•  DEFINITIONS

•  The “Company” shall mean FORKTRUCK SOLUTIONS

•  The “Customer” shall mean the person renting the equipment from the Company, reflected as such in the Company's RENTAL AGREEMENT.

•  The “Equipment” shall mean the equipment listed in the Company's RENTAL AGREEMENT, including any and all accessories, spares and parts thereof;

•  The “Rental Period” shall mean the period reflected in the Company's RENTAL AGREEMENT;

•  The “Agreed Rent” shall mean the amount of rent specified in the Company's
RENTAL AGREEMENT.

•  HIRE AGREEMENT

The Company hereby rents the equipment to the Customer for the duration of the rental period.

•  PAYMENT

•  The Customer shall pay in advance the agreed rent on presentation of an invoice or on the day on which the RENTAL AGREEMENT is signed by the Customer in respect of the first month, adjusted pro rata where such day is not the first day of the month (whichever occurs first), and thereafter, monthly in advance, on or before the first day of each and every successive month thereafter for the duration of the rental period.

•  Where the rental period is less than one month, the Customer shall pay the entire agreed rent upon signature of the agreement.

•  The agreed rent shall be paid at the Company's premises, free from any deductions, including, but not limited to, bank charges, set-off of any other debt owed by the Company to the Customer or any other amount.

•  It shall not be a pre-condition to payment that the Company furnishes the Customer with an invoice or statement.

•  Interest will be levied on all overdue amounts at the maximum rate of interest permitted in terms of the Usury Act of whether that Act is applicable to this agreement.

•  BREACH

•  Should the Customer fail to pay any amount owing to the Company on due date, the Company shall be entitled, but not obliged, to:

•  Cancel the agreement, in which event the Customer shall immediately return the equipment to the Company, and claim all damages available at law;

•  Demand specific performance from the Customer in which event the Customer will be obliged to return the equipment immediately to the Company as security pending such performance by the Customer (the cost of such removal to be for the account of the Customer)

•  Save where otherwise provided for herein, should the Customer breach any other term of this agreement and remain in default for a period of seven days after written demand to rectify such breach, then the Company shall be entitled to cancel the agreement, in which event the Customer shall immediately return the equipment to the Company, and claim all damages available at law.

•  For the purposes of this agreement, the Company's damages shall be presumed, until the contrary is proven by the Customer, to be the present day value of all further payments due in terms of the agreement at the date of the breach, such payments to be discounted at two percent less than the prevailing prime lending rate of ABSA Bank Ltd.

•  DEFECTS

•  The Customer shall inspect the equipment upon delivery thereof to the Customer and shall notify the Company in writing of any defects in the equipment within twelve hours of delivery, failing which the equipment shall be deemed to have been received free from defects.

•  Should the equipment be damaged or breakdown during the rental period, the Customer shall notify the Company immediately in writing of such damage or breakdown.

•  Upon return of the equipment to the Company, the Company shall examine the equipment and record any defects present in the equipment.

•  A certificate signed by any director of the Company setting out any defects found shall be prima facie proof of the existence of such defects and of the reasonable and necessary costs of repairing such defects, and admissible as evidence in any proceedings without further proof, and the onus shall rest upon
the Customer to prove that such defects did not exist at the time that the equipment was returned to the Company or that such costs of repair are not reasonable not necessary.

•  MAINTENANCE

•  Save to the extend that the company and the Customer have entered into a written service or maintenance agreement, and only to the extent of the service or maintenance obligations accepted by the Company therein, the Customer shall maintain the equipment during the rental period.

•  The Customer shall furnish the Company with adequate proof of such maintenance.

•  Should the Customer fail to maintain the equipment, the Company shall be entitled, but not obliged, to effect such maintenance and/or repairs as are necessary in its opinion, in which event the Customer shall allow the company access to the equipment, and if necessary, allow the Company to remove the equipment from the Customer's premises for such purposes, and shall pay upon presentation of an invoice the costs of such maintenance and repairs.

•  The aforesaid invoices shall be deemed, until the contrary is proven by the Customer, to be the fair, reasonable and necessary costs of maintaining and/or repairing the equipment.

•  In the event that the Customer elects to accept the maintenance option in the RENTAL AGREEMENT, the following conditions will apply:

•  The Company undertakes to provide the Customer with the following services in respect of the equipment for the duration of the maintenance period:

•  The Company will maintain the equipment in good working order for the duration of the maintenance period, save that the Company shall not be responsible for (unless the contrary is specifically provided for):

•  The costs of fuel and/or consumables;

•  The replacement of tyres and repairs of tyres;

•  The repair or replacement of forks;

•  The repair or replacement of batteries;

•  Any other items specifically excluded in terms of the RENTAL AGREEMENT.

•  Notwithstanding the above, and without expanding the Company's obligations referred to the clause 7.1.1 above, the Company will not be obliged to repair any damages caused to the equipment through the misuse thereof by any person, any collision, the negligence of the Customer of such equipment, the theft or attempted theft of the equipment, any intentional or willful act of any person or any other cause other than normal wear and tear.

•  The Company will not be obliged to perform any of its obligations whilst the Customer is in default of any of its obligations to the Company in terms of this agreement or any other agreement with the Company.

•  The Customer shall ensure that the Company's employees have undisturbed access to the equipment when servicing the equipment.

•  Should the Company deem it necessary, the Customer will, at his own cost, deliver the vehicle to the Company in order to effect any repairs or maintenance.

•  The Customer shall maintain a logbook recording the hours of usage of the equipment and the dates of previous services.

•  The Company shall not be obliged to furnish the Customer with replacement equipment whilst the equipment is being serviced or repaired, unless specifically provided otherwise in writing and signed by the Company.

•  In the event that the Company does furnish the Customer with replacement equipment, the Customer will be bound by the provisions of the Company's standard RENTAL AGREEMENT TERMS AND CONDITIONS as if the Customer was the Company as defined in that agreement, mutatis mutandis .

•  Any invoice of the Company shall be prima facie proof of the indebtedness of the Customer to the Company in terms of this agreement and shall be deemed to be necessary and reasonable charges for such rental, repairs or maintenance until the contrary is proven.

•  The Customer shall inspect the equipment immediately after any service and/or repairs effected by the Company and shall notify the Company in writing of any defects in the equipment within twelve hours of delivery, failing which the service and/or repairs shall be deemed to have been properly effected.

•  A certificate signed by any director of the Company setting out any defects found in the equipment or maintenance required to be effected on the equipment shall be prima facie proof of the existence of such defects or maintenance required and the reasonable and of necessary costs of repairing such defects or carrying out such maintenance, and be admissible as evidence in any proceedings without further proof, and the onus shall rest upon the Customer to prove that such defects did not exist at he time or that such maintenance was not required to be effected on that equipment or that such costs of repair or maintenance are not reasonable nor necessary.

•  The Company, its employees, directors and agents shall under no circumstances be liable to the Customer as a result of the servicing of the equipment, the failure of such equipment to function properly or at all, for any damages, either physical or economic, resulting from the use or non-use of the equipment or from whatsoever cause.

•  The Customer hereby indemnifies the Company and its employees, directors and agents against any claim that may arise against the Company as a result of the servicing of the equipment, the failure of such equipment to function properly or at all, and against any damage, either physical or economic, resulting from the use or non-use of the equipment or from whatsoever cause.

•  It shall be the Customer's obligation to take all steps necessary to protect itself against any harm arising out of the use of the equipment and to insure itself against any possible losses arising out of the use of such equipment and/or the failure of such equipment.

•  WARRANTIES

•  The Customer acknowledges that no warranties or representations of any nature were made to him prior to the conclusion of this agreement by the Company, its employees and/or its agents.

•  In particular, but without limiting the generality hereof, the Customer acknowledges that the Company makes no representation or warranty in regard to the suitability of the equipment for any purpose.

•  INSURANCE

•  The Customer shall insure the equipment against all risks for the duration of the agreement.

•  The Customer hereby cedes its existing and future rights to the Company in respect of such insurance. The Customer shall notify the insurer of this cession.

•  The Customer shall provide the Company with proof of insurance.

•  Should the Company not insure the equipment, or should the Customer not provide the Company with proof of such insurance, the Company shall be entitled to, but not obliged to, arrange insurance itself in respect of the equipment in which event the Customer shall reimburse the Company with the costs of such insurance immediately.

•  INDEMNITY

•  The Company, its employees, directors and agents shall under no circumstances be liable to the Customer as a result of the renting of the equipment, the failure of such equipment to functions properly or at all, for any damage, either physical or economic, resulting from the use or non-use of the equipment or from whatsoever cause.

•  The Customer hereby indemnifies the Company and its employees, directors and agents against any claim that may arise against the Company as a result of the renting of the equipment, the failure of such equipment to functions properly or at all, and against any damage, either physical or economic, resulting from the use or non-use of the equipment or from whatsoever cause.

•  It shall be the Customers obligation to take all steps necessary to protect itself against any harm arising out of the use of the equipment and to insure itself against any possible losses arising out of the use of such equipment and/or the failure of such equipment.

•  AUTHORITY

•  The person entering to this agreement on behalf of the Customer warrants that:

•  He is authorized to do so on behalf of the Customer;

•  The Customer is the entity that such person represents it is.

•  If either warranty is breached, such person shall, at the election of the Customer, be deemed to be entering this agreement in his personal capacity.

•  The Customer acknowledges that only a director of the Company is authorized to grant any indulgence, waive any right in terms of the agreement, amend any terms of the agreement or enter into any other agreement with the Customer, and that such authority cannot be delegated to any other employee of the Company.

•  CERTIFICATE OF INDEBTNESS

•  A Certificate signed by any representative of the Company stating the Customer's indebtedness shall be prima facie proof of the Customer's indebtedness and the fact that payment is due.

•  The onus shall rest upon the Customer to prove that the amounts stated therein, and that the fact that such amounts are due, is incorrect.

•  USE OF EQUIPMENT

•  The Customer guarantees that the equipment will only be used by persons with the necessary skills and permissions required to use such equipment.

•  The equipment shall not be used by anyone other than the Customer and its employees save with the written consent of the Company.

•  The equipment shall not be moved from the Customer's premises at any time, save with the written consent of the Company.

•  The Company shall be entitled to reasonable access to the premises and the Customer's employees and records at any time to verify the compliance with this clause.

•  The breach of any of the provisions of this clause shall entitle the Company to cancel the Rental Agreement without further notice.

•  EXTENSIONS

•  Should the Customer wish to extend the rental period, the Company may, at its sole discretion, extend the rental period for such further period as the Company wishes, in which event this agreement shall be deemed to be amended insofar as the rental period is concerned.

•  Unless the Company has agreed to extend the rental period in writing, the onus shall be upon the Customer to prove that the rental period has been so extended.

•  EARLY TERMINATION

•  Not withstanding anything to the contrary herein, the Customer shall be entitled to terminate this agreement on at least 90 days written notice to the Company, provided that such notice be given on the last day of a calendar month.

•  Such written notice shall only be effective if hand-delivered to the Company's principal office in the province in which the agreement was concluded and bears a written acknowledgment of receipt by the Company (save that the Company may waive compliance with this requirement in writing).

•  OWNERSHIP

•  The Customer acknowledges that the Company is the owner of the equipment.

•  The Customer acknowledges that ownership of the equipment shall remain vested in the Company throughout the duration of the rental period.

•  The Customer acknowledges that upon termination of the rental agreement, the Company shall remain the owner of the equipment and that he shall have no right to claim ownership of the equipment on any basis.

•  HYPOTHEC

•  The Customer shall, in writing, immediately upon signing the rental agreement, advise the Landlord of any premises upon which the equipment is placed of the Company's right to ownership of the equipment and that such equipment will not be subjected to such Landlord's hypothec.

•  The Customer shall furnish the Company with a signed receipt acknowledging receipt of such written advises, together with a true copy of such advises within seven days of the conclusion of the rental agreement.

•  The failure to comply with any provision of this clause shall entitle the Company to cancel this agreement without further notice.

•  ENCUMBRANCES

•  Under no circumstances shall the Customer allow the equipment to be encumbered or alienated in any manner by any other person.

•  The Customer shall immediately inform the company of any claim or attempt to do so by any other person.

•  The failure to comply with any provision of this clause shall entitle the Company to cancel this agreement without further notice.

•  COUNTERCLAIM

Notwithstanding any counterclaim the Customer may have against the Company, the customer shall not be entitled to withhold payment nor compliance any of its other obligations by virtue of such counterclaim.

•  CESSION

•  The Company shall be entitled to cede its rights in terms of the agreement without the consent of the Customer to any person.

•  The Customer shall not be entitled to delegate or assign any obligations in terms of this agreement, nor cede any right or claim arising out of the agreement to any person.

•  VARIATION

No variation of this agreement or the effect thereof and no consensual cancellation of such agreement shall be valid, unless recorded in writing and signed by both parties.

•  WAIVER

No indulgence granted nor waiver made by the Company shall be of any effect unless reduced to writing and signed by the Company.

•  ENTIRE AGREEMENT

This agreement constitutes the entire agreement between the parties, save for such other written agreements signed by both parties.

•  SEVERABILITY

If any part of this agreement is found to be unenforceable for whatever reason, then such part shall be deemed to be sever able from the remainder of the agreement.

•  SURETYSHIP

•  The person signing this agreement in a representative capacity shall be bound as surety and co-principal debtor for and with the Customer in favor of the Company for the Customer's obligations in terms of this agreement.

•  Such a person shall be bound by all the provisions of this agreement, mutatis mutandis , as if such person were the Customer. Without limiting the generality of the foregoing, such person shall be bound by the provisions of this agreement insofar as they provide for the proof of debts and damages, consents to jurisdiction and costs.

•  Such person, with full knowledge of his rights, waives the benefits of the following defenses; excussion and division, “ non causal debit”, “ error calculi ”, de duo bus vel pluribus reis debendi”, “no value received ” and “ revsion of accounts

•  COSTS

•  Should the Company be required to resort to litigation or arbitration to enforce its rights in terms of this agreement, the Customer shall be obliged to pay the Company's legal costs on an attorney and client scale.

•  Should the Company institute proceedings in the magistrate's courts, the Customer acknowledges that the employment of counsel is necessary in any action or application, including any interlocutory application, and agrees to pay such counsel's costs as on brief.

•  The Company shall be entitled, in addition to any other security the Company would be entitled to, to demand from the Customer security for costs in any proceedings, even those brought by the Customer, in the sum of R25 000.00 in regard to High Court proceedings and R10 000.00 in regards to magistrate court proceedings, which amount shall be paid within three days of such demand.

•  JURISDICTION

The Customer consents in terms of Section 45 of the Magistrate's Court Act 32 of 1944 (as amended) to the jurisdiction of the magistrate's court notwithstanding the fact that the amount in dispute may exceed that court's jurisdiction.

•  ARBITRATION

•  The Company shall be entitled to refer any dispute between it and the Customer to arbitration.

•  The arbitrator shall be an advocate of not less than five year's standing.

•  The Customer shall be obliged to submit to any such arbitration and consents to any award of such arbitrator being made an order of court.