Document:

exv10w2

 

EXHIBIT 10.2

ADMINISTRATIVE CREDIT SERVICES AGREEMENT

Michigan

     THIS ADMINISTRATIVE CREDIT SERVICES AGREEMENT (“Agreement”) is made and entered into as
of this 1st day of July, 2005, by and between NCP FINANCE MICHIGAN, LLC, an Ohio limited
liability company (“Lender”), and CASH AMERICA FINANCIAL SERVICES, INC., a Delaware corporation
(“Cash America”).

R E C I T A L S

     The parties desire to enter into this Agreement for the purpose of setting forth the terms and
conditions which will govern certain services to be provided by Cash America to Lender in
connection with the brokering and servicing of Loans (as defined below).

     NOW, THEREFORE, in consideration of the mutual promises set forth herein and for other good
and valuable consideration, Lender and Cash America agree as follows:

     1. Definitions. Except as may be explicitly stated otherwise herein, the following
terms shall have the following meanings ascribed to them below:

“Advertising Materials” means all materials and methods used by Cash America in the
performance of its marketing and promotion obligations under this Agreement, including,
without limitation, advertisements, brochures, and similar materials.

“Borrowers” mean those persons who are borrowers with respect to the Loans.

“Loans” means small, short-term consumer loans made by Lender pursuant to this Agreement
with the assistance of Cash America pursuant to the Program Guidelines to consumers in
the State of Michigan.

“Program” means the lending program of Lender for the origination and consummation of
Loans pursuant to this Agreement.

“Program Guidelines” means those guidelines established pursuant to Section 7 below for
the administration of the Program.

“Program Materials” means all promissory notes, documents, and materials and methods
used in connection with the performance of the parties’ obligations under this
Agreement, including without limitation applications, disclosures and agreements
required by the Rules, promissory notes, privacy policies, collection materials, and the
like, but excluding Advertising Materials.

“Regulatory Authorities” means any local, state, or federal regulatory authority having
jurisdiction or exercising regulatory or similar oversight with respect to Lender, Cash
America, or Third Party Service Providers (except that nothing herein shall be deemed to
constitute an acknowledgement by any party hereto that any Regulatory Authority has
jurisdiction or exercises regulatory or similar oversight with

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respect to the Loans, the Program or any party hereto with respect to the performance of
their respective obligations hereunder).

“Rules” means all local, state, and federal statutes, regulations, or ordinances
applicable to the acts of Lender, Cash America, or a Third Party Service Provider as
they relate to the Program; any order, decision, injunction, or similar pronouncement of
any court, tribunal, or arbitration panel issued with respect to Lender, Cash America,
or a Third Party Service Provider in connection with this Agreement or the Program; and
any regulations, policy statements, and any similar pronouncement of a Regulatory
Authority applicable to the acts of Lender, Cash America, or a Third Party Service
Provider as they relate to this Agreement or the Program, if any.

“Third Party Service Provider” means any contractor or service provider directly or
indirectly retained by Lender or Cash America, who provides or renders services in
connection with the Program.

     2. General Description of Program. The parties agree that the Program shall consist
of the origination, funding, and collection of Loans in accordance with the Program Guidelines to
Borrowers at such locations in the State of Michigan as Cash America may designate from time to
time. The parties agree that Lender shall have sole responsibility for establishing credit and
underwriting criteria, making the decisions as to whether or not to make Loans to prospective
Borrowers, funding the Loans, and, subject to the timely performance of Cash America’s obligations
hereunder, managing the Program in accordance with Lender’s express obligations under this
Agreement and the Program Guidelines. The parties further agree that Cash America’s responsibility
under the Program shall be to act as a Credit Services Organization on behalf of consumers in
accordance with the laws of the State of Michigan and as such Cash America shall have the right to
charge a Borrower a fee (a “CSO Fee”) for brokering a Loan on behalf of such Borrower. Cash
America shall not share with Lender, and Lender shall not accept, any portion of any CSO Fee
obtained from a Borrower. The services Cash America provides to each Borrower shall be governed by
a Credit Services Disclosure Statement (“CSO Disclosure Statement”) and a Credit Services Contract
between Cash America and each Borrower (each a “CSO Contract”). Cash America, in Cash America’s
sole discretion, shall be solely responsible for determining the amount of the CSO Fee, the
disclosures set forth in the CSO Disclosure Statement and the terms and conditions of each CSO
Contract and Cash America shall determine, in Cash America’s sole discretion, whether or not it is
appropriate to offer any particular consumer the opportunity to apply for a Loan. The parties
shall endeavor to begin the Program and commence making the Loans hereunder not later than July 1,
2005. Except as expressly provided below, (a) nothing herein shall be deemed to commit Lender to
originate or fund any particular level or number of Loans, and (b) Lender makes no representation
as to the amount of funding it will be able to raise for the Loans; provided, however, Lender
hereby commits that it will have no less than $500,000 available to fund Loans that satisfy the
Lender’s underwriting criteria for making such Loans. Additionally, nothing herein shall be deemed
to commit Cash America to broker any particular level or number of applicants for Loans and Cash
America makes no representation as to the number of Loan applications Cash America will submit to
Lender on behalf of prospective Borrowers.

     3. Duties and Responsibilities of Lender. Lender shall perform and discharge the
following duties and responsibilities:

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	 	(a)	 	Develop (and from time to time as it determines appropriate, modify) and
deliver to Processor (hereinafter defined) credit and underwriting criteria determined
by Lender, in Lender’s sole discretion, to be reasonable and prudent for the Program
and the Loans.
	 
	 	(b)	 	Make a determination, in Lender’s sole discretion, as to whether or not to
extend a Loan to a prospective Borrower (which determination shall be made on a case by
case basis or pursuant to scoring systems or other criteria or models established by
Lender).
	 
	 	(c)	 	Extend credit to Borrowers in the form of Loans and fund the Loans.
	 
	 	(d)	 	Disburse the proceeds of Loans to Borrowers in the manner set out in the
Program Guidelines.
	 
	 	(e)	 	Manage the Program in accordance with Lender’s express obligations under this
Agreement and under the Program Guidelines and manage the portfolio of Loans using
commercially reasonable standards of care, skill and attention, in each case subject to
the timely performance by Cash America of Cash America’s obligations under this
Agreement and the Program Guidelines.
	 
	 	(f)	 	Promptly deliver to Cash America all communications received from Borrowers or
applicants who are denied a Loan (including, without limitation, information requests
and bankruptcy filings) to the extent Cash America reasonably needs the same in order
to service the Loans and to perform its other obligations hereunder.
	 
	 	(g)	 	Generate adverse action notices and other communications which may be required
under the Rules to persons who apply for but are denied a Loan, subject to Cash
America’s responsibility to deliver and manage such adverse action notices as described
in the Program Guidelines.

     4. Duties and Responsibilities of Cash America. Lender hereby appoints Cash America
to perform certain brokering and servicing functions in connection with this Agreement under the
Program and retains Cash America as its servicer for the Loans, as provided in this Agreement and
in the Program Guidelines, and Cash America hereby accepts such appointment and agrees to perform
and discharge the following duties and responsibilities:

	 	(a)	 	Market and promote the Loans and solicit potential Borrowers in the manner set
out in Section 8 below.
	 
	 	(b)	 	Post a conspicuous notice at each of Cash America’s locations subject to this
Agreement that identifies Lender as the lender of the Loans and providing such other
information as Lender and Cash America may mutually agree from time to time, with each
party acting in good faith and in a commercially reasonable manner.

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	 	(c)	 	Provide certain disclosures and agreements to each Borrower, including a CSO
Disclosure Statement and a CSO Contract, in the manner described in the Program
Guidelines.
	 
	 	(d)	 	Oversee the application process for Loans, solicit applications, and assist
potential Borrowers in completing applications.
	 
	 	(e)	 	Maintain a contract with a third party loan underwriting service (“Processor”)
such as TeleTrack, Inc. that will receive Loan applications and evaluate such
applications using Lender’s underwriting criteria.
	 
	 	(f)	 	Transmit Loan applications to Lender and/or Processor, as instructed by Lender.
	 
	 	(g)	 	Receive evaluations of Loan applications and the resulting Loan approval or
denial decisions from Lender and/or Processor and forward such decisions to the
applicable applicants.
	 
	 	(h)	 	Prepare and ensure the proper completion and delivery of Loan documentation to
Lender, Processor (if instructed by Lender) and Borrowers.
	 
	 	(i)	 	Assist Lender in the disbursement of Lender’s Loan proceeds to Borrowers.
	 
	 	(j)	 	Service the Loans and forward to Lender, in the manner specified in Section 6
below, any Loan payments delivered to Cash America by Borrowers. The funds from these
payments shall (i) belong to and be held in trust for Lender or the recipient
designated by Lender, (ii) not be deposited in an account with other funds of Cash
America or any other person, and (iii) not be used by Cash America for any purpose
other than as expressly provided in this Agreement.
	 
	 	(k)	 	Reflect all Loan transactions and track Loan balances on an MIS and accounting
system to be maintained by Cash America pursuant to the requirements of Section 11
below.

     5. Defaulted Loans. A Loan shall default upon the occurrence of any of the following:
(a) the Borrower fails to make any payment when due, (b) the Borrower makes any statement or
representation in connection with obtaining a Loan which is false, (c) the Borrower fails to keep
any promise or agreement it made to the Lender in any promissory note evidencing a Loan, or (d) the
CSO Contract related to such Loan is cancelled for any reason prior to the Lender receiving payment
in full on such Loan. Pursuant to each CSO Contract, and regardless of whether the CSO Contract is
cancelled, Cash America agrees to, and hereby does, unconditionally guaranty, on behalf of the
Borrower, and for the benefit of Lender, the prompt payment of all amounts due under each Loan to
Lender. In full satisfaction of such guaranty obligations, Cash America will, on the day a Loan
defaults, purchase such Loan from Lender for an amount equal to the principal, interest and fees
accrued and outstanding as of such date. All such purchased Loans will be assigned by Lender to
Cash America without recourse pursuant to a Master Assignment of Promissory Notes to be executed by
Cash America and Lender on even date herewith. Following such assignment, all amounts paid by
Borrowers with respect to such

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purchased Loans (including the proceeds of any new Loans made to Borrowers by Lender for the
purpose of refinancing such purchased Loans) shall be for the account of Cash America.

     6. Settlement. The parties agree to settle all amounts due from one party to the
other pursuant to this Agreement and the Program Guidelines on a daily basis. Any payment due from
one party to the other under this Agreement and the Program Guidelines shall be made by an
automatic clearinghouse transfer with next day settlement on the business day immediately
succeeding the transaction date. Within twenty (20) days after the end of each calendar month, the
parties shall prepare a recap and reconciliation of all of the settlements made during that month,
and if the reconciliation reveals that one party owes the other an amount necessary to correct an
inaccuracy in the previous settlement process, that amount shall be paid immediately. The payment
and purchase obligations of the parties under this Agreement and the Program Guidelines shall
survive the termination of this Agreement and will remain in effect as long as any Loans remain on
the books of Lender. Lender acknowledges and agrees that if it issues its draft to a Borrower for
the disbursement of Loan proceeds to that Borrower and Cash America then honors that draft, the
amount of the draft shall be considered due and owing from Lender to Cash America on the date that
Cash America honors the draft. Pursuant to the requirements of Section 11 below, Cash America
shall capture and record all relevant data concerning any Loan transaction and prepare appropriate
reports and summaries as may be necessary to effect settlement hereunder, facilitate the review and
analysis of all Loan activity, and permit Lender to reflect such Loan transactions on its books and
records.

     7. Program Guidelines. Lender and Cash America will mutually agree upon the Program
Guidelines in writing from time to time. Except as provided in Section 9 below, the parties may
modify the then current Program Guidelines only by means of a written agreement signed by duly
authorized representatives of both parties. Both parties agree to act in good faith and in a
commercially reasonable manner in connection with the establishment and modification, if any, of
the Program Guidelines. The parties agree to perform their duties and responsibilities under this
Agreement in accordance with the provisions of the Program Guidelines, as they may be modified from
time to time.

     8. Program Materials; Advertising Materials; Trade Names and Trademarks. The parties
shall each be responsible for preparing their own respective Program Materials; provided, however,
prior to the use of any Program Materials prepared by one party, the other party shall be entitled
to review and approve such Program Materials in the manner described below. Each party agrees that
it will not use any Program Materials unless such Program Materials have been approved in advance
by the other party hereto. Cash America shall be responsible for the development of proposed
Advertising Materials concerning advertising and marketing of Loans and solicitation of potential
Borrowers. The form and content of all Advertising Materials shall be subject to the prior review
and approval of Lender in the manner described below. The nature of the Advertising Materials, the
scope of their dissemination, and the total expenditures to be made on Advertising Materials for
the Program shall be determined by Cash America in its reasonable discretion, and Cash America
shall pay all expenses concerning the production, use, and dissemination of Advertising Materials.
Notwithstanding anything herein to the contrary, each party agrees that they will respond in
writing to any request from the other party for an approval of any Advertising Materials or Program
Materials within five (5) business days following such other party’s receipt of such materials and
any such materials shall be deemed approved by such other party upon the earlier to occur of (a)
the actual approval of such

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materials, or (b) upon the expiration of the above-described five (5) business day period if
the party whose approval is being sought fails to timely approve or disapprove such materials
within such five (5) business day period. If a party disapproves any proposed Program Materials or
Advertising Materials within the required time frame, such party will detail its reasons for such
disapproval in such party’s written disapproval notice to the other party. A party hereto may at
any time retract or modify any approval previously given by it with respect to any Program
Materials or Advertising Materials if such action is necessary in order to remain in compliance
with the Rules; provided, however, no party shall retract or modify a previously granted approval
if there has been no intervening change in the Rules which would require such retraction or
modification. Lender acknowledges that approved Program Materials or Advertising Materials may
contain trade names, trademarks, or service marks of Cash America, and Lender shall have no
authority to use any such names or marks separate and apart from their use in the Program Materials
or Advertising Materials. The parties shall use Program Materials and Advertising Materials only
for the purpose of implementing the provisions of this Agreement and shall not use Program
Materials or Advertising Materials in any manner that would violate the Rules or any provision of
the Program Guidelines.

     9. Loan Terms and Charges; CSO Terms and Fees. All underwriting criteria, Loan terms
and all interest, fees, and other charges associated with the Loans, exclusive of any CSO Fees,
shall be established by Lender and shall be reflected in the Program Guidelines. Notwithstanding
the foregoing, however, Lender shall have the right to modify any underwriting criteria, Loan term,
interest rate, fee, or other charge (exclusive of any CSO Fees), if Lender reasonably determines
that such modification is necessary in order to remain in compliance with the Rules. The terms and
conditions of the CSO Disclosure Statements, CSO Contracts and the amount of any CSO Fees shall be
established by Cash America, shall comply with the Rules and shall be reflected in the Program
Guidelines. Notwithstanding the foregoing, however, Cash America shall have the right to modify
any CSO Disclosure Statements, CSO Contracts and the amount of any CSO Fees, if Cash America
reasonably determines that such modification is necessary in order to remain in compliance with the
Rules. In the event either party becomes aware that any underwriting criteria, Loan terms,
interest, fee or other charge associated with the Loan or any terms and conditions of the CSO
Disclosure Statements, CSO Contracts or the amount of any CSO Fee is not in compliance with the
Rules, the party becoming aware of the same shall notify the other party of such non-compliance and
each party hereto agrees to cooperate in good faith with each other, and to diligently take
commercially reasonable steps, as may be necessary in order to promptly correct any such
non-compliance.

     10. Third Party Service Providers. A party hereto shall not, whether directly or
indirectly, retain any Third Party Service Provider to assist it in performing its duties hereunder
or to otherwise participate in the Program except with the prior written consent of the other party
hereto, which consent shall not be unreasonably withheld. In seeking the approval to retain a
Third Party Service Provider, the party requesting such approval shall provide to the other party
such information concerning the proposed Third Party Service Provider as such other party may
reasonably request. A party may condition its willingness to approve a proposed Third Party
Service Provider upon obtaining a written commitment from such Third Party Service Provider to
comply with the terms of this Agreement and the Program Guidelines, to submit to audits and
inspections by either party hereto, and to indemnify the parties hereto upon such terms and
conditions as the parties hereto may reasonably require. Notwithstanding the above, Lender
acknowledges and agrees that those affiliate companies of Cash America that own and operate

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“Cash America Pawn,” “Cash America Payday Advance,” “Cashland,” “Mr. Payroll,” “GoldX,”
“Urgent Money,” and “SuperPawn” stores are approved Third Party Service Providers for purposes of
affording potential Borrowers with the opportunity to complete and submit applications for Loans,
but only for so long as a particular store and such store’s location maintains all licenses and
registrations required by any governmental authorities of the State of Michigan in order for such
store to lawfully operate its business. Cash America shall be responsible for supervising any
Third Party Service Providers retained by Cash America. Lender shall be responsible for supervising
any Third Party Service Providers retained by Lender.

     11. MIS and Accounting System. Cash America agrees to develop and maintain, at its
sole cost and expense, a comprehensive MIS and accounting system to accurately and immediately
reflect all Loan transactions and track all Loan balances and which will satisfy the information
requirements of Cash America, Lender, Processor and Regulatory Authorities having jurisdiction over
the Program, if any, and a telecommunications line and computer terminal within Lender’s main
office to access such system. Cash America shall provide Lender on a periodic basis with an
electronic file with data concerning all Loans originated hereunder to assist Lender in
incorporating such information into its internal accounting, record keeping, and audit systems.
Upon termination of this Agreement for any reason Cash America shall continue to provide the
accounting and MIS functions described herein for the Loans for the benefit of Lender and maintain
the MIS and accounting system described herein for such purpose for up to one (1) year following
termination of this Agreement.

     12. Cash America’s Representations and Warranties. Cash America makes the following
warranties and representations to Lender, all of which shall survive the execution and termination
of this Agreement for any reason:

	 	(a)	 	This Agreement is valid, binding and enforceable against Cash America in
accordance with its terms and has received all necessary corporate approvals. Neither
Lender nor Cash America is required to obtain the approval of, or be licensed by, any
Regulatory Authority to lawfully perform their respective obligations hereunder.
	 
	 	(b)	 	Cash America is a corporation duly incorporated, validly existing, and in good
standing under the laws of the state of its incorporation and is authorized,
registered, and licensed to do business in each state in which the nature of its
activities makes such authorization, registration, or licensing necessary or required.
	 
	 	(c)	 	Cash America has the full organizational power and authority to execute and
deliver this Agreement and perform all of its obligations hereunder.
	 
	 	(d)	 	The provisions of this Agreement and the performance of each of Cash America’s
obligations hereunder do not conflict with Cash America’s Articles of Incorporation,
Bylaws, or any agreement, contract, lease, or obligation to which Cash America is a
party or by which Cash America is bound.

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	 	(e)	 	The Board of Directors of Cash America has approved the terms and conditions of
this Agreement and has determined that entering into this Agreement is in the best
interests of Cash America.
	 
	 	(f)	 	This Agreement complies with and is enforceable under the Rules and the
operation of the Program in accordance with this Agreement and the Program Guidelines
will not violate any of the Rules.
	 
	 	(g)	 	Neither Cash America nor any principal thereof has been or is the subject of
any of the following:

	 	(i)	 	Criminal conviction (other than misdemeanor traffic offenses);
	 
	 	(ii)	 	IRS lien;
	 
	 	(iii)	 	Enforcement agreement, memorandum of understanding, cease and
desist order, administrative penalty, or similar agreement concerning lending
matters;
	 
	 	(iv)	 	Administrative or enforcement proceeding or material
investigation commenced by the Securities Exchange Commission, state securities
regulatory authority, Federal Trade Commission, or any other state or federal
Regulatory Authority (excluding routine examinations conducted by a Regulatory
Authority and excluding communications received in the ordinary course of
business from any Regulatory Authority such as communications concerning
consumer complaints or communications related to immaterial issues); or
	 
	 	(v)	 	Restraining order, decree, injunction, or judgment in any
proceeding or lawsuit alleging fraud or deceptive practices or illegal activity
on the part of Cash America or any principal thereof.

	 	 	 	For purposes of this subsection the word “principal” of Cash America shall include
(i) any person directly or indirectly owning a ten percent or more equity interest
of Cash America, (ii) any officer or director of Cash America, and (iii) any person
actively participating in the control of Cash America’s business.

     13. Lender’s Representations and Warranties. Lender makes the following warranties
and representations to Cash America, all of which shall survive the execution and termination of
this Agreement for any reason:

	 	(a)	 	This Agreement is valid, binding and enforceable against Lender in accordance
with its terms and has received all necessary corporate approvals to enter into this
Agreement or perform its obligations hereunder.
	 
	 	(b)	 	Lender is a limited liability company duly formed, validly existing, and in
good standing under the laws of the State of Ohio and is authorized and registered to
do business in each state in which the nature of its activities makes such

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	 	 	 	authorization, registration, or licensing necessary or required. Lender is not
affiliated with Cash America or any affiliate of Cash America.
	 
	 	(c)	 	Lender has the full organizational power and authority to execute and deliver
this Agreement and perform all of its obligations hereunder.
	 
	 	(d)	 	The provisions of this Agreement and the performance of each of Lender’s
obligations hereunder do not conflict with Lender’s Articles of Organization, Operating
Agreement, or any agreement, contract, lease, or obligation to which Lender is a party
or by which Lender is bound.
	 
	 	(e)	 	Each Manager and Managing Member has approved the terms and conditions of this
Agreement and has determined that the entering of this Agreement by Lender is in the
best interests of Lender.
	 
	 	(f)	 	Neither Lender nor any principal thereof has been or is the subject of any of
the following:

	 	(i)	 	Criminal conviction (other than misdemeanor traffic offenses);
	 
	 	(ii)	 	IRS lien;
	 
	 	(iii)	 	Enforcement agreement, memorandum of understanding, cease and
desist order, administrative penalty, or similar agreement concerning lending
matters;
	 
	 	(iv)	 	Administrative or enforcement proceeding or investigation
commenced by the Securities Exchange Commission, state securities regulatory
authority, Federal Trade Commission, or any other state or federal Regulatory
Authority (excluding routine examinations conducted by a Regulatory Authority
and excluding communications received in the ordinary course of business from
any Regulatory Authority such as communications concerning consumer complaints
or communications related to immaterial issues); or
	 
	 	(v)	 	Restraining order, decree, injunction, or judgment in any
proceeding or lawsuit alleging fraud or deceptive practices or illegal activity
on the part of Lender or any principal thereof.

	 	 	 	For purposes of this subsection the word “principal” of Lender shall include (i) any
person directly or indirectly owning a ten percent or more equity interest of
Lender, (ii) any officer or director of Lender, and (iii) any person actively
participating in the control of Lender’s business.

     14. Ownership of Customer Information. Lender and Cash America shall jointly own all
Borrower names, addresses, and telephone numbers and all account and other information, including
payment information, regarding Borrowers and Loan applicants who have been declined and all
records, data, and information pertaining to the foregoing (collectively,

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“Customer Information”); provided, however, that neither party will use any of such Customer
Information except to the extent permitted by the Program Guidelines and the privacy policies of
each of Cash America and Lender set forth in the documents described in the Program Guidelines.
Notwithstanding the foregoing, without the need for obtaining Lender’s consent, Cash America shall
be free to use Customer Information for purposes of marketing, offering, selling, brokering,
underwriting and providing other products and services, including, without limitation, other loan
products and services that may be offered to consumers by Cash America, any Third Party Service
Provider of Cash America or any other lenders through the distribution channels of Cash America and
any Third Party Service Provider of Cash America, provided that, in all cases, however, any use by
Cash America of any such Customer Information shall comply with (i) all applicable Rules, (ii) the
requirements of the Program Guidelines, and (iii) the above-described privacy policies of both Cash
America and Lender and in the event any such Customer Information is used in connection with
marketing, offering, selling, brokering, underwriting or providing loans made by any party other
than Cash America, Lender agrees that such other lender may jointly own such Customer Information
with Cash America and Lender, so long as such other lender has a privacy policy no less restrictive
than Lender’s privacy policy described in the Program Guidelines and agrees in writing to comply
with such privacy policy and the privacy policies of Cash America and Lender. In addition,
notwithstanding that Lender has an ownership interest in the Customer Information, Lender agrees
that it will not use the Customer Information to market other products or services to the Borrowers
or to Loan applicants who have been declined without the prior written consent of Cash America.
Notwithstanding anything herein to the contrary, Cash America shall be the sole owner of all CSO
Disclosure Statements and all CSO Contracts and any information contained therein. The rights and
obligations of the parties under this Section 14 shall indefinitely survive the termination of this
Agreement.

     15. Term. The term of this Agreement shall be for a period of two (2) years
commencing as of the date hereof; provided, however, that either party may terminate this Agreement
prior to the expiration of its term pursuant to the provisions of this Section 15 and Section 16
below. Each party hereto shall have the right to terminate this Agreement immediately upon written
notice to the other party hereto, if (i) the terminating party determines in its reasonable
discretion that the activities of the parties under this Agreement or the Program are illegal under
or prohibited by any of the Rules; (ii) any Regulatory Authority having jurisdiction over the
Program, Cash America or the Lender requires the terminating party to terminate this Agreement;
(iii) the terminating party determines in its reasonable discretion that continued operation of the
Program may materially adversely affect the ongoing operations of the terminating party or those of
the terminating party’s affiliates; and in the event of a termination of this Agreement pursuant to
this clause (iii), the terminating party shall provide the other party with a written explanation
of the basis for such termination, and (iv) the terminating party determines in its reasonable
discretion that continued operation of the Program may materially adversely affect the relationship
between the terminating party or any of its affiliates and any Regulatory Authority having
jurisdiction over any of them.

     In addition, if Lender modifies any Loan term, interest rate, fee, or other charge pursuant to
Section 9 above, or if Lender materially modifies any underwriting criteria for the Loans pursuant
to Section 9 above, Cash America may terminate this Agreement upon thirty (30) days’ written notice
to Lender if Cash America determines in its reasonable discretion that such modification by Lender
would render it economically infeasible for Cash America to continue to

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perform its duties and responsibilities hereunder or that such modification would cause any aspect
of the Program to be in violation of any Rule.

     Notwithstanding termination of this Agreement, the parties’ obligations with respect to
outstanding Loans shall remain in effect for so long as such Loans remain outstanding.

     16. Termination Upon Default.

	 	(a)	 	Either party shall have the right to terminate this Agreement upon occurrence
of one or more of the following events:

	 	(i)	 	failure by the other party to observe or perform that party’s
obligations to the other hereunder or to comply with any provision of this
Agreement, so long as the failure or nonperformance is not due to the actions
of the terminating party;
	 
	 	(ii)	 	in the event any Financial Information (as defined below),
representation, warranty, statement or certificate furnished to either party by
the other in connection with this Agreement, or any separate material statement
or document delivered or to be delivered hereunder by either party to the
other, is materially false, misleading, or inaccurate as of the date made or
delivered; and
	 
	 	(iii)	 	in the event a party hereto (or an affiliate of such party)
defaults under any other agreement executed between the parties hereto (and/or
any of their respective affiliates) and such default continues beyond any
applicable notice and cure period provided for such default under such other
agreement.

	 	(b)	 	The Agreement may be terminated pursuant to subsection (a)(i) above only if the
default continues for a period of thirty (30) days after the defaulting party receives
written notice from the other party specifying the default in the case of a
non-monetary default, or ten (10) days after the defaulting party receives written
notice from the other party specifying the default in the case of a failure to pay any
amount when due hereunder.
	 
	 	(c)	 	In addition to any other right to terminate this Agreement, a party may
terminate this Agreement if the other party hereto, or such other party’s principals
(as defined in Sections 12 or 13 above, as the case may be) is the subject of any of
the following or if any of the following occurs with respect to such other party or
such other party’s principals: insolvency, inability to pay its debts as they become
due, the filing of a voluntary bankruptcy petition, the filing of an involuntary
bankruptcy petition which is not dismissed within thirty (30) days after filing
thereof, dissolution or termination of its existence as a going concern, or the
appointment of a receiver for any part of its property.

     17. Indemnification.

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	 	(a)	 	Cash America’s Indemnification Obligations. Cash America shall
indemnify and hold Lender and its partners and affiliates harmless against any and all
claims, demands, liabilities, losses, penalties, fines, judgments, damages or expenses
(including, without limitation, legal fees, court costs, accounting fees and class
action costs) (collectively, “Damages”) accruing or arising out of (i) any breach by
Cash America of its obligations under this Agreement or the inaccuracy of any warranty
or representation of Cash America set forth in this Agreement; (ii) the act or omission
of Cash America or its employees, agents or representatives; (iii) any act or omission
of any Third Party Service Provider retained by Cash America, the inaccuracy of any
warranty or representation made for the benefit of Lender by any Third Party Service
Provider retained by Cash America, or the breach of any obligation owed to Lender by
any Third Party Service Provider retained by Cash America; (iv) any claim or
determination that the Loans or the activities of the parties hereunder are illegal
under or prohibited by any of the Rules and any other claim asserted by or on behalf of
Borrowers or a Regulatory Authority with respect to the Loans, and (v) any examination
or audit conducted by a Regulatory Authority as provided in Section 21. Nothing
herein, however, shall be construed to require Cash America to indemnify Lender for any
Damages directly arising out of any Lender Breach (hereinafter defined) or the fraud or
willful misconduct of Lender. The term “Lender Breach” shall mean the breach by Lender
of any of its obligations expressly set forth herein; provided, however, any breach by
Lender arising out of or related to the failure of Lender to comply with the Rules
shall not be deemed a Lender Breach unless and until Lender fails to comply with its
obligations under the last sentence of Section 9 hereof.
	 
	 	(b)	 	Lender’s Indemnification Obligations. Lender shall indemnify and hold
Cash America and its partners and affiliates harmless against any and all Damages
accruing or arising out of (i) any Lender Breach or the inaccuracy of any warranty or
representation of Lender set forth in this Agreement; (ii) the willful act or omission
of Lender or its employees, agents or representatives, or (iii) any act or omission of
any Third Party Service Provider retained by Lender without the consent of Cash
America, the inaccuracy of any warranty or representation made for the benefit of Cash
America by any Third Party Service Provider retained by Lender without the consent of
Cash America, or the breach of any obligation owed to Cash America by any Third Party
Service Provider retained by Lender without the consent of Cash America. Nothing
herein, however, shall be construed to require Lender to indemnify Cash America for any
Damages directly arising out of any breach by Cash America of its obligations under
this Agreement or the breach of any obligation of a Third Party Service Provider
retained by Cash America or the negligence or wrongful act of Cash America or any Third
Party Service Provider retained by Cash America.
	 
	 	(c)	 	Indemnification Procedures. Each party shall promptly notify the other
of any suit or threat of suit of which that party becomes aware which may give rise to
a right to indemnification under this Agreement but in any event within 30 days of the
discovery of such claim; provided, however, that the failure of a party alleging a
right of indemnity hereunder to provide prompt notice to the other shall relieve the
indemnifying party of its obligations hereunder only to the extent that the
indemnifying party can prove that such failure to provide prompt notice actually

12

 

	 	 	 	and materially prejudiced the rights of such party. The indemnifying party shall
promptly reimburse the indemnified party for all Damages incurred by the indemnified
party (including Damages incurred in advance of the final disposition of the
underlying claim), shall bear all expenses in defending any such claim or matter,
and shall be entitled to participate in the settlement or defense of any matter for
which the other party seeks indemnity hereunder and, if the indemnifying party
elects, to take over and control the defense and settlement thereof utilizing
counsel of its choice in consultation with the indemnified party (in which case the
indemnified party shall have the right to employ separate counsel of its choice, but
the fees and expenses of such counsel shall be at the expense of the indemnified
party). In all cases, the indemnifying and indemnified parties shall cooperate and
assist each other in all reasonable respects in the defense and settlement of any
such action.
	 
	 	(d)	 	Obligation to Refund Advanced Damages. In the event that either party
reimburses the other for Damages pursuant to the indemnification provisions of this
Section 17, in advance of the final disposition of the underlying claim, and if it is
ultimately determined by settlement or pursuant to the dispute resolution provisions
hereof that such Damages directly arose out of an occurrence that did not require such
indemnification under Section 17(a) or 17(b), as applicable, then the reimbursed party
agrees to repay to the other party any such Damages for which it received advanced
reimbursement to which it was not entitled hereunder. All Damages required to be repaid
under this Section 17(d) shall be repaid within 5 business days following the above
described ultimate determination.
	 
	 	(e)	 	Survival. This Section 17 shall survive any termination or expiration
of this Agreement.

     18. Expenses. Except as expressly provided to the contrary in this Agreement, each
party shall be responsible for all expenses incurred by it in the performance of its obligations
under this Agreement, including any expenses incurred by it in performing its respective duties set
forth in Sections 3 or 4 above, as the case may be.

     19. Scope of Relationship. The parties agree that the relationship established by
this Agreement is non-exclusive. Without limiting the foregoing and subject to the provisions of
Sections 14 and 20 of this Agreement, each party hereto is expressly permitted, without the need
for obtaining any further consent or approval from the other party hereto, to market, offer, sell,
broker, underwrite and/or provide other products and services, including, without limitation, any
other loan products and services and specifically including, without limitation, any loan products
and services similar in scope and nature to the Loans and the related services contemplated by the
Program Guidelines, through any of their respective distribution channels and the distribution
channels of their respective Third Party Service Providers, including, without limitation, any of
such distribution channels through which Loans are offered pursuant to this Agreement.

     20. Confidential Information. In performing their obligations pursuant to this
Agreement, each party may have access to and receive disclosure of certain confidential information
about the other party or parties, including, without limitation, the names and addresses of a
party’s customers or members, marketing plans and objectives, research and test results, and other
information which is confidential and the property of the party disclosing the

13

 

information (“Confidential Information”). The parties agree that the term Confidential
Information shall include this Agreement, the Program Guidelines, and the Program Materials, as the
same may be amended and modified from time to time. Confidential Information shall not include
information in the public domain or which is independently developed by the other party. Lender
and Cash America agree that Confidential Information shall be used by each party solely in the
performance of its obligations under this Agreement. Each party shall receive Confidential
Information in confidence and shall not disclose Confidential Information to any third party,
except as may be permitted hereunder or under the Program Documents, or as may be necessary to
perform its obligations hereunder, or as may be otherwise agreed in writing by the party furnishing
the information, or as required by the Rules or any Regulatory Authority. Notwithstanding anything
herein to the contrary, except as provided in Section 19 above, nothing herein shall prohibit
either party hereto from entering into agreements with any other party that include program
guidelines and program materials that may or may not be the same as, or substantially similar to,
the Program Guidelines and Program Materials. Upon request or upon any expiration or termination of
this Agreement, each party shall return to the other party or destroy (as the latter may instruct)
all of the latter’s Confidential Information in the former’s possession which is in any written or
other recorded form, including data stored in any computer medium; provided, however, that a party
may retain the Confidential Information of the other party (but subject to the requirements of this
Section 20) to the extent that such party needs access to such information to continue to perform
any of its obligations hereunder or to broker or service Loans or otherwise perform obligations
owed by such party to another party. Notwithstanding the foregoing, to the extent there are any
inconsistencies between this Section 20 and Section 14 above, the provisions of Section 14 above
shall control.

     21. Regulatory Examinations and Financial Information. Each party agrees to submit to
any examination which may be required by any Regulatory Authority with audit and examination
authority over the other party, to the fullest extent that such Regulatory Authority may require
and to the fullest extent provided by law. Each party (either directly or by the use of accountants
or other agents or representatives) may audit, inspect, and review the other party’s files,
records, and books with respect to the Loans, the Program and its business operations. Each party
agrees to prepare, and shall preserve for at least three (3) years from the dates of their
preparation, quarterly balance sheets and quarterly statements of income, retained earnings and
cash flows for the last twelve months, together with complete and accurate books, records, and
accounts prepared and maintained on a consistent basis and in accordance with generally accepted
accounting principles (collectively, the “Financial Information”). Upon the request of a party
hereto, the other party hereto agrees to deliver to the requesting party, within 30 days of
receiving such request, the delivering party’s Financial Information, certified as true and correct
by an officer or principal of the delivering part (such request not to be made more often than
every three months). Each party agrees to submit such information as the other party may from time
to time reasonably request in order to ascertain the submitting party’s compliance with the
requirements of this Agreement and compliance with the Program. Each party agrees to submit to
operational audits and audits of such party’s electronic data processing functions, as the other
party may reasonably request from time to time. The auditing party will promptly submit the
results of such audits to the audited party. Any such audit shall be performed at the auditing
party’s sole cost and expense. The parties acknowledge and agree that, as and to the extent
provided by law, Lender shall be responsible to Borrowers, prospective Borrowers, and Regulatory
Authorities having jurisdiction over Lender and/or the Program for compliance with the Rules as
they may apply to the Loans and the Program Materials, but subject to the full

14

 

performance by Cash America of its obligations hereunder and the accuracy of Cash America’s
warranties and representations set forth herein concerning compliance with the Rules. Cash America
acknowledges that in discharging its compliance obligations under the Rules Lender shall rely on
the full performance by Cash America of its duties and obligations hereunder and the accuracy of
Cash America’s warranties and representations set forth herein.

     22. Relationship of Parties; No Authority to Bind. Lender and Cash America agree they
are independent contractors to each other in performing their respective obligations hereunder.
Nothing in this Agreement or in the working relationship established and developed hereunder shall
be deemed or is intended to be deemed, nor shall it cause, Lender and Cash America to be treated as
partners, joint ventures, joint associates for profit or otherwise be deemed to create a
relationship of agent and principal. Neither party shall have any authority to bind the other
party to any agreement except to the extent expressly permitted herein. Except as expressly set
forth in this Agreement to the contrary, no actions or failure to act on the part of a party hereto
shall be construed to imply the existence of any authority not expressly granted herein. Except as
expressly provided herein or in the Program Guidelines, Cash America is not authorized to, and
shall not make or amend any contract, incur any debt or liability, or extend any credit or enter
into any obligation on behalf of Lender; modify or amend any document evidencing a Loan (a “Loan
Document”), extend the time for making any payment which may become due under any Loan; or waive
any of Lender’s rights or privileges under any agreement made by Lender. Cash America understands
and agrees that Cash America’s name shall not appear on any Loan Document as the maker of a Loan
and that Cash America shall not have any participation in the credit decision to make or provide a
Loan, a Loan renewal or a Loan refinance or any participation in any act pertaining to the funding
of a Loan, a Loan renewal or a Loan refinance. Cash America shall refer to Lender any inquiries
concerning the accuracy, interpretation, or legal effect of any Loan Document. Cash America shall
not negotiate the terms of any Loan Document on behalf of Lender. Lender shall be deemed to have
received and reviewed the Loan Documents and supporting materials only after the Loan Documents and
materials have been previously received at Lender’s offices or if designated by Lender, by
Processor. Cash America shall not represent to anyone that Cash America has the authority or power
to do any of the foregoing and shall make no representations concerning Lender’s transactions
except as expressly authorized in writing. Lender shall not have any authority or control over any
of the property interests or employees of Cash America, nor shall Lender have any authority or
control over any of the property interests or employees of those affiliates of Cash America that
own and operate stores at which potential Borrowers are offered the opportunity to complete and
submit applications for Loans. As used herein, the term “Loan Document” shall not include any
agreements that Cash America or any affiliate of Cash America may enter into directly with any
party that governs the agreement of Cash America or an affiliate of Cash America to attempt to
broker a Loan on behalf of any Borrower or any party who applies for, but is denied, a Loan.

     23. Governing Law; Arbitration. This Agreement shall be construed and performed in
accordance with the laws of the State of Michigan. At the request of either party, any dispute
between the parties relating to this Agreement shall be submitted to binding arbitration under the
Commercial Arbitration Rules of the American Arbitration Association, provided, however, that a
party seeking specific performance hereunder pursuant to Section 30 below may pursue such remedy in
court. Unless otherwise agreed to by both parties, the location for any arbitration proceedings
concerning this Agreement shall be in Montgomery County, Ohio. In the event that a party initiates
a lawsuit in court concerning an arbitrable claim, controversy or dispute, such

15

 

party shall pay the other party for the costs, including attorneys’ fees that the other party
incurs to obtain an order from the court to stay or dismiss the lawsuit or otherwise compel
arbitration. The arbitrator shall be authorized to award such relief as is allowed by law. Except
as provided below, each party shall be responsible for its own attorneys’ fees incurred during the
course of the arbitration, as well as the costs of any witnesses or other evidence such party
produces or causes to be produced. The award of the arbitrator shall include findings of fact and
conclusions of law. Except as required by law, such award shall be kept confidential, and shall be
final, binding, and conclusive on the parties. Judgment on the award may be entered by any court
of competent jurisdiction. The prevailing party in the resolution of any dispute (“Dispute
Resolution”) concerning this Agreement, any provision hereof or any actual or alleged breach shall
be entitled to its reasonable attorneys’ fees, including investigation and costs of discovery, and
other costs connected with such Dispute Resolution, in addition to all other recovery or relief.
The prevailing party shall be that party receiving substantially the relief sought or successfully
defending substantially the position maintained in the Dispute Resolution, whether or not brought
to final award or judgment. The parties agree that in the event of any litigation hereunder,
including litigation brought pursuant to Section 30 below, the exclusive venue and place of
jurisdiction for such litigation shall be in the State Courts or the Federal District Courts
situated in Montgomery County, Ohio, and each party hereto specifically consents and submits to the
personal jurisdiction of such courts.

     24. Severability. If any provision of this Agreement is held to be illegal, invalid
or unenforceable under present or future laws effective during the term hereof, such provision
shall be fully severable and this Agreement shall be construed and enforced as if such illegal,
invalid or unenforceable provision never comprised a part hereof; and the remaining provisions
hereof shall remain in full force and effect and shall not be affected by the illegal, invalid or
unenforceable provision or by its severance herefrom. Furthermore, in lieu of such illegal,
invalid or unenforceable provision, there shall be added automatically as part of this Agreement a
provision as similar in its terms to such illegal, invalid or unenforceable provision as may be
possible and be legal, valid and enforceable.

     25. Guaranty. Cash America shall cause Cash America International, Inc. (“CAI”) to
guaranty all of Cash America’s obligations under this Agreement pursuant to a separate guaranty
agreement in form and substance reasonably satisfactory to Lender. In addition, Cash America
agrees to cause CAI to provide to Lender quarterly and annual reports concerning CAI consisting of
the financial and related information filed by CAI with the Securities and Exchange Commission
(“SEC”) (or, if CAI ceases to be a publicly held company, such information as it would file with
the SEC if it were still publicly held) at such times as such information is required to be filed
with the SEC.

     26. Successors and Third Parties. This Agreement and the rights and obligations
hereunder shall bind and inure to the benefit of the parties hereto and their successors and
assigns. Except as expressly provided herein with respect to Third Party Service Providers, the
rights and benefits hereunder are specific to the parties and shall not be delegated or assigned
without the prior written consent of the other party, which shall not be unreasonably withheld. As
a condition to an assignment of any rights or benefits hereunder, the assignee of such rights and
benefits must agree to be bound by the terms of this Agreement pursuant to an assignment document
executed by such assignee, in form and substance reasonably satisfactory to both

16

 

Lender and Cash America. Nothing in this Agreement is intended to create or grant any right,
privilege, or other benefit to or for any person or entity other than the parties hereto.

     27. Notices. All notices, requests, and approvals required or permitted by this
Agreement shall be in writing and addressed/directed to the other party at the address/facsimile
number below or at such other address of which the notifying party hereafter receives notice in
conformity with this Section 27. All such notices, requests, and approvals shall be deemed given
upon the earlier of facsimile transmission or actual receipt thereof:

	 	 	 	 	 
	 

	 	To Lender:
	 	NCP Finance Michigan, LLC
	 

	 	 	 	100 East Third Street, 5th Floor
	 

	 	 	 	Dayton, Ohio 45402
	 

	 	 	 	Fax No.: 937.586.9474
	 

	 	 	 	Attention: Brenda K. Stampfli
	 
	 	 	 	 
	 

	 	To Cash America:
	 	Cash America Financial Services, Inc.
	 

	 	 	 	1600 West Seventh Street
	 

	 	 	 	Fort Worth, Texas 76102
	 

	 	 	 	Fax No.: 817.570.1647
	 

	 	 	 	Attention: General Counsel

     28. Waiver. Neither party hereto shall be deemed to have waived any of its rights,
powers or remedies hereunder except in an express writing signed by an authorized agent or
representative of the party to be charged with such waiver.

     29. Counterparts. This Agreement may be executed and delivered by the parties hereto
in any number of counterparts, each of which shall be deemed an original and all of which together
shall constitute one and the same instrument. Any signature on this Agreement may be a facsimile
signature and all parties agree that any signature delivered by facsimile shall be treated as an
original signature to any such document

     30. Specific Performance. Certain rights which are subject to this Agreement are
unique and are of such a nature as to be inherently difficult or impossible to value monetarily. In
the event of a breach of this Agreement by either party, an action at law for damages or other
remedies at law would be inadequate to protect the unique rights and interests of the parties.
Accordingly, the terms of this Agreement shall be enforceable in a court of equity by a decree of
specific performance or injunction. Such remedies shall, however, be cumulative and not be
exclusive and shall be in addition to any other remedy which the parties may have.

     31. Further Assurances. From time to time, the parties will execute and deliver to
the other such additional documents and will provide such additional information as either may
reasonably require carrying out the terms of this Agreement.

     32. Entire Agreement. This Agreement, and the documents executed and delivered
pursuant hereto, constitute the entire agreement between the parties, and may be amended or
modified only by a writing signed by duly authorized representatives of each party and dated
subsequent to the date hereof. This Agreement shall supersede and merge all prior communications,
representations, or agreements, either oral or written, between the parties

17

 

hereto with respect to the subject matter hereof, except where survival of prior written
agreements is expressly provided for herein.

     IN WITNESS WHEREOF, this Agreement is executed by the parties’ authorized officers and
representatives and shall be effective as of the date first above written.

	 	 	 	 	 	 	 	 	 	 	 
	LENDER:	 	 	 	CASH AMERICA:
	 
	 	 	 	 	 	 	 	 	 	 
	NCP FINANCE MICHIGAN, LLC,	 	 	 	CASH AMERICA FINANCIAL SERVICES,
	an Ohio limited liability company	 	 	 	INC., a Delaware corporation
	 
	 	 	 	 	 	 	 	 	 	 
	By:	 	NMCapital, Inc.,	 	 	 	 	 	 
	 	 	an Ohio corporation,	 	 	 	By:	 	/s/ Daniel R. Feehan
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	its Managing Member	 	 	 	 	 	Daniel R. Feehan, President
	 
	 	 	 	 	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Lee Schear	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	Lee Schear, President	 	 	 	 	 	 

18exv10w3

 

EXHIBIT 10.3

ADMINISTRATIVE CREDIT SERVICES AGREEMENT

Florida

     THIS ADMINISTRATIVE CREDIT SERVICES AGREEMENT (“Agreement”) is made and entered into as
of this 1st day of July, 2005, by and between NCP FINANCE FLORIDA, LLC, an Ohio limited
liability company (“Lender”), and CASH AMERICA FINANCIAL SERVICES, INC., a Delaware corporation
(“Cash America”).

R E C I T A L S

     The parties desire to enter into this Agreement for the purpose of setting forth the terms and
conditions which will govern certain services to be provided by Cash America to Lender in
connection with the brokering and servicing of Loans (as defined below).

     NOW, THEREFORE, in consideration of the mutual promises set forth herein and for other good
and valuable consideration, Lender and Cash America agree as follows:

     1. Definitions. Except as may be explicitly stated otherwise herein, the following
terms shall have the following meanings ascribed to them below:

“Advertising Materials” means all materials and methods used by Cash America in the
performance of its marketing and promotion obligations under this Agreement, including,
without limitation, advertisements, brochures, and similar materials.

“Borrowers” mean those persons who are borrowers with respect to the Loans.

“Loans” means small, short-term consumer loans made by Lender pursuant to this Agreement
with the assistance of Cash America pursuant to the Program Guidelines to consumers in
the State of Florida.

“Program” means the lending program of Lender for the origination and consummation of
Loans pursuant to this Agreement.

“Program Guidelines” means those guidelines established pursuant to Section 7 below for
the administration of the Program.

“Program Materials” means all promissory notes, documents, and materials and methods
used in connection with the performance of the parties’ obligations under this
Agreement, including without limitation applications, disclosures and agreements
required by the Rules, promissory notes, privacy policies, collection materials, and the
like, but excluding Advertising Materials.

“Regulatory Authorities” means any local, state, or federal regulatory authority having
jurisdiction or exercising regulatory or similar oversight with respect to Lender, Cash
America, or Third Party Service Providers (except that nothing herein

1

 

shall be deemed to constitute an acknowledgement by any party hereto that any Regulatory
Authority has jurisdiction or exercises regulatory or similar oversight with respect to
the Loans, the Program or any party hereto with respect to the performance of their
respective obligations hereunder).

“Rules” means all local, state, and federal statutes, regulations, or ordinances
applicable to the acts of Lender, Cash America, or a Third Party Service Provider as
they relate to the Program; any order, decision, injunction, or similar pronouncement of
any court, tribunal, or arbitration panel issued with respect to Lender, Cash America,
or a Third Party Service Provider in connection with this Agreement or the Program; and
any regulations, policy statements, and any similar pronouncement of a Regulatory
Authority applicable to the acts of Lender, Cash America, or a Third Party Service
Provider as they relate to this Agreement or the Program, if any.

“Third Party Service Provider” means any contractor or service provider directly or
indirectly retained by Lender or Cash America, who provides or renders services in
connection with the Program.

     2. General Description of Program. The parties agree that the Program shall consist
of the origination, funding, and collection of Loans in accordance with the Program Guidelines to
Borrowers at such locations in the State of Florida as Cash America may designate from time to
time. The parties agree that Lender shall have sole responsibility for establishing credit and
underwriting criteria, making the decisions as to whether or not to make Loans to prospective
Borrowers, funding the Loans, and, subject to the timely performance of Cash America’s obligations
hereunder, managing the Program in accordance with Lender’s express obligations under this
Agreement and the Program Guidelines. The parties further agree that Cash America’s responsibility
under the Program shall be to act as a Credit Services Organization on behalf of consumers in
accordance with the laws of the State of Florida and as such Cash America shall have the right to
charge a Borrower a fee (a “CSO Fee”) for brokering a Loan on behalf of such Borrower. Cash
America shall not share with Lender, and Lender shall not accept, any portion of any CSO Fee
obtained from a Borrower. The services Cash America provides to each Borrower shall be governed by
a Credit Services Disclosure Statement (“CSO Disclosure Statement”) and a Credit Services Contract
between Cash America and each Borrower (each a “CSO Contract”). Cash America, in Cash America’s
sole discretion, shall be solely responsible for determining the amount of the CSO Fee, the
disclosures set forth in the CSO Disclosure Statement and the terms and conditions of each CSO
Contract and Cash America shall determine, in Cash America’s sole discretion, whether or not it is
appropriate to offer any particular consumer the opportunity to apply for a Loan. The parties
shall endeavor to begin the Program and commence making the Loans hereunder not later than July 1,
2005. Except as expressly provided below, (a) nothing herein shall be deemed to commit Lender to
originate or fund any particular level or number of Loans, and (b) Lender makes no representation
as to the amount of funding it will be able to raise for the Loans; provided, however, Lender
hereby commits that it will have no less than $500,000 available to fund Loans that satisfy the
Lender’s underwriting criteria for making such Loans. Additionally, nothing herein shall be deemed
to commit Cash America to broker any particular level or number of applicants for Loans and Cash
America makes no representation as to the number of Loan applications Cash America will submit to
Lender on behalf of prospective Borrowers.

2

 

     3. Duties and Responsibilities of Lender. Lender shall perform and discharge the
following duties and responsibilities:

	 	(a)	 	Develop (and from time to time as it determines appropriate, modify) and
deliver to Processor (hereinafter defined) credit and underwriting criteria determined
by Lender, in Lender’s sole discretion, to be reasonable and prudent for the Program
and the Loans.
	 
	 	(b)	 	Make a determination, in Lender’s sole discretion, as to whether or not to
extend a Loan to a prospective Borrower (which determination shall be made on a case by
case basis or pursuant to scoring systems or other criteria or models established by
Lender).
	 
	 	(c)	 	Extend credit to Borrowers in the form of Loans and fund the Loans.
	 
	 	(d)	 	Disburse the proceeds of Loans to Borrowers in the manner set out in the
Program Guidelines.
	 
	 	(e)	 	Manage the Program in accordance with Lender’s express obligations under this
Agreement and under the Program Guidelines and manage the portfolio of Loans using
commercially reasonable standards of care, skill and attention, in each case subject to
the timely performance by Cash America of Cash America’s obligations under this
Agreement and the Program Guidelines.
	 
	 	(f)	 	Promptly deliver to Cash America all communications received from Borrowers or
applicants who are denied a Loan (including, without limitation, information requests
and bankruptcy filings) to the extent Cash America reasonably needs the same in order
to service the Loans and to perform its other obligations hereunder.
	 
	 	(g)	 	Generate adverse action notices and other communications which may be required
under the Rules to persons who apply for but are denied a Loan, subject to Cash
America’s responsibility to deliver and manage such adverse action notices as described
in the Program Guidelines.

     4. Duties and Responsibilities of Cash America. Lender hereby appoints Cash America
to perform certain brokering and servicing functions in connection with this Agreement under the
Program and retains Cash America as its servicer for the Loans, as provided in this Agreement and
in the Program Guidelines, and Cash America hereby accepts such appointment and agrees to perform
and discharge the following duties and responsibilities:

	 	(a)	 	Market and promote the Loans and solicit potential Borrowers in the manner set
out in Section 8 below.
	 
	 	(b)	 	Post a conspicuous notice at each of Cash America’s locations subject to this
Agreement that identifies Lender as the lender of the Loans and providing such other
information as Lender and Cash America may mutually agree from time to

3

 

	 	 	 	time, with each party acting in good faith and in a commercially reasonable manner.
	 
	 	(c)	 	Provide certain disclosures and agreements to each Borrower, including a CSO
Disclosure Statement and a CSO Contract, in the manner described in the Program
Guidelines.
	 
	 	(d)	 	Oversee the application process for Loans, solicit applications, and assist
potential Borrowers in completing applications.
	 
	 	(e)	 	Maintain a contract with a third party loan underwriting service (“Processor”)
such as TeleTrack, Inc. that will receive Loan applications and evaluate such
applications using Lender’s underwriting criteria.
	 
	 	(f)	 	Transmit Loan applications to Lender and/or Processor, as instructed by Lender.
	 
	 	(g)	 	Receive evaluations of Loan applications and the resulting Loan approval or
denial decisions from Lender and/or Processor and forward such decisions to the
applicable applicants.
	 
	 	(h)	 	Prepare and ensure the proper completion and delivery of Loan documentation to
Lender, Processor (if instructed by Lender) and Borrowers.
	 
	 	(i)	 	Assist Lender in the disbursement of Lender’s Loan proceeds to Borrowers.
	 
	 	(j)	 	Service the Loans and forward to Lender, in the manner specified in Section 6
below, any Loan payments delivered to Cash America by Borrowers. The funds from these
payments shall (i) belong to and be held in trust for Lender or the recipient
designated by Lender, (ii) not be deposited in an account with other funds of Cash
America or any other person, and (iii) not be used by Cash America for any purpose
other than as expressly provided in this Agreement.
	 
	 	(k)	 	Reflect all Loan transactions and track Loan balances on an MIS and accounting
system to be maintained by Cash America pursuant to the requirements of Section 11
below.

     5. Defaulted Loans. A Loan shall default upon the occurrence of any of the following:
(a) the Borrower fails to make any payment when due, (b) the Borrower makes any statement or
representation in connection with obtaining a Loan which is false, (c) the Borrower fails to keep
any promise or agreement it made to the Lender in any promissory note evidencing a Loan, or (d) the
CSO Contract related to such Loan is cancelled for any reason prior to the Lender receiving payment
in full on such Loan. Pursuant to each CSO Contract, and regardless of whether the CSO Contract is
cancelled, Cash America agrees to, and hereby does, unconditionally guaranty, on behalf of the
Borrower, and for the benefit of Lender, the prompt payment of all amounts due under each Loan to
Lender. In full satisfaction of such guaranty obligations, Cash America will, on the day a Loan
defaults, purchase such Loan from Lender for an amount equal to the principal, interest and fees
accrued and outstanding as of such date. All

4

 

such purchased Loans will be assigned by Lender to Cash America without recourse pursuant to a
Master Assignment of Promissory Notes to be executed by Cash America and Lender on even date
herewith. Following such assignment, all amounts paid by Borrowers with respect to such purchased
Loans (including the proceeds of any new Loans made to Borrowers by Lender for the purpose of
refinancing such purchased Loans) shall be for the account of Cash America.

     6. Settlement. The parties agree to settle all amounts due from one party to the
other pursuant to this Agreement and the Program Guidelines on a daily basis. Any payment due from
one party to the other under this Agreement and the Program Guidelines shall be made by an
automatic clearinghouse transfer with next day settlement on the business day immediately
succeeding the transaction date. Within twenty (20) days after the end of each calendar month, the
parties shall prepare a recap and reconciliation of all of the settlements made during that month,
and if the reconciliation reveals that one party owes the other an amount necessary to correct an
inaccuracy in the previous settlement process, that amount shall be paid immediately. The payment
and purchase obligations of the parties under this Agreement and the Program Guidelines shall
survive the termination of this Agreement and will remain in effect as long as any Loans remain on
the books of Lender. Lender acknowledges and agrees that if it issues its draft to a Borrower for
the disbursement of Loan proceeds to that Borrower and Cash America then honors that draft, the
amount of the draft shall be considered due and owing from Lender to Cash America on the date that
Cash America honors the draft. Pursuant to the requirements of Section 11 below, Cash America
shall capture and record all relevant data concerning any Loan transaction and prepare appropriate
reports and summaries as may be necessary to effect settlement hereunder, facilitate the review and
analysis of all Loan activity, and permit Lender to reflect such Loan transactions on its books and
records.

     7. Program Guidelines. Lender and Cash America will mutually agree upon the Program
Guidelines in writing from time to time. Except as provided in Section 9 below, the parties may
modify the then current Program Guidelines only by means of a written agreement signed by duly
authorized representatives of both parties. Both parties agree to act in good faith and in a
commercially reasonable manner in connection with the establishment and modification, if any, of
the Program Guidelines. The parties agree to perform their duties and responsibilities under this
Agreement in accordance with the provisions of the Program Guidelines, as they may be modified from
time to time.

     8. Program Materials; Advertising Materials; Trade Names and Trademarks. The parties
shall each be responsible for preparing their own respective Program Materials; provided, however,
prior to the use of any Program Materials prepared by one party, the other party shall be entitled
to review and approve such Program Materials in the manner described below. Each party agrees that
it will not use any Program Materials unless such Program Materials have been approved in advance
by the other party hereto. Cash America shall be responsible for the development of proposed
Advertising Materials concerning advertising and marketing of Loans and solicitation of potential
Borrowers. The form and content of all Advertising Materials shall be subject to the prior review
and approval of Lender in the manner described below. The nature of the Advertising Materials, the
scope of their dissemination, and the total expenditures to be made on Advertising Materials for
the Program shall be determined by Cash America in its reasonable discretion, and Cash America
shall pay all expenses concerning the production, use, and dissemination of Advertising Materials.
Notwithstanding anything herein to the contrary,

5

 

each party agrees that they will respond in writing to any request from the other party for an
approval of any Advertising Materials or Program Materials within five (5) business days following
such other party’s receipt of such materials and any such materials shall be deemed approved by
such other party upon the earlier to occur of (a) the actual approval of such materials, or (b)
upon the expiration of the above-described five (5) business day period if the party whose approval
is being sought fails to timely approve or disapprove such materials within such five (5) business
day period. If a party disapproves any proposed Program Materials or Advertising Materials within
the required time frame, such party will detail its reasons for such disapproval in such party’s
written disapproval notice to the other party. A party hereto may at any time retract or modify
any approval previously given by it with respect to any Program Materials or Advertising Materials
if such action is necessary in order to remain in compliance with the Rules; provided, however, no
party shall retract or modify a previously granted approval if there has been no intervening change
in the Rules which would require such retraction or modification. Lender acknowledges that approved
Program Materials or Advertising Materials may contain trade names, trademarks, or service marks of
Cash America, and Lender shall have no authority to use any such names or marks separate and apart
from their use in the Program Materials or Advertising Materials. The parties shall use Program
Materials and Advertising Materials only for the purpose of implementing the provisions of this
Agreement and shall not use Program Materials or Advertising Materials in any manner that would
violate the Rules or any provision of the Program Guidelines.

     9. Loan Terms and Charges; CSO Terms and Fees. All underwriting criteria, Loan terms
and all interest, fees, and other charges associated with the Loans, exclusive of any CSO Fees,
shall be established by Lender and shall be reflected in the Program Guidelines. Notwithstanding
the foregoing, however, Lender shall have the right to modify any underwriting criteria, Loan term,
interest rate, fee, or other charge (exclusive of any CSO Fees), if Lender reasonably determines
that such modification is necessary in order to remain in compliance with the Rules. The terms and
conditions of the CSO Disclosure Statements, CSO Contracts and the amount of any CSO Fees shall be
established by Cash America, shall comply with the Rules and shall be reflected in the Program
Guidelines. Notwithstanding the foregoing, however, Cash America shall have the right to modify
any CSO Disclosure Statements, CSO Contracts and the amount of any CSO Fees, if Cash America
reasonably determines that such modification is necessary in order to remain in compliance with the
Rules. In the event either party becomes aware that any underwriting criteria, Loan terms,
interest, fee or other charge associated with the Loan or any terms and conditions of the CSO
Disclosure Statements, CSO Contracts or the amount of any CSO Fee is not in compliance with the
Rules, the party becoming aware of the same shall notify the other party of such non-compliance and
each party hereto agrees to cooperate in good faith with each other, and to diligently take
commercially reasonable steps, as may be necessary in order to promptly correct any such
non-compliance.

     10. Third Party Service Providers. A party hereto shall not, whether directly or
indirectly, retain any Third Party Service Provider to assist it in performing its duties hereunder
or to otherwise participate in the Program except with the prior written consent of the other party
hereto, which consent shall not be unreasonably withheld. In seeking the approval to retain a
Third Party Service Provider, the party requesting such approval shall provide to the other party
such information concerning the proposed Third Party Service Provider as such other party may
reasonably request. A party may condition its willingness to approve a proposed Third Party

6

 

Service Provider upon obtaining a written commitment from such Third Party Service Provider to
comply with the terms of this Agreement and the Program Guidelines, to submit to audits and
inspections by either party hereto, and to indemnify the parties hereto upon such terms and
conditions as the parties hereto may reasonably require. Notwithstanding the above, Lender
acknowledges and agrees that those affiliate companies of Cash America that own and operate “Cash
America Pawn,” “Cash America Payday Advance,” “Cashland,” “Mr. Payroll,” “GoldX,” “Urgent Money,”
and “SuperPawn” stores are approved Third Party Service Providers for purposes of affording
potential Borrowers with the opportunity to complete and submit applications for Loans, but only
for so long as a particular store and such store’s location maintains all licenses and
registrations required by any governmental authorities of the State of Florida in order for such
store to lawfully operate its business. Cash America shall be responsible for supervising any
Third Party Service Providers retained by Cash America. Lender shall be responsible for supervising
any Third Party Service Providers retained by Lender.

     11. MIS and Accounting System. Cash America agrees to develop and maintain, at its
sole cost and expense, a comprehensive MIS and accounting system to accurately and immediately
reflect all Loan transactions and track all Loan balances and which will satisfy the information
requirements of Cash America, Lender, Processor and Regulatory Authorities having jurisdiction over
the Program, if any, and a telecommunications line and computer terminal within Lender’s main
office to access such system. Cash America shall provide Lender on a periodic basis with an
electronic file with data concerning all Loans originated hereunder to assist Lender in
incorporating such information into its internal accounting, record keeping, and audit systems.
Upon termination of this Agreement for any reason Cash America shall continue to provide the
accounting and MIS functions described herein for the Loans for the benefit of Lender and maintain
the MIS and accounting system described herein for such purpose for up to one (1) year following
termination of this Agreement.

     12. Cash America’s Representations and Warranties. Cash America makes the following
warranties and representations to Lender, all of which shall survive the execution and termination
of this Agreement for any reason:

	 	(a)	 	This Agreement is valid, binding and enforceable against Cash America in
accordance with its terms and has received all necessary corporate approvals. Except
for Cash America’s surety bonds described below, neither Lender nor Cash America is
required to obtain the approval of, or be licensed by, any Regulatory Authority to
lawfully perform their respective obligations hereunder.
	 
	 	(b)	 	Cash America is a corporation duly incorporated, validly existing, and in good
standing under the laws of the state of its incorporation and is authorized,
registered, and licensed to do business in Florida and in each state in which the
nature of its activities makes such authorization, registration, or licensing necessary
or required. Cash America has obtained a bond as required for credit services
organizations under Section 817.7001, et seq., of the Florida Statutes and will
maintain said bond throughout the term of this Agreement.
	 
	 	(c)	 	Cash America has the full organizational power and authority to execute and
deliver this Agreement and perform all of its obligations hereunder.

7

 

	 	(d)	 	The provisions of this Agreement and the performance of each of Cash America’s
obligations hereunder do not conflict with Cash America’s Articles of Incorporation,
Bylaws, or any agreement, contract, lease, or obligation to which Cash America is a
party or by which Cash America is bound.
	 
	 	(e)	 	The Board of Directors of Cash America has approved the terms and conditions of
this Agreement and has determined that entering into this Agreement is in the best
interests of Cash America.
	 
	 	(f)	 	This Agreement complies with and is enforceable under the Rules and the
operation of the Program in accordance with this Agreement and the Program Guidelines
will not violate any of the Rules.
	 
	 	(g)	 	Neither Cash America nor any principal thereof has been or is the subject of
any of the following:

	 	(i)	 	Criminal conviction (other than misdemeanor traffic offenses);
	 
	 	(ii)	 	IRS lien;
	 
	 	(iii)	 	Enforcement agreement, memorandum of understanding, cease and
desist order, administrative penalty, or similar agreement concerning lending
matters;
	 
	 	(iv)	 	Administrative or enforcement proceeding or material
investigation commenced by the Securities Exchange Commission, state securities
regulatory authority, Federal Trade Commission, or any other state or federal
Regulatory Authority (excluding routine examinations conducted by a Regulatory
Authority and excluding communications received in the ordinary course of
business from any Regulatory Authority such as communications concerning
consumer complaints or communications related to immaterial issues); or
	 
	 	(v)	 	Restraining order, decree, injunction, or judgment in any
proceeding or lawsuit alleging fraud or deceptive practices or illegal activity
on the part of Cash America or any principal thereof.

For purposes of this subsection the word “principal” of Cash America shall include
(i) any person directly or indirectly owning a ten percent or more equity interest
of Cash America, (ii) any officer or director of Cash America, and (iii) any person
actively participating in the control of Cash America’s business.

     13. Lender’s Representations and Warranties. Lender makes the following warranties
and representations to Cash America, all of which shall survive the execution and termination of
this Agreement for any reason:

8

 

	 	(a)	 	This Agreement is valid, binding and enforceable against Lender in accordance
with its terms and has received all necessary corporate approvals to enter into this
Agreement or perform its obligations hereunder.
	 
	 	(b)	 	Lender is a limited liability company duly formed, validly existing, and in
good standing under the laws of the State of Ohio and is authorized and registered to
do business in each state in which the nature of its activities makes such
authorization, registration, or licensing necessary or required. Lender is not
affiliated with Cash America or any affiliate of Cash America.
	 
	 	(c)	 	Lender has the full organizational power and authority to execute and deliver
this Agreement and perform all of its obligations hereunder.
	 
	 	(d)	 	The provisions of this Agreement and the performance of each of Lender’s
obligations hereunder do not conflict with Lender’s Articles of Organization, Operating
Agreement, or any agreement, contract, lease, or obligation to which Lender is a party
or by which Lender is bound.
	 
	 	(e)	 	Each Manager and Managing Member has approved the terms and conditions of this
Agreement and has determined that the entering of this Agreement by Lender is in the
best interests of Lender.
	 
	 	(f)	 	Neither Lender nor any principal thereof has been or is the subject of any of
the following:

	 	(i)	 	Criminal conviction (other than misdemeanor traffic offenses);
	 
	 	(ii)	 	IRS lien;
	 
	 	(iii)	 	Enforcement agreement, memorandum of understanding, cease and
desist order, administrative penalty, or similar agreement concerning lending
matters;
	 
	 	(iv)	 	Administrative or enforcement proceeding or investigation
commenced by the Securities Exchange Commission, state securities regulatory
authority, Federal Trade Commission, or any other state or federal Regulatory
Authority (excluding routine examinations conducted by a Regulatory Authority
and excluding communications received in the ordinary course of business from
any Regulatory Authority such as communications concerning consumer complaints
or communications related to immaterial issues); or
	 
	 	(v)	 	Restraining order, decree, injunction, or judgment in any
proceeding or lawsuit alleging fraud or deceptive practices or illegal activity
on the part of Lender or any principal thereof.

9

 

For purposes of this subsection the word “principal” of Lender shall include (i) any
person directly or indirectly owning a ten percent or more equity interest of
Lender, (ii) any officer or director of Lender, and (iii) any person actively
participating in the control of Lender’s business.

     14. Ownership of Customer Information. Lender and Cash America shall jointly own all
Borrower names, addresses, and telephone numbers and all account and other information, including
payment information, regarding Borrowers and Loan applicants who have been declined and all
records, data, and information pertaining to the foregoing (collectively, “Customer Information”);
provided, however, that neither party will use any of such Customer Information except to the
extent permitted by the Program Guidelines and the privacy policies of each of Cash America and
Lender set forth in the documents described in the Program Guidelines. Notwithstanding the
foregoing, without the need for obtaining Lender’s consent, Cash America shall be free to use
Customer Information for purposes of marketing, offering, selling, brokering, underwriting and
providing other products and services, including, without limitation, other loan products and
services that may be offered to consumers by Cash America, any Third Party Service Provider of Cash
America or any other lenders through the distribution channels of Cash America and any Third Party
Service Provider of Cash America, provided that, in all cases, however, any use by Cash America of
any such Customer Information shall comply with (i) all applicable Rules, (ii) the requirements of
the Program Guidelines, and (iii) the above-described privacy policies of both Cash America and
Lender and in the event any such Customer Information is used in connection with marketing,
offering, selling, brokering, underwriting or providing loans made by any party other than Cash
America, Lender agrees that such other lender may jointly own such Customer Information with Cash
America and Lender, so long as such other lender has a privacy policy no less restrictive than
Lender’s privacy policy described in the Program Guidelines and agrees in writing to comply with
such privacy policy and the privacy policies of Cash America and Lender. In addition,
notwithstanding that Lender has an ownership interest in the Customer Information, Lender agrees
that it will not use the Customer Information to market other products or services to the Borrowers
or to Loan applicants who have been declined without the prior written consent of Cash America.
Notwithstanding anything herein to the contrary, Cash America shall be the sole owner of all CSO
Disclosure Statements and all CSO Contracts and any information contained therein. The rights and
obligations of the parties under this Section 14 shall indefinitely survive the termination of this
Agreement.

     15. Term. The term of this Agreement shall be for a period of two (2) years
commencing as of the date hereof; provided, however, that either party may terminate this Agreement
prior to the expiration of its term pursuant to the provisions of this Section 15 and Section 16
below. Each party hereto shall have the right to terminate this Agreement immediately upon written
notice to the other party hereto, if (i) the terminating party determines in its reasonable
discretion that the activities of the parties under this Agreement or the Program are illegal under
or prohibited by any of the Rules; (ii) any Regulatory Authority having jurisdiction over the
Program, Cash America or the Lender requires the terminating party to terminate this Agreement;
(iii) the terminating party determines in its reasonable discretion that continued operation of the
Program may materially adversely affect the ongoing operations of the terminating party or those of
the terminating party’s affiliates; and in the event of a termination of this Agreement pursuant to
this clause (iii), the terminating party shall provide the

10

 

other party with a written explanation of the basis for such termination, and (iv) the
terminating party determines in its reasonable discretion that continued operation of the Program
may materially adversely affect the relationship between the terminating party or any of its
affiliates and any Regulatory Authority having jurisdiction over any of them.

     In addition, if Lender modifies any Loan term, interest rate, fee, or other charge pursuant to
Section 9 above, or if Lender materially modifies any underwriting criteria for the Loans pursuant
to Section 9 above, Cash America may terminate this Agreement upon thirty (30) days’ written notice
to Lender if Cash America determines in its reasonable discretion that such modification by Lender
would render it economically infeasible for Cash America to continue to perform its duties and
responsibilities hereunder or that such modification would cause any aspect of the Program to be in
violation of any Rule.

     Notwithstanding termination of this Agreement, the parties’ obligations with respect to
outstanding Loans shall remain in effect for so long as such Loans remain outstanding.

     16. Termination Upon Default.

	 	(a)	 	Either party shall have the right to terminate this Agreement upon occurrence
of one or more of the following events:

	 	(i)	 	failure by the other party to observe or perform that party’s
obligations to the other hereunder or to comply with any provision of this
Agreement, so long as the failure or nonperformance is not due to the actions
of the terminating party;
	 
	 	(ii)	 	in the event any Financial Information (as defined below),
representation, warranty, statement or certificate furnished to either party by
the other in connection with this Agreement, or any separate material statement
or document delivered or to be delivered hereunder by either party to the
other, is materially false, misleading, or inaccurate as of the date made or
delivered; and
	 
	 	(iii)	 	in the event a party hereto (or an affiliate of such party)
defaults under any other agreement executed between the parties hereto (and/or
any of their respective affiliates) and such default continues beyond any
applicable notice and cure period provided for such default under such other
agreement.

	 	(b)	 	The Agreement may be terminated pursuant to subsection (a)(i) above only if the
default continues for a period of thirty (30) days after the defaulting party receives
written notice from the other party specifying the default in the case of a
non-monetary default, or ten (10) days after the defaulting party receives written
notice from the other party specifying the default in the case of a failure to pay any
amount when due hereunder.

11

 

	 	(c)	 	In addition to any other right to terminate this Agreement, a party may
terminate this Agreement if the other party hereto, or such other party’s principals
(as defined in Sections 12 or 13 above, as the case may be) is the subject of any of
the following or if any of the following occurs with respect to such other party or
such other party’s principals: insolvency, inability to pay its debts as they become
due, the filing of a voluntary bankruptcy petition, the filing of an involuntary
bankruptcy petition which is not dismissed within thirty (30) days after filing
thereof, dissolution or termination of its existence as a going concern, or the
appointment of a receiver for any part of its property.

     17. Indemnification.

	 	(a)	 	Cash America’s Indemnification Obligations. Cash America shall
indemnify and hold Lender and its partners and affiliates harmless against any and all
claims, demands, liabilities, losses, penalties, fines, judgments, damages or expenses
(including, without limitation, legal fees, court costs, accounting fees and class
action costs) (collectively, “Damages”) accruing or arising out of (i) any breach by
Cash America of its obligations under this Agreement or the inaccuracy of any warranty
or representation of Cash America set forth in this Agreement; (ii) the act or omission
of Cash America or its employees, agents or representatives; (iii) any act or omission
of any Third Party Service Provider retained by Cash America, the inaccuracy of any
warranty or representation made for the benefit of Lender by any Third Party Service
Provider retained by Cash America, or the breach of any obligation owed to Lender by
any Third Party Service Provider retained by Cash America; (iv) any claim or
determination that the Loans or the activities of the parties hereunder are illegal
under or prohibited by any of the Rules and any other claim asserted by or on behalf of
Borrowers or a Regulatory Authority with respect to the Loans, and (v) any examination
or audit conducted by a Regulatory Authority as provided in Section 21. Nothing
herein, however, shall be construed to require Cash America to indemnify Lender for any
Damages directly arising out of any Lender Breach (hereinafter defined) or the fraud or
willful misconduct of Lender. The term “Lender Breach” shall mean the breach by Lender
of any of its obligations expressly set forth herein; provided, however, any breach by
Lender arising out of or related to the failure of Lender to comply with the Rules
shall not be deemed a Lender Breach unless and until Lender fails to comply with its
obligations under the last sentence of Section 9 hereof.
	 
	 	(b)	 	Lender’s Indemnification Obligations. Lender shall indemnify and hold
Cash America and its partners and affiliates harmless against any and all Damages
accruing or arising out of (i) any Lender Breach or the inaccuracy of any warranty or
representation of Lender set forth in this Agreement; (ii) the willful act or omission
of Lender or its employees, agents or representatives, or (iii) any act or omission of
any Third Party Service Provider retained by Lender without the consent of Cash
America, the inaccuracy of any warranty or representation made for the benefit of Cash
America by any Third Party Service Provider retained by Lender without the consent of
Cash America, or the breach of any obligation owed to Cash America by any Third Party
Service Provider retained by Lender

12

 

	 	 	 	without the consent of Cash America. Nothing herein, however, shall be construed to
require Lender to indemnify Cash America for any Damages directly arising out of any
breach by Cash America of its obligations under this Agreement or the breach of any
obligation of a Third Party Service Provider retained by Cash America or the
negligence or wrongful act of Cash America or any Third Party Service Provider
retained by Cash America.
	 
	 	(c)	 	Indemnification Procedures. Each party shall promptly notify the other
of any suit or threat of suit of which that party becomes aware which may give rise to
a right to indemnification under this Agreement but in any event within 30 days of the
discovery of such claim; provided, however, that the failure of a party alleging a
right of indemnity hereunder to provide prompt notice to the other shall relieve the
indemnifying party of its obligations hereunder only to the extent that the
indemnifying party can prove that such failure to provide prompt notice actually and
materially prejudiced the rights of such party. The indemnifying party shall promptly
reimburse the indemnified party for all Damages incurred by the indemnified party
(including Damages incurred in advance of the final disposition of the underlying
claim), shall bear all expenses in defending any such claim or matter, and shall be
entitled to participate in the settlement or defense of any matter for which the other
party seeks indemnity hereunder and, if the indemnifying party elects, to take over and
control the defense and settlement thereof utilizing counsel of its choice in
consultation with the indemnified party (in which case the indemnified party shall have
the right to employ separate counsel of its choice, but the fees and expenses of such
counsel shall be at the expense of the indemnified party). In all cases, the
indemnifying and indemnified parties shall cooperate and assist each other in all
reasonable respects in the defense and settlement of any such action.
	 
	 	(d)	 	Obligation to Refund Advanced Damages. In the event that either party
reimburses the other for Damages pursuant to the indemnification provisions of this
Section 17, in advance of the final disposition of the underlying claim, and if it is
ultimately determined by settlement or pursuant to the dispute resolution provisions
hereof that such Damages directly arose out of an occurrence that did not require such
indemnification under Section 17(a) or 17(b), as applicable, then the reimbursed party
agrees to repay to the other party any such Damages for which it received advanced
reimbursement to which it was not entitled hereunder. All Damages required to be repaid
under this Section 17(d) shall be repaid within 5 business days following the above
described ultimate determination.
	 
	 	(e)	 	Survival. This Section 17 shall survive any termination or expiration
of this Agreement.

     18. Expenses. Except as expressly provided to the contrary in this Agreement, each
party shall be responsible for all expenses incurred by it in the performance of its obligations
under this Agreement, including any expenses incurred by it in performing its respective duties set
forth in Sections 3 or 4 above, as the case may be.

13

 

     19. Scope of Relationship. The parties agree that the relationship established by
this Agreement is non-exclusive. Without limiting the foregoing and subject to the provisions of
Sections 14 and 20 of this Agreement, each party hereto is expressly permitted, without the need
for obtaining any further consent or approval from the other party hereto, to market, offer, sell,
broker, underwrite and/or provide other products and services, including, without limitation, any
other loan products and services and specifically including, without limitation, any loan products
and services similar in scope and nature to the Loans and the related services contemplated by the
Program Guidelines, through any of their respective distribution channels and the distribution
channels of their respective Third Party Service Providers, including, without limitation, any of
such distribution channels through which Loans are offered pursuant to this Agreement.

     20. Confidential Information. In performing their obligations pursuant to this
Agreement, each party may have access to and receive disclosure of certain confidential information
about the other party or parties, including, without limitation, the names and addresses of a
party’s customers or members, marketing plans and objectives, research and test results, and other
information which is confidential and the property of the party disclosing the information
(“Confidential Information”). The parties agree that the term Confidential Information shall
include this Agreement, the Program Guidelines, and the Program Materials, as the same may be
amended and modified from time to time. Confidential Information shall not include information in
the public domain or which is independently developed by the other party. Lender and Cash America
agree that Confidential Information shall be used by each party solely in the performance of its
obligations under this Agreement. Each party shall receive Confidential Information in confidence
and shall not disclose Confidential Information to any third party, except as may be permitted
hereunder or under the Program Documents, or as may be necessary to perform its obligations
hereunder, or as may be otherwise agreed in writing by the party furnishing the information, or as
required by the Rules or any Regulatory Authority. Notwithstanding anything herein to the
contrary, except as provided in Section 19 above, nothing herein shall prohibit either party hereto
from entering into agreements with any other party that include program guidelines and program
materials that may or may not be the same as, or substantially similar to, the Program Guidelines
and Program Materials. Upon request or upon any expiration or termination of this Agreement, each
party shall return to the other party or destroy (as the latter may instruct) all of the latter’s
Confidential Information in the former’s possession which is in any written or other recorded form,
including data stored in any computer medium; provided, however, that a party may retain the
Confidential Information of the other party (but subject to the requirements of this Section 20) to
the extent that such party needs access to such information to continue to perform any of its
obligations hereunder or to broker or service Loans or otherwise perform obligations owed by such
party to another party. Notwithstanding the foregoing, to the extent there are any inconsistencies
between this Section 20 and Section 14 above, the provisions of Section 14 above shall control.

     21. Regulatory Examinations and Financial Information. Each party agrees to submit to
any examination which may be required by any Regulatory Authority with audit and examination
authority over the other party, to the fullest extent that such Regulatory Authority may require
and to the fullest extent provided by law. Each party (either directly or by the use of accountants
or other agents or representatives) may audit, inspect, and review the other party’s files,
records, and books with respect to the Loans, the Program and its business operations. Each party
agrees to prepare, and shall preserve for at least three (3) years from the dates of their

14

 

preparation, quarterly balance sheets and quarterly statements of income, retained earnings
and cash flows for the last twelve months, together with complete and accurate books, records, and
accounts prepared and maintained on a consistent basis and in accordance with generally accepted
accounting principles (collectively, the “Financial Information”). Upon the request of a party
hereto, the other party hereto agrees to deliver to the requesting party, within 30 days of
receiving such request, the delivering party’s Financial Information, certified as true and correct
by an officer or principal of the delivering part (such request not to be made more often than
every three months). Each party agrees to submit such information as the other party may from time
to time reasonably request in order to ascertain the submitting party’s compliance with the
requirements of this Agreement and compliance with the Program. Each party agrees to submit to
operational audits and audits of such party’s electronic data processing functions, as the other
party may reasonably request from time to time. The auditing party will promptly submit the
results of such audits to the audited party. Any such audit shall be performed at the auditing
party’s sole cost and expense. The parties acknowledge and agree that, as and to the extent
provided by law, Lender shall be responsible to Borrowers, prospective Borrowers, and Regulatory
Authorities having jurisdiction over Lender and/or the Program for compliance with the Rules as
they may apply to the Loans and the Program Materials, but subject to the full performance by Cash
America of its obligations hereunder and the accuracy of Cash America’s warranties and
representations set forth herein concerning compliance with the Rules. Cash America acknowledges
that in discharging its compliance obligations under the Rules Lender shall rely on the full
performance by Cash America of its duties and obligations hereunder and the accuracy of Cash
America’s warranties and representations set forth herein.

     22. Relationship of Parties; No Authority to Bind. Lender and Cash America agree they
are independent contractors to each other in performing their respective obligations hereunder.
Nothing in this Agreement or in the working relationship established and developed hereunder shall
be deemed or is intended to be deemed, nor shall it cause, Lender and Cash America to be treated as
partners, joint ventures, joint associates for profit or otherwise be deemed to create a
relationship of agent and principal. Neither party shall have any authority to bind the other
party to any agreement except to the extent expressly permitted herein. Except as expressly set
forth in this Agreement to the contrary, no actions or failure to act on the part of a party hereto
shall be construed to imply the existence of any authority not expressly granted herein. Except as
expressly provided herein or in the Program Guidelines, Cash America is not authorized to, and
shall not make or amend any contract, incur any debt or liability, or extend any credit or enter
into any obligation on behalf of Lender; modify or amend any document evidencing a Loan (a “Loan
Document”), extend the time for making any payment which may become due under any Loan; or waive
any of Lender’s rights or privileges under any agreement made by Lender. Cash America understands
and agrees that Cash America’s name shall not appear on any Loan Document as the maker of a Loan
and that Cash America shall not have any participation in the credit decision to make or provide a
Loan, a Loan renewal or a Loan refinance or any participation in any act pertaining to the funding
of a Loan, a Loan renewal or a Loan refinance. Cash America shall refer to Lender any inquiries
concerning the accuracy, interpretation, or legal effect of any Loan Document. Cash America shall
not negotiate the terms of any Loan Document on behalf of Lender. Lender shall be deemed to have
received and reviewed the Loan Documents and supporting materials only after the Loan Documents and
materials have been previously received at Lender’s offices or if designated by Lender, by
Processor. Cash America shall not represent to anyone that Cash America has the authority or power
to do any of the

15

 

foregoing and shall make no representations concerning Lender’s transactions except as
expressly authorized in writing. Lender shall not have any authority or control over any of the
property interests or employees of Cash America, nor shall Lender have any authority or control
over any of the property interests or employees of those affiliates of Cash America that own and
operate stores at which potential Borrowers are offered the opportunity to complete and submit
applications for Loans. As used herein, the term “Loan Document” shall not include any agreements
that Cash America or any affiliate of Cash America may enter into directly with any party that
governs the agreement of Cash America or an affiliate of Cash America to attempt to broker a Loan
on behalf of any Borrower or any party who applies for, but is denied, a Loan.

     23. Governing Law; Arbitration. This Agreement shall be construed and performed in
accordance with the laws of the State of Florida. At the request of either party, any dispute
between the parties relating to this Agreement shall be submitted to binding arbitration under the
Commercial Arbitration Rules of the American Arbitration Association, provided, however, that a
party seeking specific performance hereunder pursuant to Section 30 below may pursue such remedy in
court. Unless otherwise agreed to by both parties, the location for any arbitration proceedings
concerning this Agreement shall be in Montgomery County, Ohio. In the event that a party initiates
a lawsuit in court concerning an arbitrable claim, controversy or dispute, such party shall pay the
other party for the costs, including attorneys’ fees that the other party incurs to obtain an order
from the court to stay or dismiss the lawsuit or otherwise compel arbitration. The arbitrator shall
be authorized to award such relief as is allowed by law. Except as provided below, each party
shall be responsible for its own attorneys’ fees incurred during the course of the arbitration, as
well as the costs of any witnesses or other evidence such party produces or causes to be produced.
The award of the arbitrator shall include findings of fact and conclusions of law. Except as
required by law, such award shall be kept confidential, and shall be final, binding, and conclusive
on the parties. Judgment on the award may be entered by any court of competent jurisdiction. The
prevailing party in the resolution of any dispute (“Dispute Resolution”) concerning this Agreement,
any provision hereof or any actual or alleged breach shall be entitled to its reasonable attorneys’
fees, including investigation and costs of discovery, and other costs connected with such Dispute
Resolution, in addition to all other recovery or relief. The prevailing party shall be that party
receiving substantially the relief sought or successfully defending substantially the position
maintained in the Dispute Resolution, whether or not brought to final award or judgment. The
parties agree that in the event of any litigation hereunder, including litigation brought pursuant
to Section 30 below, the exclusive venue and place of jurisdiction for such litigation shall be in
the State Courts or the Federal District Courts situated in Montgomery County, Ohio, and each party
hereto specifically consents and submits to the personal jurisdiction of such courts.

     24. Severability. If any provision of this Agreement is held to be illegal, invalid
or unenforceable under present or future laws effective during the term hereof, such provision
shall be fully severable and this Agreement shall be construed and enforced as if such illegal,
invalid or unenforceable provision never comprised a part hereof; and the remaining provisions
hereof shall remain in full force and effect and shall not be affected by the illegal, invalid or
unenforceable provision or by its severance herefrom. Furthermore, in lieu of such illegal,
invalid or unenforceable provision, there shall be added automatically as part of this Agreement a
provision as similar in its terms to such illegal, invalid or unenforceable provision as may be
possible and be legal, valid and enforceable.

16

 

     25. Guaranty. Cash America shall cause Cash America International, Inc. (“CAI”) to
guaranty all of Cash America’s obligations under this Agreement pursuant to a separate guaranty
agreement in form and substance reasonably satisfactory to Lender. In addition, Cash America
agrees to cause CAI to provide to Lender quarterly and annual reports concerning CAI consisting of
the financial and related information filed by CAI with the Securities and Exchange Commission
(“SEC”) (or, if CAI ceases to be a publicly held company, such information as it would file with
the SEC if it were still publicly held) at such times as such information is required to be filed
with the SEC.

     26. Successors and Third Parties. This Agreement and the rights and obligations
hereunder shall bind and inure to the benefit of the parties hereto and their successors and
assigns. Except as expressly provided herein with respect to Third Party Service Providers, the
rights and benefits hereunder are specific to the parties and shall not be delegated or assigned
without the prior written consent of the other party, which shall not be unreasonably withheld. As
a condition to an assignment of any rights or benefits hereunder, the assignee of such rights and
benefits must agree to be bound by the terms of this Agreement pursuant to an assignment document
executed by such assignee, in form and substance reasonably satisfactory to both Lender and Cash
America. Nothing in this Agreement is intended to create or grant any right, privilege, or other
benefit to or for any person or entity other than the parties hereto.

     27. Notices. All notices, requests, and approvals required or permitted by this
Agreement shall be in writing and addressed/directed to the other party at the address/facsimile
number below or at such other address of which the notifying party hereafter receives notice in
conformity with this Section 27. All such notices, requests, and approvals shall be deemed given
upon the earlier of facsimile transmission or actual receipt thereof:

	 	 	 	 	 
	 

	 	To Lender:
	 	NCP Finance Florida, LLC
	 

	 	 	 	100 East Third Street, 5th Floor
	 

	 	 	 	Dayton, Ohio 45402
	 

	 	 	 	Fax No.: 937.586.9474
	 

	 	 	 	Attention: Brenda K. Stampfli
	 
	 	 	 	 
	 

	 	To Cash America:
	 	Cash America Financial Services, Inc.
	 

	 	 	 	1600 West Seventh Street
	 

	 	 	 	Fort Worth, Texas 76102
	 

	 	 	 	Fax No.: 817.570.1647
	 

	 	 	 	Attention: General Counsel

     28. Waiver. Neither party hereto shall be deemed to have waived any of its rights,
powers or remedies hereunder except in an express writing signed by an authorized agent or
representative of the party to be charged with such waiver.

     29. Counterparts. This Agreement may be executed and delivered by the parties hereto
in any number of counterparts, each of which shall be deemed an original and all of which together
shall constitute one and the same instrument. Any signature on this Agreement may be a

17

 

facsimile signature and all parties agree that any signature delivered by facsimile shall be
treated as an original signature to any such document

     30. Specific Performance. Certain rights which are subject to this Agreement are
unique and are of such a nature as to be inherently difficult or impossible to value monetarily. In
the event of a breach of this Agreement by either party, an action at law for damages or other
remedies at law would be inadequate to protect the unique rights and interests of the parties.
Accordingly, the terms of this Agreement shall be enforceable in a court of equity by a decree of
specific performance or injunction. Such remedies shall, however, be cumulative and not be
exclusive and shall be in addition to any other remedy which the parties may have.

     31. Further Assurances. From time to time, the parties will execute and deliver to
the other such additional documents and will provide such additional information as either may
reasonably require carrying out the terms of this Agreement.

     32. Entire Agreement. This Agreement, and the documents executed and delivered
pursuant hereto, constitute the entire agreement between the parties, and may be amended or
modified only by a writing signed by duly authorized representatives of each party and dated
subsequent to the date hereof. This Agreement shall supersede and merge all prior communications,
representations, or agreements, either oral or written, between the parties hereto with respect to
the subject matter hereof, except where survival of prior written agreements is expressly provided
for herein.

     IN WITNESS WHEREOF, this Agreement is executed by the parties’ authorized officers and
representatives and shall be effective as of the date first above written.

	 	 	 	 	 	 	 	 	 	 	 
	LENDER:	 	 	 	CASH AMERICA:
	 
	 	 	 	 	 	 	 	 	 	 
	NCP FINANCE FLORIDA, LLC,	 	 	 	CASH AMERICA FINANCIAL SERVICES, INC.,
	an Ohio limited liability company	 	 	 	a Delaware corporation
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	 	 	NMCapital, Inc.,	 	 	 	 	 	 
	 

	 	 	 	an Ohio corporation,
	 	 	 	By:
	 	/s/ Daniel R. Feehan
	 

	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	its Managing Member
	 	 	 	 	 	Daniel R. Feehan, President

	 	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Lee Schear
	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Lee Schear, President	 	 

18

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