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Asset Lease Agreement
"I need an Asset Lease Agreement for leasing construction equipment (two excavators and a crane) to a building contractor in Manila, with a lease term of 24 months starting March 1, 2025, including maintenance provisions and an option to purchase at the end of the term."
1. Parties: Identification and details of the lessor and lessee, including their legal capacity to contract
2. Background: Context of the lease arrangement and brief description of the asset being leased
3. Definitions: Definitions of key terms used throughout the agreement
4. Asset Description: Detailed description of the leased asset, including condition, specifications, and any existing defects
5. Term and Renewal: Duration of the lease, commencement date, and conditions for renewal
6. Rent and Payment Terms: Amount of rent, payment schedule, method of payment, and late payment consequences
7. Security Deposit: Amount, terms, and conditions for return of the security deposit
8. Use and Maintenance: Permitted use of the asset and maintenance responsibilities of each party
9. Insurance and Risk: Insurance requirements and allocation of risk between parties
10. Assignment and Subletting: Restrictions on assignment and subletting of the asset
11. Default and Termination: Events of default and termination rights of both parties
12. Return of Asset: Conditions and process for returning the asset at lease end
13. Governing Law: Specification of Philippine law as governing law and jurisdiction
14. Execution: Signature blocks and execution formalities
1. Purchase Option: Include when the lessee has the option to purchase the asset during or at the end of the lease term
2. Improvements and Alterations: Include for leases where modifications to the asset may be necessary or permitted
3. Environmental Compliance: Include for assets that may have environmental implications or requirements
4. Force Majeure: Include to address unforeseen circumstances that may affect lease performance
5. Warranties: Include when specific warranties about the asset's condition or performance are provided
6. Intellectual Property: Include when the leased asset involves or incorporates intellectual property rights
7. Anti-Money Laundering Compliance: Include for high-value leases requiring compliance with AMLA regulations
1. Schedule 1 - Asset Details: Detailed technical specifications and photographs of the asset
2. Schedule 2 - Rent Payment Schedule: Detailed breakdown of rent payments, including dates and amounts
3. Schedule 3 - Maintenance Schedule: Required maintenance procedures and schedules
4. Schedule 4 - Condition Report: Detailed report of asset condition at commencement of lease
5. Schedule 5 - Insurance Requirements: Specific insurance requirements and minimum coverage amounts
6. Appendix A - Handover Protocol: Procedures for initial handover and final return of the asset
7. Appendix B - Permitted Users: List of authorized users or operators of the asset, if applicable
Authors
Manufacturing
Construction
Transportation and Logistics
Real Estate
Agriculture
Mining
Technology
Healthcare
Retail
Energy
Telecommunications
Financial Services
Education
Legal
Finance
Operations
Risk Management
Procurement
Treasury
Facilities Management
Compliance
Business Development
Asset Management
Property Management
Legal Counsel
Finance Manager
Asset Manager
Operations Director
Risk Manager
Procurement Manager
Chief Financial Officer
Facilities Manager
Contract Administrator
Treasury Manager
Property Manager
Compliance Officer
Business Development Manager
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