Packetel, Inc. User Agreement

(Version 2007.05.11)

This agreement ("Agreement") is between Packetel, Inc. ("we," "us" or "Packetel") and the user ("you", "user", "customer", "reseller", "affiliate", "referrer", "referee") of any Packetel's services ("Service"). This Agreement governs both the Service and any devices, such as an IP phone, Analog Telephone Adapter, computers, software or any other IP connection device ("Device"), used in conjunction with the Service.  The Device has to be bought from Packetel, Inc. to be count as the Device mentioned in this user agreement herein.  By activating the Service, you acknowledge that you have read and understood, and you agree, to the terms of this Agreement, and you represent that you are of legal age to enter this Agreement and become bound by its terms.

1. Service
a. Term
Service is offered on a monthly basis for a term which begins on the date that Packetel activates your Service and ends on the day before the same date in the following month. Subsequent terms of this Agreement automatically renew on a monthly basis without further action by you unless you give Packetel written notice of non-renewal at least [10] days before the end of the monthly term in which the notice is given. You are purchasing the Service for full monthly terms, meaning that if you attempt to terminate Service prior to the end of a monthly term, you will be responsible for the full month's charges to the end of the then-current term, including without limitation unbilled charges, plus a disconnect fee, all of which immediately become due and payable.

b. Lawful Use of Service and Device
You agree to use the Service and Device only for lawful purposes. This means that you agree not to use them for transmitting or receiving any illegal, harmful, threatening, abusive, harassing, defamatory, obscene, sexually explicit, profane, racially or ethnically disparaging remarks or otherwise objectionable material of any kind, including but not limited to any material that encourages conduct that would constitute a criminal offense, give rise to a civil liability, or otherwise violate any applicable local, state, national or international law. While we encourage use of the Service for calls from the United States to other countries, Packetel does not presently offer the Service to customers located in other countries. If you remove the Device to a country other than the United States or use the Service from there, you do so at your own risk, including the risk that such activity violates local laws in the country where you do so. Packetel reserves the right to terminate your service immediately and without advance notice if you violate the above restrictions, leaving you responsible for the full month's charges to the end of the current term, including without limitation unbilled charges, plus a disconnect fee, all of which immediately become due and payable.

c. Loss of Service Due to Power Failure
You acknowledge and understand that the Service does not function in the event of power failure. Should there be an interruption in the power supply, the Service will not function until power is restored. A power failure or disruption may require the Customer to reset or reconfigure equipment prior to utilizing the Service. Power disruptions or failures will also prevent dialing to emergency service numbers including 911.

d. Unauthorized Usage of Device, Firmware or Software
You acknowledge that you are not given any license to use the firmware or software embedded in the Device, and that the Device is exclusively for use in connection with the Service. If you decide to use the Service through an interface device not provided by Packetel, which Packetel reserves the right to prohibit in particular cases or generally, you warrant and represent that you possess all required rights, including software and/or firmware licenses, to use that interface device with the Service.

e. Theft of Service
You agree to notify Packetel immediately, in writing or by calling or email to the Packetel customer support center, if the Device is stolen or if you become aware at any time that your Service is being stolen or fraudulently used. When you call or write, you must provide your account number, related phone or fax number, and a detailed description of the circumstances of the Device theft or stolen or fraudulently use of Service. Failure to do so in a timely manner may result in the termination of your Service and additional charges to you.

f. Return of Device
The Device may be returned to Packetel within fourteen (14) days of the line activation providing:(i) Customer retained proof of purchase and original packaging and (ii) contents are undamaged and in original condition and iii) and all documentation and packaging materials are returned. If Customer receives cartons and/or devices that are visibly damaged, please note the damage on the carrier's freight bill or receipt and keep a copy. Keep the original carton, all packing materials and parts intact and contact Packetel's customer care department immediately. Warranty coverage varies depending on the type of Device that Customer chooses. Please refer to the original manufacture warranty materials included in the packaging of your Device(s).  Packetel will not and do not give any warranty to any Devices Packetel sold.  All Device warranties are given by the original manufacturer if any.


2. Service Outages and Emergency Services (911 DIALING)

a. Non-Availability of Traditional 911 or E911 Dialing Service:
You acknowledge that we have told you that the Service does NOT support traditional 911, E911 or any other form of quick dial access to emergency services.

b. Service Outages

1.) Power Outage
Should there be an interruption in the power supply, the Service will not function until power is restored. A power failure or disruption may require the Customer to reset or reconfigure equipment prior to utilizing the Service.

2.) Broadband Service Outage
You acknowledge that service outages by your broadband provider will prevent ALL calls and incoming emails.

3.) Service Outage Due to Suspension of Your Account
You acknowledge that service outages due to suspension of your account as a result of billing issues will prevent ALL calls.

4.) Other Service Outages
You acknowledge and understand that if there is a service outage for ANY reason, such outage will prevent ALL calls and incoming emails.  Such outages may occur for a variety of reasons, including, but not limited to those reasons described in this document.

5.) Limitation of Liability
You acknowledge and understand that the Packetel's liability is limited for any Service Outage and/or inability on your part to access emergency service personnel, as set forth in this document. You agree to defend, indemnify, and hold Packetel, its affiliates and agents and any other service provider who furnishes services to Customer in connection with this Agreement or the Service, harmless from claims or damages by, or in the right of, Customer relating to this Agreement, the Services, or the Device.

3. Changes to this agreement
Packetel may change the terms of the Agreement from time to time. We may give you notice either by-
- posting to the "Service Announcements" section of our Web Site, or
- electronic mail directed to the e-mail address you gave us when you signed up for the Service, or to your current e-mail address if you have notified us that your e-mail address has changed. You are responsible for notifying us of any changes in your email address by e-mailing us at support@packetel.com, and we may continue to use your previous e-mail address unless and until we have received your notice of address change.


4. Charges / Payments / Default / Taxes / Termination / Credit Card Billing Information

a. Billing
You must give us a valid credit card number when the Service is activated. If the card expires, or your billing address changes, or the card is cancelled and replaced owing to loss or theft, you must advise Packetel at once. We will bill all charges monthly, quarterly, semi-annually, annually or bi-annually to your credit card, including but not limited to: activation fees, monthly Service fees, international usage charges, advanced feature charges, equipment purchases and shipping and handling charges. Packetel reserves the right to bill at more frequent intervals if the amount due at any time exceeds $20. Billing reminders are sent as a courtesy, and there is a possibility that you may not be able to receive billing reminders due to technical difficulties. As a customer, you are always responsible to keep track of your account balance and make the payment on time in any circumstances.

b. Billing Disputes
You must notify Packetel in writing within 7 days after receiving your credit card statement if you dispute any Packetel charges on that statement.

c. Payment
Packetel only accepts payments by credit card. Your initial use of the Service authorizes Packetel to charge the credit card account number on file with Packetel, including any changed information given Packetel if the card expires or is replaced, for Packetel charges that accrue during the billing cycle. This authorization will remain valid until 30 days after Packetel receives your written notice terminating Packetel's authority to charge your credit card. Packetel may terminate your Service at any time in its sole discretion, if any charge to your credit card on file with Packetel is declined or in case of any other non-payment of account charges. Termination of Service for declined card or non-payment leaves you FULLY LIABLE to Packetel for ALL CHARGES ACCRUED BEFORE TERMINATION and for charges incurred by Packetel owing to your non-payment, such as (but not limited to) collection costs and attorney's fees.

d. Termination/Discontinuance of Service
Packetel reserves the right to discontinue providing the Service generally, or to terminate your Service, at any time in its sole discretion. If Packetel discontinues providing the Service generally, or terminates your Service in its discretion without a stated reason, you will only be responsible for charges accrued through the date of termination, including a pro-rated portion of the final month's charges. If your Service is terminated for any stated reason, including without limitation violation of this Agreement, or because of any improper use of the Service (such as, but not limited to, your attempts to hack, disrupt, or misuse the Service), you will be responsible for the full month's charges to the end of the current term, including without limitation unbilled charges, plus a disconnect fee, all of which immediately become due and payable.

e. Taxes
Any applicable sales, use, excise, public utility or other taxes, fees or charges imposed on Packetel as a result of providing the Service or a Device will be billed to your account when imposed upon Packetel. If Customer is exempt from payment of such taxes, it will provide Packetel with an original government-issued certificate attesting to tax-exempt status. Tax exemption will only apply from and after the date Packetel receives the Tax Exempt Document.

f. Credit Card Billing Information Storing Disclosure
Although our user and billing databases are designed to securely store all users and billing information using state of the art network security technology, you are advised that you are using our credit card billing information saving features at your own risk. You further understand that you have the choice to elect not to save your billing information to our database at all.


5. Ownership

You agree that the fax, phone numbers or DIDs that have been assigned to you by Packetel are not owned by you. You also agree that you have absolutely no right to transfer your Packetel assigned fax, phone numbers or DIDs to any other person, entity or company other than Packetel. Moreover, you agree and understand that your terminated Packetel fax, phone numbers or DIDs may be re-assigned to another user immediately without notice. In addition, you agree that you will not hold Packetel liable for any damages on fax, phone numbers or DIDs re-assignment. You also agree to waive any claims on any fax, phone numbers or DIDs re-assignment regardless of whether the claim is based on tort, contractual or other grounds, even if Packetel has been informed of the possibility of damages.


6. Limitations

a. Limitation of Liability
Packetel shall not be liable for any failure to provide the Service, at any time or from time to time, or any degradation of voice quality, fax transmission quality that is caused by any of the following:
1.) act or omission of an underlying carrier or third party;
2.) equipment, software, network or facility failure;
3.) equipment, software, network or facility upgrade or modification;
4.) force majeure events such as (but not limited to) acts of god; strikes; fire; war; riot; government actions;
5.) equipment, software, network or facility shortage;
6.) equipment, software or facility relocation;
7.) service, equipment, software, network or facility failure caused by the loss of power to Customer; or
8.) any other cause that is beyond Packetel's control, including without limitation the failure of an incoming or outgoing call to be connected or completed, or degradation of voice quality and fax transmission quality.
Packetel's liability for any failure or mistake shall in no event exceed Service charges on account of the affected time period. Packetel is not liable for incidental or consequential damages of any type.

IN ANY ACTIONS ARISING FROM THE ALLEGED BREACH OF THIS AGREEMENT, PACKETEL SHALL NOT BE LIABLE FOR SPECIAL, INCIDENTAL, CONSEQUENTIAL OR PUNITIVE DAMAGES OF ANY NATURE, FOR ANY REASON, INCLUDING WITHOUT LIMITATION THE BREACH OF THIS AGREEMENT OR ANY TERMINATION OF THIS AGREEMENT WHETHER SUCH LIABILITY IS ASSERTED ON THE BASIS OF CONTRACT OR OTHERWISE, EVEN IF PACKETEL HAS BEEN WARNED OF THE POSSIBILITY OF SUCH DAMAGES. YOU ASSUME TOTAL RESPONSIBILITY AND RISK FOR YOUR USE OF THE SERVICE.  ALL SERVICES PROVIDED BY PACKETEL ARE PROVIDED "AS IS".  PACKETEL DOES NOT WARRANT THAT THE SERVICE WILL BE UNINTERRUPTED OR ERROR-FREE, OR SERVICE WILL BE CORRECTED.

b. Indemnification
Customer agrees to defend, indemnify, and hold Packetel, its officers, directors, employees, shareholders, affiliates and agents and any other supplier and service provider who furnishes services to Customer in connection with this Agreement or the Service, harmless from and against all losses, expenses, costs, claims, including attorneys’ fees or damages by, or in the right of, Customer relating to this Agreement, the Services, or the Device, or asserted by any third party due to or arising out of your use of or conduct on the Service.  This paragraph shall survive termination of this agreement

c. No Warranties on Service
Packetel makes no warranties, express or implied, including but not limited to, any implied warranties of merchantability or fitness of the Service or the Device for a particular purpose. Neither Packetel nor its vendors will be liable for unauthorized access to Packetel's or Customer's transmission facilities or premises equipment or for unauthorized access to, or alteration, theft or destruction of, Customer's data files, programs, procedures or information through accident, fraudulent means or devices or any other method, regardless of whether such damage occurs as a result of Packetel's or its vendors' negligence. Statements and descriptions concerning the Service, if any, by Packetel or Packetel's agents or installers are informational and are not given as a warranty of any kind.   Packetel cannot and does not guarantee or warrant that the files or email attachments available for downloading will be free of infection or viruses, worms, Trojan horses or other code that manifest contaminating or destructive properties.  You are responsible for implementing sufficient procedures and checkpoints to satisfy your particular requirements for accuracy of data input and output, and for maintaining a means external to the Site for the reconstruction of any lost data. Moreover, Packetel is not responsible for any lost fax of yours, or those faxes that are received by the new fax number user who is using your previously owned Packetel’s fax number.

d. No Warranties, or Limited Warranties, for services and devices
If Customer purchased the Device new from Packetel and the Device included a limited warranty at the time of purchase, Customer must refer to the separate limited warranty document for information on the limitation and disclaimer of certain warranties. If Customer's Device did not include a limited warranty from Packetel at the time of purchase, Customer agrees that it accepts its Unit "as is" and that Customer is not entitled to replacement or refund in the event of any defect.

7. Resolution of disputes

a. Mandatory Arbitration
Any dispute or claim between Customer and Packetel arising out of or relating to the Service or Device provided in connection with this Agreement shall be resolved by arbitration before a single arbitrator administered by the American Arbitration Association in San Jose, California in accordance with its Commercial Arbitration Rules. Judgment on the award rendered by the arbitrators must be entered in the state and federal courts of Santa Clara County, California.  All claims shall be arbitrated individually and Customer will not bring, or join a punitive or certified class action to arbitration or seek to consolidate or bring previously consolidated claims in arbitration. The arbitrator shall have no authority to award punitive damages. Customer acknowledges that this arbitration provision constitutes a waiver of any right to a jury trial.


8. Privacy and Notices
a. Privacy
IP telephony utilizes, in whole or in part, the public Internet and third party networks to transmit voice and other communications. Packetel is not liable for any lack of privacy which may be experienced with regard to the Service. Please refer to our Privacy Policy at https://www.packetel.com for additional information.

b. Notices
Notices to Customer shall be sent to the email address on file for Customer at Packetel and will be considered given on the date sent by Packetel.

9.  General

This Agreement shall be deemed to have been made in the State of California, and the provisions and conditions of this Agreement shall be governed by and interpreted in accordance with the substantive law of the State of California, without regard to conflict of laws provisions.  Any dispute arising out of this Agreement shall be resolved in the state and federal courts of Santa Clara County, California, and each party hereby consents to the exclusive jurisdiction thereof. Packetel also reserves the right to seek compensation for any attorney fee incurred.

Should you have any questions concerning this Agreement, or if you desire to contact Packetel, Inc. for any reason, please contact: support@packetel.com.

Packetel User Agreement (Version 2007.05.11)