this Lease shall cease and become null and void from the date of such damage or destruction, and the Tenant shall immediately surrender the Leased Premises and all interest therein to the Landlord, and the Tenant shall pay rent only to the time of such destruction and in case of such destruction, or partial destruction, as above mentioned, the Landlord may re-enter or repossess the Leased Premises discharged of this Lease, and may remove all parties there from. B. If the Leased Premises are partially destroyed by fire or the elements or otherwise and can be repaired with reasonable diligence within sixty (60) days from the happening of said injury, and i. If the damage is such as to render the Leased Premises wholly unfit for occupancy, then the rent shall not run or accrue after the said injury, or while the process of repairs in going on, and the Landlord shall repair the same with all reasonable speed, and then the rent shall recommence immediately when the Leased Premises shall become again habitable by the Tenant for the purpose of carrying on its business as aforesaid; or iii. If the damage is such that the Leased Premises can be partially used, then and until such damage shall have been repaired rent shall abate in the proportion that the part of the Leased Premises which cannot be occupied and used by the Tenant, bears to the whole of the Leased Premises, until such damage shall have been repaired and the Leased Premises rendered habitable by the Tenant for the purpose of carrying on its business as aforesaid. C. In the event that the Landlord, at any time during the Term of the Lease or any renewals thereof, desires to demolish the Building as described in Paragraph 2 herein, within which the Leased Premises are located, the Tenant will, on receiving ______ (___)[Instruction: insert any number] months' notice in writing, surrender the Lease and all the remainder of the Term, if any, then yet to come and unexpired, as from the day mentioned in such notice, and will vacate the Leased Premises and will yield up to the Landlord the peaceable possession thereof. It is hereby agreed and understood that the said _______ (___) [Instruction: insert any number◊] months' notice need not expire at the end of any calendar year or lease year or at the end of any month, and in the event that the day fixed for termination of the Lease falls on some day other than the first day of a month, the rent for such month shall be apportioned for such broken period. During the _______ (___)[Instruction: insert any number] month period following the giving of notice by the © Copyright 2013 Docstoc Inc. 13 Landlord for vacant possession, the Tenant shall be entitled to remain in possession thereof and shall not be responsible for making any payments on account of rent therefore. 16. DEFAULT A. Seizure and Sale If and whenever: i. The rent hereby reserved, or any part thereof, be not paid when due, or there is non-payment of any other sums which the Tenant is obligated to pay under any provisions hereof; or ii. Notwithstanding anything herein contained to the contrary, if the Tenant shall fail to comply with any of its covenants hereunder, except the covenant to pay rent, and the Landlord gives to the Tenant notice in writing stating the default with reasonably sufficient particulars and requiring it to be remedied, and if such default is not remedied by the Tenant within ________________ (____)[Instruction: insert any number◊] days after the receipt of such notice, or such longer period as may be reasonably necessary in view of the nature of the default; or iii. The Term hereby granted, or any goods, chattels or equipment of the Tenant, shall be taken or eligible in execution or in attachment or if a writ of execution shall issue against the Tenant; or iv. The Tenant shall become insolvent or commit an act of bankruptcy or become bankrupt or take the benefit of any act that may be in force for bankrupt or insolvent debtors or become involved in voluntary or involuntary winding-up proceedings or if a receiver shall be appointed for the business, property, affairs or revenues of the Tenant; or v. The Tenant shall make a bulk sale of its goods or move or commence, attempt or threaten to move its goods, chattels and equipment out of the Leased Premises (other than in the routine course of its business) or shall cease to conduct business from the Leased Premises; or vi. The Tenant shall not observe, perform and keep each and every of the covenants, agreements, provisions, stipulations and conditions herein contained to be observed, performed and kept by the Tenant and shall persist in such failure after ________ (___)[Instruction: © Copyright 2013 Docstoc Inc. 14 insert any number] days' notice by the Landlord requiring that the Tenant remedy, correct, desist or comply or in the case of any such breach which reasonably would require more than ________ (___)[Instruction: insert any number] days to rectify unless the Tenant shall commence rectification within the _______ (____)[Instruction: insert any number] days' notice period and thereafter promptly and diligently and continuously proceed with the rectification of the breach; then and in any of such cases, at the option of the Landlord, the full amount of the current month's rent as well as the rent for the three months next owing shall immediately become due and payable and the Landlord may immediately distain for the same, together with any arrears then unpaid; and the Landlord may without notice or any form of legal process forthwith re-enter upon and take possession of the Leased Premises or any part thereof in the name of the whole and remove and sell the Tenant's goods, chattels and equipment there from any rule of law or equity to the contrary notwithstanding; and the Landlord may seize and sell such goods, chattels and equipment of the Tenant as are in the Leased Premises or at any place to which the Tenant or any other person may have removed them in the same manner as if they had remained and been detrained upon the Leased Premises; any such sale may be affected in the discretion of the Landlord either by public auction or by private treaty, and either in bulk or by individual item, or partly by one means and partly by another, all as the Landlord in its entire discretion may decide. B. Waiver of Exemption and Redemption - The Tenant hereby agrees with the Landlord that notwithstanding anything contained in any Statute in force limiting or abrogating the right of distress or in any other Statute in that regard which may hereafter be passed, none of the Tenant's goods or chattels on the Leased Premises at any time during the continuance of the Term shall be exempt from levy by distress for rent in arrears and that upon any claim being made for such exemption by the Tenant or on distress being made by the Landlord this Agreement may be pleaded as an estoppel against the Tenant in any action brought to test the right to the levying upon any such goods as are named as exempted in any such Statute, the Tenant waiving as it hereby does, all and every benefit that could or might have accrued to the Tenant under and by virtue of any such Statute, but for this Agreement. The Tenant hereby expressly waives any and all rights of redemption granted by or under any present or future laws in the event of the Landlord obtaining possession of the Leased Premises, by reason of the violation by the Tenant of any of the covenants or conditions of this Lease or otherwise. C. Surrender - If and whenever the Landlord shall be entitled to or does re- enter, the Landlord may terminate this Lease by giving notice thereof, and in © Copyright 2013 Docstoc Inc. 15 such event the Tenant shall forthwith vacate and surrender the Leased Premises. D. Payments - If the Landlord shall re-enter or if this Lease shall be so terminated, the Tenant shall pay to the Landlord on demand: i. Rent up to the time of re-entry or termination whichever shall be the later plus accelerated rent as herein provided; ii. All other amounts payable hereunder until such time; iii. Such expenses as the Landlord may incur or have incurred in connection with re-entering or terminating and re-letting, or collecting sums due or payable by the Tenant or realizing upon assets seized including brokerage, legal fees and disbursements, and the expense of keeping the Leased Premises in good order, repairing the same and preparing them for re-letting; and iv. As liquidated damages for the loss of rental and other income of the Landlord expected to be derived from the Lease during the period which would have constituted the unexpired portion of the Term had it not been terminated, the amount, if any, by which the rental value of the Leased Premises for such period established by reference to the terms and provisions of this Lease, exceeds the rental value of the Leased Premises for such period established by reference to the terms and provisions upon which the Landlord relents them, if such re-letting is accomplished within a reasonable time after termination of this Lease, and otherwise with reference to all market and other relevant circumstances. Rental value is to be computed in each case by reducing to present worth at an assumed interest rate of ________ (___%) [Instruction: insert any number] per cent per annum all rental and other amounts to become payable for such period and where the ascertainment of amounts to become payable requires it, the Landlord may make estimates and assumptions of fact which shall govern unless shown to be unreasonable or erroneous. 17. SUCCESSORS, ETC. It is further understood and agreed that the covenants and agreements herein contained shall be binding upon and shall ensure to the benefit of the parties hereto and their respective heirs, executors, administrators, successors and assigns. 18. SALE OF LANDS © Copyright 2013 Docstoc Inc. 16 A. In the event of a sale or transfer or mortgage of, or the raising of funds charged upon the lands or premises by the Landlord, this Lease or the rentals arising therefrom may be assigned by the Landlord to the purchaser, transferee, lessee or mortgagee, or any trustee for them, (hereinafter severally and jointly together with any purchaser from or successor to them collectively called an "Encumbrancer"). B. In the event of any Encumbrancer duly going into possession of the lands and/or premises, the Tenant shall attorney to and become the Tenant of such Encumbrancer. 19. ENCUMBRANCER This Lease is subject and subordinate to the rights of any Encumbrancer and on request at any time and from time to time of the Landlord or an Encumbrancer the Tenant shall promptly execute and deliver any instrument or further assurance reasonably required to: A. postpone and subordinate this Lease to such Encumbrancer to the intent and effect that this Lease and all the rights of the Tenant shall be subject to the rights of such Encumbrancer as though the same existed prior to the making of this Lease; B. attorney to the Encumbrancer, and become bound to the Encumbrancer, as Tenant of the Leased Premises for the then unexpired term of this Lease and upon the conditions herein contained; and C. no attornment or subordination aforesaid by the Tenant shall have the effect of disturbing the Tenant's occupation and possession of the Leased Premises as long as the Tenant is not in default hereunder and complies with all of the covenants, terms and conditions hereof. 20. INDEMNIFICATION The Tenant will indemnify the Landlord and save it harmless from and against any and all claims, actions, damages, liability and expense in connection with loss of life, personal injury or damage to property arising from or out of the occupancy or use by the Tenant of the Leased Premises or any part thereof or any other part of the Landlord's property, occasioned wholly or in part by any negligent act or omission of the Tenant, its officers, agents, contractors, employees or servants. 21. WAIVER © Copyright 2013 Docstoc Inc. 17 No act or omission of a Party, nor any condonement, excusing or overlooking by a Party of any default, breach or non-observance by the other at any time or times in respect of any covenant, proviso or condition herein contained, shall operate as a precedent nor as a waiver of that Party's rights hereunder in respect of any subsequent default, breach or non-observance, nor so as to defeat or affect in any way the rights of the Party in respect of any subsequent default, breach or non-observance. 22. CONSTRUED COVENANTS All of the provisions of this Lease are to be construed as covenants and agreements as though the words importing such covenants and agreements were used in each separate paragraph hereof. Should any provision of this Lease be or become illegal or not enforceable it shall be considered separate and severable from the Lease and the remaining provisions shall remain in force and be binding upon the parties hereto as though the said provision had not been included. 23. OWNER MAY PERFORM COVENANTS A. If the Tenant shall fail to perform any of the covenants or obligations of the Tenant under this Lease the Landlord may from time to time (but shall not be so obliged) at its discretion perform or cause to be performed the covenant or obligation or any part thereof wherein the Tenant is in breach; and for such purpose may make any payment and/or do or cause to be done such things as may be requisite including without limitation of the generality of the foregoing entry upon the Leased Premises. B. All expenses, costs and expenditures thereby incurred shall forthwith on demand be paid by the Tenant and may be recovered by all remedies available for recovery of rent in arrears; and the Landlord shall not be liable for any loss or damage to the Tenant's property or business caused by reasonable and responsible acts of the Landlord. 24. INTEREST AND COSTS The Tenant shall pay to the Landlord interest at the rate of _____________ (____%)[Instruction: insert any number] percent per month or _____________ (___%)[Instruction: insert any number] percent per year , upon all rentals or other payments required to be made hereunder from the date for payment thereof until the same are fully paid and satisfied and the Tenant shall pay and indemnify the Landlord against all costs and charges lawfully and reasonably incurred in enforcing payment thereof and in obtaining possession of the Leased Premises after default of the Tenant, or upon expiration or earlier termination of the Term of this Lease, or in enforcing any covenant, proviso or agreement of the Tenant herein contained. © Copyright 2013 Docstoc Inc. 18 25. NOTICES It is understood and agreed that all notices and elections under any clause, covenant, term or condition of this Lease required or to be given may be given to the Tenant by delivering the same addressed to the Tenant at: ________________________ ________________________ and any notice may be given to the Landlord by delivering the same addressed to the Landlord at: ________________________ ________________________ which said notice or notices shall irrefutably be presumed to have been received on the day next following the date of their delivery. Either Party may from time to time change their address for notices as hereinbefore set out by notice to the other Party in accordance with this paragraph. 26. INTERPRETATION Wherever the singular and masculine or neuter gender are used throughout this Lease, they shall be construed as if the plural or feminine had been used, where the context or the party or parties hereto so require, and the rest of the sentence in each case shall be construed as if the grammatical and terminological changes thereby rendered necessary had been made. Any marginal notes and all headings and titles have been inserted for purposes of reference and convenience only and shall have no effect whatsoever on the meaning, interpretation or construction of any of the provisions of this Lease. 27. TIME Time shall be and remain of the essence of this Lease. © Copyright 2013 Docstoc Inc. 19 28. LAW OF THE CONTRACT This Lease shall be construed under the laws of the State of _______________. IN WITNESS WHEREOF the said parties have hereunto set their hands and seals as of the day and year first written above. (TENANT) Per: Name: Title: I have authority to bind the Company. (LANDLORD) Per: Name: Title: I have authority to bind the Company. © Copyright 2013 Docstoc Inc. 20 SCHEDULE “A” 1. ________________________________________________________ 2. ________________________________________________________ 3. ________________________________________________________ 4. ________________________________________________________ 5. ________________________________________________________ © Copyright 2013 Docstoc Inc. 21
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