HomeMy WebLinkAboutContracts & Agreements_28-1971AN AGREEMENT BETWEEN LOUIS A. STOLP, REDLANDS
AIRPORT FACILITIES, AND EARL GRIGSBY FOR THE
USE OF REAL PROPERTY AND CERTAIN RIGHTS
RELATIVE TO THE REDLANDS MUNICIPAL AIRPORT
THIS AGREEMENT, executed in duplicate at Redlands,
California, on the day of 1971, between
Louis A. Stolp, Redlands Airport Facilities, and Earl Grigsby
hereafter called respectively the Lessor and Lessee, with-
out regard to number or gender. The "City" referred to in
this Agreement is the City of Redlands, California, a municipal
corporation, the legal owner of Redlands Municipal Airport.
IT IS AGREED between the parties hereto as follows:
DESCRIPTION OF PREMISES: The Lessor hereby leases
to Lessee, and Lessee hires from Lessor, on the terms and
conditions hereinafter set forth, those certain premises with
the appurtenances, situated in the County of San Bernardino,
State of California, and described in Exhibit "A" which is
attached hereto and made a part hereof by reference.
TERM: The term of the within lease shall be for
two (2) years, commencing as of the date that this agreement
is executed by the parties hereto.
RENT: The total rent is One Hundred Dollars ($100.00)
per month or One Dollar ($1.00) for each revenue flight hour,
whichever is the greater, for airplanes operated by Lessee
from. the Redlands Municipal Airport, plus two percent (2�)
of the contract sales price of any aircraft or airman accesso-
ries sold by Lessee by virtue of its operations as herein set
forth. The last three months miniinum rent of Three Hundred
Dollars ($300.00) shall be paid on the effective date of this
agreement and shall be a deposit as security for Lessee's per-
formance of the covenants of the lease to which the lessor may
resort for payment of damages arising from breach, should such
occur, by the Lessee, of this agreement. It is agreed that
the Lessee is entitled to receive back that part of the security
which has not been applied in satisfaction of damages arising
from such breach of this agreement should it occur.
DELAY IN DELIVERY OF POSSESSION: If Lessor, for any
reason whatsoever, cannot deliver possession of the said
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premises to Lessee at the commencement of the said term, as
hereinbefore specified, this lease shall not be void or voidable,
but the Lessor shall be liable to the Lessee for any loss or
damage resulting therefrom; and the term of the lease shall be
extended by the delay for a period equal thereto.
USE: The premises are leased to the Lessee for the
purpose of permitting Lessee to conduct thereon a fixed -base
operation which may include the following: sale of new and
used aircraft, retail and wholesale, together with such equip-
ment as the purchaser wishes to add thereto; flight operations,
including demonstrations of aircraft for sale, charter (with
or without pilot), flight training (primary and advanced, in-
cluding instrument and multi -engine) and air charter, not air
taxi (scheduled or unscheduled); sale of airman supplies and
accessories excepting such as would become an intregal part of
an aircraft. Lessee shall not use, or permit said premises, or
any part thereof, to be used for any purpose or purposes other
than the purpose or purposes for which the said premises are
hereby leased.
UTILITIES: Lessee shall pay for its telephone and
electric service.
REPAIRS: Lessee shall, at its sole cost, keep and
maintain ,said premises and appurtenances and every part thereof
(excepting exterior walls and, roofs which Lessor agrees to re-
pair) in good and sanitary condition and repair, and agrees to
return said premises and appurtenances in as good condition as
they were on the effective date of this agreement, normal wear
and tear excepted. Lessor agrees to maintain the exterior walls
and roofs in good and sanitary condition and repair throughout
the term of this agreement.
NONLIABILITY OF OWNER FOR DAMAGES: This lease is
made upon the express condition that Lessor is to be free from
all liability and claim for damages by reason of any injury to
any person or persons, including Lessee, from any cause or
causes whatsoever while in or upon the said demised premises,
Lessee hereby covenanting and agreeing to indemnify and save
harmless Lessor from all liability, loss, cost, and obligations
on account of or arising out of any such injuries or losses
however occurring.
INSURANCE:
a. Lessee shall indemnify and save harmless the City,
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its officers, agents, and employees as well as Louis A. Stolp,
Redlands Airport Facilities, their officers and employees from
and against any and all claims, demands, loss or liability of
any kind or nature which City, its officers, agents and em-
ployees, or any of them, or Louis A. Stolp, Redlands Airport
Facilities, their officers and employees or any of them, may
sustain or incur or which may be imposed upon them or any of
them, for injury to or death of any persons or damage to any
property in the use of the premises described in the "Property
Leased" section herein.
b. As a condition precedent to the effectiveness
of the Lease and in partial performance of the Lessee's ob-
ligations hereunder, the Lessee shall obtain and maintain in
full force and effect during the term of this agreement, a
policy or policies of Liability Insurance in carriers and in
form satisfactory to City with minimum limits of $100,000/300,000
Bodily Injury, and $100,000 Property Damage Insurance. In
addition, Aircraft Passenger Liability Insurance of $50,000 per
passenger seat shall also be provided. Lessee shall cause to be
attached to all of said policies of insurance an endorsement
stating that the City of Redlands, its officers, employees,
agents, Boards and Commissions, and Louis A. Stolp, Redlands
Airport Facilities, their officers and employees, are included
as named insureds.
C. The policy shall further provide that the same
shall not be cancelled or coverage reduced until a thirty (30)
day -written notice of cancellation has been served upon the
City and the Lessor.
d. Lessee shall, coincidentally with the execution
of the Lease, deliver an acceptable Certificate of Insurance
on the approved City of Redlands Insurance Certificate Form and
certified or photostatic copy of said policies of insurance to
City and the Lessor.
e. The procuring of such policies of insurance shall
not be construed to be a limitation upon the Lessee's liability,
or as a full performance on its part of the indemnification pro-
visions of this Lease. Lessee's obligation being, notwith-
standing said policies of insurance, for the full and total
amount of any damage, injury or loss caused by negligence or
neglect connected with its operation under this Lease.
f. Lessee shall have Workman's Compensation coverage,
as required by State of California law.
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DISCOUNTS: Lessor agrees to provide to Lessee for
the term of this Agreement and any additional term granted
hereby the following discounts:
a. A ten percent (10%) discount from retail market
price on all parts sold to Lessee by Lessor except where such
sale results in a net loss to Lessor.
b. A One Dollar ($1.00) per hour discount at the
prevailing rates for labor on all labor performed by Lessor
on aircraft owned or operated by Lessee.
SERVICES: Lessee agrees to provide such of the
services spelled out in the section entitled USES as are
economically feasible during the hours from 8s00 a.m., local
standard time, to dusk, seven (7) days a week, for the term
of this Agreement. The Lessee expressly agrees to maintain an
office with telephone service and for this purpose Lessor will
grant any and all licenses or easements necessary for the
installation and maintenance of said telephone service. Lessee
agrees to base no less than two airplanes, a two -place and a
four -place, at Redlands Municipal Airport which said aircraft
shall be available for flight instruction or rental, it being
understood between the parties however, that when such air-
craft are being used for such purposes or are down for necessary
repair and maintenance, Lessee is under no obligation to furnish
substitute aircraft.
INTERPRETATION: It is agreed that any ambiguity
within this agreement is to be interpreted in the light of the
intent and purposes of the Airport Lease and the Management
Agreement executed by Lessor and the City of Redlands as such
are presently in effect.
NON-EXCLUSIVE PRIVILEGE: It is understood by and
between the parties hereto that the privileges granted to the
Lessor in the aforesaid agreements with the City of Redlands
are non-exclusive in that equal privileges may be granted to
others on properties other than those owned and/or operated by
Lessor and to this extent the privileges herein acquired by
Lessee are non-exclusive.
ASSIGNMENT: The Lessee shall
lease nor sublet the demised property or
without the prior written consent of the
of the City of Redlands.
ME'a
not sell or assign this
any portion thereof
Lessor and the approval
RELEASE OF OBLIGATION: If by virtue of the act of
the Lessor or the City of Redlands or the failure to act of
either parties, for any reason whatsoever, including but not
limited to the repair or realignment of existing runways or
taxiways, Lessee is unable to operate the flight services
hereinabove described as such, Lessee shall be relieved from
its obligation to pay rent proportionately to the time it was
unable to operate, half -days being counted as whole days, but
nothing herein shall relieve the Lessee from payment of other
fees or charges set forth herein during such periods.
ATTORNEY FEES: In the case suit is brought to compel
the performance of any of the provisions of this agreement, or
to seek damages for the breach thereof, the prevailing party
shall be entitled to reasonable attorneys' fees, which shall
be fixed by the court, and costs.
HOLDING OVER: Any holding over after the expiration
of the said term, with the consent of the Lessor, shall be
construed a tenancy from month to month, at the same rent as
herein set forth, and shall otherwise be on the terms and con-
ditions herein specified, so far as applicable.
BINDING ON SUCCESSORS: The covenants and conditions
herein contained shall, subject to the provisions as to assign-
ment, apply to and bind the heirs, successors, executors,
administrators, and assigns of all of the parties hereto! and
all of the parties hereto shall be jointly and severally liable
hereunder.
ADVERTISING: The Lessee may advertise in any manner
so long as Lessee complies with the ordinances and regulations
of the City of Redlands and secures permission in writing from
Lessor for the erection of all external signs on leased premises.
TIME is the essence of the Lease.
TAXES: Lessee agrees to pay all taxes imposed or
assessed upon his property located at Redlands Municipal Airport.
NOTICES: It is agreed that any notice to be given
or served upon Earl Grigsby the Lessee, shall be sufficient if
sent by registered mail, postage prepaid, addressed to 7515 Olive
Tree Lane, Highland, California, and any notice to be given or
served upon Redlands Airport Facilities shall be sufficient if
sent by registered mail, postage prepaid, addressed to Redlands
Airport Facilities, P. O. Box 694, Mentone, California 92359.
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OPTION TO RENEW LEASE: Lessee is hereby granted
an option to renew this lease for a further period of two (2)
years from and after the expiration of the original term on
the same terms and conditions as herein set forth so far as
applicable. Written notice of Lessee's intention to renew
this lease shall be given to Lessor at least 90 days prior to
the expiration of this lease.
TERMINATION OF AGREEMENT: In the event that City of
Redlands terminates the City's Airport Lease and the Management
Agreement with the Lessor, this Lease is automatically ter-
minated as of the same date.
IN WITNESS WHEREOF, Lessor and Lessee have executed
this lease on the j r,�' day of (9r..a,% 1971, and
make it effective herefrom.
Redlands Airport Facilities
Louis A. Stolp
By
Earl Grigsby
By
APPROVED
City of Redlands
W. -
P. ecto. Merritt, jr.
Di r of Aviation
Attachment: Exhibit "A"
Area leased
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CERTIFICA WOF INSURANCE
(Genera? Operations)
ISSUED TO; City of Redlands, Box 280, Redlands, California 92374
Middlesex gutual Concord, passabucetts
Name of Insurance Company
does hereby certify that the following described policy is in force at
this date, and that the following statements are correct:
Policy No. WC 10438 - Policy Period 28 N0V•e 19ZQ t0
Inception Expiration
Name of insured Earl C�
� v ,f,] sy MyG Q E>y
yjnx service
Post Office Address P. 0Box mentynn� California
Street City State
COVERAGES AND LIMITS OF LIABILITY
010090001 each person
BOD='-f !NJURY LIABILITY $300,000. each occurrence
Pas>wn�'�.r L� ability Per Seat $ aggregate
rm wo g� � e p oduc Ls
p? P1RTLY L2N.-INTGE LIABILITY EO3OBILE
each- accurre:lc'D
PROPERTY a ]I/L� t�' i, ITY
_�Ga -�c� �_.: �•� LT--EIL..,._
.�i� �4���
�
each occ't?rrenc�.
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EXCEPT AUTOr�OBIL�
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aggregate
operations
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aggregate
protective
aggregate
products
aggregate
contractual
The policy described above contains
or has been
endorsed to
contain the
following conditions-,
Hazards Covered
The policy is a Comprehensive Liability form covering the l i abi? ity of
the insured ytarising ' out or the following ng hazards-, (1) Premises and
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Ya O s .icy'} v_ c''-. �- a.t
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J►�y�J'?Pr _-��-'t� s�s?1 � � •'l,��dM'r.:r� .,: �`s"ty 1'�.�.t � s'�? �c-� liti`Ti{t fci �3 � � �1
Additional Named insureds
City of Redlands, Officers, Employees, Agents, Boards and Commissions
are included as named insureds,
Primary insurance
The insurance afforded by the policy as respects the additional named
insureds shall be primary insurance.
Notice of Cancellation or Change
Cancellation or material Change in the policy shall not be effective as
respects the interests of the additional named insureds before thirty
(30) days after written notice of such change or cancellation has been
received by the City Of Redlands at their address s"_noi4n herein.
!NSURANCE COMPAtV it
AddrassKnoord.
AUTHORIZED h::i.�PRESEWTA1'! V E
Names 8 e �, � q Cook & Cry
Addresa, ,p tT4 BOX 15U Yi061csndso C
Signed:
art ad s
29 September 1971
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