CONTRACT OF LEASE

KNOWN ALL MEN BY THESE PRESENTS:

THIS CONTRACT OF LEASE made and into this 13 th day of August

2018 in the City of General Santos, by and between:

MR. QUINCIANO V. DU, of legal age, married to Leticia N. Du and a

resident of the City of General Santos, herein after called the
LESSOR (Landlord),

and

MS. FRETZIE E. ARMADA, Filipino, legal age, married and

resident of General Santos City, hereinafter called the LESSEE
(Tenant),

WITNESSETH

That for and in consideration of the payment of monthly rental and the
compliance of the conditions and covenants hereinafter contained, the
LESSOR has hereby leased and deliver by way of lease unto the LESSEE
commercial spaces of SAL-MARKQ Building, situated at Dacera Avenue,
General Santos City.

That the LESSOR has agreed to LEASE to the LESSEE the above
described commercial building spaces and the LESSEE willing to rent the
same, subject to the following terms and conditions which the parties hereby
agreed, to wit:

1. OCCUPANCY: The Rental Contract shall cover two (2) units of

commercial spaces of 32 sq. meters each, totalling 64 sq. meters.

2. TERM AND RENT: The Rental Contract shall be for the period of
twelve (12) months from September 1, 2018 to August 31, 2019 at a
monthly rental of Eighteen Thousand Five Hundred Twenty Pesos (Php
18, 520.00) Philippine Currency for the total commercial space, payable
every 1st day of the month. All rental payments shall be payable to the
LESSOR. Parties agreed that the rental per month shall not be increased
or decreased during the entire period of this lease agreement. In case of
failure to pay the monthly income, the LESSOR shall have the right to
eject the LESSEE from the leased premises within 30 days receipt of
notice of ejectment.

In the event that the LESSEE desires not to renew the lease contract after
the expiration of the contract, the LESSEE should notify the LESSOR at
least three (3) months before the expiry date.
 Upon the execution and signing of the LESSEE shall pay the LESSOR
the total amount of Fifty Five Thousand Five Hundred Sixty Pesos (PHP
55, 560.00) representing two (2) months deposit rental plus (1) month
advance rental less 5% withholding tax.

3. RENEWAL. Ninety (90) days before the expiration of this lease,

LESSEE shall give notice in writing to LESSOR his intention to renew
this lease subject to the agreement of the LESSOR. If the LESSEE
agrees to renew the contract, an increase of 5% per annum is applied after
the expiration of the contract.

4. SECURITY DEPOSIT: The two (2) months deposit is deemed as deposit

to cover unpaid bills of water, electricity, telephone and damages if any
except those from natural wear and tear. The balance of the deposit shall
be refunded to the LESSOR 60 days after the termination of the Lease
Contract together with a statement of expenses chargeable to the
LESSEE.

5. WITHOLDING TAX of five (5) % shall be paid by the LESSEE on or

before the 10th of the following month. Certificates of taxes withheld
should be submitted to the LESSOR at the end of every quarter.

6. PRETERMINATION. Should the LESSEE/LESSOR without any

legitimate reason pre terminate the lease contract, the
LESSEE/LESSOR shall give the LESSOR/LESSEE three (3) months
notice of his intention to pre terminate. It the LESSEE/LESSOR failed
to comply with the three (3) months addition, LESSEE is compelled to
add another month’s rental.

7. USED OF LEASED PREMISES. During the term of this contract, the

aforementioned property shall be used by the LESSEE EXCLUSIVELY
FOR BUSINESS PURPOSES ONLY. Illegal and immoral activities
shall also be prohibited.

LESSE shall not directly or indirectly sublease, assign, transfer, convey,

mortgage, or in any way to encumber the right lease over the leased
premises or any portion thereof, under any circumstances whatsoever,
any violation, direct or indirect, of any stipulation hereof shall
automatically and unequivocally terminate this lease contract from the
time such violation occurs and LESSEE shall not be entitled to any
refund of any advanced rental payment and security deposit.

LESSEE shall not make or permit disturbing noise within the leased
premises caused by herself or by persons under her control, nor permit
anything to be done by her or such other persons who will interfere with
the rights, comfort or convenience of other tenants. LESSEE shall not
play or suffer to be played in leased premises any musical instrument,
television, radio, or loudspeaker, or install any machinery or device which
may cause or tend to cause any noise which may be heard outside the
 leased premises. Sound systems may be used for occasions related to the
business of the LESSEE.

8. INSPECTION. The LESSEE agrees that the LESSOR or its authorized

representative may at all reasonable time with prior notice enter into and
upon the leased premises to inspect or observe the manner of its use,
make alterations or repairs or for any purposes which may deem
necessary for the operation or maintenance of the building or its
installations and during the last month of the term of this lease, to exhibit
the leased premises to prospective tenants.

9. SANITATION, WASTE DISPOSAL & REPAIR. The LESSEE shall

keep its premises clean and in sanitary condition and shall take good care
of the leased premises. The LESSEE must abide by the Barangay Code
on Waste Segregation, and must provide for proper size, durable and
covered waste containers. LESSEE agrees, if need be, to a common
waste disposal system which cost shall be pro-rated among tenants. The
LESSOR agrees to keep the premises in good and tenantable condition
and shall be responsible for necessary major repairs. Likewise, LESSEE
acknowledges that the same is in good and tenantable condition and
agrees to keep the same in all aspect. LESSEE, at its sole cost and
expense, shall be responsible for the repair, maintenance and any
required improvements to the building and/or the Premises, including,
but not limited to, the electrical, and air-conditioning system and other
improvements that are part of the premises.

10. UTILITIES: All expenses for the use by the LESSEE of electricity,
telephone, and all other utilities shall be for the account and shall be paid
directly by the LESSEE. The LESSEE warrants that payment of said
utilities shall be timely made.

11. GOVERNMENT LAWS: LESSEE shall comply with the laws,

ordinances, rules and regulations concerning the use, sanitation safety
and occupancy of the Leased Premises that may be promulgated by the
local government.

12. FIRE HAZARD AND OBNOXIOUS SUBSTANCES: LESSEE shall

not keep, deposit, or store in the leased premises any obnoxious or
inflammable materials which may constitute fire hazard, except those in
which are reasonable necessary for the purpose for which this lease is
intended.

13. ALTERATIONS, ADDITIONS, IMPROVEMENTS, ETC: LESSEE

shall not make any major structural alterations, additions or
improvements in or upon the Leased Premises without the prior written
consent of the LESSOR. Any and all such alterations, additions, or
improvements made by the LESSEE on the Leased Premises except
movable furniture and fixtures put in the expense of the LESSEE and
which are movable without defacing or injuring the Leased Premises
shall become the property of the LESSOR and shall remain thereat and
 be surrendered with the Leased Premises as part hereof upon the
termination of the contract without compensation on the LESSEE. Such
changes, alterations or improvements, if approved, shall be made at
LESSEE’s sole cost.

14. SIGNAGE: Shoplots have pre-determined signage area. Size of

signage is 3.2 meters by 0.8 meters per shoplot. However,
following LESSOR’s consent, LESSEE shall have the right to place on
the leased premises at locations selected by the tenant, any signs which
are permitted by the applicable ordinances and private restrictions.
LESSOR may refuse consent to any proposed signage that is the
LESSOR’s opinion to be large, deceptive, and unattractive or otherwise
inconsistent with or inappropriate to the leased premises. LESSEE shall
repair all the damages to the Leased Premises resulting from removal of
signs installed by LESSEE.

15. PARKING: During the term of this Lease, LESSEE shall have the non-
exclusive use in common with LESSOR and other tenants of the
building, their guests and clients, of the non-reserved car parking spaces,
driveways and footways, subject to rules and regulations for the use
thereof as prescribed from time to time by the LESSOR. LESSEE shall
provide LESSOR with the list of all license numbers of cars owned by
LESSEE, agents and employees. Separated structured parking, if any,
located about the building is reserved for Lessees who rent such parking
spaces every month.

16. SECURITY GUARD: For Security purposes, a Security Guard will be

hired by the LESSOR which services will start from 7:00pm to 7:00am.
The cost of the service as pr0 rated per unit is one thousand two hundred
per unit per month. The LESSEE will pay the said amount every eight of
every month.

17. THIRD PARTY LIABILITY: LESSEE during its occupancy of the

leased premises shall hold LESSOR free and harmless from any
damages, liability or responsibility to any personal arising out of or as
consequences of the use of the leased premises by LESSEE. When such
damages or a liability is caused by fortuitous events, or earthquake, flood,
civil disturbance, riots or coup d’etat and similar events beyond control of
the LESSEE, the later shall not be liable to LESSOR.

18. RETURN OF THE LEASED PREMISES: Upon the termination of

this contract for any reason whatsoever, LESSEE shall immediately
vacate the leased premises, turn over all the keys and return possession
thereof to the LESSOR, in the same condition in which they were found
at the beginning of the lease contract, ordinary wear and tear exempted,
unless the contract is renewed.

19. This LEASE supersedes all previous Leased of the premises between the
same parties which this cancels on effectively.
 IN WITNESS WHEREOF, we have hereunto set my hand this
August 16, 2018 in General Santos City.

MS. FRETZIE ENOJO ARMADA MR. QUINCIANO V. DU

LESSEE LESSOR

With Marital Conformity:

LETICIA N. DU
Wife of the Lessor

WITNESSES:

1. ________________ 2. ________________

Republic of the Philippines )

City of General Santos ) s.s.
X- - - - - - - - - - - - - - - X

BEFORE ME, a notary public, this 16 th day of August 2018, in the City
of General Santos, personally appeared:

Name Proof of Identity

Mr. Quiciano V. Du Driver’s License No. 104-79-

007383

Ms. Fretzie Enojo Armada SSS No. 09-2241261-1

said identification card contains the photograph and signature of the

lessor, known to me to be the same person who executed the foregoing
instrument consisting of six (6) pages and who acknowledged to me that
the same is his free act and voluntary deed.
 WITNESS MY HAND AND SEAL on the date and place first above
written.

Doc. No.__; ATTY. PSYCHE RIZSAVI B.

FONTANILLA
Page No.__; Notary Public
Book No. I; PNC No. 16-03
Series 0f 2018 Until December 31, 2019
ROLL No. 57700
PTR No. 7178863-01/05/2018
IBP No. 1053832-01/03/2018
MCLE Compliance No. IV-0001952-May 17, 2011
MCLE Compliance No. V-0019195- April 08, 2017
MCLE Compliance No. VI-000450-04/14/2022
Tel No. 083-552-1008
General Santos City