SLIP TERMS AND CONDITIONS

1. Securing Vessel. Lessee warrants that his vessel and/or dinghy (“vessel”) will be properly insured and secured at all times, and Lessee shall be liable for any damages caused to marina and/or other slip leasers by the vessel.

2. Safekeeping. Leasor is not a bailor and shall not be responsible for any damages or loss to the vessel or dinghy, its tackle, or any persons visiting the vessel, Lessee shall be solely responsible for the care and safety of the vessel while said vessel occupies the slip or space. In an emergency situation, Lessor shall be permitted to board and move Lessee’s boat to a safer location if possible and/or take any other appropriate actions to protect the safety of the marina personnel and property. Provided, however, that Lessor shall not be required to provide this service. In the event such service is provided, Lessee will be billed at Lessor’s prevailing rate as posted in the marina office and Lessee shall be required to pay all costs incurred by Lessor on Lessee’s behalf. Lessee shall indemnify and hold Lessor safe and harmless from any and all liability, injury, loss or damage caused by or resulting to Lessee’s boat due to an emergency situation.

3. Insurance. Lessee covenants that the vessel shall be covered by all risk boat insurance in an sum equal to the vessel’s actual value, and shall be protected by property and indemnity coverage insurance of not less than $1,000,000. Lessee shall furnish to Lessor a certificate of insurance coverage upon execution of this Agreement.

4. Rules and Regulations. Owner and Lessee shall abide by the Rules and Regulations which are attached hereto and made a part hereof and as the subject may be amended from time to time. Lessee shall observe good housekeeping and sanitation practices in the use of trash and recycling receptacles and shall obey and observe all State, federal and local environmental laws and regulations.

5. Assignment and Sublease. Lessee shall not sell, assign or transfer in whole or in part any rights under this Lease Agreement. Lessor shall have the right to use the slip for transient dockage whenever the vessel is removed overnight or longer. If Lessee desires to dock a boat other than the vessel referenced on Page 1 of this Agreement, he/she must obtain the advance written permission of Lessor and pay any additional charges as designated by Lessor.

6. Lessee. For the purposes of this Agreement, the term “Lessee” shall include the actual registered owner of the vessel, members of his/her family and guests.

7. Payment and Mechanic Lien. Leasor shall have a maritime lien under Federal and State law for all rental or service fees or charges against the vessel and may proceed to foreclose upon that lien if the charges and/or rental remains unpaid for 30 days after they are due or if there is an attempt to remove the vessel while charges are unpaid.

8. Electric Charges. Electric charges will be billed separately. Lessor does not guarantee that electrical service shall be continuous. Lessee shall not use the marina’s electrical outlets to operate power tools, equipment, machinery, etc, unless written permission has been given by Lessor.

9. Boat Lift. Should Lessee occupy a slip that contains a boat hoist or lift, Lessee warrants and represents that Lessee has a full knowledge and understanding on the proper procedures and use of said boat hoist or lift. Lessee acknowledges that said boat hoist or lift is in proper working order with no defects. Lessee further agrees that Lessee shall operate said boat hoist or lift in a safe and proper manner and the Lessee shall be responsible for any and all maintenance, repair or replacement costs required as a result of Lessee’s use of said boat hoist or lift unless such costs were the results of Lessor’s gross negligence.

10. Environmental. Use and/or storage of any open flame devise, tools, chemicals or other hazardous equipment or supplies in the slip or docking area is prohibited. In the event of any spill or release of any hazardous or toxic chemicals, including gasoline or other petroleum product Lessee shall immediately notify Lessor and Lessee shall take all prudent and necessary actions or steps to contain the spill or release. Lessee agrees to indemnify and hold harmless Lessor for any and all fines, penalties, and liabilities of any sort, including reasonable attorney’s fees, arising out of any spill, release or discharge of hazardous or toxic chemicals owned or used by Lessee. Lessee further agrees to handle and use all hazardous materials in compliance with all State, federal and local laws.

11. Liability and Indemnity. The parties hereto agree that neither the Lessor nor its agents, servants or employees shall be liable for any loss, damage or personal injury to the person or property of the Lessee or guest of employee of the Lessee who are on or about the premises or on board the Lessee’s vessel, whether such loss, damage or personal injury be occasioned by fire, theft, act of God or any other causes or conditions, including negligence on the part of the Lessor, its agents, servants and employees. Lessees hereby agrees to indemnify and hold harmless the Lessor, its agents, servants and employees from and against the maintenance, use or operation of the vessel in the marina by Lessor of marina facilities or for any claims for injuries on the part of Lessee, his/her employees and guests while aboard the vessel in the marina area or the marina facilities and hereby agrees to assume full responsibilities for such personal injury and property damage which may arise out of the maintenance, use or operation of the vessel in the marina or occasioned through the use of the marina facilities.

12. Removal and Retention of Vessel. If any service, rental or other charges remain unpaid 60 days after becoming due, Lessee’s vessel shall not be removed from its slip without the prior written permission of Lessor. Lessor may use all necessary force to retain and secure the vessel and is granted the authority to have the vessel hauled and placed in dry storage whether at the marina of other nearby facility. All costs and charges for securing, hauling, moving, blocking, guarding, insurance and other charges related to securing the vessel under this section, including attorneys fees, shall be charged against the vessel and paid by Lessee.

13. Sinking. If the vessel shall sink at its slip or anywhere in the marina, Lessee shall take all necessary actions within 24 hours to raise or move the vessel. If in the sole opinion of the Lessor, the vessel is a hazard to navigation or poses a danger to the Lessor, Lessor’s property or its other tenants, Lessor shall have the right and authority to remove and salvage the vessel and all costs shall be charged to the vessel and the owner.

14. Termination. If Lessee chooses to terminate contract and/or remove the boat from the slip before the contract expiration date, there will be no refunds.

15. Live-Aboards. There shall be no live-aboards without the express written agreement between Lessor and Lessee.

16. Use of Facililty. Lessee shall use the docks and attached facilities for reasonable and customary boating activities. Lessee shall keep the dock area clean of all gear, tackle and other obstructions. No dock boxes of any kind are allowed without the prior written approval of the Lessor. Lessee agrees not to dispose of waste or trash (including treated or untreated sewage from heads or holding tanks) in the harbor or docking area. Lessee shall not cause damage in the docking facility through excessive wear and tear, create any unnecessary disturbance or nuisance, or store rubbish on the docking facility.

17. Independent Contractor. Lessee may work on his/her boat in the marina as long as such work does not interfere with the rights of other Lessees or the operation of the marina. If Lessee wishes to have someone other than himself or an employee of Lessor work on his boat in the marina, such person must execute an “Independent Contractor Agreement” in advance of commencing work in the marina.

18. Attorney’s Fees. In any legal proceeding commenced by the Lessor against Lessee or Lessee’s vessel to collect any charges accrued hereunder or to enforce any part of this Agreement, Lessor shall be entitled to recover from the Lessee the costs of such proceeding, including reasonable attorney’s fees. In the event that such a proceeding is brought to enforce a maritime lien against the vessel, attorney’s fees shall be included in any judgment in favor of the Lessor and shall be payable out of the proceeds of sale of the vessel.

19. Waiver. No failure or delay by Lessor to enforce the terms and conditions of this Agreement, or to exercise the rights or conditions provided for herein shall be deemed a waiver. Lessor may enforce such terms or conditions or exercise such rights and remedies at any time. The Agreement shall be modified only by a writing signed by both parties.

20. Miscellaneous. This Agreement shall be construed in compliance with the laws of the State of Maryland. In the event that any provision of this Agreement shall be held to be unlawful or unenforceable, such a holding shall not affect the enforceability of any other provision.

21. Electric Heaters. Absolutely no electric heaters to be used at any time. Violators will be evicted.

22. Violations. Should Lessee violate or breach any term or condition of this Agreement, Lessor may terminate this Agreement without notice to Lessee and Lessee shall immediately pay all outstanding fees or charges due and remove Lessee’s vessel and property from the marina.