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THE REPUBLIC OF UGANDA

IN THE MATTER OF A CONSENT AGREEMENT

BETWEEN
STARMARK INVESTMENTS LTD
AND
PERNIX CONSULTING LTD

This lease agreement is made on this ..… day of ………..…… 2018

BETWEEN
STARMARK INVESTMENTS LIMITED (a Private Limited Company) which includes its
personal representatives, devises, legatees, heirs, successors, and assignee, whose principal
place of business is situated at Plot 128 Old Kira Road Bukoto Kampala, Uganda and of P.O
Box 75080 Kampala- Uganda (hereinafter referred to as the “The client”)

AND

PERNIX CONSULTING LTD which includes its personal representatives, devisees, legatees,
heirs, Successors, and assignee, whose principal place of Business is situated at Kisaasi,
Kampala and of P.O.Box 11609 Kampala, Uganda referred to as ‘FIRST PARTY’ &
‘SECOND PARTY’ respectively hence and jointly both shall be referred to as “parties” and
each of them as a “party” in this lease Agreement.

AND
Both parties have agreed to enter into this lease agreement to reflect their mutual intention to
cooperate, coordinate and achieve their mutual objectives and to ensure the efficient and
viable implementation of the specified support activities which are also consistent with their
mutual objectives. The terms and conditions herein appearing shall govern the roles,
responsibilities, duties and obligations of the respective parties under this lease Agreement.
WHEREAS
STARMARK INVESTMENTS LIMITED is Licensed to carry out CONSTRUCTION
WORKS in roads, buildings, dams, bridges, etc. and is desirous of leasing construction plant
and equipment including Mount Field Lawn Mower (5 NO.), Floor Cleaning Machines
(10No.), Carpet Extractors (5No.), Vacuum Cleaners (6No.) and any other Machines from
PERNIX CONSULTING LTD for a period of Four (4) years from the date of signing of this
lease Agreement (hereinafter referred to as the Total Hire/Lease Period for use of the
construction plant equipment by the second party

AND
PERNIX CONSULTING LTD has agreed to hire/lease to STARMARK INVESTMENTS
LIMITED all the above listed construction plant and equipment and STARMARK
INVESTMENTS LIMITED shall pay “the Charge” for the same Construction plant and
Equipment to PERNIX CONSULTING LTD

NOW WHEREFORE, THIS HIRE/LEASE AGREEMENT WITNESSETH AS FOLLOWS

1. INTERPRETATION
In the interpretation of this lease Agreement, the following words and expressions shall have
the meanings hereby assigned to them:
 “The Charge”- Means the fees as stated on the “Lease Agreement” as being payable by
STARMARK INVESTMENTS LIMITED to PERNIX CONSULTING LTD for the hire
of the said plant and Equipment per day/Month in accordance with PERNIX
CONSULTING LTD’’s current fee structure, as amended from time, excluding costs of
carriage, insurance and tax borne by STARMARK INVESTMENTS LIMITED
 “The Client”
Means STARMARK INVESTMENTS LIMITED which agrees or has agreed to
lease the said plant and Equipment or whose order for the said Equipment is
accepted by PERNIX CONSULTING LTD.
 “The Company”
Means PERNIX CONSULTING LTD
 “The Conditions”
Means the standard terms and conditions of hire set out in this document and
includes any special terms and conditions agreed in writing between PERNIX
CONSULTING LTD and STARMARK INVESTMENTS LIMITED
 The Goods”
Means the plant Mount Field Lawn Mower (5 NO.), Floor Cleaning Machines (10No.),
Carpet Extractors (5No.), Vacuum Cleaners (6No.). However the optional cost of the said
plant and equipment i.e. Oils, fuels (Petrol and Diesel), Electrical power, transport costs,
operators allowances shall be borne by STARMARK INVESTMENTS LIMITED

 The Lease Agreement”


Means the written consent in the prescribed form placed by the PARTIES herein
mentioned for the provision of the said plant and Equipment by PERNIX CONSULTING
LTD to STARMARK INVESTMENTS LIMITED

 “The lease offer”


Means the leasing period in which the plant and Equipment remains in possession of
STARMARK INVESTMENTS LIMITED in accordance with the lease Agreement.

2. TERM AND PERIOD/DURATION OF THE LEASE AGREEMENT


This lease Agreement shall come into force and effect from the date it is signed by both
parties and shall continue unless otherwise sooner terminated by either party in accordance
with clause No.12 of this lease Agreement for a period of 4 (four) years (Hereinafter referred
to as the “lease period”) and shall be subject to renewal at the end of each One (1) year on
terms agreeable to the “PARTIES”. This lease is not a contract but a common understanding
and agreement between the FIRST & ‘SECOND PARTY’

3. OBJECTIVE
At the end of the term of this lease Agreement and during its operation, both parties which
have agreed to enter into this lease Agreement are to reflect their mutual intention to
cooperate, coordinate and achieve their mutual objectives and to ensure the efficient and
viable implementation of the specified support activities that is consistent with their mutual
objective that the first party shall have leased the second party’s construction plant Equipment
and the first party shall have used and paid to the second party all the plant and Equipment
rental money which shall govern the roles, responsibilities, duties and obligations of the
respective parties under this MOU.
4. PAYMENT OF THE CHARGE.
The charge for each plant or equipment per Day/Week/Mont shall be paid by
STARMARK INVESTMENTS LTD as per the rates tabulated below and as per a period
as the “PARTIES” shall agree and these rates are subject to changes as the prevailing
market prices shall be as the date and location of the works to be executed and as the
“PARTIES” shall agree. The Charge shall be effective for only the time/ period for which
they are practically and effectively used on site.

no Description Rate/Day (Ugx) Rate per Week Ugx


1 Field Lawnmower 100,000 700,000
2 Floor Cleaning Machines 100,000 700,000
3 Vacuum Cleaners 100,000 700,000
4 Carpet Extractors 100,000 700,000

5. USE OF THE PLANT AND EQUIPMENT.


The plant and equipment shall be under the control of PERNIX CONSULTING LTD at all
times from delivery until redelivery, and PERNIX CONSULTING LTD shall ensure that the
plant and equipment are used safely in accordance with any instructions provided and without
risk to health and safety, and are also used by competent and duly licensed operators as the
case may be, and are not used for any other purpose for which they are not designed for or
reasonably suited.

6. DEFECTIVE PLANT AND EQUIPMENT


STARMARK INVESTMENTS LIMITED shall report any defects or malfunction in any
plant and equipment within 12 hours of it having a major breakdown and shall, if so required
by PERNIX CONSULTING LTD, allow PERNIX CONSULTING LTD’s technical team
inspection of all the said equipment. PERNIX CONSULTING LTD agrees in its absolute
discretion that the equipment is not functioning properly, reasonable time should be allowed
for repair or service of not more than Twelve (12) Days

7. INDEMNITY.
STAR MARK INVESTEMNTS LTD shall be responsible for and shall indemnify PERNIX
CONSULTING LTD against all losses or damages caused to or by the plant and equipment
from whatever cause arising during the production and operational works at the site of works
as stated earlier.
7. PERNIX CONSULTING LTD shall keep the plant and equipment insured against loss,
damages, and public liability and third party risks during haulage and operations

9. MAINTANANCE AND OPERTIONAL COST


PERNIX CONSULTING LTD will maintain and operate the said plant and equipment at its
own expense using its specialized and skilled manpower with prior notice to STARMARK
INVESTMENTS LIMITED

10. REPAIR
PERNIX CONSULTING LTD shall ensure that the plant and equipment is in good working
condition

1. Names: ………………………………………………………………………………

Signature: …………………………………………………………………………….

Date:…………………………………………………………………………………

PERNIX CONSULTING LIMITED

2. Names: ………………………………………………………………………………

Signature: ………………………………………………………………………….

Date: …………………………………………………………………………………

STARMARK INVESTMENTS LIMITED

In the presence of:

3. Names: ………………………………………………………………………………

Signature: ………………………………………………………………………….

Date: …………………………………………………………………………………

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