CONTRACT OF LEASE

This Contract of Lease, made and entered into this _____ day of
_______________ 2022 at Iloilo City, Philippines, by and between:

DR. ANDREA DOLAR SAYO, Filipino, of legal age, married and

resident of #387, E. Lopez St., San Vicente, Jaro, Iloilo City, hereinafter
referred to as LESSOR/OWNER;

and

MR. RAMEL YANG UY, Filipino, of legal age, married and resident
of Purok 5, Fuentebella Subdivision, Taculing, Bacolod City, hereinafter
referred to as LESSEE/TENANT.

WITNESSETH:

For and in consideration of the payment of rent, the

LESSOR/OWNER have agreed to lease, as they hereby lease to the
LESSEE/TENANT, and the latter has agreed to accept, as it does hereby
accept, under lease, the premises with an area of approximately
____________________ (___) square meters known and designated as
__________________________________________________ located in E. Lopez St., San
Vicente, Jaro, Iloilo City, under the following covenants and conditions:

OBJECT OF LEASE: The LESSEE/TENANT will rent and occupy the

specified area for use as office and display center of his business
activities.

1. AMOUNT AND PAYMENT OF RENT:

1.1. The LESSEE/TENANT shall pay the monthly rental of
Twenty Two Thousand (₱22,000.00) Pesos, Philippine
Currency and the same shall be payable in advance during
the 5th day of each month starting April 2022 (if it falls on
a Saturday, Sunday or a holiday, the payment shall be on
the next working day). In case of the failure of the LESSEE
to pay on the said 5th day, the payment shall thereafter be
made within three (3) days at the residence of the
LESSOR/OWNER in #387, E. Lopez St., San Vicente, Jaro,
Iloilo City, without necessity of demand. Thereafter, an
escalation fee equivalent to Ten percent of the rental fee
should be added to the regular monthly rental every two
(2) succeeding years of occupancy.

1.2. Upon signing of the contract, the LESSEE/TENANT should

pay in advance an equivalent of one (1) month rental fee of
Twenty Two Thousand Pesos to the LESSOR/OWNER. In
 2

addition to the above stipulated monthly rental, the

LESSEE/TENANT shall deposit in cash to the LESSOR the
sum of Sixty Six Thousand (₱66,000.00) Pesos, Philippine
Currency (equivalent to three [3] months rental fee. In
addition, the LESSEE/TENANT should also give an amount
of SIXTY SIX THOUSAND PESOS (equivalent to three
months rental fee) as a deposit to the LESSOR/OWNER to
answer for any of its obligations under this contract, to be
returned upon the termination of this lease less whatever
account the LESSEE might then be owing to the
LESSOR/OWNER, upon expiration of the term or earlier
withdrawal from the rented area. Specifically, refund of the
deposit will be issued back to the LESSEE/TENANT after
all bills (rental fees, repairs of damaged item, electricity and
water) have been fully paid.

1.3 Deposits are not considered rental payments and delayed

payment will give the LESSOR/OWNER the option to cancel this
contract after ten (10) day notice of such cancellation. Thereafter,
the LESSOR/OWNER are hereby authorized to padlock the leased
premises without any liability whatsoever.

1.4 In the event of extraordinary inflation of the currency

supervenes during the effectivity of this contract, the value of the
currency at the time of the establishment of the obligation shall be
the basis of payment as provided for in Article 1250 of the New
Civil Code of the Philippines. Thus, the LESSOR/OWNER do
hereby reserve the right to accordingly increase the rate of rental
payment in this contract under the foregoing circumstances.

2. TERM.
2.1. This lease shall be for a period of five (5) year from April
_____, 2022 to April _____, 2027 subject to renewal upon
expiration. This term shall not be deemed to be extended
for any reason whatsoever, unless the LESSOR/OWNER
shall agree in writing to renew this contract under the
terms and conditions agreed upon by the parties.
2.2. In the event that the LESSEE/TENANT decides to vacate
the place earlier than the specified term, the
LESSEE/TENANT should inform the LESSOR/OWNER at
least two (2) months in advance for security purposes.
2.3. If ever the LESSOR/OWNER decides to use the place for
other business activity, the LESSEE/TENANT should be
given ample time to vacate the place, at least four (4)
months in advance.

3. USE OF PREMISES. The LESSEE/TENANT shall not use

the leased premises for dwelling or residential purposes. The
 3

premises hereby leased shall be used exclusively by the

LESSEE/TENANT for commercial purposes only. However, one
person may be allowed to stay in the leased premises after closing
time to watch the same.
3.1. Only the designated area should be occupied by the
LESSEE/TENANT primarily for its exclusive use. Use of
other areas should first be consulted with and have the
permission of the LESSOR/OWNER.
3.2. Maintenance and cleanliness of the designated place should
be handled by the LESSEE/TENANT.
3.3. Improvement(s) of the designated place are to be done by
the LESSEE/TENANT with prior approval from the OWNER
for proper arrangements, and to prevent
miscommunication. Permanent fixtures made by the
Tenant will become the property of the LESSOR/OWNER
and should not be taken out upon expiration of the
contract.
3.4. The LESSEE/TENANT should secure his own business
permit as per LGU requirement.
3.5. The LESSOR/OWNER is not responsible for any accident or
injury that might be inflicted/caused to the visitors within
the rented premises.

4. ALTERATIONS, INSTALLATIONS, ADDITIONS,

IMPROVEMENTS. If the LESSEE should desire to have any
alterations, installations, additions or improvements made on the
premises, the same shall be done only with the prior written
consent of the LESSORS at the expense of the LESSEE. It is further
agreed that all such alterations, installations, additions or
improvements except the movable furniture and fixtures put in at
the expense of the LESSEE and removable without defacing or
injuring the leased premises, shall, if so elected by the LESSORS,
become their property and shall remain upon, and be surrendered
with, the premises as part of thereof at the termination of the
lease without compensation to the LESSEE. If the lessors do not
elect to retain such alterations, installations, additions or
improvements, the premises shall be restored to their original
condition by the LESSORS at the expense of the LESSEE.
4.1. ELECTRICITY:
4.1.1. The OWNER will provide a sub-meter to the rented
area exclusively for the TENANT use.
4.1.2. Payment of the TENANT’S electric bill should be
made five (5) days before due date of the OWNER’S
electric bill.
4.1.3. Installation of additional electrical connections and
devices within the rented area should be shouldered
by the TENANT with prior approval from the
 4

OWNER to prevent overloading of the electrical

system.

4.2. WATER:
4.2.1. The OWNER will provide water connection to the
rented area and the TENANT should pay promptly
the bill as per charged by the water utility company.
4.2.2. Repair and maintenance of the water system on the
tenant side are to be handled by the TENANT.
4.2.3. The water system should be used only by the
TENANT staying within the shop premises.
Supplying water to outsiders is prohibited.
4.3. SECURITY:
4.3.1. Security of the rented place should be the
responsibility of the TENANT.

5. ELECTRIC/WATER/TELEPHONE BILLS. The electric,

water and/or telephone bills shall be to the account of the
LESSEE. Utility bills must be paid within five (5) days after the bill
is due. If after thirty (30) days, the bill is still unpaid, the LESSOR
shall have the option and the right to have the utility/service
connection disconnected without need of any further notice in
order to prevent the accumulation of unpaid bills, which will be
detrimental to the LESSOR and future occupants once the LESSEE,
has left. The LESSOR has the right to see/inspect bill payment
receipts even if the utility service connection is in the name of the
LESSEE.

6. CARE OF LEASED PREMISES.

6.1. The LESSEE shall at its expense, maintain the leased
premises in a clean and sanitary condition free from
obnoxious odors, disturbing noises or other nuisances.
6.2. The LESSEE shall not bring into or store in the leased
premises anything corrosive, flammable or explosive
nature, or install any gadget, apparatus or equipment which
may cause obnoxious odors, tremors or noise, or which
may expose the leased premises to ire or increase the fire
hazards of the building or change the insurance rate of the
building.
6.3. In case the LESSEE has an outstanding obligation under this
contract, the lessors as well as their employees, agents and
representatives, are hereby granted the right and authority
without incurring civil or criminal liability of any kind, to
prevent the lessee, employees, agents or representatives,
whether by force or otherwise from taking out furniture,
 5

fixtures or equipment and other miscellaneous items from

the leased premises.

7. INJURY OR DAMAGE TO THIRD PERSONS OR LESSEE. The

LESSEE hereby assumes full responsibility for any damage which
may be caused to the person or property of third persons while
remaining wither casually or on business in any part of the
premises leased to the LESSEE and further binds himself to hold
the LESSORS free and harmless from any such claim for injury or
damage.

8. INSPECTION OF PREMISES. The LESSORS or their

authorized agent shall have the right to enter the leased premises
at any time to examine the same, or for any purpose which it may
deem necessary for the operation or maintenance of the building
or its installations, and, during the last three months of the term
of the lease to exhibit the leased premises to prospective tenants.
9. ACCESS FOR REPAIRS, ETC. The LESSEE shall at all times
allow and give access to the LESSORS to the leased premises for
the purpose of making repairs, remodeling or repainting or to
undertake all works necessary for the preservation, conservation,
improvement or decoration of the building or any part thereof. No
compensation or claim shall be allowed against the LESSORS by
reason of the inconvenience, annoyance or injury to the LESSEE’s
business that may arise by virtue of undertaking any work under
this provision.

10. SUBLEASE, TRANSFER OF RIGHTS. The LESSEE shall

not assign or transfer its rights in this contract, or sublease or
sublet all or any part of the leased premises, without the prior
written consent of the LESSORS.

11. TERMINATION OF LEASE.

11.1 The LESSEE agrees to return and surrender to the LESSORS
the leased premises at the expiration of the term of this lease
without delay whatsoever devoid of all occupants, furniture,
articles and effects of any kind other than such alterations,
installations, additions or improvements which the LESSORS may
elect to take.
11.2 If the leased premises be not surrendered at the expiration
of the term, the LESSEE shall pay by way of penalty, a sum
equivalent to the amount of the rentals for the leased premises for
the whole period of delay. It is hereby agreed that such penalty
shall be in addition to the rentals corresponding to the period of
the delay. Payment of said penalty shall likewise be without
prejudice to the attorney’s fees and other liabilities. The LESSEE
shall furthermore hold the LESSORS harmless from any liability in
respect of any and all claims made by succeeding tenant against
 6

the LESSORS, resulting from the delay by the LESSORS in

delivering possession of the premises to such succeeding tenant,
in so far as such delay is occasioned by the failure of the LESSEE
to so surrender the premises on time.

12. DISTURBANCE. Disturbance or discontinuance of the

LESSEE’s possession of the leased premises by causes beyond the
control of the LESSORS shall confer no right of any kind to the
LESSEE against the LESSORS.

13. ABANDONMENT.In case the leased premises shall be

deserted or vacated before the expiration of this lease, the
LESSORS shall have the right to enter the same as the agent of the
LESSEE, either by force or otherwise, without being liable to any
prosecution therefore, and to relet the same as the agent of the
LESSEE, and to receive the rent therefore, and to apply the same
to the payment of the rent due hereinunder holding the LESSEE
liable for any deficiency.

14. NON-WAIVER. The failure of the LESSORS to insist upon

a strict performance of any of the terms, conditions and covenants
thereof shall not be deemed a relinquishment or waiver of any
rights or remedy that said LESSORS may have, nor shall it be
construed as a waiver of any subsequent breach or default of the
terms, conditions and covenants shall continue to be in full force
and affect. No waiver by the LESSORS of any of its rights under
this contract shall be deemed to have been made unless expressed
in writing and signed by the LESSORS.

15. BREACH OR DEFAULT.

15.1. The LESSEE agrees that, all the covenants and agreements
herein contained shall be deemed essential conditions
hereof and that the LESSEE’s default or breach of any such
conditions shall be cause for the immediate termination
and cancellation of this contract by the LESSORS, whether
judicially or extra-judicially. Upon such termination or
cancellation, the LESSORS may forthwith lock the premises
and exclude the LESSEE therefrom and from the building
premises whether forcefully or otherwise without
incurring any civil or criminal liability.
15.2. Should the LESSORS be compelled to seek judicial relief
against the LESSEE, the latter shall in addition to any other
damages that may be awarded to the LESSORS, pay an
amount equivalent to twenty percent (20%) of the amount
claimed in the complaint, as and by way of attorney’s fees
with the minimum of P5, 000.00, aside from the costs of the
litigation to recover from the LESSEE. It is hereby agreed
 7

that the venue for actions arising of their agreement shall

be in the City of Iloilo to the exclusion of competent Court
elsewhere.
15.3. In all cases where this contract is terminated or canceled,
whether judicially or extra-judicially, by reason of any
default or breach committed by the LESSEE, the said
LESSEE shall be fully liable to the LESSORS for the rentals
corresponding to the remaining term of this lease, as well
as for any and all damages, actual or consequential,
resulting from such default and termination. In the event of
cancellation or termination of this contract, the LESSORS is
hereby authorized, as the attorney-in-fact of the LESSEE, to
sell at public or private sale, without notice to the LESSEE,
any and all goods, merchandise, furniture, fixtures and
equipment located at the leased premises, and to apply the
proceeds of such sale to any damages and outstanding
obligation to the LESSEE under this contract.
15.4. All remedies granted to the LESSORS under this contract or
elsewhere shall be deemed cumulative.

16. That this contract of lease supersedes and annuls all

existing contracts or agreements previously entered into by the
parties in connection with the subject matter hereof, in such was
the fact.

IN WITNESS WHEREOF, the parties have hereunto set their

hands this _____ day of _____________ 2022 at Iloilo City.

DR. ANDREA DOLAR SAYO MR. RAMEL YTANG UY

LESSOR/OWNER LESSEE/TENANT

Signed In The Presence Of:

________________________ & _________________________

 8

ACKNOWLEDGMENT

BEFORE ME, Notary Public, in _____________________________, Philippines,

this ________________________ personally appeared:

Name Competent Date/Place Issued

Evidence Of
Identity
DRA. ANDREA DOLAR SAYO TIN: 168-256-005 2/08/2017, Iloilo
City
MR. RAMEL YTANG UY

Known to me to be the same persons who executed this Extra-

Judicial Settlement of Estate and that they acknowledged to me that the
same is their own free and voluntary acts and deeds.
I further certify that the foregoing instrument consist of three (3)
pages, including this page of acknowledgment and that all pages have
been signed by DRA. ANDREA DOLAR SAYO, MR. RAMEL YTANG UY
and their witnesses.

IN WITNESS WHEREOF, I have hereunto set my hand at the place

and date first above-written.

Doc. No. _____;

Page No. _____;
Book No. ___;
Series of 2022.