FLOAT HOME HOME OCCUPATION LICENCE. BETWEEN: GREATER VICTORIA HARBOUR AUTHORITY Wharf Street Victoria, British Columbia V8W 2Y9

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1 FLOAT HOME HOME OCCUPATION LICENCE THIS LICENCE made the 1st day of April, BETWEEN: GREATER VICTORIA HARBOUR AUTHORITY Wharf Street Victoria, British Columbia V8W 2Y9 (the "GVHA") AND: NAME 1 Dallas Road Slip Victoria, British Columbia V8W 2Y9 (the "Owner") BACKGROUND: A. GVHA is the owner of Fisherman s Wharf (the Wharf ), located at #1 Dallas Road, Victoria, British Columbia, including the lands legally described in Schedule A (the Licence Area ); B. The Owner is the owner of the float home named (the Float Home ) and wishes to be granted this Licence to moor the Float Home at the Wharf; and C. The Wharf is a facility that the Owner and GVHA wish to maintain to a high standard, and accordingly, the parties agree that certain requirements are necessary to preserve this high standard. GVHA and the Owner covenant and agree with each other as follows: 1. RIGHTS TO OCCUPY AND PERMITTED USE Subject to the terms of this Licence, GVHA grants a Licence (the Licence ) to the Owner to moor the Float Home along Fingers A, B, or C within the Licence Area at a location or locations designated by GVHA. The Owner acknowledges and agrees the Float Home must be used strictly in compliance with the applicable bylaws of the City of Victoria, excerpts of which are set out in Schedule H, and for no other use or uses whatsoever. The Float Home must be Owner-occupied. The Owner may have a paying roommate or roommates reside with the Owner in the Float Home. The Owner may not rent any portion of the Float Home to another person without the Owner continuing to reside on the Float Home. Until April 1, 2016:

2 (a) GVHA will permit the Owner to have a caretaker reside on the Float Home for up to six (6) months. If the Owner wishes to have a caretaker reside on the Float Home a term exceeding six (6) months, the Owner must obtain GVHA s prior written approval; (b) consistent with the 2011 MOA between GVHA and the Fisherman s Wharf Community Association ( FWCA ), GVHA will consult with FWCA regarding the development of terms and conditions, and rules and regulations regarding the rental of float homes (including sublets, overnight tenancies, month-to-month tenancies, and fixed term leases, whether oral or written, and whether any cash consideration is paid or not) at Fisherman s Wharf. Following GVHA consultation with the Fisherman s Wharf Community Association during the first year of the Term of this Agreement, GVHA will implement effective April 1, 2016, terms and conditions, and rules and regulations regarding the rental of float homes. The Owner agrees to comply with such terms and conditions, and rules and regulations regarding the rental of the Float Home. 2. GVHA ACCESS GVHA will have full and complete access to the Licence Area to carry out any operations associated with GVHA's ownership of the Licence Area. 3. MOORAGE LOCATION GVHA will choose the Float Home s location. The location may be changed by GVHA from time to time. If requested to do so by GVHA, the Owner will relocate the Float Home at the Owner s expense. If the Owner does not move the Float Home within thirty (30) days of being requested to do so, GVHA may relocate the Float Home at the Owner s expense. 4. TERM The term (the Term ) of this Licence will be for a three (3) year period commencing on April 1, 2015 and ending on March 31, SECURITY DEPOSIT The Owner will pay to GVHA at the commencement of the Term a deposit (the Deposit ) in an amount equal to two months Moorage fees as at the commencement date of this Licence. GVHA and the Owner agree that if the Owner has previously paid a Deposit to GVHA the amount of the previous Deposit, if any, will be credited as the Deposit under this Licence, without adjustment. The Deposit is refundable, without interest, thirty (30) days after the expiration or termination of the Licence, provided that the Owner has met all the terms and conditions of this Licence and all amounts due to GVHA have been paid by the Owner. 6. UTILITIES, SERVICES AND FACILITIES The Owner will pay for the installation and usage of utilities and services that are delivered to the Float Home by GVHA or by a utility service provider. GVHA cannot and does not guarantee the continuity of utilities and services to the Float Home.

3 The Owner will not connect to any of the utilities and services, or use any GVHA facilities unless permission to do so has been granted by GVHA. Until April 1, 2016: (a) GVHA will continue to provide and charge the Owner for provision and use of utilities, services, and facilities at Fisherman s Wharf in the same manner as in the previous year, and the Owner will pay such fees or charges for the provision and use of such utilities, services, and facilities at the rates or charges previously agreed, plus any agreed annual or other increase, if any; (b) consistent with the 2011 MOA between GVHA and the Fisherman s Wharf Community Association ( FWCA ), GVHA will consult with FWCA regarding the provision and use of utilities, services, and facilities to and for float home owners at Fisherman s Wharf. Following GVHA consultation with the Fisherman s Wharf Community Association during the first year of the Term of this Agreement, GVHA will implement, effective April 1, 2016, terms and conditions of, and fees and charges for, the provision and use of utilities, services, and facilities to and for float homes at Fisherman s Wharf (provided that the Owner shall not pay more for the provision and use of such utilities, services, or facilities, than if the Float Home were a separate, free-standing building and such utilities, services, or use of similar facilities, were supplied directly, or made available to the Owner and the Owner s consumption or use thereof were separately metered or otherwise measured). 7. MOORAGE AND USE FEES The Owner will pay moorage (the Moorage ) and fees for the Licence, with payments to GVHA at its office, located at: Wharf Street, Victoria BC V8V 2Y9. The payment due dates and the payment amounts are set out in Schedule B to this Licence. Disposition fees will apply to all sales or other dispositions of the Float Home, based on the terms set out in Schedule C. 8. STANDARDS The Owner will maintain the Float Home in compliance with the Standards for Float Homes and Live-Aboard Vessels in Victoria Harbour (Transport Canada ) or authority having jurisdiction over the Licence Area (the Standards ). Upon GVHA s granting of this Licence to the Owner, the Owner will provide GVHA with a copy of a survey (the Survey ) of the Float Home completed by an Accredited Marine Surveyor that was conducted within the past four (4) years. The Survey will show that the Float Home complies with the Standards. The Survey requirement is on-going and the Owner will provide updated Surveys to GVHA, such that at no time will the Survey in GVHA s possession be more than five (5) years old. GVHA, with reasonable grounds (such as a structural change to the Float Home), may request an updated Survey, which the Owner will provide to GVHA.

4 9. REGULATIONS GVHA has created regulations for the Wharf, which the Owner and his or her guests must follow. The regulations as at the commencement of this Licence are set out in Schedule D and may be revised by GVHA from time to time. It is the Owner s responsibility to keep apprised of the current regulations, a current copy of which will be available on the Owner s request from GVHA. GVHA will notify the Owner upon amendment of the regulations. 10. CONSTRUCTION Prior to making any improvements or structural changes to the Float Home (the Improvements ), the Owner must obtain GVHA's written approval to do so, following which the Owner will obtain the necessary permits required by the jurisdiction having authority over the Improvements and all required inspections (this may include obtaining an updated Survey of the Float Home). The Owner is not permitted to store any personal items, construction materials or tools relating to the Improvements on the docks at the Wharf, or any other common GVHA property. Any construction work carried out by the Owner on the Float Home will be at the Owner s expense. Any construction waste must be disposed of off-site at the Owner s expense. No construction or hazardous waste may be deposited within GVHA s waste receptacles or property. The Owner will indemnify GVHA against any builder s liens, damage or harm to persons or property which were caused by or the result of construction work carried out by the Owner or his or her contractor. The Owner must comply with the requirements for the replacement or substantial renovation of the Float Home that are set out in Schedule E. 11. REPAIRS BY GVHA GVHA may board and enter the Float Home in case of an emergency for the purpose of providing an emergency service (the Emergency Service ). GVHA does not assume any responsibility for the Emergency Service. No action by GVHA in providing an Emergency Service will constitute a bailment. GVHA will not be liable for any inaction or failure to provide an Emergency Service. GVHA may require the Owner to reimburse it for expenses incurred in relation to any Emergency Service provided by GVHA or its agent. 12. SAFETY The Owner is responsible for the safe mooring of the Float Home and will provide and maintain its own mooring line and chafing gear. Care must be taken not to interfere with any other berth or access to mooring lines. 13. INSURANCE, INDEMNIFICATION AND RELEASE The Owner will take out and maintain during the term of the Licence a policy of liability insurance in the form that is described in Schedule F. The Owner will and does release and indemnify GVHA from any and all liability, more specifically in the manner set out in Schedule F.

5 14. LIABILITY The Float Home and other property of the Owner and his or her guests within the Licence Area will be solely at the Owner s risk and GVHA will not be responsible under any circumstances for any loss or damage caused, whether caused by negligence of GVHA, including design of the Wharf or design of the Licence Area. GVHA is not responsible for the damage or loss of any vehicles, water craft, other portable property or chattels located within, or adjacent to, the Licence Area. All persons using GVHA s facilities, docks, floats, wharves and ramps do so at their own risk. GVHA assumes no responsibility whatsoever for the personal injury to the Owner and guests from any cause whatsoever. 15. TERMINATION GVHA may terminate this Licence as follows: If the Owner commits a reparable breach or default (the Reparable Breach ), and within (10) days written notice by GVHA to the Owner to correct Reparable Breach, the Owner fails to rectify the Reparable Breach. A Reparable Breach includes any of the following: (a) (b) (c) the Owner being in default of payment of monies owed by him or her to GVHA for more than sixty (60) days; the Owner is late making payments owed by him or her to GVHA on four (4) or more occasions per calendar year; or the Owner or any person living on the Float Home otherwise breaching or being in default of any term of this Licence. If the Owner or his or her guest commits an irreparable breach (the Irreparable Breach ) GVHA may terminate this Licence, without providing an opportunity for the Owner to correct the default or breach. An Irreparable Breach includes any of the following: (a) (b) (c) (d) (e) (f) intentionally causing damage to any property within the Licence Area; causing a repeated nuisance such that the Owner or his or her guest unreasonably interferes with the enjoyment of life of any other person residing within or using the Licence Area; the Owner falsely disclosing to GVHA the consideration paid on a disposition of the Float Home; illegal activity; any action that results in a charge for a hybrid or indictable offence under the Criminal Code, R.S.C. 1985, c. C-46, as amended; or any action that, in GVHA s sole opinion, is likely to or does harm the Fisherman s Wharf Community, its residents or GVHA.

6 Any decision by GVHA not to enforce the terms of this Licence or to terminate this Licence shall not be construed as a waiver of GVHA s authority to enforce termination for any subsequent breach or default. 16. REMOVAL OF FLOAT HOME The Owner will remove the Float Home and all Improvements within sixty (60) days of the expiry or termination of this Licence as a result of a Reparable Breach, or if the termination of this Licence is as a result of an Irreparable Breach, the Owner will remove the Float Home and all Improvements within ten (10) days of GVHA notifying the Owner that the Licence is terminated. In the event that the Owner fails to remove the Float Home and all Improvements from the Licence Area within the timeframes as aforesaid, GVHA shall have the right to seize the Float Home, remove it from the Licence Area, exercise a warehouser s lien and sell the Float Home as if GVHA were warehouser under the Warehouse Lien Act R.S.B.C 1996, c CLEAN UP Upon expiry or earlier termination of this Licence, the Owner will clean up the Licence Area and restore the Licence Area on an as clean as when you arrived basis. 18. COMPENSATION The Owner will not be entitled to compensation for any loss resulting in any way from, among other reasons, the termination of this Licence or the loss of the Owner s interest in the Improvements. 19. FORFEITURE GVHA, by waiving or not enforcing its rights under this Licence does not waive its rights upon any subsequent breach. 20. DISPUTE RESOLUTION AND ESTOPPEL GVHA and the Owner both intend to avoid disputes. If a dispute arises that cannot be resolved informally, GVHA and the Owner both agree to follow the Dispute Resolution process set out in Schedule G including disputes as to whether GVHA has grounds for termination. The Dispute Resolution process does not apply to circumstances where this Licence is terminated for reason of an Irreparable Breach. By agreeing to this Licence, the Owner agrees NOT to pursue or in any way initiate or participate in a court, administrative or any type of judicial proceeding, legislative or regulatory change that seeks to have any of the Float Home, the Licence Area or the Licence governed or administered by the Manufactured Home Park Tenancy Act, the Residential Tenancy Act, or similar legislation and the Owner further agrees that it is estopped from pursuing any such action. 21. NOTICES Any notice required to be given under this Licence will be given by any of the following methods: (a) (b) If to GVHA, by to marinafrontdesk@victoriaharbour.org; and if to the owner to XXXXXXX, or By mailing the notice to the civic address or post box stated on page one of this Licence.

7 Notice will be deemed to have been received two (2) days after it was given, unless receipt is confirmed sooner. 22. INTERPRETATION (a) (b) (c) (d) (e) (f) (g) (h) The headings to the clauses in this Licence have been inserted as a matter of convenience only. This Licence will be construed in accordance with and governed by the laws applicable in the Province of British Columbia. All provisions of this Licence are to be construed as covenants and agreements. If for any reason any provision of this Licence, other than any provision which is of fundamental importance to the arrangement between the parties, is held to be invalid, then the remainder of this Licence and all the other provisions of this Licence will nevertheless continue in full force and effect. This Licence will not be interpreted as granting any interest in the Licence Area to the Owner. Time is of the essence in this Licence. This Licence is not assignable or transferable. This is the entire agreement between the parties. IN WITNESS WHEREOF the parties hereto have executed this document as of the day and year first above written. GREATER VICTORIA HARBOUR AUTHORITY by its authorized signatories: Print Name: Sonterra Ross Signature, Chief Operating Officer Float Home Owner(s): Print Name Signature, Owner Print Name Signature, Owner

8 SCHEDULE A THE LICENCE AREA The Licence Area includes the following legal lots (being Fingers A, B and C): 1. PID Lot 1 of Lots 1352A, 1366, 1367, 1368, AND 1369, Victoria City, Plan PID Lot 1293, Victoria City, except that part in Plan PID Lot A of the Bed of Victoria Harbour, Victoria District, Plan VIP And as generally depicted below in red. 8

9 SCHEDULE B FEES Float Home Name: Float Home Footprint Area: length ft x width ft = ft 2 Term of Licence: April 1, 2015 March 31, 2018 A. Monthly charges payable during Term: April 1, 2015 to March 31, 2016 Monthly Charges include the following: On the first day of each month of the Term of this Licence, the Owner will pay to GVHA the following: $1.15 ft 2 x ft 2 : $ Services & Facilities Fee: $ Applicable taxes (if any) on all of the above charges: $0.00 TOTAL: $ April 1, 2016 to March 31, 2017 Monthly Charges include the following: On the first day of each month of the Term of this Licence, the Owner will pay to GVHA the following: $1.17 ft 2 x ft 2 : $ Services & Facilities Fee: $ Applicable taxes (if any) on all of the above charges: $0.00 TOTAL: $ April 1, 2017 to March 31, 2018 Monthly Charges include the following: On the first day of each month of the Term of this Licence, the Owner will pay to GVHA the following: $1.19 ft 2 x ft 2 : $ Services & Facilities Fee: $ Applicable taxes (if any) on all of the above charges: $0.00 TOTAL: $ In the event that the Monthly Charges are not paid on or before the first day of the month, for each day it is not paid the Moorage charge will convert to GVHA s pleasure vessel daily moorage rate applicable at the time. 1

10 As of the Commencement Date of this Licence the Services & Facilities Fee includes the following: one (1) parking stall per Owner, water, sewer, garbage removal, recycling and snow removal. B. Periodic charges payable during the Term: Periodic Charges include the following: Hydro: to be invoiced at Hydro rates and will be charged per kilowatt hour used (metered and invoiced separately). Property Taxes: to be invoiced separately and the Owner will pay to GVHA no less than five (5) business days before property taxes are due to City of Victoria. Payment for periodic charges to the Owner are due to GVHA five (5) days after the date of invoice. Any overdue amounts will bear interest at the rate of 2% per month (24% per year). Failure of the Owner to pay any amount required by this Licence by the due date specified in this Licence will constitute a breach of this Licence. C. Moorage Rate Increases: GVHA will increase the Moorage charge twice during the Term effective on the 1 st and 2 nd anniversary dates of the Licence (the Annual Increase ) at the rate of 2% per year. The Annual Increase provision does not apply in the first year of a new Licence. GVHA may, on the issuance of a new Licence, set the Moorage charge in accordance with the market rate adjustment methodology described in the Memorandum of Agreement between GVHA and the Fisherman s Wharf Community Association, dated for reference December 12, 2011.

11 SCHEDULE C DISPOSITIONS Sales, Non-transferability of Licence and Entry Fees 1. In this part, the occurrence of any of the following events is deemed to be a Disposition : a. an assignment, sale, conveyance, sublease, or disposition of any sort (including to a corporation, trust or other entity) of this Licence and/or the Float Home or any part of them; b. a transfer of ownership of all or part of the Float Home; affecting title or achieved through other legal means; c. a transfer or issue by sale, assignment, bequest, inheritance, operation of law or other disposition, or if Owner is a corporation, then by subscription of any of the corporate shares of the Owner. 2. In this part, Prospective Resident has a meaning corresponding to the definition of Disposition above but does not import any other meaning or entitlement. 3. The Owner has no right to make a Disposition of this Licence. However, subject to GVHA s approval, a Prospective Resident may be permitted to become a new Owner and be granted a new Licence on the same or substantially the same terms and conditions, including the Term dates, as this Licence. 4. If, pursuant to a Disposition, the Owner and the Prospective Resident wish to determine in advance of the Disposition occurring whether GVHA will issue a new Licence to the Prospective Resident, the Owner and the Prospective Resident will, at least 60 days prior to the contemplated Disposition, submit an application signed by both parties, that sets out the following details: a. The legal nature of the proposed Disposition; b. The legal relationship between the Owner and the Prospective Resident; c. The consideration for the Disposition from the Prospective Resident to the Owner; d. The Prospective Resident s personal information, as follows: i. If an individual [insert information required to conduct a credit check, criminal check and personal reference]; ii. If a corporation [insert information required by GVHA, include Notice of Articles, Articles, Central Securities Register, Certificate of Incorporation]; or iii. If any other entity [insert information required by GVHA]. 5. GVHA will charge a fee (the Entry Fee ) to the Prospective Resident based on the consideration paid by the Prospective Resident to the Owner for the Disposition (the Disposition Price ). 6. The Entry Fee will be the Disposition Price multiplied by one percent (1%). 1

12 SCHEDULE D REGULATIONS 1. The Owner will keep the Licence Area in a neat and orderly manner; 2. The Owner will keep all areas of the Float Home and the Licence Area clean, sanitary and free from all accumulations of debris, filth, rubbish and garbage; 3. The Owner will repair and maintain the exterior of the Float Home in a neat, clean and attractive appearance at all times; 4. The Owner will at the Owner s cost, maintain any buildings, structures or improvements constructed or placed on the Licence Area during the Term; 5. The Owner will not store any personal chattels, construction materials or tools on GVHA s docks, floats or wharves; 6. The Owner will use only electrical connections that meet fire regulation, local electrical code and GVHA s policies and/or other jurisdictions having authority. A 30 amp plug requires a minimum 10/3 wire; all cords must be suitable for outdoor use; cord caps must be corrosion resistant; cords must be connected securely to the cord cap; only one cord per float home; 7. The Owner will at the Owner s cost install a water line shut off valve on the float home. Back flow preventers are recommended to avoid potable water contamination; 8. The Owner will keep no more than two (2) domesticated household pets (including those brought onto the Land by the Owner s servants, agents, guests and invitees), which will be kept on a leash or in a travel carrier when outside the Float Home but within the boundaries of the Float Home property, and be responsible for maintaining a clean and quiet environment on the property by following all laws and/or ordinances concerning pets; 9. The Owner will comply with all laws, statutes, regulations and bylaws, and the legal requirements of all authorities, including the Port of Victoria Harbour Master, or succeeding authority and an association of fire insurance underwriters or agents, and the Owner will promptly comply with all notices or orders issued under them that are served upon GVHA or the Owner; 10. The Owner will conduct him/herself, and require other persons on the Licence Area with the Owner s consent to conduct themselves, in a manner that will not disturb the neighbours peaceful enjoyment of the Wharf or otherwise annoy, obstruct or interfere with the rights of other users of the Wharf, nor create any nuisance or allow any objectionable fumes, noises or vibrations to be emitted from the Licence Area; 11. The Owner will, at the Owner s cost, hook up to the sewer system provided by GVHA within seven (7) days of receiving notice from GVHA; and 12. The Owner will be responsible for any damage to the Licence Area occurring while the Owner is exercising his rights under this Licence. The Owner acknowledges and agrees that in this event, that GVHA may deduct the cost of restoration and/or repair from the amount of the Deposit under section 5 of this Licence. If the amount of the Deposit is insufficient to reimburse GVHA, then the Owner is be liable to GVHA for the balance of the amount of the cost of repair and/or restoration. 1

13 13. Children under the age of 12 are not permitted on GVHA s facilities, docks, floats or wharves unless accompanied by an adult. 14. Subject to clearance from GVHA s insurance broker and the Victoria Fire Department, the owner may be permitted to install flower baskets attached to the pilings and/or the docks.

14 SCHEDULE E REQUIREMENTS FOR IMPROVEMENTS OR STRUCTURAL ALTERATION OF FLOAT HOME The Owner may make Improvements to the Float Home (the Renovated Float Home ), provided that the Owner and the Renovated Float Home comply with the following requirements: a. the Renovated Float Home fits safely within the berth that is assigned to the Owner; b. the Renovated Float Home will comply with Standards for Float Homes and Live- Aboard Vessels in Victoria Harbour (Transport Canada); c. the Owner applied for and received any required Development Permit and required variance that is required pursuant to the applicable City of Victoria (and including but not limited to those requirements set out in the Local Government Act, R.S.B.C. c. 323 relating to non-confirming uses); and d. the Renovated Float Home will comply with any standards or rules issued or made by an authority having jurisdiction over the Float Home and the Licence Area. REQUIREMENTS FOR REPLACEMENT OF FLOAT HOME The Owner may replace the Float Home (the New Float Home ) upon receiving GVHA s written approval to do so. The Owner and the New Float Home comply with the following requirements: a. the New Float Home fits safely within the berth that is assigned to the Owner; b. the New Float Home complies with Standards for Float Homes and Live-Aboard Vessels in Victoria Harbour (Transport Canada); c. the New Float Home complies with the British Columbia Float Home Standards (BC Office of Housing and Construction Standards); d. the Owner obtains all necessary City of Victoria approvals; and e. the New Float Home will comply with any standards or rules issued or made by an authority having jurisdiction over the Float Home and the Licence Area. 3

15 SCHEDULE F INSURANCE, INDEMNIFICATION AND RELEASE A. Insurance The Owner will obtain and maintain a liability insurance policy or policies (the Insurance ) against claims for bodily injury, death or property damage, removal of wreck and pollution arising out of its use of the Licence Area by the Owner in the amount of not less than Two Million ($2,000,000.00) Dollars per single occurrence or such greater amount as GVHA may from time to time designate, naming GVHA as an additional insured party and will provide GVHA with a certified copy of such policy or policies on request. The Owner will obtain and maintain physical damage insurance (the Physical Damage Policy ) on the Float Home to a value not less than the fair market value of the Float Home, with coverage on an All Risk basis, including perils of the sea. The Insurance and the Physical Damage Policy will each contain a waiver of subrogation clause in favour of GVHA or alternate clause acceptable to GVHA and will also contain a clause requiring the insurer not to cancel or change the Insurance without first giving GVHA 30 days prior written notice. If both GVHA and the Owner have a claim to be indemnified under the Insurance or the Physical Damage Policy, the indemnity will be applied first to the settlement of the claim of GVHA, and the balance, if any, to the settlement of the claim of the Owner. The deductible on the Insurance will be not more than One Thousand ($1,000.00) Dollars. B. Indemnification The Owner will and does release, indemnify and save harmless GVHA, its directors, officers, employees and agents from and against all expenses, costs, losses, claims, actions, damages or liabilities including the aggregate amount paid in reasonable settlement of any actions, suits, proceedings or claims and the reasonable fees and expenses of counsel and other related expenses that may be incurred in investigating or advising with respect to and or defending any action, suit, proceeding or claim that may be made against GVHA and its directors, officers, employees and agents, whether or not resulting in liability, to which GVHA and its directors, officers, employees or agents may become subject to or otherwise involved in any capacity under any statute or common law or otherwise and so far as such expenses, costs, losses, claims, actions, damages or liabilities arise out of or are based, directly or indirectly, by reason of the use of the Licence Area by the Owner or by his or her contractors, agents or invitees or by any member of the public. The Owner will and does indemnify and save harmless GVHA for any loss or damage to or disfigurement of GVHA s facilities, docks, floats, wharves, installations located on the Land, howsoever caused, whether by the Owner or by his or her servants, agents, guests, or invitees, or the Float Home, whether by negligence or otherwise. The Owner releases GVHA, its directors, officers, employees and agents from any claim, right, remedy, action, cause of action, loss, damage, expense, fee or liability which the Owner may have against any or all of them in respect of any section of this Licence or its performance or its breach of this Licence or its breach of any Statutory or other duty of care on the part of GVHA. These releases and indemnities survive the expiration or earlier termination of this Licence.

16 SCHEDULE G DISPUTE RESOLUTION 1. If a dispute (the Dispute ) arises concerning this Licence, either party may initiate (the Initiator ) the dispute resolution process by first writing a letter to the other party indicating the issue(s) in dispute and the proposed manner in which to settle the Dispute. The recipient of the letter (the Recipient ) shall respond within ten (10) days with a proposed solution to the Dispute that is reasonable in the circumstances. The Recipient shall either agree to the proposed solution to the Dispute or propose an alternative solution by writing a letter of response to the Initiator. Correspondence shall continue in like manner until a settlement is reached or it is apparent to the parties that correspondence will not settle the Dispute. If, through the exchange of correspondence, the parties are unable to settle the Dispute, the parties will use best efforts to resolve the Dispute through face to face meetings, which shall at all times be conducted in good faith toward a practical negotiated outcome. 2. If the parties are unable to resolve the Dispute by achieving a practical negotiated outcome, the parties will use best efforts to resolve the dispute through mediation. Prior to the mediation session occurring, the parties will both agree on a single mediator to mediate the dispute. The parties will review the anticipated costs of mediation with the mediator and the parties will agree in writing, in advance of the mediation, to share equally the costs of mediation. 3. If either party refuses to attend the mediation, or if the mediation does not resolve the dispute, the parties may do any of the following: a. attempt to negotiate a practical outcome between themselves; b. conduct one or more mediation sessions, with the same or a different mediator; c. agree to arbitrate the dispute in a binding arbitration hearing, in accordance with the Commercial Arbitration Act; or d. unilaterally initiate court proceedings. 5

17 SCHEDULE H EXCERPTS FROM CITY OF VICTORIA ZONING BYLAWS REGARDING PERMITTED USE Definitions dwelling unit means any room or suite of rooms used or intended to be used by one family exclusively for the purpose of providing a place of residence. float home means a structure incorporating a floatation system or a converted vessel that is used as a self-contained dwelling unit but is not intended for navigational purposes. float home home occupation means a home occupation within a float home. home occupation means making, servicing, or repairing goods, or providing services for hire or gain by any person, wholly within a dwelling unit occupied by that person, but does not include the following, except as provided in Schedule D: (a) the sale of goods on or from the dwelling unit or its premises; or (b) the provision of escort services within a multiple dwelling. Permitted Uses Float home Float home home occupation, subject to the regulations contained in Schedule D as if it were a home occupation, except that up to two bedrooms may be used for the purpose of providing bed and breakfast accommodation notwithstanding that it is not a single family dwelling. Uses incidental to any of the above uses. City of Victoria Zoning Regulation Bylaw No SCHEDULE D HOME OCCUPATIONS 1 Where home occupations are permitted pursuant to the provisions of this bylaw, the following conditions shall apply to the use: Location 2 For the purposes of a home occupation, the location of a business is the address at which the operations of the business are managed. Exception 3 A home occupation is not required to be operated wholly within a dwelling unit where the work is undertaken entirely off the lot on which the dwelling unit is located.

18 Prohibition 4 The sale of goods to customers attending on the lot on which the dwelling unit is located is prohibited. Permitted Uses 5 The following uses are permitted as home occupations: (a) artist studio; (b) mail order, provided that no merchandise is sold to customers attending on the lot on which the dwelling unit is located; (c) making, processing and assembly of products on a small scale; (d) manufacturing agent; (e) personal and professional services, including barber, hairdresser, bookkeeper, medical therapy; (f) teaching, provided that attendance is limited to 5 persons in a detached dwelling and to 1 person in a duplex or multiple dwelling; (g) testing, servicing and repairing of goods; (h) Urban agriculture, defined as the cultivation of a portion of a parcel for the production of fruits and vegetables. Prohibited Uses 6 (1) All uses that are noxious or offensive to any other dwelling units or the general public by reason of emitting odour, dust, smoke, gas, noise, effluent, radiation, broadcast interference, glare, humidity, heat, vibration, or hazard or any other emission are prohibited. (2) The following uses are prohibited: (a) except as provided in Section 11, Bed and Breakfast; (b) car repairs and garages; (c) clubs; (d) kennels; (e) radio dispatch services; (f) restaurants; (g) retail stores; (h) salvage lots; (i) storage lots; (j) except as provided in Section 11, transient accommodation; (k) in any building which has been converted from single family dwelling to duplex, multiple dwelling, boarding house, rooming house, or housekeeping apartment, pursuant to the applicable provisions of this bylaw, music teaching or any business which results in the transmission of sound. Stock in Trade 7 Except for one licensed vehicle, which shall be a car, van, or pickup truck, no business-related materials, including machinery or vehicles, shall be visible at any time on any lot on which a home occupation is carried out nor shall any machinery or vehicles be parked or stored on the lot unless completely enclosed within a building.

19 Limitation 8 (1) Subject to this section, not more than one person shall be engaged in a home occupation, with the exception of urban agriculture, where up to two people are permitted to be engaged in the home occupation, and the person(s) shall reside on the lot on which the home occupation is carried on. (2) Where any lot upon which a home occupation is carried on has a boundary or portion of a boundary in common with any lot which is located in a zone which permits retail use, then no more than two persons may be engaged the home occupation where one of the persons resides on the lot on which the home occupation is carried on. (3) This section does not apply to any employees of a home occupation who at no time attend on the lot on which the home occupation is carried on, nor park in the immediate vicinity of the lot. 9 No more than one home occupation shall be carried on in any dwelling unit. Advertising 10 Except as expressly permitted in this bylaw, or in the Sign By-law, no sign or other advertising device or advertising matter may be exhibited or displayed on any lot on which a home occupation is being carried on. 11 Subject to the following requirements, where any building is used as a single family dwelling, up to two bedrooms may be used for transient accommodation as a home occupation. (1) Notwithstanding Section 4, meals or food services may be provided to any customers but not after 12:00 noon. (2) No liquor shall be provided to any customers. (3) One parking space for each room available for transient accommodation shall be provided on the lot and a parking space may be located behind another parking space. (4) No sign may be erected, used, or maintained for the purpose of advertising transient accommodation use within a single family dwelling.