Dealer Contract Overview

STANDARD DEALER PROGRAM

Dealer must have physical store-front retail location.

SPECIAL NOTE: Aqua-Leisure Industries, Inc. does NOT allow 3rd Party Internet Sales under any circumstances.

Any 3rd Party Sales will result in an immediate dealer contract termination.

SHIPPING NOTES:

All shipments must be inspected by the Dealer for overages, shortages, and damages prior to signing the delivery receipt. Aqua-Leisure is not responsible for overages, shortages, or damages once the delivery receipt has been signed by the dealer. All shortages and damages should be noted on the delivery receipt. Inspection of goods is the responsibility of the dealer: Aqua-Leisure will not pay for damaged goods not noted on the delivery receipt.

ADDITIONAL CONTRACT STIPULATIONS

1. The Dealer shall sell the Products only to bona fide retail customers in the United States and shall not knowingly sell or otherwise convey Products purchased under this Agreement to ANY third party for resale. Dealer can only sell under the names listed on this form.

2. The Dealer shall sell, display and/or offer Products only at the Authorized Dealer Locations provided on this form. If, subsequent to execution of this Agreement, the Dealer changes retail location or locations for sale of the Products or adds additional retail locations for sale of the Product’s, each additional or different location shall enter into a separate Authorized Dealership Agreement with Aqua-Leisure or this Agreement shall be specifically amended to cover such locations in writing AND be signed/approved by an authorized representative of Aqua-Leisure.

3. All orders are subject to approval by Aqua-Leisure Industries, Inc. at its home office in Avon, Massachusetts.

4. A service charge of 1.5% per month (or the highest interest rate allowable under applicable state law, whichever is less), will be applied to ALL past due balances. If the Dealer allows its account to become past due, it will forfeit all Aqua-Leisure freight allowances and volume discounts applicable to the merchandise for which payment is due. When all or part of an account becomes past due, in Aqua-Leisure’s sole discretion, all merchandise will be shipped Cash in Advance or all future invoices shall become due and payable in-full immediately upon receipt by Dealer. Aqua-Leisure will not accept product returns in payment for delinquent invoices.

5. Aqua-Leisure provides a limited warranty on all its products. The Dealer is responsible to review this information and understand what is covered and what is not covered under Aqua-Leisure’s Warranty Policy. This includes but is not limited to: Costs of return shipments to Aqua-Leisure, normal wear and tear. Products used in commercial, rental, or instructional programs are not covered by Aqua-Leisure’s warranty policy.

6. Non-warranty returns will normally not be accepted. In the unusual instance where a return is required for warranty or non-warranty reason, authorization must be obtained from Aqua-Leisure before the return. All non-warranty returns are subject to a 20% restocking fee in addition to freight costs incurred. Non-warranty returned items will not be accepted under any circumstances unless in condition for sale as new merchandise in original packaging with all original labeling and consumer documentation. Non-warranty return credit will be based on prices prevailing at the time of return or invoiced price; whichever is lower, subject to a 20% restocking fee. Obsolete, closeout, or SMU goods are not returnable under any circumstances.

7. Attorney fees, collection costs, court costs, and other expenses incurred by Aqua-Leisure enforcing its rights under this Agreement are hereby approved by the Dealer, and the Dealer agrees to reimburse Aqua-Leisure for any such costs incurred by Aqua-Leisure in enforcing its rights hereunder. Venue and jurisdiction of any suit or legal action may be had in Norfolk County, Massachusetts, at the sole option of Aqua-Leisure Industries, Inc. This agreement shall be construed and enforced in accordance with laws of the State of Massachusetts.

8. Backorders will be shipped unless order cancellation is received by fax or email at our Avon, MA office or there is a cancellation date on the original order. Any order modifications must be received by fax or email thirty (30) days prior to the shipment request date. Aqua-Leisure will not be responsible for any incurred freight charges for orders modified after shipment has been made.

9. All expenses incurred by Aqua-Leisure due to a shipment being improperly refused, including a 20% restocking fee, shall upon demand be promptly reimbursed to Aqua-Leisure by Dealer refusing a shipment.

10. Aqua-Leisure may terminate this agreement at any time and for any reason by giving the Dealer thirty (30) days written notice. Upon termination or lapse of this Agreement, all invoices shall become payable in full immediately.

11. All shipments qualifying for freight allowances will be shipped via carrier of Aqua-Leisure’s choice. Aqua-Leisure reserves the right to ship orders up to 14 +/- days to request date, and Aqua-Leisure reserves the right to pass along fuel charges imposed by freight or trucking companies.