CONTRACT OF WARRANTY

KNOW ALL MEN BY THESE PRESENTS:

This Contract of Warranty is made and entered into by and between:

DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES,

ENVIRONMENTAL MANAGEMENT BUREAU REGION XII, a Government
agency with office address at Siyambio Building, City of Koronadal, South
Cotabato represented by its Regional Director, DATU TUNGKO M. SAIKOL,
Filipino, of legal age, married and a resident of Koronadal City, South Cotabato,
hereinafter known as the FIRST PARTY;

- and -

LOLOY REPAIR SHOP, a business entity with address at Koronadal City,

South Cotabato, herein represented by Owner/Proprietor, MARCELO
BELINARIO, Filipino, of legal age, married and a resident of Datu Piang St.,
City of Koronadal, South Cotabato, Philippines, hereinafter known as the
SECOND PARTY;

WITNESSETH:

WHEREAS, the FIRST PARTY has a Job Order Contract with the SECOND
PARTY whereby the FIRST PARTY hires the services of the SECOND PARTY for
engine overhauling, electrical wiring and materials and engine alignment of EMB
12 Service Vehicle With Plate No. SDL-245, owned by the FIRST PARTY, dated
February 1, 2002;

NOW THEREFORE, for and in consideration of the above premises and

pursuant to above-said Job Order Contract, both parties hereby covenant, agree
and bind themselves to be governed by the following terms and conditions:

1. The SECOND PARTY shall give a 90-day warranty in favor of the

FIRST PARTY against back-jobs of the repair of the EMB 12 Service
Vehicle with Plate No. SDL-245, subject of the Job Order Contract
between the FIRST PARTY and SECOND PARTY;

2. Said warranty shall take effect on February 1, 2002 up to May 1,

2002;

3. The warranty granted shall cover all defects and damages caused
by and/or related to poor/sub-standard repair and performance in
overhauling of the engine, electrical wiring and materials, and
alignment of the engine of the vehicle and all other violations of the
specifications, terms and conditions of the Job Order Contract
entered into by the FIRST PARTY and the SECOND PARTY;

4. All back-jobs and those covered by this Contract of Warranty shall

be at the cost of the SECOND PARTY without any right of
reimbursement from the FIRST PARTY;

5. Litigation which may arise from this Contract shall be filed in the
proper court of City of Koronadal, South Cotabato.
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IN WITNESS WHEREOF, the parties have hereunto set their hands this
____ day of _______________ at the City of Koronadal, South Cotabato,
Philippines.

DEPARTMENT OF ENVIRONMENT LOLOY REPAIR SHOP

AND NATURAL RESOURCES- DATU PIANG ST. KORONADAL CITY
ENVIRONMENT MANAGEMENT Second Party
BUREAU REGION XII
First Party

Represented by: Represented by:

DATU TUNGKO M. SAIKOL MARCELO E. BELINARIO

Regional Director Owner/Proprietor

SIGNED IN THE PRESENCE OF:

1. __________________ 2. _____________________

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES)

PROVINCE OF SOUTH COTABATO )S.S.
CITY OF KORONADAL )
X---------------------X

BEFORE ME, this _____ day of ______________ at the City of

Koronadal, South Cotabato, Philippines, personally appeared:

DATU TUNGKO M. SAIKOL - ____________-________-_____________________

MARCELINO E. BELINARIO - ____________-________-_____________________

known to me to be the same persons who executed the foregoing instrument

and they acknowledged to me that the same is their own free, voluntary act and
deed.

WITNESS MY HAND AND SEAL.

Doc. No. _____;

Page No. _____;
Book No. _____;
Series of 2002.