accordance with Article III. Lessee hereby agrees that its execution and
delivery of this Lease shall, without further act, as between Lessor and Lessee
irrevocably constitute an agreement by Lessee to lease each Item of Equipment
for all purposes of this Lease.
Section 4.2. No Warranty. THE ITEMS OF EQUIPMENT ARE LEASED BY LESSEE "AS
IS" IN THEIR PRESENT OR THEN CONDITION, AS THE CASE
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MAY BE, SUBJECT TO (i) ANY RIGHTS OF ANY PARTIES IN POSSESSION THEREOF, (ii) THE
STATE OF TITLE THERETO EXISTING AT THE TIME LESSOR ACQUIRES ITS INTEREST IN THE
ITEMS OF EQUIPMENT, (iii) ANY STATE OF FACT WHICH AN ACCURATE PHYSICAL
INSPECTION MIGHT SHOW, AND LESSEE CONFIRMS THAT ITS EXECUTION AND DELIVERY OF
THIS LEASE SHALL CONSTITUTE ITS CERTIFICATION THAT IT HAS INSPECTED AND ACCEPTS,
AS BETWEEN LESSOR AND LESSEE, EACH ITEM OF EQUIPMENT WHICH IS THE SUBJECT MATTER
HEREOF, (iv) ALL APPLICABLE LAWS AND REGULATIONS, AND (v) ANY VIOLATIONS OF
APPLICABLE LAWS AND REGULATIONS WHICH MAY EXIST ON THE DELIVERY DATE (OTHER THAN
BY LESSOR). LESSEE ACKNOWLEDGES AND AGREES THAT (a) EACH ITEM OF EQUIPMENT IS OF
A SIZE, DESIGN, CAPACITY AND MANUFACTURE SELECTED BY LESSEE, (b) LESSEE IS
SATISFIED THAT THE SAME IS SUITABLE FOR ITS PURPOSES, (c) NEITHER LESSOR NOR
AGENT IS A MANUFACTURER THEREOF OR A DEALER IN PROPERTY OF SUCH KIND,
(d) NEITHER LESSOR NOR AGENT SHALL BE LIABLE FOR ANY LATENT, HIDDEN OR PATENT
DEFECT IN ANY ITEM OF EQUIPMENT, OR THE FAILURE OF ANY ITEM OF EQUIPMENT TO
COMPLY WITH APPLICABLE LAWS AND REGULATIONS AND (e) NEITHER LESSOR NOR AGENT HAS
MADE, OR DOES OR WILL MAKE, (i) ANY REPRESENTATION OR WARRANTY OR COVENANT, WITH
RESPECT TO THE TITLE, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, DESIGN,
OPERATION, CONDITION, QUALITY, DESCRIPTION, DURABILITY OR SUITABILITY OF ANY
SUCH ITEM OF EQUIPMENT IN ANY RESPECT OR IN CONNECTION WITH OR FOR THE PURPOSES
AND USES OF LESSEE OR (ii) ANY OTHER REPRESENTATION OR WARRANTY WHATSOEVER,
EXPRESS OR IMPLIED, WITH RESPECT TO ANY ITEM OF EQUIPMENT, IT BEING AGREED THAT
ALL RISKS, AS BETWEEN LESSOR OR AGENT, ON THE ONE HAND, AND LESSEE ON THE OTHER
HAND, SHALL BE BORNE BY LESSEE. Lessor assigns to Lessee, to the extent
assignable, all of its interest, if any, in any warranties, covenants and
representations of any Manufacturer or vendor of any Item of Equipment;
provided, that if a Lease Event of Default has occurred and is continuing,
Lessor may revoke such assignment in whole or in part by providing notice of
such revocation to Lessee; and provided, further, that any action taken by
Lessee by reason thereof shall be at the expense of Lessee and shall be
consistent with Lessee's obligations pursuant to this Lease. Lessor and Agent
acknowledge and agree that, at Lessee's expense, Lessor and Agent shall
cooperate with Lessee with respect to any claim of Lessee against any
Manufacturer and Lessor and Agent further agree that, in the event any such
warranties, covenants and representations are not assignable by