CONTRACT TO SELL

KNOW ALL MEN BY THESE PRESENTS:

This Contract, made and entered into __________________________ in CEBU CITY, Philippines, BY AND Commented [U1]: EDIT DATE BEFORE PRINTING
BETWEEN: EX. 15TH day of May 2019

SMART RESIDENCES PROPERTY DEVELOPMENT CORPORATION, a corporation duly

organized and existing under and by virtue of the laws of the Republic of the Philippines with office address at 2 nd
Floor, Room 201, South Point Place, N. Bacalso Avenue, Cebu South Road, Basak-Pardo, Cebu City represented
herein by EMALYN B. ARTATES, President and General Manager collectively referred to as the FIRST PARTY;

- and -

_________________________________________, of legal age, ____, Filipino and a resident of Commented [U2]: CLIENT FULL NAME
_________________________________Philippines herein referred to as the SECOND PARTY; FIRST NAME MI. LAST NAME
Commented [U3]: MARITAL STATUS
(i.e. single, married, divorced, etc)
Commented [U4]: COMPLETE ADDRESS
WITNESSETH: That -
House Number Building Name and/or Street Name,
City/Municipality, Province
WHEREAS, the FIRST PARTY is the registered developer of a parcel of unregistered land known as Ex. B1L2 Flower Valley 1 Subdivision, Sitio Cambitas, Babag
ERIZO DE MAR SUBDIVISION located in Tuyom, Carcar City, CEBU as evidenced by Tax Declaration no. 2, Cebu City
30229, designated as Lot no. 1971-Part of the Cadastral Survey of Carcar; Bounded on the North by Brgy Road;
on the South by Lot no. 1976; and on the East by Lot no. 1971 and on the West by Lot no. 1975, 1971; containing
an area of TWENTY FIVE THOUSAND EIGHT HUNDRED NINETEEN (25,819) SQUARE METERS, more
or less;

WHEREAS, the SECOND PARTY desires to purchase as he/she hereby purchases a portion hereof
known as Block __Lot __ having an area of ______ (___) square meters more or less; Commented [U5]: Purchased block and lot number(s)
Commented [U6]: Total lot area in sq.m.
NOW, THEREFORE in consideration of the following terms and conditions hereinafter set forth the
SECOND PARTY agrees and obliges to pay to the FIRST PARTY the sum of _____
Commented [U7]: <based on computation sheet>
___________________________________ (P _____________), Pesos Philippine Currency as follows: TOTAL CONTRACT PRICE

1. That the amount of _______________________________ (P ____________), Pesos Philippine Currency AMOUNT IN WORDS
payable in the following schedule to wit: For cents, use <amount in centavos>/100
Ex. 19.78 >> Nineteen and 78/100
Payment Date Amount
Commented [U8]: <based on computation sheet>
Reservation Month DD, Year P 5,000.00 TOTAL CONTRACT PRICE

2. That the balance of __________________________________ (P ______ ), Pesos, Philippine Currency AMOUNT IN WORDS
For cents, use <amount in centavos>/100
shall be paid within Six (6) years or Seventy Two (72) months from signing of this agreement or Reservation
Ex. 19.78 >> Nineteen and 78/100
Date whichever comes first in the amount of _____________________ (P ) Pesos, Philippine Currency
per month to commence on ____________ and on every __th day of the succeeding months thereafter,
until fully and completely paid; Commented [U9]: Type of payment
(i.e. reservation, down payment, etc)
3. That the SECOND PARTY undertakes that the herein payments be made punctually at the principal office Commented [U10]: <based on reservation sheet>
of the FIRST PARTY at at 2nd Floor, Room 201, South Point Place, N. Bacalso Avenue, Cebu South Road, Payment Date
Basak-Pardo, Cebu City during office hours. Payment may also be made at our site and or satellite offices Commented [U11]: P 10,000.00
(if available). Pick up collection may also be arranged with the office on a case to case basis. Moreover
Commented [U12]: <based on computation sheet>
should payment channels and or options will be available you will be advised.
Total Amortization Payable

4. That upon failure of the SECOND PARTY to pay the balance of the purchase price as specified above or Commented [U13]: Payment Term in years and in
to comply with any of the terms herein contained, the FIRST PARTY may cancel this AGREEMENT, months
without necessity of court intervention, by giving the SECOND PARTY a Written Notice of Cancellation. Commented [U14]: <According to Payment Schedule>
The notice will be sent to the SECOND PARTY by registered mail or by personal delivery at the address First Due Date
stated in this agreement and that it shall be considered as sufficient compliance on notice for purposes Commented [U15]: <According to Payment Schedule>
thereof; Due Date
5. The SECOND PARTY shall notify the FIRST PARTY in writing of any change in his/her mailing address
within Sixty (60) days from such change. Should the SECOND PARTY fail to do so, his address stated
in this Contract shall remain his mailing address for the purpose of sending of all notices under this Contract
and or as required by law;

6. That should the SECOND PARTY fail to pay for any reason any instalment due as provided in this
Contract , the rights and obligations of the parties shall be as follows:

6.1 If the SECOND PARTY is in default in any instalment due in accordance with no. 2 hereof and
such default occurs when less than two (2) years of instalments have been paid, the SECOND PARTY
shall be entitled to a grace period of sixty (60) days to make the necessary payment without any penalty,
provided, however, that the SECOND PARTY shall avail of such grace period only once during the entire
term of the Contract. Upon failure of the SECOND PARTY to update all outstanding instalment within
the grace period, or if he/she shall have previously availed of such grace period, upon failure of the
SECOND PARTY to pay any instalments as and when the same falls due, the FIRST PARTY shall have
the right, exercisable at its own discretion: [i] to charge the SECOND PARTY a late payment charge at the
rate of three (3%) percent per month, based in the total amount due and payable, computed from the due
date of each instalment: and / or [ii] to cancel or rescind this contract, such cancellation and rescission to
take effect thirty (30) days from receipt of the SECOND PARTY of the notice of cancellation or demand
for rescission, by a Notarial Act. In case of cancellation of this Contract, the total instalments paid on the
Selling Price shall be forfeited in favour of the FIRST PARTY which shall be considered as liquidated
damages suffered by the failure of the SECOND PARTY to fulfil his or her part of this agreement and the
consequent delay suffered by the FIRST PARTY disposing said parcel/unit. The FIRST PARTY shall
have no liability whatsoever to the SECOND PARTY in case of cancellation.

6.2 If the SECOND PARTY fails to pay any instalment in accordance with no. 2 hereof and default
occurs when at least two (2) years of instalments have been paid, the SECOND PARTY shall be entitled
to a grace period, equivalent to thirty (30) calendar days for every completed year of instalments paid
counted from and after the due date of the unpaid instalment, the necessary payment without penalty,
provided however, that the right to avail of such grace period, shall be exercised by the SECOND PARTY
only once in every five (5) years period of the term of this Contract. Upon failure of the buyer to update
all the instalment due within such grace period or if the SECOND PARTY fails to pay an instalment due
thereof when he/she has previously availed of the said grace period within the given five (5) years period
of the term of this Contract, the FIRST PARTY shall have the right, exercisable at its own absolute
discretion. [i] to charge the SECOND PARTY a late payment charge at the rate of three (3%) percent per
month, based on the total amount due and payable, computed from the due date of each instalment; and /
or [ii] to cancel or rescind this Contract after thirty (30) days from receipt by the SECOND PARTY of the
notice of cancellation or demand for rescission, by Notarial Act. In case of cancellation of this Contract,
fifty (50%) percent of the total instalments paid shall be forfeited in favour of the FIRST PARTY which
shall be reduced by an additional five (5%) percent for every additional completed year of instalments, but
the amount to be thus forfeited in favor of the FIRST PARTY shall not, in any event, be less than ten
(10%) percent of the total instalment paid.

Furthermore, the SECOND PARTY shall be liable to pay the total amount of interest, advances and late
payment charges due and unpaid to the FIRST PARTY. All of which may be deducted by the FIRST
PARTY from the balance of the amount paid by the SECOND PARTY after deducting the forfeited
amount mentioned above. In case of cancellation, the FIRST PARTY shall have no liability whatsoever
to the SECOND PARTY, except to return the balance of the instalment payments computed in accordance
with the foregoing, without interest.

7. That any condition or consideration which may or shall be made by the FIRST PARTY with respect to
any violation of the terms and condition of this CONTRACT or with respect to any of the above mentioned
defaults shall not in any manner be construed or interpreted as a waiver, renunciation or relinquishment by
the FIRST PARTY of any of its rights herein subsequent defaults of the SECOND PARTY;

8. That in case of war, the FIRST PARTY shall not be oblige to accept payment in case the SECOND
PARTY shall have chosen to pay the unpaid balance of the purchase price which shall not earn interest
during the period of the suspension of payment;
9. That a retention sum in the amount equivalent to 20% of the total consideration / purchase price shall be
collected upon the release of the title of the subject of the sale hereof should the SECOND PARTY opt to
pay in cash. The FIRST PARTY shall execute the necessary DEED OF ABSOLUTE SALE in favour
of the SECOND PARTY upon full payment of the contract price of the herein contract. All expenses for
processing which involves the transfer of title and the release hereof shall be BORNE by the SECOND
PARTY;

10. That the SECOND PARTY binds himself / herself to comply with laws, ordinances and such orders and
regulations as the Bureau of Lands or other government authorities may promulgate, in so far as they affect
the use and occupation of the lot subject of this contract and any omission or violation hereof shall be the
sole responsibility of the SECOND PARTY at his / her own risk;

11. That the SECOND PARTY shall hold himself / herself in strict compliance with the RESTRICTIONS
AND CONDITIONS enumerated as follows:

A. CONDITIONS OF OWNERSHIP, USE AND OCCUPANCY OF LOTS

1.1 The lots shall be used for residential purposes only.

The following or any analogous or similar activity or use shall not be allowed in the subdivision:
 Commercial, industrial or any similar activity, in whatever scale;
 Motor pool
 Vulcanizing shop
 Keeping of animals, except pets. The term pets shall refer only to dogs, cats, chicken or
fowl, but not in commercial quantities
 Illegal or immoral activities
 Storage or use of hazardous or toxic materials
 Other activities which shall be detrimental or inconsistent with the predominantly
residential character of the subdivision

1.2 The lot shall not be used as a right of way to other properties of the SECOND PARTY not
originally forming part of the subdivision whether located within, adjacent or beyond the
subdivision unless with prior consent of the FIRST PARTY which shall have the sole discretion
whether or not to grant the right of way.

1.3 Any violation of these restrictions shall entitle the FIRST PARTY to rescind the sale of the
property and/or to re-acquire the same for the same price as it was originally sold by the FIRST
PARTY, without additional interest or charges.

1.4 A single lot cannot be subdivided without prior written approval of the FIRST PARTY, which
shall have the sole discretion whether or not to allow the subdivision. Two or more lots, however,
may be used for a single building, in which case, all the lots shall be considered as a single lot for
purposes of the application of this CONTRACT TO SELL. After consolidation and upon prior
written approval of the FIRST PARTY, the consolidated lots maybe re-subdivided into their
original components or into lesser number of lots, provided that none of the resulting lots shall have
a smaller area than the smallest lot before consolidation as reflected in the original subdivision plan,
and provided further that each lot shall have at least one side directly fronting a street.

1.5 Except during construction, no part of the property shall be used or maintained as stockpile area or
dumping ground for rubbish, trash, garbage, or any other kind of materials or aggregates.

1.6 Commercial, promotional or advertising signs of whatever size or form shall not be placed,
constructed or entered in the lot, except name plates and professional signs of not exceeding 80cm
x 40cm in size and placed only on the premises of the SECOND PARTY.

1.7 The lot shall be subject to permanent easement in favour of the FIRST PARTY and / or the
Association and their respective representatives as well as in favour of the representatives of utility
companies for purposes of inspecting and relocating lot monuments, of installing or disconnecting
lines for light, telephone, water and other facilities, and for other legitimate purposes necessary to
public safety and to the preservation of utility lines.
 1.8 The SECOND PARTY shall not sell, cede, encumber, transfer his rights to his lot or in manner do
any act which will violate this CONTRACT TO SELL without prior written approval of the
FIRST PARTY.

1.9 The SECOND PARTY shall not alter, remove, displace or in any manner interfere with any
monument/s or other evidence of boundary of his/her lot or other lots without prior written approval
of the FIRST PARTY. Neither shall the SECOND PARTY be allowed to cut or destroy or in any
manner cause any waste or damage to or upon the lot or allow others to commit any aforesaid acts.

1.10 The SECOND PARTY shall further be subject to all the rules and regulations of the
subdivision promulgated and amended by the FIRST PARTY and / or the Association from time
to time, including but not limited to the development or building rules and regulations.

B. BUILDING AND ARCHITECTURE

1. All plans and specifications for new buildings and for additions or modifications of any existing
building shall first be submitted for approval of the FIRST PARTY, and subsequently, for
approval of the Building Official and/or other appropriate official of the local government unit as
provided for in the local ordinances or regulations, before any construction is made on the lot. Any
construction commenced without all the necessary approvals and permits shall be stopped and all
materials for use in the construction shall be refused entry in the subdivision.

2. Building plans, specifications and construction method shall be subject to this Restrictions and
Conditions to the National Building Code; PD 957 and/or BP220 where applicable and other
pertinent laws, rules and regulations and ordinances. For this purpose, the FIRST PARTY reserves
the right to determine whether or not the building plans and specifications submitted by the
SECOND PARTY are in conformity with this Restrictions to refuse issue of construction permit
should the plans and specifications be found to be not in conformity with this Restrictions.

3. As a condition for the issuance of the construction permit, the SECOND PARTY shall post a
construction deposit in such amount as maybe fixed by the FIRST PARTY from time to time with
or without prior notice to the SECOND PARTY, The deposit shall be refunded to the SECOND
PARTY after the completion of the construction, less reimbursement for the cost of damage on the
properties or facilities of the subdivision and all other properties, occasioned by such construction,
if any; fine for violation of this Contract or the development rules and regulations imposed by the
FIRST PARTY or the Association, and administrative fee as may be imposed by the FIRST
PARTY from time to time but, which administrative fee shall, in no case , be less than ten (10)
percent of the deposit. The FIRST PARTY shall have the right to forfeit the deposit should the
SECOND PARTY be found to have violated any of the provisions of this CONTRACT TO SELL
most particularly this Restrictions and Conditions, unless and until such violations are corrected.

4. Relocation of the lot is required prior to the construction. If the SECOND PARTY builds in the
wrong lot, entirely or partially, he/she shall immediately remove the encroaching structure at his/her
expense, otherwise the FIRST PARTY shall immediately remove the same at the SECOND
PARTY’s expense without necessity of an order from competent authorities, and without any
criminal or civil liability on its part or on the FIRST PARTY or on the part of its representatives
or employees.

5. The fundamental restrictions relating to buildings shall be written on a separate documents as far
as the building type and height, setbacks, materials to be used, cost of buildings as may be
applicable.

6. The SECOND PARTY shall restore destroyed sidewalks and pavements, and other facilities, after
construction.

C. WATER AND ELECTRICAL FACILITIES

1. No booster pumps or similar devices shall be installed by the SECOND PARTY directly to the
subdivision water system. Violation of this rule shall entitle the FIRST PARTY the right to
discontinue service to the delinquent SECOND PARTY.

2. No wells to draw ground water shall be allowed to be drilled within the lot.
 3. The FIRST PARTY will install an ordinary water system or connect with any water system in the
subdivision and no SECOND PARTY or person in interest shall be allowed to tap its water supply
outside the aforesaid water mains. The SECOND PARTY agrees to pay such rate/s, as the FIRST
PARTY, its assigns or successors shall hereafter charge for the proper upkeep and maintenance of
this service. For any damage on the water mains and / or drainage system caused by the SECOND
PARTY or his / her contractor, the same shall be repaired at the expense of the SECOND PARTY;

4. Unless otherwise advised, the SECOND PARTY shall for electrical service connections directly
with the local electric or utility company. Water service shall be provided by the FIRST PARTY
for a fee until the water system has been turned over to the local water district or other utility
company.

D. DRAINAGE AND SEWAGE DISPOSAL

1. No SECOND PARTY shall be allowed to install any drainage or sewer outlet outside his property
and to the subdivision’s sewerage system without the written approval of the FIRST PARTY.

2. Sewage disposal must be by means of adequate septic tanks built by the SECOND PARTY and
shall consist of three (3) chambers and built in accordance with the Sanitation Code and pertinent
ordinances, and rules and regulations. As soon as the FIRST PARTY completes the subdivision
sewerage disposal system, the lot’s sewage disposal shall then be connected to such system.

3. The SECOND PARTY shall be responsible for ensuring proper garbage collection and garbage
disposal. No part of the property or the subdivision may be used as dumping ground for garbage.

E. FENCES

1. The property may be enclosed with perimeter fence, and the height of the fence shall not be more
than five (5) feet above finished grade of the lot fronting the street. Lots with sloping or varying
elevations shall have the same height every three (3) meters from the natural grade line of the
adjoining lot to the top of the finished fence.

F. VEHICULAR ENTRANCES/GARAGE/PARKING

1. No vehicular entrances or exits shall be allowed along the circular curves at street intersections and
street corners.

2. No vehicles of the SECOND PARTY shall be allowed to park on the side of any streets.

3. No building plans as per Restrictions letter B of this Contract, shall be approved without any car
garage that shall accommodate at least one – four wheel vehicle.

G. MANDATORY MEMBERSHIP

The SECOND PARTY, his/her heirs, successors or assigns hereby accept the mandatory membership
in the community or Association for the main purpose of the proper operation, maintenance and
beautification of the roads and community facilities, security, fire protection, enforcements of
restrictive easements, and in general protect and promote health and sanitation thereby holding free the
FIRST PARTY from any responsibility anent thereto.

In conjunction with the formation of the association, and none has been so formed by the lot owners or
residents as herein mandatorily required, the upkeep and maintenance of the subdivision improvements,
including the disposal of trash or waste matters shall become the sole responsibility of the SECOND
PARTY after the lapse of five (5) years from the date the properties have been lawfully transferred by
the FIRST PARTY to the concerned owners. It shall be understood that the FIRST PARTY’s
responsibility of maintenance and upkeep thereof shall completely cease upon the lapse of the aforesaid
5-year period;

H. AMENDMENT OF RESTRICTIONS

The FIRST PARTY and or the Association may from time to time, shall be entitled to the right to add,
modify, amend or abolish particular restrictions or part thereof, without concurrence of the SECOND
PARTY.
12. Failure of the SECOND PARTY, his/her heirs, successors or assigns to comply with these covenants, the
same may be enforced by proceedings at law and the cost of suits, attorney’s fees and damages shall be for
the account of the SECOND PARTY, his/hers successors or assigns.

13. Any and all actions or suits in connection with or arising from this Contract shall be filed with the proper
courts of Cebu City, Philippines.

14. Should the FIRST PARTY resort to the court of justice in order to eject the SECOND PARTY and/or for
the protection of his/her rights or redress of grievances under this CONTRACT , the SECOND PARTY
hereby agrees to pay to the FIRST PARTY by way of attorney’s fees a reasonable sum of Ten Thousand
(Php10,000.00) Pesos if the case is in the Municipal Trial Court (MTC) and an additional sum of Ten
Thousand (Php10,000.00) if in the Regional Trial Court (RTC); and a further sum of Twenty Thousand
(Php20,000.00) in the Court of Appeals or Supreme Court. In addition thereto, all expenses of litigation,
damages and actual or consequential damages shall also be asked by the aggrieved party.

IN WITNESS WHEREOF, we hereunto affix our signatures this ______ day of _________ at
_______________________________, Philippines.

SMART RESIDENCES PROPERTY DEVELOPMENT CORPORATION

(FIRST PARTY)
By:

EMALYN BAYA-ARTATES
_________________________
Developer

FULL NAME Commented [U16]: Full Name of Buyer

_______________________________________________ FIRST NAME MI. LAST NAME
SECOND PARTY - BUYER

Commented [U17]: Full Name of Buyer’s Spouse if

_______________________________________________ MARRIED
If there are two buyers but are not related to each other by
SPOUSE
marriage, change SPOUSE to SECOND PARTY - BUYER

SIGNED IN THE PRESENCE OF:

________________________________ ____________________________________
REPUBLIC OF THE PHILIPPINES )
) S.S.

BEFORE ME, on this ___ day of ____________ at _______________, Philippines, personally appeared

NAME TIN GOV’T ISSUED VALID UNTIL

ID & NO.

EMALYN BAYA ARTATES 117-494-683 DL-G01-92-153653 10-24-2021

BUYER’S FULL NAME Commented [U18]: FILL OUT COMPLETELY. ID VALIDITY

MAY BE LEFT BLANK IF ID CARD HAS NO EXPIRATION DATE

both parties known to me to be the same person and to me known who executed the foregoing instrument and
acknowledge to the same as their free act and deed.

This document, consisting of Seven (7) pages, has been signed by the parties and their witnesses on each
and every page hereof.

WITNESS MY HAND AND NOTARIAL SEAL on the date and place first above written.

Docket No.___________
Page No._____________
Book No. ____________
Series of ____________