By signing a Rental Agreement with Pacific Tractor West Inc. You are agreeing to these terms and conditions;
EQUIPMENT LEASE AGREEMENT
This EQUIPMENT LEASE AGREEMENT, together with any attached Schedules (collectively “Agreement”) by and between PACIFIC TRACTOR WEST, INC., a California corporation, 26375 Earthmover Circle Corona, CA 92883 (“Lessor”), and customer named on Rental Agreement (“Lessee”).
WHEREAS, Lessee is desirous of leasing from Lessor, and Lessor is desirous of leasing to Lessee, those certain items of personal property listed on the Rental Agreement.
NOW, THEREFORE, in consideration of the mutual covenants contained in this Agreement, and for good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, Lessor and Lessee agree as follows:
- LEASE AGREEMENT
Lessor agrees to lease to Lessee, and Lessee agrees to lease from Lessor, the equipment identified on the Rental Agreement, attached and incorporated herein (“Rental Agreement”), upon the terms and conditions of this Agreement.
- DELIVERY AND TERM
Lessor will, at Lessee’s sole expense and risk, deliver the Equipment to requested job site. Lessee shall pay the cost of delivery and assume all risk of loss from Lessor’s storage facility, which is 26375 Earthmover Cir., Corona, California, 92883. The term of this Agreement shall begin on date indicated on front of the Rental Agreement. Except as otherwise provided in this Agreement, the term of this Agreement shall remain in full force and effect until Lessee returns equipment back to Lessor’s Corona yard.
Lessee shall pay to Lessor rent in the monthly installments of an amount agreed to and indicated on the Rental Agreement. Lessee’s first payment of rent shall be due on the 15th day of each month as will be indicated on the billing invoice sent to Lessee. Any past due payment of rent will bear interest at the rate of 1.5 % per month. All payments under this Agreement shall be made to Lessor at PO Box 4775 Covina, CA 91723 or at such other address, or to Lessor’s assignee, if any, as Lessor may designate by written notice.
- PERSONAL PROPERTY OF LESSOR
This lease is a “true lease.” The Equipment is, and shall at all times remain, the sole personal property of Lessor, notwithstanding that it or any part of it may be or become attached to, embedded in, or permanently resting on the real or personal property of Lessee or any other person or firm not a party to this Agreement. Lessee shall have no right, title, or interest in the Equipment, except as provided in this Agreement. Lessee shall not hold himself or herself or itself out as an owner of the Equipment, or take any action that would be inconsistent with the ownership of the Equipment by Lessor or that would otherwise be inconsistent with, or outside the scope of, this Agreement.
Lessee shall use the Equipment in a careful and proper manner and shall comply with all laws, ordinances, and regulations relating to the possession, use, or maintenance of the Equipment. If at any time during the term of this Agreement Lessor supplies Lessee with labels, plates, or other markings stating that the property is owned by Lessor, Lessee shall affix and keep them in a prominent place on the Equipment. Lessee will not, without prior written consent of Lessor, permit the Equipment to be removed from Lessee’s principal place of business.
- MAINTENANCE, ALTERATIONS, AND REPAIR
Lessee shall not remove, alter, disfigure, or cover up any numbering, lettering, or insignia displayed upon the Equipment. Lessee may shall not remove, disassemble, move, or alter the GPS device on Equipment. Alteration of GPS device will result in rental until said job is verbally called off and Equipment transported back to Corona yard. Lessee, at his or her or its sole cost and expense, shall see that the Equipment is not subjected to careless or needlessly rough usage, shall keep the Equipment in good repair, condition, and working order, and shall furnish all parts and service necessary to keep it in good working order. Lessee agrees that he or she or it will make no alterations, modifications, additions, or improvements to the Equipment without Lessor’s express written consent. Any alterations, modifications, additions, or improvements shall immediately become the property of Lessor subject to the terms of this Agreement.
- INSPECTION BY LESSEE
Within 2 business days of this Agreement, Lessor shall make available and Lessee shall examine and inspect the Equipment, or a sample or model of the Equipment, at Lessor’s storage facility, which is 26375 Earthmover Cir., Corona, California, 92883, or at such other place as the parties may mutually agree on. Lessee shall execute an Acknowledgment and Acceptance of Equipment by Lessee, as provided by Lessor, within that period of time, or shall otherwise give written notice to Lessor specifying any defect in or other proper objection to the Equipment. If Lessee fails to timely comply with the requirements of this section, Lessee agrees that it shall be conclusively presumed, as between Lessor and Lessee, that Lessee has fully examined and inspected the Equipment and acknowledged that the Equipment is in good condition and repair, and that Lessee is satisfied with and has accepted the Equipment in good condition and repair.
- DISCLAIMER OF WARRANTIES
LESSEE ACKNOWLEDGES AND AGREES THAT THE EQUIPMENT IS DELIVERED “AS IS” AND “WITH ALL FAULTS.” LESSOR HAS NOT MADE AND DOES NOT MAKE ANY EXPRESS OR IMPLIED WARRANTIES CONCERNING THE EQUIPMENT. LESSEE ACCEPTS THE EQUIPMENT AS IS, AND, EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, EXPRESSLY WAIVES ALL WARRANTIES, INCLUDING, WITHOUT LIMITATION, THE STATUTORY WARRANTIES OF DIVISION 10 OF THE CALIFORNIA UNIFORM COMMERCIAL CODE, WHICH INCLUDE UNIFORM COMMERCIAL CODE SECTION 10211 (IMPLIED WARRANTY OF QUIET ENJOYMENT), UNIFORM COMMERCIAL CODE SECTION 10211 (IMPLIED WARRANTY AGAINST INFRINGEMENT), UNIFORM COMMERCIAL CODE SECTION 10212 (IMPLIED WARRANTY OF MERCHANTABILITY), UNIFORM COMMERCIAL CODE SECTION 10213 (IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE), AND UNIFORM COMMERCIAL CODE SECTION 10212(c) (IMPLIED WARRANTIES THAT MAY ARISE FROM COURSE OF DEALING OR USAGE OF THE TRADE).
- INSPECTION BY LESSOR
Lessor shall at all times during normal business hours have the right to enter on the premises where the Equipment may be located for the purpose of inspecting it or observing its use. Lessee shall give Lessor immediate notice of any attachment or other judicial process affecting any item of Equipment and shall whenever requested by Lessor, advise Lessor of the exact location of the Equipment.
- LOSS OR DAMAGE
Lessee shall bear the risk of all direct, indirect, or consequential loss, damage, or deprivation of use of the Equipment. If the Equipment is lost, stolen, or otherwise disappears, or if the Equipment is damaged to such an extent that it cannot, in the opinion of Lessor, economically be restored to good operating order, condition, and appearance, Lessee replace the Equipment with encumbrance-free Equipment of the same model, type configuration and total machine hours.
- RETURN OF EQUIPMENT
At the end of the Term or upon earlier termination of this Agreement, the Lessee will return the Equipment at the Lessee’s cost, expense and risk to the Lessor by delivering the Equipment to 26375 Earthmover Cir., Corona, California, 92883. If the Lessee fails to return the Equipment to the Lessor at the end of the Term or any earlier termination of this Agreement, the Lessee will pay to the Lessor any unpaid Rent for the Term plus the Casualty Value of the Equipment plus 10% of the Casualty Value, at which point ownership of the Equipment will pass to the Lessee. As used herein, “Casualty Value” shall mean the market value of the Equipment at the end of the Term or when in relation to the Total Loss, the market value the Equipment would have had at the end of the Term but for the Total Loss. As used herein, “Total Loss” shall mean any loss or damage that is not repairable or that would cost more to repair than the market value of the Equipment. The Casualty Value may be less, but not more than the original purchase price of the Equipment.
At all times during the term of this Agreement, Lessee will, at his or her or its own cost and expense, insure the Equipment for such risks and in such amounts as Lessor may require with carriers acceptable to Lessor, will maintain a loss payable endorsement in favor of Lessor affording to Lessor such additional protection as Lessor may require, and will maintain liability insurance satisfactory to Lessor. All the insurance required under this Agreement will name Lessor and Lessee as coinsureds, and the loss payable endorsement will provide that all amounts payable by reason of loss of or damage to the Equipment will be payable only to Lessor. Lessee will deliver to Lessor evidence satisfactory to Lessor of all the required insurance.
- TAXES AND FEES
Lessee will prepare, execute, and file returns and pay, on a timely basis, at Lessee’s expense all sales and use taxes and any other personal property taxes, charges, assessments, or levies imposed on or against the Equipment of whatever kind or nature together with any penalties or interest in connection with these charges, except any taxes on or measured by Lessor’s net income.
Lessee will indemnify Lessor against, and hold Lessor harmless from, all claims, actions, proceedings, costs, damages, and liabilities, including attorney fees, arising out of, connected with, or resulting from the Equipment, including without limitation the manufacture, selection, delivery, possession, use, operation, or return of the property.
(a) The occurrence of one or more of the following events shall constitute an “Event of Default”: Lessee fails to pay when due any rental, or any other payment becoming due under this Agreement; Lessee fails to perform any other obligation assumed by Lessee under this Lease; or Lessee or any guarantor of the obligations of Lessee (i) becomes insolvent; (ii) commits an act of bankruptcy; (iii) becomes subject to any voluntary or involuntary bankruptcy proceeding; (iv) makes an assignment for the benefit of creditors; (v) appoints or submits to the appointment of a receiver for all or any of his or her or its assets; (vi) admits in writing his or her or its inability to pay his or her or its debts as they become due; or (vii) enters into any type of voluntary or involuntary liquidation.
(b) On the happening of an Event of Default, Lessor may, at his or her or its option and without notice or demand to Lessee: (i) immediately terminate this Lease and Lessee’s rights under it; (ii) require Lessee to return the Equipment to Lessor at Lessee’s expense; (iii) enter, without demand or notice and without court order or legal process, upon any premises where the Equipment may be located and take immediate possession of it; (iv) declare the entire balance of rent and charges for the remainder of the term and all other unpaid amounts immediately due and payable; and (v) draw on any security deposit or letter of credit, or take any other security pledged by Lessee to guaranty his or her or its obligations under this Agreement, in full or partial payment of Lessee’s obligations in default.
(c) In addition to the foregoing, Lessee shall also pay to Lessor on demand all fees, costs, and expenses incurred by Lessor by reason or occurrence of an Event of Default of by enforcing his or her or its rights under this Agreement, including, without limitation, reasonable attorney fees. The remedies provided Lessor in this Agreement shall not be exclusive, but shall be cumulative and in addition to all other remedies provided in this Lease or existing at law or in equity, any one or more of which may be exercised simultaneously or successively. No termination, repossession, or other act by Lessor after default by Lessee shall release Lessee from any of [his or her or its] obligations under this Agreement.
- FINANCING STATEMENT
For notice purposes only and not with the intent to create a security interest under the California Uniform Commercial Code, Lessor may record a precautionary Form UCC-1 Financing Statement for the Equipment subject to this Agreement in every state where Lessee may be doing business or where the Equipment may be located.
All notices and other communications required or permitted under this Agreement shall be validly given, made, or served, if in writing and delivered personally or sent by registered mail, to the parties at the address set forth above or at any other address as any party may, from time to time, designate by giving written notice pursuant to this section.
- APPLICABLE LAW
This Agreement shall be governed by and construed under the laws of the State of California, and jurisdiction for any dispute arising from or relating to this agreement shall be in County of Riverside.
- ATTORNEY FEES
If either party files any action or brings any proceeding against the other arising out of this Agreement, the successful or prevailing party or parties shall be entitled to recover reasonable attorney fees and other costs incurred in that action or proceeding, in addition to any other relief to which he or she or it or they might be entitled.
- ENTIRE AGREEMENT, MODIFICATION, AND WAIVER
This Agreement represents the entire understanding and agreement between the parties regarding the subject matter of this Agreement, and supersedes and replaces all prior agreements and understandings, whether oral or written. The provisions of this Agreement cannot be amended, supplemented, or changed, nor can any of its provisions be waived, except by a writing signed by the party against whom enforcement is sought. No waiver of a breach of this Agreement shall be deemed to constitute a waiver of a further breach, whether similar or dissimilar.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year written on front of agreement. By signing on front of this agreement Lessee agrees to all terms and conditions set herein.
Pacific Tractor West, Inc.