8/15/2009

TERMS: Net 30 days in U.S. funds for account that have “open account” status with us and subject to buyer’s credit. Any other terms must be prearranged with the seller and agreed to in writing. Minimum billing - $50.00 Net. A service charge of 1.5% per month will be applied to all accounts over 30 days past due. If the account is placed for collection, buyer agrees to pay all legal and collection fees. The seller and buyer agree that this contract will be governed by the laws of the state of Minnesota.

TAXES: Any taxes which may be required to pay or collect under any existing or future law upon or applicable to the sale, purchase, manufacture, processing, transportation, delivery, use of consumption of any of the materials covered hereby, shall be added to the invoice of the purchaser unless otherwise specifically indicated.

FREIGHT: All shipments F.O.B. one of our factory or warehouse locations. Title for all goods shall pass to the purchaser immediately upon delivery to the carrier. All packages of more than $100 net value will be shipped via common carrier, unless Activar has given written authorization to ship by UPS/RPS. For all UPS/RPS shipments, a handling charge of $5.00 is added per order. All UPS/RPS hazardous material charges will be passed to the buyer. Delivery is subject to federal and state laws and regulations.

CLAIMS: Shortages or errors in shipment must be reported within 48 hours after receipt of goods. It is the responsibility of the buyer to inspect and report damaged or lost merchandise to the delivering carrier at the time of delivery.

CANCELLATIONS: Please consult customer service concerning approval of requests for cancellation of existing orders. Special fabrication and orders entered into production are not subject to cancellation.

RETURNS: Credit will not be issued for returns without a Return Goods Authorization. A 50% handling and restocking charge, plus shipping charges both ways, will be assessed for material returned in usable condition. Freight collect returns will not be accepted. Any changes or cancellations of purchase orders must be confirmed by fax or mail. Due to the custom design and specifications for many of our products, certain materials are not subject to return.

LIABILITY: The company will not accept liability for costs or field labor or materials to adjust, change or correct any products except what is specifically authorized in writing by Sales Manager.

The company reserves the right to make changes in designs, or to make additions to, or improvements in its products without incurring any obligations to incorporate or install such design changes, additions or improvements in or on products previously manufactured or sold.

WARRANTY: All fire protection products (except fire extinguishers) carry a one year warranty after date of shipment against defects in materials and workmanship. Fire extinguishers carry a six year warranty. We will replace or repair any product found defective within this period. No other warranty expressed or implied is valid.