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LEASE

Lease Agreement

LEASE | Document Parties: Coatings, Incorporated | Northern Ohio Property Management, LLC You are currently viewing:
This Lease Agreement involves

Coatings, Incorporated | Northern Ohio Property Management, LLC

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Title: LEASE
Date: 7/30/2007

LEASE, Parties: coatings  incorporated , northern ohio property management  llc
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Exhibit 10.17

LEASE

THIS INSTRUMENT OF LEASE made and entered into in Summit County, Ohio, this __

day of August, 2006, by and between Northern Ohio Property Management, LLC, and

Ohio limited liability company, hereinafter referred to as "Lessor," and Ecology

Coatings, Incorporated, a California corporation, hereinafter referred to as

"Lessee."

WITNESSETH:

In consideration of the rents hereinafter reserved, and further in

consideration of the mutual covenants, conditions, agreements and stipulations

of Lessor and Lessee hereinafter expressed, the parties hereby agree as follows:

PREMISES

1. Lessor hereby leases to Lessee and Lessee hereby leases from Lessor those

certain premises known as 1238 Brittain Road, Summit County, Akron, Ohio,

hereinafter referred to as "LEASED PREMISES".

TERM

2. The term of this Lease and Lessee's obligation to pay rent hereunder shall be

for a term of 1 year(s) and shall commence on the 1st day of September, 2006,

and extend through the 31st day of august, 2007, unless sooner terminated as

hereinafter provided.

GUARANTEED RENTAL

3. During, and in year(s) 1 through 1, of the lease term, Lessee agrees to pay

to Lessor guaranteed rent in the amount of One Thousand Eight Hundred Dollars

($1,800.00) per month, and further during year(s) ___ through ___,

________________________ ($________) per month, and further during year(s) ___

through ___, ________________________ ($________) per month. Each rental payment

shall be made in advance on the first day of every calendar month during the

term of this Lease and continue until the expiration thereof.

USE OF LEASED PREMISES

4. Leased Premises shall be used and occupied by Lessee for

manufacture/storage/development/testing of production coatings only, and not for

any other purpose.

UTILITIES

5. Lessee agrees that the utilities and other common service lines, ducts and

other conduits may pass through its Leased Premises to service other premises

and building areas, and further that Lessor, or its agents, shall be permitted

access to the Leased Premises for the purpose of installation repair, and

maintenance thereof.

<PAGE>

6. Lessee shall pay for the following utilities: electricity, natural gas or

other hearing fuels used in or at the Leased Premises for such purpose and for

cleaning, garbage and trash service.

7. Lessor shall provide and pay for the following utilities: water and sewage

service charges (not to exceed 20% above historical levels).

8. Lessor shall not be liable for any interruption whatsoever in utility

services.

USE AND CARE OF LEASED PREMISES

9. Lessee shall use and occupy the Leased Premises for the above stated purpose

in a careful and proper manner and not commit any waster or nuisance thereon.

Lessee agrees that it will use the Leased Premises in such a manner as not to

interfere with or infringe upon the rights of the adjacent tenants.

10. No auction, fire, or bankruptcy sales may be conducted in the Leased

Premises without the previous written consent of Lessor.

11. Lessee shall not use or occupy the Leased Premises in violation of any law,

ordinance, regulation or other governmental directives having jurisdiction

thereof, and shall, upon five (5) days written notice from Lessor, discontinue

any use of the Leased Premises which is declared by any governmental authority

having jurisdiction to be in violation of any law, ordinance, zoning,

regulation, or directive.

INSPECTION

12. Lessee agrees that it will permit the Lessor to enter upon the Leased

Premises at all reasonable times to examine the condition of the same.

13. Lessee further agrees that it will permit the Lessor to show the Leased

Premises to prospective lessees and display customary rental or for lease signs

during the last ninety (90) days of this Lease.

REPAIRS AND MAINTENANCE

14. Lessor shall be responsible for the maintenance, repair and replacement, if

necessary, of the roof, exterior walls, foundation, and all structural systems

on the Leased Premises. Further, all fixtures, appliances and systems serving

the Premises shall be in a good and working order at the commencement of this

Lease. As to any other maintenance, repairs or replacements other than those

mentioned in the preceding sentence which are necessary during the term of this

Lease, the parties agree that Lessee shall be responsible for same. Lessor shall

not be required to make any repairs where the same were made necessary by any

act or omission or negligence of the Lessee, any subtenant(s) of the Lessee, or

their respective employees, agents, invitees, licensees, visitors or contractors

15. Lessee shall at all times keep the Leased Premises and all exterior

entrances, doors, glass, floor surfaces, fixtures, equipment, wiring, plumbing,

heating, air conditioning and exterior areas

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thereof in good order, condition, and repair, and in a reasonably satisfactory

condition of cleanliness and free from trash, litter, or obstructions.

16. Lessee shall keep sidewalks continuous to Premises in a safe condition

regarding snow and ice at Lessee's own expense.

17. If the Lessor, in the exercise of its sole and reasonable discretion,

determines that emergency repairs are made necessary by any act or omission or

negligence of the Lessee, its employees, subtenants, assignees, contractors,

invitees, licensees, or visitors, Lessor may make such repairs without liability

to Lessor for any laws or damage that may occur to Lessee's merchandise,

fixtures, or other property by reason thereof, and upon completion thereof,

Lessee shall pay Lessor's costs for making such repairs.

INSURANCE

18. Lessee shall obtain and provide at least forty-eight (48) hours before the

commencement of any lease term, and keep in force at all times thereafter the

following insurance coverages with respect to the Leased Premises: General

Liability Insurance, Fire Insurance and insurance on the contents of the

building and shall name Lessor as an additional insured thereunder. The amount

of the general liability insurance shall be a minimum of One Million Dollars

($1,000,000) per occurrence and Two Million dollars ($2,000,000) in the

aggregate.

MODIFICATIONS AND ALTERATIONS

19. Lessee covenants and agrees not to make or permit to be made any

alterations, improvements, additions, or attach or affix, or build to the Leased

Premises or any party thereof or paint or hang wallpaper except by and with the

prior written consent of Lessor.

20. Lessee further covenants that Lessee will make no contract which may create

or be the foundation for any lien upon the Leased Premises and no contractor

shall have any lien rights upon Lessor's interests. If any mechanic's lien shall

exist against Lessor's or Lessee's interests in Premises, by reason of Lessee's

action(s), Lessee shall discharge such lien, at Lessee's expense, by bond or

otherwise within twenty (20) days after filing of such lien.

POSSESSION

21. If Lessor shall be unable to deliver possession of Leased Premises on the

date the commencement of the term hereby created because of the holding over of

any tenant, or tenants, or for any other cause beyond Lessor's reasonable

control, then the rent shall not commence until the date possession of said

Premises is available to Lessee, and Lessee agrees to accept such allowance and

abatement of rent as liquidated damages, in full satisfaction thereof, and to

the exclusion of all claims and rights which Lessee might otherwise have, and no

failure so to deliver possession on said date shall in any event extend, or be

deemed to extend, the term of this Lease.

<PAGE>

ASSIGNMENT OR SUBLETTING

22. Lessee shall make no assignment or subletting of the Leased Premises without

the prior written consent of the Lessor. Consent shall not release Lessee from

liability hereunder for payment of rental or performance or observance of any of

the terms and conditions of the Lease.

SECURITY DEPOSIT

23. In addition to all rentals and lease payments hereunder, Lessee hereby

agrees and stipulates to place on deposit with the Lessor at the time of the

signing of this Lease, a security deposit in an amount of One Thousand Eight

Hundred ($1,800.00). This security deposit shall be held by the Lessor as and

for security for the complete performance of the Lessee of all provisions

required of the Lessee under this Lease agreement. The security deposit shall be

returned to the Lessee, without interest, upon the termination of this Lease

agreement and vacating of the Premises by the Lessee, provided that the Lessee

shall have performed fully and faithfully all obligations required of Lessee

during the term of this Lease and shall vacate the Premises according to the

terms of this Lease, leaving the Premises in as good a condition as when

received less normal wear and tear.

24. If Lessee defaults with respect to any provision of the Lease, Lessor may

use, apply or retain all or any part of the security deposit for payment of any

rent or other sum in default, or the payment of any other amount which Lessor

may spend or become obligated to spend by reason of Lessee's default or to

compensate Lessor for any other loss or damage caused by Lessee's default. If

any portion of said deposit is so used during the term of this Lease, Lessee

shall, within five (5) days after written demand therefore, deposit cash with

Lessor in an amount sufficient to restore the security deposit to its original

amount.

TENANT'S PROPERTY

25. Lessor shall not be liable for any damage by theft or otherwise to property

of the Lessee or of others located on the Leased Premises. Lessor shall not be

liable for any injury or damage to persons or property resulting from fire,

explosion, flooding, falling plaster, steam, gas, electricity, water, rain,

snow, or leaks from any part of the Premises, or from the pipes, appliances, or

plumbing works, or from the roof, street or subsurface or from any other place

by dampness or by any other cause of whatsoever nature, the parties agreeing

that said damages are generally covered under a policy of renter's insurance

such as that will be obtained by Lessee herein. Lessor shall not be liable for

any such damage caused by other tenants or persons in the Premises.

26. Lessee shall give immediate notice to Lessor in case of fire or accidents in

the Premises or of any defects in the building of which the Leased Premises are

a part, or of an


 
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