Rental Application

TERMS:

All persons renting from hdrental.com will agree to the following terms and conditions: All rental agreements will be between hdrental.com known as the lessor and the person, entity and or company receiving the equipment herein known as the lessee hdrental.com is owned by Jonathan Schneider, Inc. which is a California Corporation located at 25815 Hammet Circle, Stevenson Ranch, CA 91381. All legal disputes, actions and or judgments will be with Jonathan Schneider, Inc.

Insurance Certificate: With or without demand but prior to delivery of any of the Equipment, Lessee shall furnish Lessor with a Certificate of Insurance, signed by an authorized representative or agent of an insurance carrier admitted in California, with an A.M. Best rating of A or higher, setting forth all of the required coverage’s set forth below. All such insurance shall be in full effect at all times from Delivery to Return, and shall be obtained and maintained by Lessee at Lessee’s sole cost and expense. Such required policies include (3) Comprehensive General Liability Insurance (CGL); (4) Personal Property Insurance; (5) Business Auto Coverage; and (6) Workers’ Compensation/Employers Liability coverage. The requirements for and minimum limits of such policies are set forth below.

Subrogation Waiver: All of Lessee’s insurance policies hereunder shall contain an express waiver of subrogation against Lessor.

Liability Insurance:

(A) Commercial General Liability Insurance (GCL): Commercial General Liability Insurance shall include independent contractor and contractual liability coverage, specifically referring to this Agreement and to the hold-harmless terms herein. Lessor shall be named an additional insured. Such insurance shall include broad-form contractual liability, personal injury liability, completed operations, and products liability, with minimum $2,000,000 general aggregate limits, minimum $1,000,000 personal injury limits (per-occurrence), and minimum $1,000,000 advertising injury limits (per-occurrence). Any such policy must expressly state that it is primary coverage as to all insured’s, and that their policy limits must be paid out prior to any obligation arising under any other insurance policy, including those maintained by Lessor.

(B) Personal Property Insurance: Property insurance shall cover “full replacement cost” and including an amount sufficient to cover Lessor’s rental charges until the Equipment is repaired or replace. Lessor shall be named an additional insured and loss payee on each such policy or policies.

(C) Business Auto Insurance: Business automobile insurance shall provide minimum comprehensive/collision coverage of $1,000,000.00 combined single limits and actual cash value. The maximum deductible shall be $1,000 for physical damage for comprehensive/collision damage or loss. Such coverage shall specifically include load co- owned vehicles. Lessor shall be named as an additional insured on the liability coverage and as an express loss payee all physical damage coverage.

(D) Workers Compensation: Workers’ compensation/Employers Liability coverage shall provide minimum $1,000,000 limits.

(IV) Notice of Cancellation: Lessee shall give Lessor reasonable but in no event less than thirty (30) days ‘written notice before any cancellation, revocation or change to any insurance policy(ies) required under this paragraph.

(V) Lessee’s Failure to Obtain or Maintain Required Insurance Policies: Lessee’s failure to obtain or maintain any required insurance coverage under this paragraph shall constitute a default under this Agreement. At Lessor’s sole election, Lessor may, but shall not be required to, obtain such coverage. In such circumstance, Lessee shall immediately reimburse Lessor for the costs of obtaining such coverage, including an administrative fee, in addition to any remedies which Lessor may have.

Risk of Damage and Loss: Lessee bears all risk of damage and loss to the Equipment during all times that the Equipment is out of Lessor’s possession and/or control, including all times in which the Equipment is in transit (except where the Equipment is shipped by Lessor’s employees in which case, Lessee bears all risk of damage and loss to the Equipment upon delivery).

Actual Damage or Loss: For any damage and/or loss while the Equipment is out of Lessor’s possession, Lessee shall be liable for the actual cost of repair in addition to all continuing rental charges until the Equipment is available as a part of Lessor’s rental inventory. Where the repairs cannot be timely completed or where repairs would be unfeasible in Lessor’s sole discretion, Lessee shall be liable for the Equipment’s full replacement cost in addition to the continuing rental charges until the Equipment is replaced. If any of the Equipment is lost, stolen or otherwise made unavailable such as by private or government seizure while not in the possession of Lessor, Lessee shall be liable for the Equipment’s full replacement cost in addition to the continuing rental charges until the Equipment is replaced. In all circumstances under this paragraph, rental charges shall continue and Lessor shall not be required to repair or replace any of the Equipment until and unless Lessee has made advance payment to Lessor for the full repair or replacement.

Transit: Lessee may arrange with a shipping service of Lessee’s choice, and shall notify Lessor of such arrangement at the time of the rental order. In the absence of such notification, Lessor may arrange with a shipping service or Lessor may ship the Equipment itself. If Lessor arranges with a shipping service, Lessee shall bear for all risk of loss or damage after the Equipment leaves Lessor’s possession. If Lessor ships the Equipment directly or arranges with a shipping service, Lessee shall pay all fees and

Inspection and Acceptance: Lessee shall inspect the Equipment immediately upon delivery to confirm that it is in proper working order and that it is correctly identified on the Equipment Schedule and/or Equipment Receipt. If Lessee finds that the Equipment is not in proper working order in any respect, or is no correctly identified, Lessee shall so notify Lessor immediately. Unless Lessor is so notified, Lessee is deemed to have accepted the Equipment in proper working order in all respects; Late notice of any discrepancy in identification or that any of the Equipment is not in proper working order shall be invalid. Lessor shall have a continuing right to inspect any or all of the Equipment, including inspection as to how the Equipment is being used, at reasonable times on reasonable notice to Lessee.

Holding Over: It is Lessee’s sole responsibility to ensure that all of the Equipment is returned to Lessor at the end of the rental period set forth in the Agreement. Should Lessee, for any reason, retain any of the Equipment for a longer period than the stated lease period, whether or not the Equipment is being used by Lessee, Lessor may, at its sole option, declare Lessee in Default hereunder. In addition to, and not in lieu of, any other remedies hereunder, Lessor shall be entitled to and Lessee shall pay to Lessor the full rental amount for any such hold-over period on a pro-rated basis or Lessor’s daily rental rate for each day the Equipment is not returned by the end of the rental period, whichever is greater.

Default and Remedies: (A) Should Lessee (i) not make any required payment when due or (ii) fail to perform any material term or condition of this Agreement or (B) Should the occurrence of default set forth in other parts of this Agreement deem Lessee in default, then Lessor may, in addition to Lessor’s other legal and equitable remedies which are not waived, may exercise one more of the following options, without prior notice, demand, or legal process.

(1) Repossess all Equipment;

(2) Recover from Lessee all sums then due;

(3) Recover from Lessee all damages caused by Lessee;

(4) Retain all prior payments received under this Agreement, and apply same as a set- off against all damages caused by Lessee and/or all sums due under this Agreement.

(5) Recover from Lessee all fees and expenses incurred by Lessor arising out of the enforcement of the Terms and Conditions of this Agreement, including, but not limited to pre- litigation and litigation-related attorney fees and court costs. Attorney fees shall be recoverable whether or not a legal action is filed under this paragraph.

(6) Retroactively revoke any discounts and/or any other favorable-to-Lessee non- standard terms previously given to Lessee.

7) Use the Lessee’s credit card [which is on file from the credit application] to pay for any and all loss or damage.

Use and Misuse: Lessee shall not abuse or misuse any of the Equipment. Lessee shall not use, transport, or store any of the Equipment in any manner or location which could subject it to undue risk of damage. The Equipment shall be used only by trained and qualified employees and/or agents of Lessee. Lessee shall use all of the Equipment in full compliance with all manufacturers’ instructions, and in full compliance with all applicable federal, state and local laws and regulations. Lessee shall take all necessary precautions during the use, transport and storage of all of the Equipment to protect all of the Equipment and all persons from damage or injury. Lessee shall not alter, repair, or otherwise modify any of the Equipment, including but not limited to altering or removing Lessor’s and the manufacturer’s identification, without the prior written consent of Lessor, which consent may be withheld, delayed and denied at Lessee’s sole discretion.

Entire Agreement: These Mandatory Terms and Conditions, together with the credit agreement, rental agreement, and schedules, constitute the sole agreement between Lessor and Lessee. It may only be amended, revised or superseded by an agreement subsequently prepared and signed by Lessor and Lessee. No verbal statement by any employee of Lessor which is materially different from any term or condition herein shall be deemed authorized or shall have any force and effect unless in writing signed by an authorized representative of Lessor. In the event that any portion of these Mandatory Terms and Conditions, and any agreement to which they for a part of, is deemed to be unenforceable for any reason, the other portions shall remain in full force and effect.