Lease Contract For Workshop, Land and Affiliated Equipment
Lease
Contract
For
Workshop, Land and Affiliated Equipment
Series
No.:2004-5-1
Party
A:
Xi’an
Amorphous Alloy Zhongxi Transformer Co., Ltd.
Legal
Representative: Xxxx
Xxxxxxxx
Party
B:
Xi’an
Xxxxxxx Xxxxxxxx Xxxxxx Transformer Factory
Legal
Representative: Xx
Xxxxxx
Party
A
and Party B agreed through friendly negotiation based on “The Contract Law of
People’s Republic of China” regarding lease Party B’s workshop, land and
affiliated equipment, and made this agreement as follows:
Article
1
Lease
Items: Party A will lease Party B’s all property which is located northern part
factory, mid road of Daqing West Road, Xi’an (detailed information please refer
to article 11). The factory occupies 8.64 mu, it’s close to Lianhu District
Bianliu Engineer Equipment Factory in South, and close to Shaanxi Provincial
Petroleum Company in West, it will be used for produce transformer and other
mechanical and electrical product.
Article
2
Period
of
Contract: from the effective date of this contract to Nov. 17,
2028.
Article
3
Party
B
will hand over the drawing of design and related procedure to Party A within
30
days after the effective of this agreement, Party A will keep the drawings
during the effective of this agreement. Party A should return them to Party
B
after expiration
of
the
agreement.
Article
4
Term
of
Payment and Date
Party
A
should pay RMB30,000 to Party B as retainer fee after signed this agreement,
Party B should guarantee:
|
(1)
|
Ensure
the power supply (250KVA) is running in normal within 20 days in
the
factory.
|
|
(2)
|
Party
A will hand over the drawing of location for water supply to Party
B
within 3 days. Party B ensure they should install the equipment of
water
supply based on Party A ‘s requirement, and guarantee the water supply is
in normal within 15 days.
|
|
(3)
|
Party
B ensure they should complete the installment and trial test for
the crane
of 50 tons within 20 days, and ensure it can be operated in normal.
At the
same time, Party B need complete the related procedure of the crane
and
hand over to Party A, Party B will be in charge of all the expenses.
|
|
(4)
|
Party
B should complete the construction for the gate of factory within
30 days
based on Party A’s requirement.
|
|
(5)
|
Party
B should guarantee the power supply in order to ensure Party A’s rebuild
for the workshop.
|
Party
A
‘s rebuild for the workshop they leased is from the signing date of this
agreement to Dec. 31,2004, Party B shall not collect the lease fees during
the
rebuild period. Party A should pay RMB100,000 per year to Party B for lease
fee,
the payment period is within the fifth month of a year, and after that the
payment period is same as the above period.
Article
5
Party
A
will rebuild the existing workshop and affiliated equipment after effective
of
this agreement, Party A is entitled the right of use for rebuilt workshop and
affiliated equipment.
Article
6
Party
A
should maintenance well for all leased property during effective of this
agreement.
Article
7
If
the
integrated planning for city is encountered and need to move the workshop during
the effective of this agreement, both parties should follow the decision without
preconditions; at the same time, if the compensation for moving is encountered,
both parties make the following agreement.
|
(1)
|
The
compensation for requisition of land: Party A will be accounted for
70%,
Party B will be accounted for 30%.
|
|
(2)
|
The
compensation for construction
equipment:
|
a.
Party
A has renovated for the workshop which is constructed by Party B and affiliated
equipment, Party A will be accounted for 50%, Party B will be accounted for
50%;
b.
Party
A will obtain all the compensation for the newly constructed
equipment.
Article
8
Party
B
shall not transfer the land of this workshop and affiliated equipment without
Party A’s permission during effective of this agreement, and at the same time,
any kind of guarantee is not permitted regarding the land of this workshop
and
affiliated equipment.
Any
Party’s personnel change cannot effect the performance of this contract during
effective of this agreement.
Article
9
Expiration
of Lease
|
1.
|
This
agreement can be renewed for 10 years after agreed by both
parties.
|
|
2.
|
If
both parties agree to terminate lease,
so,
|
a.
Both
parties can entrust the property assessment organization to assess the building
construction, Party A will be accounted for 70% of all property, Party B will
be
accounted for 30% of all property, Party B shall purchase the portion that
belongs to Party A.
b.
Or
Party A can sell the construction building at auction, Party A will be accounted
for 70% of all auction payment, Party B will be accounted for 30% of all auction
payment.
c.
Party
A is entitled to own other property and deal with it.
Article
10
Responsibility
for Breaking this Agreement
Both
Parties should obey the terms of agreement strictly after signing this
contract.
1.If
Party A break the agreement, they should pay the fine to Party B 10% of the
lease fee. If Party A failed to pay the lease fee exceeded half of months,
Party
B is entitled to take back the workshop and affiliated equipment and terminate
the agreement after negotiation by both parties.
2.
If
Party B break the agreement, they should pay the fine to Party A 10% of the
lease fee. And also Party B should pay the losses of Party A for construction.
Article
11
Detailed
Information for Workshop and Affiliated Equipment
|
1.
|
Workshop
60*24=1440 square meter
|
|
2.
|
Office
building (4.8*3) 14 rooms for Ist floor, 15 rooms for 2nd
floor
|
|
3.
|
Dining
hall and shelter for vehicle 4.5*16.7
meter
|
|
4.
|
Crane
for 50 tons
|
|
5.
|
Gate
of factory and power supply
|
Article
12
Any
disputes, controversies or differences which may arise between two Parties
shall
be settled through negotiation. If failed to make a consent, the two Parties
are
entitled to sue for people’s court which have jurisdiction right.
Article
13
If
any
supplementary agreement is need, both parties can make the supplementary
agreement. It has the same effect as the origin agreement.
Article
14
The
agreement have 2 original, and it will be effective after signed and sealed
by
the two parties.
Party
A:
Xi’an
Amorphous Alloy Zhongxi Transformer Co., Ltd.(seal)
Entrust
Person:
Party
B:
Xi’an
Xxxxxxx Xxxxxxxx Xxxxxx Transformer Factory (seal)
Entrust
Person:
Sep.10,
2004
