LEASE. By this lease and in consideration of the following agreements, limitations and conditions, Trinity Power Corporation hereinafter called Lessor, leases unto the person, firm or corporation signing this lease as Lessee, hereinafter called Lessee, that certain personal property as described and identified under the heading Items of Equipment outlined in the related quotation, hereinafter called “the Equipment”, for use at such location, for such guaranteed minimum time and at such rental rates as therein stated.

  1. THE RENTAL PERIOD – The rental period shall commence on the date of actual delivery of the Equipment to the Lessee or the date of actual installation of the Equipment by the Lessor for Lessee unless delayed due to Equipment failure, defect, malfunction or stated otherwise on the related

The rental period shall end on the date of return of the Equipment to the Lessor’s premises provided that such return to the Lessor shall not operate to reduce the guaranteed rental period, if any and the Equipment is returned to the Lessor.

The terms of this Agreement shall be automatically extended from the expiration date of any such guaranteed rental period unless the Equipment shall have been duly and properly returned to the Lessor. If Lessee fails to return of the equipment, the minimum term of rental shall be automatically extended as follows: Where the rental rate has been quoted by the day, extension shall be for one day at a time, and where the rental rate has been quoted by the week, the extension shall be week to week; where the rental rate has been quoted by the month, extension shall be for one month and thereafter from month to month. All the terms, covenants and conditions herein, including the rents and charges, shall be applicable during any extended term or renewal.

  2. MONTHLY RENTAL RATES are for a minimum period of 28 days, from the day of commencement of the rental period up to and including the 28th
  3. WEEKLY RENTAL RATES are for a minimum period of 7 days, from the day of commencement of the rental period up to but not including the same day in the following
  4. DAILY RENTAL RATES are for a minimum period of 1 day, from the day of commencement of the rental period up to 24
  5. For the rental of Equipment, whether it is owned by Trinity Power Corporation or is owned another company that has rented the Equipment to Trinity Power Corporation who in turn has re-rented the Equipment to Lessee, the Lessee shall agree to be responsible for any Equipment that is damaged or lost while the Equipment is in the Lessee’s possession during the rental The Lessee further agrees to continue the rental of the Equipment until the Equipment’s repair, and/or replacement costs are paid in full to Trinity Power Corporation by the Lessee as well as the Lessee agrees to be responsible for all costs related to the repairs and / or and replacement of the Equipment. If the Equipment is lost or stolen while in the possession of the Lessee, the Lessee shall immediately pay for the amount of the Equipment replacement value to Trinity Power Corporation and then this agreement shall be terminated.
    1. Rental rates shall not be subject to any deduction for any non-working time during the rental period (except in the case of Equipment failure, defect or malfunction), nor because the Lessee returns the equipment to the Lessor before the expiration of such
    2. The rent for any and every item of Equipment shall be the amount designated in the related
  6. PAYMENT – All rentals due under this agreement shall be paid monthly, weekly or daily, as the case may be depending upon whether the equipment has been rented by the month, by the week or by the day in advance to the office of the Lessor at the above designated address unless otherwise stated on the Items of Equipment attached All overdue payments beyond 30 days in arrears shall bear interest at the rate of eighteen (18%) percent per annum, but the acceptance of this interest shall not waive the Lessor’s right hereinafter stipulated to terminate this Agreement.
  7. TAXES – Lessee shall pay all license fees, assessments, charges, taxes and encumbrances (municipal, provincial, territorial and federal) which may now or hereafter be imposed upon the leasing, renting, possession or use of equipment by Lessee, including but without limiting the generality of the foregoing any and all taxes at whatever rates that are currently or may be in effect with respect to sales tax, value added tax and/or goods and services
  8. LOCATION – The equipment shall be located in the country of Canada (unless written consent is provided by the Lessor stating otherwise) at the address designated by the Lessee at the time of execution of the agreement and shall not be removed from the said country, or from the designated address therein without the Lessor’s prior written
  9. RESTRICTION AS TO USE – The Lessee agrees to use the equipment only for the purpose that the Equipment is being leased and not contrary to instructions provided to the Lessee governing its use and shall not remove, tamper or in any way damage the Equipment nor permit any unqualified persons to operate the

Each article of Equipment hereby used shall be used solely in the conduct of the Lessee’s business and shall be within the Lessee’s possession and under its control, and shall not be used in whole or in part by others than the Lessee or its qualified employees.

Lessee shall comply with all laws in any way related to the use, operation or maintenance of the equipment.

If Lessor supplies Lessee with labels stating the Lessor owns equipment, Lessee shall affix or keep the same upon a prominent place on the equipment.

  1. RETURN OF EQUIPMENT – The Lessee agrees to return the equipment and its appurtenances to the Lessor in the same condition as when delivered by the Lessor, normal wear and tear The Lessor will charge full replacement value for any cable items returned in such a manner that the cable’s continuous length is compromised. When cleaning of returned equipment is required, this will be charged to the Lessee at the current labour rate of the Lessor. Except to the extent due to the negligence or wilful misconduct of Lessor or the breach of this Agreement by the Lessor, the Lessee shall indemnify the Lessor against all loss or damage to equipment arising out of the Lessee’s use during the rental period and the appraisal of any such loss or damage shall be based upon the value stated in the Details of Equipment, provided, however, that the Lessee shall only be liable for such shortages or damages as shall be notified to it in writing by the Lessor within two weeks after receipt by the Lessor, its nominee or agent of the equipment concerned.
  2. LOSS, DAMAGE, REPAIRS & LIABILITY Except to the extent due to the negligence or wilful misconduct of Lessor or the breach of this Agreement by the Lessor, the Lessee hereby assumes and shall bear all risks, loss’, damages and liabilities (including those not covered by the Lessee’s insurance) for any and every cause arising out of the Lessee’s use of the Equipment and damages for injuries and death to persons and property arising therefrom and shall save and hold the Lessor harmless from any and all of the following: all claims and liens for labour and materials, all loss of and damage to said equipment and all loss, damage, claims, penalties, liability and expense, including reasonable outside attorney’s fees, arising or incurred because of Lessee’s use of said equipment during the pendency of the lease thereof or the return delivery thereof to the Lessor, its nominee or agent or the maintenance, use or operation thereof by

The Lessee hereby renounces all claims which it may have against the Lessor for any loss or damage which it may suffer either direct or indirectly, by reason of the Equipment’s suitability for the work it may be required to perform, unless due to the negligence or misconduct of the Lessor.

  1. ACCEPTANCE – Unless the Lessee otherwise notifies the Lessor, the Lessee acknowledges that he has fully inspected said equipment and Lessor acknowledges that said equipment is in good condition and
  2. INSPECTION – Upon the equipment being installed, the Lessee may have an inspection thereof made by a competent authority and if the equipment is proven not to be substantially in the condition required by this Lease, then the cost of such inspection shall be paid by the

With advance notification, the Lessor shall at any and all times during business hours have the right to enter into and upon the premises where the equipment may be located for the purpose of inspecting the same or observing its use, providing that the inspection does not serve to interrupt the Lessor’s business in any way. The Lessee shall give the Lessor immediate notice of any attachment or other judicial process, which affects or may affect any item of equipment and shall whenever requested by the Lessor advise the Lessor of the exact location of equipment.

  1. TITLE – Title to the equipment shall at all times be and remain vested in the Lessor and nothing contained in this Lease shall be deemed to have the effect of conferring upon the Lessee any right or title whatsoever in or to the equipment, other than that of

The Lessee shall keep the Equipment free and clear of all levies, liens and encumbrances and shall give the Lessor immediate notice in case any of the equipment is levied upon or from any cause becomes liable to seizure.

The Lessee agrees to notify in writing the landlord of the premises where any article of equipment may be kept to the effect that such equipment is the property of the Lessor, and further agrees not to allow the equipment or its accessories to be pledged or encumbered by mortgage or otherwise.

  1. DEFAULT – If the Lessee fails to make any payment when due, the Lessor shall be at liberty to enter and remove its equipment upon three days’ notice in writing being given to the The Lessee shall make available the equipment for return to the Lessor and should the Lessee not do so, then the Lessor shall be entitled to recover any reasonable cost that it may incur by way of legal proceedings or otherwise, including damages and loss of business, by reason of the Lessee’s default in making available the equipment for return to the Lessor.
  2. INSURANCE – The Lessee shall at the Lessee’s own expense maintain general liability, “all risks” physical damage insurance, including flood, earthquake, loss of rent, and any other insurances required to indemnify the Lessor against any loss to or of the Equipment to the extent of new replacement value at the date of replacement or cash equivalent, such insurance coverage to cover the interest of the Lessor in said

Any payments made under that insurance policy shall be to the benefit of the Lessor.

This insurance shall be kept in full force and effect from the time the Equipment is leased out to the Lessee or is shipped by the Lessor until the Lessee returns it to the Lessor during the Lessor’s normal business hours with Lessor’s acknowledgement. Lessee will, on demand, furnish Trinity Power Corporation with a Certificate of Insurance evidencing the applicable insurance coverage. Such certificate(s) shall include general liability limits of not less than $5,000,000 per occurrence, property replacement insurance to cover full replacement value of all rented equipment as outlined on the related quotation and shall be endorsed to include Trinity Power Corporation as an additional insured with respect to liability and/or loss payee with respect to the Equipment that is being leased and provide that the applicable insurance policies may not be cancelled or materially modified except on thirty (30) days written notice to Trinity Power Corporation.

The Lessee agrees to immediately inform the Lessor in writing of all losses or damages to the Equipment and provide the Lessor the name of the Lessee’s insurance company, name and address of the Lessee’s insurance agent, a copy of the police report and complete information concerning insurance coverage for the said loss or damage.

  1. LESSOR’S PAYMENT – In case of failure to procure or maintain said insurance or to pay said fees, assessments, charges and taxes for which Lessee is liable hereunder, all as hereintofore specified, Lessor shall have the right, but shall not be obligated, to effect such insurance or pay said fees, assessments, charges and taxes as the case may In that event, the cost therof shall be re-payable to the Lessor with the next instalment of rent, and failure to repay the same shall carry with it the same consequence, including interest following 30 days thereafter at one and a half percent (1.5%) per month (eighteen percent (18%) per annum), as failure to pay any instalment of rent.
  2. INSTALLATION, CONNECTION, DISCONNECTION & REMOVAL – The Lessee shall undertake all work, permits and inspections associated with the installation, connection, disconnection and removal of the Equipment at the Lessee’s location, unless stated otherwise on the related
  3. FORCE MAJEURE – Lessor shall incur no liability whatsoever for any delay or failure to deliver any of its obligations hereunder by reason of strike, lockout, threat of strike or lockout, fire, flood, interruption or delay in manufacture or transportation, act of nature, war, insurrection, mob violence, requirement of governmental authorities, embargo, shortage of labour, equipment or materials, plant breakdown or any other causes beyond the control of Lessor whether or not such causes of delay or failure are in existence whether or not known to Lessor at the time of completing of this
  4. INDEMNITY – In consideration of the promises and as an inducement to the Lessor to enter into the Rental Agreement, and for other good and valuable consideration, the receipt of which is hereby acknowledged, except to the extent due to the negligence or wilful misconduct of Lessor or breach of this Agreement by Lessor, the Lessee hereby makes the following indemnity with and in favour of the Lessor:

i.) to make the due and punctual payment of all rent, moneys and charges expressed to be payable under the Rental Agreement during the period of the term contemplated by the Rental Agreement and any renewals thereof;

ii.) to effect prompt and complete performance of all and singular the terms, covenants, conditions and provisions in the Rental Agreement contained on the part of the Lessee to be kept, observed and performed during the period of the term contemplated by the Rental Agreement and any renewals thereof; and

iii.) to indemnify and save harmless the Lessor from any and all claims, actions, suits, proceedings, costs, expenses, damages and liabilities, including reasonable outside solicitor’s costs, arising out of, connected with or resulting from the Lessee’s use of the Equipment.

  1. BANKRUPTCY – Neither this lease nor any interest therein is assignable or transferable by operation of If any proceeding under the Bankruptcy Act as amended, is commenced by or against the Lessee, or if the Lessee is adjudged insolvent or if the Lessee makes any assignment for the benefit of his creditors, or if a writ of attachment or execution is levied on any item or items of the equipment and is not released or satisfied within ten (10) days thereafter, or if a receiver is appointed in any proceeding or action and given authority to take possession or control of any item or items of the equipment, Lessor shall in its sole reasonable discretion have and may exercise any one or more of the remedies set forth in paragraph 21 hereof and this lease shall, at the option of the Lessor, without notice immediately terminate and shall not be treated as an asset of Lessee from the date of the exercise of said option.
  2. ASSIGNMENT – Without the prior written consent of Lessor,, Lessee shall not:

a.) assign transfer, pledge or hypothecate this lease, the equipment or any part thereof, or any interest therein, or b.) sublet or lend the equipment or any part thereof to be used by anyone other than Lessee.

  1. OWNERSHIP – The equipment is, and shall at all times be and remain, the sole and exclusive personal property of the Lessor, and the Lessee shall have no right, title or interest therein or thereto except as expressly set forth in this
  2. PERSONAL PROPERTY – The equipment is, and shall at all times be and remain, personal property notwithstanding that the equipment or any part thereof may now be or hereafter become in any manner affixed or attached to, or imbedded in, or permanently resting upon, real property or any building thereof or attached in any manner to what is permanent as by means of cement, plaster, nails, bolts, screws or The Lessee acknowledges that any property of the Lessor that is affixed or attached to any other property is solely for the better use of the Lessor’s property.
  3. LIMIT OF LIABILITY – The Lessor shall not be liable for any personal injuries (including death) to any person including the Lessee or any other loss or damage occurring either directly or indirectly or consequentially whether to the Equipment or any other property unless due to the negligence or misconduct of Lessor or breach of this Agreement by the
  4. GOVERNING LAW – This Agreement will be interpreted according to the laws of the Province of British
  5. NOTICE – Wherever the giving of a notice is required by this Lease, such notice shall be given in writing and shall be considered for all purposes hereof to have been received on the nex juridical day after that on which the notice is mailed by registered post with mailing charges
  6. NON-WAIVER – Time is of the Lessor’s failure at any time to require strict performance by Lessee of any of the provisions hereof shall not waive or diminish Lessor’s right thereafter to demand strict compliance therewith or with any other provision. Waiver of any default shall not waive any other default.
  7. SEVERABILITY – Should any part of this Agreement be declared or held invalid for any reason, such invalidity shall not affect the validity of the remainder which shall continue in ful force and effect and be construed as if this Agreement had been executed without the invalid portion and it is hereby declared that the intention of the parties hereto that this Agreement should have been executed without reference to any portion which may, for any reason, be hereafter declared or held
  8. ENTIRE AGREEMENT – This instrument constitutes the entire agreement between Lessor and Lessee; and it shall not be amended, altered or changed except by a written agreement signed by the parties
  9. SPECIAL CONDITIONS – The terms of any Special Conditions as set out in the Agreement shall prevail whenever there may be any ambiguity or conflict with any of the foregoing General Conditions, but in all other respects, the General Conditions aforesaid shall otherwise govern the relationship of the parties
  10. LOSS DAMAGE WAIVER (LDW) – By paying the additional fee specified thereon, the Lessor will waive its claim against the Lessee under paragraph 14 of the General Conditions hereof for loss of or damage to the Equipment (except as set out in Waiver Exceptions below). The LDW deductible is 5% of the equipment value, subject to a minimum $2,500; except flood $25,000, and earthquake 3% (min. $100,000).

Waiver Exceptions: Notwithstanding the Lessee’s acceptance of the Loss Damage Waiver, the Lessee will be liable for all resulting loss or damage to the Equipment and expense of the Lessor, to the extent it: (i) results from gross negligence of the Lessee which includes, but is not limited to, the use or operation of the Equipment in a reckless or abusive manner, or intentional damage to the Equipment by the Lessee or by Lessee’s permission, or (ii) occurs under any of the following circumstances:

  1. Theft by employees of the Lessee or of people to whom the equipment is entrusted
  2. Loss or damage due to declared or undeclared war or warlike action by a military force or governmental authority
  3. Loss or damage due to terrorism that involves nuclear, pathogenic, poisonous biological or chemical materials
  4. Loss or damage due to direct or indirect acts of terrorism
  5. All loss or damage associated with Equipment being overloaded operated above rated capacity or if operating instructions are not
  6. Use of Equipment by unqualified Lessee is to use properly trained operators.
  7. Losses due to change of temperature, mechanical or electrical breakdown or for loss of power interruption including blackout, wear and tear, latent defect or inherent vice, mechanical breakdown or derangement;
  8. Loss or damage caused by gradual deterioration, rodents, insects or vermin, corrosion, rust, dampness of atmosphere, freezing or extremes of temperature;
  9. Loss to property while airborne, underground, underwater, or while operating over ice or muskeg;

Removed J as there is now coverage for waterborne transportation by barge or ferry

Loss Conditions – Duties in the event of loss (or damage). Compliance with the following duties is a condition precedent to coverage under the LDW:

  1. Notice – In case of a loss, you must: i) give us prompt notice including a description of the property involved (we may request written notice); and ii) give notice to the appropriate law enforcement agency when the act that causes the loss is a
  2. Protect Property – You must take all reasonable steps to protect Covered Property at and after a loss to avoid further We pay the reasonable costs incurred by you for necessary record of such costs.
  3. Damaged Property – If the damaged and undamaged property is in your care, custody and control, you must exhibit the property as often as we reasonably request and allow us to inspect or take samples of the
  4. Cooperation – You must cooperate in performing all acts required by the Lessor’s Insurance