XXXXX FARMS, INC.
-------------------
January 12, 2000
Xx. Xxxx Xxxxxx
Xx. Xxxxxx Xxxx
Industrial Rubber Innovations, Inc.
0000 Xxx Xxxxxxx Xxxx., Xxxxx 0
Xxxxxxxxxxx, XX 00000
Re: Lease Obligation on building located at 0000 XxXxxxxx, Xxxxxxxxxxx
Dear Gentlemen,
In light of your request regarding releasing you from the long-term lease
obligation of the building at 0000 XxXxxxxx we are willing to do the following,
subject to your willingness to perform certain duties.
We will send you eviction notices stating that for lack of payment we are
requesting that you vacate the property in one week. You are to have the
building cleaned and ready for showing to prospective tenants. In return for
this, we will release you from future obligations owed on your lease. You will
not be released from any past due water, utility, or landscaping bills due and
outstanding.
You will continue to be liable for past due lease payments, unless you are
instrumental in securing a new long-term lease for us with a viable, financially
sound company. (Past due payments are defined for the purposes of this agreement
as any payment due and outstanding as of the date of a newly signed lease). You
will then sign on as a guarantor on any new lease for a period of one year from
the date of signing. If, during that one-year period, for any reason, the new
lessee defaults in any manner, you will be responsible not only for your past
due payments, but also the defaulted payments of the new lessee. Once the year
has past without difficulty in collecting payments, we will release you from any
and all obligations owed to us.
If we determine at some point during the first year of the new lease that the
lessee will meet its future obligations, we may release you from any further
guarantee and past due payments. If, however, we determine during the first year
that the new lessee will have difficulty in meeting its obligations in
subsequent years, we can unilaterally extend your guarantee for additional time.
Xx. Xxxx Xxxxxx
Xx. Xxxxxx Xxxx
January 12, 2000
Page Two
As Xxxx has mentioned to me, time is of the essence, therefore, feel free to
contact me directly should you have questions or comments.
Sincerely,
/s/ Xxxx Xxxxx
Xxxx Xxxxx
Chief Financial Officer
cc: Xxxxxxx Xxxxx, President
