January 8, 2021

ALGON ENGINEERING & CONSTRUCTION CORP.

159, J.P. Cabaguio Avenue
Davao City, Philippines

RE: FINAL NOTICE AND DEMAND FOR THE RESTORATION OF THE LEASED PREMISES
IN ITS ORIGINAL CONDITION

SIR/MA’AM:

This is in reference to your obligation to my clients, Alma May Llorca and Vilma A. Gawilan, the
authorized representatives of Federation of Matisalog-Manobo Tribal Councils, Inc. (FEMMATRICS) for
the repair and restoration of the leased premises that you have rented in Purok 5, Sinuda, Kitaotao,
Bukidnon which has an estimated repair cost of NINE HUNDRED EIGHTY THREE THOUSAND
PESOS (PHP 983,000.00).

Be it noted that pursuant to our law the lessee is responsible for the deterioration of the thing leased,
hence, any damage and deterioration caused to the thing leased shall be borne by the lessee, in this case,
Algon Engineering & Construction Corporation. Since your contract of lease has already expired, my
clients are formally demanding the repair of the thing leased.

We have demanded you of your responsibility since November 28, 2020, but despite repeated demands,
you failed and continuously fails to pay the afore-mentioned amount.

Accordingly, FINAL DEMAND is hereby made for you to settle the total amount due within five (5)
days from the receipt of this letter. If payment shall not be made within the period provided, we will seek
appropriate relief before a court of proper jurisdiction for full payment of the obligation plus costs,
damages, and witness fees. If you do not believe you are liable for these amounts, you will have a right to
present your defense in court.

We will trust that you will give this matter your prompt and preferential attention to avoid the expense
and inconvenience of litigation.

ATTY. CHRISTINE G. ANGIT

Legal Counsel