RESIDENTIAL LEASE AGREEMENT

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1 RESIDENTIAL LEASE AGREEMENT This Residential Lease Agreement ( Lease ) is made on, by and between ( Landlord ) and, individually and collectively referred to as ( Tenant ). In consideration of the mutual covenants and agreements set forth in this Lease, and for other good and valuable consideration the receipt and sufficiency of which is acknowledged, the Landlord leases to the Tenant together with all appurtenances, the premises situated at:, Texas,. If buildings or other facilities are included in this Lease, they are listed in Exhibit A to this Lease. If more than one individual signs this Lease as a tenant, each is jointly and severally responsible for all money due to Landlord under this Lease. Landlord and Tenant may each be referred to individually as a Party or collectively as Parties. Whereas, Landlord is the fee owner of that certain real property located at,, Texas, (the Premises ). Whereas, Landlord and Tenant mutually desire for Tenant to lease the Premises upon the terms and conditions contained herein; and Now, therefore, the Parties agree as follows: 1. Term The term of this Lease shall be for a period of months, commencing on, 20, and ending at 12 PM on, 20. At the expiration of this Lease, the Tenant shall surrender the Premises in the same good condition as the Premises were in at the commencement of this Lease, reasonable use and wear and tear excepted. The Tenant shall clean the Premises prior to the surrender. Tenant must provide Landlord at least (30) thirty days written notice of its intent to terminate the Lease upon the expiration of the Lease term. Any notice provided under this Section does not imply permission on behalf of the Landlord to vacate the Premises early unless approved in writing by Landlord. Failure to provide notice of intent to terminate the Lease may require Tenant to be responsible for additional Rent charges, Late Fees and/or damages for any additional costs or expenses incurred by Landlord. Tenant and Landlord shall have the right to negotiate and agree to any renewal/extension of the Lease term, upon such Rent terms agreeable to both Parties. Landlord reserves the right to withhold its consent to or deny any renewal or extension of the Lease that may be requested by Tenant. If Tenant desires to preserve the right to extend/renew the Lease term for a renewal term, Tenant shall give Landlord notice of its intent no later than 60 days prior to the end of the Lease term. Page 1 of 24

2 2. Rent and Late Fees The Tenant agrees to pay to the Landlord, without demand, as rent for the leased Premises the sum of $ per month in advance, on or before the first day of each calendar month, beginning on, 20 delivered to Landlord. Landlord may from time to time specify change of above address in written notice served on the Tenant. In the event the Tenant takes possession of the Premises prior to the first day of the month or earlier than the move-in date as contemplated under this Lease, the rent shall be prorated from Tenant s taking possession until the end of the month in which Tenant takes possession. Tenant and Landlord agree upon a prorated Rent of $ to be paid by the Tenant and accepted by the Landlord. Tenant may use any of the approved payment methods indicated below to pay Rent to Landlord as required under this Section: 1. Payment by Mail. Tenant may mail Rent payments to Landlord at in the form of a personal check, cashier s check or money order. If Tenant s check is dishonored, Tenant shall be charged an NSF fee of $ Post-dated checks are not accepted. 2. Other Accepted Methods of Payment: Landlord and Tenant agree on the following accepted methods of Rent payment: While rent may be prorated for a less than full month at beginning of tenancy, tenant must pay first full month s rent at move in and the pro-rated amount is due the second month of tenancy. Additionally, if prorated rent begins after the 20th of the month, both the prorated amount and the next full month s rent is due at move in. Time is of the essence and deadlines will not be delayed or excused if the deadline falls on a weekend or a holiday. In the event the rent is not received by the Landlord on or before five (5) days from the date that the rent is due, the Tenant shall pay a late fee of $ and a per diem fee of $ for each day the payment is late. Late fees will be charged for each and every month that the rent is not paid on time. Acceptance of late fees and the rental payment shall not constitute a waiver of the Landlord s rights or remedies. In the event partial rent payment is made or accepted at any time during or after the Term, this does not constitute acceptance of a lower Rent amount, but merely is credited as payment towards the full amount due. Full payment is required despite Landlord s acceptance of any partial payment and does not imply a waiver of Landlord s right to the balance of the Rent due and owing for such month(s). Acceptance of partial payment does not waive the Landlord s right to bring or maintain an eviction action or to impose a Late Fee; in fact, partial payment is deemed as late payment unless full payment is made by due date. In the event that the rent is not paid on or before Page 2 of 24

3 five (5) days from the date that the rent is due, the Landlord may also declare the Tenant in default of the Lease and terminate this Lease and begin eviction proceedings. In that event, this Lease shall automatically terminate and the Tenant s right of possession hereunder shall terminate. In the event that any of the Tenant s checks are insufficient or not cashable by the Landlord, the Landlord may request all payments, including future payments to be made by cashier s check, money order or certified funds. Post-dated checks shall not be accepted. Landlord shall not be liable for any fees incurred as a result of insufficient/returned checks, pre-dated checks, or early deposits. Any such fees will be passed on to the Tenant and constitute part of the rent. In addition, if a Tenant s check is dishonored, Tenant shall be charged an Insufficient Funds fee of $65.00 or such lesser amount as dictated by law. Failure to pay these sums is an event of default. Further, any payments of Rent, Fees and/or Security Deposit from an account with insufficient funds shall be considered a material breach of this Lease and shall give Landlord cause to terminate this Lease or to pursue any remedies available by law, including but not limited to eviction. Tenants Initials: 3. Security Deposit The Tenant shall deposit $ with the Landlord on or before for a security deposit to cover faithful performance of the Lease including any moneys that are owed to the Landlord, including but not limited to: rent owed, repairs or damages that may occur to the property, costs or attorney s fees incurred as a result of the Tenant s breach of this Lease. The term Security Deposit has the meaning found in Section of the Texas Property Code. The Landlord agrees to hold any such deposit for Tenant, and it is understood and agreed that Tenant s claim to the deposit shall be prior to any creditor of the Landlord, excluding a trustee in bankruptcy. The Tenant s deposit shall be returned to the Tenant, without interest, upon the expiration of this Lease if the Tenant has fully complied with all of the terms of this Lease. The Landlord may place the security deposit in an interest-bearing account and collect the interest that is earned from the Tenant s security deposit. NOTICE: SECTION OF THE TEXAS PROPERTY CODE PROHIBITS A TENANT FROM WITHHOLDING PAYMENT OF ANY PORTION OF THE LAST MONTH S RENT ON THE CLAIM THAT THE SECURITY DEPOSIT CONSTITUTES SECURITY FOR UNPAID RENT. THE TENANT MAY BE LIABLE TO THE LANDLORD FOR UP TO THREE TIMES THE AMOUNT OF THE RENT THAT WAS WRONGFULLY WITHHELD AND THE LANDLORD S ATTORNEY S FEES FOR BAD-FAITH VIOLATIONS OF THIS LAW. a. Excluding the final rental payment to be made under this Lease, if at any time during the term of this Lease the Tenant shall be in default in the payment of all or any portion of the rent, or of any other sums expressly constituting rent under this Lease, other than advance rental payments, the Landlord may apply any portion of the security deposit as may be necessary to the payment of the overdue rent, damages, cleaning, unpaid utilities, pet violation charges, late fees and charges, bank fees and charges, costs of reletting the Premises, attorney s fees and costs of court incurred by Page 3 of 24

4 the Landlord in any proceeding against the Tenant and any other moneys that may be owed by the Tenant to the Landlord. b. If at any time during the term of this Lease the Tenant should fail to repair any damage to the Premises that the Tenant is required to repair pursuant to the terms of this Lease for a period greater than ten (10) days after written demand to make the repair is served on the Tenant by the Landlord, the Landlord may appropriate and apply any portion of the security deposit as may be reasonably necessary to make the repairs. c. If, on termination of this tenancy for any reason, the Tenant does not leave the leased Premises in reasonably clean condition, excluding normal wear and tear, then the Landlord may appropriate and apply any portion of the security deposit as may be reasonably necessary to put the Premises in such clean condition. As used in this Lease, the term normal wear and tear means deterioration that occurs, based on the use for which the Premises are intended, without negligence, carelessness, accident, or abuse of the Premises or equipment or chattels by the Tenant, or the Tenant s invitees or guests. d. The Tenant must give the Landlord a minimum of thirty (30) days written notice of the termination of the Lease and surrender of the Premises before the Landlord is obligated to refund or account for the security deposit. NOTICE: THE TEXAS PROPERTY CODE PROVIDES THAT THE LANDLORD IS NOT OBLIGATED TO RETURN OR ACCOUNT FOR THE SECURITY DEPOSIT UNTIL 30 DAYS AFTER THE TENANT SURRENDERS THE PREMISES, RETURNS THE KEYS, AND PROVIDES THE LANDLORD WITH THE TENANT S FORWARDING ADDRESS. e. In the event cause exists for retaining all or any portion of the security deposit, the Landlord shall return to the Tenant the balance of the security deposit, if any, together with a written description and itemized list of all deductions. Such deductions shall be limited to damages and charges for which the Tenant is legally liable under this Lease or as a result of breaching this Lease. The Landlord shall not be required to furnish a description and itemized list of deductions if there are any rentals due and unpaid at the time the Tenant surrenders possession of the Premises and there is no controversy over the amount of rentals due and unpaid. However, the Tenant shall not be entitled to any portion of the security deposit as a refund unless the Tenant gives the Landlord thirty (30) days notice of surrendering the Premises. f. Within thirty (30) days after the Tenant surrenders the Premises, any remaining portion of the security deposit, after any lawful deductions as above, shall be returned to the Tenant, directed to the address left by the Tenant specifically for such purpose. g. Should the Landlord transfer his interest under this Lease in any manner, the Landlord or the Landlord s agent shall do one of the following acts, either of which will relieve the Landlord of further liability with respect to the deposit: (i) Transfer the portion of the deposit remaining after any lawful deductions, as above, to the successor in interest, and thereafter notify the Tenant by certified mail of the transfer, and of the transferee s name and address. On receipt of the remaining deposit, the successor in interest of the Landlord shall Page 4 of 24

5 have all of the rights and, on receipt by the Tenant of a statement signed by the successor in interest acknowledging receipt of and responsibility for the security deposit, all of the obligations of the Landlord with respect to such deposit; or, (ii) Return to the Tenant the portion of the deposit remaining after any lawful deductions have been made. h. The Landlord may deduct reasonable charges from the security deposit for: (a) damages to the Property, excluding normal wear and tear; (b) costs for which Tenant is responsible to clean, deodorize, exterminate, and maintain the Property; (c) unpaid or accelerated rent; (d) unpaid late charges; (e) unpaid utilities; (f) unpaid pet charges; (g) replacing unreturned keys, garage door openers, security devices, or other components; (h) the removal of unauthorized locks or fixtures installed by Tenant; (i) Landlord s cost to access the Property if made inaccessible by Tenant; (j) missing or burned-out light bulbs and fluorescent tubes (at the same location and of the same type and quality that are in the Property on the Commencement Date); (k) packing, removing, and storing abandoned property; (l) removing abandoned or illegally parked vehicles; (m) costs of reletting (as defined in Paragraph 27), if Tenant is in default; (n) attorney s fees, costs of court, costs of service, and other reasonable costs incurred in any legal proceeding against Tenant; (o) mailing costs associated with sending notices to Tenant for any violations of this lease; and (p) any other unpaid charges or fees or other items for which Tenant is responsible under this lease. If deductions exceed the security deposit, Tenant will pay to Landlord the excess within 10 days after Landlord makes written demand 4. Quiet Enjoyment and Use of the Premises As long as the Tenant pays the rent and complies with the terms of this Lease, the Landlord agrees that the Tenant may peacefully and quietly hold the Premises for the agreed upon term of this Lease. The Tenant accepts the Premises AS IS, the Premises meets the Tenant s intended use, the Tenant has inspected the property and the Premises meets the Landlord s representations, if any concerning the Premises. a. The leased Premises shall be used exclusively as a single-family residence, and no other purpose. The Tenant shall comply with all laws, rules, regulations, ordinances including but not limited to sanitary laws and rules that may apply to the Premises. The Tenant shall not permit the leased Premises or any part of it to be used for: (i) a business, trade or profession, and the Tenant agrees not to place any signs Page 5 of 24

6 or other structures on the Premises without the prior written consent of the Landlord; (ii) the conduct of any offensive, noisy, or dangerous activity, including but not limited to those activities that would increase the premiums for fire insurance on the leased Premises or otherwise increase Landlord s costs. Furthermore the Tenant shall not store on the Premises any item of a dangerous, inflammable, or explosive character; (iii) the creation or maintenance of a public nuisance or anything that is against public regulations or rules of any public authority at any time applicable to the leased Premises; or (iv) any purpose or in any manner that will obstruct, interfere with, or infringe on the rights of owners of adjoining property. b. The Premises may be occupied only by the Tenant and the Tenant s children and the following named occupants: Any additional persons must be approved by the written consent of the Landlord. Any named occupants under the age of 18 shall, within 14 days of their 18 th birthday, notify Landlord so a background check may be conducted. Renters insurance (check applicable): [ ] Tenant currently carries renters insurance: Company Policy Number Expiration Date [ ] Tenant chooses not to carry renters insurance and has been advised of the consequences and personal liabilities -OR- [ ] Tenant does not have renters insurance at this time but will obtain it at Tenant s own cost and responsibility. Tenant hereby acknowledges that Landlord has permission to share Tenant s credit and rental history with all appropriate parties involved in the transaction. Tenant also has verified and provides the following information for the benefit of Landlord: c. NO PETS, ANIMALS, BIRDS, REPTILES, FISH, OR OTHER NONHUMAN LIFE FORMS ( PETS ) ARE ALLOWED ON THE PREMISES EXCEPT AS PROVIDED BELOW. The Tenant agrees that no pets of any kind shall be allowed on the Premises, even temporarily. Failure to comply with this provision is an event of default and the Landlord may terminate the Lease. Furthermore, the Tenant shall be liable for a per diem fee of $ per day that any pets or animals are on the Page 6 of 24

7 Premises. The Tenant shall pay a carpet and cleaning fee and shall also be liable for any damages that may be done to the property. Tenant shall be entitled to keep only pets which have been approved in advance by Landlord. The only pets which have been approved by Landlord are: However, at such time as Tenant shall actually keep any such animal on the Premises, pets shall not use any driveway, hardscape, deck, patio, or other person s property as a bathroom. If Tenant s pet(s) excretes on any nonpermitted arēa or location and Tenant fails to immediately clean up as necessary, a penalty of $50.00 shall be immediately due and payable by Tenant. All animal waste must be picked up from Premises weekly to avoid damage to lawn, spreading of diseases, and/or c r e a t i n g a n unsanitary home. Failure to do so will result in a penalty of $50.00 immediately due and payable by Tenant. Failure to pay will be considered a material breach of this Lease and Landlord may then elect to deny or further restrict Tenant s authority to maintain any pet on the Premises. Should Tenant choose to maintain a pet at the Premises, Tenant shall pay to Landlord a fee and/or deposit which shall total $ Of this amount $ shall be a refundable pet retainer fee used by Landlord for the purposes of additional cleaning efforts and costs expended by Landlord in allowing the pet(s) to reside at the Premises and the remaining $ shall be maintained as additional damage deposit, in the event petrelated damage has occurred or excessive cleaning is required. In such case, the remaining pet deposit and security deposit may be applied as allowed by applicable law. d. Delays in Occupancy: If the Tenant is not able to occupy the Premises on the commencement date stated above due to repairs or improvements to the Premises or due to a holdover from a prior tenant, then the commencement date for this Lease shall automatically be the date that the Tenant actually moves in. Rent will be prorated to reflect the actual move-in date. This provision shall not apply if the delay is caused by the Tenant. The Landlord shall not be liable to the Tenant for any delays in occupancy. In the event that the Landlord cannot deliver possession of the Premises to Tenant upon the commencement of the Lease term, through no fault of Landlord or its agents, Landlord and its agents shall have no liability under this Lease due to failure to deliver the Premises. In such event, Rent due shall be reduced on a prorated basis with Tenant responsible for payment of Rent beginning on the date the Premises are made available for delivery. Landlord or its agents shall have thirty (30) days in which to make Premises available for possession. At such time as Premises become available, Tenant agrees to accept the Premises and pay Rent as agreed upon in this Lease. In the event the Premises cannot be delivered within such time, through no fault of Landlord or its agents, then this Lease and all rights hereunder shall terminate immediately. Upon expiration of the 30-day period, if the Premises have not been delivered to Tenant, Landlord and Tenant agree to execute a written Lease Termination Agreement with a full refund of any Security Deposit or advance payments made by Tenant. Page 7 of 24

8 e. The Parties expressly agree that there are no warranties conveyed with this Lease and the Landlord has expressly disclaimed all implied warranties of merchantability, of fitness for a particular purpose, or of any other kind arising out of this Lease. Under no circumstances shall the Landlord be liable for consequential, special or punitive damages. f. No smoking shall be permitted on the Premises unless otherwise agreed to by the Parties in writing. Smoking inside the Preemies is prohibited and is considered to be a material breach of this Lease. Smoking shall only occur outside the dwelling in a designated area. All cigarette butts, ashes, or debris must be cleaned up immediately. Failure to abide by this policy shall result in a $200 fine imposed by the Landlord. g. Tenant must comply with any owners association rules or restrictive covenants affecting the Property. Tenant will reimburse Landlord for any fines or other charges assessed against Landlord for violations by Tenant of any owners association rule or restrictive covenant 5. Utility Charges The Tenant shall pay promptly as they become due all charges for the furnishing of cable, internet, telephone, water, electricity, garbage service, and other public utilities to the leased Premises during the term of this Lease. The Tenant shall be liable for all such expenses incurred by the Tenant even after the Lease is terminated; this provision shall survive after the Lease is terminated. If the Premises are located in a multi-unit residential building and the use of the utilities is measured by a meter, the following rules apply: If the Premises is single metered, the cost of utilities will be split equally among the number of units within the building. Tenant acknowledges having received a copy of the original utility bill from Landlord on a monthly basis. If Tenant fails to pay any utilities, Landlord reserves the right to pay said utilities, the cost of which will be deducted from the Security Deposit. All utilities must be switched into Tenant s name within 3 business days from the date Tenant occupies the Premises unless Landlord has greed in writing to maintain responsibility for utilities payments. Landlord reserves the right to charge an administrative fee equal to $ but not to exceed $ for switching utilities into Tenant s name to be charged to Tenant for failure to comply with this Section. 6. Indemnity Agreement The Tenant agrees to indemnify and hold the Landlord and the property of the Landlord, including the leased Premises, free and harmless from any claims or assertions of liability of every kind and nature for injury to or death of any person, including the Tenant, Occupant(s), and guests, employees, or agents of the Tenant, or for damage to property arising from the use and occupancy of the Premises or any building of which the Premises are a part, by the Tenant or from the act or omission of any person or persons, including the Tenant, Occupant(s), and guests, employees, or agents of the Tenant, in or about the leased Premises with the express or implied consent of the Tenant. Page 8 of 24

9 7. Alterations and Improvements The Tenant shall make no alterations to the buildings on the leased Premises nor construct any buildings or other improvements on the leased Premises without first having obtained the written consent of the Landlord. Any and all alterations, changes, and/or improvements built, constructed, or placed on the Premises by Tenant shall, unless otherwise provided by written agreement between Landlord and Tenant, be and become the property of Landlord and remain on the Premises at the expiration or earlier termination of this Lease. This includes, but is not limited to, the installation of any fixtures on the Premises, including but not limited to satellite and/or cable services, which require bolting, drilling and/or adhering equipment to the Premises or any part thereof. In the alternative, Landlord may choose to require Tenant to restore Premises to the condition they were in at time of Lease commencement, prior to Lease termination. 8. Destruction of Premises Should any buildings or improvements on the leased Premises be damaged or destroyed by fire, the elements, act of God, or other causes not the fault of the Tenant or any person in or about the leased Premises with the express or implied consent of the Tenant, they shall be repaired or replaced by the Landlord at the Landlord s own cost and expense, and the rent payable by the Tenant under this Lease shall be abated to the extent the damage or destruction renders the leased Premises uninhabitable by the Tenant. Provided, however, should the cost of repairing or restoring any buildings or improvements so damaged or destroyed exceed 25% of the replacement cost of all buildings and improvements now located on the leased Premises, the Landlord may, at the Landlord s option, either repair and restore the damaged buildings and improvements or cancel this Lease and return any unearned rent previously paid by the Tenant under this Lease. The Rent provided for herein shall be prorated, with Tenant responsible for the payment of Rent up to such time as the Premises are no longer habitable with no rent due until the Premises are made habitable again. Should the Premises be rendered uninhabitable on a permanent or long-term basis (30 days or more), Landlord shall have the option of either repairing the Premises or terminating this Lease. In the event that Landlord exercises its right to repair such uninhabitable portion, the Rent shall be pro-rated in the proportion to the remaining habitable portion of the Premises. Any damaged part of the Premises shall be restored by Landlord as reasonably practicable, after which Tenant shall be obligated to pay the entire amount of Rent under Section 2 of this Lease. 9. Condition of Premises The Tenant stipulates that the Tenant has examined the leased Premises as well as all buildings and improvements located on the Premises and they are all, at the date of this Lease, in good order, repair and a safe and clean condition. Furthermore, by signing this Lease, Tenant acknowledges and agrees to take the Premises AS IS unless otherwise noted in this Lease. Tenant also agrees that all drains, waste pipes and plumbing are accepted as clear at the time of occupancy and any material blocking them after occupancy shall be repaired to Landlord s Page 9 of 24

10 cost unless determined by repair person that such blockage occurred during the time Tenant controlled the Premises and due to some fault or negligence of Tenant, specifically excluding blockages caused by roots or backups from the street. 10. Maintenance and Repair of Premises The Tenant shall, at the Tenant s own cost and expense, maintain the leased Premises, make any needed repairs, maintain and repair the buildings and improvements on the leased Premises during the term of this Lease and keep the buildings and improvements in as good order, repair, and safe and clean condition as they were in at the date of this Lease, reasonable wear and tear excepted. Landlord shall maintain the Premises in a habitable condition at all times, subject to the following responsibilities of Tenant. Landlord shall keep the Premises in reasonable repair during the term of the Lease, except when disrepair is caused by the willful, malicious or irresponsible conduct of Tenant. Tenant shall: replace furnace and A/C filters on a semiannual or more regular basis (not applicable in multi-unit building where filters are not accessible by Tenant), clear clogged sinks and toilets clogged by fault or negligence of Tenant or Tenant s guests/invitees, and shall take appropriate measures to prevent and remedy pests caused by or contributed to by act or omission of Tenant. Without limiting the generality of the foregoing, Tenant shall: (a) Not obstruct the driveways, sidewalks, courts, entryways, stairs and/or halls, which shall be used for the purposes of ingress and egress only; (b) Keep all windows, glass, window coverings, doors, locks, and hardware in good, clean order and repair; (c) Not obstruct or cover the windows or doors other than with blinds or window treatments installed or approved by Landlord; (d) Not leave windows or doors in an open position during any inclement weather; (e) Not hang any laundry, clothing, sheets, etc. from any window, rail, porch, or balcony, nor air dry any of same within any yard area or space; (f) Not cause or permit any locks or hooks to be placed upon any door or window without the prior written consent of Landlord; (g) Keep all air conditioning filters clean and free from dirt (to the extent they are accessible by Tenant); (h) Keep all lavatories, sinks, toilets, disposals, pump systems, and all other water and plumbing apparatus in good order and repair and shall use same only for the purposes for which they were constructed. Tenant shall not allow any sweepings, rubbish, sand, rags, ashes, bones, grease, or other substances to be thrown or deposited therein. Any damage to any such apparatus and the cost of clearing stopped plumbing resulting from misuse shall be borne by Tenant; (i) Tenant, Occupants and guests/invitees of Tenant or Occupant shall at all times maintain order in the Premises and at all places on the Premises, and shall not make or permit any loud or improper nuisance, noises, or otherwise disturb other residents; (j) Keep all radios, television sets, stereos, etc., turned down to a level of sound that Page 10 of 24

11 does not unreasonably annoy or interfere with other residents or neighbors; (k) Deposit all trash, garbage, rubbish or refuse in the locations provided therefore and shall not allow any trash, garbage, rubbish or refuse to be deposited or permitted to stand on the exterior of any building or within the common elements (if applicable); (l) Abide by and be bound by the Governing Documents and/or any rules and regulations of any homeowners association affecting the Premises or the common area appurtenant thereto; (m) Be responsible for any damaged or broken glass due to Tenant or Occupant, or their licensees, invitees or guests, whether arising from willful or negligent conduct. Tenant shall not be responsible for any damaged or broken glass caused by Landlord, inclement weather or Acts of God; (n) Leaking pipes, unless caused by negligence of Tenant, are to be repaired by the Landlord within a reasonable time after notice, but the Landlord shall not be liable for any damages resulting from such leaks and/or overflows which are caused by Tenant s willful or negligent behavior. Alteration of plumbing, appliances or fixtures is strictly prohibited; (o) No signs, placards or advertising shall be placed on the Premises by Tenant or at Tenant s discretion without the prior written consent of the Landlord; (p) Light bulbs, batteries, and filters of any kind are Tenant s expense. (q) The Premises is accepted as insect, rodent, and pest free by the Tenant at the time of the occupancy. Tenant is responsible for insect, rodent, and pest control. If Tenant chooses not to correct such problems, as soon as known by or identified to Tenant, Landlord may pay for pest control or remediation, the cost of which may be assessed against Tenant; (r) No auto repairs lasting more than 2 hours may be performed on the Premises nor on any city street adjacent to the property (note that this may be further limited/restricted by any applicable association rules or covenants); (s) Tenant agrees not to park or store a motor home, recreational vehicle, or trailer of any type on the Premises without prior written consent of Landlord; (t) Tenant agrees to deice sidewalks and driveways as needed during winter months; (u) To the extent the Premises are not located in a community association which already provides maintenance services or Landlord performs maintenance on the Premises, Tenant may agree to perform maintenance services, such as lawn care or snow removal or any other agreed-upon services, on behalf of the Landlord as further described in Exhibit C to this Lease. Landlord and Tenant shall determine an agreeable compensation or rent credit based upon what services shall be performed by Tenant, which shall be as described on Exhibit C. Any agreed-upon maintenance services performed by the Tenant shall be limited to the services described on Exhibit C. Tenant shall not be obligated to perform any maintenance services beyond what is described in Exhibit C. If the city imposes any fines due to failure to maintain the Premises or similar violation, the fines shall be timely paid by Landlord. To the extent such fines arise due to Tenant s failure to perform (or failure to properly Page 11 of 24

12 perform) services as described in Exhibit C, Tenant shall be responsible for reimbursing Landlord in the amount of those fines attributable to Tenant s act or omission. 11. Extended Absences In the event Tenant will be away from the Premises for more than 8 consecutive days, Tenant agrees to notify Landlord in writing of such absence. During such absence and only with prior notice to Tenant, Landlord may enter the Premises at times reasonably necessary to maintain the Premises and inspect for damages and needed repairs. 12. Abandonment of Premises If at any time during the term of this Lease Tenant abandons the Premises or any part thereof, Landlord may, at Landlord's option, obtain possession of the Premises in the manner provided by law, and without becoming liable to Tenant for damages or for any payment of any kind whatsoever. Landlord may, at Landlord's discretion, as agent for Tenant, relet the Premises, or any part thereof, for the whole or any part of the then unexpired term, and may receive and collect all Rent payable by virtue of such reletting, and, at Landlord's option, hold Tenant liable for any difference between the Rent that would have been payable under this Lease during the balance of the unexpired term, if this Lease had continued in force, and the net Rent for such period realized by Landlord by means of such reletting. If Landlord's right of reentry is exercised following abandonment of the Premises by Tenant, then Landlord shall consider any personal property belonging to Tenant and left on the Premises to also have been abandoned, in which case Landlord may store and dispose of all such personal property subject to requirements imposed by Texas Law. 13. Improvements to Property of the Landlord All alterations, changes, and improvements built, constructed, or placed on the leased Premises by the Tenant, other than movable personal property, shall, unless otherwise provided by written agreement between the Landlord and the Tenant, be the property of the Landlord and remain on the leased Premises at the expiration or sooner termination of this Lease. Nothing contained in this paragraph, however, shall authorize the Tenant to make or place any such alterations, changes, or improvements on the leased Premises without having first obtained the written consent of the Landlord. Per the Texas Property Code, the Landlord has installed, at the Landlord s expense, smoke detectors and security devices such as window latches and dead bolts. The Tenant expressly waives the Landlord s duty to inspect and repair smoke detectors and security devices. 14. Assignment and Subletting The Tenant shall not assign this Lease or sublet the leased Premises or any interest in the Premises without first obtaining the written consent of the Landlord. A consent by the Landlord to one assignment or subletting shall not be deemed to be a consent to any subsequent assignment or subletting. An assignment or subletting without the written consent of the Landlord, or an assignment or subletting by operation of law, shall be void, and shall, Page 12 of 24

13 at the option of the Landlord, terminate this Lease. 15. Default by the Tenant Should the Tenant be in default for a period of more than five (5) days in the payment of any rent payable under this Lease or in the performance of any other provision of this Lease, the Landlord may terminate this Lease and regain possession of the leased Premises in the manner provided by the laws of the State of Texas in effect at the date of the default, or Landlord may declare the entire balance of rent payable hereunder to be immediately due and payable exercising any and all rights and remedies available to Landlord at law or in equity. If the Landlord allows the Tenant to cure the default, the Landlord s action shall not be deemed to waive any term of this Lease or any of the Landlord s rights hereunder. The Parties agree that the Landlord does not have a duty to mitigate its damages unless the same is required at law. The Tenant shall pay any and all costs and expenses, including court costs and reasonable attorney s fees that the Landlord may incur if the Tenant breaches this Lease or a lawsuit or arbitration is required to enforce or interpret this Lease. 16. Texas Property Code Applicability and Notices This Lease is subject to chapter 92 of the Texas Property Code; each Party hereto acknowledges that the code affords to the Parties certain rights and imposes certain duties on each Party to this Lease. THE LANDLORD S LIEN AND ENFORCEMENT OF THE LANDLORD S LIEN BY SEIZURE: THE TENANT GRANTS THE LANDLORD A SECURITY INTEREST AND A LANDLORD S LIEN ON ANY AND ALL OF THE TENANT S NONEXEMPT PROPERTY THAT IS LOCATED IN THE PREMISES IN ORDER TO SECURE THE LANDLORD FOR ANY AND ALL UNPAID RENT OR OTHER MONEYS THAT MAY BE OWED TO THE LANDLORD. THE LANDLORD SHALL HAVE THE RIGHT TO SEIZE THE TENANT S NONEXEMPT PERSONAL PROPERTY TO SECURE THE PAYMENT OF ALL MONEYS OWED TO THE LANDLORD UNDER THIS LEASE, IN THE MANNER PROVIDED BY LAW. IF THE LANDLORD SEIZES THE TENANT S PROPERTY, THEN THE LANDLORD WILL NOTIFY THE TENANT OF THE SEIZURE. THE TENANT MAY REGAIN THE PROPERTY, PER SECTION OF THE TEXAS PROPERTY CODE. THE LANDLORD SHALL BE REIMBURSED FOR ANY AND ALL COSTS OR EXPENSES THAT THE LANDLORD MAY INCUR FOR PACKING, REMOVING OR STORING THE TENANT S PROPERTY THAT HAS BEEN SEIZED. IF THE TENANT S PROPERTY IS SOLD, THE LANDLORD MAY CHARGE THE TENANT FOR ANY AND ALL EXPENSES THAT THE LANDLORD INCURRED FOR SELLING THE TENANT S PROPERTY. IF THE TENANT HAS NOT PAID ALL OF THE DELINQUENT RENT WITHIN THREE Page 13 of 24

14 (3) DAYS OF RECEIVING THE NOTICE REQUIRED UNDER SECTION OF THE TEXAS PROPERTY CODE, THEN THE LANDLORD MAY GIVE THE TENANT NOTICE OF INTENT TO SELL THE TENANT S PROPERTY IN ACCORDANCE WITH SECTION OF THE TEXAS PROPERTY CODE. IF THE TENANT FAILS TO REDEEM [HIS/HER] PROPERTY PRIOR TO THE SALE THEN THE LANDLORD MAY SELL THE TENANT S PROPERTY AT A PUBLIC OR PRIVATE SALE. AFTER THE SALE, THE LANDLORD SHALL BE REIMBURSED FOR ANY AND ALL COSTS OR EXPENSES THAT THE LANDLORD MAY INCUR FOR PACKING, REMOVING, STORING OR SELLING THE TENANT S PROPERTY THAT HAS BEEN SEIZED. THE LANDLORD SHALL ACCOUNT FOR THE SALE PROCEEDS AS REQUIRED BY LAW. ALL REMAINING PROCEEDS, AFTER THE DEDUCTION OF MONEYS OWED TO THE LANDLORD, INCLUDING COSTS AND EXPENSES, THE REMAINING PROCEEDS, IF ANY, FROM THE SALE SHALL THEN BE PAID TO THE TENANT. 17. Reletting by the Landlord Should the Tenant abandon or vacate the leased Premises contrary to the terms of this Lease, the leased Premises may be relet for the account of the Tenant by the Landlord for such rent and on such terms as are reasonably obtainable. If a sufficient sum shall not be realized by the Landlord from such reletting, after deducting the cost and expense to the Landlord of such reletting, to satisfy the rent reserved in this Lease, the Tenant agrees to satisfy and pay to the Landlord any deficiency in the monthly rent reserved in this Lease on the tenth (10th) day of any month in which such a deficiency is determined by the Landlord to exist. Prior to the expiration of this Lease, the Landlord or any agent of the Landlord may display signs to rent or sell the Premises. Furthermore the Landlord or any agent may show the property to prospective Tenants or purchasers. 18. Subordination of the Lease This Lease and the Tenant s leasehold interest under this Lease, and any extensions, renewals, or modifications of this Lease, are and shall be subject, subordinate, and inferior to any lien or encumbrance now or hereafter placed on the leased Premises by the Landlord, to all advances made under any such lien or encumbrance, to the interest payable on any such lien or encumbrance, and to any and all renewals and extensions of such liens or encumbrances. 19. Right of Inspection The Landlord and the Landlord s agents have the right at all reasonable times during the term of this Lease to enter the leased Premises for the purpose of inspecting them and all buildings and improvements on the Premises, and for making any repairs, additions, showings, or alterations as may be deemed appropriate by Landlord for the preservation or sale of the Premises or the building. Landlord shall make reasonable efforts to notify Tenant of any inspection of Premises prior to entry, which shall usually occur 24 hours in advance of such entry, unless in emergency or other particularly time-sensitive circumstances. Landlord and its agents shall further have Page 14 of 24

15 the right to show the Premises to any future tenants or prospective purchasers, upon advance notice to Tenant, and to display "For Sale," "For Rent," or "Vacancy" signs on the Premises as applicable. Tenant agrees to cooperate with any leasing efforts by Landlord or its agents during the final 60 days of the term of this Lease 20. Holdover by the Tenant Should the Tenant remain in possession of the leased Premises with the consent of the Landlord after the expiration of this Lease, a new tenancy from month to month shall be created between the Landlord and the Tenant which shall be subject to all the terms and conditions of this Lease but which shall be terminable by thirty (30) days written notice served by either the Landlord or the Tenant on the other Party to this Lease. Should the Tenant remain in possession of the leased Premises without the consent of the Landlord after the expiration of this Lease, then the Tenant shall pay monthly rent in the amount of $ for each month after the expiration of this Lease that the Tenant remain in possession of the Premises. This provision shall not be used to extend the Lease or allow the Tenant to remain in the property past the expiration date of the Lease. 21. Notices Any and all notices or other communications required or permitted by this Lease to be served on or given to either Party to this Lease by the other Party shall be in writing and shall be deemed duly served and given when personally delivered to the Party to whom they are directed, or in lieu of such personal service, when deposited in the United States mail, postage prepaid, addressed to the Tenant at the address of the leased Premises or to the Landlord at the address stated in this Lease. Either Party may change the address for the purpose of this paragraph by giving written notice of such change to the other Party in the manner provided for in this paragraph. a. Per Section of the Texas Property Code, the Tenant designates the following person for the Landlord to contact in the event of the Tenant s death, concerning this Lease and the Tenant s property contained in the leased Premises: Name of Contact Person Address of Contact Person Telephone Number of Contact Person b. The Landlord is authorized to do the following in the event of the Tenant s death, absence, or abandonment: (1) Allow the above-listed person access to the Premises upon the Tenant s absence, abandonment or death. The Landlord or a representative of the Landlord shall be present. Access shall be during the Landlord s regular business hours. (2) The above person may remove the Tenant s property that is located at the leased Premises. Page 15 of 24

16 (3) Refund any moneys owed to the Tenant after the deduction of any lawful deductions that the Landlord is entitled to. 22. Location for Rent Payment Unless changed by written notice pursuant to the provisions in paragraph 21 above, all rent payable under this Lease shall be paid to the Landlord at the above-specified address. 23. Attorney s Fees Should any litigation be commenced between the Parties concerning the leased Premises, this Lease, or the rights and duties of either Party in relation to the Lease or the Premises, the Party prevailing in the litigation shall be entitled, in addition to such other relief as may be granted, to a reasonable sum for attorney s fees in the litigation. 24. General and Administrative Provisions a. Acceptance: This Lease is not binding until it is executed by all Parties to this Lease. b. Amendment or Modification: This Lease represents the entire agreement by and between the Parties except as otherwise provided in this Lease. It may not be changed, altered, modified or amended except by written agreement duly executed by all of the Parties hereto. c. Paragraph Headings, Use of Pronouns, and Captions: The captions, numbering sequences, titles, paragraph headings, punctuation, and organization used in this Lease are for convenience only and shall in no way define, limit or describe the scope or intent of this Lease or any part of it. The paragraph headings used in this Lease are descriptive only and shall have no legal force or effect whatsoever other than to aid a reasonable interpretation of the Lease. The titles to each of the various articles and paragraphs are included for convenience or reference only and shall have no effect on or be deemed as part of the text of this Lease. Use of the neuter or the singular to refer to the Parties described in this Lease shall be deemed a proper reference whether a Party is an individual, partnership, limited liability company, corporation, association, trust, a group of two or more individuals, partnerships, limited liability companies or corporations, or a joint venture. Any grammatical changes required to make the provisions of this Lease applicable to corporations, limited liability companies, associations, partnerships, trusts, individuals, or groups of individuals, and changes required to make the provisions apply to females as well as males shall, in all instances be assumed as though each case were fully expressed. The Lease may contain the wording he or she or his or her. The use of such expressions shall allow the Lease to apply to the masculine or feminine gender as the individual circumstances may require. If any word, phrase, clause, or paragraph, or other provision of this Lease is adjudicated or otherwise found to be against public policy, void, or unenforceable, then those words or provisions shall be deleted or modified in keeping with the express intent of the Parties as necessary to render this Lease valid and enforceable. All such deletions or modifications shall be the minimum required to effect the foregoing and the intent of the Parties to this Lease. Page 16 of 24

17 d. Understanding and Fair Construction: By execution of this Lease, the Parties acknowledge that they have read and understood each provision, term and obligation contained in this Lease. This Lease, although drawn by one Party, shall be construed fairly and reasonably and not more strictly against the drafting Party than the nondrafting Party. e. Further Assurances: Each Party further agrees that it shall take any and all necessary steps and sign and execute any and all necessary documents or agreements required to implement the terms of the agreement of the Parties contained in this contract, and each Party agrees to refrain from taking any action, either expressly or impliedly, which would have the effect of prohibiting or hindering the performance of the other Party to this Lease. f. No Waiver: The failure or delay of either Party in the enforcement of the rights detailed in this Lease shall not constitute a waiver of the rights nor shall it be considered as a basis for estoppel either at equity or at law. That Party may exercise its rights under this Lease despite any delay or failure to enforce those rights at the time the cause of action or right or obligation arose. g. Parol Evidence, Status of Lease and Prior Understandings: This Lease and the exhibits attached hereto and incorporated herein, if any, contain the entire Lease of the Parties and there are no representations, inducements, promises, agreements, arrangements or undertakings, oral or written, between the Parties to this Lease other than those set forth herein and duly executed in writing. No agreement of any kind shall be binding upon either Party unless and until the same has been made in writing and duly executed by both Parties. Upon execution of this Lease by all Parties, all previous agreements, contracts, oral understandings, representations, arrangements, or undertakings of any kind relative to the matters contained in this Lease are hereby superseded and canceled and all claims and demands not contained in this Lease are deemed fully completed and satisfied. h. Parties Bound Clause: This Lease shall be binding upon and inure to the benefit of the Parties, their respective heirs, executors, administrators, legal representatives, successors and assigns. The Parties to this Lease expressly agree that in the event a Party seeks to or does transfer part or all of its assets to a separate entity, not a party to this Lease, the Party shall be liable under this Lease as if the transfer had not occurred. i. Severability: If any provision of this Lease is for any reason held violative of any applicable law, governmental rule or regulation, or if the provision is held to be unenforceable or unconscionable, then the invalidity of that specific provision shall not be held to invalidate the remaining provisions of this Lease. All other provisions and the entirety of this Lease shall remain in full force and effect unless the removal of the invalid provision destroys the legitimate purposes of this Lease, in which event this Lease shall be canceled and terminated. j. State Law and Venue: This Lease shall be subject to and governed under the laws of the State of Texas. Any and all obligations and payments are due and performable and payable in Harris County Texas. The Parties agree that venue for purposes of any and all lawsuits, causes of action, arbitrations, or other disputes shall be in Harris County Texas. Page 17 of 24

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