CONTRACT OF LEASE

KNOW ALL MEN BY THESE PRESENTS:

This CONTRACT OF LEASE, made and entered this 30th day of May 2019 by and
between:

DENALI MERCHANDISING, INC., represented in this act by MARICEL M. CALLANTA,

Filipino, of legal age, with postal address at 108 12 th Avenue, Murphy, Cubao, Quezon
City, hereinafter referred to as the LESSOR.

-AND-

____________________, of legal age, Filipino, and a resident at

_______________________ Quezon City, hereinafter referred to as the LESSEE.

WITNESSETH:

WHEREAS, the LESSOR is the registered owner of the property located at 102 Road 1
corner Road 3, Project 6, Quezon City, known as Pilar Bldg. unit 1 - K , approximately 5sq. m.
which the LESSEE has seen, inspected and accepted, on an as is, where is basis.
Lessee

Now, THEREFORE, for and in consideration of the foregoing premises, the parties have
mutually agreed, stipulated and covenanted as follows:

TERMS OF LEASE:

1. The LESSEE hereby acknowledged receiving the leased premises in good and
tenantable condition;

2. The term of the lease shall be for a period of one year commence on ____ up to
April 30, 2020, automatically terminating without the necessity for any previous notice
or for any judicial action of ejection.

EXPIRY OF LEASE:

After expiration of the said lease period (ie. no new contract entered), and the LESSEE
continues to temporarily occupy the leased premises, said occupancy shall be deemed
Maricel M. Callanta

automatically renewed for One (1) Year, under the same terms and conditions, with a minimum of
Twenty (20%) PERCENT increase on the agreed rental for the new term.
Lessor

RENTAL:

1. The monthly rental of the leased premises shall be:

Four thousand five hundred pesos (php 4, 500.00) per month. That upon
execution of this contract, the LESSEE shall issue twelve (12 post-dated checks, with
the first check dated on the signing of the contract. The LESSEE shall pay for the
12% Value-Added Tax, if applicable by law. In case of delay in the payment of rentals,
the LESSEE shall be liable to pay the LESSOR a penalty of 3% interest per month on
the applicable monthly rental/s that are due for payment.

The lessee issue with the LESSOR the amount of (Php15, 945.00) Philippine
Currency as a security deposit, to cover for unpaid rentals, damages to the leased
premises, unpaid billings from utilities and interest penalties due to late payments.
The remaining balance of this deposit is refundable within sixty (60) days. The
deposit shall not be returned to the LESSEE if the LEASE is terminated prematurely.
The deposit is not interest bearing whatsoever.

2. The LESSEE shall get the written approval of the LESSOR with regards to the
construction materials to be used and submit plans to secure written approval for any
alterations and renovations. The LESSEE shall then complete the following
renovations within 30 days upon approval.

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 3. The LESSOR shall assess the LESSEE with monthly maintenance fees of 1, 500.00
to cover common area expenses for services on janitors, lightings, security guards,
and etc. this amount is not included in the rental rate.

USE OF THE PREMISES:

1. THE LESSEE shall use the premises only for operation as _________. It will be a
violation to use it for any other purpose without written consent from the LESSOR.
The CONTRACT TERMINATION clause will automatically apply. [Note: There is no
car parking allocation. Maximum parking of 2 hours only for tenants visitors.]

2. The LESSEE shall not sublease the leased premises nor it be occupied in whole or in
part by another person, firm or entity without the prior written consent of the
LESSOR, neither shall the LESSEE assign its rights hereunder any person, firm or
entity without the prior consent of the LESSOR.

3. The LESSEE shall not introduce any improvements nor make any alterations on the
leased premises without the previous written consent of the LESSOR. Any
improvements so introduced or alterations allowed to be made shall, upon the
expiration of this contract, become the property of the LESSOR without need of
Lessee

compensation therefore. Moreover, any improvements or alterations allowed shall be

for the sole account of the LESSEE.

4. That the LESSEE shall maintain the leased premises in a clean and sanitary
condition at all times and keep the fixtures and fittings therein in good order and
condition.

5. The advertisement material shall be for approval as well. There will be one included
advertisement sign only. This will be immediately above the leased unit. Size and
contents for written approval.

6. The premises should not be used for residential purposes by any personnel of the
LESSEE. The LESSOR shall assess the amount of 1, 000 pesos per night per
person as penalty for each occurrence.

GENERAL PROVISIONS:

1. That the LESSEE shall comply with all laws, ordinances, orders, rules or
requirements of any office of the government, national or local, affecting or pertaining
Maricel M. Callanta

to the operation of the leased property and shall hold harmless the LESSOR from
any liability arising from the operation of his business.
Lessor

2. This CONTRACT OF LEASE shall be rescinded whenever by reasons of

conflagration, flood, fire, expropriation, earthquake, or other fortuitous cause the
building shall become useless for the purposes of this lease. The LESSOR shall not
be liable for damages that may result unto said LESSEE from any said causes, or for
other causes beyond LESSOR’S control.

3. The LESSEE shall not bring unto or store in the premises prohibited drugs,
contrabands or smuggled items, inflammable goods, explosive objects or other
articles that will endanger the building or increase its fire hazard. Further, LESSEE
shall always keep and maintain within the leased premises at least four serviceable
fire extinguishers of such capacity sufficient to put out the fire. Notwithstanding the
foregoing LESSEE shall be held liable for any damage suffered by LESSOR for
failure on the part of the LESSEE to comply with the terms and conditions of this
contract.

4. That the LESSOR or its representative or agent shall have the right to enter the
leased premises at any reasonable time or hour to examine and inspect the same or
for purposes which the LESSOR may deem necessary.

5. The LESSEE agrees that the LESSOR shall not be liable for injury, damage to
property, or any liability to third persons during the period of lease by reason of the
use, occupancy, and enjoyment of the lease premises by the LESSEE, members of
his family, representatives, employees, and customers, and guests.

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 6. In case the leased premises shall be abandoned, deserted, or vacated by the
LESSEE for a period of at least seven (7) days without notice to the LESSOR before
the expiration of this contract, the LESSOR shall have the right to enter the same as
the agent or attorney-in-fact of the LESSEE, to remove all things within the leased
premises, and shall have option to lease the same to any person. In this case, it shall
be treated as pre-termination of the lease contract without notice and shall be subject
to pre-termination penalty of three (3) months rentals based on the latest applicable
monthly rental.

RETURN OF THE PREMISES:

Upon termination of the lease period or earlier, for any reason whatsoever, the LESSEE
shall immediately vacate the premises and return possession thereof to the LESSOR peacefully
unless extended for another period. It is expressly agreed that in the event the LESSEE has any
outstanding account, either for monthly lease rentals or utility equipments and furnitures, the
LESSOR shall have authority to dispose of the same at a public auction, and the proceeds
thereof applied to the LESSOR’S account.

CONTRACT TERMINATION:

In the event the LESSEE fails to pay the agreed rent herein stipulated after a grace
period of five (5) days, or if the LESSEE, in any manner whatsoever, violates the terms and
conditions of this LEASE OF CONTRACT, such as using the premises other than stated above,
the LESSOR shall have the right to unilaterally rescind this contract, cut off utilities, eject the
LESSEE from the premises, and take possession of the leased premises even without Court
Order.

LITIGATION:

Both PARTIES agree that all of the covenants and agreements herein contained shall be
deemed conditions of the lease, and that this contract may be terminated and cancelled for with
by the Party who is not in default or breach.

In the event that either party to this contract files a suit for violation or failure to comply
with the terms and conditions of this Contract or for specific performance, the Party at fault shall
pay to the aggrieved party the sum of TWENTY FIVE percent (25%) of the amount involved in the
suit as attorney’s fee and an additional TEN percent (10%) of the amount due as liquidated
damages.

IN WITNESS WHEREOF, the parties have hereunto set their hands and affixed their signature on
this day of _________ 2019 at ____________, Philippines.

Denali Merchandising Inc.,

Represented in this act by:

Maricel M. Callanta
Lessor Lessee

Signed in the presence of:

Witness Witness

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 ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES)

QUEZON CITY )S.S.

BEFORE ME, this _______ day of ________ 2019 at Quezon City, Metro Manila
personally appeared:

Name Gov’t Issued Identification/Date/Place Issued

Maricel S. Manzanas SSS ID # 34-0101478-6

Lessee

both known to me and to me known to be known to be the same persons who executed the
foregoing Contract of Lease consisting of four (4) pages including this page where the
acknowledgement is written and acknowledged to me that the same is their free and voluntary act
and deed and the corporate act and deed of the corporation which they represent.

This instrument, including the page where this acknowledgement is written has been signed by
the parties and their instrumental witnesses on each and every page thereof, refers to as
Contract of Lease on a commercial space at Project 6, Quezon City.

WITNESS MY HAND AND SEAL, I have hereunto set my hand and affixed my notary seal in the
place and on the date first above written.

Doc. No. ______; Notary Public

Maricel M. Callanta

Page No.______;
Lessor

Book No.______;
Series of 2019.