The Rental Agreement,
in plain language.

Each rental or lease shall be documented by a signed Rental Contract. The Lessor shall complete an inspection at pickup and return.

The Lessee shall certify that the Equipment has been received, and is in good operating order in accordance with applicable requirements and specifications. The Lessee accepts the Equipment, and the Lessor relies upon that acceptance in commencing this Agreement.

The Lessee shall complete a credit application and provide a credit card for damage deposit and incidental charges. Rental or lease payments may be made by credit card or pre-authorized debit supported by a void cheque.

The Lessee authorizes recurring payments where applicable.

2.1 Remedies Upon Payment Default

Upon payment default, the Lessor may:

• Declare the net present value of the remaining rent immediately due and payable.
• Suspend its maintenance obligations or terminate this Agreement.
• Charge $250 for each missed rental payment or unsuccessful payment attempt, together with $15 per day, subject to the maximum permitted by British Columbia law. Payment may be attempted on the due date, two days later and a further two days thereafter before additional action is taken.
• After making all reasonable collection efforts without resolution, enter the Lessee's premises to repossess the Equipment in accordance with applicable law. Reasonable recovery, storage and related costs shall be borne by the Lessee.

Equipment may be rented daily, weekly, monthly, annually, on a long-term basis or for other specified dates. The Lessee shall request an extension whenever additional time is required. The Lessor shall make reasonable efforts to accommodate requests, subject to availability.

4.1 Agreement Documents

These terms, this Equipment Rental Agreement, each Rental Contract and all executed schedules or supplemental agreements collectively form the entire agreement between the Lessor and Lessee concerning all Equipment rented or leased now or in the future.

4.2 Term

The term begins on the Commencement Date and continues until terminated in accordance with this Agreement.

4.3 Delivery

The Lessor shall deliver, and the Lessee shall accept, the Equipment at the location specified in the applicable Rental Contract.

4.4 Rent

• The Lessee shall pay rent without demand at the rates stated in the Rental Contract.
• Rental obligations commence on the Commencement Date and continue until the later of the end of the rental term or the date the Equipment is returned to the Lessor (the Return Date).
• Upon signing, the Lessee's obligation to pay rental fees is absolute, non-negotiable and unconditional.
• A director or officer of a corporate Lessee accepts full responsibility for the Equipment on behalf of the Lessee.

The Lessee is responsible for any ticket, violation or infraction issued under applicable legislation arising during the rental term. The Lessee shall address it immediately. Failure to do so may result in a 20% administrative penalty being added to the infraction amount and processed during the next billing cycle.

The Lessee represents, warrants and agrees that:

• The Equipment shall be used only in Canada and only for its intended or authorized purpose.
• The Equipment shall be operated only by the Lessee or its properly trained, qualified and experienced employees or authorized operators.
• The Lessee shall comply with all applicable laws, regulations, bylaws and ordinances (Applicable Laws).
• The Equipment shall not be subjected to abusive, improper or negligent handling.
• The Equipment shall not be altered or marked with decals or advertising without the Lessor's prior written consent, which shall not be unreasonably withheld.

7.1 Lessee's Responsibilities

At its own cost, the Lessee shall:

• Conduct and document daily safety inspections.
• Maintain proper track tension and alignment.
• Remove packed mud, rocks and debris and lubricate the Equipment as required by the manufacturer's instructions and Applicable Laws.
• Maintain the Equipment in the condition in which it was received, reasonable wear and tear excepted.
• Reimburse the Lessor for track damage caused by improper use, impact or neglect, based on current market repair or replacement costs.
• Deliver the Equipment for inspection or repair upon request to the Lessor's address or another location designated by the Lessor.

7.2 Lessor's Responsibilities Before Each Rental

The Lessor shall:

• Inspect, service, lubricate and maintain the Equipment for normal wear and tear, as applicable.
• Inspect the tracks, undercarriage, body and frame in accordance with applicable federal and provincial safety requirements.

• The Lessee shall notify the Lessor within 12 hours after an accident or after becoming aware of any loss or damage. The Lessor may determine how the Equipment will be assessed and repaired.
• At the Lessor's direction, the Lessee shall arrange and pay to transport the Equipment to an authorized service center or body shop.
• If the Equipment is damaged, contaminated, stained or soiled while in the Lessee's care and cannot reasonably be restored to its pre-rental condition, the Lessee shall purchase it for 115% of its fair market value immediately before the loss (FMV). FMV shall be determined by an independent third-party appraiser selected by the Lessor, at the Lessee's cost.

9.1 Indemnification by Lessee

The Lessee shall defend, indemnify and hold harmless the Lessor and its directors, officers, employees and agents from:

• Loss of or damage to the Equipment from any cause, including collision, fire, lightning, theft, explosion, flood, windstorm, act of God, war, terrorism or cargo damage.
• Death, bodily injury or property damage arising in whole or in part from the use, possession or condition of the Equipment.
• Any claim, liability, damage, expense, penalty, fine, citation, remediation cost, corrective-action cost, forfeiture or seizure arising from the delivery, possession, operation, maintenance, use or condition of the Equipment, or the Lessee's failure to comply with this Agreement or Applicable Laws, except to the extent caused by the Lessor's gross negligence.
• Claims arising from work performed or materials supplied in connection with the Equipment.
• Sales, use, stamp or other taxes, levies, duties, charges or withholdings, including related penalties or interest, imposed against the Lessor, Lessee or Equipment, excluding taxes measured by the Lessor's income.

The Lessee shall not settle a claim against the Lessor without the Lessor's prior written consent unless the settlement unconditionally releases the Lessor. These obligations include reasonable legal fees and costs and survive termination.

9.2 Limitation of Liability

The Lessor shall not be liable for incidental, special, indirect, consequential, punitive or exemplary damages, including lost profits, business interruption or cargo damage. No right of the Lessor under this section may be waived except in writing signed by an authorized signing officer.

The Lessee is responsible for compliance with applicable safety requirements and for completing and retaining required inspection records.

From the Commencement Date until the Return Date, the Lessee shall maintain, at its expense:

11.1 Commercial General Liability

• Minimum limit of $2,000,000 per occurrence.
• Contractual liability coverage.
• The Lessor named as an additional insured.
• Evidence of coverage delivered before the rental begins.

11.2 Commercial Third-Party Liability

• Minimum combined single limit of $2,000,000 per occurrence.
• Minimum limit of $5,000,000 where hazardous materials are involved.

11.3 Physical Damage

• Collision and comprehensive coverage equal to the Equipment's FMV.
• The Lessor named as loss payee and additional insured, as applicable.
• A deductible not exceeding $2,500, borne by the Lessee.

The Lessor shall obtain licenses and registrations required for lawful operation in Canada that are the responsibility of the Equipment owner. The Lessee remains responsible for operator licenses, permits and approvals arising from its use or work.

For monthly or long-term rentals, an Event of Default includes failure to pay an amount when due, failure to comply with this Agreement, insolvency or bankruptcy, or an unauthorized lien against the Equipment.

Late or unpaid amounts bear interest at 3% per month (36% per annum), subject to Applicable Laws. Payments shall be applied to the oldest outstanding balance first.

Rental rates include up to eight operating hours for each rental day. The hour-meter reading shall be recorded before the Equipment leaves the yard and when it is returned.

Excess hours will be charged at $60 per hour.

Fuel is captured at time of rental. It is expected to have the equipment returned with the same level of fuel or additional charges will incur.

Unit should be returned in same condition delivered. In the event cleaning is required, additional charges will apply.

Although the Equipment is serviced and inspected by the Lessor before release, the Lessee must conduct its own inspection. The Equipment is rented or leased AS IS. To the fullest extent permitted by law, the Lessor disclaims all express or implied warranties, including merchantability and fitness for a particular purpose.

The Lessee shall return the Equipment to the Lessor's physical location:

• free of liens;
• in the condition in which it was received, reasonable wear and tear excepted;
• cleaned to a rentable standard inside and outside; and
• free of debris, waste and contaminants.

If the Equipment is totally destroyed and the loss is not fully insured, the Lessee shall pay 115% of FMV, less insurance proceeds received by the Lessor. FMV shall be determined by an independent appraiser selected by the Lessor at the Lessee's cost.

The Lessor may change the return location by giving 10 days' written notice.

Cleaning fee: as stated in the applicable Rental Contract or, where none is stated, the Lessor's actual reasonable cleaning and remediation costs.

The Lessee shall keep the Equipment free of liens and shall not alter it without the Lessor's prior written consent.

At the end of a rental or lease, the Lessor may renew it or require return of the Equipment. Continued use without an agreed renewal will be charged at then-current standard rates and may result in additional losses or charges if the Equipment was committed to another customer.

This Agreement is the entire agreement between the parties concerning its subject matter and may be amended only in writing signed by both parties.

Every lease under this Agreement is a lease and not a sale. The Lessor retains all right, title and interest in the Equipment.

The parties shall first attempt to resolve disputes through good-faith negotiations. If unresolved within 30 days, the dispute shall proceed to mediation in British Columbia before a mutually agreed mediator, with costs shared equally. If mediation is unsuccessful, the dispute shall be resolved by the courts of British Columbia.

Neither party is liable for a failure to perform due to events beyond its reasonable control, including acts of God, war, terrorism, governmental action, strikes or natural disasters, provided the affected party promptly notifies the other and takes reasonable steps to mitigate the impact. This section does not excuse the Lessee's obligation to pay rent or amounts already owing.

The Lessor may collect Equipment location, operating-hour and usage information through GPS, telematics or similar technology. The Lessee consents to that collection by signing this Agreement.

The Lessor shall handle personal information in accordance with applicable privacy legislation. Information shall not be disclosed except as required by law, for legitimate administration of this Agreement or to protect the Lessor's rights.

The Lessor's failure or delay in enforcing a term does not waive that term or the right to enforce it later.

Each party shall protect non-public information disclosed in connection with this Agreement, including pricing, Equipment specifications, usage data and business operations (Confidential Information).

Neither party shall disclose Confidential Information without prior written consent, except as required by law or to enforce its rights. Confidential Information shall be safeguarded and used only for purposes connected with this Agreement.

The Lessee represents and warrants that:

• It has full legal authority to enter into and perform this Agreement.
• This Agreement does not violate another agreement, law or regulation applicable to it.
• It possesses all licenses, permits, qualifications and insurance required to operate the Equipment in Canada.
• All information supplied, including contact information, insurance certificates and usage data, is accurate and complete.
• It shall promptly report changes to its legal or financial status, licensing or insurance that may affect its obligations.
• It has read and understood this Agreement and had sufficient opportunity to obtain independent legal advice before signing, and has obtained that advice or voluntarily chosen not to do so.
• The Lessee and its owners, directors and officers are not under a legal disability preventing them from entering into this Agreement.

• The terms are contractual and not mere recitals. Headings are for convenience only.
• If a provision is illegal, void or unenforceable, the remaining provisions remain in force.
• Nothing bars a party from bringing an action to enforce this Agreement.
• This Agreement is governed by British Columbia law and applicable federal Canadian law.
• Amendments and addenda must be written and signed by both parties, with each page initialed.
• Notices must be written and delivered to the applicable address for service or a replacement address provided in writing.

The Lessee shall not modify, alter or improve the Equipment without prior written consent. A request must describe the proposed change, its purpose and estimated cost. The Lessor may approve or reject it in its sole discretion.

If approved:

• The Lessee shall pay all modification, installation and removal costs unless otherwise agreed.
• Each modification or improvement becomes the Lessor's property upon attachment unless otherwise agreed.
• The Lessee shall restore the Equipment to its original condition upon return if required by the Lessor.
• The Lessor is not responsible for related delays, damage or costs, and the Lessee shall indemnify it against related claims.

The Lessee shall comply with applicable environmental laws and standards, including requirements concerning emissions, hazardous-waste disposal and spill prevention. The Lessee shall:

• Prevent contamination and immediately contain, report and remediate any fuel or oil spill at its cost.
• Notify the Lessor within 12 hours of any environmental incident and provide remediation records.
• Indemnify the Lessor from fines, penalties, remediation costs and liabilities arising from the Lessee's non-compliance.

The Lessor may inspect the Equipment upon reasonable notice. If contamination caused by the Lessee cannot reasonably be remediated, the Lessee shall purchase the Equipment for 115% of FMV, determined by an independent appraiser selected by the Lessor at the Lessee's cost.

The Lessee shall ensure that every operator is properly trained, qualified and competent to operate the specific Equipment in accordance with industry standards, the manufacturer's instructions and Applicable Laws. The Lessee shall:

• Maintain training and certification records and provide copies upon request.
• Ensure operators understand the operating manual, controls and safety systems before use.
• Prevent untrained or unqualified individuals from operating the Equipment.

Non-compliance is a material breach and may result in additional maintenance charges, liability for damage, suspension of use or termination.