CONTRACT OF LEASE

KNOW ALL MEN BY THESE PRESENTS:

This CONTRACT OF LEASE is made and executed at the Municipality of Agoncillo,

this _____ day of _______________, 20____, by and between:

GWYN A. SANGALANG, of legal age, single, Filipino, and with residence and
postal address at Bangin, Agoncillo, Batangas, hereinafter referred to as
the LESSOR.

-AND-

ARNEL G. BORLAZA, of legal age, single, Filipino and with residence and
postal address at (Address), hereinafter referred to as the LESSEE.

WITNESSETH; That

WHEREAS, the LESSOR is the owner of a building located at Brgy. Bangin,

Agoncillo, Batangas;

WHEREAS, the LESSEE desires to occupy the above-named building and the
LESSOR is willing to lease the same unto the LESSEE by way of this agreement;

NOW THEREFORE, for and in consideration of the foregoing premises, the

LESSOR leases unto the LESSEE and the LESSEE hereby accepts from the
LESSOR the LEASED premises, subject to the following:

1.TERM. The term of this lease shall be for a fixed period beginning ____________
and expiring on ____________ ,unless sooner terminated for breach of the terms
and conditions of this agreement.This contract may be renewed at the option of the
LESSOR at such new terms and conditions as may agreed upon by the parties.

2. RENTAL.

2.1. LESSEE shall pay the LESSOR monthly rent of Twenty Thousand Pesos
(P20,000.00), Philippine currency, exclusive of value added tax and net of
applicable withholding tax applied on such rental income. The value added tax and
withholding tax shall be for the account of the LESSEE and must be remitted to the
proper government authorities. The monthly rental shall be payable without the need
of demand or any act or deed, at the above address of the LESSOR on the 30 th day
of each month, commencing on __________ , and continuing each month thereafter
during the term of this lease.

2.2 Upon the commencement of this lease, and not later than ____________, the
LESSEE shall pay to the LESSOR the following amounts:
 a) Forty Thousand Pesos (P40,000.00), Philippine currency, as advance rentals
equivalent to two (2) months which shall be applied to the covering xxx to xxx

b) Twenty Thousand Pesos (P 20,000.00) , Philippine currency, as rental for the

month of ____________

Succeeding monthly rentals be payable via cash or post dated checks to be issued
by the LESSEE in favor of the LESSOR.

LESSEE hereby agrees to pay 5% interest per month on any delay in payments. If
the check is dishonored, the LESSEE is obliged to replace the check under pain of
the pre-termination of this agreement.

3. DEPOSIT. The LESSEE shall pay the LESSOR the sum of two (2) months deposit
of Pesos: Forty Thousand (Php 40,000.00), Philippine currency to guarantee the
payment of any future damage to the leased premises, unpaid utilities and other
obligations to third parties by the LESSEE during the term of the agreement, which
deposit shall bear no interest. Unless applied to said damages, unpaid utilities and
other obligations to third parties, said deposit shall be returned to the LESSEE within
sixty (60) days after the termination of this agreement: Provided, however, that the
deposit cannot be applied to unpaid back rentals owed by the LESSEE prior to the
expiration of this agreement. Furthermore, if the LESSEE vacates the premises
before the expiration of the period of lease, the total amount of the deposit and
advance rentals shall be forfeited in favor of the LESSOR.

4. USE OF PREMISES. The premises shall be used exclusively for office purposes
only and shall not be used whatsoever for residential or in any illegal or unlawful
activity or to keep materials, chemicals and other matters considered as fire hazards
or nuisance to the building.

5. IMPROVEMENTS. The LESSEE shall not make any alteration, structural changes
or improvement in the leased premises without the prior written consent of the
LESSOR. However, at the termination of the lease, the same not having been
renewed by the parties, the LESSEE shall restore the leased premises in its original
state existing at the commencement of the agreement. Restoration of the LEASED
PREMISES shall be for the exclusive account of the LESSEE. Any improvement
after the lease is terminated and after the LESSEE shall have vacated the premises
shall belong to the LESSOR.

6. FACILITIES. All charges for water, electricity, telephone, and other public utilities
used in the leased premises shall be for the account of the LESSEE. The LESSEE
hereby guarantees the prompt payment of any and all charges heretofore mentioned
as they fall due. Any delay in the payment thereof shall constitute a material breach
of this agreement.

7. INSURANCE. The LESSOR shall insure the leased premises against fire. Should
the leased premises be damaged by fire, earthquake, storm or any fortuitous events
to the extent that the same be rendered untenable this agreement shall be
automatically canceled and the deposit as well as the unused portion of the advance
rentals be refunded within SIXTY (60) days, minus any unpaid obligation.
8. REPAIRS. The LESSEE shall, during the duration of the lease, make all minor
repairs on the leased premises to preserve the same in serviceable or tenantable
conditions at the LESSEE's expense except replacement of parts due to natural
wear and tear. The LESSEE, however, shall give advance written notice to the
LESSOR of Ten (10) days prior to undertaking any minor repair.

8.01 All damages caused to the leased premises due to the fault, misuse,
carelessness, and/or negligence or on account of the use thereof by the LESSEE
and other occupants therein shall be made good and repaired by the repairs done.

8.02 Should the LESSEE fails to make the necessary and appropriate repairs within
five (5) days from demand, the LESSOR shall undertake the needed repairs and
shall charge the costs thereof to the LESSEE.

9. INSPECTION OF PREMISES. To ensure that the lease premises is being

maintained in good and tenantable conditions, the LESSOR or his authorized
representative is hereby given the right after due notice, to enter and inspect any
part of the leased premises during reasonable hours and as the occasion thereof
might require.

10. ASSIGNMENT AND SUBLEASE. The LESSEE hereby shall have no right to
assign or transfer its rights, interest and obligations under the lease contract or sub-
lease contract premises or any portion thereof to any person or entity without the
prior written consent of the LESSOR.

11. INJURY OR DAMAGE. The LESSEE hereby assumes the full responsibility for
any damage which may be caused to the person or property of any third person in
the leased premises during the duration of the lease. LESSEE further binds himself
to hold the LESSOR free and harmless from damages as a result thereof, unless
such damage or liability arose out of structural or other inherent defects in the leased
premises or is due to the fault of the LESSOR, his agent or representatives.

12. HAZARDOUS AND PROHIBITIVE MATERIALS: The LESSEE shall not keep or
store in the lease premise any hazardous and obnoxious substance or inflammable
material or substance that might constitute a fire hazard or other chemicals and
materials or prohibitive drugs in violations of the laws of the Philippines.

13. VIOLATIONS. The LESSOR may, at this options, consider this agreement
automatically rescinded and canceled, without need of any court action, upon ten
(10) days notice given to the LESSEE based on any of the following grounds.

a. Failure of the LESSEE to pay two (2) months advance rental and other bills or
charges therefore mentioned as they fall due for any reason whatsoever within the
period to pay.

b. For any violation made by the LESSEE or its agents and representatives of any of
the terms and conditions stipulated in this contract.

c. In case the leased premises shall be vacated or abandoned for a period of thirty
(30) days without prior written notice to the LESSOR. Consequently, the LESSOR is
hereby permitted authorized by the LESSEE to enter the premises, either by force or
otherwise, without being liable to prosecution therefor.

13.1. Upon termination of the contact of lease based on any of the foregoing grounds
and upon demand, the LESSEE shall immediately be vacated and shall peacefully
surrender possession of the lease premises to the LESSOR or his duly authorize
representative.

14. REMEDIES. In addition to the provisions of the preceding paragraph, the

LESSEE hereby acknowledges and recognizes the right of the LESSOR to avail or
resort to any or all of the following remedial measures without need of court action.

a. In case of failure of the LESSEE to pay or settle any due and unpaid obligations
(rentals, electricity, water, telephone, etc.) as provided for under this lease contract ,
the LESSEE hereby authorizes the LESSOR, who is hereby given the right, to
disconnect all facilities such as but not limited to disconnect all facilities such as but
not limited to electricity, telephone, water in the leased premises without need of
further notice to the LESSEE.

b. Likewise, until the aforesaid unpaid obligations are paid or settled, the LESSEE
hereby given the rights, to re-renter the lease premises, remove all persons
therefrom , take possession of any of all furniture, fixtures and equipment's found
thereon or therein and/or padlocked the door of the premises.

c. Moreover, by way of a security or to secure the payment of any of the unpaid

obligations of the LESSEE , the LESSEE consents and authorizes the LESSOR to
retain possession of any of all the furniture, fixtures and equipment's that may found
on the premises as belongings to the LESSEE until such time that all the unpaid
obligations of the LESSEE are paid or settled.

d. If after ten (10) days from the date the LESSOR shall have taken possession of
the aforesaid furniture, fixtures and equipment by way of security, the LESSEE still
fails to pay or settle its unpaid obligations to the LESSOR the LESSEE hereby
consents and authorizes the LESSOR to sell by way of public or private sale any or
all the furniture's fixtures equipment as may be sufficient to pay or settle the lessee's
unpaid obligations plus the accrued interests and attorney's fee equivalent to 25% of
the total amount due and unpaid. All expenses that may be incurred in the sale shall
be for the account of the LESSEE.

15. ATTORNEY'S FEE. In case the LESSOR resorts to judicial action base upon or
in connection with this lease contract, the LESSEE hereby agrees to pay attorney's
fee equivalent to twenty five (25%) of the total amount involved or claimed by the
LESSOR as against the LESSEE plus all court expenses and/or costs of litigation.

16. EXPIRATION OF LEASE. At the expiration of the term of this lease or

cancellation thereof, as herein provided, the LESSEE will promptly deliver to the
LESSOR the leased premises with all corresponding keys and in as good and
tenable condition as the same is now, ordinary wear and tear expected devoid of all
occupants, movable furniture, articles and effects of any kind. Non-compliance with
the terms of this clause by the LESSEE will give the LESSOR the right, at the latter's
option, to refuse to accept the delivery of the premises and compel the LESSEE to
pay rent therefrom at the same rate plus Twenty Five (25) % thereof as penalty until
the LESSEE shall have complied with the terms hereof. The same penalty shall be
imposed in case the LESSEE fails to leave the premises after the expiration of this
Contract of Lease or termination for any reason whatsoever.

17. NON-WAIVER. - The failure of the LESSOR to insist upon a strict performance of
any of the terms, conditions and covenants hereof shall not be deemed a
relinquishment or waiver of any of the rights or remedies that the LESSOR may
have, nor shall it be construed as a waiver of any subsequent breach or default of its
terms, conditions and covenants which shall continue to be in full force and effect.
No waiver by the LESSOR of its rights under this Lease Agreement shall be deemed
to have been made unless expressed in writing and signed by the LESSOR.

18. AMENDMENTS. - Any amendments or additional terms and conditions to this

Lease Agreement must be in writing.

19. SEPARABILITY CLAUSE. In case any provision in this Contract of Lease shall
be invalid, illegal or unenforceable, the validity, legality and enforceability of the
remaining provisions of each of this contract, this Contract of Lease shall not in any
way be affected or impaired thereby.

20. This CONTRACT OF LEASE shall be valid and binding between the parties,
their successors-in-interest and assigns.

IN WITNESS WHEREOF, the parties have hereunto set their hand this 10th day of
October 2017 at Agoncillo, Batangas.

GWYN A. SANGALANG ARNEL G. BORLAZA

Lessor Lessee

Signed in the Presence of:

________________________ _________________________

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES )

AGONCILLO, BATANGAS ) S.S.
BEFORE ME, a Notary Public for and in the City of Makati, this ____ day of
__________ 2017 , personally came and appearance the following:

Name CTC No. Place Date

Gwyn A. Sangalang
Arnel G. Borlaza

a know to me to be the same persons who executed the foregoing Contract of Lease
consisting of six pages including this acknowledgement, signed by the parties and
their instrumental witness at the bottom part of page 5 and the left margin of all other
pages.

WITNESS MY HAND AND SEAL on the date and place above stated.

Doc. No.:
Page No.:
Book No.:
Series of 2000