Document:

Exhibit
10.1

 

Dated
December 30, 2013

 

 

 

 

 

 

 

 

 

 

 

BIBBY
TRADE
SERVICES
LIMITED
(1)

 

 

 

 

LOT78
UK LTD (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

PURCHASE
AND RESALE AGREEMENT

 

for
the
purchase
and
resale
of goods
to the
Customer

    	 

    	 

    

CONTENTS

	 	Page
	1.	DEFINITIONS	3
	2.	THE FACILITY	7
	3.	CONDITIONS	8
	4.	BIBBY SALE PRICE AND MINIMUM AMOUNT	8
	5.	BIBBY’S FEES AND EXPENSES	9
	6.	PAYMENT TO THE CUSTOMER	10
	7.	CUSTOMER INDEMNITY	10
	8.	CUSTOMER’S OBLIGATIONS	10
	9.	WARRANTIES AND REPRESENTATIONS	10
	10.	INFORMATION	12
	11.	TERMINATION	12
	12.	GENERAL	14
	13.	DATA PROTECTION ACT 1998	16
	 	SCHEDULE 1	19
	 	Conditions of Sale	19
	 	SCHEDULE 2	26
	 	Letter of Credit Procedure	26
	 	SCHEDULE 3	27
	 	Conditions Precedent	27
	 	SCHEDULE 4	28
	 	Form of Utilisation Request	28

 

    	 

    	 

    

THIS
AGREEMENT is made
on December 30,2013

 

 

BETWEEN

 

 

(1)
 BIBBY TRADE
SERVICES
LIMITED
a company
registered
in England
under
company
number 
03530463
whose
 registered
 office
 is at 105
Duke
 Street, 
Liverpool,
 L1 5JQ
("Bibby");
and

 

(2)LOT78
UK LTD
a company
registered
in England
under
company
number
05490864
whose registered
office
is at FLAT
2, 6 LEAMINGTON
ROAD
VILLAS,
LONDON,
W11
1HS
(the "Customer").

 

 

INTRODUCTION

 

(A)The
Customer
from
time
to time
purchases
goods from
suppliers
for resale
to its own
buyers.
(B)Bibby
trades
as a
finance
company
making
available
finance
to its customers.

 

(C)
It is anticipated
that
from time
to time
the Customer
will request
that
Bibby purchase
such goods
directly
from suppliers
and
resell such
goods to
the Customer
on the
terms
set out
in this Agreement.

 

 

IT
IS AGREED:

 

1.DEFINITIONS

 

 

	"Bibby Accounts" means the
    accounts held with HSBC Bank Plc of   4 Dale Street, Liverpool, L69 2BZ "Bibby Factors" means  
    Bibby    Trade        Factors    Limited    (with   company
    number 5303859); "Bibby Group Company"     means any Holding Company of Bibby or any   Subsidiary of such
    Holding Company and "Bibby   Group" shall     be construed accordingly; "Bibby Sale Price" has the
    meaning given to it at clause 4. "Bibby Sales Invoice"     means the invoice from Bibby to the Customer   for
    the Bibby Sale Price;  

 

1.1In this
Agreement
and
in each
schedule
hereto,
unless
the
context
otherwise requires,
the following
words and
expressions,
shall
have
the
following
meanings:

    	 

    	 

    

 

	"Business
    Day"	means
                           a day
                           (other
                           than
                           a Saturday
                           or Sunday)
                           on which
                           banks
                           are open
                           for general
                           business
                           in London;

	"Buyer"	means
        the individual,
        firm,
        company
        or other entity
        to whom
        the
        Customer
        contracts
        to sell the Goods;

	"Conditions
    of Sale"	means
        the standard
        terms
        and
        conditions
        set out in 
        schedule
         1  (Conditions
        of Sale) on
         which
        Bibby will sell
        the Goods
        to the Customer;

	"Customer
    Balance"	means,
        in relation
        to each
        Transaction,
        the End
        Sale Price less
        (a) the
        Bibby
        Sale Price
        and
        (b) all
        other amounts
        (if any)
        owing
        to Bibby
        pursuant
        to clause
        5;

	"Customer
    Credit
    Limit"	means
        the credit
        limit as
        notified in
        writing
        by Bibby 
        to  the
         Customer 
        from 
        time  to 
        time  in Bibby's
        absolute
        discretion;

	"Customer/Bibby
    Purchase
    Order"	means
        the purchase
        order from
        the Customer
        to Bibby whereby
        the Customer
        offers
        to buy the
        Goods upon
        the Conditions
        of Sale and
        upon
        the terms
        equivalent
        to those
        set
        out in
        the Supplier
        Contract
        (with the
        Conditions
        of Sale
        prevailing
        in the
        event
        of any
        conflict)
        at a
        price equal
        to the aggregate
        of the Bibby
        Sale Price
        and all
        other sums payable
        by the Customer pursuant

        Clause
        [5] of
        this
        Agreement;

	"Customer
    Sales
    Invoice"	means
        the invoice
        from the
        Customer to the
        Buyer
        describing
        the
        Goods
        and
        detailing
        the End
        Sale Price
        [and
        stipulating
        that
        such
        amount
        shall be
        paid into
        the Bibby
        Accounts];

	"Data
    Subject"	means
        any
        individual
        associated
        with the
        Customer's organisation
        about whom
        Bibby requires
        the disclosure
        of personal
        information
        including
        (without
        limitation)
        (for a
        sole tradership) the
        proprietor, 
        (for a
        firm)
        the partners
        and
        (for a
        limited
        company)
        the Customer's
        directors
        and
        any
        person who
        may be asked
        to act
        as a guarantor
        or indemnifier
        of the Customer's
        liabilities
        to Bibby;

    	 

    	 

    

 

	"Direct
    Payment"	means
                           payment
                           by way
                           of cheque,
                           BACS, telegraphic
                           transfer,
                           SWIFT
                           payment,
                           cash
                           or any
                           other
                           method
                           of payment
                           agreed
                            between Bibby and
                           the Supplier
                           other
                           than a Letter
                           of Credit;

	"End
    Sale
    Price"	means
        the price
        payable
        for the
        Goods by
        the Buyer
        as set
        out
        in the
        Customer
        Sales
        Invoice;

	"Euro"	means
        the common
        unit
        of currency
        adopted
        by certain
        members
        of the
        European
        Union
        on 1 January
        1999;

	"fully
    indemnify"	means
        fully
        indemnify
        against
        all losses,
        costs, claims,demands,expenses,liabilitiesand
        proceedings in
        respect
        of the
        matter
        concerned;

	"Goods"	means
        all materials,
        goods or services
        of a Supplier
        which
        may be
        selected
        by the
        Customer
        for purchase
        by Bibby
        pursuant to a
        Supplier Contract
        and
        resale
        to the
        Customer pursuant
        to a Customer/Bibby
        Purchase
        Order
        and
        which
        are the
        subject
        of a further
        resale by the
        Customer to a Buyer
        in each
        case in
        accordance
        with the
        terms of
        this Agreement;

	"Group
    Company"	means
        any
        Holding Company
        or Subsidiary
        of the Customer;

	"Holding
    Company"	means,
        in relation
        to a
        company
        or corporation,
        any
        other
        company
        or corporation
        in respect
        of which
        it is a
        Subsidiary;

	"Import
    & Distribution
    Charges"	means
        all import
        duties (excluding
        any VAT
        otherwise payable
        by Bibby)
        freight,
        distribution,
        warehousing
         and 
        other  fees
         expenses
         costs
        taxes levies
        surcharges
        and
        duties payable
        in respect
        of the transport
        and
        importation of
        the Goods
        into the
        United
        Kingdom and/or
        the transport
        and
        storage of Goods within
        the United
        Kingdom;

	"L/C
    Bank"	means
        any
        bank or
        other financial
        institution
        elected
        by Bibby to
        issue the
        Letter
        of Credit
        to the  Supplier
         pursuant
         to  the
         terms
         of  this
        Agreement;

    	 

    	 

    

 

	“Letter
    of Credit"	means
                           a documentary
                           letter
                           of credit
                           issued
                           by the L/C
                           Bank on its
                           usual
                           terms;

	"Preferential
    Creditors"	means
        any
        creditors
        of the
        Customer entitled
        to payment
        in priority to other
        creditors
        on a winding
        up or
        bankruptcy
        of the
        Customer pursuant
        to the terms
        of the
        Insolvency
        Act
        1986 and
        regulations
        made thereunder;

	"Party"	means
    each
    party
    to this
    Agreement;
	"Subsidiary"	means
         a  subsidiary
         within
         the
         meaning
         of section 736
        of the
        Companies
        Act 1985;

	"Supplier"	means
        any
        person which
        supplies
        or may
        supply Goods to the
        Customer in
        the
        ordinary course
        of business;

	"Supplier
    Contract"	means
        the contract
        between
        the Supplier
        and the
        Customer (as
        Bibby's
        agent)
        describing
        the Goods
        and
        the
        terms
        of delivery
        of the
        Goods, specifying
        the Supplier
        Sale Price, acknowledging
        that the
        delivery
        of the Goods
        is to be made to the Customer
        as Bibby's
        agent
        and stipulating
        that
        the title in the
        Goods will
        pass to
        Bibby immediately
        upon payment
        of the Supplier
        Sale Price;

	"Supplier
    Sale Price"	means
        the price
        payable
        by Bibby
        to the
        Supplier
        for the Goods
        as set out
        in the
        Supplier
        Contract;

	"Supplier
    Sales
    Invoice"	means
        an invoice
        from
        the Supplier
        to Bibby describing
        the Goods
        and
        specifying
        the
        Supplier
        Sale Price;

	“Supplier
    Undertaking”	means
        a letter
        undertaking
        from Bibby
        to the

        Supplier
         to  pay
         subject
         to  certain
         conditions
        contained
        therein;

	"Transaction"	means
        each
        transaction
        under
        this Agreement
        whereby
         Goods
         are 
        purchased
         by  Bibby
         for resale
        to the
        Customer pursuant
        to a Utilisation;

	"Utilisation"	means
        each
        utilisation
        by the
        Customer under
        this Agreement
        whereby
        Bibby purchases
        Goods from
        a Supplier
        for resale
        to the
        Customer, in each
        case pursuant
        to clause
        2; and

    	 

    	 

    

"Utilisation
Request"
 means
 a  request
 by 
the 
Customer  for
 a Utilisation,
 substantially
 in 
the  form
 of  the
request set out in schedule
4 (Form of Utilisation
Request).

 

 

1.2
 Any reference
in this
Agreement
to "writing"
or cognate
expressions
includes
a reference
to telex,
cable,
facsimile
transmission
or comparable
means
of communication.

 

1.3
 Any reference
in this
Agreement
to any
provision of
a statute
shall
be construed
as a reference
to that
provision as
amended,
re-enacted
or extended
at the
relevant
time.

 

1.4
 The
headings
in this
Agreement
are for
convenience
only
and
shall
not affect
its construction
or interpretation.

 

1.5
Unless
otherwise specified,
words importing
the singular
include
the
plural,
words
importing
any
gender
include
every
gender,
words importing
persons
include
bodies corporate
and unincorporated
and references
to the whole
include
the part;
and
(in each
case) vice
versa.

 

1.6
References
to clauses
and
other provisions
are references
to clauses
and
other provisions
of this Agreement.

 

1.7
 The
terms
"hereunder"
and
"hereof"
(and
any other
similar expressions)
refer
to this entire
Agreement
and
not to
any
particular
provision thereof.

 

 

2.THE
FACILITY

 

2.1The
maximum
funding
limit is
£600,000
across
both the
purchasing
and
factoring
facility.

 

2.2
 The
Customer
may request
a Utilisation
from time
to time
by submitting
a Utilisation
Request to Bibby.

 

2.3
Subject
to prior satisfaction
in all
respects
of the
conditions
set out
in clause
3, Bibby
may from
time to
time make
a Utilisation
available
to the
Customer by
purchasing
the Goods
in its own
name
from the
relevant
Supplier.

 

2.4Bibby
shall
effect
any
such
purchase
of the
relevant
Goods pursuant
to clause
2.2 by
either:
(a)arranging
the issuance
of a Letter
of Credit
to the
Supplier;

 

(b)making
Direct
Payment
to the
Supplier;

 

(c)arranging
the issuance
of a Supplier
Undertaking
to the
Supplier,
in each case
in an
amount
equal to
the
Supplier
Sale Price
and
subject
to the
terms
of a Supplier
Contract.

 

2.5
Bibby agrees
to re-sell
to the
Customer on
the
Conditions
of Sale
any
Goods
as set
out in
a Customer/Bibby
Purchase
Order
which
Bibby has
purchased
from a
Supplier
pursuant
to clause
2.3,
at the Bibby
Sale Price. Such
resale shall
be effected
on the date
when
Bibby receives
an amount
equal to
the Bibby
Sale Price
from
the Customer
(or from Bibby Factors
on the Customer's
behalf)
or the
End Sale
Price from the Buyer.

    	 

    	 

    

2.6
 In respect
of any
Transaction
for which
Bibby has
agreed
to make
available
a Utilisation,
Bibby may
defer,
delay,
decline
to make
available
or withdraw
that Utilisation
at any
time if the Customer
is in breach
of any of the terms
of this Agreement
or if any of the
conditions
set out in clause
3 in respect
of that
or any other Transaction
has not
been satisfied.

2.7
 In the
event
that
Bibby shall
elect
to purchase
the Goods
by means
of a
Letter
of Credit
to the Supplier
pursuant
to clause
2.3(a),
the Parties
will comply
with
the procedures
as set
out in schedule
2 (Letter
of Credit Procedure).

2.8Bibby
reserves
the
right in its
absolute
discretion
to not
make
a Utilisation
available
to the

 

Customer
in respect
of any
request by
the Customer
pursuant
to clause
2.1.

 

 

3.CONDITIONS

 

3.1The
 obligation
of  Bibby
 to  make
 any
 Utilisation
available
 to  the
 Customer 
under 
this

 

Agreement
is conditional
upon:

 

(a)receipt
by Bibby
to its satisfaction
of all
documents
and
other evidence
set out
in schedule
3 (Conditions
Precedent);

(b)compliance
by the Customer
at all
times with
the
terms
of this
Agreement;
(c)compliance
by the Customer
with the
Customer Credit
Limit;
and

(d)compliance
by the Supplier
with the
terms
of the
Supplier
Contract.

 

3.2
If the
conditions
in clause
3.1 are
not satisfied
or otherwise
waived
in writing
by Bibby,
all obligations
and
liabilities
of Bibby arising in respect
of the Customer, the
Buyer
and/or
the Goods in
relation to which
any conditions
are or remain
unsatisfied,
shall
cease immediately
and Bibby
shall
have
no liability
whatsoever
to any party
as a result
thereof.

 

 

4.BIBBY
SALE
PRICE
AND MINIMUM
AMOUNT

 

4.1The
Bibby Sale
Price shall
be the
aggregate
of:

 

(a)the
Supplier
Sale Price;

 

(b)all
Import &
Distribution
Charges
in respect
of the
relevant
Goods (to
the extent
not previously
paid or
reimbursed
by the Customer);

 

(c)an
additional
amount
(the "Additional
Amount")
calculated
as follows:

 

		(i)	in
                                                                                                                           the
                                                                                                                           event
                                                                                                                           that
                                                                                                                           the
                                                                                                                           relevant
                                                                                                                           Goods
                                                                                                                           are
                                                                                                                           purchased
                                                                                                                           from
                                                                                                                           the
                                                                                                                           Supplier
                                                                                                                           by
                                                                                                                           Bibby
                                                                                                                           by
                                                                                                                           means
                                                                                                                           of
                                                                                                                           Direct
                                                                                                                           Payment
                                                                                                                           under
                                                                                                                           clause
                                                                                                                           2.4(b),
                                                                                                                           2.0%
                                                                                                                           (plus
                                                                                                                           VAT)
                                                                                                                           of
                                                                                                                           the
                                                                                                                           amount
                                                                                                                           of
                                                                                                                           the
                                                                                                                           sterling
                                                                                                                           equivalent
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Supplier
                                                                                                                           Sale
                                                                                                                           Price,
                                                                                                                           per
                                                                                                                           each
                                                                                                                           period
                                                                                                                           of
                                                                                                                           30
                                                                                                                           days
                                                                                                                           (or
                                                                                                                           part
                                                                                                                           thereof)
                                                                                                                           and
                                                                                                                           0.5%
                                                                                                                           per
                                                                                                                           7 days
                                                                                                                           thereafter
                                                                                                                           commencing
                                                                                                                           on
                                                                                                                           the
                                                                                                                           date
                                                                                                                           of
                                                                                                                           payment
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Supplier
                                                                                                                           Sale
                                                                                                                           Price
                                                                                                                           by
                                                                                                                           Bibby
                                                                                                                           and
                                                                                                                           until
                                                                                                                           receipt
                                                                                                                           by
                                                                                                                           Bibby
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Bibby
                                                                                                                           Sale
                                                                                                                           Price
                                                                                                                           from
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           or
                                                                                                                           the
                                                                                                                           End
                                                                                                                           Sale
                                                                                                                           Price
                                                                                                                           from
                                                                                                                           the
                                                                                                                           Buyer;
                                                                                                                           or
	 	(ii)	in
                                                                                                                                                        the
                                                                                                                                                        event
                                                                                                                                                        that
                                                                                                                                                        the
                                                                                                                                                        relevant
                                                                                                                                                        Goods
                                                                                                                                                        are
                                                                                                                                                        purchased
                                                                                                                                                        from
                                                                                                                                                        the
                                                                                                                                                        Supplier
                                                                                                                                                        by
                                                                                                                                                        Bibby
                                                                                                                                                        by
                                                                                                                                                        means
                                                                                                                                                        of
                                                                                                                                                        a
                                                                                                                                                        Letter
                                                                                                                                                        of
                                                                                                                                                        Credit
                                                                                                                                                        under
                                                                                                                                                        clause
                                                                                                                                                        2.4(a),
                                                                                                                                                        2.0%
                                                                                                                                                        (plus
                                                                                                                                                        VAT)
                                                                                                                                                        of
                                                                                                                                                        the
                                                                                                                                                        sterling
                                                                                                                                                        equivalent
                                                                                                                                                        of
                                                                                                                                                        the
                                                                                                                                                        amount
                                                                                                                                                        of
                                                                                                                                                        the
                                                                                                                                                        Letter
                                                                                                                                                        of
                                                                                                                                                        Credit,
                                                                                                                                                        per
                                                                                                                                                        each
                                                                                                                                                        period
                                                                                                                                                        of
                                                                                                                                                        30
                                                                                                                                                        days
                                                                                                                                                        (or
                                                                                                                                                        part
                                                                                                                                                        thereof)
                                                                                                                                                        and
                                                                                                                                                        0.5%
                                                                                                                                                        per
                                                                                                                                                        7
                                                                                                                                                        days
                                                                                                                                                        thereafter
                                                                                                                                                        commencing
                                                                                                                                                        on
                                                                                                                                                        the
                                                                                                                                                        date
                                                                                                                                                        of
                                                                                                                                                        issue
                                                                                                                                                        of
                                                                                                                                                        the
                                                                                                                                                        Letter
                                                                                                                                                        of
                                                                                                                                                        Credit
                                                                                                                                                        and
                                                                                                                                                        until
                                                                                                                                                        receipt
                                                                                                                                                        by
                                                                                                                                                        Bibby
                                                                                                                                                        of
                                                                                                                                                        the
                                                                                                                                                        Bibby
                                                                                                                                                        Sale
                                                                                                                                                        Price
                                                                                                                                                        from
                                                                                                                                                        the
                                                                                                                                                        Customer
                                                                                                                                                        or
                                                                                                                                                        the
                                                                                                                                                        End
                                                                                                                                                        Sale
                                                                                                                                                        Price
                                                                                                                                                        from
                                                                                                                                                        the
                                                                                                                                                        Buyer,

		(iii)	in
                                                                                                                             the
                                                                                                                             event
                                                                                                                             that
                                                                                                                             the
                                                                                                                             relevant
                                                                                                                             Goods
                                                                                                                             are
                                                                                                                             purchased
                                                                                                                             from
                                                                                                                             the
                                                                                                                             Supplier
                                                                                                                             by
                                                                                                                             Bibby
                                                                                                                             by
                                                                                                                             means
                                                                                                                             of
                                                                                                                             a
                                                                                                                             Supplier
                                                                                                                             Undertaking
                                                                                                                             under
                                                                                                                             clause
                                                                                                                             2.4(c),
                                                                                                                             2.0%
                                                                                                                             (plus
                                                                                                                             VAT)
                                                                                                                             of
                                                                                                                             the
                                                                                                                             sterling
                                                                                                                             equivalent
                                                                                                                             of
                                                                                                                             the
                                                                                                                             amount
                                                                                                                             of
                                                                                                                             the
                                                                                                                             Supplier
                                                                                                                             Undertaking,
                                                                                                                             per
                                                                                                                             each
                                                                                                                             period
                                                                                                                             of
                                                                                                                             30
                                                                                                                             days
                                                                                                                             (or
                                                                                                                             part
                                                                                                                             thereof)
                                                                                                                             and
                                                                                                                             0.5%
                                                                                                                             per
                                                                                                                             7
                                                                                                                             days
                                                                                                                             thereafter
                                                                                                                             commencing
                                                                                                                             on
                                                                                                                             the
                                                                                                                             date
                                                                                                                             of
                                                                                                                             issue
                                                                                                                             of
                                                                                                                             the
                                                                                                                             Supplier
                                                                                                                             Undertaking
                                                                                                                             and
                                                                                                                             until
                                                                                                                             receipt
                                                                                                                             by
                                                                                                                             Bibby
                                                                                                                             of
                                                                                                                             the
                                                                                                                             Bibby
                                                                                                                             Sale
                                                                                                                             Price
                                                                                                                             from
                                                                                                                             the
                                                                                                                             Customer
                                                                                                                             or
                                                                                                                             the
                                                                                                                             End
                                                                                                                             Sale
                                                                                                                             Price
                                                                                                                             from
                                                                                                                             the
                                                                                                                             Buyer,

(d)any
applicable
VAT thereon.

 

4.2
 The
Customer
shall
pay to
Bibby on
the date
 falling
each
year
after
the date
of this Agreement
a fee
equal to £24,000
less
any amounts
paid by
the Customer
in respect
of the Additional
Amount
under
this Agreement
or under
any other purchase
and resale
agreement
between Bibby
and the
Customer
during the one
year period
up to that
date.

 

 

5.BIBBY'S
FEES AND
EXPENSES

 

5.1
 In addition
to the
Bibby Sale
Price, the
Customer
shall
pay to
Bibby from
time to
time
and on demand:

 

(a)
 all
legal,
professional
and
other costs,
fees,
charges,
disbursements,
impositions,
taxes and
all other
payments
whatsoever
in connection
with
or incidental
to this Agreement
including
without
limitation the
investigation,
documentation,
perfection,
registration,
completion,
enforcement
and release
of the security
or securities
constituted
and all
bank charges
incurred
by Bibby in
relation to the
arrangement
of any Letters
of Credit whether
or not a Utilisation
is completed;

 

(b)
 in the
event
that
a Buyer
or the
Customer makes
any
payment
to Bibby
in a currency
other than
sterling,
or where
Bibby makes
a payment
or arrangement
in a currency
other than
sterling,
the cost
to Bibby
of conversion
into or from
sterling
as appropriate;

 

(c)
 in the event
that Bibby
enters
into forward
exchange
rate contracts
for its own benefit
to remove
risk which
may be caused
by adverse
exchange
rate movements
(as for the
avoidance
of doubt it is entitled
so to do) Bibby shall
be entitled
to payment
by the Customer
of its costs and
fees incurred
in connection
therewith;
and

 

(d)
 on an
indemnity
basis all
legal
and
other fees
and
expenses
incurred
by Bibby
in and
incidental
to the
investigation
and
enforcements
of its rights
contained
in this Agreement
in the
event
of breach
of this
Agreement.

    	 

    	 

    

5.2Bibby
may vary
the rate
upon
which
it calculates
the amount
payable
by the
Customer
at clause
4(c)
by notice
in writing
to the
Customer
from
time
to time.

 

5.3All
sums payable
to Bibby
pursuant
to this
clause
5 shall
be deducted
immediately
by Bibby from
any sums
due to
the Customer
from
Bibby.

 

6.
 PAYMENT
TO THE
CUSTOMER

 

If
Bibby receives
payment
from the
Buyer
of the
End
Sale Price in
respect
of any
Transaction,
upon such
receipt
in cleared
funds
into the
Bibby Accounts,
and
provided that
the Customer
is at the relevant
time in
compliance
with the
terms
of this
Agreement,
Bibby shall
make
available
to the Customer within
five
Business
Days
after
such
receipt,
the Customer
Balance
in respect
of such
Transaction.

 

7.
 CUSTOMER
INDEMNITY

 

The
Customer
agrees
to fully
indemnify
Bibby against
any
and
all liabilities
in respect
of the
following:

 

7.1
 any
breach
of this
Agreement
by the Customer;

 

7.2
any
action,
claim,
demand
or proceedings
of a
Buyer
or any
third party,
whether
brought against
the Customer
or Bibby,
or in relation
to the
Goods, including
without
limitation,
any claims
relating
to any fault
defect
or failure
of the
Goods and/or
their
delivery;

 

7.3
any
liability
of any
nature
arising directly
or indirectly
out of
this Agreement,
other
than
the proper
performance
by Bibby
of its obligations
in accordance
with the
terms
of this Agreement. 

 

8.
 CUSTOMER'S
OBLIGATIONS

 

The
Customer
undertakes
to Bibby
that:

 

8.1
 it will
be responsible
on Bibby’s
behalf
as importer
of the
Goods for
arranging
freight,
clearance
of the
Goods for
customs purposes,
warehousing
the Goods
and
delivery
of the
Goods to the
Buyer
(where
applicable)
and for
payment
of all Import
Charges
in accordance
with clause
4.1(b) (without
double counting).

8.2
 nothing
contained
in this
Agreement
shall
restrict, limit
or exclude
in any
way,
Bibby's
statutory
rights against
the Customer
and/or
the Supplier,
nor shall
the Customer
do, or omit
to do anything
which
shall
affect
in any
way Bibby's
statutory rights.

 

9.
 WARRANTIES
AND REPRESENTATIONS

 

9.1
The Customer
acknowledges
that
it has
made
representations
to Bibby
with the
intention
of inducing
Bibby to
enter
into
this Agreement,
upon
which
Bibby has
relied in
entering
into
this Agreement
with the
Customer.

    	 

    	 

    

9.2
 Each
of the
warranties,
indemnities
and
undertakings
in this
Agreement
is separate
and independent
and
shall
be construed
separately
and
shall
apply and
survive
even if
for any
reason one
or other
of them
is held inapplicable
or unreasonable
in any circumstances.

9.3
 The
Customer
represents
and
warrants
to Bibby,
on the
date of
this
Agreement
and
on each
date on
which
the
Customer
requests
a Utilisation
pursuant
to clause
2.1,
that:

 

	 	(a)	it
                                                                                                                                                       has
                                                                                                                                                       full
                                                                                                                                                       power
                                                                                                                                                       and
                                                                                                                                                       authority
                                                                                                                                                       to
                                                                                                                                                       enter
                                                                                                                                                       into
                                                                                                                                                       this
                                                                                                                                                       Agreement
                                                                                                                                                       and
                                                                                                                                                       any
                                                                                                                                                       other
                                                                                                                                                       documents
                                                                                                                                                       to
                                                                                                                                                       be
                                                                                                                                                       executed
                                                                                                                                                       in
                                                                                                                                                       connection
                                                                                                                                                       with
                                                                                                                                                       it,
                                                                                                                                                       all
                                                                                                                                                       of
                                                                                                                                                       which
                                                                                                                                                       will
                                                                                                                                                       constitute
                                                                                                                                                       legal
                                                                                                                                                       and
                                                                                                                                                       valid
                                                                                                                                                       binding
                                                                                                                                                       obligations
                                                                                                                                                       upon
                                                                                                                                                       it,
                                                                                                                                                       enforceable
                                                                                                                                                       in
                                                                                                                                                       accordance
                                                                                                                                                       with
                                                                                                                                                       their
                                                                                                                                                       respective
                                                                                                                                                       terms.
	 	(b)	allll
                                                                                                                                                       information
                                                                                                                                                       given
                                                                                                                                                       to
                                                                                                                                                       Bibby
                                                                                                                                                       or
                                                                                                                                                       its
                                                                                                                                                       agents
                                                                                                                                                       or
                                                                                                                                                       advisers
                                                                                                                                                       by
                                                                                                                                                       the
                                                                                                                                                       Customer,
                                                                                                                                                       its
                                                                                                                                                       agents,
                                                                                                                                                       its
                                                                                                                                                       representatives
                                                                                                                                                       or
                                                                                                                                                       its
                                                                                                                                                       employees
                                                                                                                                                       is
                                                                                                                                                       true,
                                                                                                                                                       complete
                                                                                                                                                       and
                                                                                                                                                       accurate
                                                                                                                                                       in
                                                                                                                                                       all
                                                                                                                                                       respects
                                                                                                                                                       and
                                                                                                                                                       is
                                                                                                                                                       not
                                                                                                                                                       misleading.
	 	(c)	it
                                                                                                                                                       knows
                                                                                                                                                       of
                                                                                                                                                       no
                                                                                                                                                       facts
                                                                                                                                                       or
                                                                                                                                                       circumstances
                                                                                                                                                       which
                                                                                                                                                       exist
                                                                                                                                                       or
                                                                                                                                                       are
                                                                                                                                                       likely
                                                                                                                                                       and
                                                                                                                                                       reasonably
                                                                                                                                                       foreseeable
                                                                                                                                                       to
                                                                                                                                                       exist,
                                                                                                                                                       which
                                                                                                                                                       would,
                                                                                                                                                       if
                                                                                                                                                       communicated
                                                                                                                                                       to
                                                                                                                                                       Bibby,
                                                                                                                                                       be
                                                                                                                                                       likely
                                                                                                                                                       to
                                                                                                                                                       cause
                                                                                                                                                       Bibby
                                                                                                                                                       not
                                                                                                                                                       to
                                                                                                                                                       enter
                                                                                                                                                       into
                                                                                                                                                       or
                                                                                                                                                       to
                                                                                                                                                       terminate
                                                                                                                                                       this
                                                                                                                                                       Agreement.
	 	(d)	the
                                                                                                                                                       Customer
                                                                                                                                                       is
                                                                                                                                                       not
                                                                                                                                                       in
                                                                                                                                                       default
                                                                                                                                                       in
                                                                                                                                                       respect
                                                                                                                                                       of
                                                                                                                                                       any
                                                                                                                                                       agreement
                                                                                                                                                       for
                                                                                                                                                       the
                                                                                                                                                       borrowing
                                                                                                                                                       of
                                                                                                                                                       money.
	 	(e)	there
                                                                                                                                                       is
                                                                                                                                                       no
                                                                                                                                                       material
                                                                                                                                                       litigation
                                                                                                                                                       or
                                                                                                                                                       dispute
                                                                                                                                                       pending
                                                                                                                                                       against
                                                                                                                                                       the
                                                                                                                                                       Customer.
		(f)	the
                                                                                                                           Customer
                                                                                                                           is
                                                                                                                           legally
                                                                                                                           empowered
                                                                                                                           to
                                                                                                                           incur
                                                                                                                           the
                                                                                                                           indebtedness
                                                                                                                           contemplated
                                                                                                                           herein
                                                                                                                           and
                                                                                                                           there
                                                                                                                           is
                                                                                                                           no
                                                                                                                           material
                                                                                                                           restriction
                                                                                                                           whatsoever
                                                                                                                           on
                                                                                                                           its
                                                                                                                           ability
                                                                                                                           to
                                                                                                                           perform
                                                                                                                           the
                                                                                                                           terms
                                                                                                                           of
                                                                                                                           this
                                                                                                                           Agreement;
	 	(g)	no
                                                                                                                                                       event
                                                                                                                                                       of
                                                                                                                                                       default
                                                                                                                                                       under
                                                                                                                                                       clause
                                                                                                                                                       11.3
                                                                                                                                                       has
                                                                                                                                                       occurred
                                                                                                                                                       and
                                                                                                                                                       is
                                                                                                                                                       continuing;

		(h)	there
                                                                                                                           has
                                                                                                                           not
                                                                                                                           been
                                                                                                                           any
                                                                                                                           material
                                                                                                                           adverse
                                                                                                                           change
                                                                                                                           in
                                                                                                                           the
                                                                                                                           financial
                                                                                                                           condition
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           and
                                                                                                                           its
                                                                                                                           Subsidiaries
                                                                                                                           taken
                                                                                                                           as
                                                                                                                           a whole
                                                                                                                           since
                                                                                                                           the
                                                                                                                           date
                                                                                                                           of
                                                                                                                           the
                                                                                                                           last
                                                                                                                           audited
                                                                                                                           consolidated
                                                                                                                           accounts
                                                                                                                           before
                                                                                                                           each
                                                                                                                           date
                                                                                                                           on
                                                                                                                           which
                                                                                                                           this
                                                                                                                           warranty
                                                                                                                           is
                                                                                                                           deemed
                                                                                                                           to
                                                                                                                           have
                                                                                                                           been
                                                                                                                           given,
                                                                                                                           nor
                                                                                                                           are
                                                                                                                           there
                                                                                                                           threatened
                                                                                                                           or
                                                                                                                           pending
                                                                                                                           any
                                                                                                                           legal
                                                                                                                           or
                                                                                                                           other
                                                                                                                           proceedings
                                                                                                                           which
                                                                                                                           could
                                                                                                                           result
                                                                                                                           in
                                                                                                                           any
                                                                                                                           such
                                                                                                                           material
                                                                                                                           adverse
                                                                                                                           change;

		(i)	neither
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           nor
                                                                                                                           any
                                                                                                                           of
                                                                                                                           its
                                                                                                                           Subsidiaries
                                                                                                                           will
                                                                                                                           create
                                                                                                                           a charge
                                                                                                                           or
                                                                                                                           permit
                                                                                                                           to
                                                                                                                           subsist
                                                                                                                           any
                                                                                                                           lien
                                                                                                                           (except
                                                                                                                           a lien
                                                                                                                           arising
                                                                                                                           solely
                                                                                                                           by
                                                                                                                           operation
                                                                                                                           of
                                                                                                                           law),
                                                                                                                           mortgage
                                                                                                                           or
                                                                                                                           charge
                                                                                                                           on
                                                                                                                           whole
                                                                                                                           or
                                                                                                                           any
                                                                                                                           part
                                                                                                                           of
                                                                                                                           their
                                                                                                                           undertaking
                                                                                                                           or
                                                                                                                           assets,
                                                                                                                           present
                                                                                                                           or
                                                                                                                           future,
                                                                                                                           other
                                                                                                                           than
                                                                                                                           to
                                                                                                                           Bibby,
                                                                                                                           or
                                                                                                                           any
                                                                                                                           contingent
                                                                                                                           right
                                                                                                                           on
                                                                                                                           the
                                                                                                                           part
                                                                                                                           of
                                                                                                                           any
                                                                                                                           person
                                                                                                                           to
                                                                                                                           call
                                                                                                                           for
                                                                                                                           any
                                                                                                                           such
                                                                                                                           mortgage
                                                                                                                           or
                                                                                                                           charge,
                                                                                                                           or
                                                                                                                           issue
                                                                                                                           any
                                                                                                                           loan
                                                                                                                           capital
                                                                                                                           or
                                                                                                                           debenture
                                                                                                                           stock;

		(j)	the
                                                                                                                           Customer
                                                                                                                           will
                                                                                                                           inform
                                                                                                                           Bibby
                                                                                                                           immediately
                                                                                                                           of
                                                                                                                           any
                                                                                                                           breach
                                                                                                                           by
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           or
                                                                                                                           any
                                                                                                                           of
                                                                                                                           its
                                                                                                                           Subsidiaries
                                                                                                                           in
                                                                                                                           the
                                                                                                                           performance
                                                                                                                           of
                                                                                                                           any
                                                                                                                           term
                                                                                                                           or
                                                                                                                           condition
                                                                                                                           of
                                                                                                                           this
                                                                                                                           or
                                                                                                                           any
                                                                                                                           other
                                                                                                                           financial
                                                                                                                           agreement
                                                                                                                           or
                                                                                                                           instrument
                                                                                                                           entered
                                                                                                                           into
                                                                                                                           by
                                                                                                                           or
                                                                                                                           binding
                                                                                                                           upon
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           or
                                                                                                                           any
                                                                                                                           of
                                                                                                                           its
                                                                                                                           subsidiaries.

		(k)	the
                                                                                                                           Preferential
                                                                                                                           Creditors
                                                                                                                           are
                                                                                                                           paid
                                                                                                                           up
                                                                                                                           to
                                                                                                                           date
                                                                                                                           and
                                                                                                                           that
                                                                                                                           if
                                                                                                                           there
                                                                                                                           is
                                                                                                                           any
                                                                                                                           change
                                                                                                                           in
                                                                                                                           this
                                                                                                                           situation,
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           will
                                                                                                                           notify
                                                                                                                           Bibby
                                                                                                                           immediately.

    	 

    	 

    

		(l)	the
                                                                                                                           Customer
                                                                                                                           acknowledges
                                                                                                                           that
                                                                                                                           the
                                                                                                                           limitations,
                                                                                                                           contained
                                                                                                                           in
                                                                                                                           clauses
                                                                                                                           [10]
                                                                                                                           and
                                                                                                                           [11]
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Conditions
                                                                                                                           of
                                                                                                                           Sale
                                                                                                                           on
                                                                                                                           the
                                                                                                                           obligations
                                                                                                                           of
                                                                                                                           Bibby
                                                                                                                           in
                                                                                                                           respect
                                                                                                                           of
                                                                                                                           its
                                                                                                                           sales
                                                                                                                           of
                                                                                                                           Goods
                                                                                                                           to
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           pursuant
                                                                                                                           to
                                                                                                                           this
                                                                                                                           Agreement
                                                                                                                           are
                                                                                                                           fair
                                                                                                                           and
                                                                                                                           reasonable.

 

 

10.INFORMATION

 

10.1The
Customer
will provide
Bibby with:-

 

(a)
 copies
of its audited
trading and
consolidated
profit and
loss account
and
balance
sheet as
soon as
they are
available
and
not later
than
180 days
from the
end
of each accounting
reference
period; and

(b)any
other information
which
Bibby may
request from
time
to time.

 

10.2
 Upon
the
occurrence
of any
of the
events
described
in clause
11.3,
Bibby shall
be entitled
by notice in
writing
to the
Customer, to
require that
accountants
instructed
by Bibby
be allowed
by the
Customer to
have
full
and
immediate
access
to the
Customer’s
accounting
records
for the
purposes of the
preparation
of a report
for Bibby
and
the Customer
shall
fully
indemnify
Bibby for
the
fees and
expenses
incurred
by those
accountants.

 

 

11.TERMINATION

 

11.1
 This
Agreement
shall
commence
on the
date shown
above
and
shall
continue
unless
and
until terminated
in accordance
with the
terms
of this
clause
11.

11.2
 If there
is at
any
time a
change
in the
control
(as defined
in defined
Section 840
of the Income
and
Corporation Taxes
Act 1988)
of the
Customer
and as
a result
the Customer
is controlled
by any
person or
group of connected
persons
(as defined
in Section 839 of
that Act)
not having
control
of the
Customer at
the date
of this Agreement,
the Customer
shall forthwith
give
written
notice
to Bibby
identifying
that
person or
group
of connected
persons whereupon
Bibby shall
be entitled
to terminate
this Agreement
forthwith
by written
notice to the
Customer;

11.3Bibby
shall
be  entitled
forthwith
to terminate
this Agreement
by written
notice to the

 

Customer
if:

	 	(a)	the
                                                                                                                                                       Customer
                                                                                                                                                       commits
                                                                                                                                                       any
                                                                                                                                                       breach
                                                                                                                                                       of
                                                                                                                                                       any
                                                                                                                                                       of
                                                                                                                                                       the
                                                                                                                                                       provisions
                                                                                                                                                       of
                                                                                                                                                       this
                                                                                                                                                       Agreement;
                                                                                                                                                       or
	 	(b)	any
                                                                                                                                                       guarantee,
                                                                                                                                                       indemnity
                                                                                                                                                       or
                                                                                                                                                       other
                                                                                                                                                       security
                                                                                                                                                       entered
                                                                                                                                                       into
                                                                                                                                                       pursuant
                                                                                                                                                       to
                                                                                                                                                       this
                                                                                                                                                       Agreement,
                                                                                                                                                       fails
                                                                                                                                                       or
                                                                                                                                                       ceases
                                                                                                                                                       in
                                                                                                                                                       any
                                                                                                                                                       respect
                                                                                                                                                       to
                                                                                                                                                       have
                                                                                                                                                       full
                                                                                                                                                       force
                                                                                                                                                       and
                                                                                                                                                       effect,
                                                                                                                                                       or
                                                                                                                                                       to
                                                                                                                                                       be
                                                                                                                                                       continuing,
                                                                                                                                                       or
                                                                                                                                                       is
                                                                                                                                                       terminated
                                                                                                                                                       or
                                                                                                                                                       disputed,
                                                                                                                                                       or
                                                                                                                                                       in
                                                                                                                                                       the
                                                                                                                                                       opinion
                                                                                                                                                       of
                                                                                                                                                       Bibby,
                                                                                                                                                       is
                                                                                                                                                       in
                                                                                                                                                       jeopardy,
                                                                                                                                                       invalid
                                                                                                                                                       or
                                                                                                                                                       unenforceable;
                                                                                                                                                       or
		(c)	at
                                                                                                                           any
                                                                                                                           time
                                                                                                                           it
                                                                                                                           is
                                                                                                                           or
                                                                                                                           becomes
                                                                                                                           unlawful
                                                                                                                           for
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           to
                                                                                                                           perform
                                                                                                                           or
                                                                                                                           comply
                                                                                                                           with
                                                                                                                           any
                                                                                                                           or
                                                                                                                           all
                                                                                                                           of
                                                                                                                           its
                                                                                                                           obligations
                                                                                                                           under
                                                                                                                           this
                                                                                                                           Agreement,
                                                                                                                           or
                                                                                                                           any
                                                                                                                           other
                                                                                                                           agreement
                                                                                                                           between
                                                                                                                           Bibby
                                                                                                                           and
                                                                                                                           the
                                                                                                                           Customer,
                                                                                                                           or
                                                                                                                           any
                                                                                                                           such
                                                                                                                           obligations
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           are
                                                                                                                           not,
                                                                                                                           or
                                                                                                                           cease
                                                                                                                           to
                                                                                                                           be
                                                                                                                           legal,
                                                                                                                           valid,
                                                                                                                           binding
                                                                                                                           and
                                                                                                                           enforceable;
                                                                                                                           or
	 	(d)	in
                                                                                                                                                       the
                                                                                                                                                       opinion
                                                                                                                                                       of
                                                                                                                                                       Bibby,
                                                                                                                                                       a
                                                                                                                                                       material
                                                                                                                                                       adverse
                                                                                                                                                       change
                                                                                                                                                       occurs
                                                                                                                                                       in
                                                                                                                                                       the
                                                                                                                                                       financial
                                                                                                                                                       condition,
                                                                                                                                                       results,
                                                                                                                                                       operations
                                                                                                                                                       or
                                                                                                                                                       business
                                                                                                                                                       of
                                                                                                                                                       the
                                                                                                                                                       Customer
                                                                                                                                                       or
                                                                                                                                                       any
                                                                                                                                                       Group
                                                                                                                                                       Company;
                                                                                                                                                       or
	 	(e)	the
                                                                                                                                                       Customer
                                                                                                                                                       ceases,
                                                                                                                                                       or
                                                                                                                                                       threatens
                                                                                                                                                       to
                                                                                                                                                       cease,
                                                                                                                                                       to
                                                                                                                                                       carry
                                                                                                                                                       on
                                                                                                                                                       business;
                                                                                                                                                       or

		(f)	an
                                                                                                                           encumbrancer
                                                                                                                           takes
                                                                                                                           possession
                                                                                                                           or
                                                                                                                           a receiver
                                                                                                                           is
                                                                                                                           appointed
                                                                                                                           over
                                                                                                                           any
                                                                                                                           of
                                                                                                                           the
                                                                                                                           property
                                                                                                                           or
                                                                                                                           assets
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Customer;
                                                                                                                           or
	 	(g)	the
                                                                                                                                                       Customer
                                                                                                                                                       makes
                                                                                                                                                       any
                                                                                                                                                       voluntary
                                                                                                                                                       arrangement
                                                                                                                                                       with
                                                                                                                                                       its
                                                                                                                                                       creditors
                                                                                                                                                       or
                                                                                                                                                       becomes
                                                                                                                                                       subject
                                                                                                                                                       to
                                                                                                                                                       an
                                                                                                                                                       administration
                                                                                                                                                       order;
                                                                                                                                                       or

		(h)	the
                                                                                                                           Customer
                                                                                                                           goes
                                                                                                                           into
                                                                                                                           liquidation
                                                                                                                           (except
                                                                                                                           for
                                                                                                                           the
                                                                                                                           purposes
                                                                                                                           of
                                                                                                                           amalgamation
                                                                                                                           or
                                                                                                                           reconstruction
                                                                                                                           and
                                                                                                                           in
                                                                                                                           such
                                                                                                                           manner
                                                                                                                           that
                                                                                                                           the
                                                                                                                           company
                                                                                                                           resulting
                                                                                                                           therefrom
                                                                                                                           effectively
                                                                                                                           agrees
                                                                                                                           to
                                                                                                                           be
                                                                                                                           bound
                                                                                                                           by
                                                                                                                           or
                                                                                                                           assume
                                                                                                                           the
                                                                                                                           obligations
                                                                                                                           imposed
                                                                                                                           on
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           under
                                                                                                                           this
                                                                                                                           Agreement);
                                                                                                                           or

		(i)	anything
                                                                                                                           analogous
                                                                                                                           to
                                                                                                                           any
                                                                                                                           of
                                                                                                                           the
                                                                                                                           foregoing
                                                                                                                           under
                                                                                                                           the
                                                                                                                           law
                                                                                                                           or
                                                                                                                           any
                                                                                                                           jurisdiction
                                                                                                                           occurs
                                                                                                                           in
                                                                                                                           relation
                                                                                                                           to
                                                                                                                           the
                                                                                                                           Customer;
                                                                                                                           or
	 	(j)	any
                                                                                                                                                       statement,
                                                                                                                                                       representation,
                                                                                                                                                       warranty,
                                                                                                                                                       certificate
                                                                                                                                                       or
                                                                                                                                                       undertaking
                                                                                                                                                       made
                                                                                                                                                       by
                                                                                                                                                       the
                                                                                                                                                       Customer
                                                                                                                                                       to
                                                                                                                                                       Bibby
                                                                                                                                                       is
                                                                                                                                                       or
                                                                                                                                                       becomes
                                                                                                                                                       incorrect,
                                                                                                                                                       inaccurate
                                                                                                                                                       or
                                                                                                                                                       misleading;

		(k)	any
                                                                                                                           petition
                                                                                                                           or
                                                                                                                           application
                                                                                                                           is
                                                                                                                           presented
                                                                                                                           to
                                                                                                                           any
                                                                                                                           Court
                                                                                                                           as
                                                                                                                           a consequence
                                                                                                                           of
                                                                                                                           which
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           may,
                                                                                                                           being
                                                                                                                           an
                                                                                                                           individual,
                                                                                                                           be
                                                                                                                           adjudicated
                                                                                                                           bankrupt,
                                                                                                                           or,
                                                                                                                           being
                                                                                                                           a body
                                                                                                                           corporate,
                                                                                                                           be
                                                                                                                           placed
                                                                                                                           in
                                                                                                                           liquidation
                                                                                                                           or
                                                                                                                           administration,
                                                                                                                           or
                                                                                                                           in
                                                                                                                           either
                                                                                                                           such
                                                                                                                           case
                                                                                                                           enter
                                                                                                                           into
                                                                                                                           a voluntary
                                                                                                                           arrangement
                                                                                                                           under
                                                                                                                           the
                                                                                                                           Insolvency
                                                                                                                           Act
                                                                                                                           1986;

		(l)	any
                                                                                                                           distress,
                                                                                                                           execution
                                                                                                                           or
                                                                                                                           other
                                                                                                                           legal
                                                                                                                           process
                                                                                                                           is
                                                                                                                           levied
                                                                                                                           against
                                                                                                                           any
                                                                                                                           of
                                                                                                                           the
                                                                                                                           assets
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           or
                                                                                                                           any
                                                                                                                           of
                                                                                                                           its
                                                                                                                           Subsidiaries
                                                                                                                           and
                                                                                                                           not
                                                                                                                           being
                                                                                                                           discharged
                                                                                                                           or
                                                                                                                           paid
                                                                                                                           within
                                                                                                                           seven
                                                                                                                           days;
	 	(m)	the
                                                                                                                                                       Customer
                                                                                                                                                       or
                                                                                                                                                       any
                                                                                                                                                       of
                                                                                                                                                       its
                                                                                                                                                       Subsidiaries
                                                                                                                                                       selling,
                                                                                                                                                       transferring
                                                                                                                                                       or
                                                                                                                                                       otherwise
                                                                                                                                                       disposing
                                                                                                                                                       of
                                                                                                                                                       the
                                                                                                                                                       whole
                                                                                                                                                       or
                                                                                                                                                       a
                                                                                                                                                       substantial
                                                                                                                                                       part
                                                                                                                                                       of
                                                                                                                                                       its
                                                                                                                                                       undertaking
                                                                                                                                                       or
                                                                                                                                                       assets,
                                                                                                                                                       whether
                                                                                                                                                       by
                                                                                                                                                       a
                                                                                                                                                       single
                                                                                                                                                       transaction
                                                                                                                                                       or
                                                                                                                                                       a
                                                                                                                                                       number
                                                                                                                                                       of
                                                                                                                                                       transactions,
                                                                                                                                                       without
                                                                                                                                                       the
                                                                                                                                                       prior
                                                                                                                                                       written
                                                                                                                                                       consent
                                                                                                                                                       of
                                                                                                                                                       Bibby;

		(n)	any
                                                                                                                           representation
                                                                                                                           or
                                                                                                                           warranty
                                                                                                                           made
                                                                                                                           by
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           in
                                                                                                                           clause
                                                                                                                           9 or
                                                                                                                           in
                                                                                                                           connection
                                                                                                                           with
                                                                                                                           any
                                                                                                                           Utilisation
                                                                                                                           hereunder
                                                                                                                           is
                                                                                                                           incorrect
                                                                                                                           in
                                                                                                                           any
                                                                                                                           material
                                                                                                                           respect
                                                                                                                           as
                                                                                                                           of
                                                                                                                           the
                                                                                                                           date
                                                                                                                           on
                                                                                                                           which
                                                                                                                           it
                                                                                                                           is
                                                                                                                           made
                                                                                                                           or
                                                                                                                           deemed
                                                                                                                           to
                                                                                                                           be
                                                                                                                           made,
                                                                                                                           or
                                                                                                                           there
                                                                                                                           is
                                                                                                                           any
                                                                                                                           material
                                                                                                                           adverse
                                                                                                                           change
                                                                                                                           in
                                                                                                                           the
                                                                                                                           position
                                                                                                                           as
                                                                                                                           set
                                                                                                                           out
                                                                                                                           in
                                                                                                                           such
                                                                                                                           representation
                                                                                                                           or
                                                                                                                           warranty;
	 	(o)	any
                                                                                                                                                       third
                                                                                                                                                       party
                                                                                                                                                       who
                                                                                                                                                       incurs
                                                                                                                                                       an
                                                                                                                                                       obligation
                                                                                                                                                       to
                                                                                                                                                       Bibby
                                                                                                                                                       in
                                                                                                                                                       connection
                                                                                                                                                       with
                                                                                                                                                       this
                                                                                                                                                       Agreement
                                                                                                                                                       or
                                                                                                                                                       any
                                                                                                                                                       other
                                                                                                                                                       loan
                                                                                                                                                       facility
                                                                                                                                                       or
                                                                                                                                                       liability
                                                                                                                                                       whatsoever
                                                                                                                                                       (whether
                                                                                                                                                       existing
                                                                                                                                                       or
                                                                                                                                                       future)
                                                                                                                                                       granted
                                                                                                                                                       to
                                                                                                                                                       the
                                                                                                                                                       Customer
                                                                                                                                                       is
                                                                                                                                                       in
                                                                                                                                                       breach
                                                                                                                                                       of
                                                                                                                                                       such
                                                                                                                                                       obligation.

11.4
 Either
party
may terminate
this Agreement
by giving
the other
one
month's
prior written
notice.

 

11.5
 Termination
of this
Agreement
shall
be without
prejudice
to the
fulfilment
of any
outstanding
obligations of
the Customer
to the
Buyers
and
to Bibby,
and
shall
not prejudice
or affect
any right
of action
or remedy
which
has
accrued,
or shall
accrue
thereafter
under
this
Agreement
to Bibby,
and in
any event
all sums
outstanding
whether
or not
due
and
payable
from the
Customer to Bibby
on demand.

 

11.6
 The
rights to
terminate
this
Agreement
given by
this clause
shall
be without
prejudice
to any
other right or
remedy
of Bibby
in respect
of the
breach
concerned
(if any)
or any
other breach.

 

11.7Upon
termination
of this
Agreement
howsoever
arising
all monies
outstanding
to Bibby, including
(without
limitation):

	 	(a)	any
                                                                                                                                                       due
                                                                                                                                                       but
                                                                                                                                                       unpaid
                                                                                                                                                       amounts
                                                                                                                                                       in
                                                                                                                                                       respect
                                                                                                                                                       of
                                                                                                                                                       the
                                                                                                                                                       Bibby
                                                                                                                                                       Sale
                                                                                                                                                       Price;
	 	(b)	all
                                                                                                                                                       costs
                                                                                                                                                       and
                                                                                                                                                       expenses
                                                                                                                                                       as
                                                                                                                                                       set
                                                                                                                                                       out
                                                                                                                                                       in
                                                                                                                                                       clause
                                                                                                                                                       5;
                                                                                                                                                       and
		(c)	a
                                                                                                                           termination
                                                                                                                           fee
                                                                                                                           of
                                                                                                                           the
                                                                                                                           higher
                                                                                                                           of
                                                                                                                           15%
                                                                                                                           of
                                                                                                                           the
                                                                                                                           balance
                                                                                                                           of
                                                                                                                           all
                                                                                                                           sums
                                                                                                                           outstanding
                                                                                                                           at
                                                                                                                           the
                                                                                                                           date
                                                                                                                           of
                                                                                                                           the
                                                                                                                           termination
                                                                                                                           or
                                                                                                                           £5,000,
                                                                                                                           will
                                                                                                                           become
                                                                                                                           immediately
                                                                                                                           due
                                                                                                                           and
                                                                                                                           payable
                                                                                                                           to
                                                                                                                           Bibby
                                                                                                                           by
                                                                                                                           the
                                                                                                                           Customer.

 

12.GENERAL

 

12.1Notices

 

(a)Any
notice
to be served under
this Agreement
must be
in writing
and
must be
sent to the
intended
recipient
either:

(i)by
prepaid
first class
post (when
it will be
deemed
served
at noon
on the
first Business
Day
after
it was
posted);
or

 

(ii)by
facsimile
between
the hours
of 9.00
a.m. and
3.00
p.m. on
a Business
Day, (when
it will
be deemed
served two
hours
after
it was
transmitted);
or

 

(iii)by
personal
delivery
(when
it will
be deemed
served when
it is delivered).

 

(b)
 The
address
for service
of notices
shall
be the
party's
address
as shown
in this
Agreement
or as
subsequently
notified in
writing.

 

12.2Assignment

 

(a)Bibby
shall
be entitled
to transfer
and/or
assign
to any
person
or persons,
firm
or company
all or
any
of its rights
and/or
obligations
under
this
Agreement.

 

(b)
 The
Customer
shall
not be
entitled
to transfer
or assign
its rights or
obligations hereunder.

 

12.3Further
assurance

 

The
Customer
shall,
and shall
use its
respective
reasonable
endeavours
to procure
that
any necessary
third
parties
shall,
do and
execute
and
perform all
such
further
deeds, documents,
assurances,
acts
and
things
as Bibby
may reasonably
require by
notice in
writing
to the Customer
to carry
the
provisions
of this
Agreement
into
full force
and
effect.

 

12.4Power
of Attorney

 

The
Customer
hereby
irrevocably
appoints
Bibby to
be its attorney
in its
name
and
on its behalf
to execute and
do any such
application,
instrument
or things and
generally
to use his name
for the purpose
of giving
to Bibby (or its nominee)
the full benefit
of the provisions
of this Agreement
and
in favour
of any
third party
a certificate
in writing
signed by any
director or the
Secretary of Bibby
that any
instrument
or act falls
within the
authority
hereby
conferred
shall be conclusive
evidence
that
such
is the
case.

 

12.5Time
of the
essence

 

Any
date or
period mentioned
in this
Agreement
may be
extended
by agreement
between
the parties
hereto
failing
which,
as regards
any
such
date or
period, time
shall
be of the
essence
of this
Agreement.

 

12.6Entire
Agreement

 

This
Agreement
constitutes
the entire
agreement
between
the parties
hereto
with respect
to the
matters
dealt with
herein
and
supersedes
any
previous
agreement
between
the parties
hereto
in relation
to such
matters.

 

12.7Law

 

This
Agreement
shall
be governed
by and
construed
in accordance
with English
law and
the parties
hereto
irrevocably
submit
to the
exclusive
jurisdiction
of the
English
Courts.

 

12.8Waiver
and rights

 

No
failure
to exercise and
no delay
in exercising
on the
part of
the Parties
any
right, power
or privilege hereunder
shall
operate
as a
waiver
thereof
nor shall
any
single or partial
exercise
of any
right, power
or privilege preclude
any
other or further
exercise thereof
or the
exercise of any
other
right,
power or
privilege. The
rights
and remedies
provided in this Agreement
are cumulative
and
not exclusive
of any
rights or
remedies
otherwise
provided by law.

 

12.9No
Partnership

 

Nothing
in this
Agreement
shall
constitute
or be deemed
to constitute
a partnership
between any
of the
parties
hereto
and
none
of them
shall
have
any
authority
to bind
the other
in any
way.

 

12.10
 Counterparts

 

This
Agreement
may be
executed
in two
counterparts
which
when
taken
together
shall constitute
a single
instrument.

 

12.11
 Severability

 

Notwithstanding
that
any
part
of any
provision of
this Agreement
may prove
to be illegal
or unenforceable,
the other
provisions
of this
Agreement
and
the remainder
of the
provision in
question shall
continue
in full
force
and effect.

 

12.12
 Joint
and Several
Liability

 

If
the Customer
is more than one
person or
the Customer
is a partnership
then the
liability
of each
such
person
or partner
will be
joint
and
several.
Notice given
to one person
constituting
the Customer
will be
deemed
good notice
to all.

 

12.13
 Set
Off

 

Bibby
may,
without
notice,
set-off
against
any
credit
balance
on any
account(s)
of the Customer
(in any
currency),
the liability
of the
Customer
in respect
of any
facilities
with:

 

	 	(a)	Bibby;
                                                                                                                                                                                               or
	 	(b)	any
                                                                                                                                                       Bibby
                                                                                                                                                       Group
                                                                                                                                                       Company,
                                                                                                                                                       and
                                                                                                                                                       may
                                                                                                                                                       combine
                                                                                                                                                       any
                                                                                                                                                       accounts

 

12.14
 Group Payments

 

Bibby
may apply
any monies
received
from the
Customer
to satisfy
the obligations
of the
Customer to
any
Bibby Group
Company under
any
facility
with such
Bibby Group
Company,
and
any
monies
so applied
shall
be deemed
to have
been a direct
payment
from the
Customer to the
relevant
Bibby Group
Company and
not to have
discharged
any liabilities
of the Customer to
Bibby under
the Agreement.

 

 

13.DATA
PROTECTION
ACT 1998

 

13.1
 The 
Customer  consents
 to  Bibby’s
 storing 
and 
processing  information
about 
the  Data
Subjects
on the
Bibby Group
of companies’
computers
and
in any
other
way. 
The
Customer confirms
its awareness
that this
will be used
by Bibby and
other companies
in the
Bibby Group,
for training
purposes,
credit
or financial
assessments,
market and
product
analysis,
making
payments,
recovering
monies and
preparing statistics.
Information
about
the Data
Subjects
will also
be used
so that
Bibby can
develop,
improve and
market Bibby’s
services
to the Customer
and
other
clients
and
to protect
Bibby’s
interests
(including
establishing
credit limits
for the
benefit
of other
clients or obtaining
settlement
of any
liability of
the Customer
to Bibby).
Bibby may
also use such
information
to prevent
fraud
and money
laundering.

 

13.2
 The
Customer
agrees
that
in future
Bibby may
use some
or all
of the
information
to be held
about the
Data
Subjects
(from wherever
obtained)
to decide
whether
to continue
with this
Agreement
or to
vary
its terms.

 

13.3
 Bibby
will tell
the Customer
if Bibby
makes
a significant
decision about
the Customer
solely using
an automatic
decision
making
process,
such
as credit
scoring.
 The
Customer
is then entitled
to request a
review
by Bibby of the decision
using other
means.

 

13.4Bibby
may from
time to time
make
searches
of a
Data
Subject’s
record
at Bibby’s
credit reference
agency
and
retain
the
data obtained
from such
searches.

 

Noted
below are
details
of those
credit
reference
agencies
and
other third
parties
referred
to above
from whom
Bibby obtained
and
to whom
Bibby may
give
information
about the
Customer and
the Data
Subjects,
each
of whom
has
a legal
right to these
details
and
to receive
a copy
of the
information
Bibby hold about
him in writing.
A fee
will be payable.

 

13.5
Bibby may,
at any
time, give
to its credit
reference
agency
the
following
information
held about
a Data
Subject:

•
 type of
agreement;

•
 performance
under
the
agreement;

•
 details
of any
defaults.

 

13.6It
is important
that
the
Data
Subjects
always
give Bibby
accurate
information.

 

Bibby
may at
any time
search
the Data
Subjects’
records
with
Bibby’s
fraud
prevention
agency.

 

If
at any
time the
Data
Subjects
give
Bibby or
procure
the giving
of false
or inaccurate
information
and
Bibby suspects
fraud
Bibby will
record
this and
disclose
relevant
details
to its fraud
prevention
agency.

 

13.7The
Customer
agrees
that
Bibby may
give information
about the
Customer
and
the Data

 

Subjects,
this Agreement
and
the
Customer’s
performance
under
it:

 

		•	Bibby’s
                                                                                                                              or
                                                                                                                              the
                                                                                                                              Customer’s
                                                                                                                              insurers
                                                                                                                              –
                                                                                                                              so
                                                                                                                              they
                                                                                                                              can
                                                                                                                              quote
                                                                                                                              for
                                                                                                                              and
                                                                                                                              issue
                                                                                                                              any
                                                                                                                              policy
                                                                                                                              or
                                                                                                                              deal
                                                                                                                              with
                                                                                                                              any
                                                                                                                              claims;
	 	•	any
                                                                                                                                                          guarantor
                                                                                                                                                          or
                                                                                                                                                          indemnifier
                                                                                                                                                          of
                                                                                                                                                          this
                                                                                                                                                          Agreement
                                                                                                                                                          –
                                                                                                                                                          so
                                                                                                                                                          they
                                                                                                                                                          can
                                                                                                                                                          assess
                                                                                                                                                          their
                                                                                                                                                          obligations
                                                                                                                                                          to
                                                                                                                                                          Bibby
                                                                                                                                                          or
                                                                                                                                                          so
                                                                                                                                                          Bibby
                                                                                                                                                          can
                                                                                                                                                          enforce
                                                                                                                                                          such
                                                                                                                                                          obligations;

		•	Bibby’s
                                                                                                                              bankers
                                                                                                                              or
                                                                                                                              any
                                                                                                                              advisers
                                                                                                                              acting
                                                                                                                              on
                                                                                                                              Bibby’s
                                                                                                                              or
                                                                                                                              the
                                                                                                                              Customer’s
                                                                                                                              behalf
                                                                                                                              –
                                                                                                                              so
                                                                                                                              they
                                                                                                                              can
                                                                                                                              carry
                                                                                                                              out
                                                                                                                              their
                                                                                                                              services
                                                                                                                              to
                                                                                                                              Bibby
                                                                                                                              or
                                                                                                                              the
                                                                                                                              Customer;
	 	•	any
                                                                                                                                                          business
                                                                                                                                                          providing
                                                                                                                                                          a
                                                                                                                                                          similar
                                                                                                                                                          service
                                                                                                                                                          to
                                                                                                                                                          Bibby’s
                                                                                                                                                          to
                                                                                                                                                          whom
                                                                                                                                                          the
                                                                                                                                                          Customer
                                                                                                                                                          may
                                                                                                                                                          wish
                                                                                                                                                          to
                                                                                                                                                          transfer
                                                                                                                                                          –
                                                                                                                                                          to
                                                                                                                                                          facilitate
                                                                                                                                                          such
                                                                                                                                                          transfer;
	 	•	any
                                                                                                                                                          business
                                                                                                                                                          to
                                                                                                                                                          whom
                                                                                                                                                          Bibby
                                                                                                                                                          may
                                                                                                                                                          wish
                                                                                                                                                          to
                                                                                                                                                          transfer
                                                                                                                                                          the
                                                                                                                                                          debts
                                                                                                                                                          –
                                                                                                                                                          to
                                                                                                                                                          facilitate
                                                                                                                                                          such
                                                                                                                                                          transfer;

		•	anyone
                                                                                                                              else
                                                                                                                              to
                                                                                                                              whom
                                                                                                                              Bibby
                                                                                                                              transfers
                                                                                                                              Bibby’s
                                                                                                                              rights
                                                                                                                              or
                                                                                                                              duties
                                                                                                                              under
                                                                                                                              this
                                                                                                                              Agreement
                                                                                                                              –
                                                                                                                              so
                                                                                                                              they
                                                                                                                              can
                                                                                                                              comply
                                                                                                                              with
                                                                                                                              or
                                                                                                                              enforce
                                                                                                                              this
                                                                                                                              Agreement.

13.8From
time
to time
Bibby or other
members
of the
Bibby Group
of companies
may contact

 

Data
Subjects
by letter,
phone,
fax
or e-mail
to:

 

1.1.1keep
them
informed
about
services
and
products
which
Bibby considers
may be
of interest
to them; or

 

1.1.2to
carry
out market
research
about
their
services
and
products
or those
of third
parties.

 

If
Data
Subjects
do not
wish to
receive
such
information
then
they
should
please let
Bibby know
by telling
the Customer’s
Client
Manager.
 Bibby never
passes information
regarding Customers
or the Data
Subjects
to external third
parties
for direct
marketing
purposes.

 

13.9For
training
and/or
security
purposes of
the
Customer
and
the
Data
Subjects
the
phone calls
to Bibby
may be
monitored
and/or
recorded.

 

13.10The
Customer
undertakes
that
it has
brought
the
provisions
of this
clause
to the
attention
of any
Data
Subject
associated
with it
and
has obtained
their
consent
to their
personal
data being
processed
by Bibby
for the
purposes and
in the
manner
set out
above.
The
Customer further
undertakes
that
it will
(at Bibby's
request)
procure
that
any
or all of
the
Data
Subjects
associated
with it
will sign
a written
consent
addressed
to Bibby
in such
form as
Bibby reasonably
requires.

 

13.11The
Customer
undertakes
to Bibby
that:

    	 

    	 

    

(a)
The Customer will
advise its
sole trader
and
partnership
debtors
about how
the Customer
processes information
about them,
its disclosures
of it to Bibby
and
the use
Bibby will make
of such
information,
including
supplying
it to Bibby’s
credit
reference
agencies
and making
searches
with them;

 

(b)All
such information
about such
debtors
fully
complies
with the
Data
Protection
Act 1998;

 

(c)
Any information about such debtors which is given to Bibby will be accurate and fully comply with that Act.

 

13.12
 Before
you sign
this agreement
please
ensure that
you read
and understand
this entire
document
and in
particular
this clause
13 where
you agree
to various
matters
relating
to our
obtaining,
using and
disclosing
of information
about
you.

 

13.13
 From
time
to time,
we may wish
to send
you information
from Bibby
Group of companies.
 If you
do not
wish to
receive
this information
then
please telephone
this office
and ask to
speak
to the compliance
officer. 
We never
pass your details
outside the
Bibby Group
for marketing
purposes.

    	 

    	 

    

SCHEDULE
1

 

Conditions
Of Sale

 

 

1.INTERPRETATION

 

1.1
 In this
schedule
1, "Conditions"
means
the Conditions
of Sale set
out below
and
(unless
the context
otherwise requires)
includes
any
special
terms
and
conditions
agreed
in writing
between
the Customer
and
Bibby.

 

1.2
 Any reference
in these
Conditions
to any
provision
of a statute
shall
be construed
as a reference
to that
provision as amended,
re-enacted
or extended
at the
relevant
time.

 

1.3
 The
headings
in these
Conditions
are for
convenience
only
and
shall
not affect
their interpretation.

 

 

2.BASIS
OF EACH
SALE

 

2.1
Bibby shall
sell and
the
Customer
shall
purchase
the Goods
pursuant
to a Customer/Bibby
Purchase
Order
in accordance
with the
Agreement
and these
Conditions, which
shall
govern such
sale and
purchase
to the
exclusion
of any
other terms
and
conditions
subject
to which
any
such
quotation is accepted
or purported
to be accepted,
or any
such
order is
made or purported
to be made,
by the Customer.

 

2.2No
variation
to these
Conditions
shall
be binding
unless
agreed
in writing
between
the Customer and
Bibby.

 

2.3
 Bibby's
employees
or agents
are not
authorised
to make
any
representations
concerning
the Goods
unless
confirmed
by Bibby
in writing.
 In entering
into any
Transaction
the Customer
acknowledges
that
it does
not rely
on, and
waives
any
claim
for breach
of,
any
such representations
which
are not so
confirmed.

 

2.4
 Any advice
or recommendation
given
by Bibby
or its employees
or agents
to the
Customer or its
employees
or agents
as to
the storage,
application
or use of
the Goods
which
is not
confirmed
in writing
by Bibby is followed
or acted
upon
entirely
at the Customer's
own risk, and
accordingly
Bibby shall
not be
liable for
any
such advice
or recommendation
which
is not so confirmed.

 

2.5
Any typographical,
clerical
or other error
or omission in
any
sales
literature,
quotation,
price list, acceptance
of offer,
invoice
or other document
or information
issued
by Bibby
shall
be subject
to correction
without
any liability
on the part
of Bibby.

 

 

3.ORDERS
AND SPECIFICATIONS

 

3.1
 No
order submitted
by the
Customer shall
be deemed
to be accepted
by Bibby
unless
and until
confirmed
in writing
by Bibby.

 

3.2
No order
which
has
been accepted
by Bibby
may be
cancelled
by the
Customer except
with the
agreement
in writing
of Bibby
and
on terms
that
the Customer
shall
indemnify
Bibby in full against
all loss
(including
loss of profit),
costs (including
the cost
of all labour
and material
used), damages,
charges
and expenses
incurred
by Bibby as a result
of cancellation.

 

 

4.PRICE

 

4.1The
price
of the
Goods payable
by the Customer
to Bibby
shall
be the
Bibby Sale
Price.

 

4.2
Bibby reserves
the right,
by giving
notice to
the
Customer
at any
time before
delivery,
to increase
the price
of the
Goods to
reflect
any
increase
in the
cost to
Bibby which
is due to any
factor
beyond
the control
of Bibby (such
as, without
limitation,
any foreign
exchange
fluctuation,
currency
regulation,
alteration
of duties,
significant
increase
in the
costs of labour,
material
or other costs of manufacture),
any change
in delivery
dates, quantities
or specifications
for the Goods
which
is requested
by the Customer, or any
delay
caused
by any instructions
of the
Customer or failure
of the
Customer
to give Bibby
adequate
information
or instructions.

 

4.3The
Bibby Sale
Price is exclusive
of any
applicable
VAT,
which
the Customer
shall
be additionally
liable to
pay to
Bibby.

 

 

5.TERMS
OF PAYMENT

 

5.1
Subject
to any
special
terms
agreed
in writing
between
the Customer
and
Bibby, Bibby
shall
be entitled
to invoice
the Customer
for the
Bibby Sale
Price on or
at any
time after
Bibby has
agreed
to purchase
them
from the
Supplier in
accordance
with the
terms of the
Agreement.

 

5.2
The Customer
shall
pay the
Bibby Sale
Price in
accordance
with the
terms
of the
Agreement
notwithstanding
that
delivery
may not
have
taken
place
and
the property
in the
Goods has
not passed
to the
Customer. The
time of
payment
of the
Bibby Sale
Price
shall
be of the
essence of
the
Transaction.

 

5.3
If the
Customer
fails
to make
any
payment
on the
due
date then,
without
prejudice
to any other
right or remedy
available
to Bibby,
Bibby shall
be entitled
to:

 

(a)
 cancel
the
Customer/Bibby
Purchase
Order
and/or
the
Agreement
or suspend
any further
deliveries
to the Customer;

 

(b)
 demand
payment
of all
outstanding
balances
whether
or not
due and/or
cancel
any outstanding
orders from
the Customer;

 

(c)  appropriate
any payment
made by the Customer
to such of the
Goods (or the
goods supplied
pursuant
to any other transaction
between the
Customer and
Bibby) as Bibby
may think
fit (notwithstanding
any purported
appropriation
by the Customer);
and

 

(d)
 charge
the Customer
interest
(both before
and
after
any judgement)
on the
amount unpaid,
at the
rate of
[four
(4)] per
cent
per annum
above
Barclays
Bank
PLC base
rate from
time
to time,
until
payment
in full is
made.

 

5.4Payment
shall
be in pounds
sterling unless
otherwise
agreed
in writing
by Bibby.

    	 

    	 

    

 

6.INSOLVENCY
OF CUSTOMER

 

6.1This
clause
applies
if:

 

(a)
 the
Customer makes
any
voluntary
arrangement
with
its creditors
or becomes
subject
to an
administration
order or
(being an
individual
or firm)
becomes
bankrupt or (being
a company)
goes into liquidation
(otherwise
than for
the purpose
of amalgamation
or reconstruction);
or

 

(b)
 an
encumbrancer
takes
possession,
or a receiver
is appointed,
of any
of the
property
or assets
of the
Customer;
or

 

(c)the
Customer ceases,
or threatens
to cease,
to carry
on business;
or

 

(d)
 Bibby
reasonably
apprehends
that
any
of the
events
mentioned
above
is about
to occur
in relation
to the Customer
and notifies
the Customer
accordingly.

 

6.2
If this
clause
applies
then,
without
prejudice to
any other
right or remedy
available
to Bibby,
Bibby shall
be entitled
to cancel
the
cancel
the Customer/Bibby
Purchase
Order
and/or
the Agreement
or suspend
any further
deliveries
to the
Customer, and
if the
Goods
have
been delivered
but not
paid for
the Bibby
Sale Price shall
become immediately
due and
payable
notwithstanding
any
previous
agreement
or arrangement
to the
contrary
and
if any
of the Goods
have
not been
delivered
Bibby may
sell the
Goods
at the
best price
readily
obtainable
and (after
deducting
all reasonable
storage and
selling expenses)
account
to the Customer for
the excess
over
the Bibby
Sale Price
or charge
the
Customer for
any
shortfall
below the
Bibby Sale Price.

 

 

7.RISK
AND INSURANCE

 

7.1
 Risk of
damage
to or loss
of the
Goods shall
pass to the
Customer upon
acceptance
by Bibby of
the
Customer/Bibby
Purchase
Order
and
the
Customer
shall
insure
the Goods
from
that date
until title in
the Goods
passes to the
Customer
and
for so long
as the Goods
remain in the
ownership
of Bibby. The
Customer shall
on Bibby's
request provide
Bibby with
details
of any such
insurance
policies
and any
copies thereof.

 

7.2
 If the
Customer shall
not insure
the Goods
or shall
fail
to supply
details
of its
policy on demand
to Bibby
then
the Customer
shall
reimburse
Bibby for
the cost
of any
insurance
which
Bibby may
reasonably
arrange
in respect
of any of the Goods
during
the whole
or any part of the
period described
in 7.1 hereof.

 

7.3
 In the
event
that
insurance
monies
paid to
Bibby in
respect
of loss
or destruction
of the
Goods shall
be insufficient
to discharge
the sums
payable
to Bibby
by the Customer
the amount
by which
these sums
exceed
the insurance
moneys
shall forthwith
become payable
by the Customer to
Bibby.

 

 

8.TITLE
RETENTION

    	 

    	 

    

8.1
From the
date of
Bibby’s
payment
of the
Supplier
Sale Price of
the
Goods to
the Supplier
(or such
earlier
date as
the
Supplier
may agree)
until
the
Bibby Sale Price
and
all
other sums whatsoever
which
are or shall
become
outstanding
from
the Customer
to Bibby shall
have
been paid or satisfied
in full
(and if by
cheque,
then only
upon clearance):

 

(a)
 the
property
in the
Goods remains
vested
in Bibby
(notwithstanding
the delivery
of the same
and
the
passing
of the
risk therein);

 

(b)
 the
Customer shall
store the
Goods in
such
a way
that
they
can
be readily
identified
as being
Bibby's property;

 

(c)
 the
Customer shall on
request
inform Bibby of the
precise location
of each
item of the
Goods identified
where
applicable
by its serial number,
by supplying
Bibby at the
Customer's expense
within
seven days
of Bibby's
request
with a written
schedule
of the said locations;

(d)
 the
Customer may
sell the
Goods in
the normal
course
of its business
and
may pass
good title to
its customer
being
a bona fide
purchaser
for value
without
notice
of Bibby's
rights on the
following
conditions:

		(i)	Bibby
                                                                                                                           shall
                                                                                                                           be
                                                                                                                           entitled,
                                                                                                                           immediately
                                                                                                                           as
                                                                                                                           a result
                                                                                                                           of
                                                                                                                           its
                                                                                                                           ownership
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Goods,
                                                                                                                           to
                                                                                                                           the
                                                                                                                           beneficial
                                                                                                                           ownership
                                                                                                                           of
                                                                                                                           the
                                                                                                                           proceeds
                                                                                                                           of
                                                                                                                           such
                                                                                                                           sale
                                                                                                                           which
                                                                                                                           the
                                                                                                                           Customer
                                                                                                                           shall
                                                                                                                           accordingly
                                                                                                                           hold
                                                                                                                           as
                                                                                                                           fiduciary
                                                                                                                           for
                                                                                                                           Bibby;

		(ii)	The
                                                                                                                            Customer
                                                                                                                            shall
                                                                                                                            account
                                                                                                                            to
                                                                                                                            Bibby
                                                                                                                            on
                                                                                                                            demand
                                                                                                                            with
                                                                                                                            the
                                                                                                                            said
                                                                                                                            proceeds
                                                                                                                            of
                                                                                                                            sale
                                                                                                                            provided
                                                                                                                            that
                                                                                                                            no
                                                                                                                            such
                                                                                                                            demand
                                                                                                                            shall
                                                                                                                            be
                                                                                                                            made
                                                                                                                            by
                                                                                                                            Bibby
                                                                                                                            in
                                                                                                                            the
                                                                                                                            absence
                                                                                                                            of
                                                                                                                            its
                                                                                                                            having
                                                                                                                            reasonable
                                                                                                                            cause
                                                                                                                            to
                                                                                                                            believe
                                                                                                                            that
                                                                                                                            the
                                                                                                                            Customer
                                                                                                                            might
                                                                                                                            default
                                                                                                                            in
                                                                                                                            making
                                                                                                                            payment
                                                                                                                            for
                                                                                                                            the
                                                                                                                            Goods
                                                                                                                            on
                                                                                                                            the
                                                                                                                            terms
                                                                                                                            contained
                                                                                                                            herein;

		(iii)	Bibby
                                                                                                                             shall
                                                                                                                             be
                                                                                                                             entitled
                                                                                                                             to
                                                                                                                             make
                                                                                                                             a
                                                                                                                             claim
                                                                                                                             directly
                                                                                                                             against
                                                                                                                             the
                                                                                                                             Customer's
                                                                                                                             Buyer
                                                                                                                             for
                                                                                                                             any
                                                                                                                             purchase
                                                                                                                             monies
                                                                                                                             unpaid
                                                                                                                             by
                                                                                                                             such
                                                                                                                             Buyer
                                                                                                                             provided
                                                                                                                             that
                                                                                                                             no
                                                                                                                             such
                                                                                                                             claim
                                                                                                                             shall
                                                                                                                             be
                                                                                                                             made
                                                                                                                             by
                                                                                                                             Bibby
                                                                                                                             in
                                                                                                                             the
                                                                                                                             absence
                                                                                                                             of
                                                                                                                             its
                                                                                                                             having
                                                                                                                             reasonable
                                                                                                                             cause
                                                                                                                             to
                                                                                                                             believe
                                                                                                                             that
                                                                                                                             the
                                                                                                                             Customer
                                                                                                                             might
                                                                                                                             default
                                                                                                                             in
                                                                                                                             making
                                                                                                                             payment
                                                                                                                             for
                                                                                                                             the
                                                                                                                             Goods
                                                                                                                             on
                                                                                                                             the
                                                                                                                             terms
                                                                                                                             contained
                                                                                                                             herein;

		(iv)	Bibby
                                                                                                                            may
                                                                                                                            at
                                                                                                                            any
                                                                                                                            time
                                                                                                                            revoke
                                                                                                                            the
                                                                                                                            Customer's
                                                                                                                            said
                                                                                                                            power
                                                                                                                            of
                                                                                                                            sale
                                                                                                                            in
                                                                                                                            the
                                                                                                                            circumstances
                                                                                                                            set
                                                                                                                            out
                                                                                                                            in
                                                                                                                            clause
                                                                                                                            5.3
                                                                                                                            and
                                                                                                                            clause
                                                                                                                            6
                                                                                                                            of
                                                                                                                            these
                                                                                                                            Conditions,
                                                                                                                            and
                                                                                                                            in
                                                                                                                            the
                                                                                                                            event
                                                                                                                            that
                                                                                                                            the
                                                                                                                            Customer
                                                                                                                            shall
                                                                                                                            breach
                                                                                                                            any
                                                                                                                            term
                                                                                                                            of
                                                                                                                            the
                                                                                                                            Agreement.

		(v)	The
                                                                                                                           Customer
                                                                                                                           shall
                                                                                                                           notify
                                                                                                                           Bibby
                                                                                                                           without
                                                                                                                           delay
                                                                                                                           of
                                                                                                                           any
                                                                                                                           attachment
                                                                                                                           of
                                                                                                                           the
                                                                                                                           Goods
                                                                                                                           or
                                                                                                                           actions
                                                                                                                           by
                                                                                                                           third
                                                                                                                           parties
                                                                                                                           which
                                                                                                                           might
                                                                                                                           infringe
                                                                                                                           Bibby's
                                                                                                                           title
                                                                                                                           to
                                                                                                                           the
                                                                                                                           Goods.

8.2
 Upon
determination
of the
Customer's
power of
sale Bibby
shall
be entitled
by itself its
servants or agents
to enter
upon any
of  the Customer's
premises for
the purpose
of removing
and repossessing
such Goods
or their proceeds
of sale and
Bibby shall
be entitled
to claim from
the Customer
the costs and
expenses
incurred
by Bibby in
and ancillary
to the process of such
removal
and repossession.

    	 

    	 

    

8.3
 Until
title in the
Goods
has
passed to
the Customer,
the Customer
shall
not purport
to be the
owner
of the
Goods
and
shall not
show the
Goods
as stock
in the
Customer's
accounts.

8.4
 Nothing
in these
Conditions
shall:

 

(a)
 entitle
the
Customer to
return
the Goods
or to
delay
payment
thereof;

 

(b)render
Bibby liable
to any
third party
for any
unauthorised
representation
or warranty
made or
given by
the
Customer
to such
third
party
in relation
to the
Goods;
or

 

(c)prevent
Bibby from maintaining
an action
for the
Bibby Sale Price notwithstanding
that the
property in the
Goods may not
have
passed to the
Customer.

 

9.
 LIEN

 

Bibby
retains
a general
lien on
any of
the Customer's
equipment
or materials
in its possession
for any
unpaid
balance
the Customer
may owe
to Bibby. 
Bibby shall
be entitled
to sell such
equipment
or materials
in the
event
that
payment
is not
made in
full within
28 days
of notice
given
to the Customer
by Bibby of its
exercise of
the
lien. The
proceeds of sale
may be
taken
by Bibby for
reimbursement
of the expense
of exercise
of the lien
and the
sale, and
payment
of the said balance,
and Bibby
shall account
for any
surplus.

 

 

10.
 DELIVERY

 

10.1
 Delivery
of the
Goods
shall
be made
to the
Customer by
the Supplier.

 

10.2
 If the
Supplier
fails
to deliver
the Goods
in accordance
with the
Supplier
Contract
Bibby shall
have
no liability
to the
Customer.

10.3
 If the
Customer fails
to take
delivery
of the
Goods or
fails
to give Bibby
adequate
delivery

 

instructions
at the
time stated
for delivery
(otherwise
than
by reason
of any
cause
beyond
the Customer's
reasonable
control
or by reason
of Bibby's
fault)
then,
without
prejudice
to any
other right
or remedy available
to Bibby,
Bibby may:

 

(a)store
the Goods
until actual
delivery
and
charge
the Customer
for the
reasonable
costs (including
insurance)
of storage;
or

 

(b)
 sell the
Goods at
the best
price readily
obtainable
and
(after
deducting
all reasonable
storage insurance
and
selling
expenses)
account
to the
Customer for
the excess
over the
Bibby Sale
Price or charge
the Customer
for any
shortfall
below the
Bibby Sale Price.

 

 

11.
 WARRANTY

 

11.1
 Bibby
will endeavour
to extend
to the Customer
or to enforce
on its behalf
the benefits
of any guarantee
condition
or warranty
which
may have
been given
to Bibby
by the Supplier
or otherwise implied
in favour
of Bibby. Any
such
guarantee
condition
or warranty
shall
only be extended
to the Customer or enforced
on its behalf
on terms
that the
Customer shall
fully indemnify
Bibby to the
satisfaction
of Bibby against
all costs claims
damages
and expenses
incurred
or to be
incurred
in connection
with the
enforcement
thereof
or the
making
of any
claim thereunder.

 

11.2
 The
Customer
expressly acknowledges
that
Bibby is
not the
original
manufacturer
or supplier
of the
Goods,
that
the Goods
have
been selected
by the
Customer as
suitable
for its
purpose, and
that
they
have
been purchased
by Bibby
for the
purpose
of enabling
Bibby
to enter
into a Transaction
with
the Customer
in respect
of the
same. The
Customer
accordingly
agrees
and acknowledges
that no
condition
warranty
or representation
of any kind
has been
or is given or made
by Bibby
its servants
or agents
with respect
to or in respect
of the
Goods
or their delivery
(other
than
a warranty
that
Bibby shall
purchase
the Goods
from the Supplier
upon the
terms
of the Supplier
Contract
and that
for so long
as no
breach of the
Agreement
or these Conditions
has occurred
Bibby will
not interfere
with the
Customer's
possession use
or enjoyment
of the Goods
and will not
derogate
from the
rights granted
to the Customer)
and all
other conditions
warranties
or representations,
express
or implied,
statutory
or otherwise, as
to the state quality
description
or otherwise
of the Goods
as to its fitness
for any
purpose are
hereby
expressly
excluded.

 

11.3
 The
Customer
agrees
that
Bibby will
not be
liable for
any
liability,
claim,
loss, damage
or expense
of any
kind
or nature
caused
directly
or indirectly
by the
Goods or
any
part thereof,
or by the failure
of the Supplier
to deliver
them in accordance
with the
Supplier
Sales Order
or at all or for
any inadequacy
thereof
for any
purpose, or for
any deficiency
or defect
therein,
or in the use
or performance
thereof
or for any repairs
servicing
or otherwise thereto,
or for any
delay in
providing or failure
to provide
the same,
or for any
interruption
or loss of
service or use
thereof,
or for any
loss of business
or other consequential
damage
or any damage
whatsoever
and
howsoever
caused
provided
that
nothing
therein
provided
shall
exclude
any
liability of
Bibby in
respect
of death
or personal
injury
resulting
from the
negligence
of Bibby, its employees
or agents.

 

 

12.GENERAL

 

12.1
 Bibby
is a member
of the
group of
companies
whose
parent
company
is Bibby
Financial
Services
Limited,
and
accordingly
Bibby may
perform
any
of its
obligations
or exercise
any of
its rights hereunder
by itself
or through
any other member
of its group,
provided
that
any act
or omission of
any
such other
member shall be
deemed to
be the
act or
omission of Bibby.

 

12.2Bibby
reserves the
right to assign
or sub-contract
the fulfilment
of its obligations
under
each Transaction
or any
part thereof.

 

12.3The
Customer
may not
assign or
sub-contract
the fulfilment
of its obligations
under
any Transaction
or any
part thereof.

 

12.4
 No waiver
by Bibby
of any
breach
of these
Conditions
by the
Customer
shall
be considered
as a waiver
of any
subsequent
breach
of the
same or
any other
provision.

    	 

    	 

    

12.5
 If any
provision
of these
Conditions
is held
by any
competent
authority
to be
invalid
or unenforceable
in whole
or in
part the
validity
of the
other
provisions
of these
Conditions
and the
remainder
of the
provisions in
question shall
not be
affected
thereby.

 

12.6
 These
Conditions
shall
be governed
by the
laws of
England
and
the parties
shall
submit
to the sole
jurisdiction
of the
English
courts.

    	 

    	 

    

SCHEDULE
2

 

Letter
of Credit
Procedure

 

 

1Letter
of Credit

 

The
L/C
Bank will
issue a
Letter
of Credit
on Bibby's
behalf
subject
to the
Uniform
Customs and
Practice
for Documentary
Credits
(1993
Revision
No 500
of the
International
Chamber
of Commerce,
Paris, France)
in so far
as these
are applicable.

2Duration

 

The
maximum duration
of any
Letter
of Credit
transaction
will be
[60] days
unless
agreed otherwise
in writing
by Bibby.

 

3Refusal
of Documents

 

Bibby
will reserve
the
right to
refuse
any documents
with discrepancies
presented
under
a Letter of
Credit.

    	 

    	 

    

SCHEDULE
3

 

Conditions
Precedent

 

 

1.A
Utilisation Request,
duly
signed by
the
Customer.

 

2.Satisfactory
replies
to Bibby's
normal
search and
reference
enquiries
and
any "know
your customer"
procedures.

 

3.The
Customer
putting
in place
and
maintaining
to Bibby's
satisfaction
an insurance
policy in respect
of the
Goods
against
all applicable
risks and upon
which
Bibby's
interest
in the
Goods is noted
and
providing
Bibby
with any
copies
of the
same.

 

4.A
copy of the
duly executed
Supplier
Contract
from the
Customer;

 

5.The
Supplier
Sales Invoice
from the
Supplier.

 

6.A
schedule
of expenditure
containing
details
of all
due
but unpaid
Supplier
Sales Invoices.

 

7.A
schedule
of all
the
sales
orders received
from Buyers
relating
to the
Goods to be
purchased and
copies of
all the
sales
order
documentation.

 

8.Where
the
Goods are
to be
stored in
premises
which
are not
owned
by the
Customer
or the
Buyer,
a waiver
by the
landlord
of such
premises
of any
claims
he may
have
against
the Goods.

 

9.Where
the
Goods are
to be
transported
by a party
other
than
the
Customer
or the
Buyer,
a waiver
by such
transporting
party
of any
claims
he may
have
against
the
Goods.

 

10.Evidence
that
the
Customer
has
in place
product
liability
insurance
in respect
of the
Goods up
to a minimum
amount
as agreed
by Bibby.

    	 

    	 

    

SCHEDULE
4

 

Form
of Utilisation
Request

 

 

To:Bibby
Trade
Services
Limited

 

From:XXXX

 

Date:

 

We
make
this
request under
the
terms
of the
Purchase
and
Resale
Agreement
between
us (the
"Agreement").
Any terms
not otherwise
defined
in this
request which
are defined
in the Agreement
shall
have
the
same meaning
where
used in
this
request.

 

1Transaction
Details

[insert
details
of nature
and value
of Goods
and
Supplier]

 

2Payment
Request

We
hereby
request you
to make
the
following
payment
on our
behalf
in relation
to the
Transaction
specified
above,
by [Direct
Payment]
[arranging
the issuance
of a
Letter
of Credit
to the
Supplier]1:

 

	Amount:

        (In
        words and
        figures)
	 
	Value
    date:	 
	Payee:	 
	Order
    of:	 
	Invoice
    reference:	 

 

3
 Agreement
to re-purchase

In
the event
this
Transaction
is accepted
by you
and a
Utilisation
is made available
to us
we agree
to re-purchase
the Goods
included
in this
Transaction
in accordance
with
the
Agreement
and
upon the
Conditions
of Sale.

 

[4
 Letter
of Credit

Attached
to this
request
is the
relevant
information
you
require to enable
you
to arrange
the issuance
of a Letter
of Credit
to the
Supplier
and
we hereby
undertake
to provide
you with
any additional
information
you may
require
in connection
therewith.]2

 

Signed:

For
and
on behalf
of XXXX

 

 

............................................
 ...............................................

Authorised
Signature
 Authorised Signature

 

 

 

 

 

 

 

1
Delete as applicable.

2
Delete if
Direct Payment
alternative
is used.

    	 

    	 

    

	 	 	 	 	 
	 	 
	SIGNED and DELIVERED as a deed on December
    30, 2013	 	 
	on behalf of LOT78 UK LTD 	/s/ Oliver Amhurst
	 	Director
	in the presence of:	 
	 	 
	Witness’s Signature:	/s/ Phillip Varney
	 	 
	Witness’s Full Name (Please print):	Philip Varney
	 	 
	Witness’s Address:	20
                                                Alexandra Sq

                                                Morden,
                                                Surrey SM4 5NJ

	 	 
	Witness’s Occupation:	Facilities ManagerExhibit 10.2

LOT78
UK LTD

 

 

Factoring
Agreement

    	 

    	 

    

 

BIBBY
FINANCIAL SERVICES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RECOURSE
FACTORING AGREEMENT MADE WITH LOT78 UK LTD

    	 

    	 

    

BIBBY
FINANCIAL
SERVICES

 

 

A.PARTIES

 

 

This
Agreement is made
between:

 

 

(1)Bibby
Trade Factors
Limited whose
registered
office
is at
105 Duke
Street, Liverpool
L1 5JQ
(registered
number 05303859)
("we"/"us");
and

 

(2)the
client
identified
in the
Client Particulars
("you").

 

 

B.INTRODUCTION

 

 

	 	1.	This
    Agreement is
    a disclosed
    recourse factoring
    agreement
    and sets
    out the terms upon which
    we will
    purchase
    your
    Debts.  Conditions
    8.6 and 8.7 of the
    Standard
    Conditions
    will not apply
    to this
    Agreement.
	 

        2.
	 

        You
        agree
        to sell
        and we agree
        to purchase with
        full title
        guarantee on
        the terms  of 
        this  Agreement 
        all  the 
        Debts 
        referred
         to  in 
        clause 4 
        of  the Particulars.

	 

        3.
	 

        "This
        Agreement"
        shall
        comprise
        this document,
        the Standard
        Conditions
        for the Purchase
        of Debts
        (Edition A/2004)
        and any
        schedule or
        other document
        expressly
        incorporated
        into this
        Agreement
        and any
        variation
        or extension
        agreed
        in accordance
        with condition
        16 of the Standard
        Conditions.
        Any terms
        set out
        in a Letter
        of Offer
        and any
        other statements
        or representations
        by us or implied
        terms are excluded.

	 

        4.
	 

        This
        Agreement is
        dated on the
        date
        on which the
        last
        of us signs
        it.

	 

C.
PARTICULARS

	 	 

        1.
	 

        The
        Commencement Date
        is(condition
        2.1).

	 	 

        2.
	 

        The
        Minimum
        Period of
        this
        Agreement is
        12 months
        from the
        first day
        of the month
        following
        the
        Commencement
        Date (condition
        2.1).

	 	 

        3.
	 

        The
        Minimum Notice
        Period is 3
        months (condition
        2.1).

    	 

    	 

    

4.This
Agreement shall
apply to
the following
categories
of Debts:
All debts

 

(condition
3.1)

 

 

5.The
Approved Funding
Percentage
is 80%
(definition
of "Available
Funds"
in condition
21).

 

6.The
Customer
Concentration
Percentage
is 15%
but may
be increased
to a maximum
of 50%
subject
to obtained
credit limits
(condition
6.8.3).

 

7.The
Retrospective
Fee is N/A (condition
7.1.1).

 

 

8.The
Fee is 1.8%
(condition
7.1.2).

 

 

9.The
Refactoring
Fee is
2.00% of
the Notified
Value
of each
Debt which
is

 

Outstanding
90 days
end of
month
(condition
7.1.3).

 

 

 

10.The
Minimum Fees shall
be £19,000 
per annum (condition
7.3).

 

 

11.The
Factor's
Discount
is 3.00%
above
the greater
of LIBOR,
the base rate
quoted from
time to time
by Barclays
Bank PLC
(or its
successors) and
3.00% (conditions
7.9 and
7.10).

 

12.The
Funding Limit
is £600,000
across the
factoring
and purchasing
facility

 

(condition
6.8.2).

 

 

13.The
Credit Note
Limit is £500
excluding
Value Added
Tax
(condition
10.1.4).

 

 

14.The
Approval Period
is 90 days end
of month (condition
5.7).

 

 

D.
SPECIAL CONDITIONS Audit

 

1.In
our absolute
discretion,
we may
take steps
to verify
the Notified
Debts
at any
time to satisfy ourselves
of the validity
of such Debts.

 

2.In
our absolute
discretion,
we may
undertake
audits
at any
time to satisfy
ourselves
of the
viability of your
business
at a cost
to be
borne by
you.

    	 

    	 

    

3.Should
erosion on
your gross debts
exceed
9% in
any three
month
rolling period,
we have the
right to
review
the level
of approved
funding percentage
(see point
5 of the particulars
above)
and immediately
reduce
to an appropriate
funding percentage
level based
on the erosion being experienced
on your debts. Should
the
% or erosion
improve, we
will consider
any request
to put
the
approved funding
percentage back
to the original
level.

 

Documents

 

4.A
signed proof
of delivery
or collection
must be
obtained
for each
Debt and
the original of
such document
must be
provided to us upon
our request.

 

Fees

 

 

5.In
addition
to any
other
fees
which
we are
entitled
to charge
you pursuant
to this Agreement,
we are
entitled
to also
charge you
in accordance
with the disbursement
charges
sheet, or
in accordance with
any amended
or updated
disbursement charges
sheet which
we may
notify
you of from
time to time during
the duration
of this Agreement.

 

6.In
the event
of your failure
to deliver
to us
an Invoice
Schedule
within 2
days of your Notification
to us
of the existence
of the relevant
Debts
using
our Computerised
Services, we
shall be
entitled,
at our
absolute
discretion,
to charge
you the Fee
on the
total value
of the relevant
Debts
at a
rate of 1% above
the
percentage rate shown
in clause
8 of the Particulars.

 

Notification
of Debts

 

 

7.Upon
Notification
of a Debt to
us, you will immediately
send to
us:

 

 

•your
day book
listings

 

•duplicates
of the relevant
invoices evidencing
the Debt

 

•proofs
of delivery
or collection
signed by
your Customer

 

•the
Contract
of Sale evidencing
the Debt

 

 

8.Unless
we agree
in writing,
we will not make
any Prepayment
against:

    	 

    	 

    

		•	invoices
                                                                                                                                evidencing
                                                                                                                                Debts
                                                                                                                                for
                                                                                                                                stage
                                                                                                                                or
                                                                                                                                progress
                                                                                                                                payments
	 	•	Debts
                                                                                                                                                              arising
                                                                                                                                                              under
                                                                                                                                                              a
                                                                                                                                                              Contract
                                                                                                                                                              of
                                                                                                                                                              Sale
                                                                                                                                                              which
                                                                                                                                                              contains
                                                                                                                                                              terms
                                                                                                                                                              entitling
                                                                                                                                                              the
                                                                                                                                                              Customer
                                                                                                                                                              to
                                                                                                                                                              return
                                                                                                                                                              the
                                                                                                                                                              goods
	 	•	Debts
                                                                                                                                                              owed
                                                                                                                                                              by
                                                                                                                                                              non-business
                                                                                                                                                              Customers
	 	•	Debts
                                                                                                                                                              owed
                                                                                                                                                              by
                                                                                                                                                              an
                                                                                                                                                              Associate
	 	•	Debts
                                                                                                                                                              payable
                                                                                                                                                              on
                                                                                                                                                              a
                                                                                                                                                              pro
                                                                                                                                                              forma
                                                                                                                                                              basis
                                                                                                                                                              or
                                                                                                                                                              by
                                                                                                                                                              cash
                                                                                                                                                              on
                                                                                                                                                              delivery
	 	•	Debts
                                                                                                                                                              arising
                                                                                                                                                              from
                                                                                                                                                              the
                                                                                                                                                              sale
                                                                                                                                                              of
                                                                                                                                                              capital
                                                                                                                                                              assets
	 	•	Debts
                                                                                                                                                              arising
                                                                                                                                                              from
                                                                                                                                                              rental
                                                                                                                                                              or
                                                                                                                                                              leasing
                                                                                                                                                              agreements
	 	•	Debts
                                                                                                                                                              owed
                                                                                                                                                              by
                                                                                                                                                              a
                                                                                                                                                              Customer
                                                                                                                                                              who
                                                                                                                                                              also
                                                                                                                                                              supplies
                                                                                                                                                              goods
                                                                                                                                                              or
                                                                                                                                                              services
                                                                                                                                                              to
                                                                                                                                                              you

 

9.
 You will not
enter into
Contracts
of Sale
containing
terms providing
for payment
of the Debt
on a
pro forma
basis or cash on
delivery
with any
Customer
to whom
you have
previously extended
credit
without
our prior
written
consent.

 

Computerised
Services

 

10.We
will provide
you with
our Computerised
Services
on the terms
set out
in condition
12 of the Standard
Conditions.

 

Discretionary
Credit Limit

 

11.For
each of
your Customers
(excluding
Associates
and Customers
who owe Debts
which
are Non-notifiable
Debts),
we may
establish a
Credit
Limit of £15,000,
or such other
sum as we
shall tell
in writing from time
to time.

 

 

Export
Debts

 

12.The
Purchase
Price of
Debts
payable in
Approved Currencies
shall
be payable in Sterling
or in the
Approved Currency
of the Debt.

 

13.Where
we agree
to pay
you the Purchase
Price of
Export
Debts
in a currency
other than
Sterling:

	 	• 	condition
                                                                                                                                                                    4.2
                                                                                                                                                                    of
                                                                                                                                                                    the
                                                                                                                                                                    Standard
                                                                                                                                                                    Conditions
                                                                                                                                                                    will
                                                                                                                                                                    not
                                                                                                                                                                    apply;
	 	 	 
		•	any
                                                                                                                                payment
                                                                                                                                to
                                                                                                                                you
                                                                                                                                will
                                                                                                                                be
                                                                                                                                made
                                                                                                                                in
                                                                                                                                the
                                                                                                                                currency
                                                                                                                                of
                                                                                                                                the
                                                                                                                                Debt
                                                                                                                                unless
                                                                                                                                we
                                                                                                                                tell
                                                                                                                                you
                                                                                                                                otherwise;

 

		•	the
                                                                                                                                  Retrospective
                                                                                                                                  Fee,
                                                                                                                                  Fee
                                                                                                                                  and
                                                                                                                                  Refactoring
                                                                                                                                  Fee
                                                                                                                                  (if
                                                                                                                                  payable
                                                                                                                                  as
                                                                                                                                  a
                                                                                                                                  percentage
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  Notified
                                                                                                                                  Value
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  Debt)
                                                                                                                                  and
                                                                                                                                  Factor's
                                                                                                                                  Discount
                                                                                                                                  will
                                                                                                                                  be
                                                                                                                                  charged
                                                                                                                                  to
                                                                                                                                  you
                                                                                                                                  in
                                                                                                                                  the
                                                                                                                                  currency
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  Debt;
                                                                                                                                  and

 

		•	we
                                                                                                                                  shall
                                                                                                                                  maintain
                                                                                                                                  separate
                                                                                                                                  Client,
                                                                                                                                  Sales
                                                                                                                                  Ledger
                                                                                                                                  Control
                                                                                                                                  and
                                                                                                                                  Current
                                                                                                                                  Accounts
                                                                                                                                  to
                                                                                                                                  record
                                                                                                                                  the
                                                                                                                                  sale
                                                                                                                                  and
                                                                                                                                  purchase
                                                                                                                                  of
                                                                                                                                  such
                                                                                                                                  Export
                                                                                                                                  Debts.

 

14.We
may at
any
time give
you notice
in writing
that
a currency
will no
longer be an
Approved Currency
or a country
will no
longer
be an Accepted
Country.
Such notice
will not affect
Export
Debts
Notified to
us prior to
such notice.

 

15.We
 confirm
 that 
Customers
 domiciled
 in  Accepted
 Countries
 may 
make payment
of Export
Debts
to us in Approved
Currencies.

 

16.Any
payment
made
by a Customer
in or towards
payment
of an
Export
Debt shall not
be treated as
a Collection until
we have received
value for
such payment
in our bank
account.

 

17.For
the purpose
of calculating
the amount
of any
Export
Debt owed
by a Customer
or any amount
that you may
owe us that
is expressed
in a foreign currency,
we may
convert
such amount
into Sterling
at the
spot selling
rate
of exchange
for the relevant
currency
quoted by
our
bankers
on the date such
amount
is due to us.

 

18.In
relation
to each
Export
Debt included
in an
Invoice
Schedule,
in addition
to the warranties
set out
in condition
11.1 of
the Standard
Conditions,
you will
additionally
give all the
following
warranties:

 

		•	the
                                                                                                                                  Customer
                                                                                                                                  carries
                                                                                                                                  on
                                                                                                                                  business
                                                                                                                                  in
                                                                                                                                  an
                                                                                                                                  Accepted
                                                                                                                                  Country
                                                                                                                                  and
                                                                                                                                  the
                                                                                                                                  invoice(s)
                                                                                                                                  evidencing
                                                                                                                                  the
                                                                                                                                  Export
                                                                                                                                  Debt
                                                                                                                                  are
                                                                                                                                  addressed
                                                                                                                                  to
                                                                                                                                  the
                                                                                                                                  Customer
                                                                                                                                  at
                                                                                                                                  such
                                                                                                                                  place
                                                                                                                                  of
                                                                                                                                  business;

		•	the
                                                                                                                                  Customer
                                                                                                                                  has
                                                                                                                                  all
                                                                                                                                  authorities,
                                                                                                                                  licences
                                                                                                                                  and
                                                                                                                                  permits
                                                                                                                                  necessary
                                                                                                                                  for
                                                                                                                                  him
                                                                                                                                  lawfully
                                                                                                                                  to
                                                                                                                                  purchase
                                                                                                                                  and
                                                                                                                                  import
                                                                                                                                  the
                                                                                                                                  goods
                                                                                                                                  into
                                                                                                                                  the
                                                                                                                                  Accepted
                                                                                                                                  Country
                                                                                                                                  and
                                                                                                                                  to
                                                                                                                                  pay
                                                                                                                                  for
                                                                                                                                  them
                                                                                                                                  by
                                                                                                                                  the
                                                                                                                                  due
                                                                                                                                  date(s)
                                                                                                                                  for
                                                                                                                                  payment;

 

		•	the
                                                                                                                                  exportation
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  goods
                                                                                                                                  to
                                                                                                                                  the
                                                                                                                                  Accepted
                                                                                                                                  Country
                                                                                                                                  does
                                                                                                                                  not
                                                                                                                                  breach
                                                                                                                                  the
                                                                                                                                  laws
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  UK
                                                                                                                                  or
                                                                                                                                  any
                                                                                                                                  other
                                                                                                                                  country;

 

		•	the

                                                                                                                                  Contract

                                                                                                                                  of

                                                                                                                                  Sale

                                                                                                                                  provides

                                                                                                                                  for

                                                                                                                                  payment

                                                                                                                                  in

                                                                                                                                  Sterling

                                                                                                                                  or

                                                                                                                                  an

                                                                                                                                  Approved
                                                                                                                                  Currency
                                                                                                                                  and
                                                                                                                                  the
                                                                                                                                  invoice(s)
                                                                                                                                  evidencing
                                                                                                                                  the
                                                                                                                                  Export
                                                                                                                                  Debt
                                                                                                                                  are
                                                                                                                                  expressed
                                                                                                                                  in
                                                                                                                                  the
                                                                                                                                  relevant
                                                                                                                                  currency;

 

		•	except
                                                                                                                                  where
                                                                                                                                  provided
                                                                                                                                  to
                                                                                                                                  the
                                                                                                                                  contrary
                                                                                                                                  in
                                                                                                                                  this
                                                                                                                                  Agreement,
                                                                                                                                  the
                                                                                                                                  invoice(s)
                                                                                                                                  evidencing
                                                                                                                                  the
                                                                                                                                  Export
                                                                                                                                  Debt
                                                                                                                                  will
                                                                                                                                  bear
                                                                                                                                  a
                                                                                                                                  notice
                                                                                                                                  of
                                                                                                                                  assignment
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  Export
                                                                                                                                  Debt
                                                                                                                                  to
                                                                                                                                  us
                                                                                                                                  in
                                                                                                                                  such
                                                                                                                                  format
                                                                                                                                  as
                                                                                                                                  we
                                                                                                                                  shall
                                                                                                                                  tell
                                                                                                                                  you.

 

Before
we make
any payments
to you:

 

 

19.you
will provide us
with:

 

 

		•	an

                                                                                                                                  all

                                                                                                                                  assets

                                                                                                                                  debenture

                                                                                                                                  executed

                                                                                                                                  by

                                                                                                                                  you

                                                                                                                                  over

                                                                                                                                  all

                                                                                                                                  of

                                                                                                                                  your

                                                                                                                                  assets

                                                                                                                                  and
                                                                                                                                  undertaking.

                                                                                                                                  You
                                                                                                                                  will
                                                                                                                                  pay
                                                                                                                                  to
                                                                                                                                  us
                                                                                                                                  all
                                                                                                                                  costs
                                                                                                                                  incurred
                                                                                                                                  by
                                                                                                                                  us
                                                                                                                                  in
                                                                                                                                  the
                                                                                                                                  preparation,
                                                                                                                                  execution
                                                                                                                                  and
                                                                                                                                  registration
                                                                                                                                  of
                                                                                                                                  such
                                                                                                                                  charge;

 

		•	a
                                                                                                                                  corporate
                                                                                                                                  guarantee
                                                                                                                                  and
                                                                                                                                  indemnity
                                                                                                                                  in
                                                                                                                                  respect
                                                                                                                                  of
                                                                                                                                  your
                                                                                                                                  obligations
                                                                                                                                  to
                                                                                                                                  us
                                                                                                                                  executed
                                                                                                                                  by
                                                                                                                                  Lot
                                                                                                                                  78,
                                                                                                                                  Inc;

 

		•	a
                                                                                                                                  personal
                                                                                                                                  guarantee
                                                                                                                                  and
                                                                                                                                  indemnity
                                                                                                                                  in
                                                                                                                                  respect
                                                                                                                                  of
                                                                                                                                  your
                                                                                                                                  obligations
                                                                                                                                  to
                                                                                                                                  us
                                                                                                                                  executed
                                                                                                                                  by
                                                                                                                                  Oliver
                                                                                                                                  Amhurst,
                                                                                                                                  limited
                                                                                                                                  to
                                                                                                                                  £600,000;

 

		•	a
                                                                                                                                  letter
                                                                                                                                  of
                                                                                                                                  waiver
                                                                                                                                  from
                                                                                                                                  Adam
                                                                                                                                  &
                                                                                                                                  Company
                                                                                                                                  plc
                                                                                                                                  releasing
                                                                                                                                  your
                                                                                                                                  Debts
                                                                                                                                  from
                                                                                                                                  their
                                                                                                                                  charge
                                                                                                                                  to
                                                                                                                                  allow
                                                                                                                                  us
                                                                                                                                  to
                                                                                                                                  purchase
                                                                                                                                  your
                                                                                                                                  Debts;

 

		•	a
                                                                                                                                  loan
                                                                                                                                  postponement
                                                                                                                                  undertaking
                                                                                                                                  in
                                                                                                                                  our
                                                                                                                                  standard
                                                                                                                                  form
                                                                                                                                  from
                                                                                                                                  Lot
                                                                                                                                  78
                                                                                                                                  inc
                                                                                                                                  and
                                                                                                                                  David
                                                                                                                                  Hardcastle
                                                                                                                                  in
                                                                                                                                  the
                                                                                                                                  sum
                                                                                                                                  of
                                                                                                                                  1,300,000,
                                                                                                                                  which
                                                                                                                                  undertaking
                                                                                                                                  may
                                                                                                                                  not
                                                                                                                                  be
                                                                                                                                  withdrawn
                                                                                                                                  without
                                                                                                                                  our
                                                                                                                                  prior
                                                                                                                                  written
                                                                                                                                  consent;

 

		•	confirmation
                                                                                                                                  that
                                                                                                                                  the
                                                                                                                                  business
                                                                                                                                  will
                                                                                                                                  only
                                                                                                                                  use
                                                                                                                                  DHL
                                                                                                                                  International
                                                                                                                                  (UK)
                                                                                                                                  Ltd
                                                                                                                                  to
                                                                                                                                  transport
                                                                                                                                  their
                                                                                                                                  goods;
	 	 	 
	 	•	a
                                                                                                                                                                                         Landlord’s
                                                                                                                                                                                         waiver;
	 	 	 
	 	•	a
                                                                                                                                                                                         copy
                                                                                                                                                                                         of
                                                                                                                                                                                         your
                                                                                                                                                                                         standard
                                                                                                                                                                                         terms
                                                                                                                                                                                         and
                                                                                                                                                                                         conditions
                                                                                                                                                                                         of
                                                                                                                                                                                         business;
	 	 	 
	 	•	six
                                                                                                                                                                                         copies
                                                                                                                                                                                         of
                                                                                                                                                                                         your
                                                                                                                                                                                         standard
                                                                                                                                                                                         headed
                                                                                                                                                                                         stationery;

20.you
will write
to all
Customers
who pay
you by BACS,
CHAPS
or any
other form
of electronic
transfer
using
wording which
we will
provide to
you, giving them
our bank
account details
and telling them
to make
payment
of Debts
to such account;

 

21.
we will require:

 

 

		•	proof
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  identity
                                                                                                                                  and
                                                                                                                                  current
                                                                                                                                  residential
                                                                                                                                  addresses
                                                                                                                                  of
                                                                                                                                  Oliver
                                                                                                                                  Amhurst

                                                                                                                                  by
                                                                                                                                  each
                                                                                                                                  of
                                                                                                                                  them
                                                                                                                                  providing
                                                                                                                                  to
                                                                                                                                  us
                                                                                                                                  the
                                                                                                                                  originals
                                                                                                                                  of
                                                                                                                                  a
                                                                                                                                  current
                                                                                                                                  passport
                                                                                                                                  or
                                                                                                                                  driver's
                                                                                                                                  licence
                                                                                                                                  (provided
                                                                                                                                  it
                                                                                                                                  contains
                                                                                                                                  a
                                                                                                                                  photograph
                                                                                                                                  of
                                                                                                                                  the
                                                                                                                                  licence
                                                                                                                                  holder)
                                                                                                                                  and
                                                                                                                                  two
                                                                                                                                  recent
                                                                                                                                  utility
                                                                                                                                  bills
                                                                                                                                  showing
                                                                                                                                  their
                                                                                                                                  current
                                                                                                                                  residential
                                                                                                                                  addresses;
	 	 	 
	 	•	quarterly
                                                                                                                                                                                       management
                                                                                                                                                                                       accounts
                                                                                                                                                                                       to
                                                                                                                                                                                       include
                                                                                                                                                                                       profit
                                                                                                                                                                                       and
                                                                                                                                                                                       loss,
                                                                                                                                                                                       balance
                                                                                                                                                                                       sheet
                                                                                                                                                                                       and
                                                                                                                                                                                       HMRC
                                                                                                                                                                                       position;
	 	 	 
	 	•	monthly
                                                                                                                                                                                       aged
                                                                                                                                                                                       creditors
                                                                                                                                                                                       listing;

 

		•	your
                                                                                                                                  invoice
                                                                                                                                  and
                                                                                                                                  credit
                                                                                                                                  note
                                                                                                                                  stationery
                                                                                                                                  to
                                                                                                                                  include
                                                                                                                                  your
                                                                                                                                  full
                                                                                                                                  company
                                                                                                                                  name,
                                                                                                                                  payment
                                                                                                                                  terms
                                                                                                                                  and
                                                                                                                                  (if
                                                                                                                                  appropriate)
                                                                                                                                  registered
                                                                                                                                  number
                                                                                                                                  and
                                                                                                                                  trading
                                                                                                                                  style
                                                                                                                                  and
                                                                                                                                  a
                                                                                                                                  notice
                                                                                                                                  of
                                                                                                                                  assignment
                                                                                                                                  in
                                                                                                                                  our
                                                                                                                                  standard
                                                                                                                                  form
                                                                                                                                  printed
                                                                                                                                  on
                                                                                                                                  all
                                                                                                                                  invoices.

 

22.
we will verify
to our
satisfaction
the
validity
of your Outstanding
Debts;

 

 

23.For
a period
of no
more than
three months
we will
provide pre-printed,
sticky labels
bearing
this notation,
pending reprinting
of your
invoice
stationery:

 

‘NOTICE
OF ASSIGNMENT
All invoices
are assigned
to Bibby Trade
Factors Limited,
Packington House,
3-4
Horse Fair,
Banbury,
OX16 0AA.
Telephone
01295
221066.
To whom payment
must
be made and
whose receipt
shall be the only
valid
discharge’.

    	 

    	 

    

24.
We require that
all credit
note stationary shows
the following
clause:

 

 

‘This
credit
relates
to the
invoice(s)
referred
to herein
and assigned
to Bibby Trade Factors
Limited. It
is valid only
in satisfaction
or part
satisfaction
of the amount
payable to
them on
the invoice(s)
in question
or any subsequent
invoice
assigned
by us to
them and
is not payable in cash
by us
or by
them unless
specially agreed’

 

 

 

 

E.
CLIENT PARTICULARS

 

 

1.
 Your payment
terms are: 30
days
from date
of invoice.

 

2.
 The nature
of your business
is: Wholesale
of Clothing.

 

3.
 Your full
name(s) is/are:
Lot78 UK
Ltd.

 

4.
 Your trading
style
is: Lot78.

 

5.Your
principal place
of business
is: Flat
2, Leamington
Road Villas,
London, W11
1HS.

 

6.
 Your registered
number is:
05490864.

    	 

    	 

    

	 	 	 	 	 
	 	 
	SIGNED and DELIVERED as a deed on December
    30, 2013	 	 
	on behalf of LOT78 UK LTD 	/s/ Oliver Amhurst
	 	Director
	in the presence of:	 
	 	 
	Witness’s Signature:	/s/ Phillip Varney
	 	 
	Witness’s Full Name (Please print):	Philip Varney
	 	 
	Witness’s Address:	20
                                                Alexandra Sq

                                                Morden,
                                                Surrey SM4 5NJ

	 	 
	Witness’s Occupation:	Facilities Manager

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00225-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00225-of-00352.parquet"}]]