Rent to Own Contract

This Contract of Lease with Option to Purchase (Rent-to-Own Contract) made and executed this ____of __________ 20___ Manila, Philippines by and between.

__________________________________, Filipino, of legal age, single/married to, with post address at ________________________, hereinafter referred to as the LESSOR/SELLER.

AND

__________________________________, Filipino, of legal age, single/married to, with postal address __________________________, hereinafter referred to as the LESSEE/BUYER.

WITNESSETH:

THAT, for and in consideration of the payment of rent and the faithful compliance by the LESSEE/BUYER of all the stipulations and covenants hereinafter contained, the LESSOR/SELLER has agreed to lease unto the LESSE /BUYER the premises located at ___________________________, City of Makati under the following terms and conditions.

  1. PURPOSE: That the premises hereby leased shall be used exclusively by the LESSE/BUYER for residential purposes only and shall not be diverted to other uses. It is hereby expressly agreed upon that if at any time the premises are used for other purposes, the LESSOR/SELLER shall have the right to rescind this contract without prejudice to its other rights under the law.
  2. TERM: The term of this non–renewable lease is for ______________ months from_____________________ to ________________ inclusive.
  3. RENTAL RATE: The monthly rate for the leased premises shall be in PESOS: ______________________ [_______________], Philippine currency. All rental payments shall be made payable to ______________________.
  4. DEPOSIT: That the LESSEE/BUYER shall deposit with the LESSOR/SELLER upon signing of this contract and prior to move in an amount equal to ten percent (10%) of the selling price or the sum of PESOS: _____________________________________________________, Philippine currency.
  5. RENTAL PAYMENT: The LESSE/BUYER shall issue, likewise, upon signing of this contract and prior to move in, Thirty (30) post-dated checks to cover monthly rental for the months of _________________ to __________________, each check dated on the _____ day of each month.
  6. DEFAULT IN PAYMENT: In case of default by the LESSEE/BUYER in the payment of the rent, such as when the checks are dishonored, the LESSOR/SELLER, at its option may terminate this contract and eject the LESSEE/BUYER as hereinafter provided. However, the LESSE/BUYER is given seven (7) days grace period within which to settle the account from date rental payment is due. Granting an extension to the aforesaid grace period may not be deemed as a waiver of LESSOR/SELLER right to terminate this contract and eject the LESSE/BUYER but in the event the LESSOR/SELLER so opts to grant a written request for extension, a penalty equivalent to three (3%) percent per month of the rental due, with a fraction of a month considered as one month shall be charged and assessed for delayed payments.
  7. SUB–LEASE: The LESSEE/BUYER shall not directly or indirectly sublet, allow or permit the leased premises to be occupied in whole or in part by any person, form or corporation; neither shall the LESSEE/BUYER assign its rights hereunder to any other person or entity and no right of interest thereto or therein shall be conferred on or vested in anyone by the LESSEE/BUYER without LESSOR/SELLER’s written approval.
  8. LESSE’S VISITORS, etc…: In case of damage to leased premises attributable to the LESSEE/BUYER, agents and/or visitors, repair of the same shall be for the account of the LESSEE/BUYER without prejudice to LESSOR/SELLER’s availment of any other right under the law.
  9. POWER, WATER CONSUMPTION & ASSOCIATION DUES: Power, water and association dues shall be for the account of the LESSEE/BUYER.
  10. OTHER PUBLIC UTILITIES: The LESSEE/BUYER shall pay for its telephone, cable and electrical services and other public services and utilities.
  11. REPAIR AND MAINTENANCE: The LESSOR/SELLER shall deliver the leased as is where is. The LESSEE/BUYER hereby expressly acknowledges that the leased as is where is. The LESSE/BUYER hereby agrees and binds itself to undertake at its exclusive expense all minor and major repairs as may be required to maintain the leased premises in good state of repair, any provisions of law, present or future, or any stipulation in this agreement to the contrary notwithstanding.
  12. IMPROVEMENTS, ALTERATIONS AND RENOVATIONS: The LESSEE/BUYER shall not make any improvements, alternations and renovations in the leased premises without prior written consent of both the Association and the LESSOR/SELLER. It is understood that all permanent improvements shall be owned by the LESSOR/SELLER and may not be removed without the express and written consent of the LESSOR/SELLER.
  13. INJURY OR DAMAGE: The LESSEE/BUYER hereby assumes full responsibility for any damage which may be caused to the person or property of third person/s while remaining either casually or on business in any part of the premises leased. LESSEE/BUYER further binds itself to hold the LESSOR/SELLER harmless and free from any claim for such injury or damage. Provided, however, that the LESSOR/SELLER shall make necessary actions to correct said deficiencies to ensure that premises are in good and tenantable condition.
  14. DISTURBANCE OF POSSESSION: Disturbance or discontinuance of possession of the LESSEE/BUYER due to “force majeure” shall confer nor right of any kind to the LESSEE/BUYER as against the LESSOR/SELLER, by reason of inconvenience, annoyance or injury to business arising out of the necessity of repairing any portion of the leased premises.
  15. GOVERNMENT REGULATIONS: The LESSEE/BUYER, shall, at its own expense and risks, comply with all the laws, ordinances, regulations and orders of any agency of the government, national or local, affection or pertaining to the leased premises and to any effects or articles which said LESSEE/BUYER may have in its possession therein.
  16. ABANDONMENT OF PREMISES: Should the LESSEE/BUYER abandon the leased premises for a period of THIRTY (30) DAYS or vacate the premises before expiration of this Contract of Lease without notifying the LESSOR/SELLER and check payment for the current month is dishonored, the LESSOR/SELLER’S may immediately re-enter the leased premises and this lease shall thereon be automatically terminated.
  17. BREACH OF CONDITIONS: In case of breach by the LESSEE/BUYER of any of the conditions and covenants of this lease as herein stipulated, the LESSOR/SELLER at its option, may forthwith terminate and cancel this lease and the LESSEE/BUYER shall be liable for any and all damages as a result of such default and termination. Forfeiture of whatever rental desists and advances shall apply in case the LESSEE/BUYER violates any of the provisions in the contract. Forfeiture shall likewise apply should the LESSEE/BUYER fails to exercise his option to purchase after the expiration of this contract.
  18. NON-WAIVER OF LESSOR’S RIGHT: Failure of the LESSOR/SELLER to enforce strict performance by the LESSEE/BUYER of any of the terms, conditions and covenants of this agreement shall not be construed as waiver of any right or remedy that the LESSOR/SELLER’S may have, nor shall it be deemed as a waiver of any subsequent breach of the terms, conditions, and covenants contained therein. No waiver by the LESSOR/SELLER of its rights hereunder shall be deemed to have been made unless expressed in writing and signed by the LESSOR/SELLER.
  19. EXPIRATION OR CANCELLATION OF LEASE: At the expiration of the term of this lease or cancellation thereof, as herein provided, the LESSEE/BUYER will promptly deliver to the LESSOR/SELLER the leased premises with all corresponding keys and in as good and tenantable condition as the same is now, ordinary wear and tear excepted, devoid of all occupants, movable furniture, articles and effects of any kind. Non-compliance with the terms of this clause by the LESSEE/BUYER will give the LESSOR/SELLER the right, at latter’s option, to refuse to accept the delivery of the premises and to compel the LESSEE/BUYER to pay therefrom at the same rate as herein provided plus an additional sum equal to Twenty Five (25%) percent thereof as penalty until the LESSEE/BUYER shall have complied with terms hereof. The same penalty shall, likewise, be imposed in case the LESSEE/BUYER shall refuse to leave the leased premises after the expiration of this Contract of Lease or the termination for any reason whatsoever.
  20. OPTION TO PURCHASE: For good & valuable consideration, the receipt whereof is hereby acknowledge from the LESSEE/BUYER. The LESSOR/SELLER hereby extends an option to the LESSEE/BUYER to purchase for the amount of PESOS: ___________________________________________ [P __________________] of Lease on the 18th month or the period from 1st to _____ of __________, _______. The LESSEE/BUYER, at his/her/its exclusive option, conditioned on faithful compliance with all payments and undertakings contained herein, may convey his/her/its decision to avail of option to purchase in writing to the LESSOR/SELLER who thereafter shall credit all rental payments up to the __________ (___) month and the initial deposit stated above to down payment.
  21. BALANCE AFTER THIS LEASE AGREEMENT: If LESSEE/BUYER complied with all terms and conditions stated above, inclusive of payment of realty taxes, power, water and association dues, the outstanding balance of the LESSEE/BUYER shall be 70% of the Total Selling Price amount equivalent to PESOS: _____________________________________ [P_____________], Philippine currency. The LESSEE/BUYER hereby agrees to execute the Deed of Absolute Sale upon payment in full of the TOTAL PURCHASE PRICE. Failure of the LESSEE/BUYER to exercise his/its right to purchase within the period of 30 months from the execution of this contract shall mean forfeiture and abandonment of his right to purchase. In such case, all payment made during the term of this lease are considered rentals.
  22. TRANSFER EXPENSES: Documentary stamp tax, capital gain tax, registration fees, transfer tax, and other necessary expenses connected with the execution and registration of the sale shall be for the account of and paid by the LESSEE/BUYER.
  23. TAXES, UTILITIES AND OTHER ASSOCIATION IMPOSITIONS: For the duration of this lease, LESSEE/BUYER shall pay the Realty Taxes. However, should the LESSEE/BUYER not exercise the option to purchase, LESSOR/SELLER shall reimburse the LESSEE/BUYER of all the taxes, exclusive of penalties for delayed payments, if any, it had paid as well as the start-up fund of the Homeowners Association.
  24. JUDICIAL RELIEF AND PENALTY: Should any one of the parties herein be compelled to seek judicial relief against the other, the losing parties shall pay an amount equivalent to One Hundred Percent (100%) of the amount claimed in the compliant as attorney’s fees which shall in no case be less than P 100,000.00 pesos in addition to other cost and damages which the said party may be entitled to under the law, to recover from the other party. Provisions of penal character in this Contract of Lease shall be considered as cumulative to the relief granted by this section.
  25. RIGHTS AND INTERESTS: The rights and interests of the LESSOR/SELLER subject under this instrument shall be fully assignable by the LESSOR/SELLER subject only to previous written notice thereof to the LESSEE/BUYER.
  26. FORFEITURE OF DEPOSIT: Forfeiture of whatever rental deposit and advances shall apply to any of the following:

a. When the LESSEE/BUYER is in default in payment for three (3) months. In such a case, the LESSOR/SELLER shall have the right to prohibit entry of the LESSEE/BUYER, visitors, guests and his employees in the premises and the right to padlock the leased premises until indebted is satisfied;

b. When LESSEE/BUYER pre-terminates lease with or without cause;

c. When LESSEE/BUYER violates any of the provisions of this contract; and

d. When the LESSEE/BUYER fails to exercise his/her option to purchase.

27. PENAL PROVISION: The parties agree that all covenant and agreements herein contained shall be deemed conditions as well as covenants that if default or breach be made of any such covenants and conditions, then this lease may be terminated and cancelled and the party in breach shall be liable for any and all damages, actual and consequential, resulting from such breach or termination; provided however, that no default shall be declared under this lease unless the party in default has given written notice to cure such default within thirty (30) days. In the event of violation of this contract, other than the non-payment of rentals, the party in breach must immediately take remedial steps to cure the breach not later than thirty (30) days.

28. RIGHT OF ENTRY: LESSOR/SELLER or its authorized agent/s shall, after giving due notice to the LESSEE/BUYER, have the right to enter the premises in the presence of the LESSEE/BUYER or its representative at any reasonable hour to examine the same or to make repairs therein or for the operation of regular maintenance of the building or for any other lawful purpose which it may deem necessary.

This RENT TO OWN CONTRACT (CONTRACT OF LEASE WITH OPTION TO PURCHASE) shall be valid and binding, between the parties, their successors-in-interest and assigns. No amendment of the terms of the instrument shall be effective unless in writing and signed by the parties therein.

IN WITNESS WHEROF, parties herein have affixed their signatures on the date and place first above written.

_________(NAME OF LESSOR/SELLER)_________ _______(NAME OF LESSEE/BUYER)_______

Lessor/Seller Lessee/Buyer

Rent-to-own, also known as rental purchase or rent-to-buy, is a type of legally documented transaction under which tangible property, such as furniture, consumer electronics, motor vehicles, home appliances, real property, and engagement rings, is leased in exchange for a weekly or monthly payment, with the option to purchase at some point during the agreement.

A rent-to-own transaction differs from a traditional lease, in that the lessee can purchase the leased item at any time during the agreement (in a traditional lease the lessee has no such right), and from a hire purchase/installment plan, in that the lessee can terminate the agreement by simply returning the property (in a hire purchase the buyer has a limited time, if any, to cancel the agreement).

Kasulatan ng Sangla-tira

ALAMIN NG LAHAT SA PAMAMAGITAN NITO:

Ang KASULATANG ito ay pinagkasunduan at isinagawa sa pagitan nina:

PEDRO MENDOZA, nasa hustong gulang, may-asawa at nakatira sa No. 18 Zobel Roxas Street, San Antonio, Makati City na sa kasulatang ito ay tinaguriang NAGSANGLA;

at

BOY DE LA CRUZ, nasa hustong gulang, may asawa, at nakatira sa No. 19 Estrella Street, San Lorenzo, Makati City na sa kasulatang ito ay tinaguriang PINAGSANGLAAN;

NAGPAPATUNAY

Na ang NAGSANGLA ay humiram sa PINAGSANGLAAN ng halagang DALAWANGDAAN LIBONG PISO (Php200,000.00) na tinanggap at sumakamay ng NAGSANGLA ngayong ika-5 ng Nobyembre 2022 na pinapatunayan ng kanyang lagda dito. Ang nasabing pagkakautang ay babayaran pagkatapos ng isang taon o sa ika-5 ng Nobyembre 2023.

Bilang panagot sa nasabing pagkakautang, isinasangla ng NAGSANGLA ang isang apartment unit na sarili niyang pag-aari na matatagpuan sa No. 19 Estrella Street, San Lorenzo, Makati City.

Ang nasabing apartment ay tunay na pagmamay-ari ng NAGSANGLA at walang ibang utang o sanlang pinanagutan.

Sakaling mabayaran ng NAGSANGLA ang nasabing pagkakautang sa itinakdang panahon, ang kasulatang ito ay mawawalan ng bisa at saysay. Subalit kung hindi naman niya ito magawang bayaran, ang Kasulatang ito ay iiral at ipapatupad sa kaparaanang itinatakda ng batas.

Maaaring i-renew ang kasulatang ito ng naaayon sa mapagkasunduan ng NAGSANGLA AT PINAGSANGLAAN.

SA KATUNAYAN NG LAHAT, ang magkabilang panig ay lumagda sa kasulatang ito ngayong ika-4 ng Nobyembre 2021 sa Lungsod ng Makati.

What is Sanlang Tira?

The owner of a house will “pawn” (sanla) his house to you. You will be to live in the house ‘rent free’ for a duration of time. You and the owner will have a notarized contract stating the terms of the pawning. The owner will reimburse the loaned money at the end of the contract and you will then hand over the house to its owner.

Promissory Note Simple Form with Interest

PROMISSORY NOTE

P_____________

FOR VALUE RECEIVED, I promise to pay without need of demand to the order of __Payee__, at his office at _____________, the principal amount of PESOS: __________________________ (P_____________), on or before _____________. In addition to the foregoing, I promise to pay monthly interest at the rate of _____________ (_______%) percent, without need of demand, starting from the month of _____________ until this note is fully paid.

__Date__, _____________, Philippines.

Maker

Promissory Note Simple Form

PROMISSORY NOTE

P__________

FOR VALUE RECEIVED, I promise to pay without need of demand to the order of __Payee__, at his office at _____________, the principal amount of PESOS: _______________(P_________), on or before _____________.

__Date__, _____________, Philippines.

Promissory Note Joint or Multiple Makers

PROMISSORY NOTE

P_____________

FOR VALUE RECEIVED, I, we, either, or any of us, jointly and severally, promise to pay __Name of Payee__ or Order the principal sum of __________________________ (_____________), Philippine Currency, without need of demand on or before _____________. (OR within a period of _____________ (_____) (days/weeks/months/years), payable in equal (daily/weekly/monthly/yearly) installment of __________________________ (P_____________) each.

Done this _____________ at _____________, Philippines.

MAKER                CO-MAKER

Promissory Note for Commercial Lending Financing

PROMISSORY NOTE

_____________

FOR VALUE RECEIVED, I/We jointly and severally promise to pay without need of demand to the order of __Name of Payee__, at its office at _____________, Philippines, the sum of PESOS: __________________________ (P_____________), payable in installment for a period of _____________ months at the rate of __________________________ (P_____________) per _____________, starting on _____________ until fully and completely paid.

Time is declared of the essence hereof and in case of default in the payment of any installment due, all the other instalments shall automatically become due and demandable together with all interest that may have accrued and shall make me liable for the additional sum equivalent to _____________ (____%) percent per month based on the total amount due and demandable as penalty, compounded monthly until fully paid; and in case it becomes necessary to collect this note through any Attorney-at-Law, the further sum of _____________ (____%) percent thereof as and for attorney’s fees, which shall not be less than P_____________ in any event, exclusive of costs and judicial/extra-judicial expenses Moreover, I further empower the holder or any of his authorized representative(s), at his option, to hold as security therefore any real or personal property which may be in my possession or control by virtue of any other contract.

In case of extraordinary change in value of the peso due to extraordinary inflation or deflation or any other reason, the basis of payment for this note shall be the value of the peso at the time the obligation was incurred as provided in Article 1250 of the New Civil Code.

DEMAND AND NOTICE OF DISHONOR WAIVED. I hereby waive any diligence, presentment, demand, protests or notice of non-payment or dishonor pertaining to this note, or any extension or renewal therefore. Holder(s) may accept partial payment(s) and grant renewals or extensions of payment reserving its/their rights against each and all indorsers, and all parties to this note. Acceptance by holder(s) of any partial payment(s) after due date shall not be considered as extending the time for payment or as a modification of any conditions hereof.

All actions arising from or connected with this note shall be brought exclusively in the proper courts of Bacolod City, Philippines; and in case of judicial execution of this obligation or any part of it, the debtor waives all rights under the provisions of Rule 39 Sec. 13, of the Rules of the Court.

__Date__, _____________, Philippines.

MAKER

Real Estate Mortgage Without Separate Promissory Note

REAL ESTATE MORTGAGE

KNOW ALL MEN BY THESE PRESENTS:

This Real Estate Mortgage, made by and between:

_____________, of legal age, (single / married / widow), and a resident of _____________, Philippines (hereinafter known as the MORTGAGOR);

– and –

_____________, of legal age, (single / married / widow), and a resident of _____________, Philippines (hereinafter known as the MORTGAGEE);

WITNESSETH; That:

The MORTGAGOR is indebted unto the MORT­GAGEE in the sum of _____________ (P__________), Philippine Currency, receipt of which is acknowledged by the MORTGAGOR upon the signing of this instrument, payable to the order of the MORGAGEE without need of prior demand or notice within a period of _____________ (years/months/weeks/days), at _____________ (P__________) (monthly/weekly/daily) starting on _____________ and on every _____________ thereafter until fully paid, with interest thereon at the rate of _____________ (______%) percent per (month/annum).

NOW, THEREFORE, for and consideration of the afore-mentioned indebtedness, and to assure the performance of said obligation to pay, the MORTGAGOR does hereby convey and DELIVER by way of MORTGAGE unto the MORTGAGEE, (his/her) heirs, successors and as signs, the following parcel of land, together with all the improvements found and standing thereon, more particularly described as follows:

(Technical Description of Property)

That it is the condition of this Mortgage that should the MORTGAGOR perform the obligation to pay the afore-cited indebtedness of _____________ together with accrued interest thereon, within the agreed term, this Real Estate Mortgage shall be discharged and shall at once become null and void and of no effect whatsoever, otherwise, it shall subsist and remain in full force and effect and be subject to foreclosure in the manner and form prescribed by law.

IN WITNESS WHEREOF, we have have hereunto set their hands, this _____________ at _____________, Philippines.

MORTGAGOR MORTGAGEE

With my Marital Conformity:

Mortgagor’s Spouse

SIGNED IN THE PRESENCE OF:

_________________ __________________

(ACKNOWLEDGMENT)

Chattel Mortgage Without Separate Promissory Note

CHATTEL MORTGAGE

KNOW ALL MEN BY THESE PRESENTS:

This Chattel Mortgage, made by and between:

_____________, of legal age, (single / married / widow), and a resident of _____________, Philippines (hereinafter known as the MORTGAGOR);

– and –

_____________, of legal age, (single / married / widow), and a resident of _____________, Philippines (hereinafter known as the MORTGAGEE);

WITNESSETH; That:

The MORTGAGOR is indebted unto the MORTGAGEE in the sum of _____________ (P__________), Philippine Currency, receipt of which is acknowledged by the MORTGAGOR upon the signing of this instrument, payable to the order of the MORGAGEE without need of prior demand or notice within a period of _____________ (years/months/weeks/days), at _____________ (P__________) (monthly/weekly/daily) starting on _____________ and on every _____________ thereafter until fully paid, with interest thereon at the rate of _____________ (______%) percent per (month/annum).

NOW, THEREFORE, for and consideration of the afore-mentioned indebtedness, and to assure the performance of said obligation to pay, the MORTGAGOR hereby conveys by way of CHATTEL MORTGAGE unto the MORTGAGEE, (his/her) heirs, successors and as signs, the following personal property now in the possession of said MORTGAGOR:

(Description of the Subject Personal Property)

That it is the condition of this Mortgage that should the MORTGAGOR perform the obligation to pay the afore-cited indebtedness of _____________ together with accrued interest thereon, within the agreed term, this Chattel Mortgage shall be discharged and shall at once become null and void and of no effect whatsoever, otherwise, it shall subsist and remain in full force and effect and be subject to foreclosure in the manner and form prescribed by law.

IN WITNESS WHEREOF, we have have hereunto set their hands, this _____________ at _____________, Philippines.

MORTGAGOR MORTGAGEE

With my Marital Conformity:

Mortgagor’s Spouse

SIGNED IN THE PRESENCE OF:

_________________ _________________

(ACKNOWLEDGMENT)

Affidavit of Good faith

We, the undersigned MORTGAGOR and MORTGAGEE hereby jointly and severally swear that we executed the foregoing Chattel Mortgage in order to secure the indebtedness therein cited and for no other purpose or purposes contrary to law.

MORTGAGOR MORTGAGEE

(JURAT)

Release of Chattel Mortgage on Motor Vehicle

RELEASE OF MORTGAGE

KNOW ALL MEN BY THESE PRESENTS:

I, _____________, of legal age, Filipino, (single / married / widow), and a resident of _____________, Philippines,

WITNESSETH:

That I am the Mortgagee in that Deed of Chattel Mortgage executed by _____________ on _____________ and registered as Doc. No. ______; Page No. ______; Book No. ______; Series of ______, in the Notarial Register of Notary Public _____________;

That having this date received the full amount of __________________________ (P__________), in Philippine Currency, from the Mortgagor, which is in full and complete settlement of the obligation secured by the said mortgage, I do hereby forever RELEASE, DISCHARGE, AND CANCEL the aforementioned Mortgage, covering the motor vehicle that is more particularly described as follows:

Make:___________Motor No.:_____________

Series:_________Chassis No.:__________

Type of Body:_____Plate No.:___________

CR No.:__________MVRR No.:___________

IN WITNESS WHEREOF, I have hereunto set my hand, this _____________ at _____________, Philippines.

MORTGAGES

SIGNED IN THE PRESENCE OF:

__________________ _________________

(ACKNOWLEDGMENT)

Contract of Lease of Hacienda

CONTRACT OF LEASE

KNOW ALL MEN BY THESE PRESENTS:

This Contract of Lease made and entered into by and between:

______, of legal age, Filipino, (single / married / widow), and a resident of _____________, Philippines, (hereinafter referred to as the “LESSOR”),

– and –

_____________, of legal age, Filipino, (single / married / widow), and a resident of _____________, Philippines, (hereinaft er referred to as the “LESSEE”);

W I T N E S S E T H

WHEREAS, the LESSOR is the absolute and registered owner in fee simple of a parcel of land, situated in the _____________, Philippines, and more particularly described as follows:

(Technical Description of Property)

WHEREAS, the LESSEE desires to lease the above-mentioned parcel of agricultural land with a total plantable area of approximately __________________________ (_________) hectares which shall be the basis for the computation of the rentals, under the terms and conditions hereinafter provided.

NOW, THEREFORE, for and in consideration of the terms and conditions mutually agreed upon by the parties, the LESSOR, his heirs, successors and assigns, hereby convey of way of lease unto the LESSEE, his heirs, successors and assigns, the above-described parcel of land, including the improvements found and existing thereon, subject to the following terms, conditions and stipulations, to wit:

PERIOD OF THE LEASE: This contract of lease shall be for a period of _____________ (______) agricultural sugar crop-years, to commence with sugar crop-year (C.Y.) _____________ up to and including sugar crop year (C.Y.) _____________, provided further that the LESSEE shall harvest only _____________ times during the term of this lease, otherwise the LESSEE shall pay rental pro rata based on the period and hectarage without a need of court order.

RENTAL: The consideration of this lease contract shall be an annual lease rental of _____________ (_____) “LKG” per hectare computed on the basis of actual hectarage planted to sugarcanes or the amount is __________________________ (P_____________) per hectare. The total hectarage is _____________ therefore the total yearly rental is __________________________ (P_____________). The sum of __________________________ (P_____________) will be the total rental for this contract.

PAYMENT OF THE RENTAL: The sum of __________________________ (P_____________) will be due upon the signing of the contract.

TURN-OVER OF LEASED PROPERTY TO LESSEE: The LESSEE shall permit the LESSOR or its authorized representatives to take gradual possession of the leased premises as the C.Y. _____________ standing crops are being harvested by the LESSEE to enable the LESSOR to propagate and cultivate the crops for C.Y. _____________. The LESSOR shall deliver full physical possession of the leased premises to the LESSEE upon the termination of this contract and that all ratoon crops found therein shall inure to the benefit of the LESSOR.

IMPROVEMENTS AND ALTERATIONS: The LESSEE may with the written consent of the LESSOR build houses and other structures in the leased premises which however shall not exceed four (4) units for use of the LESSEE’s or his management team to include but not limited to the encargado and staff and if the LESSEE so desires, structures for a small poultry, piggery or the like;

The LESSEE is also authorized to alter the fields’ divisions, roads, canals including its culverts provided that such alteration will not result in the diminution of the plantable area;

RIGHT OF INSPECTION: Since the LESSOR will be operating a pumping station for the water needs of her other farms, parties agree that the LESSOR or her duly authorized representative shall have free access at all times to the leased premises for the sole purpose of operating said pumping station and the water-ways traversing through the leased premises;

REAL ESTATE TAXES, ETC.: The real estate taxes and other land assessments over the leased premises shall be for the exclusive account of the LESSOR while this lease is in effect;

TERMINATION DUE TO FORCE MAJEURE, ETC.: This contract was entered into by the parties in good faith and under the assumption that no event or circumstances will obtain that will make it extremely difficult or impossible for the LESSEE to continue planting and cultivating the leased premises as intended under this contract, therefore, in the event that the LESSEE feels that his life is in danger, and/or that the peace and order situation in the locality or region where the aforesaid parcel of land is found or situated deteriorates to such an extent that it would no longer be either feasible or possible to still plant or cultivate sugarcane over the leased premises, or where the prices of sugar make the operation of the farm no longer profitable, then the herein parties are agreed that the LESSEE may preterminate this lease by giving the LESSOR at least THREE (3) months prior notice, provided that the LESSEE may still harvest his standing sugarcane crops and the LESSOR is paid the pertinent rentals due thereon;

WARRANTY, RIGHT OF WAY. The LESSOR hereby agree, by these presents that she shall provide and guaranty the necessary right-of-way to the benefit of the LESSEE, including use and access to common roads and other hacienda facilities and that the LESSOR further warrants the peaceful possession and occupation of the LESSEE over said parcels of lands or from eviction thereof.

AGRICULTURAL PRODUCT. That the LESSEE shall devote the said parcel of land, subject matter of this contract, to the cultivation of sugar cane or such other agricultural products he may deem suitable and financially viable and shall be free to introduce therein whatever improvements he may deem proper and convenient, provided that upon the termination of this contract, all improvements introduced therein by the LESSEE shall remain and will inure to the benefit of the LESSOR.

MISCELLANEOUS. That in the event that any provisions of Rep. Act No. 6657, otherwise known as the Comprehensive Agrarian Reform Law of 1988, shall cover or be implemented in the leased premises or any portion thereof, the rental due shall be reduced in proportion to the area actually being occupied by the LESSEE;

IN WITNESS WHEREOF, the parties have hereunto set their hands this _____________ at _____________, Philippines.

LESSOR LESSEE

SIGNED IN THE PRESENCE OF:

__________________ _________________

(ACKNOWLEDGMENT)