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Conditions

Conditions of Participation

§ 1 Legal Principles
§ 2 Participants
§ 3 Object of the Agreement
§ 4 Participation in Provider-affiliate
§ 5 Compensation
§ 6 Warranty and Liability

§ 1 Legal Principles

Internet Action SA (hereinafter "Provider") provides an internet service, which enables other companies to trade with all types of goods and services within a Provider administered network (hereinafter "Provider-affiliate").

§ 2 Participants

1. Affiliates, merchants, end customers and Provider all have a share in Provider-affiliate. Affiliates are natural and legal persons that provide space on their homepage/website or e-mail (hereinafter "advertising space") to companies, allowing them to market all types of goods and services. Merchants are those companies, who market and sell their goods and services through advertising means (banners, links etc). Affiliates and merchants will hereinafter be known as "participants". End customers are natural and legal persons purchasing all types of goods and services on the internet.

2. Affiliates provide advertising space to Provider and Provider in turn offers this space to merchants. All business transactions and other activities are closed between the merchants and the end customers via the advertising space of the affiliates. For this purpose, Provider sets up the technical connection between the affiliates and the merchants with which the aforementioned transactions are recorded and registered, therefore becoming traceable for all participants.

§ 3 Object of the Agreement

This agreement regulates the exclusive terms of use of Provider-affiliate for both participants and for Provider. Participation in Provider-affiliate is exclusively based upon these terms of use.

§ 4 Participation in Provider-affiliate

1. Affiliates and merchants are entitled to participate in Provider-affiliate, providing they are at least 18 years of age and have the full legal capacity to conclude agreements. There is no right of admission to Provider-affiliate.

2. Prerequisite for participation in Provider-affiliate, is the authorised admission of the participant by Provider. The participants must firstly register with Provider and completely and correctly answer all questions in the Provider registration form. Should the information given in the original registration change, the participant is obliged to Provider to correct the said entries immediately. The agreement and subsequent admission to Provider-affiliate occurs with the participants' receipt of a confirmation letter (either by e-mail or fax) from Provider which includes these terms of use. Companies, who are obliged to pay sales tax in their country of residence, must provide Provider with their tax identification number issued by the relevant tax authorities and ensure that this number is included in the participants log-in information.

3. When an affiliate specifies a request, Provider will offer the advertising space provided by affiliates to specific merchants and then transfer the information/data of these affiliates to the merchants. The merchants are obliged to inform Provider of their choice of advertising space, on which they want to market and sell their goods and services. The merchants shall inform Provider in writing of their selection. Provider shall confirm these selection to both merchants and affiliates.

4. Participation in Provider-affiliate is dependent upon the capacity of Provider-affiliate. There is no right to unlimited access of Provider-affiliate.

5. The participants must guarantee that the transferred data does not violate the laws of Curaçao, Netherlands Antilles. Prohibited are among other things:
- content which violates the rights of third parties - in particular copyright, name and brand rights,
- content which poses a threat to the government or which glorifies violence,
- content of a dangerous nature for young people, or
- content which it is prohibited to make public, such as anything that contain viruses, Trojan horses or other similar programmes designed to damage data or systems, or to secretly intercept or delete data.

Prohibited is also the:
- use of SPAM to promote Merchants programs.
- use of affiliate links from the Provider-affiliate and or merchant to sites that are illegal or conducts illegal activities on the Net.
- use of affiliate links from the Provider-affiliate and or merchant to order or to register as a sub-affiliate.
In the case that Provider is exposed to claims by third parties arising from such content, the participant responsible indemnifies Provider from such claims.

6. Any attempt to manipulate the Provider-affiliate-system in any manner, or not following the rules as stated in this Conditions of Participation, shall result in the automatic exclusion of the participant responsible, whereby all claims to acquired credit are forfeited.

§ 5 Compensation

1. Merchants pay Provider a performance-related compensation at their own discretion, which can be changed by the merchant, when and if the merchant has successfully closed a transaction (i.e. view, click, lead or sale).

2. Provider creates merchant and affiliate accounts for the handling of compensation and manages these accounts. The affiliate declares his/her consent to the crediting procedure i.e. that instead of being billed by the affiliate; credit is issued by Provider.

3. Affiliates receive a performance-based compensation from Provider, which is related to the performance-dependent compensation of the merchants, which Provider receives from the merchants according to paragraph 5.1. The amount of the performance-related compensation, is available online at all times to the affiliates.

4. The claim of the affiliates to performance-related compensation from Provider occurs under the following prerequisites:

- The merchants have closed a successful transaction (view, click, lead or sale) based on the advertising space provided by the affiliates to Provider.

- The completed transaction has been successfully recorded by Provider-affiliate.

- The end customer accepts delivery of the goods at the specified delivery location, makes the complete payment and the cancellation deadline has expired.

- The merchant has confirmed the successful close of the transaction to Provider.

The payment is processed monthly and based on the descretion of Provider, is transferred by Paypal. The fees Provider charge in the case of payment are derived from the fee schedule. Credit balances in affiliate or merchant accounts will not bear interest.

§ 6 Warranty and Liability

1. In the case of disruption during the processing of agreements between the participants and Provider, (as well as Provider-affiliate), which are attributable to Provider, Provider will take all reasonable, economically justifiable measures, to promptly restore the complete availability of Provider-affiliate.

2. Provider accepts no responsibility for Provider-affiliate revenues which are generated between the participants. In addition, Provider does not take responsibility for:
- the validity of the information and declarations supplied by the participants,
- the ability of the participants to meet their financial obligations,
- the quality and usability of the goods and services of the participants,
- the suitability of a product/service for a particular purpose and
- ensuring that these services do not infringe on the rights of third parties.
Provider is not liable for losses that arise from the invalidity of information provided by participants.

3. Provider is not responsible for the content of third party websites, where reference is made to Provider, in either a direct or indirect manner. In addition, Provider is not responsible for any losses connected with the malfunction of software or hardware, losses which occur due to lack of availability or technical problems on the internet. This does not apply if the losses are due to gross negligence or by deliberate act on the part of Provider.

4. in addition to the above, Provider accepts limited liability for gross negligence and deliberate acts. Liability for damages or lost profits are also excluded. The extent of Provider's liability for damages is limited to the average monthly performance-related compensation, as set forth by this agreement. This is not applicable in the case that Provider is liable because of deliberate acts.

5. The aforementioned limited liabilities do not apply to claims for indemnification based on injury of life, body, health or other contractual obligations of this agreement . In addition, the limited liability does not apply to claims arising from product liability.

6. A breech of duty by Provider is equal to that of a statutory agent or deputy.

§ 7 Use of Information and Data

1. In the event that Provider makes information/data regarding Provider-affiliates and participants, or information regarding the conduct of the participants, available to other participants, this information serves the sole purpose of building trust between participants. The use of this data by participants for other purposes, in particular for advertising purposes which are not connected with Provider-affiliate, are strictly prohibited.

2. The information attained by advertising, shall only be used by the participants for personal use and in connection with the use of Provider-affiliate. Any attempt to pass information to third parties or to use it for any other purpose - in particular commercial purposes - is also prohibited.

3. The advertising media provided by the merchant is not permitted to be changed on the advertising space of the respective affiliate with respect to design, context or technical content or otherwise worked on or passed on to third parties, without the prior agreement of the merchant.

4. With regard to the data of the participants, Provider has the right to collect, process and store this information, in addition to using it for its own purposes. Provider will hereby adhere to the relevant provisions of the Protection of Data Privacy Act. Provider is also entitled to publish, pass on information and notify the entitled authorities (within the context of the statutory obligations) of the participants data within the context of the maintaining Provider-affiliates. The use of participants' data by Provider for market research purposes shall only occur with the prior consent of the participants.

§ 8 Length of Contract / Termination

1. The agreement is valid for an indefinite period of time.

2. The participants and Provider can terminate this agreement, vis-a-vis the contractual partners, at any time, without giving a period of notice. This can be done online within the login-area, by e-mail or fax, or by means of letter. In the case of a termination, Provider will inform the effected participants. Up until the termination of the contract, the compensation shall still be paid by Provider and respective transactions shall be processed.

3. Existing credit owed to the participants will be paid upon termination of the contract, according to the fee schedule.

§ 9 Miscellaneous

1. This agreement is subject to the laws of Curaçao, Netherlands Antilles, provided they do not oppose mandatory international agreements or mandatory national law. The place of jurisdiction of disputes, according to this agreement, is Willemstad, Curaçao.

2. Upon registration, participants agree to the binding terms of participation of Provider, laid down in the most recent version of the contract. With regard to changes in the terms of participation, current participants will be notified by e-mail. Should the participant not object to the changed terms within one month of receipt of the notification of change, these changed terms will take effect according to the notification. The terms and conditions of the participants are herewith rejected.

3. Should individual provisions of this agreement become completely or partially invalid or should loose their enforceability, the validity of the remaining agreement will not effected. The invalid provision is to be replaced by the parties with a valid provision, which is to be commensurate to the economic purpose of the invalid provision. This also applies to any contractual loopholes.

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Fee Schedule:

Payment
Credit starting at €100.00 will be paid automatically on the last day of the following month.
Credit under €100.00 will not be paid and will remain in the account, until the credit has reached an amount of €100.00 or more.

In exceptional cases, payments under €100.00 can be paid out manually upon request. However a payment fee of €10.00 will be charged by Provider, due to administration cost.

Payment Fee
a) > €100.00 = €0.00
b) < €100.00 = €10.00 (Credit will only be paid in the case of termination, or special request)
In the case of termination, should the credit amount be below the payment fees, "Provider-affiliate" offsets the credit with the costs and carries the missing amount.

Version: 15-12-2005

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