2016-007 - Municipal Lease Agreement with Liberty National Bank for fire truck

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RENT. (a) The rent for each item of Equipment shall be that amount designated in the applicable Schedule and shall be payable to Lessor in advance in amounts and atthe time and place as set forth in the Schedule, or to such other person, or at such other place as Lessor may from time totimedesignate in writing. (b) Lessor and Lessee understand that and intend that the obligation of the Lessee to pay rent hereunder shall constitute a current expense of Lessee and shall not in any way be construed to be a debt of Lessee in contravention of any applicable constitutional or statutory limitations or requirements concerning the creation of indebtedness by Lessee, nor shall anything contained herein constitute a pledge of the general tax revenues, funds or monies of Lessee. (c) Lessee shall pay rent, exclusively from legally available funds, in lawful money of the United States of America to Lessor, or in the event of assignment by Lessor, to its assignee, in the amounts and on the dates set forth in the Schedule hereto. The payment of rent shall be in consideration for Lessee's use of the Equipment during the applicable year in which such payments are due. (d) A portion of each payment of rent is paid as, and represents payment of, interest, and the balance of each payment of rent is paid as, and represents payment of, principal. The applicable Schedule for each item of Equipment sets forth the interest component and principal component of each payment of rent during the Lease Term. (e) Lessee shall have the right to prepay, in part or in whole, the rent due under the Lease, on any date hereafter at a price equal to the principal component hereof outstanding as of such date, plus accrued interest to the date fixed for prepayment, without penalty or premium. 4. NET LEASE; OBLIGATION TO PAY RENT UNCONDITIONAL This is a net lease. All rent and other sums payable by Lessee shall be paid promptly when due without notice or demand of any character. Except as provided in Section 2(c) hereof, Lessee's obligation for the payment of rent hereunder is and shall be absolute and unconditional and shall not be subject to any reduction, offset, counter - claim, abatement, suspension, deferment or diminution for any reason whatsoever, including without limitation any destruction or damage to the Equipment any limitation of or interference with the use or possession of the Equipment or any component thereof (including any such limitation or interference arising out of any defect in Lessor's title to the Equipment), condemnation or requisition of the Equipment or any component thereof, or any other occurrence or circumstance (whether similar or dissimilar to those enumerated) which prevents the Lessee from using, possessing or enjoying the Equipment, any breach by Lessor of the terms and conditions of the Lease shall not abate, alter, suspend, or modify Lessees' independent duty to pay rent and other charges. Lesseewaives (a) any and all existing and future claims and offsets against rent or other payments due to Lessor under this Lease, (b) all rights now or hereafter conferred by statute or otherwise to terminate or surrender this Lease or the Equipment or any component of the Equipment, and (c) any abatement, suspension, deferment, diminution or reduction of any rent or other sums payable hereunder on account of any such occurrence. 5. LESSEES' INSPECTION: CONCLUSIVE PRESUMPTIONS. Lessee shall inspect each item of Equipment within three (3) business days after receipt thereof. Unless Lessee within such period of time gives written notice to Lessor specifying any defect in or other proper objection to the Equipment, Lessee agrees that it shall be conclusively presumed, as between Lessor and Lessee, that (a) Lessee has received and has fully inspected the Equipment, (b) Lessee has acknowledged that the Equipment is in good condition and repair, and (c) Lessee is satisfied with and has accepted the Equipment in such good condition and repair and as satisfactory in all respects for the purposes of this Lease.