Sales Terms and Agreement

1 — Acceptance of purchase order

Seller's (Norck Inc. located in California, USA) acceptance of Buyer's order, or Seller's offer, is expressly conditioned on Buyer's agreement to the terms and conditions of these General Terms and Conditions of Sale (these "General Terms") that govern any resulting sale. Seller does not agree to any conflicting terms and conditions proposed by Buyer. Buyer's acceptance of items described in the accompanying quote ("Products") sold hereunder will manifest Buyer's consent hereto. If Buyer requests shipment based on telephone, online, email, mail, or facsimile order, Buyer does so with the understanding that these General Terms apply. No variation, addition, termination, or waiver of any term or condition will be binding on Seller unless in writing and signed by Seller's duly authorized representative.

2 — Supply and production

All sales are final. The promised lead time count begins with the sales order document sent to the Buyer by the Seller or confirmation and approval of technical drawing for production by the Seller, whichever occurs later. No return is accepted and no refund is issued except that Seller cannot supply the goods per specifications as agreed with Buyer and/or within the promised delivery time (please see item 6 for excusable delays). Seller agrees to supply the goods and/or services per specifications provided by Buyer and/or provided by Seller, as ordered by Buyer. In case Seller cannot supply the goods as agreed, it may once again attempt to supply them with the agreed specifications within a reasonable time or cancel the order and refund the payment received to Buyer. In no event can Seller's responsibility and liability exceed the amount of money it received from Buyer, and as soon as Seller returns the payment received from the Buyer, Seller's responsibility and liability cease. If Seller has not received any payment from Buyer, Buyer accepts that Seller has no liability and/or responsibility emerging from the inability to supply ordered products as described and/or within the promised lead time.

While permitted by law, Seller may outsource production of Buyer's order(s) to third-party companies (contract manufacturers) in any country and anywhere in the world without geographical limitations. Seller is responsible for making agreements with third-party suppliers and contract manufacturers to keep Buyer's order-related documentation and information private, safe, and secret. In any case, Seller is not responsible or liable, legally and/or financially, for the breach of Buyer's technical data or documentation by the Seller's suppliers, whether intentionally or not.

3 — Delivery

Except as otherwise specifically agreed in writing, Seller will not be responsible for freight, transportation, insurance, shipping, packing, storage, handling, demurrage, damage, or similar charges. If such charges are, by the terms of sale, included in the price, any increase in rates becoming effective after the date hereof will be for the account of Buyer. Unless otherwise agreed in a writing signed by Seller, all sales will be Prepay & Add Freight / FOB Origin, Seller's warehouse. Buyer bears, owns, and files claims, and title and risk of loss will pass to Buyer upon delivery to Buyer at Seller's warehouse. All distribution drop shipments and factory direct shipments are non-cancellable / non-returnable.

4 — Price increase

Prices are based on labor and material costs as of the quotation date. Any variation in any of those costs after that date will be for the account of Buyer after written notice of variation in prices has been given by Seller.

5 — Taxes

Except as otherwise provided by law, all sales, excise, and similar taxes, or duties which Seller may be required to pay or collect with respect to the Products or their supply to Buyer, will be for the account of the Buyer. Where Buyer claims exemption from duty or tax, Buyer will furnish an appropriate exemption certificate to Seller.

6 — Excusable delay

Seller will not be responsible for delays in delivery or failure to deliver due to causes beyond Seller's control.

7 — Buyer's specifications and indemnification

Whether or not the Products are supplied according to Buyer's specifications, or within the promised lead time, Buyer indemnifies Seller and its affiliates, officers, directors, shareholders, managers, agents, employees, suppliers, subcontractors, servants, customers, successors, and assigns from any liabilities, obligations, losses, damages, penalties, claims, actions, suits, arbitrations, and costs (including, without limitation, attorneys' fees and costs, litigation support charges, and expert witness fees) and expenses suffered by Seller with respect to (a) any claim that the Products infringe any patent, copyright, trademark, trade secret, design, or other intellectual property right or proprietary or similar rights, and (b) any claim that the Products were incorrectly or improperly manufactured, supplied, or installed. Seller will not be liable for (a) any error, omission, or inaccuracy in drawings or specifications provided or approved by Buyer and will be under no obligation to check or confirm the conformity, accuracy, or adequacy of patents, regulatory requirements, drawings, or similar specifications provided to Seller by Buyer, or (b) any obligation to install the Products correctly or properly.

8 — Installments and subcontract

Unless otherwise expressly stated, Seller will have the right to deliver the Products in installments. All installments will be separately invoiced and paid as billed without regard to subsequent deliveries. Failure to pay for any installment when due will excuse Seller from making future deliveries. Seller may subcontract the performance of the whole or any part of these terms and conditions to any person of any nationality without any geographical limitations.

9 — Limited warranty; disclaimer of implied warranties

THE PRODUCTS ARE SOLD "AS IS, WHERE IS". SELLER MAKES NO REPRESENTATION OR WARRANTY OF ANY KIND, EXPRESS OR IMPLIED, WITH RESPECT TO THE PRODUCTS SOLD HEREUNDER, AND SELLER HEREBY DISCLAIMS ALL WARRANTIES, INCLUDING, WITHOUT LIMITATION, IMPLIED WARRANTIES OF MERCHANTABILITY, NON-INFRINGEMENT, AND FITNESS FOR A PARTICULAR PURPOSE, WHETHER ANY SUCH PURPOSE IS KNOWN OR UNKNOWN. THIRD-PARTY WARRANTIES WILL BE PASSED ON TO BUYER AS APPLICABLE.

10 — Payment

Payments will be made within the terms stated on the invoice and/or email quote. If Buyer fails to comply with any terms of payment, Seller may withhold further deliveries or, at its option, terminate these General Terms, whereupon any unpaid money will become immediately due. If, by the terms of sale, credit is extended to Buyer, Seller reserves the right to revoke such credit if Buyer fails to pay for any Products when due, and Seller will then have the right to demand payment before any further shipments of Products. All past due payments will bear interest at a rate of one and one-half percent (1.5%) per month from the past due date until date of receipt of payment by Norck, or at the highest rate of interest allowed by the laws of the State of California, whichever is lower.

11 — Notice of claims

Immediately upon receipt of the Products, Buyer will inspect the goods. Any claim for shortage must be made within ten (10) days after Buyer's receipt of the Products. All other claims, including claims for alleged defective Products, must be made within ten (10) days after Buyer learns of the facts upon which such claim is based, but in no event later than fifteen (15) days after Buyer's receipt of the Products. All claims not made in writing and received by Seller within the time period specified above will be deemed waived. With respect to any defects incapable of discovery until in use or in processing in the manufacture of other products, all claims for any damages or losses as a result of such defects will be deemed waived unless made in writing and received by Seller within fifteen (15) days after Buyer's receipt of the Products or within ten (10) days after Buyer learns of the alleged defect giving rise to the claim, whichever occurs first.

12 — Setoff; termination for insolvency

Buyer will have no right to set off any amounts due or payable to Seller hereunder against any claim or charge Buyer may have against Seller.

Seller may wholly or partly terminate any sale of Products hereunder if Buyer makes any assignment or trust for the benefit of creditors, becomes insolvent or otherwise is unable to pay its debts as they become due, or if proceedings are commenced by or against Buyer alleging bankruptcy or insolvency, or involving the appointment of a receiver.

13 — Exclusive remedy

BUYER'S EXCLUSIVE REMEDY UNDER THESE GENERAL TERMS, IN LIEU OF ALL OTHER REMEDIES, WILL BE FOR DAMAGES OR INSTALLMENT, OR DEFECTS OR, AT SELLER'S ELECTION, REPAIR OR REPLACEMENT OF DAMAGED ITEM(S) OF PRODUCTS RETURNED AT BUYER'S EXPENSE TO SELLER; IN THE EVENT DAMAGED OR DEFECTIVE PRODUCTS CANNOT BE REPAIRED OR REPLACED, SELLER MAY REFUND THE PURCHASE PRICE PAID BY BUYER FOR THE PARTICULAR ITEM(S) OF PRODUCTS WITH RESPECT TO WHICH LOSSES OR DAMAGES ARE CLAIMED.

14 — Entire agreement; cumulative remedies

This instrument contains the entire agreement between the parties, and no promises, provisions, terms, warranties, conditions, or obligations whatsoever, whether express or implied, other than herein set forth, will be binding upon either party.

Seller's remedies herein provided will be cumulative and in addition to any other remedies at law or in equity. Seller's failure to insist upon or enforce strict performance of any provision, or to exercise any rights or remedies, will not be construed as a waiver or relinquishment of Seller's right to assert or rely upon any such provision, right, or remedy in that or any other instance; rather, the same will remain in full force and effect.

15 — Limitation of liability

IN NO EVENT WILL SELLER HAVE ANY OBLIGATION OR LIABILITY (WHETHER IN CONTRACT, WARRANTY, TORT (INCLUDING NEGLIGENCE), OR OTHERWISE; AND NOTWITHSTANDING ANY FAULT, NEGLIGENCE (WHETHER ACTIVE, PASSIVE, OR IMPUTED), REPRESENTATION, STRICT LIABILITY, OR PRODUCT LIABILITY OF SELLER) FOR COVER OR FOR ANY CONSEQUENTIAL, INCIDENTAL, OR INDIRECT DAMAGES OR LOSS OF REVENUE, PROFIT, SAVINGS, OR BUSINESS ARISING FROM OR OTHERWISE RELATED TO THE PRODUCTS OR A SALE BY SELLER TO BUYER, EVEN IF SELLER OR ITS AGENTS HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. SELLER'S AGGREGATE LIABILITY (WHETHER ARISING IN CONTRACT, WARRANTY, TORT, OR OTHERWISE) WITH REGARD TO THE PRODUCTS OR A SALE BY SELLER TO BUYER WILL IN NO EVENT EXCEED THE PURCHASE PRICE PAID BY BUYER FOR THE PARTICULAR ITEM(S) OF PRODUCTS WITH RESPECT TO WHICH LOSSES OR DAMAGES ARE CLAIMED.

16 — Applicable law

Where Norck Inc. is the Seller, sales of products pursuant to these General Terms will be interpreted, construed, and enforced in all respects in accordance with the laws of the State of California, U.S.A., without reference to its choice of law principles to the contrary, except that the U.N. Convention on Contracts for the International Sale of Goods (1980), or any successor thereto, does not apply. Buyer will not commence or prosecute any action, suit, proceeding, or claim relating to the Products other than in the state or federal courts located in Orange County, State of California. Buyer hereby irrevocably consents to the jurisdiction and venue of such courts.

Where Norck GmbH is the Seller, sales of products pursuant to these General Terms will be interpreted, construed, and enforced in all respects in accordance with the laws of Germany and the state of Baden-Württemberg, without reference to its choice of law principles to the contrary, except that the U.N. Convention on Contracts for the International Sale of Goods (1980), or any successor thereto, does not apply. Buyer will not commence or prosecute any action, suit, proceeding, or claim relating to the Products other than in the courts located in Germany. Buyer hereby irrevocably consents to the jurisdiction and venue of such courts.

17 — Miscellaneous, assignment, and notices

No course of prior dealings between Buyer and Seller and no usage of the trade will be relevant to supplement, interpret, or explain these General Terms. Buyer shall comply with all applicable laws, regulations, rules, orders, and other requirements, now or hereafter in effect, of any applicable governmental authority in its performance of Seller's agreement with Buyer and use of the Product.

These General Terms bind and inure to the benefit of Seller, its successors, and assigns. Buyer may not assign any right or interest in Seller's agreement with Buyer nor delegate the performance of any of its obligations without Seller's prior written consent.

Any notice will be sent by registered or certified mail with return receipt requested (airmail if sent internationally) to either party's address set forth on the face of the purchase order. Notice may also be given by such other means as may be agreed upon and will be effective upon receipt. Issuance of a formal and/or verbal purchase order to Seller constitutes acceptance of these terms and conditions.