The customer requests that INK SMITH INC (hereinafter called INK SMITH) sell goods on account in consideration of which the customer and INK SMITH agree as follows:

1. PRICES – All prices are F.O.B. INK SMITH’S WAREHOUSE and are subject to change without notice. Prices do not include sales taxes, state, local or foreign.
   
2. TERMS – INK SMITH open account terms are 1% 10 net 30 days from date of invoice. Prior to credit approval, terms are C.O.D. INK SMITH may increase the amount of credit extended or terminate at any time if it determines itself insecure or the customer is in default of the terms. Customer agrees to pay a service charge of 1.5% per month (18% annually, minimum of $1.50), of the customer’s outstanding past due balance, whichever is more, after deducting current payments and credits. The customer warrants that it will use all goods purchased under this account for business purposes and that the customer is not a consumer as defined by any federal or state usury law. However, if the customer is a consumer, the interest rate is automatically reduced to the highest rate allowed by applicable law.

   If the customer fails to pay pursuant to the terms of this agreement and INK SMITH elects to take legal action to collect this account, the customer shall pay all costs incurred by INK SMITH including, but not limited to, attorney’s fees, and other costs associated with collection. The customer assigns it’s existing and hereinafter created accounts receivable as security for any indebtedness incurred to INK SMITH under this account. 

3. WARRANTIES – The customer acknowledges that it has special skill and knowledge in the selection of the materials to be purchased from INK SMITH and expressly disclaims any reliance upon any statements or representations by INK SMITH regarding the sale. Customer also waives any liability upon INK SMITH for any special, direct or consequential and incidental damages the purchaser may suffer.
4. PATENT INFRINGEMENTS – The customer agrees to hold INK SMITH harmless for claims based on goods sold that constitute a patent infringement when products where manufactured to customers specifications and not normally offered by INK SMITH.
5. RETURNED GOODS – INK SMITH will accept returned goods after authorization has been obtained from INK SMITH. A 20% service charge will be applied for handling and restocking. Returns must be sent freight prepaid, be resalable and in original, unopened packaging. No credit will be issued for products purchased over 30 days from date of invoice. Special orders are not returnable.
6. DELIVERY – Most shipments by INK SMITH to the customer can be delivered via U.P.S. or common carrier. All prices are F.O.B. INK SMITH WAREHOUSE.

The customer authorizes any of its employees it sends to INK SMITH for pickup of materials to sign delivery receipts and agrees to be bound by the terms of the receipt. Customer agrees to inspect all material immediately upon delivery to verity (a.) the quantities delivered are the quantities described in the accompanying delivery ticket and (b.) there are no visible defects in the material. Unless the customer gives INK SMITH written notice by certified mail, return receipt requested within three (3) days of delivery, the customer waives any claim he may have against INK SMITH for a determinable deficiency or defect in said delivery or product and any objection he may have to the amount of the invoice.

7. If the customer is not a corporation, or there is a change of ownership of the customer’s business entity, the principal owners will remain personally liable for any indebtedness incurred on the aforesaid account, even if later they sell or incorporate the business, unless customer sends written notice to INK SMITH of said change in status by certified mail, return receipt requested. Personal liability shall continue for the account balance incurred before said notice is received.
   
8. DELAYS – INK SMITH shall not be liable for delays.

The parties agree that this is the entire agreement and that no oral representation or agreement has been made which would modify this agreement.