Water Heater Lease
1. OBJECT :

New conditions for OWNERS renting one or more water heaters from HYDROSOLUTION.

2. RENTAL CONDITIONS:

HYDROSOLUTION agrees to lease a water heater only if the following conditions are satisfied:
    a) The plumbing system of the premises where the water heater(s) will be installed must comply with the plumbing code in force in Quebec and in the relevant municipality;
b) The electrical system of the premises where the water heater(s) will be installed must comply with the electrical code in force in Quebec and must allow for the installation of an electric water heater;
c) The space provided must be adequate to house a water heater and must allow for easy access to the water heater(s) for the purposes of inspection, repair, replacement or removal;
d) The conditions prevailing in the space where the water heater(s) will be installed must not be such that the components or the tank of the water heater may age prematurely or become damaged;
e) The installation is limited to two (2) water heaters when done in parallel;
f) The water heater is not installed on a complex supply system such as a recirculation loop;
g) The water pressure of the supply system to which the water heater is connected remains within the normal ranges described in the Quebec Plumbing Code;
h) The water heater is used for residential purposes only.

In the event that the OWNER fails to respect all of the above conditions at all times during the term of this lease, then the OWNER must, at his or her expense, undertake the necessary repairs or modifications if the OWNER wishes to rent one or more water heaters from HYDROSOLUTION.

3. SERVICES:

HYDROSOLUTION undertakes at its expense to install, repair, replace and remove the water heater(s).However, under no circumstances is HYDROSOLUTION responsible for draining the water heater(s). The responsibility of HYDROSOLUTION and the plumbing work carried out by it are limited to the water heater(s) and the parts between the pipe adapter(s) that allow for the supply of cold water to the water heater and the pipe adapter(s) that allow for the flow of water from the tank(s), including the eduction valve(s). The responsibility of HYDROSOLUTION and the electrical work carried out by it are limited to the connection point between the water heater and the electrical circuit wire in the place where the water heater is installed. HYDROSOLUTION may bill the OWNER for a service call made for repairs that do not relate to the above-mentioned equipment.

4. OWNERSHIP:

HYDROSOLUTION remains the sole proprietor of the water heater(s).However, the OWNER is entrusted with custody of and undertakes to take care of the water heater(s). He or she also undertakes to advise HYDROSOLUTION in writing immediately of any loss or seizure of, or damages to, the water heater(s), due to any cause whatsoever.The OWNER is responsible for all costs related to repairing or restoring the water heater(s), to removing and installing the old and the new water heater(s) and all damages resulting from any moving of the water heater(s), vandalism, fire, flooding in the residence or any lack of care or diligence in using the water heater(s).

5. TERM OF LEASE:

This lease is for one (1) year from the date of installation of the water heater(s). Upon expiry of this period, the lease is renewed on a month-to-month basis on the same conditions, unless one of the parties resiliates the lease.

6. RENT:

HYDROSOLUTION reserves its right to modify the rent at any time. In such an event, the OWNER is entitled to resiliate this lease after giving a thirty (30) days’written notice to HYDROSOLUTION.

7. PAYMENT OF RENT:

    7.1 Responsability: At the option of the OWNER, the rent may be paid by the owner, by a management company mandated by the OWNER, or by the lessee who uses the water heater. Should the OWNER wish the lessee to be responsible for paying the rent for the water heater, then the OWNERmust ensure that the lessee signs an undertaking whereby the lessee acknowledges that he or she is responsible for paying the rent for the water heater in accordance with the commitment form provided by HYDROSOLUTION. Upon receipt of this undertaking duly signed by the lessee, HYDROSOLUTION will mention the latter on the invoice as an additional debtor, effective as of the following billing cycle. In any event, the OWNER is not entitled to demand any repayment of rent already paid, nor may the OWNER require that the lessee be billed retroactively to receipt by HYDROSOLUTION of the lessee’s undertaking. In all cases, the OWNER remains solidarily responsible for the payment of rent due by the management company or the lessee. The OWNER remains responsible for the rent in the event that the lessee leaves the rented dwelling.

7.2 Billing and payment procedures: HYDROSOLUTION will send the OWNER, the management company or the lessee, as the case may be, an invoice detailing the applicable rent for each and every water heater. The invoice must be paid as per the terms of payment provided for in the Hydro-Québec’s Bylaw respecting the conditions governing the supply of electricity, in force at all time during the term of this lease.

7.3 Failure to pay rent: In the event of failure to pay the stipulated rent as provided for in subsection 7.1 and/or 7.2 of this contract or in the event of failure to comply with section 2 of this contract, HYDROSOLUTION may have recourse to subsections 7.3.1 and 7.3.2.

7.3.1 Transfer of ownership: In the event of non-payment of four (4) consecutive months of rent or more, HYDROSOLUTION may resiliate the contract and transfer the ownership of the water heater(s) to the OWNER after sending him or her a written notice. Under such circumstances, the OWNER will have to pay within thirty (30) days of written notice the depreciated value of the water heater(s) in addition to all amounts of rent due on the day of the water heater(s)'s transfer of ownership.The rent continues to be due and exigible until HYDROSOLUTION receives payment for the entire value of the water heater(s). Upon resiliation of the lease, the OWNER will be the sole person responsible for the water heater(s).

7.3.2 Repossession: HYDROSOLUTIONmay, simultaneously and without prior notice, demand immediate payment of the entire amount of rent in arrears and repossess the water heater(s). The OWNER, the management company or the lessee, as the case may be, is not entitled to any reimbursement for rent already paid and will not in any way whatsoever be released from the obligation to pay the rent in arrears.The rent continues to be due and exigible until HYDROSOLUTION repossesses the water heater(s). In the event of removal of the water heater(s) for nonpayment of rent, the OWNER must pay HYDROSOLUTION the depreciated value of the water heater(s) as well as the labour costs of removal. HYDROSOLUTION will not install another water heater before twelve (12) months have elapsed from the date of removal.


9. ACCESS:

The OWNER undertakes to provide at any time HYDROSOLUTION and its representatives with free access to the water heater(s) for the purpose of inspection, repair, replacement and removal.

10. RESILIATION:

During the first year of this lease, the OWNER may, following a written notice, resiliate the lease on the express condition that the OWNER immediately pay HYDROSOLUTION in full the rent for the entire year. The lease is resiliated on the date that HYDROSOLUTION receives payment in full for the entire year. In subsequent years, either HYDROSOLUTION or the OWNER may resiliate the lease on giving thirty (30) days’written notice to the other party. Following a resiliation of the lease, HYDROSOLUTION will not install another water heater before twelve (12) months have elapsed from the date of the resiliation.

11. MITIGATION OF DAMAGES:

The OWNER must protect himself or herself from any and all consequences resulting from any breakage of the water heater(s), including any problem of electrical nature, any leak of the water heater(s) and any spill that may be caused by the latter. In particular and without limiting the generality of the preceding, the OWNER undertakes to not place any property other than those of little value on the ground next to the water heater(s) nor in any other location where such property could be damaged following any breakage of the water heater(s) like a water leak.The OWNER must periodically verify that the water heater is not leaking, and make sure that the water heater(s) is(are) connected to a drain and that the drain is not claught or, in the absence of a drain, make sure that a waterholding saucer is present under the water heater(s).

12. DAMAGES:

In no case shall HYDROSOLUTION be held contractually or extra-contractually liable for material damage, cost or loss, resulting directly or indirectly from any breakage of the water heater(s), including any problem of electrical nature, any leak of the water heater(s), any spill that may be caused by the latter, any odour that may be caused by the water heater(s) or its(their) operation, except in the event of a gross negligence on the part of HYDROSOLUTION.

13. RELOCATION:

The OWNER may at any time relocate the water heater(s) but only on condition that the OWNER gives HYDROSOLUTION notice before the commencement of the relocation and that the following conditions are satisfied: (1) be responsible for all expenses related to such relocation; (2) ensure that the relocation work is carried out in accordance with section 2 of this lease and (3) hire the services of a qualified and duly authorised contractor. Failing which, HYDROSOLUTION may require that the OWNER take the necessary corrective actions at the OWNER’s expense, or may resiliate this lease. In the latter case, HYDROSOLUTION may require that the OWNER keep the water heater(s) and, within thirty (30) days of notice given by HYDROSOLUTION, pay the depreciated value of the water heater(s). Ownership of the water heater(s) is transferred to the OWNER on the date on which HYDROSOLUTION receives payment of the value of the water heater(s). The rents continue to be owing until HYDROSOLUTION receives in full the payment of the value of the water heater(s).

IMPORTANT NOTE:
In order to limit the development inside the water heater(s) of a bacterium known as Legionella, it is mandatory to maintain at all times the temperature of the water heater(s) at 60 degrees Celsius and to not drink any lukewarm or hot water coming out of the water heater(s). That bacterium comes from the water supply system and may cause a rare form of pneumonia.Water at a temperature of 60 degrees Celsius or more can cause severe burns. Consequently, one must act with prudence and diligence and verify the temperature of the water before entering a shower or a bath, especially if children or senior persons are nearby. It is dangerous to set the water heater at a temperature superior to 60 degrees Celcius. For further information on the risks related to Legionella and to domestic hot water, the OWNER shall consult with a physician.

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