CONTRACT OF LEASE

KNOW ALL MEN BY THESE PRESENTS:

This Contract of Lease, made and entered into this 5th day of July, 2019, in Baguio City,
Philippines, by and between:

TITO A. LEDDA and EUFROCINA A. LEDDA, both American, married, of

legal age, herein represented by his Attorney-in-Fact NICOLASA LEDDA
SALVIEJO, Filipino, widow, of legal age, with postal address at Brgy. Antonino,
Balaoan, La Union, (hereinafter referred to as the "LESSOR / OWNER");

- and –

HYON SUNG EUN, Korean, Widow, of legal age, with postal address at Baguio
City. (hereinafter referred to as the "LESSEE").

WITNESSETH THAT:

WHEREAS, the LESSOR is the owner of a three-bedroom residential building with an

attic located at #17 Michael St., Petersville Subdivision, Camp 7, Baguio City, with a floor area of
_____sq. meters hereinafter referred to as the LEASED PREMISES;

WHEREAS, the LESSEE desires to lease the LEASED PREMISES with the exclusion of
the Master’s bedroom located on the 1st floor of the residential building, furnished (List of
Furniture- Annex A attached) with no telephone line and the LESSOR is willing to lease the same
unto the LESSEE, subject to following;

The LESSOR, in consideration of the rent, covenants, conditions and restrictions herein
embodied on the use and occupancy of the property, and on the part of the LESSEE to be paid,
observed and performed, hereby LEASES, LETS, RENTS, and DELIVERS, by way of lease unto
the LESSEE, the agreed upon portion of the residential building located at #17 Michael St.,
Petersville Subdivision, Camp 7, Baguio City.

NOW, THEREFORE, for and in consideration of the foregoing and mutual covenants
herein contained, the LESSOR has let and by these presents does hereby let and lease unto the
LESSEE the aforesaid residential building and the LESSEE hereby accepts the same by way of
lease subject to the following terms and conditions:

1. Term - This contract of Lease shall be for a period of one (1) year commencing on July 1,
2019 and ending on June 30, 2020. This lease can be further extended upon mutual agreement of
both parties provided that the LESSEE shall give notice to the LESSOR or his desire to renew the
lease at least sixty (60) days before the termination of this contract.

2. Rent - The parties herein agree that the rental for the Leased Premises shall be payable in
Philippine Currency, without necessity of demand, at a monthly rate of PESOS THIRTY
THOUSAND (P 30,000.00) with one (1) month rent paid fully in advance and two (2) months rent
to be regarded as deposit. The monthly rental is inclusive of Association dues but exclusive of
utilities. The monthly rental should be deposited on a monthly basis to the Lessor’s bank account
(BDO Savings Account No. 004000194278) on or before the 10th day of the month.

It is likewise agreed that upon signing of this contract that the LESSEE shall pay to the
LESSOR the sum of PESOS THIRTY THOUSAND (P 30,000.00) to be applied as follows as an
advanced rental payment covering the period of June 1, 2020 to June 30, 2020 (for the last month).

In case the payments would not be made on the scheduled date mentioned above the
LESSEE is given twenty-four (24) hours to inform the owner as to when payment would be made
in case of emergency situations, failure to do so would give the LESSOR authority to cut off the
LESSEE’S utilities. The LESSOR would give the LESSEE another seven (7) days to pay his
obligation. Non-payment after the said period would automatically terminate the lease agreement.

3. Deposit - The LESSEE will pay on or before July 15, 2019, a Security Deposit in
the amount of PESOS SIXTY THOUSAND (P 60,000.00) equivalent to two months rental as
guarantee for any unpaid bills for water, gas, electric, telephone, internet, and other utilities, or for
any damage to the Leased Premises, aside from natural wear and tear; such amounts will be
deducted from this deposit and the balance, if any, shall be refunded to the LESSEE within sixty
(60) days after the termination of the contract or until all bills are settled.

4. Utilities - all expenses for Water, Gas, Electric Current, Telephone, Cable TV,
Internet, Smart and Globe bills, maintenance, etc. shall be for the account of the LESSEE;

5. Residential Purpose - The LESSEE agrees that the leased premises shall be used by
them exclusively for residential or dwelling purposes and for no other purpose without prior
written consent of the LESSOR. The premises, subject matter of this contract, shall be used for
residential purposes only and not for business The LESSEE shall not sublease the leased premises
or any portion thereof without the written consent of the LESSOR. The LESSEE allows the
LESSOR and their immediate family members to use the Master’s bedroom as agreed upon;

6. Fixed Improvements - The LESSEE shall not make any major structural changes,
alterations or improvements in the leased premises without the written consent of the LESSOR;
however, any major alterations or improvements made or introduced by the LESSEE in the leased
premises with the written consent of the LESSOR shall, upon the termination of this contract,
automatically inure to the benefit of the said premises and become property of the LESSOR
without any obligation on the latter's part to pay or refund its value or cost to the LESSEE;

7. Movable Improvements - The LESSEE may install movable furnishings,

appliances, and decorative items within the leased premises, which shall remain the property of
the LESSEE. The LESSEE shall take care that the removal of these items shall not cause any
damage to the leased premises;

8. Sanitation and Repairs - The LESSEE shall keep the premises clean and in sanitary
condition and keep them at all times in very good condition. The LESSEE has inspected the
premises leased and found the same to be in good and tenantable condition. The LESSOR shall be
responsible for all major repairs on the water, electrical and sewage installations caused by
ordinary wear and tear, except repairs due to the fault or negligence of the LESSEE, members of
his household, guests, or visitors;

The LESSOR also undertakes to do all repairs and breakdowns in the Leased Premises
which may occur within the first thirty (30) days of the Lease, provided that it is not due to the
fault or negligence of the LESSEE or any members of his household, live-in guests or visitors at
its expense.

Major repairs above PESOS FIVE THOUSAND (P5,000.00) shall be for the account of
the LESSOR and minor repairs PESOS FIVE THOUSAND (P5,000.00) and below shall be for
the account of the LESSEE such as:

1) Replacement of light bulbs and fuses

2) Breakage or loss of faucet, faucet handles, drawer or cabinet pulls & catches, keys, locks,
toilet seats and water tank covers, shower heads & hoses, window handles & screens, hinges, minor
faucet leaks, electrical switches or outlets and buzzers or doorbells, and damaged door knobs and
blinds.
3) Maintaining all appliances and cleaning all airconditions every six months.
4) Shampooing of carpets/ cleaning of blinds/ laundering of curtains & beddings at the end
of the contract.

In the event the LESSEE would incur a major repair arising from his own negligence, the
cost of repair will be for the account of the LESSEE no matter how much the cost.

9. Fire Hazard and Obnoxious Substances - The LESSEE shall not keep, deposit, or
store in the premises any prohibited drugs, loose firearms and any obnoxious substances or
inflammable material or substance that might constitute a fire hazard; in the event that a fire occurs
due to the LESSEE’s negligence, the LESSEE shall be held liable for all damages incurred inside
the unit and other affected areas.
 10. Pest Control - The LESSEE shall retain the services of a reputable pest control
organization to ensure the extermination or protection against termites and beetles (“anay” and/or
“bukbok”) and shall be responsible for the extermination of or protection against rats, cockroaches
and other insects.

11. Taxes and Insurance - Real Estate and Government assessments shall be for the
LESSOR'S account; either party to this Contract of Lease may at her/his option and interest, secure
an appropriate insurance policy over their respective insurable interest on the premises subject of
this lease and in case of occurrence of the event insured against, either partial or total loss or
damage, neither the LESSOR nor the LESSEE shall be personally liable therefore so much that
the party who decided not to secure an insurance policy shall shoulder his own damages and shall
hold other party free from any such liability.

12. Third party Liability - The LESSEE during his occupancy of the leased premises
shall hold the LESSOR free and harmless from any damage or liability to any person or property
arising out of as consequence of the use of the leased property by the LESSEE, his agents,
employees, domestic help and guests; when such damage or liability is caused by fortuitous events
or acts of God, such as typhoon, earthquake, flood, etc., which are beyond the control of the
LESSEE the latter shall not be liable to the LESSOR;

13. Inspection of Premises - The LESSOR shall maintain the premises in good and
tenantable condition and for such purpose the LESSOR reserves the rights at reasonable times and
with advance notice to enter and inspect the premises and to make the necessary repairs thereof.
The LESSEE likewise agrees to cooperate with the LESSOR in keeping the said premises in good
and tenantable condition;

14. By Laws of the Condominium Corporation, Master Deed and Declaration of

Restrictions and Rules and Regulations - The LESSEE hereby agrees to observe and abide by and
accordingly acknowledges and confirms that his use and possession of the leased premises is
subject to the pertinent provisions of the By-Laws of Renaissance 2000 Condominium Corporation
(hereinafter referred to as the "Condominium Corporation"), Master Deed and Declaration of
Restrictions of Renaissance 2000 Condominium and all rules and regulations promulgated by the
Condominium corporation, pertaining to the use, enjoyment and occupancy of units and the
common areas of Renaissance 2000 Condominium, the leasing out of units, and the collection of
condominium dues, fees, charges and assessments, as well as the enforcement of sanctions against
any violation or breach thereof;

15. Encumbrances of Premises - In the event of sale, transfer, mortgage, or any other
encumbrances of the same, the LESSOR shall advise in writing the purchaser, mortgagee or
encumbrancee that all the terms and conditions of this lease agreement including any provisions
for renewal thereof shall be respected;

16. Pre - Termination of Lease – Should the LESSEE wish to pre-terminate this Lease
Contract, the LESSEE should notify the LESSOR in writing at least thirty (30) days in advance,
and forfeiting in favor of the LESSOR the two (2) months security deposit and the last month’s
rent by way of liquidated damages. The unused rental shall be returned after deducting all
accountabilities of the LESSEE. The LESSEE should settle all remaining unpaid bills in order to
clear all accountabilities. The LESSOR shall issue a clearance proof for the settlement of all
accountabilities.

17. Return of Premises - Upon termination of this contract for any reason whatsoever,
the LESSEE shall immediately vacate the premises and return possession thereof to the LESSOR
upon the latter's request, unless this Contract of Lease is extended. The LESSOR may show the
premises to prospective tenants thirty (30) days prior to the expiration of the Contract of Lease at
reasonable hours and with prior notice to and with consent by the LESSEE;

18. Any violation of the terms provided for in this contract on the part of the LESSOR
or the LESSEE shall be sufficient ground for the termination of this Contract of Lease.

19. This Contract of Lease shall be valid and binding between the parties, their
successors-in-interest and assigns.
IN WITNESS WHEREOF, parties herein affixed their signatures on the date and place above
written.

NICOLASA L. SALVIEJO HYON SUNG EUN

LESSOR LESSEE
____________________________ ___________________________

Signed in the presence of:

_____________________________ ______________________________

Republic of the Philippines )

________________________) S.S

BEFORE ME, personally appeared both parties, NICOLASA L. SALVIEJO AND HYON SUNG
EUN, known to me and to me known to be the same persons who executed the foregoing
instrument and acknowledged to me that the same is their free and voluntary act and deed.

This instrument consisting of 4 pages, including the page on which this acknowledgement is
written, has been signed on each and every page thereof by the concerned parties and their
witnesses, and and sealed with my notarial seal.

WITNESS MY HAND AND SEAL, on the date and place first above written.

Notary Public

Doc. No.______;
Page No. ______;
Book No.______;
Series of 20___.