04-007, Sims House Lease Agreement
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LEASE AGREEMENT
This Lease Agreement ("Lease") is entered into as of the pI day of February, 2004, by and
between CITY OF CUPERTINO ("Landlord") and IMTIAZ SHAIKH and HUMA SHAIKH
("Tenant").
WHEREAS, Landlord is the owner of certain real property commonly described as
being located at 22241 McClellan Road in the City of Cupertino, County of Santa Clara,
California (commonly known as the Simm's House), and
WHEREAS, Tenant desires to lease from Landlord the house and lot thereon.
NOW THEREFORE, in consideration of the promises and covenants contained herein
and for other good and valuable consideration, the parties hereby agree as follows:
1. LEASE OF PREMISES.
Landlord leases to Tenant and Tenant leases from Landlord the Leased Premises consisting of
approximately 2,500 square feet of interior space along with the parcel the home is located
thereon subject to the terms and conditions contained in this Lease.
2. TERM.
The term of this Lease shall be for a period of two (2) years commencing on February 1, 2004
("Commencement Date") and ending January 31, 2006.
3. RENT.
Tenant agrees to pay Landlord as rent for the Premises commencing upon the Commencement
Date in lawful money of the United States payable on or before the first (1 st) day of each
calendar month in the sum $2,200.00 to the Landlord at the following address:
City of Cupertino
Attn: Director of General Services
10300 Torre Avenue
Cupertino, CA 95014
3.1 Late Charges.
Any installment of rent or any other sum due by Tenant and not received by Landlord within
five (5) days after such amount shall be due, without any requirement for notice to Tenant, shall
be subject to a late charge equal to six percent (6%) of such overdue amount.
4. USE.
4.1 Tenant's Use.
Tenant shall use the Premises as a residence. Tenant shall not use the property for any other
purpose without the written consent of Landlord, which consent may be withheld in Landlord's
sole and absolute discretion. Tenant, at Tenant's sole cost and expense, shall comply with all
applicable municipal, state and federal statutes, ordinances, rules and regulations in effect
during the term of this Lease regulating the use by Tenant of the Premises. No pets are allowed
without written consent of the Landlord. The Tenant's use of the premises is subject to the
following restrictions:
a) The use by the Tenants of the unimproved parcel is not exclusive. The Landlord
retains an unrestricted right of entry to the unimproved portions of the lot for any and all
purposes without notice.
b) The unimproved portions of the lot may be utilized from time to time for parking in
conjunction with the utilization by the public of the adjacent city park land.
c) Any government agency having jurisdiction over Stevens Creek and appurtenant
rights of way may prohibit Tenant's right of entry to Stevens Creek or over said rights of way.
d) The Tenants have no right of access or use of the garage located adjacent to the main
building. Tenants are required to park their vehicles in front of the main building.
e) The Tenants may, at their discretion, perform gardening at the perimeter of the main
building.
4.2 Uses Prohibited.
Tenant shall not use nor permit the use of the Premises in any manner that will tend to create
waste or nuisance or disturb other tenants and members of the public. No use shall be made or
permitted to be made of said Premises, nor acts done, which will increase the existing rate of
insurance upon the building in which said Premises may be located once said rate is established
or cause a cancellation of any insurance policy covering said building or any part thereof, nor
shall Tenant sell or permit to be kept, used or sold in or about said Premises, any article which
may be prohibited by a standard form of fire insurance policies. Tenant shall, at his sole cost,
comply with any and all requirements, pertaining to the use of said Premises, of any insurance
organization or company necessary for the maintenance of reasonable fire and public liability
insurance, covering said building and appurtenances.
5. ALTERATIONS AND FIXTURES.
5.1 Tenant's Rights.
Tenant shall not make any alterations or improvements on the Premises, or any part thereof,
without the prior written consent of Landlord. Any additions to, or alterations of, said Premises,
except movable furniture and equipment, shall become at once a part of the realty and belong to
Landlord. Any such alterations shall be in conformance with the requirements of all municipal,
state and federal authorities. All fixtures that are attached to the Premises shall become at once a
part of the realty and belong to Landlord on expiration or sooner termination of this Lease.
5.2 Landlord's Rights.
Landlord has the right, in its sole discretion to modify, reconfigure and renovate the premises at
any time.
6. MAINTENANCE, REPAIRS AND ALTERATIONS.
6.1 Landlord's Obligations.
Except for damage caused by any negligent or intentional act or omission of Tenant, Tenant's
agents, employees, or invitees in which event Tenant shall repair the damage, Landlord, at
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Landlord's expense, shall keep in good order, condition and repair the foundations, exterior
walls and the exterior roof of the Premises, as well as the water heater, stove, dishwasher and
waterpipes at the Premises. Landlord shall have no obligation to make repairs under this Section
6.1 until a reasonable time after receipt of written notice of the need for such repairs. Tenant
expressly waives the benefits of any statute now or hereafter in effect which would otherwise
afford Tenant the right to make repairs at Landlord's expense or to terminate this Lease because
of Landlord's failure to keep the Premises in good order, condition and repair.
6.2 Tenant's Obligations.
(a) Other than those obligations of the Landlord described in Paragraph 6.1, Tenant, at
Tenant's expense, shall keep in good order, condition and repair the Premises and every part
thereof including, without limiting the generality of the foregoing, clogged drains, leaking
faucets, broken windows, painting, and electric fuse replacement. Any such repairs will be
reported to the City in writing and shall be conducted in a workmanlike manner.
(b) If Tenant fails to perform Tenant's obligations under this Section or under any other
section of this Lease, Landlord may at Landlord's option enter upon the Premises after ten (10)
days' prior written notice to Tenant (except in case of emergency, in which case no notice shall
be required), perform such obligations on Tenant's behalf and put the Premises in good order,
condition and repair, and the cost thereof together with interest thereon at the maximum rate
then allowable by law shall be due and payable as additional rent to Landlord together with
Tenant's next rental installment.
(c) On the last day of the term hereof, or on any sooner termination, Tenant shall
surrender the Premises to Landlord in the same condition as received, ordinary wear and tear
excepted, clean and free of debris including the removal of Tenant's furniture and equipment.
Tenant shall repair any damage to the Premises occasioned by the installation or removal of its
furnishings and equipment.
7. INSURANCE.
Landlord shall either self-insure or maintain fire and extended coverage insurance throughout
the term of this Lease in an amount equal to at least ninety (90%) percent of the value of the
building which includes the Premises, together with such other insurance, including not limited
to, loss of rents, flood insurance, all liability insurance, and such other insurance as Landlord
deems necessary or that may be required by any governmental agency. Tenant hereby waives
any right of recovery from Landlord, its officers and employees, and Landlord hereby waives
any right of recovery from Tenant, its officers or employees, for any loss or damage (including
consequential loss) resulting from any of the perils insured against in the standard form fire
insurance policy with extended coverage endorsement.
8. INDEMNIFICATION OF LANDLORD.
Tenant, as a material part of the consideration to be rendered to Landlord under this Lease,
hereby waives all claims against Landlord for damage to goods, furniture and equipment, in,
upon or about said Premises and for injuries to persons in or about said Premises, from any
cause resulting from Tenant's use and occupation on the Premise arising at any time; and Tenant
will indemnify and hold Landlord and the property of Landlord exempt and harmless from any
and all claims, liabilities, loss, expenses, damage or injury resulting from Tenant's use and
occupation of the Premises, including, but not limited to, any claim, liability, loss, or damage
arising by reason of death or injury of any person, the damage to or destruction of any property
of any person, and any work performed on said Premises or materials furnished to said Premises
at the instance or request of Tenant or its agents or employees.
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9. ABANDONMENT OF PERSONAL PROPERTY.
Tenant shall not vacate or abandon the Premises at any time during the term of this Lease; and if
Tenant shall abandon, vacate or surrender the Premises or be dispossessed by process of law, or
otherwise, any personal property belonging to Tenant and left on the Premises shall be deemed
to be abandoned, at the option of Landlord.
10. UTILITIES.
Tenant shall pay for telephone service and all other services or utilities used in, upon, or about
the premises by Tenant with the exception of water, which Landlord shall pay.
11. ENTRY AND INSPECTION.
Tenant shall permit Landlord and his agents to enter into and upon the improved portions of the
Premises at all reasonable times after notice, except in case of an emergency, for the purpose of
inspecting the same or for the purpose of maintaining the building in which said Premises are
situated, or for the purpose of making repairs, alterations or additions to any portion of said
building, including the erection and maintenance of such scaffolding, canopy, fences and props
as may be required, or for the purpose of posting notices of non-liability for alterations,
additions or repairs. Landlord shall be permitted to do any of the above without any rebate of
rent and without any liability to Tenant for any loss of occupation or quiet enjoyment of the
Premises thereby occasioned. Tenant shall permit Landlord, at any time within ninety (90) days
prior to the expiration of this Lease, to place upon said Premises any usual or ordinary "For
Lease" signs and during such ninety (90) day period Landlord or his agents may, during normal
business hours, enter upon said Premises and exhibit same to prospective tenants.
12. DAMAGE AND DESTRUCTION OF PREMISES.
In the event of (a) partial destruction of said Premises or the building containing same during
the term of this Lease or any extensions thereof, which requires repairs to either said Premises
or said building, or (b) said Premises or said building being declared unsafe or unfit for
occupancy by any authorized public authority for any reason other than Tenant's act, use or
occupation, which declaration requires repairs to either said Premises or said building, Landlord
shall forthwith make said repairs provided Tenant gives to Landlord thirty (30) days written
notice of the necessity therefore. No such partial destruction (including any destruction
necessary in order to make repairs required by any declaration made by any public authority)
shall in any way annul or void this Lease except that Tenant shall be entitled to a proportionate
reduction of minimum guaranteed rent while such repairs are being made, such proportionate
reduction to be based upon the extent to which the making of such repairs shall interfere with
the business carried on by Tenant in said Premises. However, if during the last one year of the
term of this Lease the building is damaged as a result of fire or any other insured casualty to an
foundation), Landlord may, within thirty (30) days following the date such damage occurs,
terminate this Lease by written notice to Tenant. If Landlord, however, elects to make said
repairs, and provided Landlord uses due diligence in making said repairs, this Lease shall
continue in full force and effect and the minimum guaranteed rent shall be proportionately
reduced as provided above. If Landlord elects to terminate this Lease all rents shall be prorated
between Landlord and Tenant as of the date of such destruction. The foregoing to the contrary
notwithstanding, if the building is damaged or destroyed at any time during the term hereof to
an extent of more than twenty-five (25%) percent of its then replacement cost (excluding
foundation) as a result of a casualty not insured against, Landlord may within thirty (30) days
following the date of such destruction terminate this Lease upon written notice to Tenant. If
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Landlord does not elect to so terminate because of said uninsured casualty, Landlord shall
promptly rebuild and repair mid Premises and Tenant's rental obligation shall be proportionately
reduced as provided above. In respect to any partial destruction (including any destruction
necessary in order to make repairs required by any authorized public authority) which Landlord
is obligated to repair and may elect to repair under the terms of this Article, Tenant waives any
statutory right it may have to cancel this Lease as a result of such destruction.
13. ASSIGNMENT AND SUBLETTING.
Tenant shall not, without Landlord's prior written consent, which consent may be withheld in
Landlord's sole and absolute discretion, sublet the Premises or any part thereof or assign this
Lease.
14. EMINENT DOMAIN.
If all or any part of the Premises is taken for public or quasi-public use by a governmental
authority under the power of eminent domain or is conveyed to a governmental authority in lieu
of such taking, and if the taking or conveyance causes the remaining part of the Premises to be
untenantable and inadequate for use by Tenant for the purpose for which they were leased, then
Tenant, at its option and by giving notice within fifteen (15) days lifter the taking, may
terminate this Lease as of the date Tenant is required to surrender possession of the Premises. If
a part of the Premises is taken or conveyed but the remaining part is tenantable and adequate for
Tenant's use, then this Lease shall be terminated as to the part taken or conveyed as of the date
Tenant surrenders possession; Landlord shall make such repairs, alterations and improvements
as may be necessary to render the part not taken or conveyed tenantable; and the rent shall be
reduced in proportion to the part of the Premises taken or conveyed. All compensation awarded
for the taking or conveyance shall be the property of Landlord without any deduction therefrom
for any estate of Tenant, and Tenant hereby assigns to Landlord all its right, title and interest in
and to the award. Tenant shall have the right, however, to recover from the governmental
authority, but not from Landlord, such compensation as may be awarded to Tenant on account
of the interruption of Tenant's business, moving and relocation expenses and removal of
Tenant's trade fixtures and personal property.
15. DEFAULT.
If Tenant fails to make any payment required by the provisions of this Lease, after ten (10) days
of the due date, or fails within fifteen (15) days after written notice thereof to correct any breach
or default of the other covenants, terms or conditions of this Lease, or if Tenant breaches this
Lease and abandons the property before the end of the term, such acts shall constitute a default
under this Lease and Landlord shall have the right at any time thereafter to elect to terminate
said Lease and Tenant's right to possession thereunder. Upon such termination, Landlord shall
have the right to recover against Tenant:
(a) The worth at the time of award of the unpaid rent, which had been earned at the time
of termination;
(b) The worth at the time of award of the amount by which the unpaid rent which would
have been earned after termination until the time of award exceeds the amount of such rental
loss that the Tenant proves could have been reasonably avoided;
(c) The worth at the time of award of the amount by which the unpaid rent for the
balance of the term after the time of award exceeds the amount of such rental loss that the
Tenant proves could be reasonably avoided; and
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(d) Any other amount necessary to compensate the Landlord for all the detriment
proximately caused by Tenant's failure to perform its obligations under the Lease or which in
the ordinary course of things would be likely to result therefore.
The "worth at the time of award" of the amounts referred to in subsections a. and b. above shall
be computed by allowing interest at ten (10%) percent per annum or the maximum rate
permitted by law. The worth at the time of award of the amount referred to in subsection c. shall
be computed by discounting the amount at the discount rate of the Federal Reserve Bank of San
Francisco at the time of award plus one (1 %) percent.
Such efforts as Landlord may make to mitigate the damages caused by Tenant's breach of this
Lease do not constitute a waiver of Landlord's right to recover damages against Tenant
hereunder, nor shall anything contained herein affect Landlord's right to indemnification against
Tenant for any liability arising prior to termination of this Lease for personal injuries or
property damage, and Tenant hereby agrees to indemnify and hold Landlord harmless from any
such injuries and damages, including all attorney's fees and costs incurred by Landlord in
defending any action brought against Landlord for any recovery thereof, and in enforcing the
terms and provisions of this indemnification provision against Tenant.
If Landlord elects to terminate this Lease and gives Tenant notice of such termination, upon the
giving of such notice, the term of this Lease and the estate hereby granted shall expire and
terminate on the effective date of the notice as fully and completely and with the same effect as
if such date were the date herein fixed for the expiration of the term of this Lease and all rights
of Tenant shall hereunder expire and terminate, but Tenant shall remain liable as here before
provided.
In the event Tenant abandons the Premises, this Lease shall terminate if the Landlord gives
written notice of his belief of abandonment pursuant to Civil Code Sections 1951.2 and 1951.3.
Notwithstanding any of the following, the breach of this Lease by Tenant, or an abandonment of
the Premises by Tenant, shall not constitute a termination of this Lease, or of Tenant's right of
possession hereunder, unless and until Landlord elects to do so, and until such time Landlord
shall have the right to enforce all of its rights and remedies under this Lease, including the right
to recover rent, and all other payments to be made by Tenant hereunder, as it becomes due;
provided, however, that until such time as Landlord elects to terminate this Lease, and Tenant's
right of possession hereunder, to collect said rents, issues and profits as the become due and
payable. Upon any such breach or default, Landlord shall have the right at any time thereafter,
without notice except as provided for above, either in person, by agent or by a receiver to be
appointed by a court, to enter and take possession of said Premises and collect such rents, issues
and profits, including those past due and unpaid, and apply the same less costs and expenses of
operation and collection, including reasonable attorney's fees, upon any indebtedness secured
hereby, and in such order as Landlord may determine.
The parties hereto agree that acts of maintenance or preservation or efforts to re-lease the
Premises, or the appointment of a receiver upon the initiative of the Landlord to protect its
interests under this Lease shall not constitute a termination of Tenant's right of possession for
the purposes of this Article unless accompanied by a written notice from Landlord to Tenant of
Landlord's election to so terminate. Nothing contained in this Article shall in any way diminish
or be construed as waiving any of the Landlord's other remedies as provided elsewhere in this
Lease or by law or in equity.
16. ATTORNEY'S FEES.
If Landlord is involuntarily made a party defendant to any litigation concerning this Lease or the
Premises by reason of any act or omission of Tenant, then, Tenant shall hold harmless Landlord
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from all liabilities by reason thereof, including reasonable attorneys' fees and all costs incurred
by Landlord in such litigation.
Landlord shall be entitled to recover all collection costs including reasonable attorney's fees
incurred by it as a result of Tenant's default as herein provided. If either Landlord or Tenant
shall commence any legal proceedings against the other with respect to any of the terms and
conditions of this Lease, the nonprevailing party therein shall pay to the other all expenses of
said litigation, including a reasonable attorneys' fees as may be fixed by the court having
jurisdiction for litigation of any matters relating to this Lease and service mailed to the address
of tenants set forth herein shall be adequate service for such litigation.
17. SECURITY DEPOSIT.
Tenant contemporaneously with the execution of this Lease, has deposited with Landlord the
sum of Two Thousand Two Hundred Dollars ($2,200), receipt of which is hereby acknowledged
by Landlord, said deposit being given to secure the faithful performance by the Tenant of all of
the terms, covenants, and conditions of this Lease by the Tenant to be kept and performed
during the term hereof. Tenant agrees that if the Tenant shall fail to pay the rent herein reserved
promptly when due said deposit may, at the option of the Landlord (but Landlord shall not be
required to) be applied to any rent due and unpaid, and if the Tenant violates any of the other
terms, covenants, and conditions of this Lease, said deposit shall be applied to any damages
suffered by Landlord as a result of Tenant's default to the extent of the amount of the damages
suffered. Landlord shall not be required to keep such deposit separate from its general accounts.
Nothing contained in this Article shall in any way diminish or be construed as waiving any of
the Landlord's other remedies as provided herein, or by law or in equity. Should the entire
security deposit, or any portion thereof, be appropriated and applied by Landlord for the
payment of overdue rent or other sums due and payable to Landlord by Tenant hereunder, then
Tenant shall, on the written demand of Landlord, forthwith remit to Landlord a sufficient
amount in cash to restore said security deposit to its original amount, and Tenant's failure to do
so within fifteen (15) days after receipt of such demand, shall constitute a breach of this Lease.
Should Tenant comply with all of the terms, covenants, and conditions of this Lease and
promptly pay all of the rental herein provided for as it falls due, and all other sums payable by
Tenant to Landlord hereunder, said security deposit shall be returned in full to Tenant at the end
of the term of this Lease, or upon the earlier termination of this Lease, except in the event the
Premises are sold as a result of the exercise of any power of sale under any mortgage or deed of
trust, in which event this Lease shall be automatically amended to delete any reference to this
Section, and Tenant shall be entitled to immediate reimbursement of its security deposit from
the party then holding said deposit. This Lease does not create a trust relationship between
Landlord and Tenant with respect to such security deposit, and Landlord shall be entitled to treat
such security deposit as Landlord's own property.
18. HOLDING OVER
Any holding over after the expiration of the term of this Lease, with the consent of Landlord,
shall be construed to be a tenancy from month to month, cancelable upon thirty (30) days
written notice, and upon terms and conditions as existed during the last year of the term hereof
except that the rent payable shall be one hundred and fifty percent (150%) of the rent payable
immediately preceding the termination date of this Lease.
19. BINDING EFFECT.
The provisions of this Lease shall, subject to Section 13 on assignment, apply to and bind the
heirs, successors, executors, administrators and assigns of all the parties hereto.
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20. NOTICES.
All notices must be in wrItmg and shall be delivered by hand, by nationally recognized
overnight express delivery service or by U.S. registered or certified mail, to the addresses set
forth below:
TENANT: Imtiaz Shaikh and Huma Shaikh
22241 McClellan Road
Cupertino, CA 95014
LANDLORD: City of Cupertino
Attn: Director of Parks and Recreation
10300 Torre Avenue
Cupertino, CA 95014
21. PARTIAL INVALIDITY.
If any term, covenant, condition or provision of this Lease is held by a court of competent
jurisdiction to be invalid, void or enforceable, the remainder of the provisions hereof shall
remain in full force and effect and shall in no way be affected, impaired or invalidated thereof.
22. ENTIRE AGREEMENT.
This Lease sets forth the entire agreement between the parties. No amendment or modification
of this Lease shall be binding or valid except by written instrument and signed by the parties.
Executed as of the date first written above.
Tenant:
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