KNYATHI INVESTMENT (PTY) LTD

Lease Version: 3.1 – 1st May 2023

Building Name: KNYATHI INVESTMENTS PTY LTD
Address: ROAD NO 14 116 AVENUE ELOFF
Town / Province: SH ELOFF SH ,2210, MPUMALANGA
Business ROAD NO 14 116 AVENUE ELOFF
Address: SH
Shop No:
Business Type:
Commencement 1st May 2023.
Date:
th
1st May 2023 to 29 th February 2024 - R 8 000.00p/m
Period 1 st May 2024 to 28 February 2025 - R 8 800.00
1: p/m
Period 1st May 2025 to 28th February 2026– R 9 680.00 p/m
2: 12 months
Period 3: 24 months
Initial Period:
Option R 13 600.00 (Thirteen Thousand Six Hundred Rand.)
Period: (On condition to provide letter of guarantee)
R0.00
Security Deposit:
KNYATHI INVESTMENT PTY LTD
Monthly Levy:
Represented by David Nyathi
Lessor Name ROAD NO 14 116 AVENUE ELOFF SH
Shtewukele77@[email protected]
1: 079 617 5954

Company Representative:
Physical Address:
Email:
Phone:

Herein represented by:

Mthembi Eugene Sithole
(ID) 820829 5471 081
Nationality, South
Lessee Name 1: African. 4 Adamae
Delams
Lessee Name 2:
Lessee ID/PASSPORT: 072 206 0006
[email protected]
Lessee Physical 53.99 m2
Address: Lessee Postal yes
Address: Lessee Tel Tiles
Number: Lessee Email YES (The Lessee shall have the exclusive use of a toilet
Address: Shop Rental on the Premises and the lessee's staff shall at all times
Area: Electricity Prepaid keep the toilet facilities clean.)
Meter: Lessor Initial Here
Floor Surface:
Toilets:

Lessee Initial Here

1
 AGREEMENT OF LEASE

BETWEEN

KNYATHI INVESTMENTS (PTY) LTD

ROAD NO 14 116 AVENUE ELOFF SH , ELOFF SH , 2210,
MPUMALANGA

HEREIN REPRESENTED BY: DAVID NYATHI

AND

MTHEMBI EUGENE SITHOLE

2
 SCHEDULE

1. P A R T I E S

1.1.KNYATHI INVESTMENTS PTY LTD (“the Lessor”), ,

1.2. , MTHEMBI EUGENE SITHOLE

1.3 . ID No: 820829 5471 081 (“the Lessee”).

2. INTERPRETATION

2.1. In this Lease:

2.1.1. Clause headings are for reference purposes only and shall
not influence its interpretation;

2.1.2. The parties shall, wherever necessary or appropriate, be referred to by

their defined designations as in 1. above;

2.1.3. References to the masculine gender shall include the feminine and
neuter genders and vice versa;

2.1.4. References to natural persons shall include bodies corporate and

other legal personae and vice versa;

2.1.5. References to the singular shall include the plural and vice versa, All schedules
and annexes hereto shall be deemed to be incorporated herein and shall form
an integral part hereof;

2.1.6. Where a number of days are prescribed, it shall consist only of business days
(i.e. days other than Saturdays, Sundays and Public Holidays) and shall
be reckoned exclusively of the first and inclusively of the last day;

2.1.7. Where the day upon or by which any act is required to be performed is
not a business day, the parties shall be deemed to have intended such
act to be performed upon or by the first business day thereafter;

2.1.8. Where an expression has been defined (whether in 2.2 below or elsewhere
in this Lease) and such definition contains a provision conferring rights or
imposing obligations on any party, effect shall be given to that provision
as if it were a substantive provision contained in the body of this Lease;

2.1.9. Any reference to the period, currency, unexpired period, termination

or date of termination of this Lease, shall include any renewal or
extension thereof;

2.1.10. Any reference to the Lessor shall include the Lessor and its successors-
in- title and their respective agents, employees, servants, contractors
and workmen;

Lessor Initial Here

Lessee Initial Here

3
 2.1.11. Any reference to the Lessee shall include the Lessee’s agents, employees,
servants, customers, clients, licensees, contractors, invitees, visitors and guest.

2.1.12. Any reference to a “pro rata proportion” shall mean the proportion which
the area of the Leased Premises bears to the total area of all lettable shop
premises in the building;

2.1.13. If figures are referred to in numerals and words, the words shall prevail in
the event of any conflict between the two.

2.2. In this Lease, unless inconsistent with or otherwise indicated by the context, the
following expressions shall bear the meanings assigned to them hereunder and
cognate expressions shall bear corresponding meanings:-

2.2.1. “The Property” certain business site being, Delmas, and

corresponding to;

2.2.2. “The Building” collectively, all improvements erected on the

Property comprising of shops and related outbuildings;

2.2.3. "The Leased Premises” certain shop premises in the Building being
shop number 6.

2.2.4. “The Commencement Date” on 1st May 2023;

2.2.5. “This Lease” collectively, this Schedule and Annexures “A”, “B” and hereto.

3. INT RODUCT ION

3.1. The Lessor is the registered owner of the Property.

3.2. The Lessor and the Lessee have agreed to the letting and hiring respectively of
the Leased Premises, subject to all of the provisions, terms and conditions contained in
this Lease.

4. LETTING AND HIRING

The Lessor hereby lets and the Lessee hereby hires the Leased Premises.

5. COMMENCEMENT OF LEASE

Subject always to the provisions of 4 of Annexure “A” hereto, and notwithstanding the date of
signature hereof, this Lease shall commence on the Commencement Date.

Lessor Initial Here

Lessee Initial Here

4
6. DURATION OF LEASE

6.1. INITIAL PERIOD

This Lease shall endure for an initial period of 1 month from the
Commencement Date (the “Initial Period”). This period forms the end date of
the existing contract.

6.2. OPTION PERIOD

The Lessee shall, subject to the provisions of 5 of Annexure “A” hereto, have
the Option to renew this Lease for a further period of 12 months (“the Option
Period”) as and from the first day following the termination of the period 2 at a
rental agreed upon in writing signed by the Lessor and the Lessee at least 3
(three) months prior to the termination of the Initial Period. Failing such
agreement, this Option will lapse and be of no further force or effect
whatsoever.

7. RENTAL

The monthly rental payable in respect of the Leased Premises for the Initial and Option
Period shall be:

R 8 228.00 PER MONTH FOR THE PERIOD 1ST MAY 2023 TO 29th FEBRUARY 2024

R 9 050.80 PER MONTH FOR THE PERIOD 1St MAY 2024 TO 28th FEBRUARY 2025

R 9 955.90 PER MONTH FOR THE PERIOD 1ST MAY 2025 TO 28th FEBRUARY 2026

8. SECURITY DEPOSIT

The amount of R13,600.00 (Thirteen Thousand Six Hundred Rand) will be held by the Lessor
as security deposit, provided that the parent company can provide a letter of guarantee for
any financial liability in respect to this lease agreement.

Lessor Initial Here

Lessee Initial Here

5
9. USE OF THE LEASED PREMISES

The Leased Premises are let for the sole purpose of conducting there from the
business of a funeral home and for no other purpose whatsoever.

10. CONDITIONS

The conditions of this Lease are set out in Annexure “A”, which has been
initiated by the parties for the purposes of identification, shall be regarded as
forming an integral part of this Lease and as being incorporated herein.

11. DOMICILIUM CITANDI ET EXECUTANDI

12.1 The parties choose as their domicilium citandi et executandi for all purposes
under this Lease, whether in respect of court process, notices or other documents or
communications of whatsoever nature the following addresses:

12.1.1 The Lessor:

ROAD NO 14 116 ELOFF SH , Delmas. Tel:

The Lessee:079 617 5954

Physical Address: 4 Adamae 5th Street

Delmas 12.1.3 Tel: 072 206 0006

Lessor Initial Here

Lessee Initial Here

6
 12.2 Any notice or communication required or permitted to be given in terms of this
Lease shall be valid and effective only if given, in writing but it shall be
competent to give notice by telefax.

12.3 Either party may by written notice to the other change the physical address
chosen as it’s domicilium citandi et executandi to another physical address in
the Republic of South Africa, or it’s telefax number, provided that the change
shall only become effective on the seventh day after receipt of the notice by
the addressee.

12.4 Any notice to a party which is:

12.4.1 Sent by prepaid registered post in a correctly addressed envelope

to it at its domicilium citandi et executandi shall be deemed to have
been received on the fifth day after posting (unless the contrary is
proved); or

12.4.2 Delivered by hand to a responsible person during ordinary

business hour sat its domicilium citandi et executandi shall be
deemed to have been received on the day of delivery; or

12.4.3 Transmitted by telefax, whatsapp, email or other means of communication

to its chosen telephone, cell phone or email address (if any) stipulated in 12.1
above, shall be deemed to have been received on the date of transmission
(unless the contrary is proved).

12.5 Not with standing anything to the contrary herein contained, a

written notice or communication actually received by a party shall
be an adequate written notice or communication to it
notwithstanding that it was not sent to or delivered at its chosen
domicilium citandi et executandi.

12. GENERAL

The parties acknowledge and agree that:

13.1 This Lease constitutes the entire contract between them and that no provisions,
terms, conditions, stipulations, warranties or representations of whatsoever nature,
whether express or implied have been made by any of the parties or on their
behalf except as are recorded herein;

13.2 No relaxation, extension of time, latitude or indulgence which any party (“the
grantor”) may show, grant or allow to another (“the grantee”) shall in any way
constitute a waiver by the grantor of any of the grantor’s rights in terms of this
Lease and the grantor shall not thereby be prejudiced or stopped from
exercising any of its rights against the grantee which may have then already
arisen or which may arise thereafter;

Lessor Initial Here

Lessee Initial Here

7
13.3. No alteration, variation, amendment or purported consensual cancellation of this
Lease or any addition thereto or deletion there from shall be of any force or
effect unless reduced to writing and signed by or on behalf of the parties
hereto;

13.4. They have undertaken to each other to do all such things, take all such steps and
to procure the doing of all such things and the taking of all such steps as may be
necessary, incidental or conducive to the implementation of the provisions, terms,
conditions and import of this Lease;

13.5. The Lessor shall be entitled in its sole and absolute discretion to appropriate
any amounts received from the Lessee towards the payment of any cause of
debt or amount owing by the Lessee to the Lessor whatsoever;

13.6. Should the basis or accuracy of any measurement or the calculation or

computation of any dimension or area of the Leased Premises or Building be
disputed by any of the parties hereto, such dispute shall be referred to the
Lessor’s Architect for his decision thereon, which shall be given by him as an
expert and shall be final and binding unless the contrary is proven.

13.7. A certificate signed by the Lessor’s Auditors of the amount due by the Lessee
and the date on which it is payable in terms hereof shall be prima facie
evidence of the correctness of the contents thereof;

13.8. If there is a dispute between the Lessor and the Lessee as to whether the Lessor
has unreasonably withheld its consent or approval in any case where this Lease
precludes the Lessor from withholding its consent or approval unreasonably, then
the onus shall be on the Lessee to prove that the Lessor has withheld its consent
or approval unreasonably;

13.9. In the event of the Lessor instructing its Attorneys to take measures for the
enforcement of any of the Lessor’s rights under this Lease, the Lessee shall
pay to the Lessor such collection charges and other legal costs, on an attorney
and own client basis, as shall lawfully be charged by such Attorneys to the
Lessor, on demand therefore by the Lessor;

13.10. The liability under this Lease of each of the persons comprising the Lessor
shall be joint and several;

13.11. The liability under this Lease of each of the persons comprising the Lessee shall
be joint and several.

Lessor Initial Here

Lessee Initial Here

8
 SCHEDULE OF CONDITIONS INDEX

1. PAYMENTS....................................................................................................10

2. LEVIES AND OTHER BASIC CHARGES............................................................11

3. OFFER BY LESSEE.........................................................................................12

4. COMMENCMENT OF LEASE............................................................................12

5. OPTION.......................................................................................................12

6. USE OF THE LEASED PREMISES....................................................................13

7. SUB-LETTING AND SALE OF SHARES............................................................14

8. CONDITION OF THE LEASED PREMISES........................................................15

9. USE OF JOINT FACILITIES AND COMMON AREAS..........................................15

10. FIRE HAZARD...............................................................................................16

11. PLATE GLASS INSURANCE.............................................................................16

12. DAMAGE TO OR DESTRUCTION.....................................................................16

13. INDEMNITY AND LIABILITY OF LESSOR.......................................................17

14. LESSOR’S RIGHTS AND OBLIGATIONS..........................................................18

15. ALTERATIONS, FIXTURES & FITTINGS..........................................................18

16. STRUCTURAL ALTERATIONS AND REPAIRS...................................................18

17. MAINTENANCE AND CONDITION OF THE LEASED PREMISES...............................19

18. SIGNS AND ADVERTISEMENTS......................................................................20

19. TO-LET NOTICES AND ACCESS......................................................................21

20. CONTRAVENTION OF LAWS...........................................................................22

21. BREACH OF LEASE........................................................................................22

22. SURETYSHIP................................................................................................23

23. EXCLUSION OF WARRANTIES.......................................................................24

24. JURISDICTION.............................................................................................25

25. EXECUTION OF LEASE...................................................................................25

9
 SCHEDULE 2 OF CONDITIONS

1. PAYMENTS

1.1. All payments to be made in terms of this Lease shall be payable without deduction,
monthly and in advance, on the first day of each month, free of exchange at the
Lessor’s domicilium citandi et executandi or bank account set out in Paragraph 9 of the
Schedule annexed hereto.

1.2. Should the date of commencement of the Lease not be the first day of the month,

then a pro rata share of the rental in respect of portion of the month in which
the Lease commences shall be payable within 7 (seven) days after
commencement of this Lease.

1.3. If so required by the Lessor, the Lessee shall pay to the Lessor on signature hereof by

the Lessee, and in addition to the amount then payable in terms of a deposit equal to
the amount of TWO month’s rental payable by the Lessee in terms of this Lease,
which deposit shall be retained by the Lessor who shall be entitled from time to
time to deduct there from any amounts owing by the Lessee to the Lessor arising
from any cause whatsoever, and the balance of such deposit, if any, shall be
refunded to the Lessee at the expiration of this Lease

1.4 Notwithstanding anything to the contrary contained in this Lease:

1.4.1. Should:-

1.4.1.1. the municipal assessment rates and taxes and/or sewerage

and/or water charges payable in respect of the Property; and/or

1.4.1.2. the premiums payable by the Lessor in respect of any insurance on

the Building/or the rental there from or any other insurance held by
the Lessor as Lessor of the Property and/or the Building; and or

1.4.1.3. the statutory minimum wages payable to the Lessor’s servants

employed in or about or in connection with the Building;
and/or

1.4.1.4. the rates of interest of any debentures secured or other loans or

mortgage bonds registered for the time being over the Building and/or
the Property, be increased after the signing of this Lease by the
Lessee or the Commencement Date or the date upon which the Lessee
takes occupation of the Leased Premises (whichever date is earliest)
or during the currency of this Lease from time to time so as to
exceed at any time the municipal assessment rates and taxes and/or
sewerage and/or water charges and/or statutory minimum wages
and/or insurance premiums and/or rates of interest payable at the
date of signature of this Lease by the Lessee; or

Lessor Initial Here

Lessee Initial Here

10
 1.4.1.5. a levy not in force at the date hereof be imposed against the Property
during the currency of this Lease by any Government, Provincial or
Municipal authority, then the Lessor shall be entitled to recover from
the Lessee from time to time with effect from the date upon which
any such increase or new levy becomes effective, a pro rata proportion
of such increase or new levy.

1.4.2. In the event that the Lessee disputes any amount calculated by the Lessor in
terms of then the Lessee shall notify the Lessor in writing of the item and
amount it disputes within 7 (seven) days after the posting by the Lessor of the
Lessee's account therefore, failing which the Lessee shall be deemed to have
waived its right to dispute any such amount. The Lessor shall, on receipt of
such written notification, request its auditors to determine the amount payable
by the Lessee and a certificate signed by the Lessor's auditors of the amount
due by the Lessee and the date on which it is payable, shall then be prima
facie evidence of the amount so due.

1.4.3. Any amount due by the Lessee to the Lessor in terms hereof shall be payable
within 7 (seven) days after delivery to the Lessee of a notice advising the
Lessee thereof or in the event of a dispute arising, within 7 (seven) days
after the delivery to the Lessee of the certificate referred to in 1.4.2
hereof.

1.4.4. Without prejudice and in addition to the other rights and remedies of the
Lessor as set forth in Paragraph 21 hereunder, the Lessee will pay to the
Lessor interest at the rate of 15% (fifteen per centum) per annum on any
moneys due but unpaid by the Lessee to the Lessor in terms of this Lease,
such interest to be computed from the due date for the payment of the
moneys in respect of which the interest is chargeable, until payment of such
moneys in full.

2. LEVIES AND OTHER BASIC CHARGES

The Lessee shall pay for:-

2.1. all electricity and gas, if any,(including service and/or meter reading charges) used
by the Lessee in or on the Leased Premises by means of separate meters supplied
and installed by the Lessor as well as the required deposit/s in respect of the
supply of electricity and/or gas, if any, to the Leased Premises;

2.2. a pro rata proportion of refuse removal fees levied on the Property;

2.3. a pro rata proportion of sewer effluent and sanitary fees levied on the Property;

2.4. a pro rata proportion of water consumption charges (including service and/or
meter reading charges) levied on the Property, subject to 1.4 hereof, either direct to
the local

authority concerned or to the Lessor, whichever the case; provided that should
the Lessor be required by law to make payment of any such amount to the local
authority, then the Lessee shall refund the same to the Lessor on demand.

11
Lessor Initial Here

Lessee Initial Here

12
3. OFFER BY LESSEE

3.1. Notwithstanding anything to the contrary elsewhere contained herein, the signature of

this Lease by or on behalf of the Lessee shall constitute an offer to hire the
Leased Premises on the herein mentioned terms and conditions, which offer
shall remain irrevocable for a period of 30 (thirty) days from the date of
such signature and available for acceptance by the Lessor at any time during
such period.

3.2. No agreement of lease shall be deemed to exist between the Lessor and the Lessee either

on the terms and conditions stated in this Agreement or at all, until this Lease shall have
been duly signed by or on behalf of the Lessor.

4. C OMME NCME NT OF LEASE

Should the Leased Premises not be ready for occupation by the Lessee upon the date
referred to in Paragraph 5 of the Schedule or should the Lessor be unable to give the
Lessee beneficial occupation of the Leased Premises by the date referred to therein by
reason of:
-

4.1. it being in a state of disrepair; or

4.2. the failure of a previous tenant to vacate the premises; or

4.3. any other cause whatsoever the Lessee will be entitled to a remission of rent for
the period from the Commencement Date to the date upon which they are ready
for occupation by the Lessee.

5. OPTION

5.1. The exercise by the Lessee of the Option (if any) contained in Paragraph 6 of the
Schedule shall be subject to the Lessee having punctually and faithfully complied
with all the terms and conditions of this Lease.

5.2. Should the Lessee validly exercise the said Option, all the terms and conditions of

this Lease shall, mutatis mutandis, remain of full force and effect during the Option
Period and there shall be no further right of renewal thereafter. Should the
Lessee be desirous of exercising the Option, it shall give notice in writing to the
Lessor of its intention to do so not later than 3 (three) months prior to the expiry
of the Initial Period of this Lease. Should such notice not be received by the
Lessor by that date, the Option will lapse and be incapable of exercise
thereafter.

Lessor Initial Here

Lessee Initial Here

13
6. USE OF THE LEASED PREMISES

6.1. The Lessee shall use the Leased Premises for the purpose set out in Paragraph

10 of the Schedule and for no other purpose whatsoever.

6.2. The Lessee shall conduct its business and keep the Leased

Premises continuously open for that purpose:-

6.2.1. on all permissible trading days; and

6.2.2. during all normal business hours on those trading days, provided that
the Lessee may temporarily close its business on special occasions of
short duration when to do so is reasonable and appropriate or
necessitated by special circumstances.

6.3. The Lessee shall keep the display windows and all its advertising signs (if any)
of the Leased Premises illuminated and well lit during all normal trading hours
and for such period at night as the Lessor may from time to time direct,

6.4. The Lessee shall not adopt any method of business or advertising which may
detract from the value and/or character of the Leased Premises or Building or
bring the Leased Premises or Building into disrepute or as a result whereof the
normal flow of pedestrian traffic outside the Leased Premises or any other
portion of the Building may be disturbed, hindered or disorganized.

6.5. The Lessee shall not store, display or leave or permit the storage or leaving of motor

vehicles, bicycles, packing cases or goods of any nature whatever on the pavement or
parking areas outside the Building and shall not place anything in or allow anything to
obstruct any entrance, passage or staircase in the Building, nor shall it dump or store in
the yard of the Building or anywhere else on the Property (outside the Leased
Premises) or in any lane or access-way adjacent to or used in connection with the
Property.

6.6. The Lessee shall be liable for any loss or damage which the Lessor may suffer arising

out of the transportation of any goods by or on behalf of the Lessee in the

Building or on the Property.

6.7. The Lessee shall be responsible to keep all garbage and refuse in a kind of

container specified by Lessor and supplied by the Lessee, and should be put out for
collection only on the day designated for collection specified by the Local
Municipality.

6.8. The Lessee shall keep exterior areas immediately adjoining the Leased Premises clean

and free from dirt and rubbish to the satisfaction of the Lessor, and The Lessee shall
not place or permit any obstruction or merchandise outside Lessee’s Leased
Premises.

Lessor Initial Here

Lessee Initial Here

14
7. SUB-LETTING AND SALE OF SHARES

7.1. The Lessee shall not on any terms whatsoever without the Lessor's prior
written consent:

7.1.1. cede, assign, mortgage, pledge or in any manner deal with any of
his rights or obligations under this Lease; or

7.1.2. sub-let the Premises or any portion thereof or

7.1.3. Place anyone else in occupation of the Premises or any part thereof.

7.1.4. No allotment or issue or transfer of shares in the Lessee shall be effected if,
as a result thereof, persons who prior to such allotment, issues or transfer
taking effect collectively held a majority of the issued shares of the Lessee
cease to do so. A transfer shall be deemed to include any change in
beneficial ownership. Any such allotment, issues or transferring conflict with
the foregoing shall constitute a breach of this Lease. The provisions of this
clause shall apply mutates mutandis if the lessee is a Close Corporation with
reference to the members interest therein.

7.2. In the event of the tenant being a partnership:

7.2.1. The partner for the time being of the firm constituting the Lessee shall have
perpetual succession to the right and obligation of the Lessee in items of this
agreement, which shall be deemed automatically to have been assigned to any
new partnership constituted by the resignation or death of any of the exiting,
or the admission of new partner.

7.2.2. Any such partner who ceases to be a partner shall continue to owe an
obligation for the performance of the obligation of the Lessee in terms of
this agreement unless released from such obligation in writing by the
Lessor.

Lessor Initial Here

Lessee Initial Here

15
8. CONDITION OF THE LEASED PREMISES

Should the Lessee, upon taking possession of the Leased Premises, find that the Leased
Premises or any keys, locks, windows, fixtures, fittings, wash-basins, geysers, toilets, or
any other installation contained in or which should be contained in the Leased Premises
are defective or missing, the Lessee shall within 7 (seven) days after taking possession
of the Leased Premises or after the Commencement Date of this Lease, whichever is the
earlier, notify the Lessor in writing of such fact or facts, giving full particulars, and should
the Lessee fail to do so within that period (or if the Lessee does give notice, then after
the matters specified in the notice have been rectified) the Lessee shall be deemed to
have acknowledged that neither the Leased Premises nor any of such keys, locks, windows,
fixtures, fittings, washbasins, geysers, toilets and other installations is defective or missing
and that the Leased Premises have been delivered to the Lessee complete in all respects
and suitable in all respects for the purpose for which the Lessee has hired them. Upon
receipt of any such notification, the Lessor shall remedy the defect or omission as soon as
is reasonably possible, having regard to the nature of the defect or omission, and should
the Lessor fail to do so then the Lessee shall be entitled to carry out the necessary work
and recover the reasonable cost of doing so from the Lessor.

9. USE OF JOINT FACILITIES AND COMMON AREAS

9.1. The Lessee shall, in conducting its business upon the Leased Premises in terms
hereof, give due consideration to the use and enjoyment of the Building by other
tenants, customers and employees.

9.2. The Lessee shall have the right of reasonable use, having regard to the rights of
other tenants, of the yard, lavatories and other conveniences and facilities provided by
the Lessor on the Property and/or Building outside the Leased Premises. The Lessee
undertakes that its employees will use such spaces, lavatories, conveniences and
facilities as may be allocated from time to time in respect of the employees of the
Lessee generally, or respective particular categories of those employees.

9.3. The Lessor shall have the right from time to time to make and from time to
time to vary, amend or add to rules and regulations (provided that same are not
unreasonable) governing the relationship between the tenants of the Building in
regard to: -

9.3.1. the joint facilities above referred to;

9.3.2. any other joint facilities which may exist in the Building;

9.3.3. generally the use of joint, common or open areas within the Building or on
the Property and the Lessee undertakes to observe the said rules and
regulations from time to time in force as if they were terms and conditions
of this Lease.

Lessor Initial Here

Lessee Initial Here

16
10. FIRE HAZARD

The Lessee shall not at any time bring or allow to be brought or kept on the Leased
Premises or on the Property nor do, nor suffer to be carried on in the Leased Premises or
the Property, any matter or thing or activity whereby the fire or any other insurance policy
of the improvements thereon may be liable to become void or voidable or whereby the
premium for any such insurance may be increased. If the premium for such insurance is
increased as the result of any act or omission on the part of the Lessee, whether with the
Lessor's written consent or not, the Lessor, without prejudice to any of its other rights
hereunder, may recover from the Lessee the amount due in respect of any such additional
premium and the Lessee shall pay such amount immediately on notification from the Lessor
or the insurance company to the effect that such additional premium has been charged.

11. PLATE GLASS INSURANCE

The Lessee shall be responsible for any plate or other glass, both internal and
external, window panels and shop fronts contained in the Leased Premises and shall be
obliged at its expense to replace any such glass, panels or shop fronts as may be
damaged, however and by whomsoever (save for the Lessor, its servants or agents)
such damage shall be caused. The Lessee shall insure the plate glass, window panels
and shop fronts and maintain the insurance throughout the Lessee's occupation of the
Leased Premises.
The Lessee shall furnish the Lessor with a Photostat copy of the relevant
insurance policy and furnish proof that the premium is paid up-to-date from time
to time.

12. DAMAGE TO OR DESTRUCTION

If the Building is rendered partially untenable, the Lessor shall expeditiously reinstate it
substantially to its form before the damage or destruction and the Lessee shall be entitled to
a remission of rent according to the extent and the time during which it is deprived of
beneficial occupation of the Leased Premises. If the Building is rendered substantially
untenable and the Lessor fails, within 60 (sixty) days of the date of the destruction or
damage, to give the Lessee written notice that it intends to keep this Lease alive, this
Lease shall be deemed to have been cancelled on the date of destruction. If the Lessor
gives notice as aforesaid, it shall restore the Building to a tenantable condition as
expeditiously as practicable and the Lessee shall be entitled to a total or partial remission
of rent according to the extent to which and the period during which it has been deprived
of beneficial occupation of the Leased Premises. Any dispute as to whether the Building
has at any time during the operation of this Lease been rendered partially untenable or
as to whether it has at any such time been rendered substantially untenable or as to the
remission of rent to which the Lessee may be entitled hereunder, shall be submitted to
the Lessor’s Architect whose decision shall be final and binding on the parties.

12.1. For the purposes of this Clause:-

12.1.1. the Building shall be deemed to be rendered partially untenable if less

than 50% (fifty per centum) of the area thereof is destroyed or damaged
by fire or other cause; and

12.1.2. the Building shall be deemed to be rendered substantially untenable

if more than 50% (fifty per centum) of the area thereof is destroyed
Lessor Initial Here

Lessee Initial Here

17
or damaged by fire or other cause.

Lessor Initial Here

Lessee Initial Here

18
 12.2. Should a conflagration take place only in the Leased Premises, the Lessor shall
in no way be liable for any damage or loss sustained by the Lessee in
consequence thereof, nor shall the Lessee be entitled to any remission of rent
whatsoever.

12.3. The Lessee shall, at its own expense, insure the stock, fixtures and fittings
therein contained, against destruction by fire and should a conflagration take
place in the Leased Premises, the Lessee shall within a reasonable time restore
the Leased Premises and recommence trading.

13. INDEMNITY AND LIABILITY OF LESSOR

13.1. Neither the Lessor nor its agents or employees shall be liable for any damage or
injury (including loss of life) which may be caused to any of the assets of the
Lessee, including stock-in-trade, fixtures, fittings, books, papers or otherwise in
the Leased Premises, or to the Lessee or its employees, invitees, customers or
licensees in consequence of the overflow of water supply or any leakage or of
any fault in the plumbing works or any electrical fault or by reason of any of
the elements of the weather or failure on the part of the Lessor or its agents or
employees to carry out any work required of any of them in a proper manner or
by reason of any defect in the Leased Premises or any portion thereof or any of
the equipment of the Lessor, or as a result of any cause whatsoever, and the
Lessee hereby indemnifies the Lessor and holds it harmless against any claim
by its employees, invitees, customers or licensees in respect of any such
damage, injury or loss of life.

13.2. The Lessee shall have no claim of any nature whatsoever whether for
damages, remission of rent or otherwise, against the Lessor, for
any failure of or interruption in:-

13.2.1. the supply of water, gas, electricity or other amenities;

13.2.2. the cleaning services (if any) provided to the Leased Premises and/or
the Building and/or the Property, whether such interruption arises
from the negligence of the Lessor, the Lessor’s servants, viz. major,
casus fortuitous, or any other cause whatsoever.

Lessor Initial Here

Lessee Initial Here

19
14. LESSOR’S RIGHTS AND OBLIGATIONS

14.1. The Lessor shall only be responsible for the following:-

14.1.1. external maintenance, excluding glass;

14.1.2. insurance of the Building against fire;

14.1.3. the payment of municipal assessment rates and taxes payable in

respect of the Property.

14.2. The Lessee acknowledges and agrees that, upon the sale of the Property to a
third party, all of the Lessor’s rights and obligations under this Lease shall be
automatically ceded and assigned to the purchaser of the Property immediately
upon registration of transfer. The Lessee hereby consents in advance to such
cession and delegation and agrees to continue remaining bound under this
Lease

15. ALTERATIONS, FIXTURES & FITTINGS

15.1. The Lessee shall not install any fixtures or fittings in the leased premises
without the prior written consent of the Lessor, which consent shall not
be withheld unreasonably.

15.2. All alterations, changes, and improvements built, constructed, or placed on or

around the leased premises by the Lessee, with the exception of fixtures
properly removable without damage to the premises and movable personal
property, shall, unless otherwise provided by written agreement between
Lessor and Lessee, be the property of Lessor and remain at the expiration or
earlier termination of this lease to the said purchaser.

16. STRUCTURAL ALTERATIONS AND REPAIRS

The Lessor and its agents shall have the right to enter and to effect structural
alterations and/or repairs to the Leased Premises at all reasonable times. It is envisaged
that the Lessee will, of necessity, suffer some inconvenience as a result of the carrying
out of such structural alterations and/or repairs and the Lessor shall accordingly
endeavour to ensure that as little inconvenience as is reasonably possible is caused to the
Lessee thereby. The Lessee shall not, however, be entitled to claim remission of or
reduction in rental, damages or cancellation of this Lease by reason of the structural
alterations and/or repairs.

Lessor Initial Here

Lessee Initial Here

20
17. MAINTENANCE AND CONDITION OF THE LEASED PREMISES

The Lessee shall:-

17.1. prevent any blockage of any sewerage or water pipes or drains in

or used in connection with the Leased Premises;

17.2. remove at its cost any obstruction or blockage referred to in 17.1 above
which occurs in the Leased Premises;

17.3. during the operation of this Lease, care for and maintain the interior of the
Leased Premises and all the keys, locks, doors, windows, sewerage pans and
pipes, electrical installations, geysers, water taps and appurtenances therein
in good order and condition and at the termination thereof return and redeliver
the same to the Lessor in like good order and condition, fair wear and tear
excepted, and it shall make good and repair at its own cost any damage or
breakages or in the alternative, reimburse the Lessor for the cost of replacing,
repairing or making good any broken, damaged or missing items;

17.4. ensure that the Leased Premises are both adequately stocked with
merchandise and properly staffed with personnel;

17.5. clean the interior of the Leased Premises and both the interior and
exterior glazing and frames to its shop fronts and signs;

17.6. insure and keep insured, to full replacement value, all its fixtures,
fittings and installations and all goods in the Leased Premises;

17.7. maintain adequate public liability insurance;

17.8. not make any alterations or additions to the Leased Premises without the Lessor’s
prior written consent. All proposed alterations shall be submitted to the Lessor’s
Architect for his approval and he shall be entitled to require that such alterations be
effected by builders or sub-contractors nominated by him. The fees of the Architect
and the costs of such builders or sub-contractors shall be borne by the Lessee. If
any alterations or additions are made by the Lessee, it shall be obliged, at the
expiry or termination of this Lease, unless the Lessor otherwise agrees in writing
(in which case any such alterations or improvements shall become the Lessor’s
property), to remove and reinstate the Leased Premises to the condition in
which they were prior to the alterations or additions being effected. The
Lessee shall in no circumstances have any claim for compensation for any such
alterations or additions whether or not they are removed or the Leased Premises
reinstated;

17.9. pay for replacements of all fluorescent bulbs, starters, ballasts and
incandescent bulbs used in the Leased Premises;

Lessor Initial Here

Lessee Initial Here

21
 17.10. have no claim whatsoever, whether for damages or remission of rental or
cancellation of this Lease, against the Lessor, nor be entitled to withhold or
defer payment of rent by reason of any suspension or interruption in the
supply of water, gas or electricity (howsoever such suspension or interruption
may arise) or by reason of amenities in or on the Leased Premises and/or
Building being out of use or out of order for any reason whatsoever and for
any period whatsoever;

17.11. not permit the accumulation of refuse in or outside the Leased Premises, save
in the municipal refuse bins which shall be stored in such place as the Lessor
may from time to time designate;

17.12. not be entitled to the exclusive use of any yards or toilets in the Building;

17.13. not install in the Leased Premises any air conditioning apparatus
or equipment without the prior written consent of the Lessor;

17.14. not drive or permit to be driven into the walls or ceiling of the Leased Premises
nails, screws or any other object save as may be reasonably required for the
Lessee’s shelving or fixtures and fittings which fixtures and fittings will be fixed
to the walls by a method prescribed by the Lessor’s Architect. On the
termination of this Lease, the Lessee shall restore any damage done to the
Leased Premises and the Lessee shall not permit anything whatsoever to be
done therein or thereon which may be calculated to damage the walls, ceiling or
any other portion of the Leased Premises;

17.15. not be entitled to hold or permit the holding of sales by public auction in or
upon the Leased Premises.

18. SIGNS AND ADVERTISEMENTS

18.1. The Lessee shall submit drawings and specifications for all proposed sign work
to the Lessor for approval prior to installation. Signs installed without this
written approval of the Lessor may be subject to removal and re-installation
at the Lessee's expense.

18.2. All signs shall be constructed and installed, including electrical

hook- up at Lessee's expense.

18.3. The Top Signboard as per “Exhibit A” of Annexure “C” hereto shall
not exceed 70% of the storefront width and not exceed 80% of the
fascia board height.

18.4. Only vinyl window stickers & decals will be allowed on shop front windows.

18.5. The Lessee shall submit drawings and specifications for proposed light
box to Lessor for approval prior to installation.

18.6. Electrical service to all signs shall be on Lessee's meter at Lessee's expense.

Lessor Initial Here

Lessee Initial Here

22
 18.7. At the end of the Lessee's lease term or at the time the Lessee vacates
the leased premises, whichever shall first occur, the Lessee will be
responsible to remove all signs and repair or replace any damage to
the building to Lessor's satisfaction.

18.8. The Lessee shall not affix or mount posters, advertisements, or

temporary notice of whatsoever nature on the exterior of the Leased
Premises or on any part of the Building outside the Leased Premises
without the Lessor's prior written consent.

18.9. The signage was installed to the Lessor's satisfaction.

19. TO-LET NOTICES AND ACCESS

19.1. The Lessor shall be entitled to enter the Leased Premises at all reasonable
times, either through its representatives or servants or through contractors, for
the purpose of inspecting the Leased Premises or for carrying out any structural
alterations and/or repairs or other work if it should desire to do so. The Lessor
shall, in exercising its rights as aforesaid, not unduly or unreasonably interfere
with the conduct of any business lawfully carried on in the Leased Premises and
shall carry out any structural alterations and/or repairs or other work as
expeditiously as possible. The Lessee shall not have any claim for remission of
rent, compensation or damages in connection with the exercise by the Lessor of
any of its aforesaid rights.

19.2. The Lessee shall:-

19.2.1. at all reasonable times permit prospective purchasers of the Property

or (if applicable) of the share capital of the Lessor to view the interior of
the Leased Premises; and

19.2.2. during the period of 3 (three) months immediately preceding the

termination or expiry of this Lease, permit prospective tenants to view
the interior of the Leased Premises and the Lessor or any incoming
tenant to exhibit on the windows of the Leased Premises any notice
that may be required in connection with any application for any license
to carry on business in the Leased Premises.

19.3. The Lessor may affix to and exhibit on the windows of the Leased
Premises a “To Let” notice or notices during the period of 3 (three)
months immediately preceding the termination or expiry of this
Lease.

Lessor Initial Here

Lessee Initial Here

23
20. CONTRAVENTION OF LAWS

The Lessee shall:-

20.1. comply with all laws, by-laws and regulations relating to tenants or
occupiers of business premises or affecting the conduct of any business
carried on in the Leased Premises;

20.2. not contravene or permit the contravention of any of the conditions of

title under which the Property is held by the Lessor or any of the provisions of
the Town Planning Scheme applicable to the Property;

20.3. not carry on its business in such a manner as to become a nuisance to

any other occupier of the Building.

21. BREACH OF LEASE

21.1. Should the rental or any other amount payable by the Lessee in terms of
this Lease not be paid on due date or should the Lessee commit or suffer or
permit the commission of a breach of any of the other terms of this Lease,
whether or not such other breach goes to the root of this Lease, and fail to
make such payment or remedy such other breach within 7 (seven) days
after receipt of a notice in writing calling upon it to do so, or should the
Lessee or any guarantor of the Lessee be placed in liquidation, whether
provisional or final and whether voluntary or compulsory, or under judicial
management, whether provisional or final, or should the Lessee or any guarantor
of the Lessee effect a general compromise with its creditors or any other
arrangement with its creditors necessitated by or attributable to the Lessee or
any guarantor of the Lessee suffer a default judgment to be entered against
it and fail within 7 (seven) days after such judgment comes to its knowledge
to satisfy or take steps to rescind or appeal the same, or should the Lessee die
during the currency hereof, the Lessor shall be entitled but not obliged,
notwithstanding any previous waiver or anything to the contrary herein
contained, either:-

21.1.1. forthwith and without notice to cancel this Lease and to resume
possession of the Leased Premises, by changing locks if necessary,
and lock out, expel or remove Lessee and any other person who may
be occupying all or any part of the Leased Premises without prejudice
or being liable for prosecution of any claim for damages which it may
have suffered by reason of the Lessee’s breach of contract or of the
said cancellation; or

21.1.2. to vary this Lease by making it thereafter terminable on one

month’s written notice given by the Lessor; or

Lessor Initial Here

24
Lessee Initial Here

25
 21.1.3. to re-enter the Leased Premises and remove all persons and/or
property from the Leased Premises. Any property so removed shall be
stored at the cost and at the risk of the Lessee. The Lessee hereby
irrevocably constitutes the Lessor as its agent for affecting the sale of
any such goods and for affecting any of the a foregoing purposes.

21.1.4. At its option, declare the rents for the entire remaining Term, and
other indebtedness if any, immediately due and payable without
regard to whether or not possession shall have been surrendered to or
taken by the Lessor, and may commence action immediately thereupon
and recover judgment therefore.

21.2. If the Lessor cancels this Lease and the Lessee disputes the Lessor’s right to
cancel and remains in occupation of the Leased Premises, the Lessee shall,
pending settlement of such dispute, either by negotiation or litigation, continue
to pay (without prejudice to its rights) an amount equivalent to the monthly
rent together with all the other charges provided for in this Lease, monthly
and in advance on the first day of each month and the Lessor shall be
entitled to accept and recover such payments, and such payments and the
acceptance thereof shall be without prejudice to and shall not in any way
whatsoever affect the Lessor’s claim of cancellation then in dispute. If the
dispute is resolved in favour of the Lessor, the payments made and received
in terms hereof shall be deemed to be amounts paid by the Lessee on account
of damages suffered by the Lessor by reason of the cancellation of this Lease
and/or the unlawful holding over by the Lessee.

22. SURETYSHIP

22.1. If the Lessee is a partnership, then by their signatures hereto, the individual
partners of the Lessee bind themselves, both as a partnership and jointly and
severally as individuals for the Lessee’s obligations to the Lessor under or arising
out of this Lease. If any change shall occur in the composition of the
partnership, then the Lessor shall not be obliged to release any former partner
from his obligations in terms hereof and any other partner admitted to the
partnership shall similarly bind himself as stated above.

22.2. If the Lessee is a company other than a company whose shares are listed on
the Johannesburg Stock Exchange, its obligations here under shall be
guaranteed in the form of the Lessor’s standard Deed of Suretyship, Annex “B”
hereto, by its shareholders or members at the date of signature of this Lease.
Failure by any of such shareholders or members to sign the said Deed of
Suretyship shall entitle the Lessor forthwith to cancel this Lease without
affecting any claims that the Lessor may have acquired against such
company prior to the cancellation.

Lessor Initial Here

26
Lessee Initial Here

27
 22.3. If the Lessee is a trustee for a new company to be formed in accordance with
the Company Laws of the Republic of South Africa, alternatively as a nominee for
an existing company and the Company for which the Lessee contracts:

22.3.1. as trustee or nominee, has not, within 60 (sixty) days from the date
of the Lessor’s signature of this Lease:

22.3.1.1. been registered and incorporated or nominated, as the

case may be; and

22.3.1.2. adopted and ratified this Lease without modification; and

22.3.1.3. notified the Lessor in writing of the completion of the

matters referred to in 22.3.1.1 and 22.3.1.2 above and
furnished copies of its Certificate of Incorporation and the
ratifying resolution, then the Lessee shall be deemed to be
the person who signs this Lease as such trustee or
nominee, in his personal capacity. In the event of the said
company being formed or nominated timeously and the
remaining terms and conditions of this sub paragraph
being duly or timeously complied with, then all reference to
the Lessee in this Lease shall be deemed to apply to the
said company whose obligations hereunder shall be
guaranteed in the form of the Lessor's standard Deed of
Suretyship by its shareholders at the date of its
incorporation or nomination, as the case may be. Failure
by any of such shareholders to sign the said Deed of
Suretyship shall entitle the Lessor forthwith to cancel
this Lease without affecting any claims that the
Lessor may have acquired against such company prior
to the cancellation. The provisions of 22.2 and 22.3
above shall apply, mutatis mutandis, if the Lessee is a
close corporation.

23. EXCLUSION OF WARRANTIES

The Lessor does not warrant, and this Lease is not made on the basis:-

23.1. that the Leased Premises are or will at any time be fit for the use set out
in Paragraph 10 of the Schedule or for any other purpose whatsoever;

23.2. that the Lessee will be granted licenses or permits in respect of the
Leased Premises for the conduct of any business or for any other type
of use, or that any such licenses or permits will be renewed from time
to time.

Lessor Initial Here

Lessee Initial Here

28
24. JURISDICTION

At the option of the Lessor, any action or application arising out of this Lease or any
Suretyship furnished for the obligations of the Lessee hereunder may be brought in any
Magistrate's Court having jurisdiction in respect of the Lessee or the Sureties, as the case
may be, notwithstanding that the amount in issue may exceed the jurisdiction of such
Court.

25. Execution of Lease

The submission of this Lease for examination does not constitute a reservation of or
option for the Leased Premises and this Lease becomes effective as a lease only upon
execution and delivery thereof by the Lessor and Lessee. If the Lessee is a
corporation, the Lessee shall furnish the Lessor with such evidence as the Lessor
reasonably requires to evidence the binding effect on the Lessee of the execution and
delivery of this Lease.

Lessor Initial Here

Lessee Initial Here

29
If the contents of this lease are deemed sufficient and agreeable then the following
signatures would deem a rental agreement made between the following parties below.

THUS DONE AND SIGNED AT ON THIS THE ,DAY

OF 20 ,

For the Lessor:

Full Names:

Signature:

For the Lessee:

THUS DONE AND SIGNED AT ON THIS THE ,DAY

OF 20 ,

in the presence of the undersigned Witnesses:-

Full Names:

Signature:

Witnesses:

1.

Full Names Signature

2.

Full Names Signature

30
 ANNEXURE “B”
DEED OF SURETYSHIP

I/WE, the undersigned,

ID / Passport Number/s:

Physical Address: _ _ _

Postal Address:

do hereby interpose and bind myself/ourselves, jointly and severally, as surety/ies for
and co-principal debtor/s in solidum, unto and in favour of

Monaco Building (Pty) LTD- Represented by KNYATHI INVESTMENTS PTY LTD (hereinafter
referred to as “the CREDITOR”), for the payment on demand of all sums of money which
MTHEMBI EUGENE SITHOLE , (hereinafter referred to as “the DEBTOR”), may now and from time
to time hereafter owe or be indebted to the CREDITOR under o arising out of an Agreement of
Lease in respect whereof this Deed of Suretyship constitutes Annexure “B”, including (but without
limitation) damages, legal costs, interest, discount or other charges and in relation to any
immovable property, any imposts of whatever nature.

I/WE jointly and severally agree and acknowledge that:-

1. This Suretyship shall apply to cover and secure the CREDITOR and the latter’s
respective successors-in-title, orders or assigns and/or in the event of the
CREDITOR being an individual, his heirs, executors, administrators or assigns.

2. It shall always be in the discretion of the CREDITOR to determine the nature, extent
and duration of the facilities (if any) to be allowed to the DEBTOR.

3. The CREDITOR shall be at liberty to release securities or other sureties for the
DEBTOR and to extend any arrangements with the DEBTOR or me/us or any of us or
any other sureties for the DEBTOR, and no such action on the part of the CREDITOR
shall affect or in any way be construed or operate as a waiver or abandonment of
any of the CREDITOR’S rights or claims against me/us or any of us hereunder.

4. All acknowledgements of indebtedness and admissions by the DEBTOR shall be

binding on me/us.

Lessor Initial Here

Lessee Initial Here

31
5. In the event of the insolvency, liquidation, sequestration, assignment or placing
under judicial management of the estate of the DEBTOR, or in the event of a
compromise between the DEBTOR and any creditors of the DEBTOR:-

5.1. I/we undertake not to prove a claim against the DEBTOR’S estate for any
amount I/we may be called upon to pay under this Suretyship, until all
amounts (including interest and costs) due by the DEBTOR to the CREDITOR
have been paid in full;

5.2. I/we hereby agree that notwithstanding any part-payment by or on behalf

of me/us to the CREDITOR, I/we shall have no right to any cession of action in
respect of such part- payment, and shall not be entitled to take any action
against the DEBTOR or against any other surety for the DEBTOR in respect
thereof, unless and until the indebtedness of the DEBTOR to the CREDITOR shall
have been discharged in full;

5.3. I/we agree that any dividend received from the DEBTOR by the CREDITOR
in respect of the CREDITOR’S claims against the DEBTOR, shall be appropriated
in the first instance to the payment of that part (if any) of the DEBTOR’S
indebtedness to the CREDITOR which is not covered by this Suretyship;

5.4. No dividends or payments which the CREDITOR may receive from the
DEBTOR or any other surety or sureties or from me/us or any of us, shall
prejudice the CREDITOR’S right to recover from me/us or the other or others
of us, to the full extent of this Suretyship, any sum which, after the receipt of
such dividends or payments, will remain owing to the CREDITOR by the
DEBTOR;

5.5. Notwithstanding any payments received by the CREDITOR from me/us or

any of us in terms hereof, the CREDITOR shall be entitled to prove a claim
against the estate of the DEBTOR for the full amount of the indebtedness of
the DEBTOR at the date of insolvency, liquidation, sequestration,
assignment, judicial management or compromise, as the case may be.

6. The CREDITOR shall have the right to appropriate any moneys received by
the CREDITOR from me/us or any of us in terms hereof, to such indebtedness
of the DEBTOR to the CREDITOR as the CREDITOR shall decide.

7. Without prejudice to anything herein before contained, this Suretyship shall apply to
and cover the CREDITOR in respect of claims which the CREDITOR may have acquired
or in the future may acquire against the DEBTOR from any party whatsoever or
whomsoever.

8. This Suretyship shall be in addition and without prejudice to any other Suretyship/s or
security's now or at any time hereafter held by the CREDITOR in respect of the
liabilities or obligations of the DEBTOR to the CREDITOR. Should the CREDITOR cede the
CREDITOR’S claim/s against the DEBTOR to any third party/ies, then this
Suretyship shall be deemed to have been given by me/us to such cessionary/ies,
who shall be entitled to exercise all rights in terms of this Deed of Suretyship as if
such cessionary/ies were the CREDITOR

Lessor Initial Here

Lessee Initial Here

32
 9. The amount of the DEBTOR’S indebtedness and of me/us hereunder to the
CREDITOR at any time, and the fact that the due date of payment of the whole or,
as the case may be, portion of such amount has arrived, shall be determined and
proved by a certificate signed by the CREDITOR’S auditors for the time being.

9.1. A certificate in terms of 10.1 shall be:-

9.1.1. binding on me/us; and

9.1.2. prima facie proof of the amount of my/our indebtedness hereunder; and

9.1.3. valid as a liquid document against me/us in any competent court for the
purpose of obtaining provisional sentence or judgment against me/us
thereon.

9.2. At the option of the CREDITOR, any claim against me/us arising hereunder
may be brought in any Magistrate’s Court having jurisdiction, notwithstanding
that the amount of that claim may exceed the jurisdiction of the said
Magistrate’s Court.

10. Should I/we at any time in defending any action based on this Suretyship allege that:-

10.1. no money was paid over by the CREDITOR to the DEBTOR; and/or

10.2. there is no reason or cause for the DEBTOR’S obligations to the

CREDITOR; and/or

10.3. errors have been made in the calculation of the amount claimed, then
the onus of proving such a defence will rest on me/us.

11. I/We renounce the benefits of:-

11.1. exclusion - by renouncing this benefit I/we understand that the CREDITOR
becomes entitled to sue me/us for the full amount owing under this
Suretyship without first proceeding against the DEBTOR;

11.2. division - by renouncing this benefit I/we understand that where there
is more than one surety for the DEBTOR'S obligations, the CREDITOR will
be entitled to sue each such surety for the full amount owing under
this Suretyship and not only for a pro rata share;

11.3. cession of action - by renouncing this benefit I/we understand that

the CREDITOR becomes entitled to sue me/us without first ceding
the CREDITOR'S right of action against the DEBTOR to me/us.

Lessor Initial Here

Lessee Initial Here

33
12. In as much as any signatory/ies hereto is/are a company/ies, then each such company
does hereby warrant and represent to the CREDITOR that it is duly empowered by its
Memorandum of Association to enter into this Suretyship, and that it has a material
interest in securing the indebtedness covered by this Suretyship, which is entered into for
its direct or indirect benefit. The person/s signing this Suretyship on behalf of any company
shall be deemed by virtue of such signature/s to be party to the afore going warranties and
representations in his/her/their personal capacity/ies, jointly and severally with the said
company, and shall further be deemed to warrant and represent to the CREDITOR that
such person/s is/are duly authorized to execute this Suretyship on behalf of such
company. The afore going provisions shall apply, mutatis mutandis, where the
signatory/ies is/are a close corporation/s.

13. I/we choose domicilium citandi et executandi for all purposes under
this Suretyship at the above address/es, set out against my/our
name/s.

All notices addressed to me/us shall be sent by pre-paid registered post

to my/our respective address/es above, and shall be deemed to have
been received by me/us five (5) days after such posting thereof.

14. As security for the due payment by me/us of all my/our liabilities to the CREDITOR
arising under this Suretyship, and for the due performance of all my/our other obligations
arising hereunder, I/we hereby cede, assign, transfer and make over to the CREDITOR all
my/our right, title and interest in and to all claims of whatsoever nature and howsoever
arising which I/we may now or in the future have against the DEBTOR. I/we undertake to
do all such things as are necessary, whenever requested so to do by the CREDITOR, to
enable the CREDITOR to prove any claim against the DEBTOR for the amount/s so
ceded to the CREDITOR in terms hereof and/or to enable the CREDITOR to calculate
the exact amount of such claim/s, and without limiting the generality of the aforesaid,
I/we undertake to make available to the CREDITOR, upon being requested to do so, all
such books, documents and other vouchers as reflect or prove any portion of my/our
said claim/s hereby ceded.

Lessor Initial Here

Lessee Initial Here

34
 THUS DONE AND SIGNED AT ON THIS THE ,DAY

OF 20 ,

For the Lessor:

Full Names:

Signature:

For the Lessee:

THUS DONE AND SIGNED AT ON THIS THE ,DAY

OF 20 ,

in the presence of the undersigned Witnesses:-

Full Names:

Signature:

Witnesses:

1.

Full Names Signature

2.

Full Names Signature

35
 ANNEXURE “C”

LIST OF EXHIBITS

1. Monaco Building Site plan...........................................................................................33

2. Monaco Building Signboards and Signs.........................................................................34

36
Lessor Initial Here

Lessee Initial Here

37
Lessor Initial Here

Lessee Initial Here

38