TERMS AND CONDITIONS:

Shipment Acceptance – Notice of Defects

It is the customer’s responsibility not to accept merchandise with visible damage or shortages, unless the carrier so notes on your copy of the delivery sheet. ICC regulations state that any concealed damage must be reported to the carrier no later than 15 days from receipt of shipment. In the event of damage, the carrier will insist on inspecting the original packing materials. Do not discard packaging until carrier inspects the damage.

In the event the merchandise to be furnished hereunder is claimed to be defective, the seller shall be given ample opportunity for inspection or, upon request, shall be furnished with a sample of such merchandise. Any claim of defective merchandise must be made within 15 days of receipt of the merchandise shipped hereunder. Buyer shall set aside, protect and hold such goods without further processing until seller has an opportunity to inspect and advise of the disposition, if any, to be made of such goods. In no event shall any goods be returned, reworked or scrapped by the buyer without the express written authorization of the seller.

Custom Order Policy

On orders for custom or specially printed items, customer agrees to accept overruns or underruns not exceeding 15% of the quantity ordered.

Cancellation Policy

Orders canceled after processed but prior to production and shipment will be subject to a $25 cancellation fee. Orders canceled after produced are subject to a 100% cancellation fee. Non-custom items which customer wishes to return are subject to a restocking charge to be advised. Custom items are not allowed to be returned.

Terms

CBS’s standard payment terms are net 15 days. Past due invoices are subject to a late fee of 18% per annum or the maximum allowed by applicable law. All sales are subject to the approval of seller’s credit department. On custom orders, seller’s policy provides for the buyer paying a 50% deposit with the balance due upon shipment. Buyer agrees to pay all costs of collection including reasonable attorney’s fees.

Prices

Prices are F.O.B. carrier’s equipment at our factory and are exclusive of all taxes.

Risk of Loss

Delivery shall occur and risk of loss shall pass to the buyer upon delivery of the material to the carrier at the point of shipment.

Delivery

The promised delivery date is the best estimate possible based upon current and anticipated manufacturing capabilities of when the product will be shipped. Seller assumes no liability for loss, damage, or consequential damages due to delays.

Warranty and Warranty Restrictions

Seller warrants that its products sold hereunder will, at the time of shipment, be free and clear of all liens and encumbrances and will be free from defects in material and workmanship and will conform to seller’s applicable specifications or, if appropriate, to buyer’s specifications accepted by seller in writing. Seller’s liability will be limited to that repair or replacement of defective merchandise and seller disclaims any liability for incidental and consequential damages and for loss of profits. THE FOREGOING WARRANTY IS IN LIEU OF AND EXCLUDES ALL OTHER WARRANTIES NOT EXPRESSLY SET FORTH HEREIN; WHETHER EXPRESSED OR IMPLIED BY OPERATION OF LAW OR OTHERWISE INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTIES OF MERCHANTIBILITY OR FITNESS FOR PURPOSE. No representation or warranty, express or implied, made by any sales representative or other agent or representative of the seller which is not specifically set forth herein shall be binding upon the seller. Seller shall not be liable for any incidental or consequential damages, losses or expenses directly or indirectly arising from the sale, handling or use of the goods or from any other cause relating thereto and seller’s liability hereunder, in any case, is expressly limited to the repair or replacement (at seller’s option) of goods not complying with this agreement or, at seller’s election, to the repayment or crediting of buyer with an amount equal to the purchase price of such goods whether such claims are for breach of warranty or negligence. This warranty extends only to direct customers of the seller and does not include customers of the buyer.

Force Majeure Clause

Fulfillment of this order is continent upon the availability of materials. Seller shall not be liable for any delay in delivery or for nondelivery in whole or in part caused by the occurrence of any contingency beyond the control of either the seller or suppliers to the seller including but not limited to war, sabotage, acts of civil disobedience, failure or delay in transportation, act of any government or agency or subdivision thereof, judicial action, labor dispute, fire, accident, explosion, epidemic, quarantine, restrictions, storm, flood, earthquake or acts of God, shortage of labor, fuel, raw material or machinery or technical failure where seller has exercised ordinary care in the prevention thereof.

If the seller, in its sole discretion, determines that seller’s performance hereunder would result in a loss to the seller on this sale, as computed under seller’s normal accounting procedures, because of causes beyond seller’s control, then the seller may terminate this agreement in whole or part without liability for any delay in the delivery or failure to deliver the goods sold hereunder.

Confidential Information

All drawings, diagrams, specifications and other materials furnished by seller relating to the use and service of articles furnished hereunder and the information therein, are proprietary to the seller.

Colorado Law

This agreement shall be interpreted by the laws of the State of Colorado.