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CONTRACT OF LEASE

KNOWN ALL MEN BY THESE PRESENTS:

This Contract of Lease made and entered into, on this ___day of


________________, 2021 in _____________________, by between:

BERMA PROCESS CORP., a corporation duly organized and existing under the laws of
the Philippines, with office address at NO. 361 Tandang Sora Avenue, Brgy. Culiat,
Quezon City, represented in this act by Jesus T. Makilan its President, hereinafter
referred to as LESSOR

-and-

3A GOLDEN CONSTRUCTION AND TRADING CORP., corporation duly organized


and existing under the laws of the Philippines, with office address Unit 6, 8878 Urbanest
Condominiums, Don Julio St., Purok 1, V&G Subdivision, Tacloban City, Leyte,
represented by ALEJANDRO L. AMBIL, hereinafter referred to as SUB-LESSEE.

FOR AND IN CONSIDERATION of the LESSEE'S payment of the rent and


compliance of all stipulated herein, the LESSOR has agreed to lease, as it does hereby
lease, to the LESSEE, and the latter has agreed to accept, as he does accept, under
the following terms and condition, to wit:

1. SUBJECT OF LEASE AND THEIR ACCESSORIES – The area of the


leased premises is described as _______. Thereon will be placed several equipments,
which are specified in Annex “A”, which forms as integral part of this agreement.

2. TERM OF LEASE – This Contract of lease shall be for one (1) year which
will begin on February __, 2021 and shall expire on February ____, 2022.

3. The LESSEE, should he desire to extend the lease contract, shall notify
the LESSOR in writing sixty (60) days prior to the expiration of this Contract. If the
Lease of Contract is extended, an Addendum to the Contract of Lease shall be made.

4. RENTAL – The LESSEE shall pay a monthly rental of Pesos: (Php.


20,000).

5. ADVANCE PAYMENT AND DEPOSIT – The LESSOR hereby


acknowledges receipt from the LESSEE the amount of Sixty Thousand Pesos (Php
60,000) representing Three (3) months Deposit and no advance payment.

6. The deposit shall cover for any obligation of the LESSEE under this
Contract, to be refunded upon termination of the lease such amount owing in favor of
the LESSOR.

7. PRE-TERMINATION – That in case of earlier termination of the lease


agreement by the LESSEE, he/she shall give notice in any written form to the LESSOR
at least THIRTY (30) days in advance. CAN WE REMOVE THIS CLAUSE. ANG
HIRAP PARA SA ATIN NITO. OUR EQUIPMENT IS NOT JUST DELIVATE BUT NOT
EASY TO JUST MOVE LIKE A FURNITURE. OR MAKE THE NOTICE LONGER, AT
LEAST 120 DAYS

8. USE PREMISES – Except upon prior approval of the LESSOR, the


LESSEE shall use the premises exclusively for the agreed purpose and not for any
other use. At no instance shall the LESSEE use the premises for gambling including
mahjong, and other forms of gambling, which is penalized under existing laws and
ordinances.

9. OCCUPANCY – The LESSEE has examined and agreed to accept the


premises in its existing condition and understand that no work is to be performed by the
LESSOR in connection therewith. By entering into the occupancy thereof, LESSEE has
agreed that the LESSOR has presented the premises in a perfectly tenantable
condition.
CAN WE HIGHLIGHT THAT WE ARE OCCUPYING A BFAD APPROVED AREA.
HENCE THE AREA SHOULD BE FOOD GRADE IN NATURE

10. CARE OF THE LEASED PREMISES – The LESSEE shall, at their


expenses, maintain the leased premises in a clean and sanitary condition, free from
obnoxious odors, disturbing noises, of other nuisances, and upon the expiration of the
lease, shall surrender and return the premises and fixtures in as good condition as they
were actually found at the beginning of the lease, ordinary wear and tear excepted.
LETS REMOVE THE HIHGLIGHTED AS OUR EQUIPMENT IS PROCESSING OIL,
HENCE THERE IS NOISE AND SMELL.

For the proper care and maintenance of the leased premises, the LESSEE shall
notify the LESSOR in writing on all damages and deterioration on the leased premises
or on any portion thereof within five (5) days from the date knowledge thereof.

11. TRANSFER OF RIGHTS. The LESSEE shall not directly or indirectly


assign, transfer or encumber his rights in this contract nor sublease or subtle all or any
part of the leased premises, without the prior written consent of the LESSOR, and no
right or interest shall be conferred upon anyone by virtue of such unauthorized transfer.
THE LEASSOR SHOULD ONLY ALLOW AUTHOIRZER PERSONNEL OF THE
LEASEE NEAR THE VACUUM DISTILLATION MACHINE

12. INSTALLATION OF ADDITIONAL EQUIPMENT FOR UTILITIES. The


LESSEE for their account, shall make all necessary repairs on the leased premises to
preserve and maintain the same in serviceable condition for the purpose which they are
leased, and to restore them to their original condition as of the time this contract was
entered into, or in the event of damages, to the latest condition immediately preceding
the same. In case the LESSEE fails to make said repairs, the LESSOR may make the
same, and thereafter charge the amount spent against the LESSEE. CAN WE
CHANGE THIS TO MY TITLE. ALSO WE NEED TO EXPRESS THAT ADDITIONAL
ELECTRICAL EQUIPMENT, AND WATER UTILITIES SHALL BE SHOULDERED BY
THE LEASEE.

LETS ADD THE INSTALLATION OF SUB METER FOR BOTH POWER AND WATER
TO BE USED BY OUR EQUIPMENT

The LESSEE shall at all times, during reasonable hours, allow access to the
LESSOR to the leased premises for the purpose of making repairs, remodeling or
repainting or for the LESSOR to undertake all works necessary for the preservation,
conversion, improvement, modification or decoration of the building or any part thereof.
No compensation or claim shall be allowed against the LESSOR by reason of any
inconvenience, annoyance or injury to the LESSEE's leased premises that may arise by
virtue of any work undertaken here under. THIS CLAUSE IS IRRELEVANT. LETS
DELETE THIS

13. LIABILITY FOR INJURY, LOSS OR DAMAGE. The LESSEE hereby


assumes full responsibility for any injury, or damages arising but not of this fault or
negligence that may cause to the person, or property of third persons and further binds
himself to hold the LESSOR free and harmless from any claims for such injury or
damage is due to the gross negligence of the LESSOR.

Unless there is gross negligence on her part, the LESSOR shall not be liable or
responsible for:

a. the presence of bugs, vermin, ants, “anay”, insects, if any, in the leased
premises; or . SINCE IT IS A FOOD GRADE FACILITY. THE LESSOR
SHOULD BE RESPONSIBLE FOR THIS

b. failure of water supply and/or electric current; or. LESSOR MUST HAVE
RESERVE WATER SUPPLY. WE CANNOT OPERATE WITHOUT WATER

c. any injury, loss, or damage which the LESSEE, her agents, or employees
may sustain in the premises due to any cause whatsoever; or SINCE THE
LEASSOR IS ALSO OUR TOLL MANUFACTURER AND OPERATOR, HE
SHOULD BE RESPONSIBLE FOR THIS

d. any damage done or occasioned by or arising, from plumbing gas, water,


and/or other pipes, of the bursting, leaking or destruction of any cistern, tank,
wash stand, water closet, or waste pipe in, above upon or about said leased
premises; or LETS REMOVE THIS - IRRELEVANT

e. any damaged caused by fire, earthquake, strike, demonstration, riot,


rebellion, typhoon, war or other unforeseen cause or event.

In case of damage to the leased premises or its appurtenance, by fire,


earthquake, strike, demonstration, riot, rebellion, typhoon, war or other unforeseen
event which may render the lot physically untenable or incapable of occupation without
the fault or negligence on the part of the LESSEE, either party may demand the
rescission of the Contract.

14. SURRENDER UPON TERMINATION. The LESSEE shall surrender


without delay he leased premises at the expiration of this lease in as good condition, as
reasonable wear and tear will permit, devoid of all occupants, furniture, articles and
effects other than improvements.

15. FAILURE TO SURRENDER PREMISES. Save for justificable grounds, if


the leased premises are not surrendered at the expiration of the term, the LESSEE
shall be responsible to the LESSOR for all damages, which the latter shall suffer by
reason thereof and will indemnify the LESSOR against any and claims made by any
succeeding tenants/occupants resulting from such delay.

16. LIEN OVER GOODS. By way of security for the compliance by the
L:ESSEE of all their obligations under this contract, the LESSEE hereby grants in favor
of the LESSOR a lien over articles, goods and furniture and the like, located in the
leased premises. WE CANNOT DO THIS AS OUR EQUIPMENT IS WORTH 20M

17. DEFAULT. The LESSEE agrees that all the conditions and agreements
herein are essential and integral part of the consideration thereof, and that if default or
breach thereof be made the LESSOR, shall have the option to suspend or terminate
this Contract, whether judicially or extra – judicially upon five (5) days notice delivered
to the LESSEE, at the leased premises or posted on the main door thereof. This is
without prejudice to the right of the LESSOR to unilaterally cancel or rescind this
Contract as specially provided elsewhere herein. Upon the exercise of the right herein,
LESSOR may forthwith lock the premises and exclude the LESSEE therefrom, whether
forcibly or otherwise, without incurring civil or criminal liability. If given another five (5)
days and the LESSEE could not comply with his obligations under such additional
terms which the LESSOR may impose, or to offer any acceptance settlement, the
LESSOR may re-enter the leased premises, whether by force or otherwise, without
incurring civil or criminal liability, to dispossessed LESSEE, and thereupon, the
LESSOR may relent the premises to any third person, treating this Contract as
terminated. LETS REMOVE THIS- IRRELEVANT

The LESSEE shall, in any event, be liable for any and all damages, actual and
consequential, resulting from such default, and termination.

18. REIMBURSEMENT FOR ADVANCES. Without prejudice to the right


vested to an enforceable by the LESSOR under this Contract, all advances made by
him for obligations chargeable to the LESSEE shall be reimbursed by the latter to the
former within a period of five (5) days from date of demand, or the same may be
included in or added to the bill corresponding to the month in which such demand was
made.

19. EXTRA FACILITIES AND OUTLETS. The installation of additional electric


water, telephone or like connections in the leased premises shall be for the account of
the LESSEE who must obtain the prior written consent from the LESSOR. Such
installation shall not cause any injury or damage to the premises; furthermore; in the
installation of additional electrical appliances, like water cooler, refrigerators or electric
fans, the LESSEE shall provide the necessary outlets at places to be indicated by the
LESSOR and the LESSEES shall employ the services of a licensed electrician or that of
the LESSSOR.

20. ELECTRICAL AND OTHER CHARGES. Electric and water consumption,


and similar public utility services shall be for the exclusive accountability of the
LESSEE, In the event that the said public utility services is under the name of the
LESSOR, the LESSEE shall be responsible to any or foregoing charges and debts till
the expiry date of the lease contract.

21. IMPROVEMENTS. The LESSEE may make any alterations, additions, or


improvements on the premises, and the LESSEE shall secure the written consent of the
LESSOR. The authorized alterations, additions or improvements made on or upon the
leased premises, except the movable furniture and fixture put in at the expense of the
LESSEE and removable without defacing or injuring leased premises, shall become the
property of the LESSOR and shall remain in the premises as part thereof upon its
surrender at the end of the lease.

22. VENUE AND COURT PRECESSES. In the event of litigation instituted by


any party herein against the other by reason of this Contract the venue thereof shall be
in __________________. ARBITRATION BETTER

Summonses and other court processes against the LESSEE shall be served at
the premises leased to him except when the leased premises are closed or unoccupied
in which case it may be served by posting the same at the main door thereof.

23. JUDICIAL RELIEF. Should the LESSOR be compelled to seek judicial


relief against the LESSEE, the latter, in addition to the damages mentioned in the
preceding paragraphs, will pay an amount equivalent to 25% of the amount claimed in
the complaint as attorney's fees which shall in no case be less than P20,000.00 in the
Metropolitan Trial Court, the attorney's fees shall be no less than P30,000.00 and an
additional sum of P50,000.00 if the case is elevated to the Court of Appeals or the
Supreme Court, aside from the costs and expenses of litigation and other forms of
damages, actual or consequential, to which the LESSOR may be entitled by law.
REMOVE THIS

IN WITNESS WHEREOF, the parties have hereunto affixed their signatures on


the date and place above – written.

LESSOR LESSEE

Witnesses:

___________________ ___________________
ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES )


CITY OF ) S.S.

BEFORE ME, a Notary Public for and in the City of _________________, this
___ day of _____________, 2021, personally appeared the following with their
respective Competent Evidence of Identity, to wit:

Name CTC/PP.No. Date/Place of Issue


_____________________
_____________________

all known to me to be the same persons who executed the foregoing Contract of
Lease consisting of five (5) pages including this page, and they acknowledged to me
that the same is their free voluntary act and deed.

NOTARY PUBLIC

Doc. No. _____


Page No._____
Book No._____
Series of 2020

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