Bakery Equipment Lease Agreement Design
Bakery Equipment Lease Agreement Design
This Bakery Equipment Lease Agreement ("Agreement") is made and entered into as of [Month Day, Year] by and between [Your Company Name], with a principal place of business at [Your Company Address] ("Lessor"), and [Lessee's Company Name], with a principal place of business at [Lessee's Company Address] ("Lessee").
1. Lease of Equipment
1.1 Lease. Lessor agrees to lease to Lessee, and Lessee agrees to lease from Lessor, the equipment described in Exhibit A attached hereto (the "Equipment"), subject to the terms and conditions set forth in this Agreement.
1.2 Term. The term of this Agreement shall commence on [Month Day, Year] and shall continue for a period of [0] months/years unless terminated earlier in accordance with the provisions of this Agreement (the "Lease Term").
2. Rent
2.1 Payment. Lessee shall pay to Lessor as rent for the Equipment the sum of $[0] per month, payable in advance on the [15th] day of each month during the Lease Term.
2.2 Late Payment. Any payment of rent not made within [0r] days after its due date shall bear interest at the rate of [0]% per annum from the due date until paid.
3. Security Deposit
3.1 Deposit. Upon execution of this Agreement, Lessee shall deposit with Lessor the sum of $[0] as security for the performance by Lessee of its obligations under this Agreement (the "Security Deposit").
3.2 Return of Deposit. The Security Deposit shall be returned to Lessee within [0] days after the expiration or termination of this Agreement, less any amounts necessary to remedy Lessee's default under this Agreement or to repair any damage to the Equipment.
4. Use and Maintenance of Equipment
4.1 Use. 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, and maintenance of the Equipment.
4.2 Maintenance. Lessee, at its own expense, shall maintain the Equipment in good operating condition, repair, and appearance, and shall protect the Equipment from deterioration other than normal wear and tear.
4.3 Alterations. Lessee shall not make any alterations, additions, or improvements to the Equipment without the prior written consent of Lessor.
5. Insurance
5.1 Insurance Coverage. Lessee shall, at its own expense, obtain and maintain throughout the Lease Term insurance against loss or damage to the Equipment, with coverage equal to the full replacement value of the Equipment.
5.2 Liability Insurance. Lessee shall also obtain and maintain liability insurance with coverage of not less than $[0] per occurrence, naming Lessor as an additional insured.
5.3 Proof of Insurance. Lessee shall provide Lessor with certificates of insurance evidencing the required coverage and shall notify Lessor immediately of any cancellation or material change in such insurance.
6. Risk of Loss
6.1 Risk. Lessee shall bear all risk of loss, damage, theft, or destruction to the Equipment from any cause whatsoever during the Lease Term.
6.2 Repair or Replacement. In the event of loss or damage to the Equipment, Lessee shall, at Lessor's option, either (a) repair the Equipment to Lessor's satisfaction or (b) replace the Equipment with like equipment in good condition and repair.
7. Indemnity
7.1 Indemnification. Lessee shall indemnify, defend, and hold harmless Lessor and its agents and employees from and against any and all claims, actions, suits, proceedings, costs, expenses, damages, and liabilities, including reasonable attorney's fees, arising out of, connected with, or resulting from the Equipment or the use thereof.
8. Default
8.1 Events of Default. The following shall constitute events of default under this Agreement:
(a) Lessee fails to pay any rent or other sum payable under this Agreement when due and such failure continues for [0] days after written notice thereof from Lessor.
(b) Lessee fails to perform or observe any other covenant, condition, or agreement to be performed or observed by it under this Agreement and such failure continues for [number] days after written notice thereof from Lessor.
(c) Lessee becomes insolvent or makes an assignment for the benefit of creditors, or a petition is filed by or against Lessee under any bankruptcy or insolvency law.
8.2 Remedies. Upon the occurrence of any event of default, Lessor may, at its option, (a) terminate this Agreement and repossess the Equipment, (b) declare the entire amount of rent for the balance of the Lease Term immediately due and payable, and (c) pursue any other remedy available at law or in equity.
9. Surrender of Equipment
9.1 Surrender. Upon the expiration or termination of this Agreement, Lessee shall, at its own expense, return the Equipment to Lessor in good operating condition, repair, and appearance, ordinary wear and tear excepted.
9.2 Removal of Equipment. If Lessee fails to return the Equipment to Lessor as provided in Section 9.1, Lessor may enter upon Lessee's premises and remove the Equipment, and Lessee shall be responsible for all costs and expenses incurred by Lessor in connection with such removal.
10. Miscellaneous
10.1 Notices. Any notice or other communication required or permitted under this Agreement shall be in writing and shall be deemed given when delivered personally, sent by certified mail, return receipt requested, or sent by a recognized overnight delivery service to the addresses specified above or to such other addresses as may be designated by either party in writing.
10.2 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of [State], without regard to its conflict of laws principles.
10.3 Entire Agreement. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, representations, and understandings of the parties, whether oral or written.
10.4 Amendment. This Agreement may be amended or modified only by a written instrument executed by both parties.
10.5 Waiver. The failure of either party to enforce any provision of this Agreement shall not be construed as a waiver of that provision or any other provision of this Agreement.
10.6 Severability. If any provision of this Agreement is held to be invalid or unenforceable, such provision shall be deemed modified to the extent necessary to render it valid and enforceable, and the remaining provisions shall not be affected.
10.7 Assignment. Lessee shall not assign or transfer this Agreement or any interest therein without the prior written consent of Lessor. Any attempted assignment without such consent shall be void.
10.8 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument.
11. Additional Provisions
11.1 Confidentiality. Lessee agrees to keep the terms of this Agreement and any proprietary information regarding the Equipment confidential and not to disclose it to any third party without the prior written consent of Lessor, except as required by law.
11.2 Inspection. Lessor shall have the right to inspect the Equipment during normal business hours upon reasonable notice to Lessee to ensure compliance with the terms of this Agreement.
11.3 Liens and Encumbrances. Lessee shall keep the Equipment free and clear of all levies, liens, and encumbrances.
11.4 Taxes. Lessee shall be responsible for all taxes, assessments, and other governmental charges that are or may be imposed on the Equipment or its use during the Lease Term.
IN WITNESS WHEREOF, the parties have executed this Bakery Equipment Lease Agreement as of the date first above written.
[Your Company Name]
By:
[Your Name]
[Title]
[Month Day, Year]
[Lessee's Company Name]
By:
[Full Name]
[Title]
[Month Day, Year]
