MOTOR VEHICLE

LEASE TO OWN AGREEMENT

BETWEEN

JOSEPHINE GUINTO LUISTRO

(Owner, Lessor)

And

MARLON DISMAYA ESPOSO

(Driver, Lessee)
This agreement is made this 7th day of October 2019

BETWEEN

JOSEPHINE GUINTO LUISTRO, with address at 110 Alicante St., Phase 1, San Antonio Heights,
Santo Tomas, Batangas and contact number 09175448146, hereinafter referred to as the
“Lessor or Owner ‘’ of the Motor Vehicle;

AND

MARLON DISMAYA ESPOSO, with address at 1289 Villa Munsod 2, San Joaquin, Pasig City,
Metro Manila and contact number 09176054424, hereinafter referred to as the ‘’Driver,
Lessee’’ of the Motor Vehicle;

NARRATIONS;

1. Whereas the Lessor is the Owner of the Mitsubishi Adventure 2016 GLS vehicle with
the following description: CR Number: 332089564; Model GLS Sport; Chassis
Number: PAF PAEVB5NHGGB012911; Engine Number: 4D56AAN2176; Color: Soporific
Black; Year of Manufacture 2016.

2. Whereas the lessor is hopeful of leasing and the Lessee has agreed to lease the
Aforesaid motor vehicle on the terms and conditions herein contained.
THE PARTIES AGREE AS FOLLOWS:

1. RENTAL

The motor vehicle is hereby leased at a daily rate of Php1,200.00 per day or Php 7,200
per week payable every Monday regardless of the number of days the vehicle was
used as TNVS.

2. DURATION

The agreement shall stand for a period of 44 months starting October 8, 2019 and shall
expire on June 7, 2023 as agreed by the both parties.

3. THE LESSOR’S OBLIGATIONS:

The Lessor hereby agrees:

3.1 To grant the lessee exclusive use and possession of the motor vehicle during the
duration of this agreement, save as is provided for by the agreement;

3.2 To grant the lessee quiet possession of the motor vehicle,

3.3 To provide the lessee with a Photo copy of the registration of the motor vehicle;

4. THE LESSEE’S OBLIGATIONS

The Lessee hereby agrees:

4.1 To ensure that the motor vehicle is used in a skillfull and proper manner and only
driven by him and has a valid Driver’s License issued by LTO.

4.2 To ensure that no alterations are made to the motor vehicle or any component
removed unless it is immediately replaced by the same component or by one of the
same like, make and model or an improved or advanced version ;

4.3 To report to the nearest Police and inform the lessor within the day of accident if
any or loss of the motor vehicle and secure the police report and other documents
necessary for insurance claim;

4.4 To be responsible for cost relating to fuel, tire replacement/ vulcanizing and
change oil as well as any cost of parking fees, fines and towing expenses for illegal
parking and toll fees;

4.5 To ensure that the motor vehicle is exclusively used only by the lessee.
 4.6 To be responsible for the cost of repairs and maintenance of the vehicle and
renewal of the comprehensive insurance and LTO registration of the motor vehicle.

5. TERMINATION OF THE AGREEMENT

5.1 The lessee shall have the right to terminate this Agreement, upon giving the Lessor
one (1) week advance notice either verbal or in writing.

5.2 The Lessee shall have the right to terminate this agreement if he is no longer
capable of paying the weekly rent of Php 7,200. As such, he is obligated to return the
vehicle to the Lessor in the same condition when it was turned over to him.

5.3 The Lessor shall have the option to terminate this Agreement upon giving the
Lessee of one (1) week advance notice either verbal or in writing if the Lessee fails to
remit the weekly rent once. No refund of any amount paid by the lessee during the
tenure of this agreement shall be given the Lessee.

5.4 The Lessor shall have the right to terminate immediately this Agreement if the
Lessee violates the terms of this lease to own agreement.

6. Accident

6.1 The Lessee shall be liable for the cost of repair caused by accident thru his own
fault, not covered by the comprehensive insurance of this vehicle.

7. ENTIRE AGREEMENT

This Agreement together with the schedules and annexes hereto constitutes the entire
agreement and understanding between the Parties and supersedes all previous
agreements, understandings and/or representations between the Parties.

8. WAIVER OF REMEDIES

No tolerance, delay of indulgence by either Party in enforcing the provisions of this

Agreement shall prejudice or restrict the rights of either Party nor shall any waiver of its
rights operate as a waiver of any subsequent breach and no right, power or remedy herein
conferred upon or reserved for the Party is exclusive of any other, power or remedy
available to the Party and each such right, power or remedy shall be cumulative.

9. ASSIGNMENT & CHANGE IN OWNERSHIP / MANAGEMENT

9.1 The Lessor is existing owner of motor vehicle until such time that the Agreement has
not yet expired and the Lessor shall have the right to assign or transfer its obligations to
the Lessee as a new owner of the motor vehicle after completing the 44 months
Agreement which expires on June 26, 2023, if the Lessee is continuously paying his
obligation to the Lessor within the period of this Agreement.

9.2 The Lessor shall immediately notify the Lessee for the transfer of ownership.
 10. GOVERNING LAW

This Agreement shall in all respects be governed and construed in accordance with the
Laws of the Philippines.

12. RESOLUTION OF DISPUTES

Any dispute arising between the Parties shall be determined by a court of competent
jurisdiction in the Philippine and may upon agreement between the Parties be submitted
for arbitration.

IN WITNESS WHEREOF the Parties hereto have caused this Agreement to be

executed by its duly authorized representatives as of the day and year first above written.

SIGNED BY:

JOSEPHINE G. LUISTRO MARLON D. ESPOSO

(Lessor) Lessee

Witnessed by:

__________________________________ _____________________________