Equipment lease agreement template

This Equipment Lease Agreement (the "Lease") is made on Lease date between Lessor business name (the "Lessor") and Lessee name or business (the "Lessee").

1. The equipment

The Lessor leases to the Lessee the following equipment, with its attachments, manuals and accessories: Equipment description (make, model and type), serial or unit number Serial or unit number, with an hour-meter or odometer reading of Starting hours or mileage at delivery (the "Equipment"). The Equipment's replacement value is Replacement value.

2. Term and rent

The Lease runs from Start date to Return date. Rent is Rent amount per Rent period (day, week or month), based on up to Included use per period of use per period, with extra use charged at Overage rate. Rent is due When rent is due. Equipment kept past the return date without written approval is charged at the same rate until it's returned.

3. Deposit, delivery and pickup

The Lessee pays a security deposit of Security deposit before delivery, which the Lessor returns within Days to return deposit days after the Equipment comes back, less amounts owed under this Lease. Delivery and pickup: Delivery and pickup terms. The Equipment will be kept at Job site or location of use and won't be moved elsewhere without the Lessor's consent.

4. Condition and inspection

The Lessee will inspect the Equipment at delivery and report any defect within 24 hours; otherwise, it is taken to have been delivered in good working order. The Lessor may inspect the Equipment at reasonable times during the Lease.

5. Use and operators

• The Equipment is used only for its intended purpose, within the manufacturer's limits, and in compliance with safety laws.
• Only the Lessee's trained and, where required, licensed or certified employees operate it. The Lessee is responsible for site safety, utility locates and traffic control.
• No subleasing, lending or use by anyone else without the Lessor's written consent.
• No alterations, and no removing or covering the Lessor's labels or tracking devices.

6. Maintenance and repairs

The Lessee does daily checks and routine care as the manual describes, including fluids, greasing and keeping it clean, and supplies fuel. The Lessor handles scheduled service and repairs from normal wear. The Lessee will stop using the Equipment and tell the Lessor promptly if it malfunctions, and won't arrange repairs without approval. If the Equipment breaks down through no fault of the Lessee, rent stops until the Lessor repairs or replaces it.

7. Loss, damage and insurance

From delivery to return, the Lessee bears the risk of loss, theft and damage to the Equipment, other than normal wear and tear, and pays for repairs at reasonable rates or, if it's lost or beyond repair, its replacement value. The Lessee will carry property insurance on the Equipment naming the Lessor as loss payee, and liability insurance of at least Minimum liability coverage naming the Lessor as additional insured, and will give certificates before delivery. Damage waiver offered by the Lessor, if accepted: Damage waiver terms.

8. Return

On the return date, the Lessee returns the Equipment in the condition it was delivered, apart from normal wear, clean and refueled to the delivered level. Cleaning and refueling the Lessor has to do are charged at Cleaning and fuel charges.

9. Ownership

The Lessor owns the Equipment at all times. This is a lease, not a sale, and the Lessee gains no ownership or option to buy unless one is written here: Purchase option. The Lessee will keep the Equipment free of liens and claims and won't let it become a fixture on any property.

10. Warranty and liability

Apart from the Lessor's promise that the Equipment will be in good working order at delivery, the Equipment is leased as is, and the Lessor makes no other warranty, including of fitness for a particular purpose, to the extent the law allows. Neither party is liable to the other for lost profits or other indirect damages. The Lessee will indemnify the Lessor against claims for injury or damage arising from the Equipment's use during the Lease, except those caused by the Lessor's negligence or a defect the Lessor knew about.

11. Default

If the Lessee fails to pay within Days to cure late payment days after written notice or breaks another term of this Lease, the Lessor may end the Lease and recover the Equipment, peacefully and as the law allows, plus rent and charges owed.

12. General

This Lease is governed by the laws of the state of State, is the whole agreement about the Equipment, and can be changed only in writing signed by both parties. Electronic signatures count as original signatures.

Lessee contact details

Contact name: Lessee contact name Phone: Lessee phone Email: Lessee email

I have read this Lease, including the Lessee's responsibility for loss and damage and the insurance terms in section 7.