Is this a fair deal for both parties? Wherein the FIRST PARTY stated is the one owning the vehicle and the second party is the renting firm.

1.Rental Agreement – These terms and conditions for a Fleet Operating Lease (FOL) already embodies all terms and conditions.
2.Vehicle – The vehicle that is subject to this agreement is detailed as;
Year/Make/Model :
Motor Number :
Chassis Number :
Plate Number :
Color :
Fuel Type :
3.Insurance – The Personal Accident Insurance is included up to PHP _______ per person, per occurrence for _______ persons including one (1) unnamed driver. The Personal Injury and Property Damage are covered with the Compulsory Third Party Liability (CTPL) Insurance. At the option of the FIRST PARTY, this coverage maybe increased by paying additional fee. However in case of accident the SECOND PARTY shall be solely responsible in settling claims.
4.Vehicle Registration – The SECOND PARTY is responsible for ensuring that the vehicle is registered for road use under the laws of the Philippines.
5.Repair and Maintenance – The SECOND PARTY is solely responsible for the repair and maintenance of the service vehicle and complete check up which shall be performed every 5,000 kilometres’ or every three months whichever comes first. In an unlikely event of damage, a suitable replacement vehicle shall be provided by the SECOND PARTY.
6.Replacement Unit – In case of mechanical problems and repairs, the SECOND PARTY undertakes to provide the FIRST PARTY with an alternative car but not necessarily of the same make or model. Replacement unit/s due to traffic violations will not be subject to an additional rental.
7.Lease Charge – The monthly lease rate inclusive of diver is NINETEEN THOUSAND PESOS (PhP 19,000).
8.Billing – The SECOND PARTY will provide the FIRST PARTY with detailed invoice every 15 days of lease with supporting documents (driver’s trip report, vehicle trip tickets and overtime slip duly signed by concerned Account Manager/s.
9.Contract Extension – Upon the expiry date of the initial contract both parties may agree to the term of this contract or either parties notifies the other in writing fifteen (15) days before the required termination date subject to the same terms and conditions as at the expiry.
10.Early Termination – In the event that the FIRST PARTY wishes to return the vehicle prior to the agreed termination date, the FIRST PARTY shall advise the SECOND PARTY fifteen (15) days prior to termination date.
11.Fuel – The vehicle is supplied with full tank of gasoline and is refilled at the FIRST PARTY ‘S expense upon return or else it will be charged to the FIRST PARTY based on the fuel gauge reading during vehicle pull-out.
12.Vehicle and Driver’s Fee – The monthly Driver’s fee is already included in the monthly lease rate of Nineteen Thousand Pesos (P 19,000).The overtime rate of extra day in excess of twenty two (22) days per month is Eight Hundred Sixty Pesos (P860.00). The overtime rate of extra hour in excess of nine (9) hours is Ninety Five Pesos (95).Eight Hundred Sixty Pesos (P 860.00) per day will be deducted from the monthly lease rate on days that the vehicle / driver failed to report for tripping, or when the account manager advised of no tripping one day prior.
13.Both parties acknowledge that the SECOND PARTY’S billing will be subject to the withholding tax requirement per applicable laws, rules and regulations, withholding shall be effected and remitted directly by the FIRST PARTY to the BIR.
14.Period of Lease – The effectivity of this contract is from APRIL ____, 2009 to APRIL _____, 2010.
15.This agreement embodies the entire agreement of the parties on the matter, and supersedes all previous communications or representations whether oral or written between the parties.
16.The SECOND PARTY shall be accountable and responsible for the acts or omissions of all the accounting staff deployed with the FIRST PARTY. Accordingly, the SECOND PARTY shall hold the FIRST PARTY’S free harmless from any and all claims or liability in connection such acts or omissions and shall fully indemnify the FIRST PARTY for such claims or liability. In no event shall the SECOND PARTY’S liability exceed the fees it receives under this Agreement. The firm and its personnel shall not be held liable due to its reliance to information or data provided by the FIRST PARTY.

17.The SECOND PARTY shall be fully responsible for any damages or loss incurred on the vehicle.

18.Both parties shall be liable for any delays or failures to perform due to causes beyond its control.

19.Both parties agree that overtime works by the SECOND PARTY shall be allowed as per the request of the FIRST PARTY.

20.This arrangement contract sets forth the complete agreement between the parties and super cedes all previous discussions and communications relating to the subject matter of this arrangement.

21.This arrangement may be supplemented or amended provided that the same is made in writing by the parties’ authorized signatories.