EnglishSummary of LEASEAGREEMENT
EX-10.14 9 v197494_ex10-14.htm
Exhibit 10.14
English Summary of
LEASE AGREEMENT
Lessor (Party A): Ningbo Huaye Steel Processing Co., Ltd.
Lessee (Party B): Ningbo Zhehua Heavy Steel Pipe Manufacturing Co., Ltd.
In accordance with the applicable regulation, the parties reach the following agreements:
| | 1. | Description of Facility: the facility is located at No. 1 South Tong Yuan Road, Ningbo Camel Machinery & Electronics Industrial Park. |
| | 2. | Term: |
| a. | the term of this lease agreement is 10 years, from September 1, 2004 to August 31, 2013 |
| b. | upon the expiration of this lease agreement, Party A has rights to take back the facility. If Party B desires to renew the lease agreement, Party B shall provide a written notice at least three months prior to the expiration of the lease agreement. Upon approval by Party A, the parties will enter into a new lease agreement based on the terms of this lease agreement. |
| | 3. | Rent and Payment Method: |
| a. | the rent is RMB 80,000 per month and RMB 960,000 per year. |
| b. | upon the execution of this lease agreement, Party B shall make a deposit equals to one month’s rent. Party B shall make a prepayment of three-month’s rent. |
| | 4. | Maintenance of the Facility: during the term of this lease agreement, if Party B discovers any damage or problems with the facility or its ancillary equipment, Party B shall notify Party A; Party A shall make the necessary repair within 3 days after receipt of such notice; If Party A fails to provide timely repair, Party B can make the repair and the related costs shall be borne by Party A; During the term of this lease agreement, Party B shall take reasonable care of the facility and its ancillary equipments. Any damage to the facility caused by Party B’s unreasonable use shall be repaired by Party B. |
| | 5. | Sublease and Return of the Facility: Party B shall not sublease the facility to any third party without prior written consent of Party A. If Party B subleases the facility without Party A’s prior approval, Party A has no obligation to return the deposit or rent. The facility shall be at workable condition when Party B returns the facility to Party A. |
| | 6. | Other Agreements: during the term of this lease agreement, the parties shall comply with the applicable laws and regulations; Party A shall have right to urge and assist Party B in fire, safety and health related matter; Party B can decorate the facility at its own expenses, provided that such decoration does not affect the structure of the facility; If Party B fails to make its rent payment for one month, Party A has right to a liquidated damage of 5% of the due and unpaid rent and has right to terminate this lease agreement; upon the expiration of this lease agreement, Party B has right of first refusal. |
| | 7. | Miscellaneous: during the term of this lease agreement, if Party A terminates the lease agreement in breach of this lease agreement, it shall pay Party B a liquidated damage equals to 3-month’s rent; if Party B terminates the lease in breach of this lease agreement, Party B shall pay Party A a liquidated damage equals to 3-month’s rent. This lease agreement becomes effective upon execution by both parties. |
| Party A: Ningbo Huaye Steel Processing Co., Ltd. | Party B: Ningbo Zhehua Heavy Steel Pipe Manufacturing Co., Ltd. |
| (Seal) | (Seal) |
Date: August 6, 2004.
