CONTRACT OF LEASE

This contract of Lease made and executed this 13th day of June 2017 by and between :

Archielyn N. Macadamia, Filipino , of legal age with postal address at 345 El Grande Ave BF Homes Paranaque
City herein after referred to as the “ LESSOR”;

And

Teodulfo Lopez, Filipino ,of legal age , with postal address at 1208 Belmira Tower @ Cypress Towers Carlos P.
Garcia avenue Brgy. Ususan Taguig City, herein after referred as the “LESSEE”.

WITHNESSETH THAT:

WHEREAS, the LESSOR is the absolute and registered owner of a commercial unit with an area of Thirty Square
meter more or less ( 30 sq. meter ) situated at Unit 2 JAM bldg 345 El Grande Ave BF Homes Paranaque City

WHEREAS, the LESSEE desires to lease the said unit and the LESSOR is willing to grant the lease in favor of the
LESSEE

NOW THEREFORE ,for and in consideration of payment for the rent and the compliance with all the conditions and
covenants hereinafter set forth, the LESSOR agrees to lease to the LESSEE , as it does hereby accept the way of
lease the aforementioned premises under the following covenant and conditions

SUBJECT OF LEASE: Unit 2 JAM Bldg commercial unit with an area of 30 square meters more or less situated at the
345 EL Grande Ave BF Homes Paranaque City.

1. DURATION AND RENEWAL – The period of this contract is for 1 year commencing on July 1, 2017 and
ending June 30, 2018 unless sooner terminated for causes and under the manner herein after provided
or renewed upon mutual agreement of both parties. Any renewal or extension of this lease agreement
shall be under such new or additional term113s and condition , which the parties herein shall negotiate.
In this connection written notice to renew or extend this lease shall be given by the LESSEE to LESSOR at
least sixtyty (60) days before its termination.

2. MONTHLY RENTAL–The monthly rental for the Leased Premises shall be FIFTEEN THOUSAND PESOS
ONLY ( 15,000.00 ) for one month exclusive of expanded value-added tax and withholding tax .The
monthly rental shall be payable in advance every 1ST day of each month. The LESSEE upon signing of this
contract, shall tender the corresponding number of 11 postdated checks to the LESSOR equivalent to the
covering of the balance of the monthly rentals for the whole year leased period, separate and distinct
from the checks representing payment of the advance rentals and deposit.

3. ESCALATION CLAUSE – The rental shall be subjected on 5% per annum escalation rate starting from its
3rd year.

4. ADVANCE RENT & SECURITY DEPOSIT – Upon signing of this contract the LESSEE, shall pay the
LESSOR (2) months security deposit in the amount of THIRTY THOUSAND PESOS ONLY(
30,000.00 ) which shall be refunded to the LESSEE after 60 days upon expiration of the
Contract, less charges for utilities unpaid and damage to the Leased Premises beyond the
scope of the normal wear and tear.Further, the LESSEE shall pay the LESSOR the amount of
 FIFTEEN THOUSAND PESOS ONLY ( 15,000.00 ) representing advance rental for the one (1)
month to be applied the first month of rent. The security deposit is strictly cannot be use for
the rental of the premises.

5 . PRE – TERMINATION OF CONTRACT – Should the LESSEE wish to pre terminate this Contract for
whatsoever reason or vacate or abandon the premises prior to maturity of the Contract the said deposit
shall not be refundable and be forfeited in favor of the LESSOR. And all the remaining or unpaid bills such as
electricity, water, telephone, association dues shall be settled individually by the LESSEE.

6. TERMINATION OR CANCELLATION OF LEASE – This Lease agreement shall be automatically be

terminated if any of the following causes supervene ;

a) Upon termination of the lease period unless the lease is extended or renewed in the manner
provided elsewhere in this contract ;
b) For failure to comply with any of the condition of this contract ;
c) For abandonment of the leased premises as defined in this contract;
d) For use of the premises other than for business purpose

7. LESSEE – Shall not bring or store in the premises the following:

A. CONTRABAND OF ANY KIND

B. ILLEGAL OR DANGEROUS DRUGS
C. ILLEGAL FIREARMS OR EXPLOSIVES ETC.
D. SUBVERSIVE MATERIALS
E. ANY OTHER ILLEGAL MATERIALS OR ACTIVITIES
F. NO EMMORAL ACTIVITIES

8. The LESSEE should comply all necessary documents pertaining to its business e.g. mayor
permit, barangay permit BFF, sec. etc. and furnished the LESSOR a copy within three months
or ninety (90) days otherwise revoked the agreement and automatically forfeiture of security
deposit.

9. LESSEE shall be responsible at all times for all the acts done by his family members and other
persons entering the leased premises in so far as the enforcement of the provisions of this
Contract is concerned.

10. THIRD PARTY LIABILITY. The LESSEE shall waive the LESSOR free and harmless from any all
responsibility for mishaps, accidents damages or liability in the leased premises, likewise, all
claims for the damages mishaps or any accident caused or which hereafter maybe be caused
by the property, or the condition thereof.Illegal manner or whatsoever ,eg, smuggled drugs or
any illegal action brought or damage to the properties of LESSEE caused by his CLIENTS, guests
and other persons allowed inside the premises and shall indemnify LESSOR for loss or damage
to LESSOR’s facilities caused by LESSEE’s employees members, guests and other persons,
normal wear tear expected. LESSOR shall not be responsible for any loss or damage to the
properties of LESSEE due to force majeure or acts of God.
11. All bills for electricity, water, telephone, garbage, etc. during the period of this lease shall be
for the account of the LESSEE. The LESSEE shall submit a copy of the paid bills to the LESSOR
on a monthly basis during the term of this Contract; and it is further agreed that a clearance of
account of the above mentioned services shall be presented to the LESSOR by the LESSEE
before the latter could be granted release from the Contract.

12. Should the leased property or any substantial part thereof be damaged or destroyed by fire,
earthquake, flood or similar unavoidable cause or causes, independent by fault or negligence
or carelessness of the LESSEE, his employees, clients or guests, in which event, no liability of
the LESSOR to the LESSEE shall arise nor the LESSEE shall be liable to pay for the unexpired
portion of the lease.

13. Any loss or damage to property or injury to person or persons, whether occasioned or brought
about, in whole or in part, by the negligence of the LESSEE, members of the company,
servants or other persons allowed by the LESSEE inside the lease premises, shall be borne
solely by the LESSEE.

The LESSEE hereby further agrees to indemnify all injuries to persons and to restore the
damaged property in the same conditions as they were received, ordinary wear and tear
expected, and faultless the LESSOR from any and such damages, liabilities or claims which may
be filed by reason of the above causes.

14. MONTHLY DUES AND COMMON AREA CHARGES – The LESSEE agrees to pay in addition to the monthly
rental herein stipulated all monthly dues and other common charges and expenses.

15. CARE AND MAINTENANCE OF PREMISES - LESSEE shall, at his own expense and at all times , maintain
the Leased Premises in good and safe condition as received . LESSEE shall be responsible for the removal
of all equipment and accessories from the premises and clearing thereof upon termination of lease.

16. ENTRY AND INSPECTION – The LESSEE shall permit the LESSOR or the LESSOR’S agent to enter upon the
premises at reasonable times and upon reasonable notice, for the purpose of inspecting the same. To
assure the LESSOR that the LESSEE is complying with the terms and condition of this Contract of Lease.

17. USE OF PREMISES –– The LESSEE shall use the Lease Premises only for its business and operation. The
LESSEE shall not directly or indirectly transfer, convey, mortgage or in a way encumber the right of Lease
of Premises under any circumstances whatsoever and that any contract that may be made in violation of
this clause shall be null and void. It is the character of the LESSEE as herein below represented and the
nature of the business constitute and are the special consideration and inducement for granting of this
Lease by the LESSOR; consequently , any violation shall automatically and unequivocally terminate this
contract of lease from the time such violation occur . The premises shall be used exclusively for business
and in its use.

18. ALTERATION AND IMPROVEMENTS – The LESSEE shall not alter the existing partitions nor introduce or
make any alteration, addition or improvements in the Premises without the LESSORS written consent.
All such alteration and improvements made on, in or upon the Premises (except movable without
 defacing or injuring the Premises) shall become the property as part of hereof upon termination of the
lease and automatically become the property of the LESSOR without compensation to the LESSEE.

19. REMOVAL OF FURNITURE – Upon expiration of this lease period and provided LESSEE is not then in the
default in the performance of any of the terms and agreements herein contained and LESSOR does not
exercise its right. LESSEE shall repair any and all damages to the leased premises caused by removal of
said fixture or equipment.

20. DAMAGE AND REPAIR OF THE PREMISES – In case of damage to cause solely by the LESSEE the
premises or its appurtenances, the damages shall immediately be repaired by the LESSEE at its expense.
The LESSEE shall make no claim for any loss or damage on account of any repair done in or about the
premises herein leased and which may in any way interfere with or interrupt the LESSEE’s uses of the
premises.

21. SUBLEASE AND ASSIGMENT OF RIGHTS – The LESSEE shall neither assign nor transfer its rights under
this Contract of Lease nor sublet the Premises nor allow it to be used for any purpose other than that
hereinabove specified nor allow it to be occupied in whole or in part by any other person , firm or
corporation without the prior written consent of the LESSOR and nor right , title or interest there to or
therein shall be conferred on or vest in anyone other than the LESSEE without such prior written
consent to the LESSOR.

22. DEAFULT– In case of the default by LESSEE to pay the monthly rentals on due dates and/or in case
breach of any other condition, covenant or term of this contract. This contract of Lease may, at LESSOR’s
option be terminated and rendered without further force and effect , and LESSOR shall have the right to
lock out or reject the LESSEE from the premises all recover all accounts due as rentals and interest
thereon and the rate of two (2%) percent per month from date of default as well as damages in an
amount equivalent to Twenty (20%) percent of rentals due from LESSEE . In addition thereto attorney’s
fees in an amount equivalent to Ten (10%)percent of such amount due , but in no case be less than Ten
Thousand Only ( P 10,000.00) may be demandable by LESSOR should such counsel be retained by
LESSOR to enforce any condition of this contract , judicially or extra judicially . In collecting this amount
LESSOR may apply the deposit required. The obligation of LESSEE to pay rentals shall cease only after
the premises shall have completely vacated by the LESSEE. Provided that should LESSOR terminate this
contract because of LESSEE breach of any provision of this contract. Other than nonpayment of rental.
LESSOR shall have the option to forfeit or confiscate wholly the deposit provided hereof be insufficient
to answer for such obligation the effects removed from the premises and place in storage shall be
considered taken under pledge articles , after the lapse of sixty (60)days from the date the last unpaid
account of LESSEE become due and proceeds applied to LESSEE unsettled obligation

23. VENUE & ATTORNEY’S FEE – In case of breach of the terms and condition agreed upon this contract, the
aggrieved party shall be afforded the right accorded under the provision of the law. Any legal action
there from shall be brought before the proper court of Paranaque City and the prevailing shall be
entitled to all cost incurred in connection with such action , including a reasonable attorney’s fee.

24. OTHER CONDITION – The LESSEE shall not use the driveway of the premises except for parking, loading
and unloading of deliveries of materials for their business and/or parking of their customer,while
transacting with them. Any improvement or alteration in such improvement shall belong to the LESSOR
 at the expiration of the term of contract. The LESSEE shall be responsible at all times for all the acts
done by their agents or employees and other parties entering the LEASED PREMISES in so far as the
enforcement of this Provision of this contract is concerned .The LESSOR shall not be responsible for any
loss or damage which the LESSEE may sustain in the PREMISE.

25. INVALIDITY OF ANY CLAUSE – The invalidity of any of these covenants of any parts hereof by court
order of judgment shall in no way affect any of the other provision, which shall remain in full force and
effect.

26. MODIFICATION OF CONTRACT - This Contract of Lease shall not have any way be amended , modified ,
innovated except by virtue of a written instrument signed by the duly authorized representative of the
LESOR and the LESSEE.

IN WITNESS WHEREOF, the parties have signed these presents on the date and at the place hereinabove
written.

Archielyn N. Macadamia Teodulfo Lopez

(LESSOR ) (LESSEE)

SIGN IN THE PRESENCE OF :

REPUBLIC OF THE PHILIPPINES )

City of Paranaque ) S.S.

BEFORE ME, personally appeared the following :

Archielyn N. Macadamia

Teodulfo Lopez

Known to me to be the same persons who executed the foregoing instrument and they acknowledge to
me that the same is their free and voluntary act and deed and that of the LESSOR.

This instrument consisting of five pages (5) including their Acknowledgement has been signed on each and every
page by the parties and their instrumental witnesses.

WITNESS MY HAND AND SEAL this day of in .

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