Affiliate Terms and Conditions

I am of legal age in the state of my residency. I agree that I am an independent contractor, responsible for determining my own business activities without control or direction by Klix, LLC and not an agent, employee or legal representative of Klix, LLC. I will not represent in any manner that I am an agent or legal representative of Klix, LLC. I am responsible for the payment of all federal and state self-employment taxes and any other tax required under any federal, state or regulatory taxing agency.

This agreement does not constitute the sale or purchase of a franchise or of a business opportunity.

If I elect to participate in the EasyDrugCard Affiliate program, for which I will be compensated for prescriptions filled under my pre-assigned personal prescription tracking number (Group ID# on discount card), I authorize Klix, LLC to automatically charge my account of $___ annually on the anniversary month of my initial payment for continuation of my EasyDrugCard Affiliate program.

I may terminate this agreement for any reason at any time, by giving Klix, LLC written notice via mail, fax or e-mail at the respective company contact point noted on the corporate web site at EasyDrugCard.com. I understand that notice of cancellation must be received by Klix, LLC at least three (3) business days prior to my scheduled annual renewal date in order for my account to avoid being charged the annual fee.

I may cancel this agreement without penalty or obligation, for full refund, within 10 calendar days (15 days in Montana) from the date of my acceptance of this Agreement. While there are no products subject to buy-back, all the terms of the buy-back laws of GA, LA, MA, MD, MT, OK, PR, TX, WY or any other state with similar restrictions will be honored.

I understand that my personal prescription tracking number (Group ID# ) must be activated in advance by Klix, LLC and I will NOT receive compensation for any claims filled under any ID other than those assigned to me.

I will not promote my independent business nor use Klix’s name or the trade names, logos, sales materials, trademarks or service marks of Klix, except in materials provided by Klix, LLC or approved in writing by Klix, LLC prior to their use by me. I understand that unauthorized use or duplication of trademarks or copyrighted materials is a violation of federal law and is grounds for immediate termination of this agreement and legal remedies.

In order to maintain the company’s brand image I agree utilize only those forms and promotional materials provided or approved by Klix, LLC, except as to promotional materials which may be created or adopted from others from time to time, provided that all non-company forms and promotional materials must be received and approved in writing by Klix, LLC prior to use by any other independent representative. Klix, LLC may periodically make various sales literature and/or promotional material available at a cost. I however, am under no obligation to purchase any quantities of those materials or literature at any time. Rather, I will have the option to order and purchase any sales literature and/or promotional materials that I may choose to further my marketing efforts.

Klix, LLC in no way participates in mass unsolicited e-mailing (i.e. spamming), and I am expected to adhere to this policy as well. Violation of this policy will result in the termination of this agreement and immediate dismissal from the Klix, LLC – EasyDrugCard Affiliate program.

I understand I am not required to purchase any other products or services that are marketed through Klix, LLC. However, if I elect to purchase any products or services marketed through Klix, I agree to pay for such products or services in a timely manner as prescribed by Klix, LLC. If I fail to pay for any products or services so elected within thirty (30) days of the date payment is due, Klix, LLC has the right to terminate this Agreement and /or apply any compensation otherwise due me to the complete satisfaction of any unpaid balance for such products and services or against any indebtedness owed by me to Klix, LLC.

I acknowledge that Klix, LLC conducts business in a professional and ethical manner and mandates that I deal with other independent representatives, customers and Klix, LLC in the same manner. Klix, LLC reserves the right to use its judgment in deciding whether certain activities are improper, unethical or illegal. Klix, in its sole discretion, will decide the appropriate corrective action if it determines that unprofessional, unethical or illegal activities exist and reserves the right to suspend or terminate my status, including but not limited to all commissions and or bonuses. In the process of selling or otherwise promoting any Klix, LLC products or services, I agree that I, as an independent representative, will operate in a lawful, ethical, and moral manner and I agree to make no false or misleading statements regarding the various products or services. I further agree to stay educated on and abide by all Federal, State and local legal statutes governing the sale or solicitation of the products and services marketed by Klix, LLC.

I understand that none of Klix, LLC products or services are, or represent, insurance products and it is a violation of State and Federal laws to describe them as such, I will inform my prospects and members that these products are NOT insurance and discounts are not guaranteed.

Klix, LLC shall not be liable under any circumstances for any indirect, special, punitive, compensatory or consequential damages or loss of production or profits which may result from any cause, including, but not limited to, breach of warranty, delay, act, error or omission. Rather, the obligations of Klix, LLC are limited to the use of best efforts to process enrolled customers and assist those customers in accessing the desired service. The laws of Colorado govern this Agreement.

The parties agree that any claim, dispute or other difference between them shall be exclusively resolved by binding arbitration pursuant to the Commercial Arbitration Rules of the American Arbitration Association with arbitration to occur within Douglas County, Colorado.

CLAIM DEFINITIONS

I understand that not all prescriptions are processed in the same manner and Klix, LLC does not collect a fee from participating pharmacies on every claim.

Total Claims: This is the total number of prescriptions that were presented against your tracking number during a calendar month. Each time a prescription is processed at the pharmacy in conjunction with your tracking number, the entry is noted in the monthly report under Total Claims.

Payable Claims: Payable Claims are the total number of prescription claims that the pharmacy network is eligible to receive payment on by the pharmacy. It is derived from the Total Claims minus the Out-of-Network Claims, Usual & Customary Claims and any Reversal Adjustments. It is important to understand that it usually takes a total of 90 days for all the payable claims from a previous calendar month to be paid to the pharmacy network and then to Klix, LLC. Some claims are paid within 0 – 30 days, some claims are paid in 31 – 60 days and the rest are usually paid in 61 – 90 days. As claims are paid, those associated utilization commissions are disbursed however no fees will be paid on uncollected claim fees from the pharmacy network.

Current Claims Collected (Commissionable): Utilization commissions to Klix, LLC representatives are based on the actual number of payable claims for which payment has been received. These are referred to as Current Claims Collected.

These are the prescriptions that do not qualify for a utilization commission. They include the following:

Out-of-Network Claims. When a prescription is purchased through a pharmacy that is not contracted with our affiliated pharmacy network, then no applicable discounts can be applied and no utilization commission can be generated.

Usual & Customary Claims (U&C). When a pharmacy’s regular or sales price for a prescription is equal to or less than our discounted rate, then no applicable discounts can be applied and no utilization commission can be generated.

Reversal Adjustments. A Reversal Adjustment occurs when a prescription is returned or exchanged for some reason and the original sales transaction is voided.

During the term of the Agreement, Klix, LLC agrees to pay me according to the following schedule:

Commissionable Monthly Claim Volume Payment Per Claim: 1 and above $____ per commissionable claim.

If the amount of payment due to me is less that $100 for a given month then it will be added to the following month’s payment. No credit to monthly participation fees will be allowed without prior written approval by Klix, LLC.