COMMERCIAL EQUIPMENT LEASE

 

                                       Preamble - Parties and Premise  

Global Industrial Products, referred to in this lease as "Lessor", hereby leases to (Your Business Name), referred to in this lease as "Lessee," certain equipment as identified in "Exhibit A," referred to in this lease as "The Equipment," and located at (Your Business Address).  

The parties agree to be legally bound as follows:  

                                                          Term

  The term of this lease shall be for a period of one year commencing at 12:01 A.M. on the (Date of Lease Agreement), and ending one year later, unless sooner terminated as herein provided.

                                                             Rent

  Lessee agrees to pay to Lessor as rent for the use of the equipment the sum of $1.00 per year at the office of the Lessor or such other place or places as Lessor may from time to time designate by written notice given to Lessee.

                                                     Extended Term

  Should Lessee fully and faithfully perform all the terms and conditions of this lease for the full term specified, Lessee may extend this lease for a further term of one year commencing on expiration of the full term specified in this lease, by giving Lessor written notice of Lessee's desire to do so at least 30 days prior to expiration of the original term of this lease.  Lessee may further extend the term of this lease for additional one year terms following the expiration of the period referred to immediately above.

                                                   Use of Equipment

  The equipment shall be used by Lessee to crimp together hydraulic hoses and fittings purchased from Lessor and for no other use or uses without the express written consent of Lessor.  

                                                      Alterations  

Lessee shall not make or permit any other person to make any alterations to the equipment without the prior written consent of Lessor.  Should Lessor consent to the making of any alterations to the equipment by Lessee, that alterations shall be made at the sole cost and expense of Lessee by a contractor or other person selected by Lessee and approved in writing before work commences by Lessor.  Any and all alterations, additions, or improvements made to the equipment shall on expiration or sooner termination of this lease become the property of Lessor and remain on the equipment; provided, however, that on expiration or sooner termination of this lease and written demand being given by Lessor, Lessee shall at Lessee's sole cost and expense remove all alterations, additions, and improvements made to the equipment by Lessee and pay all costs of repairing any damages to the equipment caused by their removal.

                                              Maintenance and Repairs

  Lessee admits, by entering into possession under this lease, that the equipment is now in good, clean, and safe condition and repair.  Lessee shall, at all times during the term of this lease and any renewal or extension thereof, maintain, at Lessee's sole cost and expense, the equipment in good, clean, and safe condition, and shall on expiration or sooner termination of this lease surrender the equipment to Lessor in as good condition and repair as they are in on the date of this lease, reasonable wear and tear and damage by the elements excepted.  Lessee hereby waives any right to make repairs to the equipment at the expense of Lessor as provided by any law or statute now or hereafter enacted.

                                                 Inspection by Lessor  

Lessee shall permit Lessor or Lessor's agents, representatives, or employees to enter the premises all reasonable times for the purpose of inspecting the equipment to determine whether Lessee is complying with the terms of this lease and for the purpose of doing other lawful acts that may be necessary to protect Lessor's interests in the equipment under this lease.

                                             Destruction of Equipment

  Should the equipment be damaged or destroyed by fault of Lessee, Lessee shall at Lessee's sole cost and expense promptly repair the same; however, that should the cost of repairing the damage or destruction exceed 100 percent of the full replacement cost of the equipment, Lessee may, in lieu of making the repairs required by this paragraph, terminate this lease by paying Lessor full replacement cost of the equipment.

                                         No Assignment or Subleasing

  Lessee shall not encumber, assign, or otherwise transfer this lease, any right or interest in this lease, or any right or interest in the equipment without the prior express written consent of Lessor.  Neither shall Lessee sublet the equipment or any part thereof or allow any other persons, other than Lessee's agents and employees, to use the equipment or any part thereof without the prior written consent of Lessor.  Any encumbrance, assignment, transfer, or subletting without the prior written consent of Lessor, whether it be voluntary or involuntary, by operation of law or otherwise, is void and shall, at the option of Lessor, terminate this lease.

                                               Surrender of Equipment

  On expiration or sooner termination of this lease, or any extensions or renewals of this lease, Lessee shall promptly surrender and deliver the equipment to Lessor in as good condition as it is now at the date of this lease, reasonable wear and tear excepted.

                                                         Indemnity  

Lessee shall indemnify and hold Lessor and the property of the Lessor, including the equipment, free and harmless from any and all liability, claims, loss, damages or expenses, including counsel fees and costs, arising by reason of the death or injury of any person, including Lessee, or any person who is an employee or agent of the Lessee, or by reason of damage to or destruction of any property, including property owned by Lessee or any person who is an employee or agent of Lessee, caused or allegedly caused by:

  (a)   any cause whatsoever while such person or property is in or on the Lessee's premises or in any way connected with the premises or with any personal property of the premises;

  (b)   some condition of the equipment;

  (c)   some act or omission on the premises of Lessee or any person in, on, or about the premises with the permission of Lessee; or

  (d)   any matter connected with Lessee's use of the equipment.

                                                         Insurance

  Lessee shall, at its own cost and expense, secure within ten days and maintain during the entire term of this lease and any renewals or extensions of such term a broad comprehensive coverage insurance policy issued by an insurance company acceptable to Lessor and insuring Lessor against loss.

                                    Acts Constituting Breaches by Lessee

  Lessee shall be guilty of a material default and breach of this lease should:

  (a)   any rent be unpaid when due and remain unpaid for one day after written notice to pay such rent or surrender possession of the equipment has been given to Lessee by Lessor;

  (b)   Lessee default in the performance of or breach any provision, covenant, or condition of this lease other than one for the payment of rent and such default or breach is not cured within ten days after written notice thereof is given by Lessor to Lessee;

  (c)   execution or attachment be levied on all or substantially all of Lessee's property and assets and not be discharged within 20 days.

  (d)   Lessee fail to purchase at least $_________ each year the lease is in force.

                                    Lessor's Remedies for Lessee's Default

  Should Lessee be guilty of a material default and breach of this lease as defined in this lease, Lessor, in addition to any other remedies given Lessor by law or equity, may terminate Lessee's right to possession of the equipment, thereby terminating this lease, and recover from Lessee:

  (1)   The equipment as described in "Exhibit A";

  (2)   Any other amount necessary to compensate Lessor for all detriment proximately caused by Lessee's failure to perform Lessee's obligations under this lease; or

  (3)   in lieu of, or in addition to, bringing an action for any or all of the recoveries described in this lease, bring action to recover and regain possession of the equipment in the manner provided by the laws of the State of Florida.  

                                                 Waiver of Breach

  The waiver by Lessor of any breach by Lessee of any of the provisions of this lease shall not constitute a continuing waiver or a waiver of and subsequent breach by Lessee either of the same or another provision of this lease.

                                     Force Majeure - Unavoidable Delays

  Should the performance of any act required by this lease to be performance by either Lessor or Lessee be prevented or delayed by reason of an act of God, strike, lockout, labor troubles, inability to secure materials, restrictive governmental laws or regulations, or any other cause, except financial inability, not the fault of the party required to perform the act, the time for performance of the act will be extended for a period equivalent to the period of delay and performance of the act during the period of delay will be excused; provided, however, that nothing contained in this section shall excused the prompt payment of rent by Lessee as required by this lease or the performance of any act rendered difficult solely because of the financial condition of the party, Lessor or Lessee, required to perform the act.

                                                     Attorneys' Fees

  Should any litigation or arbitration be commenced between the parties to this lease concerning the equipment, this lease, or the rights and duties of either in relation thereto, the party, Lessor or Lessee, prevailing in such litigation or arbitration shall be entitled, in addition to such other relief as may be granted, to a reasonable sum for its attorneys' fees.

                                                           Notices

  Except as otherwise expressly provided by law, any and all notices or other communications required or permitted by this lease or by law to be served on or given to either party hereto by the other party hereto shall be in writing and shall be deemed duly served and given when personally delivered to (any member of) the party to whom they are directed, or in lieu of such personal service when deposited in the United States mail, first-class postage prepaid, addressed to Lessee at (Your Business Address), or to Lessor at 13170 N.W. 43rd Avenue, Opa-Locka, Fl 33054.  Either party, Lessee or Lessor, may change his address for the purpose of this section by given written notice of such change to other party in the manner provided in this section.

                                      Binding on Heirs and Successors

  This lease shall be binding on and shall inure to the benefit of the heirs, executors, administrators, successors, and assigns of the parties hereto, Lessor and Lessee, but nothing in this section contained shall be construed as a consent by Lessor to any assignment of this lease or any interest therein by Lessee.

                                                    Partial Invalidity

  Should any provision of this lease be held by a court of competent jurisdiction to be either invalid, void, or unenforceable, the remaining provisions of this lease shall remain in full force and effect unimpaired by the holding.  

                                            Sole and Only Agreement  

This instrument constitutes the sole and only agreement between Lessor and Lessee respecting the equipment, the leasing of the equipment to Lessee, or the lease term herein specified, and correctly sets forth the obligations of Lessor and Lessee to each as of its date.  Any agreements or representations respecting the equipment or its leasing by Lessor to Lessee not expressly set forth in this instrument are void.  

                                                  Time of Essence

  Time is expressly declared to be the essence of this lease.

  EXECUTED on _________________________, 20____, at Opa-Locka, Florida.

                                                                  LESSOR

                                                                Global Industrial Products

                                                                  By:___________________________

                                                                           Mario E. Hernandez

                                                                  LESSEE

                                                                (Your Business Name)

                                                                  By:___________________________

                                                                               (Your Name)