WITNESSETH:
Article I
Leased Vehicles: The Lessor hereby leases to the Lessee the vehicle(s) described in Exhibit 1 attached herewith and made a part hereof (hereinafter referred to as vehicle(s) upon the conditions and covenants set forth below). The vehicles shall be maintained and operated in a manner that will provide the maximum amount of safety and protection to the Lessee. The Lessee shall adhere to all drivers' license requirements set forth by the State and Federal governments. The Lessee shall not sublease the Lessor's equipment to another entity.
Article II
Terms of Lease and Commencement Date: The term of this lease shall be week to week, commencing on the date that the vehicle(s) is placed in service by the Lessee, and continuing until this agreement is canceled or terminated verbally or in writing by either the Lessor or Lessee or by mutual consent, with no advance notice, as described below. In addition, in the event of breach or non-compliance with this agreement, the Lessor may terminate this agreement, effective immediately, by giving the Lessee verbal or written notice. The Lessee will have 24hrs to return the Vehicle(s) from the time of termination. Any additional cost incurred by the lessor to recover the vehicle(s) if not returned in 24hrs will be indebted by the lessee.
Article III
Consideration: In consideration for leasing the vehicle(s), the Lessee agrees to pay the Lessor $125.00 per vehicle per week for the term of the lease. In the event of any reimbursable costs to Lessor as described herein, Lessor reserves the right to offset said costs from any subsequent invoice between the parties. The Lessee further agrees to indemnify and hold Lessor harmless for any damages arising out of the use or operations of the leased vehicle by the Lessee or any third party for any purpose whatsoever (including the payment for any damage to any leased vehicle and payment of any and all tickets and/or citations on the leased vehicles), with the Lessee’s responsibilities more fully described hereinafter. Any Lessee with (1) at-fault accident or Reckless driving ticket will incur a $150.00 a week lease. After (2) at-fault accidents the contract will be terminated.
Article IV
Liability and Insurance: The Lessee assumes all liability while leasing the leased vehicle(s) and agrees to indemnify the Lessor for any losses incurred by the Lessee in the course of the operation of a leased vehicle(s). The Lessee will cover its activities and vehicle(s) with insurance sufficient to protect the Lessee, their management, and the Lessor, from any loss whatsoever, in regard to the vehicle(s). The Lessee shall provide a copy of the insurance policy to the Lessor.
Fire and Other Casualty Insurance: The Lessee, at its own cost and expense, shall keep the vehicle(s) insured against loss or damage by fire or other risks now or hereinafter embraced by the term “comprehensive and collision coverage.” The coverage shall be sufficient to create and assure a fund to be used to replace or repair the vehicle(s) in the event that damage or destruction necessitates the same. The Lessee shall be responsible for protecting the vehicle(s), based on the current market value, by maintaining adequate insurance throughout the lease period for the equipment. Failure of the Lessee to provide adequate insurance shall be considered a breach of this agreement and, after notification by the Lessor, may result in termination of this agreement.
The insured policies shall have the following terms:
Primary noncontributory
Combined Single Limit of $1mm
Must name CUDS, LLC, also dba as UIG, LLC as an additional named insured.
Waiver of subrogation
Lessee shall also obtain an umbrella (and that the auto, GL, and employer liability is in the underlying limits).
The Lessee agrees to notify the Lessor immediately when any vehicle is withdrawn from service due to casualty loss. The fair market value shall be deemed to be equal to the damages paid by the Lessee's insurance carrier or from a self-insured reserve account. Lessor has no obligation for any loss in regard to the vehicle(s). In no event shall salvage value be considered as fair market value for project equipment.
Article V
Termination or Cancellation of Agreement - Termination or cancellation of this agreement, in whole or in part, may be initiated by either the Lessor or the Lessee if it is in the best interest of that party. A notice of termination shall be delivered to the Lessee or Lessor, specifying the extent to which performance of work under this agreement is terminated, and the date upon which such termination becomes effective. A notice of termination shall be effective immediately, or as stated in the notice, by either party. If this agreement is terminated, the Lessee shall be liable for all payments under the payment provisions of the contract for services rendered through the effective date of termination.
Breach of Contract - If the Lessee fails to provide the services within the specified terms of this agreement, or fails to perform within the provisions of this agreement, this agreement may be terminated by reason of default or breach. A written notice of default or breach of agreement shall be presented to the Lessee advising the Lessee that this agreement may be terminated effective immediately. The Lessor may allow the Lessee a specified period of time in which to correct the deficiency; the notice of termination will state the time period in which the correction is permitted and other appropriate conditions. If the Lessee fails to remedy to the Lessor's satisfaction the breach or default or any of the terms, covenants, or conditions of this agreement within the specified time period, the Lessor shall have the right to terminate this agreement without any further obligation to Lessee. Any such termination for default shall not in any way operate to preclude the Lessor from also pursuing all available remedies against Lessee and its sureties for said breach or default.
Resolution of Disputes -
Remedies - Unless this agreement provides otherwise, all claims, counterclaims, disputes, and other matters in question between the Lessor and the Lessee arising out of or relating to this agreement or its breach will be decided by arbitration if the parties mutually agree, or in a court of competent jurisdiction within the County in which the Lessor is located.
Performance during Dispute - Unless otherwise directed by the Lessor, the Lessee shall continue performance under this agreement while matters in dispute are being resolved.
Rights and Remedies - The duties and obligations imposed by this agreement and the rights and remedies available hereunder shall be in addition to and not a limitation of any duties, obligations, rights, and remedies otherwise imposed or available by law. No action or failure to act by the Lessor or Lessee shall constitute a waiver of any right or duty afforded any of them under this agreement, nor shall any such action or failure to act constitute an approval of or acquiescence in any breach thereunder, except as may be specifically agreed in writing.
Hold Harmless - Except as prohibited or otherwise limited by state law, the Lessee agrees to indemnify, save, and hold harmless the Lessor of this agreement, and its officers, agents, and employees against any liability, including costs and expenses, resulting from any acts or omissions by the Lessee, or the officers, agents, employees of the Lessee, or the failure to perform or comply with any of the provisions of this agreement. These liabilities include, but are not limited to, any liability or damages arising out of the use, maintenance, or operations (including the payment of any and all tickets and/or citations on the leased vehicles) of the leased vehicle by the Lessee or any third party for any purpose whatsoever,
Safe Operation of Motor Vehicles
a. Seat Belt Use.
The Lessee is encouraged to adopt and promote on-the-job seat belt use policies and programs, for personnel that operates company-owned, rented, or personally-operated vehicles and include this provision in any third-party subcontracts, leases, or similar documents in connection with this project.
b. Safety. The Lessee is encouraged to:
(1) Adopt and enforce workplace safety policies to decrease crashes caused by distracted drivers including policies to ban text messaging while driving—company-owned or rented vehicles; Privately-owned vehicles when on official Project-related business or when performing any work for or on behalf of the Project; or any vehicle, on or off duty, and using an electronic device. Any unlawful Drug and Alcohol use is prohibited.
(2) Education, awareness, and other outreach to employees about the safety risks associated with texting while driving.
Article VI
Condition of Vehicle - A JotForm will be completed with all Truck Lease Agreement transactions, to and from, stating the condition of the vehicle. Monthly Truck Inspections will also be required with a $50.00 penalty if done late. They are due the last week of every month before the first of the new month. The Lessee has the right to add any notations when taking possession of the vehicle. The vehicle must be returned in the same condition as it was issued and failure to do so could result in fines being deducted from the final payout. Any damages or negative changes would also automatically result in fines and payment of the damages. Any maintenance neglect or past due oil changes will incur a $50.00 penalty.
EXHIBIT I
Description of Vehicles
The vehicle(s) referred to in the preceding lease agreement to which this exhibit is
attached are described as follows: