TERMS AND CONDITIONS (T&Cs) of the business centre/coworking space agreement between the Client and Hour Space
You are required to read this agreement carefully to understand your rights and protection, as well as ours. We hope to simplify these terms in the future. Please contact us at admin@hourspace.in if you have questions regarding this Agreement. This agreement must be referred with the Hour Space forms for Individual/Company details.
The Agreement between Client and Hour Space Pvt Ltd includes terms and conditions specified overleaf and stated herein.
1.1 Nature of this agreement:
This agreement is a mere permission for the Client to use the Premises and other facilities of the Centre. The possession and control of the Centre remains completely with Hour Space. No tenancy or other, right title or interest and or possession whatsoever is created or intended to be created by this agreement in favor of the Client. Hour Space is giving the client the right to share with Hour Space the use of the Centre on these terms and conditions, so that Hour Space can provide services to the Client. The client agrees not to assign or sub-let or part with possession of the Premises or attempt transfer of this Agreement. The T&Cs of this Agreement are subject to revision from time to time and the Client would be notified accordingly.
1.2 Duration:
This agreement lasts for the period stated in it and then will be extended automatically for successive periods, equivalent to the initial term or a period of 3 months (whichever is shorter), until brought to an end by the Client or Hour Space.
1.3 Term Commencement date of the agreement:
The obligations as per this agreement will commence from the Term Commencement Date, and to clarify, these obligations are independent of actual occupation/ use of the premises by the Client or its representatives.
1.4 Confidentiality:
The terms of this Agreement are confidential. Neither the Client nor Hour Space may disclose them without the other’s consent unless required to do so by law or an official authority. This obligation continues after this Agreement ends.
1.4.1“Confidential Information" shall mean all information, in whole or in part, that is disclosed by Hour Space or any participant of used of the Services or any employee affiliate, or agent thereof, that is non-public, confidential or proprietary in nature. Confidential information also includes, without limitation, information about business, sales, operations, know-how, trade secrets, business affairs, any knowledge gained through examination or observation of or access to the facilities, computer systems and/or books and records of Hour Space. Any analyses, compilations, studies or other documents prepared by Hour Space or otherwise derived in any manner from the Confidential Information that is required to be kept confidential or know or has reason to know should be treated as confidential. The participation in and/or use of the Services obligates to;
• maintain all Confidential Information in strict confidence;
• not to disclose Confidential Information to any third parties;
• not to use the Confidential Information in any way directly or indirectly determined to Hour Space or any participant or user of the Services.
All confidential information remains the sole and exclusive property of Hour Space or the respective disclosing party. The Client acknowledges and agrees that nothing in this T&C or in participation or use of the Services will be construed as granting any rights to them, by license or otherwise, in or to any Confidential Information or any patent, copyright or other intellectual property proprietary rights of Hour Space or any participant or user of the Services.
1.5 Jurisdiction:
Civil Courts of the city in which Hour Space is located shall have exclusive jurisdiction in the event any disputes or differences arise in respect of, out of, relating to and/or touching this Agreement. This agreement is interpreted and enforced in accordance with the law of the place where the Centre is located.
1.6 Costs:
The Client must also pay all reasonable costs relating to this Agreement, including any legal costs whatsoever, stamp duty and any Bank charges payable by Hour Space in respect of the Fee and other amounts received by Hour Space from the Client pursuant to this Agreement. The Client must also pay any reasonable and proper costs including legal fees that Hour Space incurs in enforcing this Agreement.
1.7 Notices:
All formal notices must be in writing and:
1.7.1 Shall be deemed to have been served on the Client if delivered to the Premises or posted to the last known address of the Client and in the latter case shall be deemed to have been served on the third working day after posting. It is expected of the Client that they keep their communication address updated with Hour Space at all times.
1.7.2 Shall be deemed to have been served on Hour Space if delivered to the Centre Manager of the Centre where the Client has taken premises or posted to the address of the Centre and in latter case shall be deemed to have been served on the third working day after posting.
1.8 Inspection and Maintenance:
Hour Space may need to enter the Client’s premises and may do so at any time. However, unless there is an emergency, Hour Space will attempt to notify the Client verbally or electronically in advance when Hour Space needs to access to carry out testing, repair or works other than routine inspection, cleaning and maintenance. Hour Space will also endeavor to respect reasonable security procedures to protect the confidentiality of client’s business.
1.9 Taxes:
The Client shall be liable to bear and promptly pay all Local and other Government taxes (as may be levied at present and/or which may be levied at any future date) in respect of the Monthly Fee and/or services (including but not limited to Service Tax and VAT). All amounts mentioned in this Agreement as payable by the client to Hour Space, are exclusive of such taxes.
1.10 Employees:
If the Client or Hour Space, or any business of which the ownership or control is directly associated with the Client or Hour Space, employs or offers employment/ volunteer/ freelance etc. other’s staff, during the term of the agreement or within 6 months after termination of the agreement, the party thus employing, shall pay the other party the equivalent of six month’s salary for any employee concerned. Such unethical behavior shall result in immediate cessation of facilities and cancellation of membership, if membership is still going.
1.11 Identification Documents:
The Client agrees to provide all documents, pertaining to the identification of the Company (mentioned in the agreement) and of the person (executing the agreement), as deemed relevant by Hour Space, for the purpose of verification of legitimate existence of the business. Client authorizes Hour Space to conduct verification of legitimate existence of Client’s business and/ or standard business verification to execute the agreement.
2. Monthly Plans, Services’ Fees and Payments:
2.1 Monthly Plans: The Monthly Fee, shall be payable in advance, 7 days prior to the first day of each and every membership cycle, or 7 days from invoice generation; and in respect of any broken period a pro-rata adjustment shall be made. Moreover, Hour Space holds the right to increasing monthly rental year on year at no higher than 7% for cabins and 10% for the desks.
2.2 Standard Services: Standard Recurring services requested by the Client are payable monthly in advance. Unless otherwise agreed in writing, these recurring services will be provided at the specified rates for the duration of this Agreement (including any renewal). The Client must provide one months’ notice to Hour Space in writing to terminate such standard recurring services.
2.3 Additional Variable Services: Hour Space may provide additional Services directly or through a business affiliate. Such Services will be billed in arrears at the end of the month, as per usage, and are due within 5 days from the date of the invoice. Fees for such Services, plus applicable taxes, will be applicable in accordance with Hour Space’s published rates, which may change from time to time.
2.4 Set-up fees: The Client will be charged an office set up fee per occupant and a connection set-up fee per connection requested from Hour Space. These charges shall be shared with the client and only after their approval will the set-up fees be applicable and amount to be paid within 5 days from the invoice date. In addition to set up cost, charges will be applied to restore the space in its original form, termed as ‘exit fee’. This amount shall be added to the set-up fee and shall be provided to the client.
2.5 Renewal: Renewals would be subject to the then market price. Hour Space shall notify the Client all such price revisions in advance. The Client and Hour Space may agree to a fixed renewal price in writing whenever necessary.
2.6 TDS: The Client shall be entitled to deduct tax at source (TDS) on the amounts paid towards Fee and services, in accordance with the provisions of the Income Tax Act 1961 as applicable from time to time. The Client shall promptly and regularly furnish the tax deduction certificates in respect thereof to Hour Space. To clarify periodicity, the Client shall furnish the tax deduction certificates on a quarterly basis to Hour Space. Failure on the part of the Client to furnish the Certificate shall be considered to be a material breach of this Agreement on the part of the Client and shall entitle Hour Space to terminate this Agreement. Kindly read the deposit clause 3.2 in relation to TDS settlement.
2.7 Invoices: Hour Space will send all, invoices electronically (where allowed by law). Notification of invoices shall constitute a demand for payment.
2.8 Invoice disputes: In case of any dispute in any charges levied under “Standard Services” or “Additional Variable Services”, the Client must notify Hour Space in writing of such disputed amount and the reasons for it within 7 days of the date of the invoice. The Client must pay the amount not in dispute by the due date or be subject to late fees. Hour Space and the Client will endeavor to resolve, by mutual discussion, the disputed portion of the charges for Services within one week of receiving a notice from the Client.
2.9 Late Payment: In the event of delay in making payment of the Monthly Fee or Services, the Client shall be liable to pay “late charges” on the amount due at the rate of 10% per month for standard membership and 2000 INR for Virtual Office and other temporary memberships such as Meeting Room, Day Pass, Week Pass, additional member, services, etc. declined Credit cards and dishonor of cheques, will attract a fee equivalent to INR 2,000. The Client shall bear all bank charges. Hour Space also reserves the
right to withhold services (including for the avoidance of doubt, denying the Client access to its premises, where applicable) while there are any outstanding fees and/or interest or the Client is in breach of this Agreement
3. Security Deposit:
3.1 Deposit: A deposit of one month’s rent will be required for a lock-in period of three months. For a lock-in period of six months and more, a deposit of two months’ rent will be applicable + Standard Services (plus taxes where applicable) upon entering into this Agreement, unless a greater amount is specified on the front of this agreement. Hour Space shall not be liable to pay to the Client any interest on such Security Deposit. This will be held by Hour Space as security for performance of all the Client’s obligations under this agreement.
3.2 Deposit Refund: The security deposit, or any balance after deducting outstanding fees and other costs due to Hour Space, or any of Hour Space’s affiliates or vendors, under this agreement, will be returned to the Client within 20 business days, after the Client as per membership has settled their account and has fulfilled all obligations under this agreement. Moreover, if the client terminates the agreement & membership before the signed term is completed then Hour Space holds the right to deduct 50% of the total deposit with a minimum notice of 3 months/1 month for 6 months plus or 3 months plus lock in period respectively. The security deposit, carrying nil interest, made by the Client shall be returned on submission of TDS certificates and the settlement of the account including loss or damages caused to or suffered by Hour Space by the Client.
3.3 Increase in Deposit: Hour Space may require the Client to pay an increased deposit if outstanding fees exceed by 50% of the deposit held and/or the Client frequently fail to pay Hour Space’s fees when due.
4. Use
4.1 The Client’s name and address: The Client may only carry on that business in its name or some other name that Hour Space previously agrees. Should the Client choose to use the services, provided by Hour Space, for an additional company, an additional charge per month and per company name will apply. The Client shall use the Centre for the agreed purpose which shall not involve frequent visits by members of the public.
4.2 Use of Centre: The Client may use the center address as its business address with Virtual Office membership only. Any other uses are prohibited without Hour Space’s prior written consent by the client via email to admin@hourspace.in (read point 5.1 in this agreement).
4.3 Installations in the Premises: The Client must not install any cabling, IT or telecom connections without Hour Space’s prior written consent. As a condition to such consent, the Client must permit Hour Space to oversee any installations and to verify that such installations do not interfere with the use of premises by other Clients or Hour Space or any landlord of the building.
4.4 Alternations to the Premises: The Client shall not make any alterations or additions in the Premises without prior written consent of Hour Space.
4.5 Non-Compete Business: The Client must not carry on a business that directly or indirectly competes with Hour Space or any company affiliated with Hour Space.
4.6 Access: Access to the Centre would be as per regular office hours from 09:00 hours to 21:00 hours all days of the week except Sundays. However, the Client would have access to the Centre beyond the regular office hours only by giving prior notification and would be subject to additional charge. Such charges would be applicable even on certain Bank Holidays and Public Holidays.
4.7 The Client is required to disclose the number and names of persons who will work in the premises, only registered persons can access the cabins & other spaces at Hour Space.
4.8 The Client agrees not to smoke in the office nor consume alcoholic beverages in the premises and/or elsewhere in the Centre or any part thereof.
4.9 The Client shall utilize, and shall ensure that its employees utilize, the equipment and facilities provided in the premises and in the Centre with due care and caution; the Client will be liable for all damage or destruction caused by it or its employees to the equipment and facilities provided in the Centre and in the premises in particular.
4.10 Compliance: The Client must comply with all relevant laws and regulations in the conduct of its business. The Client must do nothing illegal in connection with its use of the Centre. The Client must not do anything that may interfere with the use of the Centre by Hour Space or by others, cause of nuisance or annoyance, or cause loss or damage to Hour Space (including damage to reputation) or to the owner of any interest in the building which contains the Centre the Client is using. Adherence to the House Rules is expected from the client. Hour Space may frame or amend House Rules from time to time to facilitate optimum use of the Center by all clients. The client shall be bound by such House Rules. Non-compliance with House Rules shall be considered a breach of this Agreement.
4.11 The client is liable for any damage caused by it or by those in the Centre with the Client’s permission or at the Client’s invitation whether express or implied, including but not limited to all employees, contractors, agents or other persons present on the premises. The Client agrees to repair in a proper way any such damage and if the Client fails to do so Hour Space may do so at the Client’s expense.
4.12 Use of services:
The Client agrees that when participating in or using the Services, they will not:
• Use the Services in connection with contests, pyramid schemes, chain letters, junk email, spamming or any duplicative or unsolicited messages (commercial or otherwise);
• Defame, abuse, harass, stalk, threaten or otherwise violate the legal rights (such as rights of privacy and publicity) of other
• Publish, post, upload, distribute or disseminate any inappropriate, profane, defamatory, obscene, indecent or unlawful topic, name, material or information on or through Hour Space servers.
• Upload, or otherwise make available, file that contain images, photographs, software or other material protected by intellectual property laws, including, by way of example, and not as a limitation, copyright, trademark laws (or by rights of privacy or publicity) unless they own or control the rights thereto or have received all necessary consent to do the same.
• Use any material or information, including images or photographs, which are made available through the services in any manner that infringes any copyright, trademark, patent, trade secret, or other proprietary right of any party;
• Upload files that contain viruses, Trojan Horses, Worms, time bombs, candlebots, corrupted files, or any other similar software or programs that may damage the operation of another computer or property of another coworker.
• Download any file that they know, or reasonably should know, cannot be legally reproduced, displayed, performed, and or/ distributed in such manner.
• Restrict or inhibit any other user from using and enjoying the Services.
• Violate any code of conduct or other guidelines that may be applicable for any particular Service (including the Building Rules).
• Harvest or otherwise collect information about other, including email addresses, without the authorization or consent of the disclosing party.
• Violate any applicable laws or regulations; or
• Create false identity for the purpose of misleading others.
In the event of a breach of the terms and conditions of this section, the use and/or participation at Hour Space shall be terminated, immediately.
4.13 Participating in or use the Services:
The Client acknowledges that they are participating in or using the service at their own free will and decision. You acknowledge that Hour Space does not have any liability with respect to access, participation in, use of the Services, or any loss of information resulting from such participation or use
4.14 Amenities:
Hour Space offers free Wi-Fi to members and guests. For a password see the facility manager. The password is subject to change from time to.
• Hour Space offers use of coffee makers or refrigerator space for lunches and food consumption. In addition, filtered water is available free of charge.
• Some Memberships or designated individuals may allow after hours use or may be granted keys or codes to independently enter the facility. This will require agreeing to follow a facility lockup agreement and a walkthrough of the process prior to access being granted. In addition, the member individual will take full responsibility for any damages caused by neglect or abuse.
4.15 Additional Responsibilities:
• Parking is available on the street and first come first serve in Hour Space with the exception of reserved spaces. Bicycles are not allowed inside Hour Space facility.
• Hour Space is a non-smoking facility. Smoking inside the facility is strictly prohibited.
• Members are allowed to bring guests. However, they must register and if they are participating in frequent use of the facility may be required to get an additional membership.
• When using counter space, meeting rooms or other resources or areas of or in the facility it is required that you return them original configuration or condition or better once completed with use.
• Storage of equipment or personal property is only allowed with permission of the facility manager and Hour Space will not be held responsible if such items are damaged or missing.
5. Termination of the Agreement:
5.1 Notice: A minimum notice period of one month for three months lock-in period and minimum three months notice period for six months to one year lock-in period is mandatory. However, for extension or renewal notice period is for one month minimum. Read deposit point 3.2 in relation to termination.
5.2 Ending this agreement immediately: Hour Space may put an end to this agreement immediately, to withhold Services and re- enter the Premises by giving the Client notice and without need to follow any additional procedure, if
5.2.1 The Client becomes insolvent, bankrupt, goes into liquidation or becomes unable to pay its debts as they fall due, or
5.2.2 The Client is in its breach of one of its obligations, including but not limited to payment of Monthly Plans and Services Due, which cannot be put right or Hour Space have given the client notice to put right and which the Client has failed to put right within fourteen days of that notice, or
5.2.3 Its conduct or that of someone at the Centre with its permission or invitation, is incompatible with ordinary office use. If Hour Space puts an end to the agreement for any of these reasons it does not put an end to any outstanding obligations, including additional services used and the monthly fee for the remainder of the period for which this agreement would have lasted if Hour Space had not ended it. 5.2.4 The Client is in breach of the House Rules despite being put on notice.
5.2.5 Client’s conduct or demeanour is incompatible with the use of the Centre as a whole and the conduct is repeated despite being put on notice or when the conduct is unacceptable in the opinion of Hour Space.
5.3 Severability:
In the event that any provision or portion of this T&C is determined to be invalid, illegal or unenforceable for any reason, in whole or in part, the remaining provisions of this T&C shall be unaffected thereby and shall remain in full force and effect to the fullest extent permitted by applicable law.
5.4 Handing over of the Premises:
5.4.1 The Client shall cease to use and occupy the premises on the expiry or sooner termination of this Agreement; remove all its equipment, belongings, articles and things and its employees / personnel and to vacate and hand back the premises and at the same time hand over all keys and access cards.
5.4.2 The Client shall remove from the premises their fixtures and equipment provided that any damage or defacement is occasioned to any part of the Premises in the course of such removal, the same shall be remedied by the Client immediately and at their own expense. If the Client fails to do so, Hour Space may do so at the Client’s expense. If the Client leaves any property in the Centre, Hour Space may dispose of at the Client’s cost in any way Hour Space chooses without owing the Client any responsibility for it or any proceeds of sale.
5.4.3 The Client must leave the premises in the same condition as it was when the Client took it. An exit fee will be charged upon the Client’s departure or if the Client, at its option, chooses to relocate to different rooms within the center. Hour Space reserves the right to charge additional reasonable fees for any repairs needed above and beyond normal wear and tear.
5.5 If the Client defaults in vacating the premises when this agreement has ended, the Client is responsible for any loss, claim or liability Hour Space incurs as a result of the Client’s failure to vacate on time. Hour Space will also be at liberty to remove the articles and belongings of the Client from the premises at the risk and cost of the Client. Hour Space may, at its discretion, permit the Client an extension, subject to a surcharge on the monthly office fee.
5.6 Force Majeure:
In the event the Centre or the premises are destroyed or damaged, at any time, by any event falling within the term “force majeure”, this Agreement shall come to an end on Hour Space giving to the Client notice in writing to that effect.
Hour Space shall within two weeks of giving notice that this Agreement has come to an end for the reasons aforesaid refund to the Client the Security Deposit and the monthly fees paid by the Client after adjusting therefrom all dues under any head for the past period up to the date of occurrence of the event of force majeure and payable by the Client under this
Agreement.
5.7 Non-Disparagement:
The Client shall, during and after the participation in and use of the Services, refrain from making any statements or comments of a defamatory or disparaging nature to any third-party regarding Hour Space, or any of Hour Space officers, directors, employees, personnel, agents, policies, services or products, other than to comply with law.
6. Liability and Disclaimer:
6.1 Hour Space will not in any circumstances have any liability for loss of business, loss of profits, loss of anticipated savings, loss of or damage to data, third party claims or any consequential loss unless Hour Space otherwise agrees in writing. Subject to gross negligence and deliberate misconduct, Hour Space, its employees and agents shall not be held responsible for any theft, loss or damage from the Premises or for any damage done to the furniture or other effects of any Client in the Premises by the caretaker or cleaners or any employees, agents or invitees of Hour Space.
6.2 Hour Space shall not be responsible for any loss, damage, corruption of data or any loss of information whether from hardware, software or internet damage that may occur to the Client during the term of this agreement. Hour Space shall not be responsible for any loss, damage or loss of information resulting from communications or data failure including voice, communication and the internet.
6.3 Subject to gross negligence and deliberate misconduct, Hour Space is not liable for any loss as a result of Hour Space’s failure to provide a service as a result of mechanical breakdown, strike, termination of Hour Space’s interest in the building containing the Centre or otherwise.
6.4 Hour Space shall not be liable for any loss or damage until the Client provides written notice and gives Hour Space a reasonable time to rectify it. The client is responsible for obtaining appropriate insurance coverage for its property and its liability to employees, visitors, or third parties.
6.5 Hour Space does not partake in any of the business or dealing of the company/individuals working /renting from Hour Space. This also extends to the client’s other business dealings or other affiliations. Any illegal, unlawful or unethical practice is the sole liability of the client & their company, Hour Space does not take any responsibility of the same. If found engaging in such acts, immediate termination of membership along with non – refund of any advance payment and/or security deposit will be enacted by Hour Space.
6.6 Limitation of Liability and Remedies:
Notwithstanding any damages that might incur for any reason whatsoever (including, without limitation, all damages referenced above and all direct or general damages), the entire liability of Hour Space or its subsidiaries (whether or not wholly-owned), affiliates, divisions, and their past, present and future officers, agents, shareholders, members, representatives, employees,
successors and assigns under any provision of this T&C and your exclusive remedy for all of the foregoing shall be limited to actual damages incurred by you based on reasonable reliance up to [enter amount]. The foregoing limitations, exclusions and disclaimers, including the previous sections) shall apply to the maximum extent permitted by applicable law, even if any remedy fails its essential purpose.
6.7 Indemnification:
The Client shall release, and hereby agree to indemnify, defend and save harmless Hour Space and Hour Space subsidiaries (whether or not wholly-owned), affiliates, divisions, and their past, present and future officers, agents, shareholders, members, representatives, employees, successors and assigns, jointly and individually, from and against all claims, liabilities, losses, damages, costs, expenses, judgments, fines and penalties based upon or arising out of the Client’s negligent actions, errors and omissions, willful misconduct and fraud in connection with the participation in or use of the Services.
6.8 General Liability Release:
In consideration of Hour Space and the allowing (“Member(s)”) parties listed above to use and occupy the coworking space. Member does hereby remise, release, and forever discharge Hour Space, of and from all debts, demands, actions, causes of action, suits, accounts, covenants, contracts, agreements, damages, and any and all claims, demands and liabilities whatsoever of every name and nature, both in LAW and in EQUITY, which against the said Hour Space, or its heirs, successors, assigns, agents, and servants. The Client may now have or ever had from the beginning of the world to this date, and more especially on account of the Client’s use of Hour Space and any loss, injury or theft associated therewith. The Client is aware of the risks associated with the use of Hour Space, and does hereby expressly assume and consent to the same. The Client(s) is/are aware that this Agreement creates legally binding obligations and, therefore, has had the chance to review the same, prior to its execution. This agreement shall be governed in accordance with the jurisdiction the Centre resides.
6.9 Disclaimer of Warranties:
To the maximum extent permitted by the applicable law, Hour Space provides the Services “as is” and with all faults, and hereby disclaim with respect to the services all warranties and conditions, whether express, implied or statutory, including but not limited to: merchantability, fitness for a particular purpose, lack of viruses, accuracy or completeness of responses, results, workmanlike effort and lack of negligence. Also, there is no warranty, duty or condition of title, quiet enjoyment, quiet possession, correspondence to description or non-infringement. The entire risk as to the quality, or arising out of participation in or the use of the services, remains with the Client.
This agreement is executed in Mumbai, Maharashtra and is subject to the laws of India. The Parties shall make earnest efforts to amicably resolve disputes or differences by holding meetings as earliest as possible. If the efforts fail or are not resolved by parties within a reasonable period, any dispute or difference whatsoever arising between the parties out of or relating to the construction, meaning, scope, operation or effect of this contract or the validity or the breach thereof shall be settled by arbitration in accordance with Arbitration and Conciliation Act 1996.