CONTRACT OF LEASE

This AGREEMENT OF LEASE made and entered into by and

between:

___________________ of legal age, Filipino, and a resident

of ___________________ City, hereunder referred to as the
LESSOR;

- and -

________________________________________________
_____________________________________________________
________________

W I T N E S S E T H:

The LESSOR hereby agrees to lease to the LESSEE and the

latter accepts in lease from the former the premises located at
____________________________ City, under the following terms
and conditions:

I. DURATION

This Contract of Lease (Contract) shall be for a period of one

(1) year commencing on ______________, 201_ and ending on
_____________, 201_. This contract is renewable at the option of
the LESSEE for another fixed period of _____ (_) year.

II. MONTHLY RENTALS

The monthly rental shall be ________________ PESOS

(P___,000.00), Philippine Currency, the rental is to be paid to the
LESSOR via post dated checks to be dated on or before the fifth
(5th) day of every month, plus five (5%) percent surcharge every
month, for payment of rentals made after the fifth day of the month
due. It is expressly agreed and understood that the payment of the
rental herein stipulated shall be made without the necessity of any
demand and without delay for any ground whatsoever.

In addition to the payment of the monthly rental, the LESSEE

is under obligation to pay unto the LESSOR the Value Added Tax
(VAT) of twelve (12%) percent of the rental amount.
III. DEPOSIT/ADVANCE

Upon the signing of this Contract, the LESSEE shall pay unto
the LESSOR one (1) month advance and two (2) months security
deposit and eleven (11) monthly post-dated checks for one year.

It is agreed and understood that the two-month security

deposit shall be applied as payment for needed repairs to restitute
tenantable condition the leased premises, and other expenses and
charges for water, electricity, telephone and other utility expenses
which may remain unpaid by the LESSEE at the time of termination
of this Contract.

Should there be no needed repairs on the leased premises

and no unpaid charges at the time of the termination of this
Contract, said deposit shall be refunded to the LESSEE by the
LESSOR after sixty (60) days from the termination of the contract.

Likewise, it is further agreed and understood that under no

circumstances may the security deposit be utilized and applied by
the LESSEE as rental payment during the duration of the Contract.

IV. USE AND PURPOSE

The LESSEE hereby expressly agrees and warrants that the

leased premises shall be used by him exclusively for specific
commercial business purposes, as authorized in the permit and
business license issued by the government, and said LESSEE is
prohibited from using the leased premises for any other purpose or
business other than as authorized in the business license without
the prior written consent of the LESSOR; it is expressly understood
that the leased premises shall not be used for dwelling purposes.

V. RIGHT OF LEASE NON-TRANSFERABLE

The LESSEE shall not directly or indirectly sublease, assign,

transfer, convey, mortgage or in any way encumber his right of
lease over the leased premises or any portion thereof under any
circumstances whatsoever; any contract that may be made in
violation of this clause shall be null and void. Any violation hereof,
direct or indirect shall automatically and unequivocally terminate this
Contract from the time such violation occurs; and shall result in the
forfeiture of all payments already made, including the security
deposit.
VI. BUSINESS PERMIT AND LICENSE

The LESSEE must be the licensee of the business conducted

in the leased premises. The LESSEE hereby agrees and
undertakes to furnish the LESSOR with a copy of his yearly
business license/permit without the necessity of any demand at the
principal place of business of the LESSOR.

VII. REPAIRS AND IMPROVEMENTS

The LESSEE hereby expressly acknowledges that the leased

premises are in good tenantable condition and agrees to keep the
same in such good and tenantable condition. The LESSEE hereby
agrees and binds himself to undertake at his expense, all repairs,
necessary and otherwise, such as may be required to maintain the
leased premises in good state of repair. It is expressly agreed and
understood, however, that the LESSEE shall not start or proceed
with any repair work nor in any case introduce improvements or
make alterations in the leased premises without prior written
consent and approval of the LESSOR; the parties likewise agree
that all permanent improvements or alterations of whatever nature
such as may be made therein shall, upon completion thereof, form
integral part of the leased premises and shall not be removed
therefrom but shall belong to and become the exclusive property of
the LESSOR without any right on the part of the LESSEE to the
reimbursement of the cost or value thereof.

LESSEE shall be solely responsible, at LESSEE’S sole cost

and expense, for the proper maintenance and repair of any damage
that the leased property may incur during the duration of the lease.
This does not exclude damages to property and its premises due to
wear and tear and other incidents that may cause deterioration with
or without fault of the LESSEE. This includes all repairs whether
enjoyed by the LESSEE or not as long as it forms an integral part
of the leased property, the same shall be under the sole
responsibility and expense of the LESSEE.

VIII. CHANGES IN EXISTING INSTALLATION

The LESSEE shall not make alterations or changes in the

electrical or plumbing installations within the leased premises
without prior written consent and approval of the LESSOR.

IX. COMPLIANCE WITH LAWS, ORDINANCES AND

REGULATIONS
 The LESSEE shall comply with all laws, ordinances,
regulations or orders of the National or City government authorities
arising from or regarding the use and occupation of the leased
premises. Furthermore, the LESSEE shall comply with all sanitary
rules and safety regulations and shall keep and maintain the leased
premises in clean and sanitary condition and dispose of rubbish only
through means and places indicated by law for such purpose.
Failure to comply with said laws, ordinances, regulations or orders
shall be at the exclusive risk and expense of said LESSEE and shall
be a ground for the cancellation of this Contract by the LESSOR.

X. FIRE HAZARDS

The LESSEE shall not bring into or store in the leased

premises any inflammable or explosive goods or materials nor any
article which may expose the leased premises to fire or increase the
rate of insurance of the building, or any other article or material
which the LESSOR may prohibit. Those that are necessary and
incidental for the pursuit of the legitimate business of the LESSEE,
such as LPG gas and others, are however allowed.

XI. WATER, ELECTRIC, TELEPHONE AND OTHER UTILITIES

The LESSEE shall pay for and defray at his exclusive

expenses the charges for the consumption of water, electric bill,
telephone and other utility services in the leased premises,
however, the LESSOR shall not be responsible for the failure of
water supply and/or electric current.

XII. RIGHT OF INSPECTION

The LESSOR or its duly authorized representative shall have

the right to inspect the leased premises at any reasonable hour of
the day.

XIII. RESPONSIBILITY FOR ACTS OF EMPLOYEES AND THIRD

PERSONS

The LESSEE shall be responsible at all times for all acts done
by his agents, employees and other persons entering the leased
premises insofar as the enforcement of the provisions of this
Contract is concerned. Any damage or injury to the leased
premises due to the fault of the LESSEE, his agents, employees or
other third persons who may have gained access to the leased
premises shall be repaired promptly by the LESSEE at his exclusive
expense.

XIV. ARREARS IN MONTHLY RENTAL

It is hereby agreed and understood that should the LESSEE

fail to pay any three (3) monthly rentals due on the leased premises
for whatever reason, this Contract shall be automatically terminated
and said leased premises shall be peacefully vacated by the
LESSEE for the LESSOR to hold and enjoy henceforth as if this
Contract has not been executed, and it shall be lawful for the
LESSOR or any person or persons duly authorized by the LESSOR,
without any formal notice or demand, to enter into and upon the
leased premises or any part thereof without prejudice on the part of
the LESSOR to exercise any or all rights of the Contract and those
given by law. It is further agreed and understood that upon
cancellation of this Contract, the LESSEE hereby grants to the
LESSOR the legal right to enter and take possession of the leased
premises without need of recourse to the courts.

XV. SURRENDER OF THE LEASED PREMISES

The LESSEE, at the expiration of the term of the lease or

cancellation thereof as herein provided, with all promptly deliver the
said premises to the LESSOR in good and tenantable condition, in
all respect, as the same now are, reasonable wear and tear
excepted, devoid of all occupants, furniture, articles and effects of
any kind, provided, however, that should it be found out that the
leased premises have been damaged or need repair, the LESSOR
shall apply the security deposit made by the LESSEE for the repair
thereof and if said security deposit be insufficient or inadequate, the
LESSOR shall have the right to proceed against the LESSEE for
the balance.

If the leased premises be not surrendered at the end of the

term of this Contract, the LESSEE shall be responsible for the
LESSOR for all damages which the LESSOR shall suffer by reason
thereof including but not limited to rentals.

XVI. NON-WAIVER OF LESSOR’S RIGHT

The failure of the LESSOR to insist upon a strict performance

of the terms, conditions and covenants hereof shall not be deemed
a relinquishment or waiver of any right or remedy that said LESSOR
may have nor shall it be construed as a waiver of any subsequent
breach or default of the terms and conditions and covenants herein
contained which shall be deemed in full force and effect. No waiver
by the LESSOR shall be deemed to have been made unless
expressed in writing and signed by the LESSOR.

XVII. TERMINATION

Any violation of any of the terms and conditions of this

Contract shall ipso facto result in its rescission and the LESSOR
shall have the right and authority to take possession of the leased
premises without need of recourse to courts. The right of
repossession and occupancy applies also when for any reason
whatsoever, the LESSEE abandons the leased premises before the
expiration of this Contract.

Furthermore, it is agreed and understood that for violation of

any terms and conditions of this Contract, the LESSEE shall pay the
LESSOR the sum of Fifty Thousand Pesos (P50,000.00) by way of
liquidated damages.

XIVIII. PADLOCK OF PREMISES

The LESSOR shall have the right to padlock the premises

without the need of court order in case the LESSEE fails to pay the
arrears for two (2) months.

XIX. VENUE OF ACTION/ATTORNEY’S FEES

The parties hereby agree that in the event a case is instituted

for the enforcement of any of the terms and conditions of this
Contract, the same shall be filed exclusively before the courts of
Manila, waiving all other proper venue. It is further agreed that in
case the LESSOR is constrained to institute legal action for the
recovery of the leased premises or for the enforcement of any of the
terms and conditions of this Contract, the LESSEE binds himself to
pay attorney’s fees which shall in no case be less than One Hundred
Thousand Pesos (P1000,000.00).

IN WITNESS WHEREOF, the parties hereunto affixed their

signatures this ______ day of ____________, at the City of Manila.

____________________________
Lessor

________________________
Lessee
 SIGNED IN THE PRESENCE OF:

__________________ ________________________

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES)

_____________________________ )S.S.

BEFORE ME, this ____ day of __________, in the City of

Manila, personally appeared _______________________
and________________, with their respective identification cards
with signature and photograph as competent proof of their identities
known to me and to me known to be the same persons who
executed the foregoing Contract of Lease, they acknowledged to
me that the same is their free act and deed.

This instrument, consisting of seven (7) pages, including the

page on which acknowledgment is written, has been signed by the
parties and their witnesses on each page thereof.

WITNESS MY HAND AND SEAL on the date and in the place

first above written.

DOC. NO._____
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BOOK NO._____
SERIES OF2016