Section 2 RENT

PERIOD MONTHLY RATE(inclusive of VAT)June 21. 2015 to June 20, 2017Php 37,500.00

10 UTILITY CARGES Add to next sentence The LESSEE hereby covenants and agrees to pay all rates and charges which may be payable to water, electricity, gas, telephone, garbage and other service in the leased premises during the entire period of lease. The LESSEE further agrees to pay the following security and upkeep dues in the leased premises during the entire period of lease.SECURITY DUESUPKEEPJune 21, 2014 to June 20,2015 Php 1,000.00Php 250.00June 21, 2014 to June 20, 2016 Php 2,000.00Php 500.00

(18 b) BREACH OF CONTRACT AND DAMAGESIn case the LESSEE chooses to terminate the lease contract earlier than the period stipulated in this contract, such shall constitute breach of contract and the following forfeiture shall apply:

If pretermination is made within the first year - 3 months deposit will be forfeitedIf pretermination is made after the end of the first year - 3 months deposit will not be forfeited but there will be a penalty of Php 15,000.00 to be deducted from the deposit