DATED THE DAY OF
2022
________________
RENT TO OWN AGREEMENT
_____________________________________
BETWEEN
POWER LEASING INC.
– AND –
…………………………………………
[LESSEE]
RENT TO OWN AGREEMENT
THIS RENT TO OWN AGREEMENT (“this Agreement”) made and entered into this the
__________ day of _______________, 20___, by and between:
A. Power Leasing Inc. a limited liability company whose registered office is situated at
_______________ (hereafter referred to “Lessor”), of one part;
AND
B. ……………………………………………… of ………………………………. (hereafter
referred to as “Lessee”) of the other part. (Jointly referred to as “Parties”)
IT IS HEREBY AGREED AS FOLLOWS:
WHEREAS, the Lessor and Lessee are desirous of entering into a rent to own
agreement for the lease, use and ultimate sale of the hereinafter described equipment.
NOW, THEREFORE, for and in consideration of the foregoing and the following mutual
covenants and conditions herein, the parties hereto agree as follows:
1. LEASE
a) Lessor hereby lets and leases unto Lessee the following described equipment which is
hereafter referred to as “leased Equipment” to wit: [Description of the Leased
Equipment inclusive of the vehicle Vin#]
b) The Leased Equipment shall be leased through Jones motor express.
c) Parties agree that there shall be a Maintenance of Escrow of 200$ a week.
d) Should a driver abandon a truck/load/equipment at any point the Lessor shall settlement
deduct 10,000$ from there settlements.
e) The Lessee shall be paid 65% of load period.
2. TERM
The term of this lease shall be from the ______ day of ______ 20_____, to the
_____ day of ______ , 20_______ , a total of 152 weeks or the date of which the
entire remaining balance of the total rental, plus accrued interest, as set out below in paragraph
No. 3 has been paid, whichever date first occurs.
3. RENTAL
a) Lessee hereby covenants and agrees to pay Lessor, as rent for the above-described
equipment for the total amount of $_______________for the entire term. The unpaid
balance of the entire amount shall bear interest at the rate of ___________ % per
annum, with any balance or interest payable monthly in an amount equal to the monthly
amortization of such balance over a period of __________. The initial amount of weekly
rental payment herein shall be the sum of $_______________ per week.
b) Lessee may prepay the rent herein at any time and in any amount, at which time the
amount of monthly rental due shall be re-computed on the remaining principal balance
due bearing interest at the rate of________ % per annum over the remainder of the
_________ year term. Said monthly payments shall begin on the _____ day of
________, 20 , and continue on the__________ day of each month thereafter during the
term hereof.
c) The rent herein is due and payable for the entire term set out above in paragraph No. 2
whether or not Lessee possesses and uses said leased Equipment.
d) Upon complete payment of the balance of the rent set out above, plus accrued interest,
at any time, the Lessor shall convey the above described leased Equipment to the
Lessee by bill of sale or other instrument(s) necessary to transfer title, and this lease
shall be terminated.
e) The parties agree that if driver abandons a truck/load/equipment, the Lessor shall deduct
10,000$ from the settlements that the Lessee has already made.
4. DAMAGE BY LESSEE
Lessee shall not commit or suffer any waste or damage to any item of leased Equipment
identified hereinafter, normal wear and tear excepted.
5. ALTERATIONS AND MODIFICATIONS
Lessee shall make no substantial changes, alterations, modifications or improvements to said
leased Equipment, without the prior written consent of Lessor.
6. TAXES AND ASSESSMENTS
Lessee shall, during the term of this lease, pay all state, county and personal Equipment taxes
and assessments of every kind and nature levied and assessed against said leased Equipment.
7. RIGHT OF INSPECTION
Lessee agrees that the Lessor, or their representatives shall have the right at all reasonable
times to enter upon Lessee’s premises or other places necessary to inspect said leased
Equipment, and ascertain that Lessee is complying with the terms, conditions and provisions
hereof.
8. ASSIGNMENT AND SUB-LEASING
Lessee shall neither assign, transfer, sub-let or under-rent the leased Equipment, nor any part
thereof, without the previous written consent of Lessor, and subject to such terms as the Lessor
might impose.
9. LIABILITY OF LESSOR
Lessee shall indemnify the Lessor and save it harmless from any and all liability, damages,
court costs and attorney’s fees it might incur as a result of Lessee’s use of the leased
Equipment.
10. LIENS AGAINST EQUIPMENT
Lessee shall keep the leased Equipment free from any mechanic’s, storage or similar lien or
other such encumbrances in connection with any alterations, repairs or use of said leased
Equipment and shall indemnify and hold Lessor harmless from and against any claims,
liabilities, judgments, cost (including attorney fees) arising out of the same or in connection
therewith.
11. REPAIRS AND MAINTENANCE
Lessee shall keep the leased Equipment in good condition and working order and repair, and
perform all maintenance necessary thereto, both routine and otherwise.
12. DAMAGES TO EQUIPMENT
a) If the above described leased Equipment or any part thereof, shall be damaged by fire or
other casualty, whether man made, natural or otherwise, Lessee shall at its own
expense commence to restore said Equipment and thereafter diligently complete such
restoration. Such repairs shall substantially restore the condition of the Equipment prior
to the casualty.
b) No abatement of rent shall be allowed during the time and to the extent the Equipment is
unfit for use as a result of such damages.
13. INSURANCE
a) It is hereby agreed that the drivers shall take out Occupational accident insurance on
provided by Jones Motor Express.
b) In addition the drivers shall take out liability Insurance, as well as Physical damage
insurance.
c) Lessee shall maintain during the term primary, noncontributory insurance on the leased
Equipment against fire and extended coverage or “all-risk” insurance, in an amount
equal to the full insurable value of the Equipment, or such other amount necessary to
prevent the Lessor from being a coinsured, and such other coverage as the Lessor shall
deem appropriate or that may be required by any mortgagee of the Equipment.
d) Prior to taking possession of the leased Equipment, the Lessee shall provide the Lessor
with certificates evidencing such coverage. These certificates shall state that such
insurance coverage may not be changed or cancelled without at least 30 days prior
written notice to the Lessor, and shall provide renewal certificates to the Lessor at least
30 days prior to expiration of such policies.
e) In the event of a loss, which is paid by such insurance coverage, the Lessee shall be
entitled to the proceeds from such insurance coverage to the extent of the proceeds
from such insurance coverage to the extent of the repairs and/or replacements actually
performed by Lessee. In the event there are any excess funds above and beyond actual
repairs and replacements, then such excess funds shall be applied to the total rent due
herein, unless waived by Lessor.
14. RETURN OF POSSESSION
At the termination of this lease prior to the end of the term herein or upon termination of the
Lessee’s right of possession, whichever shall first occur, the Lessee shall surrender possession
of leased Equipment to the Lessor. In such event, Lessee shall return said Equipment and all
additions, changes, alterations, improvements, and fixtures in as good an order and condition
when received except for ordinary wear and tear. All additions, changes, alterations,
improvements, and fixtures related to leased Equipment, whether installed by the Lessee or
Lessor, shall be the Lessor’s Equipment and shall remain with same, all without compensation,
allowance or credit to the Lessee.
15. WAIVER
a) No provision of this lease will be deemed waived by either party unless expressly waived
in a writing signed by the waiving party. No waiver shall be implied by delay or any other
act or omission of either party. No waiver by either party of any provision of this lease
shall be deemed a waiver of such provision with respect to any subsequent matter
relating to such provision; the Lessor’s consent or approval respecting any action by the
Lessee shall not constitute a waiver of the requirement for obtaining the Lessor’s
consent or approval respecting any subsequent such action.
b) Subsequent acceptance of rent or any other amounts by the Lessor or its employees or
duly authorized agents shall not reinstate or extend the term or the Lessee’s right to
possession after termination of either of the same and shall not constitute a waiver of
any breach by the Lessee of any term or condition of this lease, regardless of the
Lessor’s knowledge of such breach at the time such rent is accepted. The acceptance of
rent, or of the performance of any other term or condition by any person other than the
Lessee, including any transfer, shall not constitute a waiver of the Lessor’s right to
approve any transfer.
16. DEFAULT
The occurrence of any one or more of the following events shall constitute a “default” by the
Lessee, which, if not cured within any applicable time permitted for cure below, shall give rise to
the Lessor’s remedies set forth in paragraph No. 17:
i. Failure of the Lessee to make, when due, any payment of rent, unless such failure is
cured within 10 days after written notice thereof by the Lessor to Lessee;
ii. Failure by the Lessee to meet revenue goals which are $28000.00 a month for each unit
leased;
iii. Failure by the Lessee to observe or perform any of the terms or conditions of this lease
to by observed or performed by the Lessee other than the payment of rent, or as
provided below, unless such failure is cured within 10 days after written notice thereof by
the Lessor to Lessee sufficiently describing such failure to enable the Lessee to
determine an appropriate cure;
iv. Abandonment of the Equipment;
v. Making by the Lessee of any general assignment for the benefit of creditors;
vi. Filing by or against the Lessee of a petition to have the Lessee adjudged bankrupt or a
petition for reorganization or arrangement under any law relating to bankruptcy (unless,
in the case of petition filed against the Lessee, the same is dismissed within 60 days)
vii. Appointment of a trustee or receiver to take possession of substantially all of the
Lessee’s assets located on the premises or of the Lessee’s interest in this lease, where
possession is not restored to the Lessee within 30 days;
viii. Attachment, execution, or other judicial seizure of substantially all of the Lessee’s
assets, or the Lessee’s interest in this lease;
ix. The Lessee’s convening of a meeting of its creditors or any class thereof for the purpose
of effecting a moratorium upon or composition of its debts;
x. The Lessee’s insolvency or admission of an inability to pay its debts as they mature;
xi. Lessee’s failure to comply with terms of this Agreement; or any other document
prepared in connection with this Agreement.
Upon default, any amount recovered by the Lessor from the Lessee, or from others on behalf of
the Lessee such as by sale through judicial process, shall be considered and is hereby a credit
against the purchase price set out herein.
17. REMEDIES OF LESSOR
a) If a default occurs and is not cured within any applicable time permitted under paragraph
No. 16 above, the Lessor shall have all of the rights and remedies allowed by law,
including the right, without notice, to terminate this lease, to enter the Lessee’s premises
or other real Equipment and dispossess Lessee and their legal representatives or other
persons in possession of the leased Equipment by summary proceedings or otherwise
and remove their effects and possess the Equipment as if this lease had not been made;
the Lessee hereby waives the service of notice of intention to enter or repossess or to
institute legal proceedings to that end.
b) The Lessee further agrees that in case of any termination, the Lessee will indemnify the
Lessor against all loss of rents and other damage which the Lessor may incur by reason
of such termination, including, but not limited to, cost of restoring and repairing the
Equipment and putting same into rentable condition, cost of renting the Equipment to
another Lessee, loss or diminution of rents and other damage which the Lessor may
incur by reason of such termination, and, to the extent permitted under the then
applicable law, all reasonable attorney’s fees and expenses incurred in enforcing any of
the terms of this lease or any other rights or remedies of the Lessor.
c) Neither acceptance of rent by the Lessor, with or without knowledge of breach, nor
failure of the Lessor to take action on account of any breach hereof or to enforce its
rights hereunder shall be deemed a waiver of any breach. Absent written notice or
consent, said breach shall be a continuing one. The words “re-enter” and “re-entry” as
used in this lease is not restricted to their technical legal meaning. The Lessee hereby
expressly waives any and all rights to recover or regain possession of the premises or to
reinstate or to redeem this lease as permitted or provided by or under any statute, law,
or decision now or hereafter in force and effect.
19. DEPRECIATION
Because of the lease-purchase nature of this agreement, the Lessee may claim to the exclusion
of the Lessor any and all depreciation of any equipment or Equipment leased herein.
20. LESSOR’S DEFAULT
If the Lessor shall fail to perform any term or condition under this lease required to be performed
by the Lessor, the Lessor shall not be deemed to be in default hereunder nor subject to any
claims for damages of any kind, unless such failure shall have continued for a period of 30 days
after written notice thereof by the Lessor sufficiently describing such failure to enable the Lessor
to determine an appropriate cure.
21. CAPTIONS
The captions of the articles and paragraphs of this lease are for convenience and easy
reference only and shall not be considered or referred to in resolving questions of construction.
22. SEVERABILITY
If any provision of this lease shall be found invalid, void, illegal, or unenforceable with respect to
any particular person by a court of competent jurisdiction, it shall in no way affect, impair, or
invalidate any other provisions hereof, or its enforceability with respect to any other person, the
parties hereto agreeing that they would have entered into the remaining portion of this lease
notwithstanding the omission of the portion or portions adjudged invalid, void, illegal, or
unenforceable with respect to such person.
23. DISPUTE RESOLUTION
All questions in dispute arising between the parties hereto in respect to this Contract and
all claims or matters in such dispute shall be referred to Arbitration pursuant to the applicable
arbitral laws of the State of South Carolina.
To the extent permissible by law the determination of the Arbitral Tribunal’s decision
shall be final and binding upon the Parties.
24. DEFINITIONS
The following terms when used herein shall have the meanings set forth below:
i. “Lessor” and “Lessee” shall be applicable to one or more persons as the case may be.
The singular shall include the plural, and the neuter shall include the masculine and
feminine; if there be more than one, the obligations thereof shall be joint and several,
and the word “Lessee” shall include Lessee’s assignees, subtenants, concessionaires,
licensees, and other transferees as the context may require;
ii. “Person” shall mean individuals, trusts, partnerships, joint ventures, associations,
corporation, and any other entities;
iii. “Law” shall mean all federal, state, county, and local governmental and municipal laws,
statutes, ordinances, rules, regulations, codes, decrees, orders and such other
requirements, applicable equitable remedies and decisions by courts in cases where
such decisions are considered binding precedents in the State of South Carolina, and
decisions of federal courts applying the laws of the State of South Carolina ;
iv. “Mortgage” shall mean all mortgages, deeds of trust, ground leases, and other such
encumbrances now, heretofore, or hereinafter placed upon the Equipment or building, or
any part thereof, and all renewals, modifications, consolidations, replacements or
extensions thereof, and all indebtedness now or hereafter secured thereby and all
interest thereon;
v. “Holder” shall mean the holder of any mortgage at the time in question, and where such
mortgage is a ground lease, such term shall refer to the ground lease.
24. CONVEYANCE BY LESSOR
a) In case the Lessor or any successor owner of the leased equipment or personal
Equipment shall convey or otherwise dispose of any item or any portion thereof to
another person, such other person shall, thereupon, be and become Lessor hereunder
and shall be deemed to have fully assumed and be liable for all obligations of this lease
to be performed by the Lessor which first arise after the date of conveyance.
b) The Lessee shall attorn to such other person and the Lessor or such successor owner
shall, from and after the date of conveyance, be free of all liabilities and obligations
hereunder not then incurred. No provision herein shall be construed as to restrict or
prevent Lessor from conveying any of its rights, title interest in or to any of the
hereinabove referred to leased Equipment, or its right granted under this lease
agreement.
25. PARTIES AFFECTED
Each of the covenants and obligations of this lease shall be binding upon and inure to the
benefit of the parties hereto, their respective heirs, executors, administrators, guardians,
custodians, successors, and assigns.
26. QUIET ENJOYMENT
The Lessor covenants that upon the Lessee’s timely payment of the rent and performance of
the terms, covenants, and conditions to be performed by it hereunder, the Lessee shall
peaceably and quietly have, hold, and enjoy and use the above-described Equipment during the
term of this lease subject to the terms herein.
27. ENTIRE AGREEMENT
This lease contains all the terms and conditions between the Lessor and the Lessee relating to
the matters set forth herein and no prior or contemporaneous agreement or understanding
pertaining to the same shall be of any force or effect, unless any such contemporaneous
agreement specifically referring to and modifying this lease is signed by both parties. This lease
may not be modified except in writing signed by both parties.
28. EFFECTIVE DATE OF AGREEMENT
This Agreement may be executed prior to completing the title transfer transaction whereby the
Lessor acquiring the leased equipment and personal Equipment described herein above, and
prior to the completion and execution of other related documents by the Lessor, the Lessee and
other related parties. Therefore, this lease shall not take full force and effect until the completion
and execution of all related documents, at which time any missing dates shall be inserted into
this document. If all other such related documents are not completed within 60 days of the
execution of this Agreement, then this agreement shall be null and of no effect whatsoever.
IN TESTIMONY WHEREOF, witness the signatures of the parties hereto on the day and year
first above written.
SIGNED by Authorized Signatory of LESSOR
NAME: ______________________
DESIGNATION: ________________
SIGNATURE: ____________
SIGNED by the Authorized Signatory of LESSEE
NAME: ___________________
DESIGNATION: ________________
SIGNATURE: _____________________
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