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<br />Bank Card Merchant Agreement Page 2 of 8 <br />BCMA-merchant via partner <br />any manner (e.g. a change from a limited liability company to a <br />corporation), and/or of Merchant’s intent to sell its stock or assets to <br />another entity. 4. Card Acceptance. Merchant must accept all Cards and complete <br />all Card transactions in accordance with the Operating Regulations. In <br />the event Processor for whatever reason is unable to obtain, or due to <br />system delays chooses not to wait to obtain, authorization from an <br />Association, Processor may at its option "stand-in" for such entities and <br />authorize the sales transaction based on criteria established by <br />Processor, and Merchant remains responsible for such sales transaction <br />in accordance with this Agreement. Merchant has identified to Processor <br />the products and/or services for which it intends to accept Cards as <br />payment. Merchant agrees that it shall only complete and deliver to <br />Processor sales transactions produced as the direct result of bona fide <br />sales made by Merchant to Cardholders for such identified products <br />and/or services, unless otherwise agreed by Processor in writing 5. Transaction Processing. Processor or Member Bank will initiate <br />payment to Merchant of the total face amount of each sales transaction <br />acquired and accepted hereunder, subject to the terms and conditions of <br />this Agreement, the Operating Regulations, and applicable law, after <br />Processor receives payment for such sales transactions. Unless <br />otherwise agreed to in writing by Processor, Merchant shall electronically <br />deliver to Processor and in a format acceptable to Processor all credit <br />vouchers and sales transaction records within two (2) business days after <br />the applicable transaction date (or such shorter period as determined by <br />the applicable Association), except (i) in the case of a delayed <br />merchandise delivery, when the sales transaction record shall be <br />delivered within two (2) business days of the merchandise delivery or (ii) <br />as specified otherwise in the Operating Regulations. Merchant agrees <br />that it shall deliver sales transaction records to Processor at least every <br />business day. The preparation and delivery to Processor by Merchant of <br />sales transactions shall constitute an endorsement to Processor by <br />Merchant of each sales transaction, and Merchant authorizes Processor <br />or its representative to place Merchant's endorsement on any sales <br />transaction at any time. Processor may refuse to acquire any sales <br />transaction or claim the amount of which, in whole or in part, it could <br />charge back to the Merchant pursuant to this Agreement, if it had <br />acquired the sales transaction or claim. Merchant acknowledges and <br />agrees that Processor is not responsible for any action or inaction taken <br />by the financial institution or other entity that issued the Card(s) to the <br />Cardholder or the processor of such Card(s). Merchant agrees that <br />Processor may set off any amounts due to Processor from amounts owed <br />to Merchant, including but not limited to any amounts owed to Merchant <br />from Processor and/or any of its affiliate(s). 6. Exception Items. Merchant agrees to reacquire and pay Processor <br />the amount of any sales transaction, and Processor shall have the right <br />at any time to charge Merchant's Account therefore with notice via <br />Processor’s Service Delivery Process, for any return, chargeback, <br />compliance case, any other Association action, or if the extension of <br />credit for merchandise sold or services or sales transactions performed <br />was in violation of law or the rules or regulations of any governmental <br />agency, federal, state, local or otherwise; or if Processor has not received <br />payment for any sales transaction, notwithstanding Processor’s prior <br />payment to Merchant for such sales transaction pursuant to Section 5 <br />above or any other section. Not limiting the generality of the foregoing, <br />Merchant agrees that any operational and/or other Services performed <br />on behalf of Merchant, including but not limited to, production of facsimile <br />drafts in response to copy requests, response to compliance cases, <br />augmentation of Merchant data for interchange, transaction stand-in, <br />digital draft storage and retrieval, etc. shall in no way affect Merchant's <br />obligations and liability in this Agreement including those in the foregoing <br />sentence. Merchant may instruct Processor in the defense of <br />chargebacks, compliance cases and similar actions, and Merchant <br />agrees that it will promptly provide any such instructions to Processor. <br />When Processor has determined it has all necessary information and <br />instructions, Merchant hereby authorizes Processor to resolve <br />chargebacks and respond to retrieval requests and other inquiries without <br />further consulting Merchant. 7. Merchant Suppliers. Merchant may use one or more Merchant <br />Suppliers in connection with the Services and/or the processing of some <br />or all of its Card transactions. In no event shall Merchant use a Merchant <br />Supplier unless such Merchant Supplier is compliant with P CI and/or the <br />Payment Application Data Security Standard (“PA-DSS”), depending on <br />the type of Merchant Supplier, as required by the Operating Regulations. <br />Merchant acknowledges and agrees that Merchant shall cause its <br />Merchant Supplier to complete any steps or certifications required by <br />any Association (e.g., registrations, PA-DSS, PCI, audits, etc.). <br />Merchant shall cause its Merchant Supplier to cooperate with Processor <br />in completing any such steps or certifications (if applicable), and in <br />performing any necessary due diligence on such Merchant Supplier. <br />Merchant shall be solely responsible for any and all applicable fees, <br />costs, expenses and liabilities associated with such steps, registrations, <br />and certifications. Merchant shall bear all risk and responsibility for <br />conducting Merchant’s own due diligence regarding the fitness of any <br />Merchant Supplier(s) for a particular purpose and for determining the <br />extent of such Merchant Supplier’s compliance with the Operating <br />Regulations and applicable law. Merchant expressly agrees that <br />Processor shall in no event be liable to Merchant or any third party for <br />any actions or inactions of any Merchant Supplier used by Merchant, <br />even if Processor introduced and/or recommended the use of such <br />Merchant Supplier to Merchant, or never objected to the use of such <br />Merchant Supplier, and Merchant hereby expressly assumes all such <br />liability. 8. Cardholder Information. Merchant shall not disclose, sell, <br />purchase, provide, or exchange Cardholder name, address, account <br />number or other information to any third party other than to Processor or <br />an Association for the purpose of completing a sales transaction unless <br />specifically permitted by the Operating Regulations. Merchant represents <br />and warrants that neither it nor its Merchant Supplier shall retain or store <br />any portion of the magnetic-stripe data subsequent to the authorization <br />of a sales transaction, nor any other data prohibited by the Operating <br />Regulations and/or this Agreement. <br />Processor acknowledges responsibility for payment card data on its <br />proprietary systems. Processor will (i) maintain its PCI-DSS certification <br />and (ii) be validated as a PCI-DSS compliant service provider. In the <br />event Processor is deemed not to be in compliance with PCI-DSS, <br />Processor shall make commercially reasonable efforts to become <br />compliant and maintain compliance thereafter. As of the execution of the <br />Agreement, PCI-DSS information and standards can be found at the <br />Payment Card Industry Security Council website at <br />https://www.pcisecuritystandards.org/index.htm. 9. Term. The term of this Agreement shall commence the date <br />Processor executes this Agreement, and shall continue for the Term as <br />defined in Section 1 of this Agreement. Except as hereafter provided, <br />unless either party gives written notice to the other party at least 60 days <br />prior to the expiration of any term, the Agreement including all addenda, <br />schedules and exhibits hereto or referencing this Agreement shall be <br />automatically extended on a calendar month to calendar month basis. All <br />obligations of Merchant incurred or existing under this Agreement as of <br />the date of termination, shall survive such termination. 10. Processor Fees. Merchant agrees to that Processor will collect a <br />convenience fee from cardholders along with each transaction processed <br />for Merchant and such convenience fee is subject to change via <br />Processor’s Service Delivery Process. In the event Processor changes <br />or its convenience fees pursuant to the immediately preceding sentence <br />("Fee Change"), Merchant may, subject to the following provisions, <br />terminate the Agreement upon 60 days advance written notice to <br />Processor provided Processor receives such written notice from <br />Merchant of its intention to so terminate within 90 days of the date the <br />Fee Change becomes effective. Upon Processor's receipt of Merchant's <br />written notice pursuant to the immediately preceding sentence, <br />Processor shall have 30 days to rescind or waive the Fee Change, and, <br />in the event Processor elects to rescind or waive the Fee Change, <br />Merchant shall not have the right to terminate this Agreement as a result <br />of the Fee Change and this Agreement shall remain in full force and effect <br />notwithstanding Merchant's written notice to terminate. Merchant <br />acknowledges and agrees that this Section shall not be intended or <br />construed to permit Merchant to terminate the Agreement as a result of a <br />change or increase in fees from third parties and/or in pass through fees <br />as referenced in this Agreement. At Merchant’s request, Processor may, <br />in its sole discretion, establish multiple Merchant billing definitions on its <br />system, and in such event, Processor shall assess all applicable fees <br />separately and independently with respect to each such billing definition. 11. Third Party Assessments. Notwithstanding any other provision of <br />this Agreement, Merchant shall be responsible for all amounts imposed <br />or assessed to Merchant, Processor, and/or Member Bank in connection <br />with this agreement by Member Bank and/or third parties such as, but not <br />limited to, Associations and Merchant Suppliers (including <br />telecommunication companies), to the extent that such amounts are not <br />DocuSign Envelope ID: 21DD58A4-4565-4EC5-AD94-06300FFBC6D5 <br />In Process