Document:

<Page>

                                                                   Exhibit 10.22

                                  OMTOOL, LTD.

               STOCK PURCHASE AND RESTRICTION AGREEMENT - DIRECTOR

       Omtool, Ltd. (the "COMPANY") hereby enters into this Stock Purchase and
Restriction Agreement, dated as of the date set forth below, with the
Stockholder named herein (the "AGREEMENT") and issues and sells the Shares
specified herein the following common stock pursuant to its 1997 Stock Plan, as
amended. The terms and conditions attached hereto are also part hereof.

<Table>
<S>                                                                <C>
------------------------------------------------------------------ ---------------------------
Name of Director (the "STOCKHOLDER"):                              [NAME]
------------------------------------------------------------------ ---------------------------
------------------------------------------------------------------ ---------------------------
Date of this restricted stock purchase:                            [DATE]
------------------------------------------------------------------ ---------------------------
------------------------------------------------------------------ ---------------------------
Number of shares of the Company's Common Stock issued and sold     [NUMBER OF SHARES]
under this Agreement (the "SHARES"):
------------------------------------------------------------------ ---------------------------
------------------------------------------------------------------ ---------------------------
Purchase price per share:                                          $0.01
------------------------------------------------------------------ ---------------------------
------------------------------------------------------------------ ---------------------------
Number of Shares that are Vested Shares on Vesting Start Date:     None
------------------------------------------------------------------ ---------------------------
------------------------------------------------------------------ ---------------------------
Shares that are Unvested Shares on Vesting Start Date:             [NUMBER OF SHARES UNVESTED]
------------------------------------------------------------------ ---------------------------
------------------------------------------------------------------ ---------------------------
Vesting Start Date:                                                [VESTING START DATE]
------------------------------------------------------------------ ---------------------------

   Vesting Schedule:

------------------------------------------------------------------ ---------------------------
On the annual anniversary date of the Vesting Start Date           [1/4 OF UNVESTED SHARES]
commencing one year from the Vesting Start Date:
------------------------------------------------------------------ ---------------------------
</Table>

                                         OMTOOL, LTD.
----------------------------------
Signature of Stockholder

                                         By:
----------------------------------          ----------------------------------
Street Address                              Name of Officer:
                                            Title:

----------------------------------
City / State / Zip Code

<Page>

                                  OMTOOL, LTD.

               STOCK PURCHASE AND RESTRICTION AGREEMENT - DIRECTOR

       Omtool, Ltd. (the "COMPANY") agrees to sell to the Stockholder, and the
Stockholder agrees to purchase from the Company, shares of the Company's Common
Stock, $.01 par value per share ("COMMON STOCK"), on the following terms and
conditions:

       1. GRANT UNDER PLAN. This stock purchase is made pursuant to and is
governed by the Company's 1997 Stock Plan, as amended (as the same may be
amended and/or restated from time to time, the "PLAN") and, unless the context
otherwise requires, terms used herein shall have the same meanings as in the
Plan. The Shares will be evidenced by this Agreement and the Stockholder will
not receive a certificate for the Shares. Initially, the Stockholders will have
his or her ownership of the Shares registered only in book-entry form in the
recording of the transfer agent for the Company's Common Stock. Book-entry
registration refers to a method of recording stock ownership in which no shares
are issued to stockholders. After any date on which the Shares have become
Vested Shares, the Stockholder may obtain, upon request from the Company to the
transfer agent for the Company's Common Stock, a certificate for the Vested
Shares registered in his or her name in book-entry form.

       2. PURCHASE AND SALE OF STOCK; PAYMENT OF PURCHASE PRICE. The Company
hereby sells to the Stockholder, and the Stockholder hereby purchases from the
Company, the Shares of Common Stock at the purchase price per Share set forth on
the cover page. The purchase price shall be paid by the Stockholder upon
execution and delivery of this Agreement by check payable to the Company.

       3. INVESTMENT REPRESENTATION. The Stockholder represents, warrants and
acknowledges that he or she has had an opportunity to ask questions of and
receive answers from a person or persons acting on behalf of the Company
concerning the terms and conditions of this investment. The Stockholder
represents and warrants to the Company that he or she is acquiring the Shares
with his or her own funds, for his or her own account for the purpose of
investment, and not with a view to any resale or other distribution thereof in
violation of the Securities Act of 1933, as amended (the "SECURITIES ACT"). As
applicable, the Company may place a legend on any stock certificate representing
the Shares to the effect that the Shares were acquired pursuant to an investment
representation without registration of the Shares and may make an appropriate
notation with respect to the same on its stock records. As applicable, the
Company may also place a legend on any stock certificate representing any of the
Shares reflecting the restrictions on transfer and any rights of repurchase and
rights of first refusal set forth herein and may make an appropriate notation on
its stock records with respect to the same.

       The Stockholder understands that the Company is under no obligation to
register the Shares under the Securities Act or to comply with the requirements
for any exemption that might otherwise be available, or to supply the
Stockholder with any information necessary to enable the

<Page>

                                      -2-

Stockholder to make routine sales of the Shares under Rule 144 or any other rule
of the Securities and Exchange Commission.

       4. VESTING IF BUSINESS RELATIONSHIP CONTINUES.

            (a) VESTING SCHEDULE. If the Stockholder has continuously maintained
       a business relationship with the Company as a director of the Company (a
       "BUSINESS RELATIONSHIP") through the vesting dates specified on the cover
       page hereof, Unvested Shares shall become Vested Shares (or shall "VEST")
       on such dates in an amount equal to the number of shares set opposite the
       applicable date on the cover page hereof. Subject to Section 4(b) below,
       if the Stockholder's Business Relationship by the Company ceases
       voluntarily or involuntarily, with or without cause, no additional
       Unvested Shares shall become Vested Shares under any circumstances with
       respect to the Stockholder. Any determination under this Agreement as to
       maintenance of a Business Relationship or other matters referred to above
       shall be made in good faith by the Board of Directors of the Company or
       the Compensation Committee of the Board of Directors, whose decision
       shall be binding on all parties.

            (b) ACCELERATED VESTING DUE TO ACQUISITION. Upon the consummation of
       an Acquisition (as defined in the Plan), the vesting provisions of this
       Agreement shall be accelerated such that all Unvested Shares shall
       immediately become Vested Shares.

            (c) TERMINATION OF BUSINESS RELATIONSHIP. For purposes hereof, the
       Stockholder's Business Relationship shall not be considered as having
       terminated during any leave of absence if such leave of absence has been
       approved in writing by the Company and if such written approval
       contractually obligates the Company to continue the Business Relationship
       of the Stockholder after the approved period of absence; in the event of
       such an approved leave of absence, vesting of Unvested Shares shall be
       suspended (and the period of the leave of absence shall be added to all
       vesting dates) unless otherwise provided in the Company's written
       approval of the leave of absence that specifically refers to this
       Agreement.

       5. RESTRICTIONS ON TRANSFER; PURCHASE BY THE COMPANY. The Stockholder
shall not sell, assign, transfer, pledge, encumber or dispose of all or any of
his or her Unvested Shares, except that Unvested Shares may be transferred only
pursuant to this Section 5 hereof. The Stockholder may not at any time transfer
any Shares to any individual, corporation, partnership or other entity that
engages in any business activity that is in competition, directly or indirectly,
with the products or services being developed, manufactured or sold by the
Company. The determination of whether any proposed transferee engages in any
business activity that is in competition with those of the Company shall be made
by the Board of Directors of the Company in good faith. This prohibition shall
be applicable in addition to and separately from the other provisions hereof.

       Upon the termination of the Stockholder's Business Relationship, the
Stockholder shall sell to the Company (or the Company's assignee) all of his or
her Unvested Shares in accordance

<Page>

                                      -3-

with the procedures set forth below. The purchase price (the "REPURCHASE PRICE")
of such Shares (the "REPURCHASED SHARES") shall be the purchase price per Share
set forth on the cover page hereof (subject to adjustment as herein provided).
The sale of the Repurchased Shares shall take place as soon as practicable at
the principal executive offices of the Company at the time and date set by the
Company. Such sale shall be effected by the Company's delivery of a stock power
executed by the Stockholder in the form attached hereto and a letter from the
Company to the Company's transfer agent noting the number of shares that are to
be repurchased, against payment to the Stockholder by the Company of the
Repurchase Price by check for the Repurchased Shares (which check may be
delivered by mail). Upon the mailing of a check in payment of the purchase price
in accordance with the terms hereof, the Company shall become the legal and
beneficial owner of the Shares being repurchased and all rights and interests
therein or relating thereto, and the Company shall have the right to retain and
transfer to its own name the number of Shares being repurchased by the Company.

       Notwithstanding the foregoing, the Stockholder may transfer all or any of
his or her Unvested Shares (x) as a gift to any member of his or her family or
to any trust for the benefit of any such family member or the Stockholder;
PROVIDED THAT any such transferee shall agree in writing with the Company, as a
condition precedent to such transfer, to be bound by all of the provisions of
this Agreement to the same extent as if such transferee were the Stockholder, or
(y) by will or the laws of descent and distribution, in which event each such
transferee shall be bound by all of the provisions of this Agreement to the same
extent as if such transferee were the Stockholder or (z) by court order, in
which event each such transferee shall be bound by all of the provisions of this
Agreement to the same extent as if such transferee were the Stockholder. As used
herein, the word "FAMILY" shall include any spouse, lineal ancestor or
descendant, brother or sister.

       6. DEATH; DISABILITY.

            (a) Upon the death or Disability (as defined below) of the
       Stockholder during the Stockholder's Business Relationship with the
       Company, but only to the extent the Stockholder has any Unvested Shares,
       all Unvested Shares shall become Vested Shares.

            (b) DEFINITION OF DISABILITY. For purposes of this Agreement, the
       term "DISABILITY" shall mean "PERMANENT AND TOTAL DISABILITY" as defined
       in Section 22(e)(3) of the Internal Revenue Code of 1986, as amended (the
       "CODE").

       7. WITHHOLDING TAXES. If the Company in its discretion determines that it
is obligated to withhold any tax in connection with the transfer of, or the
lapse of restrictions on, the Shares, the Stockholder hereby agrees that the
Company may withhold from the Stockholder's wages or other remuneration the
appropriate amount of tax. At the discretion of the Company, the amount required
to be withheld may be withheld in cash from such wages or other remuneration.
The Stockholder further agrees that, if the Company does not withhold an amount
from the Stockholder's wages or other remuneration sufficient to satisfy the
withholding obligation of the Company, the Stockholder will make reimbursement
on demand, in cash, for the amount underwithheld.

<Page>

                                      -4-

       8. FAILURE TO DELIVER SHARES. If any Stockholder (or his or her legal
representative) who has become obligated to sell Shares hereunder shall fail to
deliver such Shares to the Company in accordance with the terms of this
Agreement, the Company may, at its option, in addition to all other remedies it
may have, send to such Stockholder by registered mail, return receipt requested,
the purchase price for such Shares as is herein specified. Thereupon, the
Company: (i) shall cancel on its books the entry or entries and/or certificates
or certificates representing such Shares to be sold; and (ii) shall make, in
lieu thereof, a new entry or entries or issue, in lieu thereof, a new
certificate or certificates in the name of the Company representing such Shares,
and thereupon all of such Stockholder's rights in and to such Shares shall
terminate.

       9. ARBITRATION. Any dispute, controversy, or claim arising out of, in
connection with, or relating to the performance of this Agreement or its
termination shall be settled by arbitration in Massachusetts, pursuant to the
rules then obtaining of the American Arbitration Association. Any award shall be
final, binding and conclusive upon the parties and a judgment rendered thereon
may be entered in any court having jurisdiction thereof.

       10. PROVISION OF DOCUMENTATION TO STOCKHOLDER. By signing this Agreement
the Stockholder acknowledges receipt of a copy of this Agreement and a copy of
the Plan.

       11. MISCELLANEOUS.

            (a) NOTICES. All notices hereunder shall be in writing and shall be
       deemed given when sent by certified or registered mail, postage prepaid,
       return receipt requested, if to the Stockholder, to the address set forth
       on the cover page hereof or at the address shown on the records of the
       Company, and if to the Company, to the Company's principal executive
       offices, attention of the Corporate Secretary.

            (b) ENTIRE AGREEMENT; MODIFICATION. This Agreement constitutes the
       entire agreement between the parties relative to the subject matter
       hereof, and supersedes all proposals, written or oral, and all other
       communications between the parties relating to the subject matter of this
       Agreement. This Agreement may be modified, amended or rescinded only by a
       written agreement executed by both parties.

            (c) FRACTIONAL SHARES. All fractional Shares resulting from the
       adjustment provisions contained in the Plan shall be rounded down to the
       nearest whole share.

            (d) CHANGES IN CAPITAL STRUCTURE. In the event of any stock split,
       stock dividend, recapitalization, reorganization, merger, consolidation,
       combination, exchange of shares, liquidation, spin-off, split-up, or
       other similar change in capitalization or event, the securities received
       in respect of such event shall be "Shares" hereunder subject to this
       Agreement and shall retain the same status as "VESTED SHARES" or
       "UNVESTED SHARES" as the Shares in respect of which they were received,
       and the repurchase price per security subject to repurchase shall be
       appropriately adjusted by the Company.

<Page>

                                      -5-

            (e) SEVERABILITY. The invalidity, illegality or unenforceability of
       any provision of this Agreement shall in no way affect the validity,
       legality or enforceability of any other provision.

            (f) SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon and
       inure to the benefit of the parties hereto and their respective
       successors and assigns, subject to the limitations set forth herein.

            (g) GOVERNING LAW. This Agreement shall be governed by and
       interpreted in accordance with the laws of Delaware without giving effect
       to the principles of the conflicts of laws thereof.

            (h) NO OBLIGATION TO CONTINUE BUSINESS RELATIONSHIP. Neither the
       Plan, nor this Agreement, nor any provision hereof imposes any obligation
       on the Company to continue the Stockholder's Business Relationship with
       the Company.

                                    * * * * *

<Page>

                                   STOCK POWER

       FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers
unto ________________________________, taxpayer identification or social
security number __________________, residing at _______________________________
an aggregate of __________________ shares of common stock, $.01 par value per
share (the "Shares"), of Omtool, Ltd. (the "Corporation"), a Delaware
corporation standing in my name on the books of said Corporation, and do hereby
irrevocably constitute and appoint the Corporation as attorney-in-fact to
transfer the Shares in the books of the Corporation with full power of
substitution in the premises.

Dated:
      ------------------------------

                                         By:
                                            ----------------------------------

                                         Print Name:
                                                    --------------------------

Witness:
        ----------------------------Exhibit
10.6

 

Certain
confidential portions of this Exhibit were omitted by means of asterisks in
lieu of the text (the “Mark”). This Exhibit has been filed separately with the
Secretary of the Securities and Exchange Commission without the Mark pursuant to
the Company’s request for confidential treatment pursuant to Rule 406 under the
Securities Act of 1933, as amended.

 

 

PROCESSING
SERVICES AGREEMENT

 

 

between

 

 

VITAL
PROCESSING SERVICES L.L.C.

 

 

and

 

 

HEARTLAND
PAYMENT SYSTEMS, INC.

 

 

dated

 

 

APRIL
1, 2002

 

 

TABLE OF CONTENTS

 

	
  PREAMBLE

  	
   

  
	
   

  	
   

  
	
  DEFINITIONS

  	
   

  
	
  Average Monthly Billing

  	
   

  
	
  Confidential Information

  	
   

  
	
  Conversion Assistance

  	
   

  
	
  Conversion Plan

  	
   

  
	
  Dispute

  	
   

  
	
  Initial Term

  	
   

  
	
  Merchant
  Services

  	
   

  
	
  Service
  Levels

  	
   

  
	
   

  	
   

  
	
  1. OBLIGATIONS OF VITAL PROCESSING
  SERVICES, L.L.C

  	
   

  
	
  1.1 Basic Services

  	
   

  
	
  1.2 Standard of Care

  	
   

  
	
  1.3 Conversion Assistance

  	
   

  
	
  1.4 Service Levels

  	
   

  
	
  1.5 Compliance
  with Laws and Regulations

  	
   

  
	
  1.6 Implementation Dates

  	
   

  
	
  1.7
  Custom Code Projects

  	
   

  
	
   

  	
   

  
	
  2.
  OBLIGATIONS OF HEARTLAND PAYMENT SYSTEMS, INC

  	
   

  
	
  2.1 Data and Information

  	
   

  
	
   

  	
   

  
	
  3. FEES FOR MERCHANT SERVICES

  	
   

  
	
  3.1 Fees and Expenses

  	
   

  
	
  3.1.1
  Manner/Time of Payment

  	
   

  
	
  3.1.2
  Taxes

  	
   

  
	
  3.2 Increase in Core Processing Fees

  	
   

  
	
  3.3 Minimum Processing Transactions

  	
   

  
	
  3.3.1 Dial Authorization and
  Capture Transactions-Exhibit “A”

  	
   

  
	
  3.3.2 Core Clearing and
  Settlement Services-Exhibit ‘B”

  	
   

  
	
  3.4 Increased Fees and Expenses

  	
   

  
	
   

  	
   

  
	
  4. TERM OF THE AGREEMENT

  	
   

  
	
  4.1 Initial
  Term

  	
   

  
	
  4.1.1
  Renewal

  	
   

  
	
  4.2 Termination at End
  of Initial Term or Renewal Term

  	
   

  
	
  4.3 Termination by VITAL

  	
   

  
	
  4.4 Early Termination by
  HEARTLAND

  	
   

  
	
  4.5 Default and Remedies

  	
   

  
	
  4.6
  Effect of Termination

  	
   

  
	
  4.7 Deconversion

  	
   

  
	
  4.7.1 Deconversion Fees

  	
   

  
	
  4.72
  Time of Payment of Deconversion Fee

  	
   

  

 

1

 

	
  4.8
  Pricing After Termination

  	
   

  
	
   

  	
   

  
	
  5.
  CONFIDENTIAL INFORMATION

  	
   

  
	
  5.1
  Confidential Information

  	
   

  
	
  5.1.1 HEARTLAND’s Confidential Information

  	
   

  
	
  5.1.2
  VITAL’s Confidential Information

  	
   

  
	
  5.2 Protection of Confidential Information

  	
   

  
	
  5.3 Confidentiality of
  Agreement

  	
   

  
	
  5.4 Exclusions

  	
   

  
	
  5.5
  Confidential Information

  	
   

  
	
  5.6
  Survival

  	
   

  
	
   

  	
   

  
	
  6.
  INDEMNIFICATION

  	
   

  
	
  6.1 VITAL Indemnification

  	
   

  
	
  6.2 HEARTLAND Indemnification

  	
   

  
	
  6.3 Force Majeure/Business Continuity

  	
   

  
	
  6.4 Data
  Transmission

  	
   

  
	
  6.5 Operational Breakdowns

  	
   

  
	
  6.6
  Errors

  	
   

  
	
  6.7 Reliance on HEARTLAND’s Information

  	
   

  
	
  6.8
  Special Damages

  	
   

  
	
  6.9 Limitation of Liability

  	
   

  
	
   

  	
   

  
	
  7 NOTICES

  	
   

  
	
  7.1
  Address

  	
   

  
	
  7.2 Form of Notice

  	
   

  
	
   

  	
   

  
	
  8. ADDITIONAL PROVISIONS

  	
   

  
	
  8.1 Relationship of Parties

  	
   

  
	
  8.2 Assignment

  	
   

  
	
  8.3
  Authority

  	
   

  
	
  8.4 Insolvency

  	
   

  
	
  8.5
  Waiver

  	
   

  
	
  8.6 Dispute

  	
   

  
	
  8.7
  Business Continuity

  	
   

  
	
  8.8
  Insurance

  	
   

  
	
  8.9 Offsite Storage

  	
   

  
	
  8.10
  Property Rights

  	
   

  
	
  8.11
  Hiring with Consent

  	
   

  
	
  8.12
  Binding Nature

  	
   

  
	
  8.13
  Section Headings

  	
   

  
	
  8.14
  Entire Agreement

  	
   

  
	
  8.15
  Governing Law

  	
   

  

 

2

 

	
  EXHIBITS

  	
   

  
	
   

  	
   

  
	
  Merchant Point-of-Sale Service Descriptions
  and Pricing (Exhibit A)

  	
   

  
	
  Reseller Terms and
  Conditions (Exhibit A-I)

  	
   

  
	
  Clearing and Settlement
  (Exhibit B)

  	
   

  
	
  Service Levels (Exhibit
  C)

  	
   

  
	
  Authorization for ACH
  Payments (Exhibit D)

  	
   

  

 

3

 

THIS AGREEMENT
(“Agreement”) is made and entered into this 1st day of April 2002 by and
between VITAL PROCESSING SERVICES L.L.C. (“VITAL”), of Tempe, AZ, and HEARTLAND
PAYMENT SYSTEMS, INC. (“HEARTLAND”), a Delaware Corporation, and supersedes and
replaces any pre-existing agreement between the parties.

 

PREAMBLE

 

The terms and provisions
of this Agreement provide for the utilization by HEARTLAND of the Merchant
Services for card and merchant authorization services as described in Exhibit
“A” hereto and for merchant accounting and clearing services as described in
Exhibit “B” hereto. Merchant authorization services and merchant accounting and
clearing services are hereinafter referred to as “Merchant Services”. To
provide for the use of the Merchant Services by HEARTLAND and in consideration
of the terms and provisions specified in this Agreement, the parties hereto
agree as follows:

 

DEFINITIONS

 

“Average Monthly Billing” shall have the meaning
given in Section 6.9.1

“Confidential
Information” shall have the meaning given in Section 5

“Conversion
Assistance” shall have the meaning given in Section 1.3

“Conversion
Plan” shall have the meaning given in Section 1.3

“Dispute”
shall have the meaning given in Section 8.6

“Initial
Term” shall have the meaning given in Section 4.1

“Merchant
Services” shall have the meaning given in the Preamble

“Service Levels”
shall have the meaning given in Exhibit “C”

 

1.            
OBLIGATIONS OF VITAL PROCESSING SERVICES, L.L.C.

 

1.1          
Basic
Services. 
VITAL will make Merchant Services available to HEARTLAND, some or all of which
HEARTLAND presently agrees to use, and others of which VITAL offers to
HEARTLAND for its future use.

 

1.2          
Standard
of Care.  In
performing the Merchant Services contemplated under this Agreement, and in the
selection and use of facilities, equipment, machines and personnel required for
such performance, and in the custody and safekeeping of materials famished to

 

1

 

VITAL by HEARTLAND, or acquired by VITAL on behalf of,
HEARTLAND in connection therewith, VITAL shall exercise ordinary care and
diligence.

 

1.3          
Conversion Assistance.  Upon the execution of the Agreement, VITAL
agrees to begin the conversion transition process, if terminals or merchant
accounts are to be converted for Merchant Services, that entails the analysis
of HEARTLAND’s existing merchant data and POS services. At the conclusion of
the above analysis, the parties agree to define the commencement and conclusion
dates for the conversion of HEARTLAND’s merchants and terminals for Merchant
Services and to complete a conversion plan (“Conversion Plan”).

 

1.4          
Service
Levels. 
VITAL agrees to provide or make available the Merchant Services in accordance
with the service levels set forth in Exhibit “C”, attached hereto.

 

1.5          
Compliance with Laws and Regulations.  In providing Merchant Services to
HEARTLAND, VITAL agrees to comply with VISA and MasterCard bylaws and operating
regulations and federal and state regulations relating to bankcard processing
for HEARTLAND; provided, however, that VITAL shall not be obligated to comply
with the provisions of any state laws, rules or regulations, including changes
made therein, unless HEARTLAND gives notice to VITAL in writing of the
application of such laws, rules and regulations to the performance of Merchant
Services.

 

1.6          
Implementation Dates.  VITAL will use commercially reasonable efforts
to meet reasonable implementation dates for acquisitions/conversions as
required by HEARTLAND.

 

1.7          
Custom Code Projects.  VITAL will supply
information and back-up documentation for derivation of costs and time
estimates for custom-code projects.

 

2.            
OBLIGATIONS OF HEARTLAND PAYMENT SYSTEMS, INC.

 

2.1          
Data and Information.  Insofar as the performance of Merchant
Services under this Agreement by VITAL requires data, documents, information or
materials of any nature to be furnished, in whole or in part, by HEARTLAND or
HEARTLAND’s employees, agents or other representatives, or requires other
services to be performed by HEARTLAND or HEARTLAND’s employees, agents or other
representatives, HEARTLAND hereby agrees to furnish or cause its

 

2

 

employees, agents or other representatives, to furnish
all such data, documents, information and materials, and to perform all such
services within such time or times, and in such form or manner, as is necessary
in order to enable VITAL to perform Merchant Services hereunder in a timely
manner.

 

3.            
FEES
FOR MERCHANT
SERVICES

 

3.1          
Fees
and Expenses. 
VITAL’s fees for Merchant Services provided hereunder are set forth in Exhibit
“A” and Exhibit “B” attached hereto and made a related part hereof. VITAL will
render a billing statement for all processing fees and expenses contemplated by
this Agreement no later than the fifteenth (15th) day of the month [or the
following business day if the fifteenth (15th) day falls on a weekend or a
holiday] during the term of this Agreement. HEARTLAND shall designate a
HEARTLAND bank account with respect to which VITAL shall have authority to
debit the account for fees and expenses and agrees to execute the ACH
authorization attached hereto as Exhibit “D”. HEARTLAND may dispute any of the
fees and charges invoiced by VITAL by providing written notice (facsimile
accepted) to VITAL no later than the close of business on the twentieth (20th)
day of the month [or the following business day if the twentieth (20th) falls
on a weekend or holiday]. Such written notice must include a detailed
description of the items and amounts disputed as well as the nature of the
dispute. Such written notice shall be sent to the following address:

 

VITAL PROCESSING
SERVICES, L.L.C.

Attention: Billing Department

8320 South Hardy Drive

Tempe, AZ 85284

 

In such event, VITAL will not debit for such disputed
amounts until the dispute is resolved, provided that the amount in dispute in
more than five thousand dollars ($5,000.00). VITAL shall debit HEARTLAND’s
designated account the undisputed amount due on the invoice on the second (2nd)
day of the month after the invoice is issued . In the event that a portion of
the bill is disputed within forty-five (45) days after billing and VITAL has
debited HEARTLAND’s account for such amount, VITAL will credit HEARTLAND the
amount in dispute provided that HEARTLAND notifies VITAL in writing within the
forty-five (45) day period with the specifics about the amount in dispute and
provided that the amount in dispute in more than five thousand

 

3

 

dollars ($5,000.00). All disputes under this Section
3.1 will be settled pursuant to Section 8.6 of this Agreement.

 

3.1.1       
Manner/Time of Payment.  VITAL may modify
its billing procedures upon ninety (90) days’ notice to HEARTLAND. Any modification
to these procedures will not shorten the period of time that the fees and
expenses are due to VITAL.

 

3.1.2       
Taxes.  It is understood and agreed
between the parties hereto that the fees provided for in this Agreement are
exclusive of any and all applicable taxes or assessments, whether designated as
sales taxes, use taxes, ad valorem taxes, property taxes, federal, state, local
or income taxes or by some other name or designation, and including any
interest or penalties thereon, which may be levied upon or assessed by any
governmental or taxing jurisdiction in connection with the performance of
services hereunder for HEARTLAND or the provision to HEARTLAND of any equipment
necessary for the performance of services hereunder for HEARTLAND, and exclusive
of any expenses which expenses, by the express terms hereof, are to be paid by
HEARTLAND. In the event of the payment of or for any such tax, assessment or
expense by VITAL for HEARTLAND, HEARTLAND shall in turn pay VITAL for such
items.

 

3.2          
Increase
in Core Processing
Fees.  The agreed upon fees stated in Exhibit “A” and Exhibit “B” shall be
guaranteed for a period of four (4) years from the date this Agreement becomes
effective except for the services for which VITAL is a reseller of services, in
which instance VITAL will give ninety (90) days’ prior written notice of any
price increase that results from a price increase from the provider of the
services.

 

3.3          
Minimum Processing Transactions.

 

3.3.1       
Dial Authorization and Capture Transactions–Exhibit “A”.  HEARTLAND
agrees, beginning April 1, 2002, to process a minimum of ***********
dial authorization and capture transactions per year for the first two (2)
years of the Initial Term. HEARTLAND also agrees, beginning April 1, 2004, to
process a minimum of ********** dial authorization and capture transactions per
year for the last two (2) years of the Initial Term.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

4

 

Should HEARTLAND fail to meet the minimums outlined
above for any given contract year, the shortfall number of transactions will be
billed by VITAL to HEARTLAND at the applicable transaction rate, as stated in
Exhibit “A” hereto, on HEARTLAND’s first monthly invoice of the following
contract year and will be payable within thirty (30) days.

 

3.3.2       
Clearing and Settlement Services – Exhibit “B”.  HEARTLAND
agrees, beginning April 1, 2002, to pay VITAL a minimum of ***********
in core clearing and settlement fees per month for the first two (2) years of
the Initial Term. HEARTLAND also agrees beginning April 1, 2004 to pay VITAL a
minimum of ********** in core clearing and settlement fees per month for the
last two (2) years of the Initial Term. Core clearing and settlement fees are
defined in Sections 1.1, 1.2 and 1.3 of Exhibit “B” hereto. Should HEARTLAND
fail to meet the monthly minimums outlined above, the shortfall will be billed
by VITAL to HEARTLAND on HEARTLAND’s monthly invoice and will be payable within
thirty (30) days.

 

3.4          
Increased
Fees and
Expenses.  Any other provision herein to the contrary notwithstanding, the
fees and expenses to be paid by HEARTLAND for the Merchant Services provided
herein may be increased to directly offset any increase in rates charged by any
communication service providers, by providers of products for which VITAL is a
reseller or to offset any increase due to a change in applicable law or the
rules, regulations or operating procedures of either VISA, MasterCard, other
supported plans or any applicable federal or state governmental agency or
regulatory authority. Any such change shall become effective on the same day as
the increase in rates charged by the communications service providers or the
providers of products which VITAL resells or due to change in applicable law,
rules, regulations or operating procedures becomes effective. VITAL shall give
HEARTLAND ninety (90) days’ written notice of any increase or the amount of
notice that VITAL receives of such increase if such notice to VITAL is less
than ninety (90) days.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

5

 

4.            
TERM
OF THE AGREEMENT

 

4.1          
Initial Term.
 The term of this Agreement shall begin on April 1, 2002, and shall
continue in full force and effect for a period of four (4) years (“Initial
Term”) through March 31, 2006.

 

4.1.1       
Renewal.  Upon the expiration of the
Initial Term of this Agreement, this Agreement shall be automatically renewed
for consecutive one (1) year terms thereafter (“Renewal Term”) until and unless
terminated as provided in Section 4.2 hereunder.

 

4.2          
Termination at End of Initial Term or Renewal Term.  Subject to
providing two hundred seventy (270) days’ prior written notice to VITAL,
HEARTLAND may terminate this Agreement at the end of the Initial Term, or at
the end of any Renewal Term. VITAL may terminate this Agreement at the end of
the Initial Term, or at the end of any Renewal Term, by giving at least two
hundred seventy (270) days’ prior written notice to HEARTLAND.

 

4.3          
Termination by VITAL.  VITAL may terminate this Agreement in the
event HEARTLAND fails to make or adequately and timely provide for the payment
of undisputed fees and expenses due hereunder, but only if VITAL gives
HEARTLAND written notice of such failure and HEARTLAND fails to remedy such
failure within thirty (30) days after its receipt of said notice. Upon the
expiration of the thirty (30) day period provided for above, VITAL may
terminate this Agreement by giving HEARTLAND written notice, which termination
shall be effective immediately upon HEARTLAND’s receipt of such notice. If such
failure to pay is remedied by HEARTLAND within such thirty (30) day period, then
this Agreement shall continue as though no such notice had been given.

 

4.4          
Early Termination by HEARTLAND.  HEARTLAND may terminate this
Agreement at any time during the Initial Term, or any subsequent Renewal Term,
by giving at least two hundred and seventy (270) days’ prior written notice to
VITAL. In the event HEARTLAND elects to terminate this Agreement without cause,
or for convenience, at any time pursuant to this paragraph, and such
termination is effective before the last day of the Initial Term, or any
subsequent Renewal Term, HEARTLAND shall pay VITAL a termination fee on the
date of termination as VITAL’s sole remedy. The termination fee will be
calculated by multiplying the average of the last three (3) months’ gross
billings by the number of months remaining in the Agreement after the date of
termination. For purposes of calculating the early

 

6

 

termination fee, the total fees for clearing and
settlement services shall be the greater of *********** or
**********.

 

4.5          
Default
and Remedies. 
If either party fails to observe, keep or perform any material term or
condition of this Agreement, except for the service levels which are addressed
in Exhibit “C”, required to be observed, kept or performed by that party, the
other party, in addition to any other rights and remedies it may have, shall
have the right to terminate this Agreement without paying a termination fee;
provided, however, that the party seeking to terminate the Agreement gives the
other party a written notice of such failure claimed to be a material breach of
terms and conditions of this Agreement, and the party receiving said notice
fails to remedy the breach within thirty (30) days after its receipt of said
notice. If the material breach is not remedied by the defaulting party within
the thirty (30) day period provided for above, the nondefaulting party may
terminate this Agreement by giving the defaulting party written notice
effective immediately. If the material breach is remedied by the defaulting party
within such thirty (30) day period, then this Agreement shall continue as
though no such notice had been given.

 

4.6          
Effect of Termination.  Termination of
this Agreement shall not terminate HEARTLAND’s obligations to pay VITAL fees
for all services performed and expenses incurred under the Agreement prior to
the discontinuance of performance of Merchant Services by VITAL hereunder.

 

4.7          
Deconversion.  HEARTLAND agrees to provide VITAL
with at least two hundred and seventy (270) days’ prior written notice of any
conversion from VITAL to another processor. Upon termination, VITAL shall
cooperate with HEARTLAND in transferring processing promptly and smoothly to
any other processor designated by HEARTLAND and VITAL shall make available to
such processor all information VITAL possesses regarding HEARTLAND’s customers
and accounts in such form as HEARTLAND may reasonably request, together with
adequate instructions concerning the format and means of accessing HEARTLAND’s
data.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

7

 

4.7.1       
Deconversion Fees.  Upon each deconversion, HEARTLAND shall pay VITAL a
deconversion fee of *********** for each BIN bank number deconverted
and pay VITAL at VITAL’s current per diem or hourly charged rates for all
services provided by VITAL and shall pay VITAL for all expenses actually incurred
by VITAL in connection therewith, including costs of magnetic tapes, disks,
punch cards or other storage devices or media transferred by VITAL.

 

4.7.2       
Time
of Payment of
Deconversion Fee.  Any payments to be made by HEARTLAND to VITAL under
this Section 4.7 shall be made within thirty (30) days of the receipt by
HEARTLAND of an invoice from VITAL including such fees and expenses.

 

4.8          
Pricing After Termination.  After the
termination date of this Agreement, the Merchant Services will be provided by
VITAL on a month-to-month basis with no minimums and pricing will be standard
tier pricing based on VITAL’s then-current standard pricing. The standard tier
pricing may be raised by VITAL ten percent (10%) at the end of the initial six
(6) months of the month-to-month and ten percent (10%) every six (6) months
thereafter with no notice to HEARTLAND.

 

5.            
CONFIDENTIAL INFORMATION

 

5.1          
Confidential
Information.

 

5.1.1       
HEARTLAND’s Confidential Information.  All
information of a business nature relating to HEARTLAND’s assets, liabilities,
credit programs, customers or other business affairs disclosed to VITAL by
HEARTLAND or disclosed in connection with this Agreement, or known by VITAL as
a result of providing Merchant Services to HEARTLAND (“Confidential
Information”) is confidential.

 

5.1.2       
VITAL’s
Confidential
Information.  All information of a business nature relating to VITAL’s
assets, liabilities, credit programs, customers or other business affairs
disclosed to HEARTLAND by VITAL or disclosed in connection with this Agreement,
or known by HEARTLAND as a result of the provision of Merchant Services by
VITAL (“Confidential Information”) is confidential.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

8

 

5.2          
Protection of Confidential Information.  Each
party shall cause its officers, employees and agents to take such action as
shall be necessary, or advisable, to preserve and protect the confidentiality
of such Confidential Information. This shall not prohibit each party from
disclosing such Confidential Information to persons required to have access
thereto for the performance of this Agreement, including legal counsel or
outside consultants; provided, however, that such persons shall be notified of
the confidential nature of such Confidential Information and be bound to keep
such Confidential Information confidential to the same standard that the
disclosing party is obligated to keep the Confidential Information
confidential. All such Confidential Information, including records created
therefrom by VITAL, shall remain the property of HEARTLAND, and VITAL shall
provide such Confidential Information to HEARTLAND or to another party upon
HEARTLAND’s request.

 

5.3          
Confidentiality of Agreement.  Each party agrees that the terms
and conditions of this Agreement, including the fees for Merchant Services
provided hereunder which are set forth in Exhibit “A” and Exhibit “B” hereto,
are confidential. Neither party shall, without the express prior written
consent of the other party, disclose such terms and conditions (including fees)
to any other unaffiliated person, firm or corporation.

 

5.4          
Exclusions.  VITAL’s and HEARTLAND’s
obligations and agreements under this Section 5.4 shall not apply to any
information supplied that:

 

5.4.1       
Was known to either
party prior to the disclosure by the other,

 

5.4.2       
Is or becomes
generally available to the public other than by breach of this Agreement,

 

5.4.3       
Otherwise becomes
lawfully available on a non-confidential basis from a third party who is not
under an obligation of confidence to either party,

 

5.4.4       
Is independently
developed by either party without the use of Confidential Information provided
by the other party, or

 

5.4.5       
Is disclosed in
response to a court order, subpoena or other request of a state or federal
court or regulatory body.

 

9

 

5.5          
Confidential
Information.  If its obligations with respect to Confidential Information
provided in Section 5 are breached and such breach is not cured within ninety
(90) days’ notice thereof, except that if the failure is one that by its nature
cannot be cured in ninety (90) days, the breaching party must make reasonable
efforts to minimize the breach and to prevent the recipient of the Confidential
Information from using same. Each party agrees that the other party would
suffer immediate and irreparable harm in the event any Confidential Information
is used in a manner not permitted by this Agreement. In the event of a breach
or a threatened breach of the provisions of this Agreement, the non-breaching
party shall be entitled to injunctive relief restraining the other party from
such breach or threatened breach. Nothing herein shall be construed as
prohibiting either party from pursuing any other remedy on account of such
breach or threatened breach.

 

5.6          
Survival.  The terms of Section 5 shall
survive the termination of this Agreement.

 

6.            
INDEMNIFICATION

 

6.1          
VITAL Indemnification.  VITAL shall be liable to and shall indemnify
and hold HEARTLAND harmless from and against any and all loss, liability, cost,
damage and expense (including reasonable legal and accounting fees and
expenses) to which HEARTLAND may be subjected or which it may incur in
connection with any claims which arise from or out of or as a result of the
negligent acts or omissions of VITAL, its officers, employees, agents and
affiliates, in the performance of their duties and obligations under this
Agreement.

 

6.2          
HEARTLAND Indemnification.  HEARTLAND shall be liable to and
shall indemnify and hold VITAL harmless from and against any and all loss,
liability, cost, damage and expense (including reasonable legal and accounting
fees and expenses) to which VITAL may be subjected or which it may incur in
connection with any claims which arise from or out of or as the result of the
negligent acts or omissions of HEARTLAND, its officers, employees, agents and
affiliates, in the performance of their duties and obligations under this
Agreement. HEARTLAND shall bear all risk of loss of items, records, data and
materials during transit from HEARTLAND to VITAL’s location (or that of VITAL’s
agents or sub-contractors).

 

6.3          
Force
Majeure /
Business Continuity.  In no event shall VITAL or HEARTLAND be liable with
respect to the failure of its duties and obligations under this Agreement
(other than

 

10

 

an obligation to pay money) which is attributable to
acts of God, war, terrorism, conditions or events of nature, civil
disturbances, work stoppages, equipment failures, power failures, fire or other
similar events beyond its control, unless the failure to perform such duties
and obligations is a result of VITAL’s failure to maintain adequate business
continuity capabilities and to periodically ensure the effectiveness of same.

 

6.4          
Data Transmission.  In no event shall
VITAL be liable with respect to any loss, liability, cost, damage or expense
arising from any loss, theft, disappearance of or damage to data transmitted by
dataline or other means of electronic transmission that occurs during such
transmission unless such loss, liability, cost, damage or expense is the result
of VITAL’s negligence or intentional acts.

 

6.5          
Operational Breakdowns.  VITAL does not guarantee the absence of break
downs, operational failures, unavoidable delays or other similar causes beyond
VITAL’s control and VITAL shall have no liability for loss, liability, cost,
damage or expense resulting directly or indirectly from any such cause unless
such breakdown, operational failure, unavoidable delay or other cause is the
result of VITAL’s negligence or intentional acts.

 

6.6          
Errors.  HEARTLAND agrees to check all
output information produced by VITAL, including but not limited to, statements
and interchange qualification levels to determine if such information is
correct, and will promptly report any errors discovered therein to VITAL. In no
event shall VITAL be liable with respect to any loss, liability, cost, damage
or expense caused by VITAL’s failure to perform hereunder but not reported by
HEARTLAND to VITAL within ninety (90) days of when such failure to perform is
known to or should have been known to HEARTLAND.

 

6.7          
Reliance
on HEARTLAND’s
Information.  In no event shall VITAL be liable with respect to any loss,
liability, cost, damage or expense arising out of a claim by HEARTLAND or by
third parties in connection with the data, computations and services provided
and/or performed by VITAL hereunder to the extent that such data, computations
and/or services as to which such claim arises were provided and/or performed in
accordance with:

 

11

 

6.7.1       
HEARTLAND’s written
requirements and/or instructions in such regard, including but not limited to,
HEARTLAND’s memoranda, data entry instructions or computer field instructions
or

 

6.7.2       
HEARTLAND’s written
concurrence that such data, computations and services provided or performed or
to be provided or performed comply with HEARTLAND’s previously communicated
requirements and/or instructions in such regard.

 

6.8          
Special Damages.  In no event will either
party be liable for any special, consequential or punitive damages, including
but not limited to, lost profits, even if such party knew of the possibility of
such damages.

 

6.9          
Limitation of Liability.  The liability of
either party hereunder to the other or to any party claiming by, through or
under HEARTLAND, shall be limited in the aggregate for the Initial Term, and
for all subsequent Renewal Terms, of the Agreement to six (6) times the
“average monthly billing” as defined hereinbelow:

 

6.9.1       
For purposes of this
Section 6.9.1, “average monthly billing” shall be the average monthly billing
of fees (excluding expenses) actually billed to HEARTLAND by VITAL for providing
Merchant Services computed over the twelve (12) month period ending on the last
day of the month immediately preceding the month in which either party first
receives notice from the other party or otherwise becomes aware of the claim
which caused such party’s liability to the other party hereunder, or if this
Agreement has not then been in effect for twelve (12) months, then such average
shall be computed over such fewer months that this Agreement has been in
effect.

 

7.            
NOTICES

 

7.1          
Address.  Any written notice required or
permitted to be given by HEARTLAND to VITAL hereunder shall be addressed to:

 

VITAL PROCESSING
SERVICES L.L.C.

Attention: General Counsel

8320 South Hardy Road

Tempe, AZ 85284

(480) 333-8604 (fax)

 

12

 

and any written notice required, or permitted to be
given by VITAL to HEARTLAND under this Agreement shall be addressed to:

 

HEARTLAND PAYMENT
SYSTEMS, INC.

Attention: Marty Uhle

343 West Bagley Road, #400

Berea, OH 44017

(440) 239-0444 (fax)

 

7.2          
Form
of Notice. 
All written notices provided for hereunder shall be delivered in person, by
facsimile or shall be sent by courier or by certified mail with a return
receipt requested and shall be effective when delivered or, in the case of
certified mail, when deposited in the United States Post Office, postage
prepaid and addressed as provided above. The parties to this Agreement, by
notice in writing, may designate another address or office to which notices
shall be given pursuant to this Agreement.

 

8             
ADDITIONAL PROVISIONS

 

8.1          
Relationship of Parties.  Nothing herein
contained shall be construed as constituting a partnership, joint venture or
agency between HEARTLAND and VITAL.

 

8.2          
Assignment.  This Agreement shall not be
assignable in whole or in part by HEARTLAND or VITAL without the other party’s
prior written consent, except that such consent shall not be required for the
assignment of this Agreement to any entity that is controlled by the assigning
party, its parent, affiliate or a subsidiary thereof (which assignment shall
not relieve the assigning party of any obligation hereunder). VITAL may,
however, without HEARTLAND’s prior written consent, sub-contract with other
entities with respect to the provision of Merchant Services hereunder but no
such sub-contracts shall alter HEARTLAND’s rights against VITAL under this
Agreement and no such sub-contract shall alter the level or quality of service
agreed to be delivered hereunder.

 

8.3          
Authority.  Each party to this Agreement
hereby represents and warrants to the other that it has the full right, power
and authority to enter into and perform this Agreement in accordance with all
of the terms, provisions, covenants and conditions hereof and that the execution
and delivery of this Agreement has been duly authorized by proper corporate
action.

 

13

 

8.4          
Insolvency.  In the event either party to this
Agreement shall cease conducting business in the ordinary course, become
insolvent, make a general assignment for the benefit of creditors, suffer or
permit the appointment of a receiver for its business or assets or shall avail
itself of or become subject to any proceeding under the federal bankruptcy laws
of any statute or any state relating to insolvency or the protection of the
rights of creditors, which is not dismissed within ninety (90) days, then (at
the option of the other party hereto), this Agreement may be terminated by the
non-defaulting party in accordance with Section 4.5 and be of no other force
and effect, and any property or rights of such other party, tangible or
intangible, shall forthwith be returned to it.

 

8.5          
Waiver.  Any delay, waiver or omission by
HEARTLAND or VITAL to exercise any right or power arising from any breach or
default of the other party in any of the terms, provisions or covenants of this
Agreement shall not be construed to be a waiver by VITAL or HEARTLAND of any
subsequent breach or default of the same or other terms, provisions or
covenants on the part of the other party.

 

8.6          
Dispute.  The
following procedures shall be adhered to in all disagreements (“Dispute”) that
arise under this Agreement, prior to the escalation of a Dispute to
arbitration. In the event of a Dispute, either party shall notify the other
party of the nature of the Dispute with as much detail as possible. HEARTLAND’s
representative and VITAL’s representative shall confer, in person or by
telephone, within five (5) business days of the date of notification for the
purpose of negotiating a resolution of the Dispute and, if applicable,
determining the corrective action to be taken by the respective parties. If the
parties’ representatives are unable to resolve the dispute or to agree upon the
appropriate corrective action to be taken within thirty (30) business days of
such meeting, or if any of the completion dates in the corrective action plan
are later exceeded, then either party may initiate arbitration proceedings. The
foregoing procedures shall not limit or delay the right of either party to seek
provisional or ancillary remedies from a court of competent jurisdiction.
Pending resolution of the Dispute, and unless or until this Agreement is
terminated in accordance with the provisions hereof, both parties will continue
their performance of their obligations under this Agreement in good faith,
including without limitation the payment of all amounts due to the other party
that are not in dispute. Notwithstanding anything to the contrary contained in
this Agreement, in the event of a Dispute

 

14

 

relating to or arising out of a notice of default, the
dispute resolution process described herein must be commenced and completed
within the applicable default cure period.

 

Unless the parties
mutually agree otherwise, any controversy or claim arising out of or relating
to this Agreement, or the breach thereof, shall be resolved by arbitrators
which are members of the Large, Complex Case Panel of the American Arbitration
Association (AAA), or similar professional credentials, in accordance with its
then-prevailing Commercial Arbitration Rules with Expedited Procedures, as
modified by this Agreement. Judgment upon the award rendered by the arbitrator
maybe entered in any court having jurisdiction thereof. The arbitration shall be
held in Arizona, or at such other place as may be selected by mutual agreement.
Nothing contained herein shall prohibit HEARTLAND from seeking injunctive
relief from any judicial authority before, during or after any arbitration
proceeding. The provisions of this arbitration clause shall survive the
termination or expiration of this Agreement.

 

Notwithstanding the
foregoing, any party may seek preliminary or interim injunctive relief from any
court having jurisdiction, whether or not such party has pursued formal or
informal dispute resolution in accordance with this Section 8.6 or
otherwise.  The parties consent to the jurisdiction and venue of the
courts of the State of Arizona, including all federal courts located in that
state. By seeking or obtaining such remedy, the party seeking injunctive relief
shall not waive any of the provisions of this Section 8.6, and any issues or
claims arising in connection with such injunctive relief may, at the election
of the party seeking injunctive relief, be determined by arbitration in
accordance with this Section 8.6.

 

8.7          
Business Continuity.  VITAL and HEARTLAND
shall work together throughout the term of this Agreement to establish, update
and improve strategies to minimize disruption of Merchant Services and
resulting financial loss and to ensure timely resumption of operations in the
event of any unforeseen disaster. VITAL will provide a copy of its periodic
third party review to HEARTLAND upon written request from HEARTLAND.

 

8.8          
Insurance.  VITAL agrees to retain insurance
on its property for the replacement value of such property and to retain
general liability insurance in an amount not less than twenty million dollars
($20,000,000.00) and errors and omissions insurance that covers VITAL’s errors

 

15

 

and omissions in its performance under this Agreement
in an amount not less than five million dollars ($5,000,000.00) and providing
for, among other things:

 

8.8.1       
Coverage for any and
all amounts necessary to replace magnetic tapes and reconstruct information
stored on such magnetic tapes or any other medium whatsoever or other evidence
of any transactions received by VITAL and required to be maintained by VITAL
pursuant to this Agreement,

 

8.8.2       
Coverage for
additional expenses incurred by VITAL which are required to allow VITAL to
continue processing and servicing in accordance with this Agreement and in
accordance with VITAL’s past custom and practice and

 

8.8.3       
Coverage for any and
all amounts necessary to replace all processing units, computer consoles or
other computer hardware of VITAL used in connection with the processing
activities of VITAL under this Agreement.

 

8.9          
Off-site
Storage. 
Throughout the term of this Agreement, VITAL agrees to maintain and retain:

 

8.9.1       
Adequate backup of
all of its software in the form of the offsite storage of its source and object
codes as well as all documentation necessary to reconstruct the software;

 

8.9.2       
Offsite storage for
each of HEARTLAND’s data files used in connection with processing services
provided by VITAL under this Agreement;

 

8.9.3       
A backup power supply
system to guard against electrical outages; and

 

8.9.4       
Adequate backup for
on-line communications, provided that HEARTLAND maintains an appropriate modem
for such on-line communications as specified by VITAL.

 

8.10        
Property Rights.  Concepts, ideas, know-how,
techniques, software, including but not limited to, programs, program listings
and programming tools and documentation, including but not limited to, manuals,
techniques, reports and drawings developed by VITAL and used by VITAL to
fulfill its obligations under this Agreement shall be the sole and exclusive
property of VITAL even if HEARTLAND assisted VITAL in the development or
modification of such property and HEARTLAND shall have no interest whatsoever
in and to such property.

 

16

 

Notwithstanding the foregoing, in such event HEARTLAND
has paid VITAL for the development of any such property, HEARTLAND shall be
given a fully paid perpetual license in such property for its use and the use
of its customers unless VITAL sets forth in writing what other rights HEARTLAND
shall have in such property before the development thereof.

 

8.11        
Hiring with Consent.  During the Initial
Term of this Agreement, any subsequent or Renewal Term, and for a period of one
(1) year subsequent to the termination of the provision of the Merchant
Services hereunder, neither VITAL nor HEARTLAND, without the prior written
consent of the affected party, shall hire, seek to hire or refer for other
employment, any employee of such affected party having knowledge or familiarity
with the Merchant Services.

 

8.12        
Binding Nature.  This Agreement shall be
binding upon and shall inure to the benefit of the parties hereto and their
representatives and their respective successors and assigns.

 

8.13        
Section Headings.  Section headings are
included for convenience or reference only and are not intended to define or limit
the scope of any provision of this Agreement and should not be used to construe
or interpret this Agreement.

 

8.14        
Entire Agreement.  This Agreement
constitutes the entire agreement between the parties hereto relating to the
subject matter hereof and all prior negotiations, agreements and
understandings, whether oral or written, are superseded hereby. No modification
or amendment to this Agreement shall be effective unless and until set forth in
writing and signed by both parties hereto.

 

HEARTLAND agrees that,
for new and/or replacements products and/or services which VITAL may announce
and introduce in the future, a written amendment and/or modification to this
Agreement is not required. If HEARTLAND chooses to use such new and/or replacement
products and/or services in the future, HEARTLAND agrees to pay the fees for
said product and/or services in effect at the time of introduction, unless
otherwise agreed to by VITAL and HEARTLAND.

 

8.15        
Governing Law.  This Agreement shall be governed
in all respects by, and construed in accordance with, the laws of the State of
Arizona.

 

17

 

IN WITNESS WHEREOF, each
of the parties has caused this Agreement to be executed on its behalf by its
duly authorized officers as of the day, month and year first above written.

 

	
  VITAL PROCESSING
  SERVICES, L.L.C.

  	
  HEARTLAND PAYMENT
  SYSTEMS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
   /s/

  	
  Jonathan Palmer

  	
   

  	
  By:

  	
   /s/

  	
  Martin J. Uhle

  	
   

  
	
  Name: 

  	
  Jonathan Palmer

  	
   

  	
  Name: 

  	
  Martin J. Uhle

  	
   

  
	
  Title:

  	
   CEO

  	
   

  	
  Title:

  	
  President and C.O.O

  	
   

  
	
  Date:

  	
   Feb 19, 2002

  	
   

  	
  Date:

  	
   2-19-02

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

18

 

Exhibit
A

 

MERCHANT POINT-OF-SALE SERVICE DESCRIPTIONS AND
PRICING

 

1.            
DIAL
ACCESS AUTHORIZATION AND CAPTURE FEES

 

1.1  WATS
& FGB/950

 

This is a nation-wide service where the merchant’s
device can make a ‘(FGB)/ 950’ or ‘WATS/1-800’ call to access Vital POS Network
for authorization and data capture processing.

 

	
  Tier

  	
   

  	
  Monthly

  Transaction

  Volume

  	
   

  	
  Price
  Per

  Transaction

  	
   

  	
  Applies
  To:

  	
   

  
	
  1

  	
   

  	
  0-
  5,000,000

  	
   

  	
  ***********

  	
   

  	
  price
  for all transactions if volume falls in this tier

  	
   

  
	
  2

  	
   

  	
  5.000,001-
  10.000,000

  	
   

  	
  **********

  	
   

  	
  price
  for all transactions if volume falls in this tier

  	
   

  
	
  3

  	
   

  	
  10,000,001-
  15,000,000

  	
   

  	
  **********

  	
   

  	
  price
  for all transactions if volume falls in this tier

  	
   

  
	
  4

  	
   

  	
  15,000,001-
  17,500,000

  	
   

  	
  **********

  	
   

  	
  price
  for all transactions if volume falls in this tier

  	
   

  
	
  5

  	
   

  	
  17,500,001
  +

  	
   

  	
  **********

  	
   

  	
  price
  for all transactions if volume falls in this tier

  	
   

  

 

NB.1 -
 Fees apply to all domestic dial auth/capture transactions

N.B.2 -
Blended price for WA TS and FBG traffic

N.B.3-
Charges for check, debit and EBT transactions will be applied on top of the
basic auth/capture fee

N.B.4-
Capture fees of ********** per transaction will apply to transactions not
authorized on VisaNet

 

2.            
WIRELESS
TRANSACTION CONNECTIVITY

 

2.1  CDPD

 

Cellular Digital Packet Data provides wireless
communication connectivity through a high speed packet data network operating
in parallel with the existing cellular voice network. (limited to available
coverage)

 

	
   

  	
  2.1.1

  	
  Set up fee per address

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.1.2

  	
  Monthly address fee

  	
   

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

19

 

	
   

  	
  2.1.3

  	
  Transaction fee

  	
   

  	
  ***********

  

 

3.            
ELECTRONIC
COMMERCE

 

3.1  VirtualNet
- Internet Payment Gateway

 

3.1.1       
SSL
Transactions

(Regardless of whether transactions are for
authorization and capture, authorization only, capture only)

 

	
  Tier

  Level

  	
   

  	
  Acquirer’s
  Monthly

  VirtualNet Volume

  	
   

  	
  Per
  Transaction

  Fees

  	
   

  
	
  1

  	
   

  	
  1 - 250,000

  	
   

  	
  **********

  	
   

  
	
  2

  	
   

  	
  250,001 -
  500,000

  	
   

  	
  **********

  	
   

  
	
  3

  	
   

  	
  500,001 -
  1,000,000

  	
   

  	
  **********

  	
   

  
	
  4

  	
   

  	
  1,000,001 -
  3,000,000

  	
   

  	
  **********

  	
   

  
	
  5

  	
   

  	
  3,000,001 +

  	
   

  	
  **********

  	
   

  

 

Whichever the highest tier an acquirer’s total monthly
VirtualNet volume falls under, all of that acquirer’s VirtualNet volume for
that month will be billed at the highest tier reached that month. (Example: if
an acquirer’s VirtualNet volume is at 300,000, all of that month’s volume will
be billed at tier two, or **********).

 

3.1.2       
VirtualNet
Help Desk Call Fees

 

Calls will not be billed if the call identified a
VirtualNet system outage or difficulty. Class B help desk support is provided
by Vital’s PC Support desk 24*7 at 800 847 2772. If issues remain unresolved,
PC Support will escalate to Vital’s Complex Services and/or UUNet. However, on
issues relating to merchant’s software, PC Support will ask the merchant to
contact his/her software provider.

 

	
   

  	
  3.1.2.1

  	
  Per call

  	
   

  	
  **********

  

 

3.1.3       
IP
Transactions

 

	
   

  	
  3.1.3.1

  	
  IP Auth and Capture, per
  transaction

  	
   

  	
  **********

  

 

3.1.4       
IP
Frame Relay Set-up and Line Fees

 

IP over frame relay merchants or their solution
providers must establish a frame relay link with UUNet to support production
transactions. There is a monthly and set up fee associated with the link on a
per quote basis (similar concept to the X.25 lease line today).

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

20

 

3.1.5       
IP
VITAL® Link Dial IP

 

VITAL® Link Dial IP is a Point-to-Point Protocol
(Internet Protocol over an analog telephone line) designed to allow transaction
processing without a full frame connection. In conjunction with POS-Partner®
2000, VITAL® Link Dial IP can provide dial access to VirtualNet.

 

	
   

  	
  3.1.5.1

  	
  Per ID, per month

  	
   

  	
  **********

  

 

4.            
POS-PORT
® MERCHANT STORE INTERFACE

 

4.1  Optimized
Network Communications Solutions

 

POS-port provides optimized network communications
solutions tailored to the requirements of multiple checkout registers within a
single merchant location. Chain stores, specialty retailers, supermarkets and
direct marketing operations are target markets for POS-port.

 

4.2  Monthly
Access Fee

 

Acquirers will be charged a monthly access fee for
each POS-port unit. Fees are tiered based on the number of merchant locations
using the service. Dial access fees also apply to the POS-port service
offering.

 

	
  POS-port
  Units

  	
   

  	
  Monthly
  Access Fee

  	
   

  
	
  1 -  99

  	
   

  	
  ***********
  per unit

  	
   

  
	
  100 -  399

  	
   

  	
  ********** per
  unit

  	
   

  
	
  400 -  799

  	
   

  	
  ********** per
  unit

  	
   

  
	
  800 - 
  1,199

  	
   

  	
  ********** per
  unit

  	
   

  
	
  1,200 +

  	
   

  	
  ********** per
  unit

  	
   

  

 

The monthly access fee includes the POS-port unit,
shipping, maintenance, and customer support (24hours/day,7days/week help desk).
Installation fees are not applicable because POS-port is designed to be
installed by the merchant.

 

N.B.1 -
**********

NB.2- **********

NB.3 - **********

 

4.3          
Spare
Equipment

 

Spare POS-port units are available for Acquirers or
merchant sites

 

	
  4.3.1

  	
  Per unit, per month

  	
   

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

21

 

5.            
DIRECT
CONNECT MERCHANTS

 

5.1  X.25
Lease Line

 

This service (for merchants who authorize in Visa “2”
format, but use X.25 protocol) provides direct leased-line access to a
merchant’s host computer via a value-added network. Lower volume merchants are
targeted who require leased-line performance and need an alternative to the
VAP.

 

	
  5.1.1

  	
  Per transaction auth fee

  	
   

  	
  ***********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.2

  	
  Per transaction capture fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.3

  	
  One Time Installation Fee*

  	
   

  	
  **********

  

 

*      Installations in
Alaska, Hawaii, and Puerto Rico are priced at **********

 

5.1.4       
Monthly
Line Charges (per month)*

 

	
  5.1.4.1

  	
  DNL - 9.6 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.2

  	
  DNL - 9.6/8 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.3

  	
  DNL - 9.6/16 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.4

  	
  DNL - 9.6/32 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.5

  	
  DNL - 19.2/16 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.6

  	
  DNL - 19.2/64 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.7

  	
  DNL - 56 line charge

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.4.8

  	
  DNL - 56/32 line charge

  	
   

  	
  **********

  

 

*      Add an additional
********** surcharge per month for Puerto Rico, Alaska, and Hawaii.)

 

Capacity planning and network engineering is subject to
analysis including merchant host response time and POS device speed. The
monthly fee includes line costs within a twenty (20)-mile radius of merchant
property. The fees above do not include relocation or dial backup costs.

 

5.1.5       
Dial
Back up for lease line services

 

	
  5.1.5.1

  	
  Dial backup fee, per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.1.5.2

  	
  Dial backup plus fee, per month

  	
   

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request for
confidential treatment pursuant to Rule 406 under the Securities Act of 1933,
as amended. 

 

 

22

 

	
   

  	
  5.1.5.3

  	
  Dial backup installation

  	
   

  	
  ***********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.1.5.4

  	
  Dial backup plus installation

  	
   

  	
  **********

  

 

5.1.6       
ISDN

 

This service provides ISDN transaction connectivity to
merchants running an ISDN capable system

 

	
   

  	
  5.1.6.1

  	
  Transaction fee

  	
   

  	
  **********

  

 

5.2          
VisaNet
Access Point (VAP) - Authorization Only Service

 

5.2.1       
Pricing

 

The following pricing schedule is structured on a
single site location and includes all the fixed and variable costs in providing
this service. Backup sites/configurations and other situations are priced
separately as outlined below.

 

	
  Monthly
  Transactions

  	
   

  	
  Authorization
  Fee

  	
   

  
	
  0-  300,000

  	
   

  	
  **********

  	
   

  
	
  300,001- 
  400,000

  	
   

  	
  **********

  	
   

  
	
  400,001- 
  500,000

  	
   

  	
  **********

  	
   

  
	
  500,001- 
  750,000

  	
   

  	
  **********

  	
   

  
	
  750,001-1,000,000

  	
   

  	
  **********

  	
   

  
	
  1,000,001-1,500,000

  	
   

  	
  **********

  	
   

  
	
  1,500,001-2,000,000

  	
   

  	
  **********

  	
   

  
	
  2,000,001-3,000,000

  	
   

  	
  **********

  	
   

  
	
  3,000,001-4,000,000

  	
   

  	
  **********

  	
   

  
	
  4,000,001-5,000,000

  	
   

  	
  **********

  	
   

  
	
  5,000,001+

  	
   

  	
  **********

  	
   

  

 

*      A minimum monthly fee
of ********** applies to each VAP configuration. This fee includes the
leased-lines, the interface processor, and 24-hour, 7-day-per-week network
control support.

 

5.2.2       
Back-up
VAP Connection

 

Merchants requesting a back-up VisaNet Access Point
(VAP) as an alternative connection to their production VAP have a variety of
options. This backup service option is handled on a case-by-case basis based on
the Merchant’s customized configuration requirements. These requirements may
include an alternate site location, a single VAP installation or specific

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

23

 

peak hour transaction processing capacity similar to
or different from their primary VAP.

 

A service order form will be completed and a proposed
configuration will be generated for Merchant approval. The fee for this service
will be **********.

 

5.2.3       
Minimum
Installed Period

 

Each credit only VAP
will have a minimum installed period of twelve (12) months. The twelve (12)
month period (billing period) commences thirty (30) days post installation or
when production traffic is processed, whichever occurs first.

 

The minimum installed period for an Integrated Debit VAP (credit & debit)
is eighteen (18) months.

 

Billing to satisfy the minimum period commitment will
be based on the average monthly billings for the months installed or the
monthly minimum, whichever is greater.

 

5.2.4       
VAP
Re-installations

 

A VAP re-installation within twelve (12) months from
original installation, or previous move, will be assessed a fee based on
**********

 

By quotation only.

 

5.2.5       
Sponsorship
Changes

 

	
   

  	
  - For standard credit only configurations

  	
   

  	
  **********

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  - For Integrated Debit or debit
  only

  	
   

  	
  - by
  quotation only

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  - Sponsorship changes require
  ninety (90) day notice or agreement from the incumbent acquirer.

  

 

5.2.6       
CIO
Certification

 

CIO VAP that need certification for anything other
than compliance requirements will be assessed ***********
certification fee per incident.

 

6.            
POS-PARTNER®

 

POS-partner is a Windows based PC product that
supports custom applications for the lodging, retail, restaurant, and direct
marketing merchant segments.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

24

 

6.1          
POS-PartnerTM
2000

 

6.1.1       
Terminal
ID Set-up Fee Schedule

 

	
  **********

  	
   

  	
  1 to  49
  Units

  	
   

  	
  Tier 0

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  50 to  99
  Units

  	
   

  	
  Tier 1

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  100 to 199 Units

  	
   

  	
  Tier 2

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  200 to 299 Units

  	
   

  	
  Tier 3

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  300 to 399 Units

  	
   

  	
  Tier 4

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  400 to 499 Units

  	
   

  	
  Tier 5

  	
   

  	
  Single/ 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  500 to 749 Units

  	
   

  	
  Tier 6

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  750 to 999 Units

  	
   

  	
  Tier 7

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  1,000+ 
  Units

  	
   

  	
  Tier 8

  	
   

  	
  Single / 1st
  Terminal ID

  	
   

  

 

Pricing will be determined by applying the aggregate
number of 1st Terminal ID merchants installed by the client to this
pricing grid. This Set-up Fee is separate from any software licensing fee.

 

6.1.2       
Multi-Merchant
Terminal ID Set-up Fee Schedule

 

	
   

  	
  6.1.2.1

  	
  All subsequent ID’s of Multiple
  ID Merchant

  	
   

  	
  **********

  

 

6.1.3       
Upgrading
From POS-PartnerTM 2.2x

 

	
   

  	
  6.1.3.1

  	
  Per Master Terminal ID/Merchant
  Location

  	
   

  	
  **********

  

 

6.1.4       
Software
Maintenance Fee

 

	
   

  	
  6.1.4.1

  	
  Per Month / Per Terminal ID

  	
   

  	
  ***********

  

 

This fee includes 24x7 1-800 Support, Maintenance
(Service Pack) Release Communications, Service Pack Distribution via the
POS-Partner.com Web Site, Compliance Upgrade Distribution via U.S. Mail, Application
Enhancements (limited to same version only) and monthly file residency on
VITAL’s MMS platform.

 

6.1.5       
24x7
Help Desk Support Fee

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

25

 

	
   

  	
  6.1.5.1

  	
  Per Call

  	
   

  	
  ***********

  

 

POS-Partner Sofware Issue (errors, faults, software
failure) VITAL-Specific Processing Issue (rejected batch due to software)

 

	
   

  	
  6.1.5.2

  	
  Per Call

  	
   

  	
  **********

  

 

General Inquiries (batch, transaction inquiry)

 

General Card-Processing Troubleshooting This fee is
billed on a per-incident basis

 

	
   

  	
  6.1.5.3

  	
  Per Call

  	
   

  	
  **********

  

 

Software Support Issues

 

Merchant requires specific function or specific
process training which is defined in the POS-Partner 2000 on-line
documentation, help file or the POS-Partner.com Web Site.

 

*      This fee will be billed on a per-incident basis for
help desk calls that are defined as merchant training.

 

6.1.6       
Software
Product License Fee

 

A 25 User License (“License”) is granted as part as
part of the base POS-PartnerTM” 2000 Software Package. The License is
transferable in accordance with the POS-PartnerTM 2000 End-User License
Agreement (“EULA”).

 

For additional information regarding the terms and
conditions of the POS-partnerTM 2000 EULA, please refer to the documentation
and or users guide. A separate copy of the EULA may be requested by contacting
Vital Processing Services, LLC.

 

6.1.7       
Additional
License Paks for POS-PartnerTM 2000

 

License PAKS are used to increase the number of
concurrent users and workstations (nodes) that are permitted to use
POS-PartnerTM 2000 at the same time within a Local Area Network (LAN), Wide
Area Network (WAN) or IntraNet. License PAKS are available in the following
formats:

 

License PAKS increase the user capacity by
incrementally adding the number of users in the PAK to the base 25 User
License.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

26

 

 

	
  **********

  	
   

  	
  Additional  25
  Users

  	
   

  	
  Base 25 + 25PAK = 50
  Users

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  Additional  50
  Users

  	
   

  	
  Base 25 + 50PAK = 75
  Users

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  Additional 100 Users

  	
   

  	
  Base 25 + 100PAK = 125
  Users(1)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  Additional 200 Users

  	
   

  	
  Base 25 + 200PAK = 225
  Users(1)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  **********

  	
   

  	
  Additional 500 Users

  	
   

  	
  Base 25 + 500PAK = 525
  Users(1)

  	
   

  

 

(1)     Environments with two
hundred (200) or more concurrent users should consult VITAL prior to installing
POS-PartnerTM “ 2000 in an enterprise environment to determine if performance
will be acceptable beyond two hundred (200) concurrent users. This
recommendation may change as Vital completes additional testing.

 

6.1.8       
POS-PartnerTM
2000 Publications

 

	
   

  	
  6.1.8.1

  	
  Printed User Guide

  	
   

  	
  ***********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.1.8.2

  	
  Printed API (Application
  Programmers Interface)

  	
   

  	
  **********

  

 

Manuals

 

6.1.9       
POS-PartnerTM
2000 Merchant Telephone Training

 

	
   

  	
  6.1.9.1

  	
  Per Merchant Session / Location

  	
   

  	
  **********

  

 

Training can typically be completed in 1.5 hours or
less. Maximum Duration of Telephone Training is 2 hours.

 

6.1.10     
POS-PartnertTM
2000 Merchant On-Site Training

 

	
   

  	
  6.1.10.1

  	
  Per Day plus Travel Expenses

  	
   

  	
  **********

  

 

6.2          
POS-Partner
2.xxTM

 

6.2.1       
Terminal
ID Set-up Fee Schedule

 

	
   

  	
  6.2.1.1

  	
  Flat Fee for 1st
  Terminal ID

  	
   

  	
  **********

  

 

The Fee above applies to the 1st Terminal
ID of a Multiple ID Merchant and is separate from any software licensing fee.

 

6.2.2       
Multi-Merchant
Terminal ID Set-up Fee Schedule

 

	
   

  	
  6.2.2.1

  	
  All subsequent ID’s of Multiple
  ID Merchant

  	
   

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

27

 

6.2.3       
Software
Maintenance Fee

 

	
   

  	
  6.2.3.1

  	
  Per Month / Per 1st
  Terminal ID

  	
   

  	
  ***********

  

 

This fee includes 24x7 1-800 Support and monthly file
residency on VITAL’s MMS platform.

 

6.2.4       
24x7
Help Desk Support Fee

 

	
   

  	
  6.2.4.1

  	
  Per Call

  	
   

  	
  **********

  

 

POS-Partner Software Issue (errors, faults, software
failure)

 

VITAL Specific Processing Issue (rejected batch due to
software)

 

	
   

  	
  6.2.4.2

  	
  Per Call

  	
   

  	
  **********

  

 

General Inquiries (batch, transaction inquiry)

 

General Card-Processing Troubleshooting

 

This fee is billed on a per-incident basis

 

6.2.5       
POS-PartnerTM
Merchant Telephone Training

 

	
   

  	
  6.2.5.1

  	
  Per Merchant Session / Location

  	
   

  	
  **********

  

 

Training can typically be completed in 1.5 hours or
less. Maximum Duration of Telephone Training is 2 hours.

 

6.2.6       
POS-PartnerTM
Merchant On-Site Training

 

	
   

  	
  6.2.6.1

  	
  Per Day plus Travel Expenses

  	
   

  	
  **********

  

 

7.            
DIALPAVTM

 

7.1          
Authorization
& Capture Transactions

 

	
  7.1.1

  	
  IVR Authorization

  	
  **********

  
	
   

  	
   

  	
   

  
	
  7.1.2

  	
  Voice Authorization

  	
  **********

  
	
   

  	
   

  	
   

  
	
  7.1.3

  	
  Referral Authorization

  	
  **********

  
	
   

  	
   

  	
   

  
	
  7.1.4

  	
  Administration/Other

  	
  **********

  
	
   

  	
   

  	
   

  
	
  7.1.5

  	
  Capture Transaction

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

28

 

7.2          
File
Residency

 

	
  7.2.1

  	
  Merchants processing on
  VITAL with a Full or Partial MMS file build set up

  	
  ***********

  
	
   

  	
   

  	
   

  
	
  7.2.2

  	
  Merchants using DialPay
  as sole source for transaction processing (Stage Only MMS file build with an
  “IV” attachment code)

  
	
   

  	
   

  	
   

  
	
   

  	
  Per records, per month

  	
  **********

  
	
   

  	
   

  	
   

  
	
  7.2.3

  	
  Merchants using an
  alternate processor for the merchant’s POS terminal but using DialPay as a
  backup authorization service (Stage Only MMS file build with “IT” attachment
  code)

  
	
   

  	
   

  	
   

  
	
   

  	
  Per records, per month

  	
  **********

  

 

8.            
REFERENCE
AND SUPPORT MATERIALS

 

8.1          
Quick
Reference Guides

 

	
  VeriFone

  	
  Tranz

  	
  **********each

  
	
   

  	
  Soft.a

  	
  **********each

  
	
   

  	
  Overlays

  	
  **********each

  
	
  Hypercom

  	
   

  	
  **********each

  
	
   

  	
  Overlays

  	
  **********each

  
	
  DataCard

  	
   

  	
  **********each

  
	
  Dial Pay

  	
   

  	
  **********each

  

 

8.2          
Companion
Manuals

 

	
  8.2.1

  	
  VeriFone

  	
  ********** ea

  

 

Note: A ********** per item handling fee is applicable with a minimum ********** per order.

 

8.3          
POS
Select

 

Hypercom - windows-based software enabling the user to
select the best suited Hypercom product using software capabilities and
business requirements as parameters.

 

	
   

  	
  Per packet

  	
  **********

  

 

9.            
CLEARVIEW

 

9.1          
Transaction
Inquiry

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

29

 

Provides real-time online access to submitted merchant
batch information collected in the VisaNet Data Capture System.

 

9.1.1       
Transaction
Screening

 

Protects against potential merchant fraud by screening
transactions for unusual merchant activity.

 

9.1.2       
Transaction
Reconciliation

 

Online comparison of the merchants’ terminal records
of approved ATM transactions transmitted in batches to VisaNet Data Capture
Systems to VIP transaction logs.

 

	
  Per logon identification per month

  	
  ***********

  

 

9.2          
Transaction
Download

 

9.2.1       
Download
transaction data from the Vital Data Capture Services to your local PC for
integration to report generators and/or in-house software applications.

 

	
  Per logon identification per month

  	
  ***********

  

 

9.2.2       
For
acquirers or merchants with less than five hundred (500) locations, the fee
drops to ********** per logon identification per month.

 

10.          
POS
MERCHANT SUPPORT SERVICES

 

10.1        
Download
Services /Telephone Training

 

Acquirers may elect to have Vital provide download
services and telephone training to their merchants. This option assumes
Acquirer responsibility for terminal shipping, installation and user
documentation.

 

	
  Function

  	
   

  	
  Fees

  	
   

  
	
  Merchant Terminal
  Training

  	
   

  	
  **********

  	
   

  
	
  Merchant Printer
  Training

  	
   

  	
  **********

  	
   

  
	
  Downline Load

  	
   

  	
  **********

  	
   

  

 

10.2        
Terminal
Support-24x7

 

This service will be charged on an on-going basis
after the merchant’s terminal has been installed. Services include toll-free access
7 days a week, 24 hours per day support for new terminal downloads, procedural
or hardware support, batch transmission research, authorization and EDC network
assistance, and problem resolution.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

30

 

	
  24x7
  Terminal Support Fees

  	
   

  	
  Fee

  	
   

  
	
  Monthly Fee (per terminal, per month; includes file residency)

  	
   

  	
  ***********

  	
   

  
	
  Per Call Fee (per merchant call; exclusive of VITAL
  POS Network issues)

  	
   

  	
  **********

  	
   

  

 

10.3        
Terminal
Support - After Hours

 

This fee applies to Acquirers that operate their own
help desk generally between 8:00 a.m. to 5:00 p.m., but want to take advantage
of help desk support through Vital on an after-hours basis. A record must exist
on MMS for each terminal supported after hours. Profiles should be added via
MMS; otherwise paper/fax charges apply (see MMS Data Base Maintenance Fee).

 

	
  After
  Hours Terminal Support Fee

  	
   

  	
  Fee

  	
   

  
	
  Monthly Fee (per terminal, includes file residency)

  	
   

  	
  **********

  	
   

  
	
  Per Call Fee - After hours (per merchant call 5:00
  p.m. - 8:00 a.m.; exclusive of VITAL POS Network issues)

  	
   

  	
  **********

  	
   

  
	
  Per Call Fee (per merchant call 8:00 a.m. - 5:00
  p.m.)

  	
   

  	
  **********

  	
   

  

 

10.4        
PC
2000 & PC Hotel Support

 

Ongoing support for the PC 2000 and PC Hotel products.
These products are no longer available for new installations.

 

10.4.1     
On-going
Support:

 

	
  On-Going
  Support Fee

  	
   

  	
  Fee

  	
   

  
	
  Monthly Fee (includes file residency)

  	
   

  	
  **********

  	
   

  
	
  Per Call Fee (exclusive of VITAL POS Network issues)

  	
   

  	
  **********

  	
   

  

 

10.5        
OMNI
3300

 

The following fee is in addition to the service
level-based monthly fees outlined in paragraphs 11.2, 11.3 and 12.2 hereto:

 

	
  Per terminal, per month

  	
  **********

  

 

11.          
MMS
SERVICES

 

11.1        
MMS
On-line Access

 

	
  MMS - Online Access,
  per month, per user ID

  	
  **********

  

 

*A one time site licensing fee, per site, of
**********/system will be applied.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

31

 

11.2        
Merchant
Management System File Residency

 

This fee is charged for Acquirer files residing on the
Merchant Management System (MMS) on a per record basis. Applies to Acquirers
who do not use help desk services, but need to stage American Express or
Discover records; or add data augmentation records.

 

	
  MMS
  File Residency Fee

  	
   

  	
  Fee

  	
   

  
	
  Monthly Fee (per record)

  	
   

  	
  **********

  	
   

  
	
  Per Call Fee - Non-Supported Merchants (per merchant
  call, no threshold, exclusive of Vital POS Network Issues)

  	
   

  	
  **********

  	
   

  

 

11.3        
Merchant
Ongoing Downline Loads

 

This fee is charged for Acquirer-initiated requests
for POS dial terminal and downline loads required after a terminal has already
been established on the Vital POS Auth/Capture System. The per event fee
applies when the Acquirer uses MMS to download a terminal profile, but does not
use Vital full service help desk services. This fee is also charged when an
unnecessary download is performed per the Merchant request*.

 

	
  Merchant Downline Load,
  per event

  	
  ***********

  

 

*      Verifone Terminals are permitted three (3) DLL per
month before charges occur.

 

*      Hypercom are permitted four (4) DLL per month before
charges occur.

 

11.4        
Merchant
Management System Data Base Maintenance

 

This fee is charged for Member-initiated requests for
new merchant accounts, updating or deleting merchant records via or paper/fax
to the Merchant Management System (MMS).

 

	
  Via MMS OLA

  	
   

  	
  **********

  
	
  Via Telephone Update

  	
  per event

  	
  **********

  
	
  Via paper or fax Adds

  	
  per event

  	
  **********

  
	
  Change, Delete, Duplicate or Exception

  	
  per event

  	
  **********

  
	
  Express Profile Processing Add, Update or Delete

  	
  per event

  	
  **********

  

 

12.          
INTEGRATED
DEBIT/EBT SUPPORT SERVICES

 

12.1        
Debit/EBT
Gateway Fees:

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

32

 

The VisaNet Debit/EBT Gateway fee applies to all debit
POS transactions that must be switched to other on-line debit networks for
authorization. This fee recovers costs associated with the gateway service and
the settlement and reconciliation of debit transactions. The VisaNet Debit/EBT
Gateway Fee is assessed in addition to applicable transaction access fees.

 

	
  Monthly
  Debit/EBT

  Transactions

  	
   

  	
  Gateway
  Fee

  	
   

  	
  Applies
  to:

  	
   

  
	
  1 - 1,000,000

  	
   

  	
  ***********

  	
   

  	
  first 1,000,000
  transactions per month

  	
   

  
	
  1,000,001 -
  2,500,000

  	
   

  	
  **********

  	
   

  	
  next 1,500,000
  transactions per month

  	
   

  
	
  2,500,001 -
  5,000,000

  	
   

  	
  **********

  	
   

  	
  next 2,500,000
  transactions per month

  	
   

  
	
  5,000,001 -
  7,500,000

  	
   

  	
  **********

  	
   

  	
  next 2,500,000
  transactions per month

  	
   

  
	
  7,500,001 +

  	
   

  	
  **********

  	
   

  	
  all transactions over
  7,500,000 per month

  	
   

  

 

12.2                          
VisaNet
PIN Pad Injection Service

 

This fee applies to the injection of encryption keys
into PIN pads certified and supported for use on VisaNet for the small merchant
market.

 

PIN Pad, per injection (shipping costs billed
separately to Acquirer)  **********

 

12.3                          
Vital
Fax Adjustment Service

 

Integrated Debit users with a low monthly volume of
adjustments (e.g., chargebacks, etc.) may choose to utilize the Fax Adjustment
Service. The fee applies to adjustments sent and received by fax for ATM card
transactions processed through VisaNet. Fees are assessed on a “per item”
basis, and are sliding scale. They do not include fees that may be assessed by
debit POS networks.

 

	
  Adjustment
  Items

  (per item)

  	
   

  	
  Fee

  	
   

  
	
  0 - 10

  	
   

  	
  **********

  	
   

  
	
  11 - 20

  	
   

  	
  **********

  	
   

  
	
  21 +

  	
   

  	
  **********

  	
   

  

 

Customers with a higher volume of adjustments may
choose to utilize the VisaNet Backoffice Adjustment System or “BOAS” (required
if you support Integrated

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

33

 

Debit for VAP merchants). Fees for this service
include a one-time software licensing fee of *********** and a
monthly user fee of **********.

 

13.                                
VITAL
REPORTING AND SPECIAL REQUESTS

 

13.1                          
Monthly
Fee - File Residency

 

This fee is a monthly bundled fee for each Merchant ID
(account) on file with Vital Reporting Service.

 

	
  File Residency, per MID

  	
   

  	
  **********

  

 

13.2                          
Transactions
on Demand

 

This services uses a touch-tone phone and voice
prompts to provide a detail fax listing of a merchant’s daily processing card
transactions. Transactions on Demand can be used by merchants or acquirers.
Reports are faxed directly to the user. The fee for this product is based on a
per page facsimile charge:

 

	
  Facsimile Charge, per
  page

  	
   

  	
  **********

  

 

	
  E-Mail Delivery, per
  page

  	
   

  	
  **********

  

 

13.3                          
Transaction
Confirmation

 

Transaction Confirmation gives summary or detail
reporting of transaction information through a scheduled fax delivery to
merchants or acquirers. Users can choose from four report types with a total of
eleven (11) different formats.

 

Two different per page prices apply to this product,
based on the complexity of the report. The Single or Multiple Merchant Reports
and the Multiple Merchant w/Interchange Qualification or Specialty Reports are
the two pricing structures.

 

	
  Single Merchant or
  Multiple Merchant Reports, per page

  	
   

  	
  **********

  

 

	
  Multiple Merchant
  w/Interchange Qualification or Specialty Report, per page

  	
   

  	
  **********

  

 

13.4                          
Transaction
Alert

 

This service creates reports to identify potentially
fraudulent transactions and help prevent losses. Reports are generated daily
from multiple processors based on a variety of exception criteria in a sort
order set by the financial institution. There are 19 customizable exception
criteria parameters.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

34

 

Specialized software integrates the risk reports
generated from your customized exception criteria to track and monitor risk
investigations. Daily risk reports can be downloaded and then a merchant or
group of merchants from any of the reports can be assigned to an investigator.
After the merchant is assigned, they appear on a work list. Historical files
are then created from completed investigations for future reference. The time
frame for retrieval of these historical files is defined by the financial
institution.

 

	
  Monthly fee, per MID

  	
   

  	
  ***********

  

 

13.5                          
E-Risk

 

	
  Monthly MID fee, per
  MID, per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  
	
  First two (2) User
  Logon IDs

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  
	
  Additional User Logon
  IDs, per ID per Month

  	
   

  	
  **********

  

 

13.6                          
Transaction
Link

 

Transaction Link Software provides a daily information
“link” to both merchants and acquirers. Users can retrieve, view and print a
database or flat file reporting their daily processing card transactions.

 

	
  Start-up Fee, per MID

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  
	
  Monthly Maintenance
  Fee, per MID First MID

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  
	
  Monthly Maintenance
  Fee, per MID Each additional MID

  	
   

  	
  **********

  

 

13.7                          
Customer
Service

 

	
  File delivery, per
  month

  	
   

  	
  **********

  

 

14.                                
SQL
& SPECIAL REQUESTS

 

14.1                          
SQL
Requests

 

	
  Special Programming
  Charge - Regular, per job (up to 2 hrs)

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  
	
  Special Programming
  Charge (for larger jobs)

  	
   

  	
  By Quote

  

 

14.2                          
Duplicate
Report Generation

 

	
  Requests for additional
  or duplicate copies of authorization and/or data capture POS reports, per report,
  per day

  	
   

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

35

 

15.                                
VIRTUALWEBUILDER

 

VirtualWebuilder (“VWB”) is a complete pre-integrated
self-service web site and web store building solution. It includes site
hosting, site creation, shopping cart, payment processing, fraud detection, and
reporting features. VWB will support merchants from multiple acquirers.

 

15.1                          
Service
Fees

 

	
  Product

  	
   

  	
  Acquirer’s
  Cost

  	
   

  
	
  Brochureware:

  	
   

  	
  One time Set-up Fee -
  ***********

  	
   

  
	
  Up to 10 web pgs

  	
   

  	
  Monthly Access Fee -
  **********

  	
   

  
	
  Storefront:

  	
   

  	
  One time Set-up Fee -
  **********

  	
   

  
	
  Up to 50 Items

  	
   

  	
  Monthly Access Fee -
  **********

  	
   

  
	
  Up to 10 web pgs

  	
   

  	
  VWB Transaction Fee -
  **********

  	
   

  
	
   

  	
   

  	
  VirtualNet Transaction Fee - Then current pricing

  	
   

  
	
  Storefront:

  	
   

  	
  One time Set-up Fee -
  **********

  	
   

  
	
  Up to 500 Items

  	
   

  	
  Monthly Access Fee -
  **********/mo.

  	
   

  
	
  Up to 10 web pgs

  	
   

  	
  VWB Transaction Fee -
  **********

  	
   

  
	
   

  	
   

  	
  VirtualNet Transaction Fee - Then current pricing

  	
   

  

 

15.2                          
Help
Desk Fees

 

Merchants will call 877 841 7016 for support.
Initially, VWB Technical Support will be the first point of contact for
merchants. VWB’s help desk will answer calls relating to the functionality of
VWB. VWB will transfer VirtualNet and processing related calls to Vital’s PC
support desk. Once Vital’s help desk is trained, Vital will become the initial
point of contact for merchants and escalates 2nd level calls to VWB
Technical Support. Please see a separate support document for detail on VAB’s
Technical Support procedures. Charges for functionality and
VirtualNet/processing calls are outlined below.

 

	
  15.2.1

  	
  VWB Functionality Calls, per call

  	
   

  	
  **********

  

 

These calls relate to the functions within VWB
including site building, setting shipping and tax tables. They may also include
any network issues relating to the availability of the site.

 

	
  15.2.2

  	
  VWB Processing Calls, per call

  	
   

  	
  **********

  

 

These calls relate to VirtualNet availability and
general card processing. Calls will not be billed if the call identified a
VirtualNet system outage or difficulty. VirtualNet support is provided by
Vital’s PC Support desk 24*7 at 800 847 2572. If issues remain unresolved, PC
Support will escalate to Vital’s Complex Services and/or UUNet.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

36

 

	
  15.2.3

  	
  VWB Webmaster On-Call Fees per
  hour (1/2 hr increments)

  	
   

  	
  ***********

  

 

For merchants requiring auxiliary web design services
such as photo scanning, site edits, and site installation services. These calls
will be handled by VWB Technical Support Center. Merchants will be provided
with service guidelines for these calls.

 

	
  15.2.4

  	
  Email and Online Support

  	
   

  	
  **********

  

 

E-mail and access to online user guides as merchants
build their sites are available.

 

15.3                          
Other
Related Fees

 

15.3.1                 
Unique
Domain Name Fee

 

Acquirer and/or its merchants, will be responsible for
Internet domain registration fees should a merchant decide to obtain its unique
domain name.

 

15.4                          
Additional
Fees for HEARTLAND with Customized Deployment

 

15.4.1                 
Customization
and Enhancement Fees

 

HEARTLAND will be responsible for any customization
and enhancement fees per future discussions and specifications.

 

15.5                          
No
Representations / Warranties by VITAL Relating to Electronic Commerce

 

VITAL and HEARTLAND agree that HEARTLAND and the
Merchant make their own respective decisions concerning whether and how the Web
Site will operate and if any of the Web Sites or Custom Templates involve or
allow electronic commercial transactions. HEARTLAND and the Merchant
acknowledge and accept the inherent risks involved with electronic commercial
transactions and the responsibility for approving all encryption and other
security measures that will be used in connection with the Web Sites or Custom
Templates and ensuring that all use of such encryption and security measures
complies with all applicable export and import laws, restrictions and
regulations of any U.S. or foreign agency or authority. HEARTLAND and the
Merchant agree that VITAL will not be responsible for, or have any liability in
connection with, the operation of any of the Web Sites or Custom Templates with
respect to electronic commercial transactions and shall not have any
responsibility or liability for misuse or failure to protect credit card or
other information provided by customers of HEARTLAND or the Merchant via the
Web Sites. In addition, HEARTLAND and the Merchant assume the risk of loss and
hereby indemnifies, releases and holds VITAL harmless from, and absolves VITAL
of, any and all liability due to

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

37

 

(a) the offering by any HEARTLAND or the Merchant of
any products for sale on its respective Web Site that constitute “soft” goods;
for example, telephone usage cards for which customers are given authorization
codes that are effective with or without physical delivery of the goods sold or
(b) the maintenance by HEARTLAND or the Merchant of personal identification
numbers or other authorization codes in connection with any of the Web Sites.

 

Notes:

 

All fees are subject to change. All
other Vital service and support fees (such as MMS profile residency fees) will
apply based on the then existing pricing.

 

Since VWB is not a traditional dial
service, its volume will NOT count towards an acquirer’s dial pricing tier.

 

16.                                
POS
CHECK CONVERSION (BANKSERV)

 

POS Check Conversion is the process in which paper
checks are converted into an electronic payment format at the point of sale.
POS Check Conversion provides value to merchants by increasing cash flow with
the reduction of bad check losses, improvement in check collection efficiency,
simplification of funds management and quicker check-out time at the point of
sale.

 

This product offering is a Class A certified
split-dial application with BankServ — an independent processor of electronic
check conversion transactions at the point of sale. For this product, all
credit, debit, and EBT transactions will be routed to Vital for authorization
and data capture and all check transactions will be routed to BankServ for
verification and conversion.

 

16.1                          
Fee
Structure

 

16.1.1                 
Check
Processing Fees per Transaction

 

	
  Transaction
  Type

  	
   

  	
  Per
  Transaction

  Fees (ACH)

  	
   

  	
  Per
  Transaction

  Fees (Non-ACH)

  	
   

  
	
  Check Processing Fee (per trans.)

  	
   

  	
  ***********

  	
   

  	
  **********

  	
   

  
	
  Return Items (per resubmit)

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  
	
  Image Management (per image)

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  
	
  Site Draft Submission (per submission)

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

38

 

16.1.1.1                        
Check Processing Fee

 

The conversion of MICR data to the Automated Clearing
House (ACH) format, submission via the ACH for credit or debit purposes. Also
included under Check Processing Fees are Conversion Resubmits, the resubmission
of a returned item via the ACH for credit or debit purposes.

 

Daily offset credits to merchant accounts will be
included in the “per transaction” fee structure.

 

16.1.1.2                        
Return Items

 

Items returned from the Receiving Depository Financial
Institution (RDFI) for any NACHA Return Reason Code. Fee includes the research,
repair, and imaging of the item or reporting to the merchant. This fee is in
addition to the standard Check Processing Fee charged for each resubmitted
item.

 

16.1.1.3                        
Site Draft Submission

 

The creation of a paper item to submit manually for processing
when generating an ACH is not possible.

 

16.1.2                 
CheckNet
Software Fees

 

	
  Item

  	
   

  	
  Fee

  	
   

  
	
  CheckNet Monthly Access Fee (per merchant)

  	
   

  	
  **********

  	
   

  
	
  CheckNet Acquirer Software Lie. (one-time fee per
  acquirer)

  	
   

  	
  **********

  	
   

  
	
  CheckNet Annual Maintenance (per acquirer)

  	
   

  	
  **********

  	
   

  
	
  CheckNet Monthly AutoFax Reporting Fee (per
  merchant)

  	
   

  	
  **********

  	
  *

  
	
  CheckNet Fax on Demand Reporting Fee (per page)

  	
   

  	
  **********

  	
   

  

 

16.1.2.1                        
CheckNet Monthly
Access Fee (per merchant)

 

Monthly access fee for CheckNet JAVA Software per end
user.

 

16.1.2.2                        
CheckNet Acquirer
Software License

 

License fee for access to CheckNet for in financial
institution sites. Includes overall financial institution look-up capability to
allow financial institutions to monitor all activity for their merchants.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

39

 

16.1.2.3                        
CheckNet Annual
Maintenance (Per Acquirer)

 

Annual maintenance fee for financial institutions
sites for CheckNet updates, enhancements and technical support.

 

16.1.2.4                        
CheckNet Monthly
AutoFax Reporting Fee (Per Merchant)

 

Monthly fee for daily automatic fax reporting service
of the CheckNet Bank Balancing Report and CheckNet Returned Item Report.

 

16.1.2.5                        
CheckNet Fax on
Demand Reporting Fee (Per Page)

 

Per page fee for Fax on Demand reporting service of
the CheckNet Bank Balancing Report or the CheckNet Returned Item Report.

 

16.1.3                 
Other
Fees

 

	
  Item

  	
   

  	
  Fee

  	
   

  
	
  Startup Kits/Welcome Kit

  	
   

  	
  **********

  	
  *

  
	
  Merchant Setup

  	
   

  	
  **********

  	
   

  
	
  Monthly File Residency

  	
   

  	
  **********

  	
   

  
	
  ODFI Setup (per financial institution)

  	
   

  	
  **********

  	
   

  

 

* Fee subject to change and variant
upon Welcome Kit development

 

16.1.3.1                        
Startup Kits: Merchant
Welcome Kit (includes void stamp, address labels, decline slips, consumer
information sheet and general information regarding POS check acceptance.

 

16.1.3.2                        
Merchant Setup

 

The setup process of a new merchant account number (per
merchant location) on the BankServ system.

 

16.1.3.3                        
Monthly File

 

Residency fee per Bankserv Merchant ID.

 

16.1.3.4                        
ODFI Setup (Per
Financial Institution)

 

One-time fee for setting up each originating bank
utilizing one of BankServ’s standard Bank set models. Banks that choose to vary
from these models will incur additional charges.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request for
confidential treatment pursuant to Rule 406 under the Securities Act of 1933,
as amended.

 

40

 

16.1.4                 
Special
Situation Fees

 

	
  Item

  	
   

  	
  Fee

  	
   

  
	
  Reversal Charge; hourly (per case basis)

  	
   

  	
  ***********

  	
   

  
	
  ACH Recall for Correction

  	
   

  	
  **********

  	
   

  

 

16.1.4.1                        
Reversal Charge

 

Fee will be based on an hourly fee of ********** per
hour for any research and/or files created out of the need to resolve items
that have been incorrectly placed into the BankServ system.

 

16.1.4.2                        
ACH Recall for
Correction

 

The recall of a transaction already submitted to the
ACH network for processing to avoid posting to a consumer’s account.

 

16.1.5               
Dial
Terminal Helpdesk Fees

 

Fees as indicated on the Vital Acquirer Processing
Contract for Dial Terminal Helpdesk Support.

 

16.1.6               
PC
Helpdesk Fees

 

(Support of CheckNet JAVA Software) Fees as indicated
on the Vital Acquirer Processing Contract for PC Helpdesk Support.

 

16.2                          
Indemnity

 

HEARTLAND shall market the POS Check Conversion
service under its own name and shall select the particular HEARTLAND Client to
whom it ultimately sells the POS Check Conversion service. Accordingly,
HEARTLAND shall defend and indemnify VITAL and BSERV and hold either party
harmless against any and all liability, loss, damages, cost or expenses
(including court costs and reasonable attorneys fees) arising as a result of
the activities or the financial condition of any and all HEARTLAND Clients and
/or check payers in connection the receipt of the POS Check Conversion service,
including without limitation, any fraud committed by or credit failure of any
HEARTLAND Client or any check payor processed using the POS Check Conversion service
and any failure of a HEARTLAND Client to obtain a requested authorization
executed by check payor for an ACH electronic funds transfer; provided,
however, BSERV agrees to make one attempt to recover such loss or expense
directly from the responsible HEARTLAND Client by electronic funds transfer
from such HEARTLAND Client’s applicable bank account prior to seeking indemnity
from HEARTLAND for same. In the event that recovery from such HEARTLAND

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

41

 

Client is unsuccessful or not permitted, HEARTLAND
hereby authorizes VITAL and/or BSERV to immediately recover any such amount by
electronic funds transfer to BSERV from HEARTLAND’s settlement bank account.
The provisions of this paragraph shall survive the expiration or earlier
termination of this Amendment.

 

16.3                          
POS Check Conversion
Service Marketing

 

HEARTLAND will market the Services in accordance with
all policies and procedures of the National Automated Clearing House
Association (“NACHA”) as such policies and procedures may be amended from time
to time.

 

17.                                
POS
AUTHORIZATION REPORTS CD-ROM

 

Authorization Reports available on CD are the NBI040
POS Detail report and the NBI046 Monthly report. The POS Detail report is
produced weekly. The POS Summary is produced monthly and is combined on the
same CD as the fourth week of month end. Weekly CDs are silver in color and
Weekly/Monthly CDs are gold in color. At the end of each week, CDs will be
produced and mailed via U.S. mail. The cost above applies to both the weekly
and the monthly.

 

17.1                          
CD
Processing/Production Fees

 

17.1.1               
Processing
Fee

 

	
  Per page

  	
   

  	
  ***********

  

 

17.1.2               
Processing
Fee

 

	
  Per CD generation

  	
   

  	
  **********

  

 

*                
includes mailing
sleeves/postage

 

17.2                          
Programming Fee

 

	
  Special programming,
  per hour

  	
   

  	
  **********

  

 

17.3                          
CD Re-create Fee

 

	
  Per CD

  	
   

  	
  **********

  

 

Any request for recreation of a previously generated
CD will be subject to the costs mentioned above.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

42

 

18.                                
MERCHANT
LINK GATEWAY HELP DESK SURCHARGE

 

18.1                          
Micros Transactions
(pass-through; in addition to the underlying auth/capture fees)

 

	
  Per transaction
  authorized

  	
   

  	
  ***********

  
	
   

  	
   

  	
   

  
	
  Per transaction captured

  	
   

  	
  **********

  

 

19.                                
VERSISIGN®
PAYMENT SERVICES

 

19.1                          
Product Description

 

VeriSign’s PayFlow(sm) product line is a
set of two (2) products that will allow Internet merchants to accept credit,
debit and electronic check payments.

 

19.2                          
PavFlow(sm)
Link

 

PayFlow(sm) Link allows merchants to
incorporate payment processing into their web site without requiring
programming. PayFlow(sm) Link is targeted for merchants who process
up to one thousand (1,000) transactions per month.

 

	
  19.2.1

  	
  Merchant Setup Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.2.2

  	
  Merchant Monthly Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.2.3

  	
  Transaction Fee (total
  of the following fees)

  	
   

  	
  **********

  

 

*                
This
per transaction fee is the total of the Gateway fee of ********** and the
VirtualNet fee of **********

 

19.3                          
PavFlow(sm)
Pro

 

PayFlow(sm) Pro provides payment services
for businesses that require peak site performance and direct control over
payment functionality. PayFlow(sm) Pro supports merchants of any
size but is especially suited for those processing more than one thousand
(1,000) transactions per day. PayFlow(sm) Pro is a flexible
API-based solution that allows the merchant web site to support multiple
payment options such as credit, debit and electronic check.

 

	
  19.3.1

  	
  Merchant Setup Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.3.2

  	
  Merchant Monthly Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.3.3

  	
  Transaction Fee (total
  of the following fees)

  	
   

  	
  **********

  

 

* The transaction fee is the total of the Gateway fee
of ********** and the VirtualNet fee of **********

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

43

 

19.4                          
CyberCash

 

Merchants receiving CyberCash services prior to
February 1, 2002 were migrated to the PayFlow(sm) product line
with the following pricing:

 

	
  19.4.1

  	
  Merchant Monthly Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.4.2

  	
  Transaction Fee (total
  of the following fees)

  	
   

  	
  **********

  

 

* The transaction fee is the total of the Gateway fee
of *********** and the VirtualNet fee of **********

 

19.5                          
PavFlow(sm)
/ CyberCash Help Desk Support

 

24x7 Help Desk Support Services (Class A) are
available for the services in Sections 19.2, 19.3 and 19.4 outlined above for
an additional fee for those merchants specifically designated for Class A support.
Any merchant not designated for the Class A service category will be
categorized as a Class B merchant.

 

	
  19.5.1

  	
  24x7 Help Desk Support
  (Class A)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  19.5.2

  	
  Monthly Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.5.3

  	
  Per Call Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.5.4

  	
  Non-Supported Merchants
  (Class B)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  19.5.5

  	
  Monthly Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  19.5.6

  	
  Per Call Fee

  	
   

  	
  **********

  

 

19.6                          
VeriSign Standard
Reseller Agreement

 

VITAL is a reseller of the VeriSign PayFlow(sm)
products for merchants to accept credit, debit and electronic payment via the
Internet. HEARTLAND hereby agrees to the terms and conditions of the VeriSign
Reseller Agreement attached hereto as Attachment I to this Exhibit “A”.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

44

 

Exhibit
B

 

CLEARING AND SETTLEMENT

 

1.                                      
BUNDLED CLEARING AND
SETTLEMENT SERVICES

 

	
  1.1  Monthly Platform
  Fee

  	
   

  	
  ***********

  

 

 

	
  1.2  Transaction Fee
  (credit, debit and check)

  	
   

  	
   

  

 

	
  Tier

  	
   

  	
  Monthly

  Transactions

  	
   

  	
  Price
  per

  Transaction

  	
   

  	
  Applies
  to

  	
   

  
	
  1

  	
   

  	
  0 - 12,000,000

  	
   

  	
  **********

  	
   

  	
  first 12,000,000
  transactions per month

  	
   

  
	
  2

  	
   

  	
  12,000,001 -
  20,000,000

  	
   

  	
  **********

  	
   

  	
  next 8,000,000
  transactions per month

  	
   

  
	
  3

  	
   

  	
  20,000,001 +

  	
   

  	
  **********

  	
   

  	
  all transactions over
  20,000.000 per month

  	
   

  

 

N.B.1
-Fees charged on all transaction types including credit, debit and check for
all card plans (e.g. Discover, Amex, Diners, JCB, Visa and MasterCard).

 

	
  1.3  Account on File
  Fee

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  1.3.1

  	
   

  	
  Per account, per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

	
  1.4  Included in
  Bundled Pricing

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  1.4.1

  	
   

  	
  Outgoing, online debit and check
  transactions

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.4.2

  	
   

  	
  Deposit transactions, incoming
  transactions, cross-reference transactions, merchant additional previous
  statements, online merchant statements, monthly merchant statements, merchant
  accounts on file

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.4.3

  	
   

  	
  Original production of RMS/CD-ROM
  and RMS/Soft Copy reporting

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.4.4

  	
   

  	
  Standard transmission package and
  reporting files

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1.5  Excluded from
  Bundled Pricing

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.5.1

  	
   

  	
  Envelopes, postage and delivery
  charges

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.5.2

  	
   

  	
  Base II Access Fees

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.5.3

  	
   

  	
  System connectivity and data
  lines

  	
   

  	
   

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

45

 

	
   

  	
  1.5.4

  	
   

  	
  Custom Transmissions and Custom
  Development

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.5.5

  	
   

  	
  RMS/CD-ROM disc duplication and
  re-creation, RMS/Microfiche and RMS/Paper reporting

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.5.6

  	
   

  	
  Statement Inserting

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.5.7

  	
   

  	
  Total Access reporting

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1.6  Minimum Fees

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  There is a minimum of ***********
  in monthly activity charges for each Vital Bank ID Number.

  

 

2.                                      
CLIENT DEVELOPMENT

 

	
  2.1  Client Development
  Services - Merchant

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.1.1

  	
   

  	
  Merchant Bank Conversion/Start-up
  Fee

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  2.1.1.a

  	
   

  	
  Merchant Bank Conversion/Start-up
  Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.1.2

  	
   

  	
  Merchant Bank Conversion

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  2.1.2.a

  	
   

  	
  Merchant Account

  	
  Per account

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Conversion

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  2.1.2.b

  	
   

  	
  Merchant Account History

  	
  Per account history

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Conversion

  	
  conversion

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.1.3

  	
   

  	
  Design, development and coding
  for client system customizations

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  * Charges based on standard Vital
  system and programming fees.

  	
   

  	
   

  

 

N.B.1 -
Established pricing includes any and all subsequent conversion/start-ups and
training requests.

N.B.2
-Travel, lodging, transportation, out-of-pocket expenses for VITAL conversion
and training personnel are considered a Client cost in conjunction with any
fees.

 

3.                                      
OTHER SERVICES

 

	
  3.1  Base II
  Transactions

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.1.1

  	
   

  	
  Base II Transactions

  	
  Per transaction

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.2  Statement Services

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.2.1

  	
   

  	
  Merchant Statement Inserting

  	
  Per insert

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

46

 

	
   

  	
  3.2.2

  	
   

  	
  Selective Inserting

  	
  Minimum

  	
   

  	
  ***********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   3.3  Reporting
  and Archiving Services

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.3.1

  	
   

  	
   

  	
  Report Management System (RMS3)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.1.1

  	
   

  	
  Printed Reports

  	
  per printed page

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.1.2

  	
   

  	
   

  	
   

  	
   

  	
  Transmission set-up fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  monthly fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.3.2

  	
   

  	
   

  	
  CD-ROM Pricing

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.1

  	
   

  	
   

  	
   

  	
   

  	
  CD Start-up Fee

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  This is a one-time charge for the
  standard CD set-up, including indexing and testing

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.2

  	
   

  	
   

  	
   

  	
  CD
  Change Fee

  	
  per hour

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Change for CD include indexing,
  creating automation scripts and testing.

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.3

  	
   

  	
   

  	
   

  	
  Forms Overlay Charge

  	
  per hour

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  This is the charge for creating a
  form overlay for each report/statement. The charge includes design of the
  logos, lines and other graphics

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.4

  	
   

  	
   

  	
   

  	
  Forms Set-up Fee for 1st statement
  design 

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
  Statement Start-up

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  each additional design

  	
   

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  This is the charge for creating a
  form overlay for each statement.

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  The charge includes design of
  logos, lines and other graphics

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.5

  	
   

  	
   

  	
  Disc Duplication

  	
  each-at time of process

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
  each-after 90 days

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.6

  	
   

  	
   

  	
  Production Processing per page

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.3.2.7

  	
   

  	
   

  	
  Bank/Agent Prod. Processing

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
  Extraction per page

  	
   

  	
   

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

47

 

	
   

  	
  3.3.2.8

  	
   

  	
   

  	
   

  	
  Network
  License Fee

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  This is the charge for putting
  the CD software on a LAN. Viewing Software is in the license fee

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

	
   

  	
   

  	
   

  	
   

  	
  First
  12

  Months

  	
   

  	
  Annual

  Renewal

  	
   

  
	
  3 3.2.8.1

  	
   

  	
  5 Concurrent Users

  	
   

  	
  **********

  	
  *

  	
  **********

  	
   

  
	
  3.3.2.8.2

  	
   

  	
  10 Concurrent Users

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  
	
  3.3.2.8.3

  	
   

  	
  25 Concurrent Users

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  
	
  3.3.2.8.4

  	
   

  	
  50 Concurrent Users

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  
	
  3.3.2.8.5

  	
   

  	
  100 Concurrent Users

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  
	
  3.3.2.8.6

  	
   

  	
  Unlimited Users (site
  License)

  	
   

  	
  **********

  	
   

  	
  **********

  	
   

  

 

	
  3.4  Total Access

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.1

  	
   

  	
  Initial Training / Re-training

  	
   

  	
  per day

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.2

  	
   

  	
  Additional User ID Assignments

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.2.1

  	
   

  	
  First Additional

  	
   

  	
  per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.2.2

  	
   

  	
  Second Additional

  	
   

  	
  per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.2.3

  	
   

  	
  Each Thereafter

  	
   

  	
  per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.3

  	
   

  	
  Merchant Program Monthly Access
  Fees

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

	
  Monthly
  Account Volume

  	
   

  	
  Unit
  Price

  	
   

  
	
  0 – 10,500

  	
   

  	
  ********** minimum

  	
   

  
	
  10,501 – 25,000

  	
   

  	
  ********** per account

  	
   

  
	
  25,001 – 50,000

  	
   

  	
  ********** per account

  	
   

  
	
  50,001 – 75,000

  	
   

  	
  ********** per account

  	
   

  
	
  75,001 – up

  	
   

  	
  ********** per account

  	
   

  

 

	
   

  	
   

  	
   

  	
  CPU minute consumed*

  	
   

  	
  per minute/month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
  * All Vital clients are allocated
  two CPU minutes per 1,000 merchant accounts on file

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.4.4

  	
   

  	
  Minimum Sign-up Period

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

3.4.4.1                        
There is a minimum
sign-up period of 12 months to use TOTAL ACCESS. You may discontinue use of
TOTAL ACCESS at any time after the first year or at the end of the first year
by giving Vital 180 days prior written notice

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

48

 

3.4.4.2                        
*
PC/SQL software price is dependent upon the current vendor’s price for supply
the software

 

4.                                      
MISCELLANEOUS
FEES

 

4.1                                
Out-of-Pocket
Expenses

 

4.1.1                       
Out-of-Pocket
expenses, such as travel, lodging, ground transportation, meals and related
expenses, are not included in fees quoted in this document. These costs will be
billed as additional charges.

 

4.2                                
Custom
Code

 

4.2.1                       
All
fees included in this document are based on our standard product offering. Any
custom code requested will be priced based on the current Vital Information
System and Programming rates.

 

4.3                                
Envelopes

 

	
  4.3.1

  	
   

  	
  Universal Envelope with Permit
  per envelope

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.3.2

  	
   

  	
  Do Not Forward Envelope per
  envelope

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.3.3

  	
   

  	
  Forwarding Address Correction per
  envelope Request

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.3.4

  	
   

  	
  Universal Envelope without Permit
  per envelope

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.3.5

  	
   

  	
  Return Envelope per envelope

  	
   

  	
  ***********

  

 

4.4                                
Postage

 

4.4.1                       
All
postage charges will be passed through to Heartland at the current postal
rates, less any available pre-sort discounts offset by associated handling
charges.

 

4.5                                
System
Connectivity and Data Lines

 

4.5.1                       
All system
connectivity charges will be passed through to Heartland based on current
vendor rates.

 

4.6                                
Delivery
Charges

 

4.6.1                       
All delivery charges
will be passed through to Heartland based on current vendor rates.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended.

 

49

 

Exhibit
C

 

Service Levels

 

VITAL’s responsibility for Service Level Standards are
limited to those elements over which VITAL has substantial control. HEARTLAND
will exercise commercially reasonable efforts to notify VITAL of Service Level
deficiencies within 24 hours of deterioration to aid VITAL in curing all
deficiencies.

 

A.                                  
POS Services

 

1.                                      
Dial Authorization
Availability

 

The communications network will have availability of
at least 99.5%, as measured on a monthly basis.

 

In the event that the dial authorization network is
available less than the established service level, VITAL will reimburse
HEARTLAND the price differential incurred for obtaining authorization from
another equivalent source of service and shall pay the interchange downgrade
incremental cost difference.

 

2.                                      
Merchant Leased Lines

 

VAPS - The service level standard for HEARTLAND’s
Merchant VAP availability is 99.5%, as measured on a monthly basis.

 

In the event that the VAP network is available less
than the established service level, VITAL will reimburse HEARTLAND the price
differential incurred for obtaining authorization from another equivalent
source of service and shall pay the interchange downgrade incremental cost
difference.

 

3.                                      
MMS Standards

 

The Merchant Management System will be available for
input of terminal ID’s and downloads 98% of the time, 7:00 a.m. to 7:00 p.m.
CTZ, 7 days per week, as measured on a monthly basis. The above criteria are
subject to system refreshes and scheduled downtime.

 

4.                                      
Notification of
Service Interruptions

 

VITAL agrees to notify HEARTLAND of the following
service interruptions within the noted time frames.

 

4.1                                
Planned MMS systems
downtime at least 72 hours prior to the downtime.

4.2                                
Any unplanned MMS
system downtime of more than one hour as soon as possible.

4.3                                
Any major
communication network outage that is known to VITAL that has significant
merchant impact, as soon as possible.

 

50

 

B.                                    
Accounting and
Clearing Services

 

1.                                      
On-Line Access

 

Account Inquiry:    8:00 a.m. EST 8:00 p.m. EST each day

 

VITAL will provide, at 99.5% monthly, twenty-four (24)
hour inquiry capabilities for specified function codes: JAG, IPT, IPB, IME,
IPL, IFC, IBT, IBA, IDN, IFT, ICG, IPS, IBR, IHM, ICD, IMA, IIT, IDR, IAL, INA,
IRK with the exception of normal refreshes and scheduled downtime.

 

Scheduled Downtime generally occurs in the 1st
2nd and 3rd Quarters of each Calendar year. VITAL will
notify HEARTLAND of these outages in January of each Calendar year and
confirm the outage three weeks prior to the actual outage.

 

	
  File Maintenance:

  	
   

  	
  8:00 a.m. EST 7:00 p.m.
  EST each day

  
	
   

  	
   

  	
   

  
	
  Monetary Entry:

  	
   

  	
  8:00 a.m. EST 7:00 p.m.
  EST each day

  
	
  (DCE, MRA, Chargeback
  Queuing)

  

 

	
  Response Times:

  	
   

  	
  Daily average of three
  seconds or less, controller to controller (HEARTLAND must maintain
  recommended line levels)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Recommended Network
  Provisions

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  1.  8 Terminals or
  less

  
	
   

  	
   

  	
  • Multi-point 9600 BPS Line

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  2.  64 Terminals
  or less

  
	
   

  	
   

  	
  • Point to Point 9600 BPS Line

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  3.  256 Terminals
  & Other Applications

  
	
   

  	
   

  	
  • Point to Point 56KBPS Line

  
	
   

  	
   

  	
  • Multi-port DSOSUs

  
	
   

  	
   

  	
  • Automatic Dial Back-up

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  4. More than 256
  Terminals and Multiple Applications

  
	
   

  	
   

  	
  • Fractional or Full T-1 Line

  
	
   

  	
   

  	
  • Bridge Router Connection

  
	
   

  	
   

  	
  • ISDN Back-up

  
	
   

  	
   

  	
   

  
	
  Standard:

  	
   

  	
  95% of all scheduled
  hours daily including scheduled downtime.

  

 

51

 

	
  2.    
  Transaction Posting and Settlement

  
	
   

  
	
  Transaction Files:

  	
   

  	
  This includes incoming
  files representing transactions (excluding transactions rejected based on
  incoming or outgoing edits due to the source data being the reason for the
  reject of the problem attributed to the Association) captured at merchant
  locations and presented to VITAL for clearing and posting, as well as
  outgoing files to various charge card associations for entering into the
  appropriate interchange network.

  
	
   

  
	
   

  	
   

  	
  Files received by 6:30
  p.m. EST on a business day (Sunday-Friday) will be cleared the current day;
  files received on a non-business day or after 6:30 p.m. EST on a business day
  will be cleared no later than the next business day; for files received after
  6:30 p.m., but before 1:00 a.m. EST the next business day, VITAL will use its
  best efforts to clear the transactions that night. Transactions received
  prior to the agreed upon pull times will be posted to the account that night.

  
	
   

  	
   

  	
   

  
	
  Standard:

  	
   

  	
  99% of all transactions
  cleared as defined each calendar month.

  
	
   

  	
   

  	
   

  
	
  3.    
  Merchant Statementing, Inserting and Billing

  
	
   

  	
   

  	
   

  
	
  Statements Mailed:

  	
   

  	
  Tapes mailed within two
  business days of cycling. Printed statements mailed within three business
  days.

  
	
   

  	
   

  	
   

  
	
  4.    
  ACH File Delivery

  
	
   

  	
   

  	
   

  
	
  File Delivery:

  	
   

  	
  All ACH files will be
  delivered within the agreed upon windows to HEARTLAND or the bank of
  HEARTLAND’s choice on the same business day in which the transactions
  (excluding transactions rejected based on incoming or outgoing edits due to
  the source data being the reason for the reject of the problem attributed to
  the Association) were entered into interchange or the business day following
  monthly statement creation. Guaranteed availability of information
  transmitted to HEARTLAND requires that HEARTLAND has installed and uses
  VITAL’s current preferred method of data transmission (currently Sterling
  Software’s Connect

  

 

52

 

	
   

  	
   

  	
  Direct also known as
  NDM), and that minimum processing windows are met. Files need to be received
  by VITAL allowing a minimum processing window of four (4) hours from the
  completion of the incoming file delivery to the scheduled window for delivery
  of the ACH file to HEARTLAND. All ACH files will be delivered within the
  agreed upon windows to HEARTLAND.

  
	
   

  	
   

  	
   

  
	
  Standard:

  	
   

  	
  No more than one (1)
  late delivery in any calendar month, that causes financial impact to
  HEARTLAND.

  
	
   

  	
   

  	
   

  
	
  5.    
  Report File Delivery

  
	
   

  	
   

  	
   

  
	
  Daily Files:

  	
   

  	
  All reports will be
  transmitted or available for transmission in accordance with the following
  schedules. All times are for the business day following posting or
  settlement.

  
	
   

  	
   

  	
   

  
	
  General Ledger

  	
   

  	
  TBD

  
	
   

  	
   

  	
   

  
	
  Chargeback and Retrieval

  	
   

  	
  6:00 a.m. EST

  
	
   

  	
   

  	
   

  
	
  Daily Reports

  	
   

  	
  1:00 p.m. EST

  
	
   

  	
   

  	
   

  
	
  Daily Transactions

  	
   

  	
  6:00 a.m. EST

  
	
   

  	
   

  	
   

  
	
  Daily Discount

  	
   

  	
  6:00 a.m. EST

  
	
   

  	
   

  	
   

  
	
  Monthly Files:

  	
   

  	
  All report files will
  be transmitted or available for transmission in accordance with the following
  schedule. All times are for the third business day following the last day of
  a business month.

  
	
   

  	
   

  	
   

  
	
  Monthly Reporting

  	
   

  	
  12:00 noon EST

  
	
   

  	
   

  	
   

  
	
  Monthly Statements

  	
   

  	
  12:00 noon EST

  
	
   

  	
   

  	
   

  
	
  Standard:

  	
   

  	
  97% of files meet
  established windows

  

 

6.                                      
Merchant Error Rate:

 

Merchant Services shall not exceed a greater than .2%
error or loss of data rate caused by VITAL as measured on a monthly basis.
VITAL shall retransmit and correct all such lost or inaccurate data at its sole
cost and expense if VITAL is responsible.

 

53

 

7.                                      
Response Time:

 

VITAL shall achieve response times comparable to those
achieved by third party providers of comparable services, as measured on a
monthly basis. At the least, VITAL’s response times shall not exceed the
following;

 

Type of Problem        Maximum Response Time

 

	
  System error (with
  financial impact to HEARTLAND or HEARTLAND’s client)

  	
   

  	
  Acknowledged and
  responded to within one (1) week from notification

  
	
   

  	
   

  	
   

  
	
  System error (without
  financial impact to HEARTLAND or HEARTLAND’s client)

  	
   

  	
  Acknowledged and
  responded to within two (2) weeks from notification

  
	
   

  	
   

  	
   

  
	
  General Research error

  	
   

  	
  Acknowledged and
  responded to within three (3) weeks from notification

  
	
   

  	
   

  	
   

  
	
  Merchant Statement
  error

  	
   

  	
  Acknowledged and
  responded to within two (2) weeks from notification

  
	
   

  	
   

  	
   

  
	
  Error Notification

  	
   

  	
  HEARTLAND will contact
  VITAL within one (1) business day for any out of balance conditions or file
  transmission errors. This will allow VITAL the best opportunity to resolve
  those types of incidents.

  

 

8.                                      
Customer Service:

 

VITAL shall exercise commercially reasonable efforts
to achieve or exceed customer service levels comparable to that achieved by
third party providers of comparable services. VITAL shall respond to all
telephonic or written inquiries within two (2) business days.

 

9.                                      
Report/CD-ROM:

 

9.1                                
Daily Reports mailed
within two (2) business days

9.2                                
Month-End Reports
mailed within three (3) business days

9.3                                
CD-ROM mailed within
four (4) business days

 

10.                                
File Feeds:

 

VITAL shall proactively manage all file feeds,
including but not limited to merchant-defined and outclearing files, received
by VITAL, on behalf of HEARTLAND or HEARTLAND’s clients, including but not
limited to prompt receipt and delivery scheduling and content verification and
notification.

 

54

 

FIRST AMENDMENT

TO VITAL PROCESSING SERVICES AGREEMENT

 

THIS FIRST AMENDMENT
(“Amendment”) by and between VITAL PROCESSING SERVICES, L.L.C. (“VITAL”) and
HEARTLAND PAYMENT SYSTEMS, INC. (“HEARTLAND”) modifies and supersedes any
conflicting provisions contained in the Vital Processing Services Agreement
dated April 1, 2002 by and between VITAL and HEARTLAND (“Agreement”) as
well as any amendments to the Agreement.

 

WITNESSETH THAT

 

WHEREAS, HEARTLAND
desires to expand the Merchant Services that VITAL may provide under the
Agreement to include Card-Not-Present Authorization Pricing;

 

NOW, THEREFORE, for and
in consideration of the promises and mutual covenants hereinafter set forth and
for other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the parties agree as follows:

 

FIRST

 

Exhibit “A”,
Section 1 to the Agreement is hereby amended and modified by the addition
of Section 1.2, entitled “Card-Not-Present Authorization”, as outlined in
Attachment I hereto.

 

SECOND

 

Except to the extent
specifically amended by this Amendment, the terms and conditions of the
Agreement, as well as the terms and conditions of any amendments to the
Agreement, remain in full force and effect without modification.

 

IN WITNESS WHEREOF, this
Amendment to the Agreement has been executed by VITAL and HEARTLAND effective
July 1, 2003, the Effective Date of this amendment.

 

	
  HEARTLAND PAYMENT
  SYSTEMS, INC.

  	
  VITAL PROCESSING
  SERVICES, L.L.C.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Martin J. Uhle

  	
   

  	
  By: 

  	
  /s/ Harry Hasselmann

  	
   

  
	
   

  	
   

  
	
  Title: President and
  COO

  	
  Title:  EVP

  
	
   

  	
   

  
	
  Date:  6-12-03

  	
  Date:  6-25-03

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

Card-Not-Present Authorization

 

1.2                              
Card-Not-Present
Authorization

 

Card-Not-Present Authorization is a credit and offline
debit authorization solution for merchants operating in a batch authorization
(card-not-present) environment.

 

1.2.1                     
Standard
Transaction Pricing

 

	
  Transaction
  Type

  	
   

  	
  VITAL’s
  Price Per Transaction

  
	
  Authorization/Capture

  	
   

  	
  ***********

  

 

1.2.2                     
Standard Endpoint
Pricing

 

	
  Frame Relay – Redundant

  	
   

  	
  VITAL’s Monthly Price
  per Circuit

  	
   

  	
   

  

 

	
  Endpoint
  Type

  	
   

  	
  Circuit
  Size

  	
   

  	
   

  
	
  1

  	
   

  	
  56Kbps

  	
   

  	
  **********

  
	
  2

  	
   

  	
  256Kb.s

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Frame Relay – VPN
  Backup

  	
   

  	
  VITAL’s Monthly Price
  per Circuit

  	
   

  	
   

  

 

	
  Endpoint
  Type

  	
   

  	
  Circuit
  Size

  	
   

  	
   

  
	
  1

  	
   

  	
  56Kbps

  	
   

  	
  **********

  
	
  2

  	
   

  	
  56Kbps

  	
   

  	
  **********

  

 

	
  Frame Relay – NO Backup

  	
   

  	
  VITAL’s Monthly Price
  per Circuit

  	
   

  	
   

  

 

	
  Endpoint Type

  	
   

  	
  Circuit Size

  	
   

  	
   

  
	
  1

  	
   

  	
  56Kbps

  	
   

  	
  **********

  
	
  2

  	
   

  	
  256Kb.s

  	
   

  	
  **********

  

 

	
  Secure
  FTP

  	
   

  	
   

  	
   

  	
  VITAL’s
  Monthly Price

  
	
   

  	
   

  	
   

  	
   

  	
  **********

  

 

1.2.3                     
Standard Help Desk
Pricing

 

	
   

  	
   

  	
  VITAL’s
  Price per Call H

  	
   

  
	
  Help Desk

  	
   

  	
  **********

  	
   

  

 

1.2.4.                    
Notes

 

1.2.4.1                    
VITAL does not charge
setup fees. However, a twelve (12) month minimum time commitment is required
for all frame circuit installations

 

* [****] Represents material which has been
redacted and filed separately with the Commission pursuant to a request for
confidential treatment pursuant to Rule 406 under the Securities Act of 1933,
as amended. 

 

 

which begins with the Effective Date of this
Amendment. VITAL will invoice HEARTLAND for the full twelve (12) months even in
the event HEARTLAND elects to de-install the frame circuit prior to the
expiration of the initial twelve (12) month period. The twelve (12) month
commitment will auto-renew each year unless HEARTLAND notifies VITAL in writing
ninety (90) days prior to the end of the twelve (12) month period.

 

1.2.4.2                    
VITAL reserves the
right to adjust the above fees to directly offset any increase in rates charged
to VITAL by third-party frame circuit providers.

 

 

FIRST AMENDMENT

TO VITAL PROCESSING SERVICES AGREEMENT

 

THIS FIRST AMENDMENT
(“Amendment”) by and between VITAL PROCESSING SERVICES, L.L.C. (“VITAL”) and
HEARTLAND PAYMENT SYSTEMS, INC. (“HEARTLAND”) modifies and supersedes any
conflicting provisions contained in the Vital Processing Services Agreement
dated April 1, 2002 by and between VITAL and HEARTLAND (“Agreement”) as
well as any amendments to the Agreement.

 

WITNESSETH THAT

 

WHEREAS, HEARTLAND and
VITAL agree to revised SSL Transactions pricing;

 

NOW, THEREFORE, for and
in consideration of the promises and mutual covenants hereinafter set forth and
for other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the parties agree as follows:

 

FIRST

 

Section 3.1.1 of
Exhibit “A” to the Agreement, entitled “SSL Transactions’ Is hereby amended and
modified as set forth in Attachment A hereto.

 

SECOND

 

Except to the extent
specifically amended by this Amendment, the terms and conditions of the Agreement,
as well as the terms and conditions of any amendments to the Agreement, remain
in full force and effect without modification.

 

IN WITNESS WHEREOF, this
Amendment to the Agreement has been executed by VITAL and HEARTLAND effective
June 1, 2003.

 

	
  HEARTLAND PAYMENT
  SYSTEMS, INC.

  	
  VITAL PROCESSING
  SERVICES, L.L.C.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Martin J. Uhle

  	
   

  	
  By:

  	
  /s/ Harry Hasselmann

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
  President and COO

  	
   

  	
  Title:

  	
  EVP

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
  6-3-03

  	
   

  	
  Date:

  	
  6/04/03

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

SSL Transactions

 

3.1.1                       
SSL Transactions

 

(Regardless of whether transactions are for
authorization and capture, authorization only, capture only)

 

Transaction Fee (Fill-A-Tier pricing):

 

	
  Monthly
  Transactions

  	
   

  	
  Price
  Per

  Transaction

  	
   

  	
   

  
	
  From

  	
   

  	
  To

  	
   

  	
   

  	
  Applies
  to:

  
	
  1

  	
   

  	
  1,500,000

  	
   

  	
  **********

  	
  *

  	
  (first 1.5 million
  transactions per month)

  
	
  1,500,001

  	
   

  	
  +

  	
   

  	
  **********

  	
   

  	
  (each transaction over
  1.5 million transactions per month)

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

 

ADDENDUM

TO VITAL PROCESSING SERVICES AGREEMENT

 

THIS ADDENDUM
(“Addendum”) by and between VITAL PROCESSING SERVICES, L.L.C. (“VITAL”) and
HEARTLAND PAYMENT SYSTEMS (“HPS”) modifies and supersedes any conflicting
provisions contained in the Vital Processing Services Agreement dated
April 1, 2002 by and between VITAL and HPS (“Agreement”) as well as any
amendments to the Agreement.

 

WITNESSETH THAT

 

WHEREAS, HPS desires to
expand the Merchant Services that VITAL may provide under the Agreement to
include Electronic Data Capture of Enhanced Data (Level III) associated with
Visa and MasterCard branded Purchasing Card Transactions;

 

NOW, THEREFORE, for and
in consideration of the promises and mutual covenants hereinafter set forth and
for other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the parties agree as follows:

 

FIRST

 

Exhibit “A” to the
Agreement is hereby amended and modified by the addition of Section 20,
entitled “Electronic Data Capture of Enhanced Data (Level III) associated with
Visa/MasterCard branded Purchasing Cards”, as outlined in Attachment I hereto.

 

SECOND

 

Except to the extent
specifically amended by this Amendment, the terms and conditions of the
Agreement, as well as the terms and conditions of any amendments to the
Agreement, remain in full force and effect without modification.

 

IN WITNESS WHEREOF, this
Addendum to the Agreement has been executed by VITAL and HPS effective
July 1, 2002.

 

 

	
  HEARTLAND PAYMENT
  SYSTEMS, INC.

  	
  VITAL PROCESSING
  SERVICES, L.L.C.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Martin J. Uhle

  	
   

  	
  By:

  	
  /s/ Harry Hasselmann

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
  President and COO

  	
   

  	
  Title:

  	
  EVP

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
  7-15-02

  	
   

  	
  Date:

  	
  7/17/02

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

20.                                
Electronic Data
Capture of Enhanced Data (Level III) Associated with Visa/MasterCard Branded
Purchasing Cards

 

Enhanced Data: Level III: Visa/MC Purchasing Card

 

20.1                          
Product Description

 

Electronic Data Capture of Enhanced Data (Level III)
associated with Visa and MasterCard branded Purchasing Cards.

 

20.2                          
Initial Setup Fees

 

	
  20 2.1

  	
  Core Setup Fees

  	
  ***********

  
	
   

  	
   

  	
   

  
	
  20.2.2

  	
  Special Setup Fee -
  applies when VITAL is required to develop and implement a Direct Connection
  to HPS’ in-house and/or third party Clearing & Settlement platform so
  that HPS may receive the Level III data.

  	
  **********

  
	
   

  	
   

  	
   

  
	
   

  	
  This fee is in addition
  to the Core Setup Fees.

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Any and all telecom
  costs, including setup costs and recurring fees, will be passed through to
  HPS.

  	
   

  

 

20.3                          
Transaction Fees –
Electronic Data Capture

 

The following fees are in addition to the applicable
fees for point-of-sale authorization and data capture:

 

	
  20.3.1

  	
  Per Transaction Fee –
  for each transaction containing

  	
  **********

  
	
   

  	
  Enhanced Data (Level
  III)

  	
   

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

 

e-CONNECTIONS
ADDENDUM

to the

PROCESSING SERVICES AGREEMENT

 

THIS e-CONNECTIONS
ADDENDUM (“Addendum”) by and between VITAL PROCESSING SERVICES, L.L.C.
(“VITAL”) and HEARTLAND PAYMENT SYSTEMS, INC. (“HEARTLAND”), modifies and
supplements those services contained in the Processing Services Agreement dated
April 1, 2002 by and between VITAL and HEARTLAND (“Agreement”) as well as
any addendums and amendments to said Agreement.

 

WITNESSETH THAT:

 

WHEREAS, HEARTLAND
desires to expand the Merchant Services that VITAL may provide under the
Agreement;

 

NOW, THEREFORE, for and
in consideration of the promises and mutual convenants hereinafter set forth
and for other good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the parties agree as follows:

 

FIRST

 

The Agreement is hereby
amended and modified by the addition of the delivery and pricing of VITAL®
e-Connections Service (“Service”) which are attached hereto as Attachment I and
made part hereof.

 

SECOND

 

Subject to the terms and
conditions of the Agreement and the Addendum during the initial Term, and any
Renewal Term, VITAL grants HEARTLAND a non-exclusive, nontransferable,
non-assignable and limited right and license to access and use the Services in
accordance with the terms of the Agreement and Addendum and to allow
HEARTLAND’s customers, agents and merchants (“USER(s)”) pursuant to terms and
conditions mutually agreed upon to access and use the Services.

 

THIRD

 

Except to the extent
specifically amended by this Addendum, the terms and conditions of the
Agreement, as well as the terms and conditions of any addendums and amendments
to the Agreement, remain in full force and effect without modification.

 

 

IN WITNESS WHEREOF, this
e-Connections Addendum to the Agreement has been executed by VITAL and
HEARTLAND effective October 1, 2002.

 

	
  HEARTLAND PAYMENT
  SYSTEMS, INC.

  	
  VITAL PROCESSING
  SERVICES, L.L.C.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Martin J. Uhle

  	
   

  	
  By:

  	
  /s/ Harry Hasselmann

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
  President and COO

  	
   

  	
  Title:

  	
  EVP

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
  9-23-02

  	
   

  	
  Date:

  	
  9/25/02

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

Attachment I

 

VITAL® e-Connections Services

 

VITAL® e-Connections is an
Internet-accessible browser-based financial reporting system that provides
financial institutions with risk management reporting tools and provides
financial institutions, their agents and merchants with the ability to monitor
electronic payment transaction activity. VITAL® e-Connections
consists of separate and distinct functional modules which may be used
individually or as a suite of services.

 

HEARTLAND acknowledges and agrees that during the term
of this Agreement and Addendum, VITAL shall be the exclusive supplier to
HEARTLAND of internet-accessible browser-based tools for viewing, reporting and
querying cleared and settled electronic payment processing transaction data and
authorized and captured electronic payment processing transaction data.

 

1.                                      
AUTHORIZATION AND
CAPTURE AND RECONCILIATION MODULES

 

1.1                                
Description of
Services

 

VITAL® e-Connections Authorization &
Capture and Reconciliation Modules provide HEARTLAND and its agents
(collectively “HEARTLAND”) with internet-accessible browser-based tools that
may be utilized in the management, reporting and reconciliation of authorized
and captured electronic payment processing transaction data.

 

1.2                                
Access

 

Access to transaction data may be obtained at Merchant
ID, Chain or Bank levels, as such levels are structured on the VITAL
Authorization Platforms. Pursuant to the existing hierarchy structure:

 

1.2.1                       
A USER with a
Merchant Logon ID may view data associated with that Merchant ID only.

 

1.2.2                       
A USER with a Chain
Logon ID will have the ability to view aggregate, as

well as individual, transaction data belonging to that specific Chain.

 

1.2.3                       
A USER with an Agent
Logon ID will have the ability to view aggregate, as well as individual,
transaction data belonging to that specific Agent

 

1.2.4                       
HEARTLAND may, by
using a Bank CSR Logon ID, view aggregate, as well as individual data
associated with that specific Bank.

 

1.2.5                       
HEARTLAND will be
assigned an Administrator Logon ID and password that will enable HEARTLAND to
assign and administer CSR, Chain and Merchant Registration and Logon IDs and
passwords on behalf of HEARTLAND’s USERs.

 

1.2.6                       
Logon IDs are
intended for use, and operation, by HEARTLAND, its Agent Banks, its merchants
and their respective employees and are not intended for resale or use by third
parties other than HEARTLAND’s Agent Banks and merchants.

 

 

2.                                      
CLEARING AND
SETTLEMENT MODULE

 

2.1                                
Description of
Services

 

VITAL® e-Connections Clearing &
Settlement Module provides HEARTLAND and its customers, either agents who
resell services or merchant establishments (“USERS”) with internet-accessible
browser-based tools that may be utilized in the management and reporting of
cleared and settled electronic payment processing transaction data.

 

2.2                                
Access

 

Access to transaction data may be obtained at Merchant
ID, Association or Group levels, as such levels are structured on the MAS.
Pursuant to the existing MAS hierarchy structure:

 

2.2.1                       
A USER with a
Merchant Logon ID may view data associated with that Merchant ID only.

 

2.2.2                       
A USER with an
Association Logon ID will have the ability to view aggregate, as well as
individual, transaction data belonging to that specific Association.

 

2.2.3                       
A USER with a Group
Logon ID will have the ability to view aggregate, as well as individual,
transaction data belonging to that specific Group.

 

2.2.4                       
HEARTLAND may, by
using a Bank CSR Logon ID, view aggregate, as well as individual data
associated with that specific Bank.

 

2.2.5                       
HEARTLAND will be
assigned an Administrator Logon ID and password that will enable HEARTLAND to
assign and administer CSR, Group, Association and Merchant Registration and
Logon IDs and passwords on behalf of HEARTLAND’s USERs.

 

3.                                      
RISK MANAGEMENT
MODULE

 

3.1                                
Description of
Services

 

VITAL® e-Connections provides HEARTLAND and
its agents (“collectively “HEARTLAND”) with internet-accessible browser-based
tools that enable HEARTLAND to define rule-based parameters for the monitoring
of unusual authorization transaction activity.

 

3.2                                
Access

 

3.2.1                       
HEARTLAND may, by
using a HEARTLAND risk analyst (“RA”) Logon ID, view reports of unusual
authorization transaction activity.

 

3.2.2                       
HEARTLAND may by
using a HEARTLAND risk manager (“RM”) Logon ID, view standard and managerial
level reports of unusual authorization transaction activity.

 

3.2.3                       
HEARTLAND may by
using a HEARTLAND risk system administrator (“RSA”) Logon ID, modify rules
defining unusual authorization transaction activity, as well as view standard
and managerial level reports of that activity.

 

 

3.2.4                       
VITAL®
shall assign HEARTLAND all Risk Logon 1Ds and passwords unless otherwise agreed
to.

 

4.                                      
HELP DESK SUPPORT
PROVIDED TO HEARTLAND’S END-USER MERCHANTS, AGENT BANK PARTNERS AND ISO
PARTNERS

 

If requested to do so by HEARTLAND, VITAL shall
provide first-level telephone-based Help Desk support to HEARTLAND’s USERs. In
the event that VITAL provides Help Desk Services pursuant to this
Section 4, the fees described in Section 5.4.1 shall apply.

 

5.                                      
SERVICE FEES

 

5.1                                
Platform Fees

 

5.1.1                       
Transaction data
loaded from the VITAL Merchant Accounting System / Authorization System.

 

	
  Per Merchant ID, per
  month

  	
   

  	
  ***********

  

 

5.1.2                       
Transaction data from
Vital platforms and imported from third party platforms.

 

	
  Per Merchant ID, per
  month

  	
   

  	
  ***********

  

 

5.1.3                       
e-Connections will
maintain up to the most recent 13 months of data for each Merchant ID.

 

5.1.4                       
If any transaction
data for a specific Merchant ID is imported from a third party or from
HEARTLAND’s in-house platforms, the platform fee for that Merchant ID shall be
the imported data rates as described in 5.1.2 above.

 

5.1.5                       
The platform fee
quoted above are valid as long as the average number of transactions per month
per Merchant ID is less than one thousand (1,000). Increased data storage
requirements may incur additional fees.

 

5.2                                
Access Fees

 

	
  5.2.1.

  	
  Per Merchant Logon ID,
  per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.2.2.

  	
  Per Merchant
  Association/Group Logon ID, per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.2.3.

  	
  Per Bank
  Association/Group Logon ID, per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.2.4.

  	
  Per Bank CSR Logon ID,
  per month

  	
   

  	
  **********

  
	
   

  	
  ********** for first
  ONE HUNDRED TEN (110) CSR Logon IDs

  
	
   

  	
   

  	
   

  	
   

  
	
  5.2.5.

  	
  Per Bank Agent Level
  Logon ID, per month

  	
   

  	
  **********

  
	
   

  	
   

  	
   

  	
   

  
	
  5.2.6

  	
  Per Bank Administrator
  ID, per month

  	
   

  	
  **********

  

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

 

5.3                                
Implementation Fee

 

	
  One-time fee

  	
   

  	
  **********

  

 

5.4                                
Help Desk Support
Fees

 

	
  5.4.1

  	
  Per Help Desk Call

  	
  **********

  

 

5.5                                
Import of Data from 3rd Parties

 

	
  5.5.1

  	
  One-time Initial Setup
  Fee, per data source, per file

  	
  By Quote*

  
	
   

  	
   

  	
   

  
	
   

  	
  * Initial Setup Fee is
  ********** for Global, FDR, Paymentech, Buypass and Heartland

  	
   

  

 

5.6                                
Customization Fees

 

When new features are added to future general releases
of the e-Connections modules covered by this Agreement, there will be no
additional charges for those features. Note, however, that VITAL may offer
value-added optional modules that can be integrated into the VITAL®
e-Connections suite and that there may be additional fees for such optional,
add-on modules. For customization that falls outside of what is deemed to be
the standard product, i.e. the initial product and subsequent general releases,
VITAL may offer customization at *********** per hour. VITAL reserves the right
to evaluate customization requests before committing to implement them.

 

6.                                      
MONTHLY MINIMUMS

 

6.1                                
VITAL®
e-Connections’ technical specifications require that, if any Merchant IDs for a
given Bank ID on MAS are loaded, all Merchant IDs for that Bank ID must be
loaded.

 

6.2                                
VITAL®
e-Connections’ technical specifications require that, if any Merchant IDs for a
given BIN on VITAL’s Authorization System are loaded, then all Merchant IDs for
that BIN must be loaded.

 

6.3                                
HEARTLAND agrees to
maintain a minimum monthly fee of ********** on the VITAL®
e-Connections Service at all times. In the event that HEARTLAND fails to
maintain the monthly. minimum commitments, VITAL shall invoice, and HEARTLAND
shall pay within thirty (30) days, the fees that would have resulted had
HEARTLAND maintained the required minimums.

 

7.                                      
TRAINING AND
DOCUMENTATION

 

	
  7.1

  	
   

  	
  Training at VITAL, per
  trainer, per day

  	
   

  	
  **********

  

 

7.2                                
Travel, lodging,
transportation, out-of-pocket expenses for VITAL training personnel are
considered a HEARTLAND cost in conjunction with any fees.

 

*Fee for a maximum of eight (8) attendees

 

7.3                                
Initial training will
be provided at no charge at HEARTLAND (Jeffersonville, IN) in a one (1)-day
session.

 

* [****] Represents material which has
been redacted and filed separately with the Commission pursuant to a request
for confidential treatment pursuant to Rule 406 under the Securities Act of
1933, as amended. 

 

 

ATTACHMENT A

 

VITAL®
e-Connections Services

Terms
of Use

 

This internet-accessible, browser-based financial
transaction reporting service (“Service”) includes proprietary materials, the
use of which is subject to the following terms and conditions.

 

1.                                      
Acknowledgment And
Acceptance Of Agreement:

 

The Service, provided by a financial transaction
processing entity (the “Company”) to the business entity (“User”) pursuant to
the Terms of Use Agreement (“TOU”), any amendments thereto, and any operating
rules or policies that may be published from time to time by Company, all of
which are hereby incorporated by reference. The TOU comprises the entire
agreement between User and Company, and supersedes any prior agreements
pertaining to the subject matter contained herein.

 

2.                                      
Description Of
Service:

 

Company is providing User with the capability to
initiate queries and receive financial transaction reporting via the World Wide
Web, or other communications method as agreed upon, on a site designated by the
Company. User must: (a) provide for User’s own access to the

 

World Wide Web and pay any service fees associated
with such access, and (b) provide all equipment necessary for User to make such
connection to the World Wide Web, including a computer, modem and Web browser.

 

3.                                      
User’s Registration
Obligations:

 

In consideration of use of the Service, User agrees
to: (a) provide true, accurate, current, and complete information about User as
prompted by the Registration Form, and (b) to maintain and update this
information to keep it true, accurate, current and complete. This information
about a User shall be referred to as “Registration Data.” If any information
provided by User is untrue, inaccurate, not current, or incomplete, Company has
the right to terminate Users access to the Service, and refuse any and all
current or future use of the Service.

 

4.                                      
Modifications To
Agreement:

 

Company may change the TOU from time to time at its
sole discretion. Changes to the TOU will he posted on the System Bulletin
screen, which is available to all End Users.

 

5.                                      
Modifications To
Service:

 

Company reserves the right to modify or discontinue,
temporarily or permanently, the Service with or without notice to User. User
agrees that Company shall not be liable to User or any third party for any
modification or discontinuance of the Service.

 

6.                                      
User Account,
Password And Security:

 

User will receive a password and account designation
upon completing the registration process. User is responsible for maintaining
the confidentiality of the password and account, and is fully responsible for
all activities that occur under User’s password or account. User agrees to
immediately notify the Service of any unauthorized use of User’s password or
account or any other breach of security.

 

 

7.                                      
User Conduct:

 

User agrees to abide by all applicable association,
local, state, national, and international laws and regulations in User’s use of
the Service, and agrees not to interfere with the use and enjoyment of the
Service by other Users. User agrees to be solely responsible for the contents
of User’s transmissions through the Service.

 

User agrees (i) not to use the Service for illegal
purposes; (ii) not to interfere with or disrupt the Service or servers or
networks connected to the Service; (iii) to comply with all requirements,
procedures, policies and regulations of networks connected to the Service; and
(iv) to comply with all applicable laws regarding the transmission of technical
data exported from the United States.

 

8.                                      
Indemnity:

 

User agrees to indemnify and hold Company, and its
officers, and employees, harmless from any claim or demand, including
reasonable attorneys’ fees, made by any third party due to or arising out of
User’s use of the Service, User’s connection to the Service, User’s violation
of the TOU, or User’s violation of any rights of another.

 

9.                                      
Resale Of Service:

 

If User is designated by the Company as a reseller of
the Service, then such User shall be responsible for ensuring all parties to
whom it resells the Service agree and abide by the TOU.

 

10.                                
Data Storage:

 

Company, and its their third party service providers
assume no responsibility for the deletion or failure to store financial
transaction data. Company may establish a limit on the data storage capability
it will maintain for User.

 

11.                                
Termination:

 

User agrees that Company may terminate Users password,
account or use of the Service if Company believes:

 

11.1                          
That User has
violated or acted inconsistently with the letter or spirit of the Service
Agreement,

 

11.2                          
That User has
violated the rights of Company, or (iii) that User’s continued use of the
Service poses a material threat to the security, stability, or ongoing
operation of the System Or Services.

 

User acknowledges and agrees that any termination of
Service under any provision of this Agreement may be effected without prior
notice

 

12. Disclaimer Of Warranties:

 

User expressly agrees that use of the service is at
user’s sole risk. The service is provided on an “as is” and “as available”
basis.

 

12.1                          
COMPANY EXPRESSLY
DISCLAIMS ALL WARRANTIES OF ANY KIND, WHETHER EXPRESS OR IMPLIED, INCLUDING,
BUT NOT LIMITED TO THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A
PARTICULAR PURPOSE AND NON-INFRINGEMENT.

 

 

12.2                          
COMPANY MAKES NO
WARRANTY THAT THE SERVICE WILL MEET USER’S REQUIREMENTS, THAT THE SERVICE WILL
BE UNINTERRUPTED, TIMELY, SECURE, OR ERROR FREE; NOR DOES COMPANY MAKE ANY WARRANTY
AS TO THE RESULTS THAT MAY BE OBTAINED FROM THE USE OF THE SERVICE OR AS TO THE
ACCURACY OR RELIABILITY OF ANY INFORMATION OBTAINED THROUGH THE SERVICE.

 

12.3                          
COMPANY MAKES NO
WARRANTY REGARDING ANY GOODS OR SERVICES PURCHASED OR OBTAINED THROUGH OR FROM
THE SERVICE OR ANY TRANSACTIONS ENTERED INTO THROUGH SERVICE.

 

SOME JURISDICTIONS DO NOT ALLOW THE EXCLUSION OF
CERTAIN WARRANTIES, SO SOME OF THE ABOVE EXCLUSIONS MAY NOT APPLY TO YOU.

 

13. Limitation of Liability:

 

13.1                          
User agrees that
Company shall not be liable for any direct, indirect, incidental, special, or
consequential damages, resulting from the use or the inability to use the
service or resulting from unauthorized access to or alteration of user’s
transmissions or data, including but not limited to, damages for loss of
profits, use, data or other intangibles, even if Company has been advised of
the possibility of such damages.

 

13.2                          
User further agrees
that Company shall not be liable for any damages arising from interruption,
suspension or termination of service, including but not limited to direct,
indirect, incidental, special, consequential or exemplary damages, whether such
interruption, suspension or termination was justified or not, negligent or
intentional, inadvertent or advertent.

 

Some jurisdictions do not allow the limitation or
exclusion of liability for incidental or consequential damages so some of the
above limitations may not apply to you.

 

NOTICE: Any notice to User or to the Company shall be
made via either email or regular mail. The Company may also provide notices of
changes to the TOU or other matters by displaying notices to Users generally on
the Service.

 

14.                                
General:

 

14.1                          
The Service Agreement
and the relationship between User and Company shall be governed by the laws of
the State of Arizona without regard to its conflict of law provisions.

 

14.2                          
The failure of
Company to exercise or enforce any right or provision of the TOU shall not
constitute a waiver of such right or provision. If any provision of the TOU is
found by a court of competent jurisdiction to be invalid, the parties
nevertheless agree that the court should endeavor to give effect to the
parties’ intentions as reflected in the provision, and the other provisions of
the TOU remain in full force and effect.

 

14.3                          
User agrees that
regardless of any statute, or law to the contrary, any claim or cause of action
arising out of or related to use of the Service or the Service Agreement must
be filed within ninety (90) days after such claim or cause of action arose or
be forever barred.

 

15.                                
Section Titles

 

15.1                          
The
section titles in the TOU are for convenience only and have no legal or
contractual effect.

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