Lease Agreement with Peterson's Harley-Davidson of Miami, LLC (2) ? i j
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440-76)161
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LEASE AGREEMENT
BETWEEN THE CITY OF MIAMI BEACH
AND PETERSON'S HARLEY-DAVIDSON OF MIAMI,LLC
FOR HARLEY-DAVIDSON POLICE MOTORCYCLES
This Agreement made and entered into between Peterson's Harley-Davidson of Miami,LLC,
designated as the Lessor, and the City of Miami Beach,designated as the Lessee,made this
2j day of yr ei-iBen. ,20 ? for the purpose of leasing nineteen(19)black
FLHTP Harley-Davidson Police motorcycles under the following terms and conditions:
1) EQUIPMENT: 2020 black FLHTP Harley-Davidson Police solo motorcycle with the
complete description provided on specification sheet attached hereto as Exhibit 1.
2) AGREEMENT TERM:The term of this Agreement shall commence on the date of
delivery of the aforesaid police motorcycles and continue thereafter for a period of
twenty-four(24)months. Motorcycles leased under this Agreement are to be used'for
police and.related-activities:off-duty details,funeral escorts and parades only:Any other _-_._
use shall require the prior written consent of Lessor.At the end of the Agreement term,
Lessee shall return the motorcycles to Peterson's Harley-Davidson of Miami, L.L.C.
By mutual,agreement of the parties,Lessee may extend the term of this Agreement for up
to ninety(90)calendar days beyond the expiration of the term,if needed,while a new
agreement is being negotiated. If this right is exercised, Lessee shall notify Lessor,in
writing, and prior to ninety(90) calendar days of the expiration of the term, of its intent
to extend the Agreement beyond the term for a specific number of days, subject to the
same terms and conditions set forth in this Agreement. If Lessee keeps possession of the
motorcycles past the expiration of this Agreement,the Lessee shall continue to pay the
monthly payments as specified in this Agreement. The Lessee shall also pay the Lessor
any damages, which the Lessor may be due,because the Lessee failed to return the
motorcycles at the expiration of this Agreement,unless such arrangement was mutually
agreed upon prior to the expiration of this Agreement.
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3) PAYMENT PERIOD: Lessee shall pay monthly payments in the amount of$650.00 for
each motorcycle. Payments include the cost of equipment,payment of interest,
maintenance and administrative costs,less the residual value of the motorcycle. Lease of
motorcycles will be billed around the 5th day of each month and payable within 30 days
of the date billed during the term of this lease.
4) HOLD HARMLESS INDEMNIFICATION BETWEEN PARTIES: Subject to the
provisions and monetary limitations of Section 768.28(5),Florida Statutes, which
limitations shall be applicable regardless of whether such provisions would otherwise
apply, and to the extent permitted by law,the Lessee shall and does hereby indemnify
and save the Lessor harmless from any and all liability arising out of the leasing,renting,
{ operation, control,use, delivery and/or return of the motorcycle including,but not limited
to injuries causing personal injury,property damage and/or death, except for damages
resulting from a design fault in the product or the negligence of willful misconduct of the
Lessor,but shall be credited with any amounts received by the Lessee with respect
thereto from liability insurance by the Lessee. The indemnification shall include all costs
and expenses including Attorney's fees incurred by the Lessor in connection with any
suits or actions resulting from there from. Nothing contained herein is intended nor shall
be construed to waive Lessee's right and immunities under common Iaw and Section
768.28, Florida Statutes.
5) LIENS:The Lessee shall not directly or indirectly create,incur, assume,or suffer to exist
any mortgage,pledge,lien, charge, and encumbrance or claim on or with respect to the
motorcycle, except with respect to the respective rights of the Lessor as herein provided.
Lessee shall promptly, as its own expense,take such actions as may be necessary to duly
discharge any such mortgage,pledge,lien,charge, encumbrance or claim not excepted
above if the same shall arise at any time due to the Lessee's action or inaction.
6) TAXES AND FEES: The Lessee shall pay any necessary taxes or fees,including but not
limited to Sales and Use.Tax,_Excise Tax,_PersonalProperty Tax, assessments,.penalties,__._. . _ .._,_._. •
licenses,fees,registration fees, freight and transportation charges,permits and any
similar charges imposed on the ownership,possession or use of the motorcycle during the
term of the Agreement. Both parties recognize that the Lessee is tax exempt under
Florida Law.
7) CARE AND USE OF EQUIPMENT:The Lessor agrees to maintain the motorcycle
pursuant to the manufacturer's standard preventative maintenance plan and/or
recommendation,pursuant to the provisions set forth in Paragraph 13 below. All repairs
shall be made at Peterson's Harley-Davidson of Miami LLC.,located at 19400 NW 2'd
Ave.,Miami,FL 33169. The Lessee,at its own cost and expense,shall ensure delivery
of the Motorcycle to Peterson's Harley-Davidson of Miami LLC., located at 19400 NW
2'a Ave., Miami,FL 33169,at regular intervals set up by the Lessor in accordance with
the service schedule attached hereto as.Exhibit 2.The Lessee shall protect the motorcycle
from deterioration other than normal wear and tear, shall use the motorcycle for police
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related activities only,without abuse,and shall not make modifications, alterations or
additions to the motorcycle(other than normal operating accessories or controls)without
written consent of the Lessor,which shall not be unreasonably withheld.The Lessor shall
have the right,during regular business hours to enter upon the premises where the
motorcycle is located in order to inspect, observe or otherwise protect the Lessor's
interest and the Lessee shall afford them the opportunity to do so.
8) DAMAGE OR DETERIORATION OF MOTORCYCLES: In the event the
motorcycle is damaged due to the actions of the Lessee or its employees prior to the end
of this Agreement,the Lessee will promptly have the motorcycle repaired and restored to
its original condition and working order. Any damage done to lease motorcycles during
the officers'training will be repaired as soon as possible following damage at Lessee's
expense. This includes damage done to engine,transmission,brakes,paint, and body
parts. All repairs must be done at the Lessor's repair facility located at 19400 NW 2"d
Ave.,Miami,FL 33169. In case of theft or total loss of the motorcycle,the replacement
value shall be$25,000.00 minus 2%for each month the agreement is in effect.
9) SELECTION OR RIDER:The Lessor reserves the right to reject any rider of his
motorcycle so as to be assured that proper handling and care is exercised.
10)RIDER RESPONSIBILITY AND PRIVILEGES:The rider will be responsible for
keeping the motorcycle clean and is required to report any defects or abnormalities. The
rider shall be allowed to use the motorcycle to go back and forth to work provided that it
is fully insured at all times by the Lessee and the distance is no more than thirty(30)
miles each way per motorcycle during the lease period. For each mile driven per
motorcycle over 20,000 total miles during the lease period,there shall be a 15 cents per
mile charge.
11)EVENTS OF DEFAULT AND REMEDIES: Lessee shall be deemed to be in default
hereunder upon the happening of any of the following events of default:
a). Lessee shall fail to make any periodic payment,_or_to:pay any,other.payments
j required to be paid hereunder,or
b) Lessee shall fail to keep any such other term, covenant or condition contained herein.
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Upon the occurrence of an event of default as specified above,and upon the failure of
Lessee to remedy such event of default with all reasonable dispatch within a period of
thirty(30)days from receipt of written notice,Lessor or its assigns'shall have the right, at
its option without any further demand or notice,to pursue any of the following remedies:
a) , By written notice to Lessee, declare an amount equal to all payments due during the
Agreement term to be immediately due and payable as liquidated damages and not
as a penalty,whereupon the same shall become immediately due and payable.
b) Re-enter and take possession of the equipment,enforce this Agreement or terminate
the Agreement,and repossess the equipment and sell or lease the equipment for the
account of the Lessee,holding Lessee liable for all payments up to the effective date
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of such leasing or selling and for the difference in the purchase price,rental and
other amounts paid by the Lessee or purchaser pursuant to such lease or sale and the
amounts payable by Lessee hereunder,and
c) Any action at law or in equity as may appear necessary to collect the payments then
due and thereafter to become due or to enforce performance and observance of any
obligation,agreement or covenant of Lessee under this Agreement upon failure to
comply with any term,covenant or condition contained herein.
12)MAINTENANCE AND EQUIPMENT: Lessor shall provide certain maintenance for
the motorcycle at no cost to the Lessee,limited to regular scheduled services as
recommended by the factory in accordance with the service schedule attached hereto as
Exhibit 2. Parts and labor on clutch replacements,tires,brakes, and physical damages
will be the responsibility of the Lessee. Lessee shall also be responsible for the
installation or transfer of any department owned equipment,such as radars,radios, set-
corn,moto-lights, and cameras. The Lessor shall not supply Lessee with gasoline or
radios.All maintenance shall be done at Peterson's Harley-Davidson,located at 19400
NW 2nd Ave.,Miami, FL 33169.
The Harley-Davidson Motor Company warranty on the leased motorcycles is for a period
of twenty-four(24)months coinciding with the lease term agreed upon between the
parties.)In the event the Lessee retains the motorcycles at the conclusion of the twenty-
four(24)month lease,the Lessee shall be responsible for the cost of maintenance,labor,
and parts incurred subsequent to the expiration of the twenty-four(24)month lease.
13)SUBLEASE OR ASSIGNMENT: Neither the Lessor,nor the Lessee may assign this
lease. Neither the Lessor nor the Lessee may affect the subleasing of the motorcycle.
14)TERMINATION: Either party may at any time during the term hereof,upon thirty(30)
days written notice to the other party,terminate this Agreement with or without cause.
Lessor shall be entitled to lease payments due or incurred to the date of such termination::.
15)ENTIRE AGREEMENT;AMENDMENTS:This_Agreement..constitutes.the entire
agreement between Lessor and Lessee, and all negotiations and oral understandings are
merged herein. No modification, amendment or alteration in the terms or conditions of
this Agreement shall be effective unless contained in a written document executed with
the same formality as this Agreement and signed by each Party.
16)CONSENT TO JURISDICTION:The Parties submit to the jurisdiction of any Florida
state or federal court in any action or proceeding arising out of,or relating to, this
Agreement. Venue of any action to enforce this Agreement shall be in Miami-Dade
County,Florida.
17)GOVERNING LAW:This Agreement shall be construed in accordance with, and
governed by,the laws of the State of Florida.
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18)HEADINGS: Headings are for convenience of reference only and shall not be considered
( in any interpretation of this Agreement.
19)SEVERABILITY: If any provision of this Agreement or the application thereof to any
person or situation shall to any extent,be held invalid or unenforceable,the remainder of
this Agreement,and the application of such provisions to persons or situations other than
those as to which it shall have been held invalid or unenforceable shall not be affected
thereby, and shall continue in full force and effect, and be enforced to the fullest extent
permitted by law.
20)WAIVER: The waiver by either Party of any failure on the part of the other Party to
perform in accordance with any of the terms or conditions of this Agreement shall not be
construed as a waiver of any future or continuing similar or dissimilar failure.
21)COSTS AND ATTORNEY'S FEES: If either Lessor or Lessee are required to enforce
the terms of this Agreement by court proceedings or otherwise, whether or not formal
legal action is required,the prevailing Party shall be entitled to recover from the other
Party all such costs and expenses, including but not limited to, costs and reasonable
attorney's fees.
IN WITNESS WHEREOF,the parties hereto have executed this Agreement.
City: Peterson's Harley-Davidson of Miami, LLC:
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Signature i f Auth.. 'zed Representative Signature of Authorized Representative
Dirk Peterson, Owner
Name.&Title
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ATTES • • -• VED AS T O
FORM LANGUAGE
/ � / fIg "-Fe' 'EXECUTION
Rafael E.Grande,City Clerk
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,_? .• "•' e • City Attorney INV ate
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INCORP ORATED !
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