Equipment Loan Agreement
An equipment loan agreement is an official document that is drafted when the equipment owned by an individual or an organization is loaned to another individual or organization. The party lending the equipment is referred to as the lender and the party borrowing the equipment is referred to as the borrower. The details mentioned in this agreement are the type of equipment loaned, the loan period, the deposit or rental amount required to be paid by the borrower for loaning the equipment and other terms and conditions.
Sample Equipment Loan Agreement
This equipment loan agreement has been drafted between Eric Seagull referred to as the borrower and Jude Law referred to as the lender.
As per the agreement the lender will loan five garment manufacturing machines from his factory to the borrower.
The terms and conditions agreed by both the parties in this agreement are as follows:
- The loan period begins from 5th of July 2012 and is valid for a period of two years that is till 4th of July 2013.
- The borrower takes the responsibility of collecting the equipments from the lender and the transportation costs to shift the machines will be borne by the borrower.
- The lender assures that the equipments are in proper working condition. In case any fault is found in the equipment in future, the borrower will be held responsible.
- The borrower has to pay a monthly rental amount of $500 for the equipments. The rent has to be paid by 3rd of every month
- The borrower assures that the equipments will be maintained on a regular basis.
- If the equipments are damaged then borrower will be held responsible for that and will be responsible for their repairing.
In agreement to the above terms and conditions, both the parties have put their signature below:
Signature of the borrower: ________________
Signature of the lender: ________________
Category: Loan Agreements