SOP Exhibits

Title:

Contract - (Exhibit 4A - SVLF Amendment)

SOP Number : HR-PB29

EXHIBIT 4A

CONTRACT

KNOW ALL MEN BY THESE PRESENTS:

This Contract, made and entered into by and between:

The

NATIONAL FOOD AUTHORITY (NFA)

, a government agency created by virtue of Presidential Decree No. 4, issued pursuant to Proclamation No. 1081, as amended by PD 1485 and 1770 with principal office at E. Rodriguez Sr. Avenue, Matimyas Building, Quezon City, represented herein by its Administrator, Matimyas Building, Quezon City, represented herein by its Administrator, ________________________ hereinafter referred to as NFA.

and-

_________________________________, of legal age, single/married to ____________________, Filipino, residing with postal address at _______________________, hereinafter referred to as

BENEFICIARY

W I T N E S S E T H

WHEREAS,

the officials of the NATIONAL FOOD AUTHORITY are desirous to acquire their respective vehicles, thru the Vehicle Loan Program of NFA, payable in five years by equal monthly amortizations thru issuance of post dated checks;

WHEREAS, NFA,

per approval of the Office of the President in its 1

^st

indorsement dated August 21, 1974, and Council Resolution No. 66-97 dated January 22, 1997 agreed to extend to its officials the aforesaid privilege known as the

NFA SPECIAL VEHICLE LOAN FUND (SVLF);

WHEREAS, BENEFICIARY

is willing, qualified and eligible to avail himself/herself of the :"SVLF" under the guidelines imposed by the NFA;

NOW, THEREFORE,

for and in consideration of the mutual covenants herein contained, it is hereby agreed as follows:

BENEFICIARY

shall purchase a vehicle of his/her own choice subject to the guidelines aforesaid. NFA shall have the discretion whether to approve or disapprove the proposed sale based on the documents submitted. Once approved, the NFA shall pay to the VENDOR for the account of the

BENEFICIARY

the purchase price which in no case shall exceed the amount of

FOUR HUNDRED THOUSAND PESOS (P400,000.00) PHILIPPINE CURRENCY

. Any excess of the aforementioned amount as purchase price shall be shouldered personally by the

BENEFICIARY

. Registration and all expenses incidental to the release of the loan and acquisition of the vehicle shall be for

BENEFICIARY's

account.

BENEFICIARY

, prior to the release of the loan, shall issue sixty (60) post dated checks secured from a bank located within Metro Manila, each amounting to the monthly amortization of his loan, to liquidate the amount advanced and/or paid for by the NFA as payment or part payment of the purchase price until the same shall have been fully paid, the first check to be dated end of the following month after the loan was released by the

NFA

;

3. The

BENEFICIARY

shall secure at his/her own expense, and submit to NFA a Comprehensive Insurance Coverage and Mortgage Redemption Insurance (MRI) on the said vehicle issued by a reputable insurance company acceptable to the latter. He/she shall designate NFA as beneficiary of said insurance policy but only to the extent of the balance of the obligation. Said insurance coverage shall continue and shall be renewed at

BENEFICIARY's

expense until the full amount advanced by the

NFA

shall have been fully liquidated.

BENEFICIARY

shall, likewise, execute in favor of and submit to NFA a first Chattel Mortgage over the vehicle using for this purpose the form prescribed by the NFA, all expenses relative thereto including registration shall be for his/her account.

5. That failure on the part of the

BENEFICIARY

to submit the above-mentioned requirements, or any other requirements, within thirty (30) days from release of the loan shall subject the loan to 2% interest per month until the time the requirements are submitted.

6. In addition,

BENEFICIARIES

shall execute a Deed of Undertaking authorizing NFA to deduct from any claims that they may have from NFA, any unpaid portion of the loan in case of separation from NFA.

7. In case of default in payment of monthly amortization, the

BENEFICIARY

shall be given a grace period of fifteen (15) days to settle his dishonored check, otherwise, the total outstanding balance, plus 2% interest per month and 2% penalty per month from date of default, shall become immediately due and demandable without prejudice to the filing of administrative case for violation of the terms and conditions of this SOP and/or criminal case for estafa. NFA management shall file charges against the

BENEFICIARY

with five (5) days from receipt of notice from HRMD. Any record of delinquency shall disqualify the

BENEFICIARY

from availing the vehicle loan and all other loans from NFA.

8. That it is a special condition of this Contract that

BENEFICIARY

and his/her heirs shall not sell, transfer or in any other manner to encumber the vehicle until fully paid without prior notice/consent of the NFA. Should this condition be violated, the NFA has the option, considering the equity of the case, either to rescind this Contract and foreclose the Chattel Mortgage, and the payments made by the

BENEFICIARY

be automatically forfeited in favor the NFA and considered as rentals for the use of the vehicle; or shall render whatever balance of the obligation as immediately due and demandable, notwithstanding liquidated damages and costs of suit in case of litigation. This shall be without prejudice to any other legal remedies, administrative or otherwise, that the NFA may take as warranted in the premises;

9. In case of resignation, transfer, retirement, or any other manner of separation from NFA service prior to full payment of the loan, the balance of the loan shall become immediately due and demandable or shall be deducted from whatever claims the

BENEFICIARY

may have from NFA, subject further to the stipulation of the SOP on Vehicle Loan Program.

10. In the event that the

BENEFICIARY

dies the MRI shall answer for the balance of the loan. In such event, whatever amount due to the

BENEFICIARY

from NFA shall accrue to the latter,and for this purpose, the

BENEFICIARY

, his/her heirs, administrator, assigns, and/or successor(s) do hereby by these presents and by virtue of this Contract, appoint(s) and constitute(s) the NFA as Attorney-in-fact to do all acts and to execute documents, requisites necessary to effect the application of the said amount(s) to the account and for any balance thereof.

11. That should the NFA resort to court action(s) to protect its interest or otherwise enforce the provisions of this Contract, the

BENEFICIARY

, his/her heirs and successor(s), shall pay liquidated damages equivalent to the 25% of the money value in litigation besides the costs of suit and interest. Value of action shall be with any of the competent court of Quezon City, Philippines.

IN WITNESS WHEREOF,

the parties do hereby sign this Contract this _____ day of ____ ,19___, at _______________________, Philippines.

BENEFICIARY: NATIONAL FOOD AUTHORITY (NFA)

BY:

______________________________ ________________________________

Deputy Administrator

WITH MARITAL CONSENT:

________________________________

SIGNED IN THE PRESENCE OF

________________________________ _____________________________

ACKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES)
__________________________ ) S.S.

BEFORE ME, a Notary Public, for and in ________, Philippines, personally
appeared this _____ day of ________, 19___/

____________________ in his official capacity as Deputy Administrator of
the NATIONAL FOOD AUTHORITY with Residence Cert. No. _______________ issued
at ____________ on _______________, 19___.

- and -

___________________ with Residence Certificate No. ____________ issued
at _______________ on ______________, 19__.

both known to me to be the same persons who executed this foregoing Contract consisting
of four (4) pages including this page on which this acknowledgement is written, signed by

the parties concerned and their instrumental witnesses on each and every page hereof and the parties have acknowledged the same to be their free and voluntary act and deed as well as the entity represented.

__________________________

Notary Public

Until December 31, 19_____

PTR No. _______________

Issued at ______________

on ___________________

Doc. No. __________

Page No. __________

Book No. __________

Series of 19________