Section 4: Contents of a Lease agreement

(1) Before a lease agreement is registered, it shall be in writing and shall contain—
(a) a description of the equipment to which the lease agreement relates sufficient to the identify it;
(b) the total lease rentals payable by the lessee to the lessor;
(c) the amount of each instalmental rental payable by the lessee to the lessor;
(d) the date or the mode of determining the date on which each instalment rental is payable;
(e) a clause that the lessee acknowledges confirms and declares that he holds the equipment as a mere bailee of the· lessor and that the lessee does not, during the specified period of a lease, have any proprietary right, title or interest in the equipment other than as a lessee; and
(f) that in termination of the lease agreement by expiry of time, unless a renewal is granted or the lessor agrees to sell the equipment to the lessee, the lessee shall deliver to the lessor the equipment in good order and condition.
(2) If the equipment lease is a finance lease it shall in addition to the provision in subsection (1) contain the following clauses—
(a) that the lessee confirms and acknowledges that the finance lease agreement is a full pay-out non-concealable agreement; and
(b) that upon the termination of the lease agreement or any renewal thereof, subject to any exercisable option as regards the sale or disposal of the equipment, the lessee shall deliver to the lessor, the equipment, in good order and working conditions, ordinary wear and tear exempted.