Partner Operations Training Table of Contents 1.Program Overviewa.Presentation b.Frequently Asked Lease Questions 2.Quote Tool a.Pre-qual checklist b.Creating a proposal c.Lease Agreement d.Limited Warranty Operations a.Project Stages b.How to Avoid Deficiencies 3.Ordering Process 4.Initial Lease Package Process a.Checklist c.Executed Lease Sample d.Executed Limited Warranty Sample e.ACH f.Example of check for down payment or prepayment g.Executed Job Addendum with Attachment(s) a.Product Purchase Waiver and Release b.Subcontractor Information Form c.Site Plan h.Rebate Reservation and/or Calculation Sample and Rebate Document Contact Info, 5.Customer Credit Process a.Credit Status Definitions b.Credit Process Applicant Need to Know c.Customer Credit Portal Instructions d.NRG SunCap Credit Denial Letter Sample 6.SCF letters requiring additional homeowners signatures a.Introduction to Trust Release and Trust Form Sample (SCF Use Only) b.Rescission of Accidental Cancellation Notice Execution Sample (SCF Use Only) 7.Welcome Package a.Introduction to the SunCap Construction Processb.Executed Contract and Warranty & Amendment to Agreements (if necessary) 8.Design Package Process a.Design Package Checklist b.Sample Design Proposal 9.Construction Approval Package Process a.Monitor Procurement b.Interconnection Application on File (Sample)-No copies c.MAC address (serial number) of the Monitor to be installed Sample 10. Substantial Completion Package Process a.Substantial Completion Package Process b.Checklist c.End-User Acceptance Form d.Lien Waiver for Substantial Completion (Sample) e.Commissioning checklist f.Customer Acceptanceg.Monitor Field Verification Process h.Substantial Completion Certificate-No copies 11. Final Completion Process a.Final Completion Process b.Final Completion Document Checklist c.Final Completion Certificate (SunCap Generated)-No copies 12. Monitoring System Information a.Smart Monitoring Quick Installation Guide b.Customer Smart Monitoring Program User Guide (1stc.LGate 101Monitor Site Survey page only) d.Customer LGate 101 Monitor Network Survey e.SunCap LGate 101 Specifications 13. Quick Start 14. Same As Cash Program 15. Commercial Leasing Resi-Lease Dealer TrainingBrought to you by the Finance DepartmentWelcome!Todays TopicsOverview of SunCap Financial DC & SD Lease ProgramCustomer QualificationsCompetitionLease Options-Pre-Paid vs Cash PurchaseQuoting ToolOperationsWarrantyMonitoringSales training-How to sell the leaseDC & SD Finance OptionsOverview Of Suncap Financial What does SunCap Financial do? SunCap Financial provides a simple and affordable lease for qualified homeowners in partnership with the industry's best solar distributors, integrators, equipment manufacturers and capital providers. Our customers benefit from low monthly payments and lower electricity bills. We respect the brand and independence of our partners and work with them to increase their sales and grow their business through the SunCap suite of lease products.6/28/2011 4 |Capital ProvidersHome OwnersThe DC & SD Resi-Lease Program Targets higher utility prices & energy consumption Couples rebates with the federal incentives Lowers the homeowners monthly expenses Reduces/eliminates upfront cash out of pocket Gets more homeowners into market Finances the system for 20 yearsDC & SD sells completed system to lease provider Specifics: Monthly $0 down, Monthly down payment, pre-paid Minimum 700 FICOTransferrable ExtendableAnnual Escalation No Equity requiredAnticipated 90 days from lease signing to substantial completionPerformance Guarantee LP will take advantage of the ITC and rebateResi-Lease Customer Credit Qualifications Credit score of 700 for all homeowners on the lease Homeowner must sign the lease agreement exactly how it is in the header Owner occupied Must be a US citizen Homeowner must not exceed 45% debt to income ratio Homeowner must be employed/Fixed income Most current paystub and W-2 (most current calendar year) will be required Homeowner must provide two years of physical address and employmentLease Competition$0 , PartialPre-Paid?20 Year Terms Available?Extension Available?Escalator? Transfer Lessthan 90 daysMonitoring/ Performance guaranteeBuyout Available?No Equity RestrictionsDC & SDLease SungevityLease Solar CityLease Sun PowerLease Solar UniverseLease CentroSolarLease SunRunPPA 8.28 kilowatt-dc10,161 kwh per yearTotal system cost: $36,800 @ $5.00 per wattExample based on aPG&E customer in Tier 5Lease Options-CA0 down Partial Down Pre-Paid Cash PurchaseInitial Payment $0 $2000/$5000 $18,638 $34,327Annual Increase3.9% 3.9% 0% 0%Ave. cost per kwh22 20/16 8 12Old Bill $380 $380 $380 $380New Bill $64 $64 $64 $64Monthly Lease Payment$146 $129/$104 $0 $0Year 1 Savings $2,039 $2,241/$2,542 $3,792 $2,594Total Savings $63,807 $69,736/$78,629$115,454 $75,685$0 down$0 DownInitial Payment$0Annual Increase3.9%Old Bill $380New Bill $64Monthly Lease Payment$146Year 1Savings$2,039Total Savings$63,807$0 money downSmall monthly lease payment No Additional Insurance20 years of monitoring20 year performance guarantee20 year warranty Inverter replacement includedITC and rebate are included in the lease pricePartial PaymentPartialPaymentInitial Payment$2k/$5kAnnual Increase3.9%Old Bill $380New Bill $64Monthly Lease payment$129/$104Year 1 Savings$2,241/$2,542Total Savings$68,736/78,629$2,000/$5,000 Partial PaymentSmall monthly lease payment No Additional Insurance20 years of monitoring20 year performance guarantee20 year warranty Inverter replacement includedITC and rebate are included in the lease pricePre-PaidPre-PaidInitial Payment$18,636Annual Increase$0Old Bill $380New Bill $64Monthly Lease payment$0Year 1 Savings$3,792Total Savings$115,454$39,769 less than cash purchase$4800 Insurance$3000 inverter$47,569 savings by doing theprepaid vs cash purchase $0 Lease Payment No Additional Insurance 20 years of monitoring 20 year warranty 20 years performance guarantee Inverter replacement included ITC and rebate are included in the lease pricePurchaseCash PurchaseNet cost after rebate $34,327Annual Increase$0Old Bill $380New Bill $64Monthly Lease Payment$0Year 1 Savings$2,594Total Savings$75,685$36.800System Cost$2,898 PGERebate @ .35 $33,902Net cost out of pocket$10,170 Income Tax Credit$23,732 Net cost after incentivesAdditional insurance $4,800 (20 years)Replacement of inverter $3,00010-year installation warranty25-year manufacturer warrantyO.K., folks, lets move along. Im sure youve all seen someone qualify for a loan before. Quote ToolPrequalifying your homeownerUser guideReviewing the proposalReviewing the Lease agreementReviewing the warrantyFrequently Asked Questions What if I sell my house? What happens if a potential home buyer doesnt want solar? Is there a penalty for prepayment? What happens after 20 years? Does it show on my credit? Does it show on my homes Title? Do I still get the rebate/ITC? What if solar technology gets better? Will my system still work if the electricity goes out? No Internet/No Monitoring/No Performance Guarantee Can I use a co-signer? Will my HOA approve solar? Will I get reassessed? Does solar add value to my home? How does the Lease Providers guaranteed production work? How will I know if my system is producing the guaranteed amount? Who do I contact if the system stops working? What happens at the end of the lease? What interest rate will I pay? Is there a minimum or maximum system size? 2kw-33kw OperationsInitial Lease Package-submitting all docsCredit ProcessDesign PackageConstruction approvalSubstantial CompletionFinal CompletionWho is Responsible for What?Dealer Presents Proposal to homeownerClose DealKit Sizing / System DesignPermits & InspectionRebate ReservationInstallationHomeowner TrainingCompletion PackageWarranty: 5-Year Roof, 10-Year WorkmanshipDC & SDEnroll DealersTrain DealersSign Off on Design and Performance EstimatesMaterials SupplyManage ScheduleIssue NTP to DealerCentralize PaperworkPay DealerBackstop Dealer WarrantyLease ProviderCredit CheckApprove DesignIssue NTP to DC & SDPerformance & MonitoringMaintenanceCustomer ServiceLease Pricing and InvoicesReplace InverterWarranty for 20 Years3rdParty InspectionResale CertificateCarry Rebate and GrantHow is the Dealer Paid?Dealer is compensated for typical installation services except for equipment costs. Lease Provider purchases equipment directly from DC Power Systems & Solar DepotPayment to the Dealer will occur at:Construction Authorization (product shipment) 25%Substantial Completion 50%Final Completion 25%Monitoring19EQUIPMENT MONITORINGResi-Lease Homeowner TrainingDealers are responsible for training homeowners with a manualTopics include:System documents One line drawings Parts summary and specsSystem operation Emergency shut-down Online monitoring interface Data sheetsWashing/CleaningWarranty When to call & who to callOther Financing Options-SACHighlights Quick approval for dealer and homeowner Paperless process Max loan amount is $45,000 6, 12, 18 month term Deferred payment option Zero money down No Interest No Payments No Closing Costs Buy now pay laterCall our specialist Kevin HarperDealer Approval Dealer fills out application, worksheet, fee payment authorization form via the website Dealer agreement via echosign Dealer Must be in good standings with DC & SD Clear valid license Copy of insurance-Adding DC & SD Dealer training on SAC processCommercial LeasingHighlights Operating and Capital LeaseOptions Equipment or 100% Financing Options Financing available starting at 10kW 1MW DC Terms up to 10 years for qualified applicantsCall our specialist Rich MumaDealer Approval Completion of Dealer Financing Agreement Completion of a Project Information Sheet (per project) Dealer Must be in good standings with DC & SD Clear valid licenseFHAHighlights Not Been Released 620 FICO Max loan amount is $25,000 No Equity Required No Appraisal 1-15 year Term Interest Rate 9.99-14.99% Quick Approval Secured and Unsecured Tax write off if securedDealer Approval Minimum of 3 yrs in business Trade references Annual sales volume>$200k Credit report-Principals Business credit report Valid contractors license Dealer agreement HUD dealer agreement Minimum net worth $35k Bi-Annual visits from SFCTHANK YOU!For more information, contact us at:Financing Programs Department Direct: (707) 992-3498 x617Email: financing@solarnetholdings.comwww.dcpower-systems.comwww.solardepot.comRob Godlove-Finance Programs Director (707)992-3314Chris Vickney-Finance Program Trainer (707)326-6319Sara Tyler-Finance Program Administrator (707)992-3176Kevin Harper-Residential Specialist (707)992-3165Rich Muma-Commercial Lease Specialist (707)992-3328

FAQs about the Lease 1.What if I sell my house? 2.What happens if a potential home buyer doesnt want solar? 3.Is there a penalty for prepayment? 4.What happens after 20 years? 5.Does it show on my credit? 6.Does it show on my homes Title? 7.Do I still get the rebate/ITC? 8.What if solar technology gets better? 9.Will my system still work if the electricity goes out? 10. No Internet/No Monitoring/No Performance Guarantee 11. Can I use a co-signer? 12. Will my HOA approve solar? 13. Will I get reassessed?14. Does solar add value to my home? 15. How does the Lease Providers guaranteed production work? 16. How will I know if my system is producing the guaranteed amount? 17. Who do I contact if the system stops working? 18. What happens at the end of the lease? 19. What interest rate will I pay? 20. Is there a minimum or maximum system size? 2kw-33kw

Name: Pre-Qual Check List Address: City:_____________________ Zip:___________________________________________________________________________________ Cell:_____________________ Hm: _____________________Wk:Email Address:______________________________________________________________ _______________________ Sq Ft:________ Roof Type:_________ Roof Age:________ Stories:______________________________________ _______ Utility Company:_________________ Exact Name on the bill:Yr Built:________ Average Bill:_________________________ _______ Account #:____________Meter #: ________________Rate Plan:Amperage:___________________ Meter location: Heating Gas or electric:____ Shading:Y/NHOA:Y/NDown Payment: Y/N Financing: Y/N ____ Computer and printer access: Y/N Did you Google The Roof:What is the Homeowners Motivation to do Solar:____________________________________ Y/NAre you employed?_________ Do you have a 700 FICO?_________ Owner/Occupied?

______ Notes: ____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

January_______May_______ September_______ 12 months kilowatt hour usage: February_______ June_______ October_______ March______July_______ November_______ April_______ August_______ December_______

Quoting, Lease Signing, and Package Submitting1 SunCap Financial

Quoting, Lease Signing, and Package Submitting May 2011 Version 2.1 Table of Contents Quoting, Lease Signing, and Package Submitting2 SECTION TITLE PAGE HOW TO USE THIS PLAYBOOK.3 LOGGING ONTO THE QUOTE MACHINE....4 CREATING A LEASE QUOTE..5 REVIEWING A LEASE QUOTE18 CUSTOMER LEASE APPROVAL AND SIGNATURES..19 ACCEPT AND FINALIZE LEASE AND QUOTE21 FINDING AND LOADING A CONSTRUCTION PACKAGE23 CREATING A NEW CONSTRUCTION PACKAGE..25 CREATING A NEW CONSTRUCTION DOCUMENT ..27 SUBMITTING A PACKAGE..30 How To Use this Playbook Quoting, Lease Signing, and Package Submitting3 This playbook contains step-by-step instructions and screen shots to aid in creating and submitting a customer quote. SymbolPurpose Call out Reminds of specific elements, both on a screenshot and within text. Caution Identifies when physical harm may be present.Dictionary Identifies and explains important words. Light bulb Identifies tips and suggestions that may be helpful when using a feature. NumberIdentifies a step in a sequence of events. Push pin Notifies of additional important information. Numbered steps identify areas that coincide with a specific step in a sequence of events. 1 2 3 Call out boxes draw attention to key information. 1 Logging Onto the Quote Machine Quoting, Lease Signing, and Package Submitting4 To log into the Quote Machine, complete the following steps.StepAction 1Navigate via an internet browser to www.quote.suncapfinancial.com. 2Enter the username assigned by SunCap Financial. 3Enter the initial password created for user.4Click the Log In button. 2 3 4 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting5 Creating a quote in the Quote Machine allows partners to price a solar system lease to meet customers needs. Complete the following steps to create a quote.StepAction 1When the Quote Machine loads, the user account page opens. Click the My Customers link at the top right of the page. 1 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting6 2Begin a search by entering search criteria into any of the available search fields:First name Last name Email address 3Filter search results by choosing either the Show Companys Customers or the Show Only My Customers radio button. 4Click the Search button. 2 3 4 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting7 5If searching does not return customer information, click the green Add New Customer button. Note: If customer is in the system, click the customer name and proceed to Step 9 of this procedure. 5 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting8 6Under the Customer Primary Contact tab, enter the required information requested: First Name Last NameEmail Address Note: The fields marked with a red asterisk (*) are required. Note: If a secondary customer will be on the Lease, enter the appropriate information under the Customer Other Contact tab. 6 Enter second customer information into the Customer Other Contact tab. Creating a Lease Quote Quoting, Lease Signing, and Package Submitting9 7Under the Mailing Address tab, enter the information requested: Address City State Zip Code Note: The fields marked with a red asterisk (*) are required. 8Click the Save button. 7 8 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting10 9Once the customer account page loads, click the green Add Installation Site (to begin new quote) button. Note: If the customer already exists in the Quote Machine, clicking the customer name will lead users to this screen. Start here and complete the rest of this procedure to create a quote for a preexisting customer. 9 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting11 10Once the Create Installation Site screen loads, enter the information requested. Note: The fields with a red asterisk (*) are required. 10 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting12 11Click on the Installation Attributes tab. Enter the information requested. Tip: Enter data for each month in the Power Consumption Curve section to generate an accurate curve of annual levels. Note: The fields with a red asterisk (*) are required.12Click the Save button. 12 11 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting13 13A summary screen loads with the information entered about the installation site.14Click the green Get New Quote button. 14 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting14 15Enter the financial attributes of the proposed system. Note: The fields with a red asterisk (*) are required. 16Click the Save button. 16 15 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting15 17Click the green Add Subsystem button. Note: At least one subsystem must be added to every system. 17 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting16 18To create a subsystem, enter the requested information: Subsystem size Azimuth (value ranges between 1 and 360) Tilt (value ranges between 0 and 90) Shading (derate value ranges between 0.01 and 1.00) o0.0 represents 100% shaded, 1.0 represents 0% shaded Note: The fields with a red asterisk (*) are required. 19Under the Modules tab, select the modules from the Module dropdown box.20Enter the number required in the Count box. 21Click on the Inverters tab. 18 20 19 21 Creating a Lease Quote Quoting, Lease Signing, and Package Submitting17 22Select an inverter from the Inverters dropdown box. 23Enter the number of inverters required in the Count box. 24Select the racking type from the Racking dropdown box. 25Click the save button. 24 23 22 25 Reviewing a Lease Quote Quoting, Lease Signing, and Package Submitting18 Review the quote to ensure that the specifications are appropriate. Complete the steps below to review the lease quote.StepAction 1Review the quote. If changes are needed, click the Edit tab. 2Scroll down to the Quote Summary section.3Next to the Download section, click on the links to the following documents: Proposal LeaseWarranty

3 2 1 Customer Lease Approval and Signatures Quoting, Lease Signing, and Package Submitting19 If the quote is accurate, obtain customer signatures. Complete the following steps to obtain customer approval on the lease. StepAction 1A PDF File Download box opens. Click Open. 2When the PDF loads, click File, then click Save. Save each document to user files. 3Print a copy of the Lease and Warranty. 1 3 2 Customer Lease Approval and Signatures Quoting, Lease Signing, and Package Submitting20 4Obtain customer signature(s) and transaction date on both the Lease and Warranty. 5Scan the signed Lease and Warranty.6Scan copy of either a down payment or prepayment check. 7Save to local computer. Accept and Finalize Lease and Quote Quoting, Lease Signing, and Package Submitting21 After obtaining customer signatures, complete the following steps to accept and finalize the lease. StepAction 1If the quote is signed, scanned, and saved, it is ready for SunCap review. Click the green Accept and Finalize button. Note: Clicking Accept and Finalize locks the quote (and any other quotes associated with the installation site). Changes cannot be made after clicking this button. Note: Clicking Accept and Finalize triggers the calculation of the Guaranteed Substantial Completion (GSC) date. 1 Clicking Accept and Finalize locks the quote. If changes are required, they cannot be made after clicking this button. Accept and Finalize Lease and Quote Quoting, Lease Signing, and Package Submitting22 2When the confirmation screen loads, click the Accept and Finalize button. Note: If the quote is not ready for submission, click the No, Go back link. 3After submitting a quote, a confirmation notifies users that the quote has been accepted and finalized. 2 3 Finding and Loading a Construction Package Quoting, Lease Signing, and Package Submitting23 Once the quote has been created, saved, signed, and scanned, complete the following steps to submit it to SunCap for review. StepAction 1Navigate to www.partner.suncapfinancial.com. 2Click the LOGIN button under Partner Portal. 3Enter the username. 4Enter the password.5Click the grey OK button. 2 1 5 4 3 Finding and Loading a Construction Package Quoting, Lease Signing, and Package Submitting24 6Click on the Builds tab.7Click on the customer file link under Build Name on the Builds Home page. 8Scroll down to the Construction Packages section towards the end of the page. 6 7 Page Title 8 Creating a New Construction Package Quoting, Lease Signing, and Package Submitting25 A construction package must be loaded in order to upload documents. Complete the following steps to create a construction package. StepAction 1On the Builds Home page, scroll to the Construction Packages section. 2If the desired package is not loaded (in this case, the Initial Lease Package), click the new button.Tip: If the package already exists, click on the underlined Initial Lease package link and skip to the section of this document titled Creating a New Construction Document. 2 In this screenshot, Initial Lease, Design, and Construction Approval packages have been created. In general, at this stage in the process, there will be no packages. Complete Steps 2 and 3 on the next page to create a package.1 Creating a New Construction Package Quoting, Lease Signing, and Package Submitting26 3Select the Initial Lease package from the Package dropdown menu. Note: All other fields automatically populate.4Click Save. 3 4 Creating a New Construction Document Quoting, Lease Signing, and Package Submitting27 Once the construction package is created, construction documents may be created. Complete the following steps to create new construction documents. StepAction 1On the Builds Home page, scroll down to the Construction Packages section towards the end of the page. 2Click on the grey New Construction Document (Portal) button to add an Initial Lease construction name. 3Select the document type from the Document Type dropdown list. Note: All other fields automatically populate.4Click Save. 1 2 3 4 Creating a New Construction Document Quoting, Lease Signing, and Package Submitting28 5On the Construction Document screen, click the grey upload button. 6Navigate to the signed and scanned Lease document on the users computer. 7Select the file. 8Click Open. 5 6 8 7 Creating a New Construction Document Quoting, Lease Signing, and Package Submitting29 9Verify document is ready to load in the Documents section of the Construction Document Detail. Tip: It is possible to change the name of the file and add a description to further describe the document.10Click the grey Save button. 11Confirm document is loaded. 12Repeat the steps 1 through 11 for all Initial Lease Documents: Customer Lease Limited Warranty Rebate documentation (if applicable) Copy of down payment or prepayment check 9 11 10 Add description here. Submitting a Package Quoting, Lease Signing, and Package Submitting30 After all construction documents have been created and uploaded, the construction package is ready for SunCap review.Complete the following steps to submit a construction package. StepAction 1When all package documents are uploaded and the package is ready for SunCaps approval, click the grey Submit for Approval button. 2When the Message from webpage box loads, click the OK button if all documents are ready for submission. 2 1 Submitting a Package Quoting, Lease Signing, and Package Submitting31 3Verify that Overall Status is changed to Pending in the Approval History section. The quote has been submitted in the form of the Initial Lease Documents package. SunCap reviews the submitted package and provides feedback via the Construction Partner Portal. 3 [Date] [Lease Number]- 1 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. SOLAR POWER SYSTEM LEASE CONTRACT THIS DOCUMENT DESCRIBES THE TERMS AND CONDITIONS OF YOUR LEASE OF A SOLAR POWER SYSTEM THAT WILL BE INSTALLED AT YOUR HOUSE BY [INSTALLER NAME] AND OWNED AND MAINTAINED BY NRG SUNCAP LLC.NRG SunCap LLC One Houston Center 1221 McKinney, Suite 3030Houston, Texas 77010 Phone: 713-655-1180 Fax: 713-513-5709 www.suncapfinancial.com PROPERTY OWNER: [ownersname] CO-OWNER: [co-owners name, if any] MAILING ADDRESS:[address] [city, state zip code] INSTALLATION ADDRESS: [address] [city, state zip code] INSTALLER: [company name] [address] [city, state zip code] [phone] [fax] 1.LEASE 1.1.Lease.This solar power system lease contract (this Lease) is the agreement between you (which includes the property owner and any co-owner listed above, together with their estates, heirs, successors and assigns), and NRG SunCap LLC, a Delaware limited liability company (together with its successors and assigns, SunCap or we or us) covering the lease to you of the solar power system described below (the Solar System).The Solar System will be installed by the Installer listed above and its subcontractors on SunCaps behalf at the home and property at the installation address listed above (the Property).This Lease is [___ (__)] pages long and has the following four (4) exhibits:Exhibit 1 sets forth the monthly Lease Payments to be paid each month during the term of this Lease, as well as the Estimated Prepayment Amount; Exhibit 2 is the notice of cancellation that you must sign and return according to the instructions below in order to exercise your statutory right to cancel this Lease;Exhibit 3 is a list of additional rights you may have based on the state in which the Solar System will be installed; Exhibit 4 is the form of the Authorization Agreement for pre-authorized payments, which you must complete, sign, and return with a copy of a voided check if you would like to have the Lease Payments automatically withdrawn from your checking account.1.2.Signature by Both Parties.This Lease shall not be effective unless and until it is signed by you and by SunCap.By signing this Lease, you represent that you are at least eighteen (18) years of age and that you are either a citizen of the United States or not exempt from paying federal U.S. income taxes, and that every person who has an ownership interest in the Property has agreed to be bound by this Lease. SUNCAP MAY REJECT THIS LEASE BEFORE SIGNING IT.SUNCAP SHALL HAVE NO OBLIGATIONS UNDER THIS LEASE UNLESS AND UNTIL IT SIGNS THIS LEASE. 1.3.Legally Binding.This Lease is a legally binding contract.Please read everything carefully and ask a SunCap representative and consult your attorney if you have any questions. 1.4.Term.SunCap agrees to lease the Solar System to you for a period of [___] years starting on the day your first Lease Payment is due, plus any partial first month starting on the Production Date.This period of time is the Leases Term.The Production Date is the day the Solar System is interconnected with the utilitys electrical transmission grid and starts producing power. [Date] [Lease Number]- 2 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 2.PAYMENTS 2.1.Payments. Solar System Description The Solar System is a [______] KW DC (STC) photovoltaic system, described as follows: Photovoltaic modules: [______] Inverters: [______] Monitoring System: [______] Mounting System: [______] Meter Number: [______] A. Amount Due at Lease Signing or Delivery: The Down Payment due at Lease signing:$ [____] First monthly Lease Payment: $ [____] Tax on first monthly Lease Payment: $ [____] Delivery/Installation Fee:None. Total:$ [____] B. Monthly Lease Payments (taxes not included): The monthly Lease Payments are listed in Exhibit 1.Your first monthly Lease Payment is due on the 1st or 15th day of the month, whichever occurs first, on or after the Production Date.All Lease Payments after that are due on the same day of the month.For example, if the Production Date is the 8th day of a month, your first Lease Payment will be due on the 15th day of that month, and each subsequent Lease Payment will be due each 15th day of the month.The total amount of Lease Payments you will have paid by the end of this Lease is $ [____]. C. Other Charges:None. D. Total of Payments: The total amount you will have paid by the end of this Lease is $ [____].(This is the total of the amounts specified in Sections 2.1A, 2.1B and 2.1C and the total estimated sales and use taxes listed in Section 2.3(b); it does not include additional installation costs or other taxes.) E. Purchase Option At End of Lease Term:If you are not in default under this Lease, you will have an option to purchase the Solar System at the end of the Term at the fair market value of the Solar System at that time as determined by us based on readily available independent information or, at your request, as determined by an independent appraiser paid by you. F. Other Important Terms: See Section 1.4 for additional information on the Term of this Lease and also see below for additional information on early termination, purchase options, renewal options, maintenance responsibilities, warranties, late and default charges, insurance, and prohibition on assignment without SunCaps consent. 2.2.Prepayment.At any time, you may prepay all of your remaining Lease Payments during the Term (excluding any renewal terms) by paying SunCap a prepayment amount equal to the remaining Lease Payments, discounted at the lesser of (a) 4.5% or (b) the prime rate published by the Wall Street Journal plus 2% per annum.This prepayment amount may vary from the relevant Estimated Prepayment Amount listed in Exhibit 1, depending on when you pay this amount.If you pay the prepayment amount, it will not change either partys other rights or obligations under this Lease or under the separate limited warranty and performance guaranty we are providing you for the Solar System (the Limited Warranty). [Date] [Lease Number]- 3 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 2.3.Estimated Taxes. (a)The Down Payment and Lease Payments do not include taxes.You agree to pay directly or reimburse SunCap for the following taxes: any sales and use taxes on the Lease Payments; any gross receipt taxes and other taxes arising out of receipts from use or operation of the Solar System; and any personal property taxes, license and registration fees, assessments, and other taxes, fees, and governmental charges on or related to the Solar System, as invoiced by SunCap or invoiced directly by your local jurisdiction, unless prohibited by law. (b)Based on current tax rates as of the date you are signing this Lease, the estimated sales and use taxes you will pay on the Lease Payments during the Term are $ [___]. (c)If you become the owner of the Solar System at the end of the Term, you agree to pay directly or reimburse SunCap for any related sales and transfer taxes, fees, and charges, unless prohibited by law. 2.4.Additional Payments.Additionally, you agree to pay the following amounts: (a)interest on late payments of 12% annually, but not more than the maximum interest rate permitted by law, together with any reasonable collection costs, attorneys fees, court costs, and post-judgment collection fees; and (b)return check fee or payment denial fee of $25 each time your bank refuses or returns your check or automatic payment under Section 2.5. 2.5.Method of Payment.You agree to pay all amounts due under this Lease by a sending a check drawn on a U.S. bank account to SunCaps offices or by authorizing SunCap to withdraw the payments automatically from your checking account with a U.S. bank. 2.6.ABSOLUTE PAYMENT OBLIGATION.THIS IS A NET LEASE AND YOU ARE NOT ENTITLED TO ANY REDUCTION OF LEASE PAYMENTS OR ANY OTHER AMOUNTS PAYABLE UNDER THIS LEASE.ALL LEASE PAYMENTS AND OTHER AMOUNTS PAYABLE BY YOU UNDER THIS LEASE SHALL BE MADE ABSOLUTELY AND UNCONDITIONALLY WITHOUT SET-OFF, COUNTERCLAIM, RECOUPMENT, DEFENSE OR OTHER RIGHTS THAT YOU MAY HAVE AGAINST ANY PERSON WHATSOEVER. 3.INSTALLATION PROCESS AND CHANGES 3.1.Conditions to Installation.SunCaps obligation under this Lease to install and lease the Solar System is conditioned upon completion of the following, to SunCaps reasonable satisfaction:(a)approval of this Lease by SunCaps financing partners; (b)receipt of all required building, land use, zoning, and other permits and approvals; (c)confirmation by SunCap that all Incentives will be available in the amounts as estimated to calculate the Lease Payments; and (d)completion of real estate due diligence and an on-site engineering inspection to determine whether your Property is suitable for installation and operation of the Solar System. If we determine that any of the above conditions will not be satisfied in a timely manner due to any reason beyond our reasonable control, or if we determine that the economic terms or other circumstances make it impracticable for us to install or maintain the Solar System, then we may cancel this Lease by refunding any Down Payment you paid, and we will not owe you any other amounts under this Lease. 3.2.Changes to Lease Payments and Guaranteed Power Due to Your Requested Design Changes; Your Right to Cancel.Prior to the installation of the Solar System, you will receive a copy of the Solar Systems design, after which you will have five (5) business days to request a change to the design, cancel this Lease, or approve the design. [Date] [Lease Number]- 4 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. (a)If you request a change to the design of the Solar System, we will use commercially reasonable efforts to accommodate your request so long as, in the event such change decreases the expected output of the Solar System or increases the cost of the Solar System or its installation, you agree to (i) a corresponding increase in the Lease Payments, and (ii) if applicable, a corresponding decrease in the Guaranteed Power (as defined in the Limited Warranty).Such changes to the Lease Payments and any agreed changes to the Solar System specifications in this Lease will be documented in an amendment to this Lease signed by you and SunCap, and the changes to the Guaranteed Power (as defined in the Limited Warranty) will be documented in an amendment to the Limited Warranty signed by you and SunCap. (b)If you cancel this Lease under this Section 3.2, you will not receive a refund for the Down Payment, but you will not owe us any other amounts under this Lease. (c)If, within five (5) business days, you do not request to change the design of the Solar System and do not cancel this Lease, you will be deemed to have approved the design of the Solar System and will have no further right to cancel this Lease under this Section 3.2.With your deemed or written approval, SunCap may install the Solar System at any time. 3.3.SunCap Right to Cancel Lease Due to Misestimation.If we determine that the Solar Systems size, cost, or energy production has been misestimated by more than seven percent (7%), we may cancel this Lease by refunding any Down Payment you paid, and we will not owe you any other amounts under this Lease. 3.4.Automatic Increases to Lease Payments Due to Other Conditions.If it becomes evident to us or the Installer that there are conditions at your Property which increase the cost of the Solar System but which were not apparent at the time this Lease was executed, the Lease Payments shall be increased automatically by an amount equal to such increase in cost.We will notify you in writing of any Lease Payment increases due to such conditions. 3.5.Automatic Increases to Lease Payments Due to Installation Incentives.We estimate that the Incentives related to installation, including estimated production-based Incentives, will equal a total of $ [_____] (the Estimated Installation Incentive).Following installation and testing of the Solar System, we will calculate the final amounts of those Incentives (the Final Installation Incentive).The Final Installation Incentive may be less than the Estimated Installation Incentive due to (i) the actual installation of the Solar System (including its shading, pitch, and orientation), (ii) changes in Incentives availability, regulations, or the method for estimating production-based Incentives, or (iii) other factors affecting eligibility for Incentives.If the Final Installation Incentive is less than the Estimated Installation Incentive, the Lease Payments shall be increased automatically by an amount equal to such difference, and we will notify you of the changes in writing. 3.6.Excluded Work.Neither SunCap nor the Installer is required to perform or provide any of the following excluded work in connection with the installation of the Solar System: (i) removal, disposal, or remediation of any hazardous materials existing at the Property; (ii) removal, disposal, or remediation of any fungus, mold, mildew, or other organic pathogens existing at the Property; (iii) removal or replacement of structural deterioration, rust, rot, or insect-infestation existing at the Property; (iv) replacement or improvement to the existing roof or structural framing of any part of the Property; (v) replacement or improvement to the existing electrical system at the Property; (vi) replacement or improvement to bring any portion of the existing Property up to local code; (vii) correction of any construction errors, omissions, or deficiencies by you or your contractors (other than the Installer); (viii) installation of sprinklers, smoke detectors, or life safety equipment required by inspectors or the law as a result of the installation of a Solar System; (ix) removal, replacement, or relocation of any vegetation, existing equipment, or other existing obstacles at the Property; (x) relocation of any items that are not associated with a Solar System; (xi) painting of electrical boxes or conduit; or (xii) municipal design or architectural review or any other specialty permits or attendance at public hearings, notification of neighbors, or additional drawings in connection with the foregoing.If any of the foregoing excluded work must be performed in order to install properly the Solar System, you agree to contract separately with the Installer or a third-party contractor to perform the excluded work, at your expense. 3.7.Documentation; Permits.You agree to execute and to assist SunCap in obtaining all documentation and permits related to the Solar System, including Incentives and Net Metering Service applications. [Date] [Lease Number]- 5 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 3.8.Waste Materials.SunCap and Installer shall keep the Property, as of the end of each business day, reasonably free from accumulation of waste materials caused by the installation of the Solar System. 3.9.Cancellation Due to Delay. (a)If SunCap fails, for a period of one hundred eighty (180) days after you approve or are deemed to approve the design, to provide for the installation of the Solar System as required by this Lease, and if you have performed all of your duties under this Lease, then so long as SunCaps delay is not due to a utility, you may cancel this Lease and SunCap will refund to you any Down Payment you paid. (b)If you cause the installation or setup of the Solar System to be delayed for a period of one hundred eighty (180) or more days after you approve or are deemed to approve the design, SunCap may cancel this Lease without refunding the Down Payment. 4.OWNERSHIP 4.1.Ownership of Solar System.You agree that SunCap is the owner of the Solar System and all data generated by the Solar System.You further agree that you will keep the Solar System free and clear of all claims, liens, levies, and other charges and encumbrances not created by SunCap.You agree that the Solar System is SunCaps personal property for purposes of the Uniform Commercial Code and shall not be considered a fixture.4.2.Loss or Damage to Solar System.SunCap will bear the risk of loss and damage to the Solar System, excluding loss and damage caused by you or your invitees.If the Solar System suffers loss or damage, you shall continue to pay the Lease Payments and you shall not be excused from any of your other obligations under this Lease. 4.3.Ownership of Electricity.You agree that you are the owner of all electricity produced by the Solar System during the Term and that you have control and title to electricity produced by the Solar System prior to the time, if any, when it is delivered to the transmission grid and transferred to the local utility. 5.YOUR SOLAR SYSTEM OBLIGATIONS 5.1.General Obligations.You agree: (a)to notify us immediately if any part of the Solar System is stolen or damaged, or if any other emergency situation exists regarding the Solar System; (b)to notify us within 24 hours if the Solar System is not working properly; (c)to have the Solar System moved, removed, or repaired only according to the Limited Warranty, and to cooperate with those repairs; (d)not to do anything to the Solar System that invalidates or voids the Limited Warranty; (e)not to change or remove the tags or markings on the Solar System; (f)not to do anything to your Property that shades the Solar System; (g)to trim trees, shrubs, and other vegetation that shade the Solar System more that it was shaded at the time of installation; (h)not to do anything to your Property or allow any condition that results in the Solar System failing to perform as originally intended or in the Solar System no longer being connected to the local utility; (i)not to use the Solar System to heat a pool; (j)to provide a safe work area at your Property for installing and maintaining the Solar System; and [Date] [Lease Number]- 6 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. (k)to clean and maintain the solar panels regularly according to the Solar System user manual. 5.2.Access Rights.You agree to cooperate reasonably with and to give us, the Installer, and our other contractors and agents reasonable access to all of the Property: (a) to design, install, test, operate, inspect, improve, repair, replace, move, and remove the Solar System and any related equipment near the Solar System or necessary to interconnect the Solar System to the electrical system of your Property or your local utility; (b) to take any other action relating to the Solar System, this Lease, or the Limited Warranty; and (c) to allow SunCap to enforce its rights under this Lease and under applicable law.We will notify you before we access your Property, if commercially reasonable, and will reasonably cooperate to schedule our visits at times that minimize inconvenience to you.You agree that we may access your Property until one hundred twenty (120) days after the Term of this Lease expires, for us or our contractors or agents to remove the Solar System from your Property as permitted by this Lease. 5.3.Preservation of Access and Ownership Rights.You agree to preserve our access and ownership rights of the Solar System.We may file a UCC-1 financing statement or fixture filing to record our interest in the Solar System.You hereby grant to us an easement to access the Solar System and exercise our rights under this Lease and the Limited Warranty.Additionally, we may prepare and record in the public records appropriate documents that confirm our rights and that the Solar System is not a fixture.If we request, you agree to complete, execute, and return within ten (10) business days any documents that we deem reasonably necessary to preserve our access and ownership rights in the Solar System. 5.4.Meter; Net Metering Service.You agree to use an electric meter that we, or Installer, will provide and install at no cost to you.The electric meter will measure all electricity delivered to you from the Solar System.You agree not to tamper with, modify, or damage the meter.You are responsible for any inaccuracies and damage to the meter caused by you or anyone, other than SunCap or its designated contractors.Additionally, you agree to utilize the standard net metering service (Net Metering Service) available from your local utility, or if Net Metering Service is not available from your local utility or is discontinued, a net metering program chosen by SunCap. 5.5.Photos.You agree that we may take photos of the Solar System and use the photos and any graphical representations of the Solar System in marketing or other promotional materials. 6.ENVIRONMENTAL ATTRIBUTES AND INCENTIVES (INCLUDING RENEWABLE ENERGY CREDITS) 6.1.Environmental Attributes.In this Lease, Environmental Attributes means all existing and future fuel, emissions, air quality, and other environmental characteristics, credits, benefits, reductions, offsets, and allowances (including green tags and carbon and other emissions offsets, credits, benefits, reductions, and claims): (i) resulting from the generation or use of electricity by the Solar System, (ii) resulting from the avoidance of the emission of any gas, chemical or other substance to the air, soil or water attributable to the generation or use of electricity by the Solar System, or (iii) arising out of any law, rule or regulation, in each case whether federal, state, or local. 6.2.Incentives.In this Lease, Incentives means all existing and future Environmental Attributes, tax credits, depreciation, and other tax benefits, treasury and other cash grants, utility and other rebates, incentives, subsidies, and renewable energy credits and certificates related to the Solar System (including its installation, operation, ownership, and generation of electricity) and any other non-power characteristics of the Solar System, in each case whether federal, state, or local. 6.3.Rights in Incentives.All right, title, and interest in and to the Incentives shall be the property of SunCap and shall be usable in its sole discretion for its exclusive benefit, whether those benefits exist now or in the future.You hereby assign to SunCap all of your existing and future rights to the Incentives and their benefits, including any amounts paid or payable to you in respect of the Incentives.You agree to cooperate reasonably and to assist SunCap in obtaining the Incentives and their benefits, including by completing and filing applications and assignments.You authorize SunCap to make corrections to any applications for Incentives to conform them to this Lease. 6.4.Tracking.You acknowledge and agree that SunCap shall have the exclusive right to report ownership of any Incentives generated by the Solar System under any tracking system for Environmental Attributes or any emissions trading, tracking or reporting program (whether voluntary or involuntary). [Date] [Lease Number]- 7 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 6.5.Claims and Representations.Because SunCap owns all right, title, and interest in and to the Incentives associated with the electricity produced by the Solar System, you acknowledge and agree that the electricity generated by the Solar System has been stripped of its environmental benefits and that the electricity you receive from the Solar System is no longer renewable energy or solar power and you further agree not to make any claims or representations to the contrary. 7.WHAT HAPPENS IF YOU SELL YOUR HOME If you sell your Property before the end of the Termand either (i) you have already prepaid all Lease Payments or (ii) the buyer meets our credit requirements, you may transfer your remaining rights and obligations under this Lease to the buyer, if the buyer agrees.If you still owe any Lease Payments and the buyer does not meet our credit requirements, or if you elect otherwise, you may prepay the remaining Lease Payments under Section 2.2 and transfer your remaining rights and obligations under this Lease to the buyer, if the buyer agrees.In either case, we will not charge you or the buyer a fee for the transfer, but you will remain liable for all of your obligations under this Lease and for any default by the buyer until you, the buyer, and SunCap have signed a transfer agreement under which all of your remaining rights and obligations under this Lease are transferred from you to the buyer.Only after the transfer agreement is signed by you, the buyer, and SunCap will you be released from any further obligations under this Lease.You must give us at least one (1) months, but not more than four (4) months, prior written notice if you want to transfer any of your rights and obligations under this Lease to someone else. EXCEPT AS PROVIDED ABOVE IN THIS SECTION 7, YOU WILL NOT SELL, PLEDGE, ASSIGN, SUBLEASE, OR TRANSFER YOUR RIGHTS OR OBLIGATIONS UNDER THIS LEASE OR YOUR INTEREST IN THE SOLAR SYSTEM WITHOUT OUR PRIOR WRITTEN CONSENT, WHICH WE MAY WITHHOLD IN OUR SOLE DISCRETION. 8.WHAT HAPPENS AT THE END OF THE TERM 8.1.Renewing this Lease.This Lease will expire at the end of the Term unless you elect to renew it.You have the right to renew this Lease up to four (4) times, for periods of five (5) years each, so long as you meet SunCaps credit requirements.The Lease Payments during any renewal period will be based on the fair market value of the Solar System as of the first day of that renewal period, as determined by us based on readily available independent information or, at your request, as determined by an independent appraiser paid by you.Such Lease Payments will be set forth in renewal forms we send you approximately three (3) months before the end of the Term.To renew this Lease, you must complete, sign, and return the renewal forms no later than one (1) month before the end of the Term.If you renew this Lease, the Term will be extended by an additional five (5) years. 8.2.Purchasing the Solar System.You may not purchase the Solar System before the end of the Term.At the end of the Term, if you are not in default under this Lease, you will have the option to purchase the Solar System at the fair market value of the Solar System at that time as determined by us based on readily available independent information or, at your request, as determined by an independent appraiser paid by you.To purchase the Solar System, you must notify us at least sixty (60) days prior to the end of the Term and you must pay the amounts due within thirty (30) days of receiving the invoice we send you.Once the Term ends and we have received and processed your payment in full, you shall become the owner of the Solar System conveyed to you as is, where is. 8.3.Taking Other Actions.If you do not renew this Lease or exercise your option to purchase the Solar System at the end of the Term, then within ninety (90) days after the Term expires: (a)if you are not in default under this Lease at the end of the Term and we request to remove the Solar System, then we may remove the Solar System at no cost to you; (b)if you are in default under this Lease at the end of the Term and we request to remove the Solar System, then you will pay for us to remove the Solar System; (c)if you are not in default under this Lease at the end of the Term and we have not requested to remove the Solar System, then you may make a claim under the Limited Warranty requesting that we remove the Solar System at no cost to you within one hundred twenty (120) days after the Term expires; and (d)if neither we nor you request to have the Solar System removed, then at the end of the 90-day period, you shall become the owner of the Solar System conveyed to you as is, where is. [Date] [Lease Number]- 8 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 9.WARRANTY EXCEPT AS EXPRESSLY PROVIDED IN THE LIMITED WARRANTY, SUNCAP MAKES NO REPRESENTATIONS OR WARRANTIES, EXPRESS OR IMPLIED, REGARDING THE SOLAR SYSTEM OR ITS INSTALLATION, DESIGN, OR PERFORMANCE.SUNCAP DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY, HABITABILITY, OR FITNESS FOR A PARTICULAR USE OR PURPOSE. 10.DEFAULT 10.1.EVENTS OF DEFAULT.YOU WILL BE IN DEFAULT OF THIS LEASE IF YOU SELL, PLEDGE, ASSIGN, SUBLEASE, OR TRANSFER YOUR RIGHTS OR OBLIGATIONS UNDER THIS LEASE OR YOUR INTEREST IN THE SOLAR SYSTEM WITHOUT OUR PRIOR WRITTEN CONSENT.Additionally, you will be in default if (a) you do not make a payment within ten (10) days after the due date; (b) you violate any other obligation under this Lease and such violation continues for fifteen (15) days after you receive written notice; or (c) you provide false or misleading information to us.You will also be in default if you voluntarily commence bankruptcy, insolvency, reorganization, stay, or similar debtor-relief proceedings, or if any of the foregoing proceedings are brought involuntarily against you, or if you become insolvent or generally do not pay debts as they become due, or admit in writing your inability to pay debts, or make an assignment for the benefit of creditors, or if a writ of attachment or execution is levied on the Solar System and is not released or satisfied within ten (10) days, or if a receiver is appointed in any proceeding or action to which you are a party with authority to take possession or control of the Solar System, or if the Property is subject to foreclosure. 10.2.Remedies.If you are in default under this Lease, we have the right to take one or more of the following actions and any other action available to us under this Lease or at law or in equity: (a) take action to prevent loss, correct your default, or otherwise enforce performance of this Lease, by court action or otherwise; (b) terminate this Lease and your interest in the Solar System; (c) require you to return the Solar System at your cost or allow us to access the Property and remove the Solar System at your cost; (d) take back the Solar System with or without court order or other process of law, so long as we are within our rights under the law; and (e) recover damages for your breach, including (i) all accrued and unpaid Lease Payments, taxes, fees, penalties, interest and all other amounts then accrued or due and owing under this Lease, plus (ii) the unpaid balance of the remaining Lease Payments, discounted to present value at the lesser of (x) 4.5% or (y) the prime rate published by the Wall Street Journal plus 2% per annum, plus (iii) reasonable compensation (on a net after tax basis assuming a tax rate of 35%) for the loss or recapture of (A) the investment tax credit or cash grant equal to 30% of the basis of the Solar System for U.S. federal income tax purposes; (B) any other Incentives or their benefits (in respect of which SunCap will provide you with a detailed calculation of the resulting compensation if SunCap makes a claim for such compensation), and (C) accelerated depreciation over five (5) years equal to 85% of the Solar System cost, including installation.Additionally, you agree to pay us for all reasonable costs and expenses (including attorneys fees and court costs) we incur due to your default, including costs and expenses to prevent loss, correct your default, remove the Solar System, or take other action permitted under this Lease.If we chose to exercise a remedy, we are not restricted from exercising other remedies.If we choose not to exercise a remedy, we are not restricted from exercising it in the future.11.INSURANCE; INDEMNITY; LIMITATION OF LIABILITY 11.1.SunCap Insurance.SunCap shall insure the Solar System against loss and damage, excluding loss and damage that is caused by your gross negligence or intentional misconduct. 11.2.Your Insurance.You agree to insure your Property during the Term under a homeowners insurance policy.You are responsible for notifying your insurance provider of the Solar System and of determining whether the Solar System impacts your existing insurance coverages.You are also responsible for making any necessary additions or corrections to your insurance policy; alternately, you shall be responsible for the consequences of failing to make such additions or corrections. 11.3.INDEMNITY.TO THE MAXIMUM EXTENT PERMITTED BY LAW, YOU AGREE TO INDEMNIFY AND HOLD HARMLESS SUNCAP AND ITS OFFICERS, DIRECTORS, MEMBERS, EMPLOYEES, AND AGENTS (SUNCAP PARTIES) FROM ALL CLAIMS, ACTIONS, LOSSES, LIABILITIES, DAMAGES, JUDGMENTS, ENCUMBRANCES, AND COSTS AND EXPENSES (INCLUDING REASONABLE ATTORNEYS FEES AND EXPENSES) OF ANY KIND OR NATURE WHICH ARISE OUT OF OR RESULT FROM YOUR NEGLIGENCE, GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OR FROM THE ELECTRICITY PRODUCED BY THE SOLAR SYSTEM, PROVIDED THAT YOU SHALL NOT BE REQUIRED TO INDEMNIFY ANY SUNCAP PARTY FOR ITS OWN [Date] [Lease Number]- 9 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. GROSS NEGLIGENCE OR INTENTIONAL MISCONDUCT.THIS SECTION 11.3 SHALL SURVIVE THE TERMINATION OR EXPIRATION OF THIS LEASE. 11.4.Limitation of Liability.Notwithstanding any other provision of this Lease, your total liability under this Lease, excluding claims under Section 11.3, shall not exceed the maximum amount that could be payable by you under Section 10.2.Notwithstanding any other provision of this Lease, SunCaps total liability under this Lease shall not exceed the sum of the Lease Payments over the entire Term of this Lease, reduced by all amounts paid by SunCap under the Limited Warranty.THIS AMOUNT OF LIABILITY IS YOUR SOLE AND EXCLUSIVE REMEDY, AND YOU HEREBY WAIVE ALL OTHER REMEDIES OR DAMAGES AT LAW OR EQUITY, INCLUDING ANY GREATER RIGHTS THAT YOU MIGHT HAVE UNDER THE LAWS OF [NAME OF STATE], WHICH YOU SHOULD CONSULT. 11.5.No Consequential Damages.Each party may only recover direct damages under this Lease.In no event shall you or SunCap, its employees, contractors, or agents be liable under this Lease for, nor shall a court or arbitrator assess, any indirect, incidental, or consequential losses or damages, including losses of use, profits, business opportunity, reputation or financing, or any punitive damages, special damages, mental anguish damages, or pain and suffering damages, whether arising in contract, warranty, tort (including negligence), strict liability or otherwise. 12.ARBITRATION 12.1.Arbitration of Claims.Any dispute, controversy, difference or claim arising out of or in connection with this Lease, or the breach, cancellation, or termination or validity of this Lease, which cannot be amicably resolved by the parties shall be submitted to final and binding arbitration in [city, state], in accordance with Commercial Arbitration Rules of the American Arbitration Association (the AAA Commercial Rules), except as provided in Section 12.8.While a dispute, controversy, difference or claim is being resolved under this Section 12, the parties shall continue to perform their obligations under this Lease.The arbitration shall be conducted by one arbitrator appointed in accordance with the AAA Commercial Rules. 12.2.Finality of Award.The parties agree that the award of the arbitrator (the Arbitration Award): (i) shall be conclusive, final, and binding upon the parties; and (ii) shall be the sole and exclusive remedy between the parties regarding any and all claims and counterclaims presented to the arbitrator.The judgment on the Arbitration Award may be entered in any appropriate court as necessary to pursue judgment. 12.3.Governing Law.This Lease shall be governed by the laws of the State of [name of state] (without giving effect to internal principles of conflict of laws).The Arbitration Award shall be based exclusively on the provisions of this Lease; provided, however, that to the extent that the subject matter for the Arbitration Award is not set forth within this Lease, it shall be based on the laws of the State of [name of state] (without giving effect to internal principles of conflict of laws).In addition, in the case of any conflict between the provisions of the AAA Commercial Rules and the provisions of this Lease, the provisions of this Lease shall govern. 12.4.Notice; Demand for Arbitration.Prior to filing a demand for arbitration, a party must first give the other party at least fifteen (15) days prior written notice of its intent to file the demand.All notices to be given in connection with the arbitration shall be as provided in Section 13.Demand for arbitration must be filed within one (1) year after accrual of the cause of action asserted by the complaining party.If the complaining party fails to file the demand for arbitration within that time, the claim shall be deemed to be waived and shall be barred from either arbitration or litigation. 12.5.Payment.The Arbitration Award shall be made and shall be payable free of any tax or any other deduction.The Arbitration Award shall include interest, at a rate determined as appropriate by the arbitrator, as of the date of any breach or other violation of this Lease to the date when the Arbitration Award is paid in full. 12.6.Expenses.The prevailing party in any such arbitration shall be awarded all costs of arbitration and enforcement of the Arbitration Award, including reasonable attorneys fees and court costs, costs of expert witnesses, transportation, lodging and meal costs of the parties and witnesses, costs of transcript preparation, and other costs. 12.7.Arbitral Ruling.The arbitration shall commence within thirty (30) days after the selection of the arbitrator in accordance with Section 12.1.All discovery shall be expedited, consistent with the nature and complexity of the claim or dispute and consistent with fairness and justice.The arbitrator shall have the power to compel any party to comply with [Date] [Lease Number]- 10 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. discovery requests of the other party and to issue binding orders relating to any discovery dispute, which binding orders shall be enforceable in the same manner as awards.The arbitrator also shall have the power to impose sanctions for abuse or frustration of the arbitration process, including the refusal to comply with orders of the arbitrator relating to discovery and compliance with subpoenas.The arbitrator shall render its award within thirty (30) days from the completion of presenting the evidence at the hearing or within one hundred twenty (120) days of the filing of the demand for arbitration, whichever occurs sooner, unless the parties agree in writing to an extension. 12.8.Specific Performance.In the event of any breach by a party of this Lease which would cause any non-breaching party to be irreparably harmed or for which such non-breaching party could not be made whole by monetary damages, then in such circumstances such non-breaching party, in addition to any other remedy to which it may be entitled at law or in equity, shall be entitled to equitable relief, including injunctive relief and specific performance, in any action instituted in a court of applicable jurisdiction. 13.NOTICES All notices and other communications required or permitted under this Lease shall be properly given by the sending party when made in writing and: (i) delivered by a reputable courier service requiring signature for receipt; (ii) mailed by certified or registered first-class mail, post prepaid, with a return receipt requested; (iii) sent by fax as evidenced by a printed confirmation from the sending partys fax machine; or (iv) emailed, in each case to the other partys address set forth above or such other address notified by the other party in writing from time to time.The parties agree that any faxed or emailed document shall be deemed an original document.All notices of arbitration must be sent by mail or courier. 14.ASSIGNMENT SunCap may transfer, sell, or otherwise assign all or any of its rights and/or obligations under this Lease or any Incentive to another party, without your consent and without prior notice to you.THIS LEASE IS NOT TRANSFERRABLE OR ASSIGNABLE BY OPERATION OF LAW. 15.MISCELLANEOUS All rights, powers and remedies provided under this Lease are cumulative and not exclusive of any rights, powers, or remedies provided by applicable law or otherwise.A party shall not be deemed to have waived any right or remedy under this Lease by reason of such partys delay or failure to enforce such right or remedy.Headings used in this Lease are provided for convenience only and shall not affect the meaning or intent of this Lease.The term including as used in this Lease shall be interpreted to mean including, without limitation.The terms of this Lease that expressly or by their nature survive termination shall continue after the termination until fully performed.This Lease may be executed in one or more counterparts, each of which shall be deemed an original and all of which collectively shall be deemed one and the same instrument. [Date] [Lease Number]- 11 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 16.ENTIRE AGREEMENT; RELATIONSHIP TO LIMITED WARRANTY THIS LEASE CONTAINS THE PARTIES ENTIRE AGREEMENT REGARDING THE LEASING OF THE SOLAR SYSTEM.EXCEPT FOR INCREASES TO THE LEASE PAYMENTS UNDER SECTIONS 3.4 AND 3.5, THIS LEASE MAY ONLY BE CHANGED BY AN AMENDMENT IN WRITING SIGNED BY YOU AND SUNCAP.EACH PARTYS OBLIGATIONS UNDER THIS LEASE ARE SEPARATE FROM ITS OBLIGATIONS UNDER THE LIMITED WARRANTY.IF A PARTY BREACHES THIS LEASE OR THE LIMITED WARRANTY, IT WILL NOT AFFECT THE PARTIES OBLIGATIONS UNDER THE OTHER AGREEMENT, EXCEPT THAT IF THIS LEASE TERMINATES, THE LIMITED WARRANTY SHALL AUTOMATICALLY TERMINATE.SUNCAP MAY ASSIGN ALL OR ANY PORTION OF THIS LEASE WITHOUT ASSIGNING THE LIMITED WARRANTY AND, CONVERSELY, SUNCAP MAY ASSIGN ALL OR ANY PORTION OF THE LIMITED WARRANTY WITHOUT ASSIGNING THIS LEASE.17.NOTICE OF RIGHT TO CANCEL YOU MAY CANCEL THIS LEASE AT ANY TIME PRIOR TO MIDNIGHT OF THE THIRD BUSINESS DAY AFTER THE DATE YOU SIGN THIS LEASE.SEE THE ATTACHED NOTICE OF CANCELLATION FORM IN EXHIBIT 2 FOR AN EXPLANATION OF THIS RIGHT. 18.WAIVER OF OTHER RIGHTS TO CANCEL EXCEPT AS EXPRESSLY SET FORTH IN SECTIONS 3.2, 3.9, AND 17, YOU HEREBY WAIVE ALL RIGHTS YOU MAY HAVE TO REJECT OR CANCEL THIS LEASE OR TO REVOKE ACCEPTANCE OF THE SOLAR SYSTEM. 19.DATE OF LEASE THE DATE OF THIS LEASE AND THIS TRANSACTION IS [____]. BY SIGNING BELOW, YOU ACKNOWLEDGE THAT YOU HAVE READ AND UNDERSTAND THIS LEASE AND ITS EXHIBITS IN THEIR ENTIRETY, AND THAT YOU HAVE RECEIVED A COPY OF THIS LEASE. Owner Name:Signature: Date:Co-Owner (if any) Name:Signature: Date:NRG SunCap LLC Name:Signature: Date:[Date] [Lease Number]Exhibit 1: Page 1Copyright 2011 by SunCap Financial, LLC. All rights reserved. Exhibit 1 LEASE PAYMENTS; ESTIMATED PREPAYMENT AMOUNT 1.LEASE PAYMENTS During the Term, you agree to pay a monthly payment (the Lease Payment) as set forth in the following table for each month during the twelve (12) month period starting on the applicable anniversary of the date your first Lease Payment is due under Section 2.1B of the Lease.You acknowledge that the Lease Payment amounts set forth below may increase under Sections 3.2, 3.4, and 3.5 of the Lease. 2.ESTIMATED PREPAYMENT AMOUNT Each Estimated Prepayment Amount reflected in the following table is an estimate of the amount you would pay if you elected to prepay the remaining Lease Payments under Section 2.2 of the Lease on the corresponding anniversary noted below of the first Lease Payment due date.The Estimated Prepayment Amount assumes that the applicable interest rate under Section 2.2 is 4.5%. Anniversary of First Lease Payment Due Date Lease Payment ($ per month) Estimated Prepayment Amount ($) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 [Date] Exhibit 2: Page 1 Exhibit 2 (SunCaps Copy) Notice of Cancellation Statutorily-Required Language NOTICE OF CANCELLATION Date of transaction: ________You may CANCEL this transaction, without any Penalty or Obligation, within THREE BUSINESS DAYS from the above date. If you cancel, any property traded in, any payments made by you under the contract or sale, and any negotiable instrument executed by you will be returned within TEN BUSINESS DAYS following receipt by the seller (SunCap) of your cancellation notice, and any security interest arising out of the transaction will be cancelled.If you cancel, you must make available to the seller (SunCap) at your residence, in substantially as good condition as when received, any goods delivered to you under this contract or sale, or you may, if you wish, comply with the instructions of the seller (SunCap) regarding the return shipment of the goods at the sellers (SunCaps) expense and risk.If you do make the goods available to the seller (SunCap) and the seller (SunCap) does not pick them up within 20 days of the date of your Notice of Cancellation, you may retain or dispose of the goods without any further obligation.If you fail to make the goods available to the seller (SunCap), or if you agree to return the goods to the seller (SunCap) and fail to do so, then you remain liable for performance of all obligations under the contract. To cancel this transaction, mail or deliver a signed and dated copy of this Cancellation Notice or any other written notice, or send a telegram, to NRG SunCap LLC, at One Houston Center; 1221 McKinney, Suite 3030; Houston, TX 77010 NOT LATER THAN MIDNIGHT OF THE THIRD BUSINESS DAY AFTER THE ABOVE DATE.I HEREBY CANCEL THIS TRANSACTION. (Date) ________________________________ (Lessees signature) ________________________________ (Co-Lessees signature) ________________________________ [Date] Exhibit 2: Page 2 Exhibit 2 (Lessees Copy) Notice of Cancellation Statutorily-Required Language NOTICE OF CANCELLATION Date of transaction: ________You may CANCEL this transaction, without any Penalty or Obligation, within THREE BUSINESS DAYS from the above date. If you cancel, any property traded in, any payments made by you under the contract or sale, and any negotiable instrument executed by you will be returned within TEN BUSINESS DAYS following receipt by the seller (SunCap) of your cancellation notice, and any security interest arising out of the transaction will be cancelled.If you cancel, you must make available to the seller (SunCap) at your residence, in substantially as good condition as when received, any goods delivered to you under this contract or sale, or you may, if you wish, comply with the instructions of the seller (SunCap) regarding the return shipment of the goods at the sellers (SunCaps) expense and risk.If you do make the goods available to the seller (SunCap) and the seller (SunCap) does not pick them up within 20 days of the date of your Notice of Cancellation, you may retain or dispose of the goods without any further obligation.If you fail to make the goods available to the seller (SunCap), or if you agree to return the goods to the seller (SunCap) and fail to do so, then you remain liable for performance of all obligations under the contract. To cancel this transaction, mail or deliver a signed and dated copy of this Cancellation Notice or any other written notice, or send a telegram, to NRG SunCap LLC, at One Houston Center; 1221 McKinney, Suite 3030; Houston, TX 77010 NOT LATER THAN MIDNIGHT OF THE THIRD BUSINESS DAY AFTER THE ABOVE DATE.I HEREBY CANCEL THIS TRANSACTION. (Date) ________________________________ (Lessees signature) ________________________________ (Co-Lessees signature) ________________________________ [Date] [Lease Number]Exhibit 3-AZ: Page 1 Exhibit 3-AZ State-Specific Rights: Arizona NOTICE TO BUYER (A.R.S. 44-5004) 1.Do not sign this agreement if any of the spaces intended for the agreed terms to the extent of then available information are left blank. 2. You are entitled to a copy of this agreement at the time you sign it. 3. You may pay off the full unpaid balance due under this agreement at any time, and in so doing you shall be entitled to a full rebate of the unearned finance and insurance charges. 4. You may cancel this agreement any time prior to midnight of the third business day after the date of this transaction. See the attached notice of cancellation form (Exhibit 2) for an explanation of this right. 5. It shall not be legal for the seller to enter your premises unlawfully or commit any breach of the peace to repossess goods purchased under this agreement. [Date] [Lease Number]Exhibit 3-CA: Page 1 Exhibit 3-CA State-Specific Rights: California Estimated Price of Electricity The estimated average price to you of electricity produced by the Solar System during the Term of the Lease is estimated to be $ [_____] per kWh.This is an estimate only and your actual results will vary.This estimated average price is based on, among other things, the following assumptions:(a)an average retail power price equal to [___]; (b)[___]; (c)[___]; and (d)no change in net metering, legal, regulatory, technical, operational, commercial and other requirements, practices or aspects for the Solar System. You also acknowledge that the actual price per kWh and the Solar Systems power output will vary from the estimate above depending on climate, any future shading over the Solar System, and other future conditions which vary from the above assumptions. [Date] [Lease Number]Exhibit 3-CO: Page 1 Exhibit 3-CO State-Specific Rights: Colorado [Date] [Lease Number]Exhibit 4 Exhibit 4 Authorization Agreement for Pre-Authorized Payments To facilitate the transaction associated with SOLAR POWER SYSTEM LEASE CONTRACT #________________(hereinafter referred to the Lease) between NRG SunCap LLC (hereinafter referred to as SunCap) and ____________________ (hereinafter referred to as Customer), Customer hereby authorizes SunCap to initiate, from time-to-time, debit entries to the checking account indicated below and Customer hereby authorizes the depositing financial institution named below (hereinafter referred to as theDepository) to enter such debits or credits to such account. Depository (name): __________________________________________ Routing No.: __________________________________________ Account No: __________________________________________ Please attach a copy of a voided check for the above account It is understood that SunCap will process debit entries to the above referenced account on or after the designated payment due date of each month in an amount not to exceed any amounts outstanding at any time under the Lease, except otherwise provided herein. Customer represents to SunCap that all persons whose signatures are required to withdraw funds from the above referenced account have executed this Authorization Agreement. Customer hereby acknowledges that SunCap may process debit entries for scheduled Lease payments or any other sum due and payable to SunCap pursuant to the Lease.Customer also acknowledges that SunCap may assign the Lease to a third party who may then process debit entries per this Authorization Agreement. Customer hereby acknowledges that it has received a copy of this Authorization Agreement for its records. Customer hereby acknowledges that Customer may not terminate this Authorization Agreement until all amounts owed by Customer under the Lease have been paid in full, or until Customer has provided SunCap written notification via certified mail of Customers request to terminate this Authorization Agreement and SunCap has had a reasonable amount of time to act upon Customers request.The termination of this Authorization Agreement does not terminate the fully enforceable Lease or your obligations under the Lease, including but not limited to your obligation to make the required Lease payments. Customer Signature:___________________________________________ Customer Name:___________________________________________ Date:___________________________________________ Additional signatories if any are required to withdraw funds from the above referenced account: Additional Signature:___________________________________________ Additional Name:___________________________________________ Date:___________________________________________ - - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - Attach voided copy of check to this section [Date] [Lease Number]- 1 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. LIMITED WARRANTY AND PERFORMANCE GUARANTY THIS DOCUMENT DESCRIBES THE TERMS AND CONDITIONS OF THE LIMITED WARRANTY AND PERFORMANCE GUARANTY COVERING THE SOLAR POWER SYSTEM INSTALLED AT YOUR HOUSE BY [INSTALLER NAME] AND OWNED AND MAINTAINED BY NRG SUNCAP LLC. NRG SunCap LLC One Houston Center 1221 McKinney, Suite 3030Houston, Texas 77010 Phone: 713-655-1180 Fax: 713-513-5709 www.suncapfinancial.com PROPERTY OWNER: [owners name] CO-OWNER: [co-owners name, if any] MAILING ADDRESS:[address] [city, state zip code] INSTALLATION ADDRESS: [address] [city, state zip code] INSTALLER: [company name] [address] [city, state zip code] [phone] [fax] 1.What is this Limited Warranty? This limited warranty and performance guaranty (this Limited Warranty) is an agreement between you and us, NRG SunCap LLC, under which we provide certain limited warranties and a performance guaranty for the Solar System you have agreed to lease from us.In this Limited Warranty, the term Solar System means the solar power system being installed by the Installer listed above on SunCaps behalf at the home and property at the installation address listed above (the Property).This Limited Warranty begins on the day we begin to install the Solar System that we are leasing to you under a lease agreement between you and us (the Lease). This Limited Warranty refers to NRG SunCap LLC, together with its successors and assigns, as SunCap or we or us. This Limited Warranty refers to the property owner and any co-owner listed above, together with their permitted successors, heirs, and assigns, as you. 2.What does this Limited Warranty cover, and for how long? Under this Limited Warranty, we are providing you with the following limited warranties and performance guaranty: [Date] [Lease Number]- 2 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. What is covered?How long is it covered? 2A. Limited Warranty on Installation and Use of Solar System We warrant that the Solar System is of good quality, is new when installed, and is constructed and installed in a good workmanlike manner according to Prudent Solar Practices (as defined below in Section 16).We also warrant the Solar System, under normal use and service conditions, against any defect or deficiency in workmanship. If we breach this warranty, we will, at our option, (i) repair or replace the Solar System, or (ii) continue to credit to you the required amounts under the Performance Guaranty, without making the repair or replacement. For a period of ten (10) years starting on the day your first Lease Payment is due, plus any partial first month starting on the day the Solar System is connected to the utilitys electrical transmission line and starts producing power (Production Date) (such period, the Term).2B. Limited Warranty on Roofing Penetrations from Installation We warrant each roofing penetration made in connection with installing the Solar System, and the surrounding area within a five (5) inch radius of each penetration, against damage to the roof and against water infiltration through the roof. If we breach this warranty, we will repair the damage to your roof and the physical damage to your property resulting from any water infiltration. For five (5) years starting on the date we begin to install the Solar System. 2C. Limited Warranty on Roofing Penetrations from Removal We warrant each roofing penetration made in connection with removing the Solar System, and the surrounding area within a five (5) inch radius of each penetration, against damage to the roof and against water infiltration through the roof.This warranty only applies if we elect to remove the Solar System in accordance with Section 11.3 of the Lease or if you require us to remove the Solar System in accordance with Section 11.3 of the Lease. If we breach this warranty, we will repair the damage to your roof and the covered physical damage to your property resulting from any water infiltration. For one (1) year starting on the date we begin to remove the Solar System from your Property. 2D. Limited Warranty on Damage to Property and Belongings We warrant the Solar System and installation and repair work by us and our designated contractors against damage to your Property and belongings. If we breach this warranty, we will repair the damage covered by this warranty or pay you the replacement value for such damage. Until the end of the Term, starting on the day we begin to install the Solar System. 2E. Performance Guaranty If you provide the internet connection described in Section 3, we guaranty the performance of the Solar System under the Performance Guaranty defined and described below in Section 9. If we breach the Performance Guaranty, we will provide you a credit as explained below in Section 10. For the entire Term, starting on the Production Date. [Date] [Lease Number]- 3 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. 3.Do I need to have an internet connection?Will SunCap monitor the Solar System? In order for us to monitor the Solar System and provide you with the Performance Guaranty, you will need to provide, at your expense, a persistent internet connection through your home network.To provide this internet connection, you may provide either: (a)an Ethernet line with RJ45 connector at the location of the monitor; or (b)an electrical outlet that is in close proximity to your home router or switch and that will accommodate an Ethernet over Power (EoP) device plugged into the electrical outlet and connected to the router or switch. Additionally, for your internet connection to meet the requirements of this Warranty, your home network must be configured so that (i) TCP ports 80, 20 and 21 are open and (ii) access to primary and secondary DNS servers is open. If you provide the internet connection described above, we will monitor the Solar System remotely at no additional cost to you.Additionally, we will promptly notify you if we receive monitoring information indicating that the Solar System is not operating correctly. You agree to notify us immediately if the internet connection described above will not be available for more than forty-eight (48) hours.If you fail to provide the internet connection described above for any period of time, we may estimate the power produced by the Solar System using reasonable means.IF YOU FAIL TO PROVIDE THE INTERNET CONNECTION DESCRIBED ABOVE FOR A PERIOD OF THIRTY (30) DAYS OR MORE, WE WILL NO LONGER PROVIDE YOU WITH THE PERFORMANCE GUARANTY. 4.What is not covered by this Limited Warranty? This Limited Warranty does not require us to perform or provide any of the following excluded work in connection with the Solar System: (i) removal, disposal, or remediation of any hazardous materials existing at the Property; (ii) removal, disposal, or remediation of any fungus, mold, mildew, or other organic pathogens existing at the Property; (iii) removal or replacement of structural deterioration, rust, rot, or insect-infestation existing at the Property; (iv) replacement or improvement to the existing roof or structural framing of any part of the Property; (v) replacement or improvement to the existing electrical system at the Property; (vi) replacement or improvement to bring any portion of the existing Property up to local code; (vii) correction of any construction errors, omissions, or deficiencies by you or your contractors (other than the Installer); (viii) installation of sprinklers, smoke detectors, or life safety equipment required by inspectors or the law as a result of the installation of a Solar System; (ix) removal, replacement, or relocation of any vegetation, existing equipment, or other existing obstacles at the Property; (x) relocation of any items that are not associated with a Solar System; (xi) painting of electrical boxes or conduit; or (xii) municipal design or architectural review or any other specialty permits or attendance at public hearings, notification of neighbors, or additional drawings in connection with the foregoing. Additionally, under this Limited Warranty, we are not providing any warranty of specific electrical performance of the Solar System, other than the Performance Guaranty. 5.What circumstances void this Limited Warranty, so that it does not apply? The limited warranties and the Performance Guaranty set forth in this Limited Warranty are void and do not apply to reduced or lost electricity production or to repairs, improvements, corrections, or replacements of the Solar System required by or resulting from any of the following: (a)your gross negligence or your intentional damage to the Solar System, or your breach of, or failure to perform, your obligations under the Lease or this Limited Warranty; (b)any actual or attempted installation, repair, alteration, replacement, or modification made by any person other than one of SunCaps designated contractors; [Date] [Lease Number]- 4 -Copyright 2011 by SunCap Financial, LLC. All rights reserved. (c)shrinking and cracking of grout and caulking, fading of paints and other finishes exposed to sunlight, and any aesthetic changes; (d)mold or fungus, in each case unless caused by water infiltration through any roof penetration made by SunCaps designated contractor in connection with the installation or repair of the Solar System; and (e)shading due to new foliage or another obstacle obscuring sunlight or foliage that has grown beyond its original size as of the Production Date. 6.Under what circumstances will SunCap not be in breach of this Limited Warranty? SunCap will not be in breach of this Limited Warranty because of any failure or delay in complying with its limited warranty, Performance Guaranty, or other obligations under this Limited Warranty if such failure or delay is the result of your failure to perform your obligations under the Lease or this Limited Warranty, including to provide SunCap access to the Solar System, or is due to one or more events of Force Majeure (as defined below) or their effects.Additionally, the periods allowed for the performance by SunCap of its obligations under this Limited Warranty shall be extended for so long as such Force Majeure events or effects continue.In order to claim relief due to Force Majeure, however, (i) SunCap must provide you with prompt notice of the event of Force Majeure, to the extent reasonably practicable; (ii) the suspension of SunCaps performance must be of no greater duration and scope than that required by the event of Force Majeure; and (iii) SunCaps excused obligation must not be one which arose before the event of Force Majeure and which should have been fully performed before the event of Force Majeure occurred. For purposes of this Agreement, the term Force Majeure means acts of God or the public enemy; war; hostilities; riots; terrorism; theft; abnormally adverse weather conditions not reasonably anticipatable by SunCap (normal bad weather at any site at which the work is being performed, however, shall not be included); fires; floods; explosion; accidents; riots; strikes or other significant labor disputes; unavailability of electricity from the transmission grid; power or voltage surge caused by someone other than SunCap or its representatives; unavailability or failure of equipment not utilized by or under the control of SunCap or its representatives; the binding order of any governmental authority (provided that such order has been resisted in good faith by all reasonable legal means); the failure to act on the part of any governmental authority (provided that such action has been timely requested and diligently pursued); or any other causes, whether or not of the same class or kind as those specifically named above, which are not within the reasonable control of SunCap or its representatives and which, by the exercise of reasonable diligence, SunCap and its representatives are unable to prevent. 7.How can you ask a question or submit a claim to get service?How may we notify you? To ask a question regarding this Limited Warranty, you may call us at 713-655-1180 during normal business hours.To submit a claim or provide any other notice under this Limited Warranty, you must send us the request in writing by email, fax, certified or registered first-class mail, post prepaid, with a return receipt requested, or a reputable courier service requiring si