This agreement made this _____ day of ___________. 20___, between THE GLOBAL ART COMPANY, and _____________________________________________________. WHEREAS, THE GLOBAL ART COMPANY (to be referred to as the “lessor”) and __________________________________________________________________
(to be referred to as the “lessee”) have agreed to lease the following named works of art:
1. ________________________________| MARKET VALUE: £________________
2. ________________________________| MARKET VALUE: £________________
3. ________________________________| MARKET VALUE: £________________
4. ________________________________| MARKET VALUE: £________________
5. ________________________________| MARKET VALUE: £________________
6. ________________________________| MARKET VALUE: £________________
All of which shall be in the possession of the lessee at its premises located at: _________________________________________________________________ _________________________________________________________________
IT IS THEREFORE AGREED:
Lease of Artwork: Subject to the terms and conditions set forth below, the lessor rents to the lessee the artwork above described for the term of _________ month commencing from the date of signing of this lease. Minimum lease term is 6 months.
Rental: The lessee shall pay the sum of £ _________ per month as rent for the artwork for the initial term, payable the day of completed installation of artwork at lessee’s premises.
Ownership and Use: The artwork shall at all times be the sole and exclusive property of the lessor. The lessee shall have no rights or property interest in the artwork, except for the right to display the artwork in its intended manner. No photographs of its use other than for display on the lessee’s premises shall be allowed except for the written consent of the lessor. The lessee recognises the copyright interests of the lessor in the property and shall not infringe or allow an infringement of the lessor’s rights.
Repairs: The lessee shall protect and maintain the artwork in perfect condition and shall be responsible for all costs of repair and replacement. No repairs shall be done without express approval of the lessor; if repairs are to be done, the lessee shall pay the lessor the cost of materials and transportation.
Transportation: Initial delivery and removal is at the lessor’s cost. Should any artwork be required to be moved a distance in excess of 50 meters, the lessor is to be notified.
Insurance: The lessee shall obtain insurance and maintain such insurance to the value of the leased artwork in regard to fire, theft, natural disasters and liability and will pay over the proceeds of such insurance to the lessor upon the receipt of such proceeds.
- Indemnity: The lessee will hold the lessor harmless against any claims by third parties stemming from its possession and use of the leased artwork.
- Payment: First payment is to occur the day of completed installation of artwork at lessee’s premises. Subsequent payments are to occur the same date every calendar month
thereafter. (Eg: 1st Jan 2015, 1st Feb 2015, 1st Mar 2015) All payment is to be made by Direct Debit into the account:
THE GLOBAL ART COMPANY: ART LEASE “TITLE”
- Defaults: A default in payment of more than seven (7) days by the lessee or violation of any other term of this agreement shall accelerate the full obligation of the lease, terminate the lease and shall allow the lessor to retake possession of the artwork.
- Continuation or Purchase: This agreement may be continued by notice of the lessee to the lessor in writing thirty (30) days prior to the expiration of the initial lease term; the lessor shall then have ten (10) days to respond if a lease is acceptable on the current terms or if it wishes to change the terms or not release the artwork. The lessee has an option to purchase the artwork above described.
- Purchase of artwork: In the event of exercise of the option to purchase, 50% of the rental payments made to the date of option exercise shall be applied to the purchase price, but no more than one hundred percent of the value indicated above.
- Public sale of artwork: The lessee acknowledges that the artwork is still available for sale to the public. The lessor reserves the right to terminate the lease agreement to secure the sale and shall allow the lessor to retake possession of the artwork. Five (5) days notice is to be given to the lessee regarding the (potential) sale and removal of artwork. The lessee will receive a commission of the sale which will be agreed before any sales are completed.
- Amendments: This agreement is the only agreement of the parties and may only be amended in writing or by separate written agreement of the parties.
IN WITNESS WHEREOF THE PARTIES HAVE EXECUTED THIS AGREEMENT
Please note that this lease agreement is designed to protect The Global Art Company and the integrity of the artwork.
The Global Art Company