Agenda Package - 03-21-11 - Laserfiche WebLink

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027 customer after delivery of yarn. Lessor shall have no responsibilities with respect to the installation, use or operation of the Equipment. 8. Location and Surrender of Equipment The Equipment shall be purchased by Lessor and delivered directly from the manufacturer to Lessee's facilities at 1823 Boone Trial Road, Sanford, NC 27330 or such other location(s) as Lessee shall designate. Lessor acknowledges that the Equipment will not remain at such location(s) but may be used at any facilities owned by Lessee and will be used for shipment of yam both domestically and internationally. Upon the expiration or earlier termination of this Lease, Lessee shall promptly return the Equipment to the Lessor in good repair and working order, ordinary wear and tear resulting from proper use excepted, by making the Equipment available for pick -up by Lessor at Lessee's facility in Sanford, North Carolina. Lessor shall then thereafter promptly arrange for the pick -up and removal of the Equipment at the expense of Lessor. 9. Insurance Lessee shall (i) maintain at its sole cost and expense insurance on the ,Equipment covering such risks, in such amounts and with such insurance companies as shall be reasonably satisfactory to Lessor, and (ii) deliver to Lessor evidence of the same. Any such insurance shall name the Lessor and Lessee as joint insureds, shall expressly provide that it shall not be invalidated as to Lessor by any act or omission of Lessee and shall provide that the insurer will give Lessor at least 30 days' prior written notice before it is altered or cancelled. The first $47,441.00 of proceeds from such insurance shall be paid to the Lessor. Any amount of proceeds over $47,441.00, shall be paid to the Lessee and, at Lessee's option, be applied to (i) replace, restore or repair the Equipment or (ii) pay Lessee's obligations hereunder. 10. Disclaimer of Warranties LESSOR MAKES NO WARRANTIES OR REPRESENTATIONS, EXPRESS OR IMPLIED, AS TO THE VALUE, DESIGN, CONDITION, MERCHANTABILTTY OR FITNESS FOR A PARTICULAR PURPOSE OF THE EQUIPMENT. • 11. Assignment of Manufacturer's Warranties Notwithstanding the foregoing, Lessor hereby agrees to assign to Lessee, solely for the purpose of making any such claim, all of Lessor's rights against the manufacturer or supplier of the Equipment for breach of warranty or other representation regarding the Equipment to the extent the same are assignable. 12. Disclaimer of Damages LESSOR EXPRESSLY DISCLAIMS ANY LIABILITY FOR CONSEQUENTIAL, SPECIAL OR INCIDENTAL DAMAGES, WHERE, DUE TO OPERATION OF LAW, CONSEQUENTIAL, SPECIAL OR INCIDENTAL DAMAGES CANNOT BE EXCLUDED, THEY ARE EXPRESSLY LIMITED IN AMOUNT TO ANY RENTAL PAYMENTS MADE HEREUNDER. 13. Ownership of Equipment Title to the Equipment is and shall remain solely and exclusively in Lessor. The Equipment shall remain personal property whether or not it becomes attached to any real property. 14. Attorneys' Fees In the event that any amounts due under this Lease are collected after maturity by or through an attorney at law, Lessee agrees to pay Lessor's reasonable attorneys' fees, court costs and other costs of collection. 15. Liens, Fines and Taxes Lessee shall keep the Equipment free and clear of all levies, liens and security interests and shall pay all fines, charges and taxes of any nature which may be imposed upon the ownership, leasing, rental, sale, purchase, possession or use of the Equipment, excluding all taxes on or measured by Lessor's net income but including taxes attributable to the lease term but not due and payable at the termination of the Lease. C � TRII \749961 v5