Sample Equipment Lease Agreement (Page 2 of 3) in pdf

loss payee. Along with public liability and property damage insurance with the limits approved by Lessor

and naming the Lessor as named insured and loss payee. The purchased insurance will be with a company

that is reasonably acceptable to Lessor. Lessee will provide to Lessor at least a thirty day advance written

notice of any cancellation, change or modification and will provide primary coverage for the protection of

Lessee and Lessor without any consideration of any additional coverage that may be carried by Lessor for

protection against similar risks. Lessee will provide Lessor with an original copy of the policy or certificate

as evidence for the purchase of previously discussed required Equipment insurance. Lessee hereby

appoints Lessor as Lessee’s attorney with power and authority to make any claims, receive payments and

endorsing any documents, checks and or drafts that are necessary to secure payments that are due under

the above required insurance policy.

9. Lessee will keep the Equipment clear and free from all liens and levies of any kind whatsoever. Lessee, or

Lessor at Lessee’s expense, will report, pay and discharge when due all license and registration fees,

assessments, sales, and property taxes, along with gross receipts, taxes arising out of receipts from the

use or operation of the Equipment, and other taxes, fees and governmental charges that are similar or

dissimilar to the foregoing, together with any penalties or interest that is imposed by any Federal, State or

Local government or any agency or department upon the Equipment. However, the Lessee is not required

to pay for any tax or assessment as long as it does not affect or endanger the title and interest of Lessor to

the Equipment disclosed above. Lessee will reimburse Lessor for any and all damages or expenses

resulting from failure to pay the above mentioned fees.

10. If Lessee fails to maintain the previously discussed insurance policy or to pay fees, assessments, charges

and taxes all previously specified in this Lease, Lessor has the right to pay any fees that are due. In such an

event the cost will be repayable to Lessor with the very next payment and any failure to repay the amount

due shall carry with it a penalty of ten percent per annum for failure to pay any installment as discussed in

this Lease Agreement.

11. Lessee does not hold Lessor liable against any and all claims, actions, suits, and or damages of any kind

whatsoever arising out of and connected with or resulting from Lessee’s use of the Equipment.

12. If Lessee does not pay the above mentioned rent installment within ten days after it is due or if the Lessee

fails to perform any other provision of the Lease Agreement. Lessor has the right to exercise any one or

more of the following: Declare that the entire amount of rent that is due be paid immediately without

notice; to take possession of the Equipment without notice wherever it may be located; to terminate this

Lease; and or to pursue any other additional remedy that may be reasonable under law or in equity.

Lessee hereby waives any and all damages that may be incurred by Lessee for taking possession of

Equipment and due to Lessee not fulfilling the obligations of this Lease.

13. Neither this Lease nor anything related to this Lease is assignable or transferable by any operation of law.

If Lessee is determined to be insolvent, or if a writ of attachment or execution is levied on the Equipment

and is not released or paid within ten days or if a receiver is appointed to take possession or control of

the Equipment, then the Lessor may exercise any one of the following remedies that are set forth in

Section 12 of this Lease Agreement and this Lease at the option of the Lessor without prior notice may be

terminated and the Equipment will not be treated as an asset of the Lessee after Lease termination.

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Sample Equipment Lease Agreement Page 2