Trading Policies & Procedures
A. Buyer must have a valid, signed identification card to make a purchase. Client is solely responsible for all changes made on card(s) issued to Client's account.
B. Because of high Client demand and short supply, certain items may be available on a limited basis only. BarterSystems is committed to provide only those products or services actually available in the exchange system.
C. An authorization must be obtained from BarterSystems for each purchase.
D. Products and or services are to be traded at fair market prices. BarterSystems has the right investigate any complaint of overpricing. Violation may subject the Client to suspending trading, adjustment to the transaction involved or termination.
E. Purchases by Clients will be limited to the amount of trade dollars accrued to their accounts unless secured by collateral and approved by an officer of BarterSystems. Client grants to BarterSystems the right and power to make trade dollar loans to any client on terms and conditions consistent with the Client's credit status and the ability to repay the loan. Interest of 0.8% in trade will be charged to accounts with a deficit trade balance as of the end of the month.
LIABILITY FOR TRADE DOLLARS
Client acknowledges that trade dollars in the trade exchange (positive balances) are the liabilities of persons who have spent more than their earnings (negative balances); that there is a creditor/debtor relationship between such persons, and that trade transactions incur the normal business risks associated with any credit transactions. BarterSystems is responsible for negative balances of clients and for losses, but shall have full responsibility for all trade dollars that it uses like any other client on the trade exchange.
F. Clients may request their account be placed on hold under the following conditions (a) the account is in a positive trade status, (b) sufficient notice is given to BarterSystems and (c) the account is not on the suspended trading list.
G. Trade dollars shall not be considered as legal tender, securities or commodities, by either BarterSystems or its clients, and may not be redeemed for cash.
H. Memberships may not be transferred or sold without BarterSystems approval.
I. A $25 cash credit, applied toward current or future transaction fees, will be given to Clients who sponsor a NEW Client that joins BarterSystems.
J. Trade transactions are entered into on a voluntary basis between Clients. Although BarterSystems may give referrals as a service to its Clients, BarterSystems assumes no responsibility for the quality, timely delivery, warranty or dispute of any nature between Clients with regard to any product or service being traded. BarterSystems is functioning in a brokerage capacity and Client does hereby indemnify and hold BarterSystems harmless with respect to any claim, debt or liability whatsoever, arising out of trade transactions wherein Client is a buyer or seller. This shall include but be limited to, professional malpractice claims, contractor/client disputes or claims of product liability. It is understood that the Client may not be considered a creditor of BarterSystems or Clients of the exchange in relation to Client's ability to spend Trade Dollars from his or her account.
K. The collection, declaration and reporting of all applicable local, state and federal taxes resulting from trade transactions rests solely with the Client. Barter sales are taxable events.
L. Cash transaction fees resulting from client purchases are due and payable upon receipt of the monthly statement. BARTERSYSTEMS RESERVES THE RIGHT TO SUSPEND ALL TRADING OF CLIENTS WHOSE FEES ARE NOT PAID BY THE 30TH OF THE MONTH IN WHICH THE STATEMENT IS RECEIVED. Any transaction fees that remain unpaid beyond the end of the month that they are due, will be assessed a cash penalty equal to 1% per month on the fee amount that is outstanding. Cash transaction fees on trades of 5000 trade dollars or more are due and payable in advance. BarterSystems reserves the right without notice to Client, to suspend client's trading privilege until the account is current.
M. Client or BarterSystems may cancel this Agreement after 30 days written notice. Upon cancellation, all trade dollars due Client must be spent within 90 days on products and services available through BarterSystems. Any trade remaining in Client account after the 90 days will revert back to BarterSystems. Any outstanding balance due BarterSystems must be paid in full within 30 days, in cash. In the event this obligation is referred to an attorney with or without suit, Client agrees to pay, in cash, attorney fees and costs.
N. BarterSystems may, at its option, request advance payment of Client Transaction fees. Outstanding fees and fees on the trade balance are due in advance of any spendout. Client agrees that in any dispute where BarterSystems is suing Client collect fees or negative trade balance credits (trade dollars) , the exchange rate for each BarterSystems trade dollar owed is equal to on US dollar.
O. If, after one year, an account has not had any activity (buy or sell), and the account remains with a zero balance, BarterSystems shall have the right to close that account. Client acknowledges that, from time to time, Client firms will cease doing business, abandon or otherwise exit the BarterSystems network leaving a debit or credit balance in their trade account. Further, BarterSystems maintains an account termed "Debt Reserve," wherein the debit or credit balances are charged or credited. If BarterSystems loses contact with an account due to a disconnected telephone and/or continued returned mail, and the Client has not attempted to notify BarterSystems of this change of status, BarterSystems will close the account after 60 days and credit any trade dollars to BarterSystems's Debt Reserve account.
P. All sales made in the BarterSystems showroom to BarterSystems clients would require the sales tax (all purchases) and transactions fees (purchases over $1000TD) to be paid at point of sale. The BarterSystems return policy on showroom purchases is 14 days from date of purchase.
Q. Retention and/or use of the BarterSystems Barter Card constitutes acceptance of the Agreement with all terms and conditions as a Client of BarterSystems. BarterSystems shall give 30 days notice of such change, deletions or additions.
R. Major construction and other long term trade projects should have all estimates written form. The seller can request an initial deposit, with a phased payment schedule thereafter based upon the satisfactory completion of each part of the project.
S. Client's monthly statement will be considered accurate as printed unless the BarterSystems accounting department is notified of any discrepancy within 14 days of receipt. BarterSystems will charge client a Research Fee of 5TD's per statement for all copies of monthly statements, if this request is not directly related to a disputed item appearing on client account.
T. Direct trades between clients to avoid transaction fees are prohibited, and if consummated, are subject to our normal transaction fee on both sides, payable on demand. Such trades may also result in suspension or termination of this Agreement.
U. BarterSystems may place a Client's account on hold and/or cancel this agreement if one or more of the following situations exist:
- BarterSystems has received 2 written complaints on a given Client for either proof of poor performance or attempting to charge in excess of Client's retail prices.
- Client has committed fraud, either on other Clients or against BarterSystems.
- Client is not following his/her contractual agreement with BarterSystems.
- Client has exhibited unprofessional behavior in dealing with BarterSystems staff or in the conduct of trades with other BarterSystems Clients.
V. A 4% trade booking fee will be included on all transactions involving local Clients purchasing travel, restaurants or other forms of entertainment from exchanges other than BarterSystems. A $25 cash cancellation charge will be assessed to Clients for reservations which are confirmed and then canceled. In addition, a minimum trade charge of one night's room rate may be added by the exchange through which the booking took place.
W. Any Client checks returned to BarterSystems for insufficient funds, or any other financial deficiency, will be assessed a $30 cash fee. Requests for replacement BarterSystems cards because they were lost or stolen will carry a 10TD cost per card.
X. In the event the Exchange were to terminate or otherwise cease doing business: (1) the aggregate credit/debit balance of the Member Debt and Forfeitures Account would be credited/debited pro rata among all Exchange client accounts and (2) all member businesses with negative trade account balances will pay amounts they owe in cash into a fund. The fund, less expenses, will be distributed pro rata to all clients who have positive trade account balances. Thus, all member businesses with positive trade balances will receive cash for their trade dollars to the extent that funds permit. BarterSystems shall not be liable to any Client or person for cash/trade dollars beyond the distribution of such funds as aforesaid.
If this agreement is canceled by a BarterSystems client, there shall not be any refund of transaction fees.