10. You will be reimbursed for the following three (3) items:
- Face value of coupons or if the coupon calls for free merchandise, for your retail-selling price (up to the stated maximum value printed on the coupon); plus
- 8¢ for handling each coupon properly redeemed; 2 plus
- reasonable out-of-pocket costs incurred for the physical transportation of the coupons to us or to our authorized agent. We will not pay for any administrative or consolidation fees and, except as described in (ii) below, we will not pay any other upcharges that you or your agent (if you use one) may assess on or in lieu of such pass-through/out-of-pocket expenses. The transportation costs will be reimbursed as follows:
- For retailers who sort the coupons they have redeemed and submit them directly without the use of any third party agent, you will be reimbursed for incurred reasonable postage (i.e. first class mail insured) or other shipping charges, as indicated on the package received.
- For those retailers that are using a clearinghouse or billing agent, we will be reimburse you at a rate equal to $5.00 per thousand of coupons redeemed ($X/M).
11. Coupon reimbursements and coupon adjustments cannot be deducted from product invoices or purchase orders. Invoice deductions and deduction fees are not in compliance with Manufacturer’s redemption policy.
12. Manufacturer reserves the right to request evidence of proof of purchase to show that sufficient stock was purchased to justify the number of coupons submitted and reserves the right to audit the coupon sorting and billing service of any retailer or any agent involved in the handling process.
2 The following might be added to inform the retailer what the handling allowance is for: An early 1990s independently conducted industry study, identified that the 8¢ covers the following costs:
•Front-End Handling by the retailer
•Store to Headquarters Accounting
•Cost of Funds
This covers any special handling, invoice preparation, or other fees.
13. [Applicable Jurisdiction](A) Any lawsuit involving coupon processing or payment disputes shall be brought within 18 months of the original date of coupon payment or such claims shall be deemed extinguished. Any such lawsuit shall be filed and conducted in a state or federal court located in Iowa. Each party shall be responsible for its own attorneys' fees and costs.
[Mandatory Arbitration] (B) You and Manufacturer agree that all disputes between them, or arising from the relationship between them, and all disputes arising from or related to this Redemption Policy, including the scope of this arbitration agreement, shall be resolved by binding arbitration by the National Arbitration Forum, under the Code of Procedure then in effect. Any award of the arbitrators(s) may be entered as a judgment in any court having jurisdiction. In the event a court having jurisdiction finds any portion of this agreement unenforceable, that portion shall not be effective and the remainder of the agreement shall remain effective. Information may be obtained and claims may be filed at any office of the National Arbitration Forum, www.arbitration-forum.com, or at P.O. Box 50191, Minneapolis, MN 55405. This Agreement shall be governed by and interpreted under the Federal Arbitration Act, 9 U.S.C. Sections 1-16 ("FAA"). The arbitrator shall follow existing substantive law to the extent consistent with the FAA and applicable statutes of limitations and shall honor any claims or privilege recognized by law. If any party requests so, the arbitrator shall write an opinion containing the reasons for the award. No claim submitted to arbitration is heard by a jury and no claim may be brought as a class action or as a private attorney general. Any arbitration hearing will take place within the Iowa federal judicial district.
14. If false or misleading verification information is provided on a questionnaire to Manufacturer, or a certified clearinghouse, redemption privileges with Manufacturer may be permanently terminated.
15. Each shipment of coupons will be considered as a whole and Manufacturer reserves the right to refuse payment for an entire shipment if any portion of the shipment is found to be improperly redeemed.
16. Failure to observe these terms and conditions for proper redemption may, at the option of Manufacturer, void all coupons, submitted for reimbursement and all coupons may be retained as property of Manufacturer without payment. Manufacturer reserves the right to forward coupons, which Manufacturer judges to be misredeemed, to law enforcement agencies for their review and investigative purposes.